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cp03-12-19HUTCHINSON CITY COUNCIL MEETING AGENDA TUESDAY, MARCH 12, 2019 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: Citypolicy andpractices, inputfrom 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. (a) Approve the Council agenda and any agenda additions and/or corrections 2. INVOCATION — Hope Family 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 PUBLIC COMMENTS (T is is an opportunity or 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 e 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 February 26, 2019 (b) Council Workshop of February 26, 2019 (c) Joint Meeting with County Commissioners of February 28, 2019 CONSENT AGENDA (The items listedjor 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 I (a) Consideration for Approval of Relay for Life Event Being Held August 2 & 3, 2019 (b) Consideration for Approval of Resolution No. 15019 - Resolution Authorizing No Parking Restrictions on 5t' Avenue South (c) Consideration for Approval of Liquor Hutch Loyalty Program (d) Consideration for Approval of Short -Term Gambling License for Hutchinson Rotary Foundation on April 26, 2019, at Crow River Golf Club (e) Claims, Appropriations and Contract Payments CITY COUNCIL AGENDA March 12, 2019 PUBLIC HEARINGS — 6:00 P.M. S. CONSIDERATION OF FIRST READING OF ORDINANCE NO. 19-796 — ORDINANCE TO REVISE CHAPTER 90 — RIGHT OF WAY MANAGEMENT purpose o t is portion o t e agen a is to provi e the Councilwith information necessary to craft wise policy. ides items like monthly or annual reports and communications from other entities.) 9. PARKS/RECREATION/COMMUNITY EDUCATION 2018 YEAR END REPORT 10. REVIEW OF FORESTRY OPERATIONS REPORT 11. REVIEW AND DISCUSSION OF 2018 FUND BALANCE REPORT 12. DISCUSSION OF AMENDING SECTION 93.18 OF THE HUTCHINSON CITY CODE PERTAINING TO ANIMALS RUNNING AT LARGE UNFINISHED BUSINESS 13. APPROVE/DENY SECOND READING AND ADOPTION OF ORDINANCE NO. 19-795 - ORDINANCE TO REZONE PROPERTY AT 1015 DALE STREET SW FROM R-1 (SINGLE FAMILY RESIDENTIAL) TO R-4 (HIGH DENSITY RESIDENTIAL) 14. APPROVE/DENY SECOND READING AND ADOPTION OF ORDINANCE NO. 19-794 — AN ORDINANCE ESTABLISHING A SUSTAINABILITY BOARD 15. APPROVE/DENY SECOND READING AND ADOPTION OF ORDINANCE NO. 19-797 — AN ORDINANCE REPEALING SECTIONS 31.26 AND 31.31 OF THE HUTCHINSON CITY CODE PERTAINING TO THE CREEKSIDE ADVISORY BOARD AND THE TREE BOARD NEW BUSINESS 16. APPROVE/DENY CROW RIVER SNO PROS EVENT ON AUGUST 9 — 11, 2019 17. APPROVE/DENY FIRST READING OF ORDINANCE NO. 19-798 - ORDINANCE REGULATING SMOKING IN CITY PARKS GOVERNANCE (T e purpose o t is 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) Motor Vehicle Department 2018 Recap �b) 2018 Preliminary Financial Results and Local Sales Tax Update c) Hutchinson Public Library Board Minutes from January 14, 2019 �d) Economic Development Authority Board Minutes from January 23, 2019 e) Hutchinson Utilities Commission Minutes from January 30, 2019 2 CITY COUNCIL AGENDA March 12, 2019 NUSCELLANEOUS 19. STAFF UPDATES 20. COUNCIL/MAYOR UPDATE ADJOURNMENT HUTCHINSON CITY COUNCIL MEETING NHNUTES TUESDAY, FEBRUARY 26, 2019 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: Citypolicy andpractices, inputfrom 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 Steve Cook, Chad Czmowski, Dave Sebesta, and Mary Christensen. Others present were Matt Jaunich, City Administrator, Kent Exner, City Engineer and Marc Sebora, City Attorney (a) Approve the Council agenda and any agenda additions and/or corrections Motion by Christensen, second by Cook, to approve the agenda as presented. Motion carried unanimously. 2. INVOCATION — Cross Point Church (The invocation is a voluntary expression of theprivate citizen, to and for the City Council, and is not intended to ajiliate the City Council with, or express the City Council's preference for, any religiouslspiritual 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 City Administrator Matt Jaunich recognized Tom Gifferson as the new Chief of Police. Tom Gifferson thanked the council and Matt Jaunich for the opportunity as the new Chief. Gifferson stated it is an honor and he does not take it lightly. Gifferson also stated he would like to meet with each council member in the near future. PUBLIC COMMENTS (T is is an opportunity or 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 e 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 February 26, 2019 Motion by Cook, second by Czmowski, to approve the minutes as presented. Motion carried unanimously. CONSENT AGENDA (The items listedfor 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 I (a) Consideration for Approval of Purchase of Public Works Tractor and Mower (b) Consideration for Approval of Cemetery Columbaria Installations CITY COUNCIL AGENDA FEBRUARY 26, 2019 (c) Consideration for Approval of Issuing Transient Merchant License to Tina Novotny to Operate a Pop-up Shop at the Depot (d) Claims, Appropriations and Contract Payments — Register A Motion by Czmowski, second by Christensen, to approve Consent Agenda L Motion carried unanimously. 8. APPROVAL OF CONSENT AGENDA II (a) Claims, Appropriations and Contract Payments — Register B Motion by Cook, second by Sebesta, with Forcier abstaining, to approve Consent Agenda II. Motion carried unanimously. PUBLIC HEARINGS — 6:00 P.M. — NONE COMMUNICATIONS RE UESTS AND PETITIONS (T e purpose oJ this portion oJ 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) 9. PLANNING/ZONING/BUILDING DEPARTMENT 2018 YEAR END REPORT Dan Jochum, Planning Director, presented before the Council. Jochum shared highlights of Planning, Zoning, and Building Department. All address files have been scanned into the electronic filing system. Jochum also reported on the building permits, inspections and construction data. Jochum stated the local economy continues to be strong and there are multiple expected projects for 2019. Jochum reported the rental inspections are up to date. The program has increased property values and improved safety for tenants and landlords. If a new potential tenant wants rental inspection reports, they can submit a Data Practices requests. Mayor Forcier noted parents of students of Ridgewater College have stated how thankful they are of the rental inspection program 10. REVIEW OF SOUTH GRADE ROAD CORRIDOR IMPROVEMENTS PROJECT (LETTING NO. 2, PROJECT NO. 19-02) Kent Exner, City Engineer, presented before the Council. At this point in the project delivery/design process, City staff requests that the City Council participate in a review of the proposed final Design layout for South Grade Road Corridor Improvements with the focus being on the Merrill Street to Trunk Highway 15 segment. Developing project for many years. This will help the dynamic of the South Grade Road and Highway 15 intersection as well as the Cash Wise/Mall entrance. Mn/DOT is highly involved because of Highway 15 intersection. The signal system and controls at the intersection are extremely dated. Mn/DOT did not have dollars allocated for this system so they encouraged the City to apply for the Local Partnership Program; the City was approved. This means Mn/DOT will fund half of the $250,000 signal system at the intersection of South Grade Road and Highway 15. The City also received $600,000 in Local Road Improvement Funding. Mn/DOT believes this mini roundabout plan is ideal. There has been success with these plans. A mini roundabout is smaller in footprint — has beveled curb, trunks can make movements. A typical roundabout is fully curbed. Functionality of a mini roundabout is for intersections that have fair amount of traffic or many movements. Engineering would like to build this fall of 2019. If not, it would have to be pushed out to 2021 due to the Main Street/MN-15 project in 2020. Lead-time on signal system: the poles and arms are 20-25 weeks out. Exner estimates 6 weeks for Highway 15- Merrill. Exner would like to bid in July and start late August after the Aquatic Center closes. UNFINISHED BUSINESS 2 CITY COUNCIL AGENDA FEBRUARY 26, 2019 11. APPROVE/DENY SECOND READING AND ADOPTION OF ORDINANCE NO. 19-793 — ORDINANCE AMENDING AND REPLACING CHAPTER 95 OF THE HUTCHINSON CITY CODE City Administrator Matt Jaunich presented be the Council. Mr. Jaunich stated the first reading was read and approved. Section 95.08 was questioned and updated to the language approved at the February 12, 2019. There are no other changes to the Ordinance. Motion by Cook, second by Czmowski, to approve second reading and adoption of Ordinance No. 19-793. Motion carried unanimously. Council Member Cook requested discussion on Ordinance No. 19-793. Mr. Cook would like to expand tobacco free areas to areas with more youth activities taking place. City Administrator informed Cook and the Council there are rental inquiries so he suggested an amendment be written. Cook would like e-cigarettes added to the Ordinance as well as 25 feet from playgrounds and within a confined area of Tartan Park, Veterans Field, Riverside Park, Northwoods Park, VFW Park and the Aquatic Center with the exceptions of the parking lots. Mayor Gary Forcier called a motion to discuss an amendment. Jaunich will bring forth a new ordinance with the amendment to the section 95.08. NEW BUSINESS 12. APPROVE/DENY ITEMS RELATED TO 38-UNIT ADDITION TO WOODSTONE SENIOR LIVING LOCATED AT 1015 AND 1025 DALE STREET SW WITH FAVORABLE PLANNING COMMISSION RECOMMENDATION (a) Resolution No. 15017 — Resolution Adopting Findings of Fact and Reasons for Approval of Conditional Use Permit and Site Plan Review for a 38-Unit Addition to Woodstone Senior Living Located at 1025 Dale Street SW (b) Resolution No. 15018 — Resolution Approving the Vacation of Utility Easement and Roadway Easement at 1025 Dale Street SW (c) Ordinance No. 19-795 — First Reading of Ordinance to Rezone Property at 1015 Dale Street SW from R-1 (Single Family Residential) to R-4 (High Density Residential) Dan Jochum, Planning Director, presented before the Council. In regards to Resolution No. 15017, Woodstone Senior Living applied for a site plan review, conditional use permit, vacation easement and re -zoning for the development of a 38 unit active senior apartment located at 1025 Dale St SW connected to the existing Woodstone Senior Living facility. A public hearing was held at the Planning Commission and the project was approved unanimously. Screening was discussed to screen the existing residential neighborhood and the new addition will enter off Cleveland rather than Dale. Resolution No. 15018 — when the on inal building was built, there needed to be an easement over a water main because of the first development plan was a single family development and a future street over the property. With the Woodstone Senior Living addition, these utility and road easements need to be vacated. First reading of rezoning Ordinance No. 19-795 — there is portion of the property where a pond is located. The developer would like to utilize this for ponding needs and open space. This was combined into the lot last month with the plat and now needs to be re -zoned to be consistent with the R4 zoning that the rest of the site is. Roman Bloemke, 760 Roberts Street SW, Hutchinson, presented before the Council. Mr. Bloemke is one of the co -owners of Woodstone Senior Living. Bloemke also introduced Sarah Work, co- CITY COUNCIL AGENDA FEBRUARY 26, 2019 owner. Bloemke publicly wanted to dive a serious thank you to Woodstone Senior Living Facility's Executive Director, Jill springer and her staff. Without her leadership and her staff, Woodstone would not be looking at this addition. As of right now, Woodstone has 50 employees and will be adding 5 more with the addition. This community is designed for active living for active adults over 60 who want less responsibility but not ready for the traditional senior living community. Some of the amenities with this new addition will include a movie theater, several gathering areas, pub room (game room) with pool and shuffleboard tables and television, wellness center, outdoor patio area with a grill, access to continental breakfast every day. The addition will be 48,000 square feet with 1 and 2 bedroom apartments with a patio or deck. Mayor Forcier asked if there is a waiting list. Bloemke informed the Council they are working on that now. Councilmember Czmowski inquired about the cost of rent. Bloemke stated rent would be cheaper than assisted living, but higher than a typical apartment. Councilmember Christianson asked about age requirements and pets. Bloemke stated the age requirement is 60 and over and at this time there are no pets allowed, but studies have shown pets do a lot for seniors, so there will be further discussion for the new addition. Motion by Cook, second by Czmowski, to approve Resolution Nos. 15017 and 15018 and approve first reading and set second reading and adoption of Ordinance No. 19-795 for March 12, 2019. Motion carried unanimously. 13. APPROVE/DENY NORTH PARK TENNIS/PICKLEBALL COURT REPLACEMENT PROJECT Dolf Moon, PRCE Director presented before Council. The City along with ISD 423 both in need of court replacement jointly evaluated a project to address both school and community needs. Larson Engineering Inc. was hired to develop plans and specifications to address both facilities. The PRCE Advisory Board evaluated several options before recommending each entity construct a facility on their current sites. Soil borings at North Park identified the need for nearly $200,000 in soil corrections to construct a bituminous surfaced facility. This finding made post tension concrete a viable option as a replacement alternative, which will last longer. This project will address drainage issues around the courts and the building. It will remove the elevation difference between the north and south courts and will expand the pickleball courts from four to seven. The bidding process allowed contractors to bid the project up to five different ways. Either bituminous or post tension concrete at the park site or a project at both the city and school location. Larson Engineering estimated the North Park site two ways $569,270 for bituminous and $536,195 for post tension concrete. The low bid of $537,165 was slightly over the estimate. It is recommended the project be awarded to R&R Excavating for $537,165. Mike Murphy of Larson Engineering reviewed references and found their overall performance, workmanship, scheduling, and quality control to be satisfactory. Retaining walls and an apron will be installed around the building. This plan will expand our pickleball courts from 4 to 7 and still have 4 tennis courts for public use. Council Member Cook expressed he is happy to see the drainage piece of the project. —Staff is recommending to take the remaining the $187,000 out of the community improvement fund. Cook expressed he doesn't mind doing the project or using dollars from the fund however, looking at the facilities plan, why not just borrow the dollars from the community improvement fund and pay it back. City Administrator, Matt Jaunich agreed, but reminded the Cook and the Council there are other projects coming up such as the recreation center roof and the lighting project that is looked at every year. Cook expressed right now there is not anything. Moon confirmed the city will start the middle of April and be done the middle of July. ISD 423 will be start their project after spring tennis season is over and it be completed by Labor Day. There will be a (6) week window with no outdoor tennis available in Hutchinson but there are indoor courts available at the fairgrounds and rec center. Jaunich confirmed he is ok with taking the money out of the facilities with the understanding the rec center roof project is coming up and those dollars will be needed. Motion by Cook, second by Czmowski, to approve North Park tennis/pickleball court replacement project. Motion carried unanimously. 14. APPROVE/DENY MN/DOT DISTRICT 8 LOCAL PARTNERSHIP PROGRAM GRANT APPLICATIONS Kent Exner, City Engineer, presented before the Council. City staff has been pursuing potential Mn/DOT District 8 Local Partnership funding for improvements to implement a 6' wide sidewalk within the north side right-of-way of TH7 from the 5 Avenue NE cul-de-sac are to the CITY COUNCIL AGENDA FEBRUARY 26, 2019 TDK/Uponor entrance roadway as well as 10' wide multi -use trail within the west side right-of-way of TH15 from Grove Street SW to Linden Avenue SW. The funding was granted to the city. Due to short notice regarding the submittal deadline and a fifth Tuesday in January, these applications have already been submitted and this is the first regular meeting for Council to consider the approval Nis approach. If deem necessary, these applications could be rescinded. Motion by Czmowski, second by Christensen, to approve Mn/DOT District 8 Local Partnership Program grant applications. Motion carried unanimously. 15. APPROVE/DENY FIRST READING OF ORDINANCE NO. 19-794 — AN ORDINANCE ESTABLISHING A SUSTAINABILITY BOARD (SET SECOND READING AND ADOPTION FOR MARCH 12, 2019) Marc Sebora, City Attorney, presented before the Council. Over the past year and half, City staff has been discussing the creation of a Sustainability Advisory Board. The Board would be responsible to advise and make recommendations to the City Council and identify the highest priorities for city government and citizens to achieve sustainable management of natural resources — water, urban forests and energy in particular — and recommend to the City Council goals to achieve and workable means to reach those goals. The Board would also provide input to the Council and staff as to the continued use and environmentally -friendly manufacturing of compost and other products produced at Creekside Soils; help oversee the City's urban forest tree program and review and make recommendations for the present and future needs of the City's urban forest and tree management; advise the Council as to resource and energy reduction measures in city buildings and operations and promote the City's continued participation in programs such as TreeCity USA, GreenStep Cities and the SolSmart designation. It is proposed that the Board consist of up to five members with the option of having one member being a Council Member and one member being a Hutchinson Utilities Commissioner. Board members are proposed to serve three-year terms. At - large members are proposed to be residents of the Hutchinson Joint Planning Area or the owner of a business based in the Hutchinson Joint Planning Area. The City Administrator, the Project - Environmental -Regulatory Manager and the Compost Manager are proposed to be ex-officio, nonvoting members of the Board. Councilmember Cook suggested the Ordinance read "shall have 5 members, one member would be a council member and one member may be a non-resident". Mayor Forcier approved of the non-resident as some have vested interest with a business in Hutchinson. Motion by Cook, second by Christensen, to approve first reading with changes and set second reading and adoption of Ordinance No. 19-794 for March 12, 2019. Motion carried unanimously. 16. APPROVE/DENY FIRST READING OF ORDINANCE NO. 19-795 — AN ORDINANCE REPEALING SECTIONS 31.26 AND 31.31 OF THE HUTCHINSON CITY CODE PERTAINING TO THE CREEKSIDE ADVISORY BOARD AND THE TREE BOARD (SET SECOND READING AND ADOPTION FOR MARCH 12, 2019) Marc Sebora, City Attorney, presented before the Council. This ordinance would repeal sections 31.206 and 31.31 of the city code pertaining to the Creekside Advisory Board and the Tree Board. With the creation of the new City Sustainability Board, the Creekside Advisory Board and the Tree Board may be abolished. Motion by Cook, second by Czmowski, to approve first reading and set second reading and adoption of Ordinance No. 19-795 for March 12, 2019. Motion carried unanimously. GOVERNANCE (T e purpose o t is 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.) 17. MINUTES/REPORTS FROM COMMITTEES, BOARDS OR COMMISSIONS (a) Snow Removal and Ice Control Report — October 2018 to January 2019 (b) City of Hutchinson Financial Reports and Investment Reports for January 2019 5 CITY COUNCIL AGENDA FEBRUARY 26, 2019 �c) Hutchinson Housing & Redevelopment Authority Board Minutes from January 15, 2019 d) Planning Commission Minutes from January 15, 2019 �e) Public Arts Commission Minutes from January 14, 2019 f) Planning/Zoning/Building Department Quarterly Report MISCELLANEOUS 18. STAFF UPDATES Kent Exner — Mr. Exner informed the council snow removal operations will continue. Exner also informed the council the city is looking at a third location for snow dumping. Matt Jaunich suggested Public Works Manage, John Olson and Finance Director Andy Reid have a budget discussion. The City received funding for the HAWK pedestrian system at Montana and Highway 7. Mn/Dot will take care of our match and possibly building in early 2020 prior to the detour of the downtown. Glencoe Transportation Study was well attended with 150 people. Mn/DOT was happy with the attendance and input/feedback. Mn/DOT is a long way from arriving at a recommendation, but Exner feels this is a big step to connect 22 & 212. The northeast rind road was discussed at the County Board and may be on the agenda for the March 5 meeting to do the initial phase of the feasibility study. There may also be a discussion about the Dakota Rail Trail at a future County Board workshop. City Administrator Matt Jaunich was contacted by Representative Urdah'ls office for an Otter and Campbell Lake restoration project. City staff worked with the city's consultant WSB to put together a short bonding request for Urdahl to carry forward. Staff will work with the DNR to fine-tune that request. An involved public hearing was held in regards the 5t' Avenue South reconstruction project. The decision was made to narrow the sidewalk to 5' to pull it away from the property owners. Dolf Moon — Mr. Moon gave an Event Center update. Sheetrock and paint is complete. League of MN Cities just have the approval to purchase the carpet for the Senior Center. Everything should be complete within the next two weeks. 19. COUNCIL/MAYOR UPDATE Dave Sebesta — Council Member Sebesta complimented the snow removal efforts. Sebesta encouraged residents to remove snow around fire hydrants near their home. Steve Cook— Council Member Cook would like more discussion added into the policy when completing street designs. Exner commented there has been discussion between Jaunich and himself. Exner is requesting Engineering will design and have flexibility. Exner agreed council give guidance, but if engineering deviates from that, they will be informed. Cook gave an update on the Sculptor Stroll. The Public Arts Commission will be partnering with Ridgewater College and Citizens Bank on sponsoring a space. A bench will be added to Library Square and along the trail by Cenex in addition to the 7 pads. Installation will be in May. Cook shared concern for the removal of ash trees on the 5t' Ave project as some of the trees are the only trees on those properties. Cook suggested leaving some trees so those homes have shade. Cook noted the two large elm trees being removed from the SW corner near Main Street. Cook wondered if it would be possible to tuck the sidewalk right next to the curb to preserve these trees. Exner informed Cook there is a storm sewer pipe below that needs to be replaced at that location. Exner also noted he and City Arborist, Donovan Schuette struggle with tree removal as well. They are working around to keep some trees in the city and will be transplanting too. Cook replied that he believes it is about spacing and should not be that hard. Mary Christensen — Council Member Christensen thanked staff for plowing the streets. Christensen also reminded the residents to slow down and be extra cautious at intersections due the banks being high Gary Forcier — Mayor Forcier thanked those residents who have adopted a fire hydrant and removed the snow around it. Forcier also reappointed Doug McGraw to the Airport Commission. Forcier will be participating in the Disaster Planning Emergency Management Training on March 5. Forcier wished Good Luck to the boys Hutchinson Hockey team at sections and to Tucker Gifferson and Christian Kurth at the state wrestling tournament. rel CITY COUNCIL AGENDA FEBRUARY 26, 2019 ADJOURNMENT Motion by Czmowski, second by Christensen, to adjourn at 7:45 p.m. Motion carried unanimously. HUTCHINSON CITY COUNCIL SPECIAL WORKSHOP MEETING MINUTES TUESDAY, FEBRUARY 26, 2019, AT 4:00 PM CITY CENTER — COUNCIL CHAMBERS Call to Order Mayor Forcier called the meeting to order. Members present were Mary Christensen, Steve Cook, Chad Czmowski and Dave Sebesta. Others present were Matt Jaunich, City Administrator, Marc Sebora, City Attorney and Dolf Moon, Parks/Recreation/Community Education Director. DISCUSSION/REVIEW ITEMS 1. Review of Parks Master Plan Dolf Moon, Parks/Recreation/Community Education Director, presented before the Council. Mr. Moon explained that this is the first update to the City Council regarding the PRCE master planning process. This meeting is intended to present the System Inventory and Draft Needs Assessment to the PRCE Board. Trends in Recreation and Draft Identity, Mission, and Vision Statements will be presented this afternoon in order to spur discussion and gain feedback from the Council Members on how to move forward with the remainder of the plan. Gabrielle Grinde, Hoisington Koegler Group, Inc., presented before the Council. Grinde explained the Draft System Inventory and the Needs Assessment Overview. Grinde explained how parks are classified. Park facilities were also identified along with the bicycle and pedestrian network and recreation programming. The Needs Assessment Overview included a peer community comparison, national park metrics, park services areas and opportunity sites, bike and ped network missing links and community input summary. General discussion was held on community input and some of the desires of members of the community. Council Member Cook suggested surveying teenagers since teens for the most part were not surveyed as part of this process. Ms. Grinde then reviewed national trends in recreation and the implications to parks and recreation. Ms. Grinde reviewed a draft of the Identity, Mission and Vision Statements. The statements have been reviewed by staff and presented at the community open house. Mr. Moon asked that if council members have comments on the statements to provide them to him by March 7"' as staff and the consultant will be meeting and can incorporate any suggestions into the statements. General discussion was held regarding the input received from community engagement, how the vision statement reflects the character and values of Hutchinson and how the Council sees its parks and people in ten years and changes they see taking place. Council Member Cook spoke about the "build it and they will come" concept. Grinde noted that a vision meeting is being held March 7 h with staff and then an update will be given to the Park Board in April with a draft Master Plan being presented to the Council in the spring or summer. Motion by Czmowski, second by Christensen, to adjourn at 5:25 p.m. Motion carried unanimously. ATTEST: Gary T. Forcier Mayor Matthew Jaunich City Administrator Joint Meeting Hutchinson City Council — McLeod County Board of Commissioners February 21, 2019 1:00 P.M. Members present: Mayor Gary Forcier, Council Member Chad Czmowski, Council Member Dave Sebesta, Council Member Steve Cook, County Commissioner Joe Nagel, County Commissioner Paul Wright, County Commissioner Rich Pohlmeier, County Commissioner Doug Krueger, County Commissioner Ron Shimanski Staff present: County Administrator Cindy Schultz, Deputy County Administrator Sheila Murphy, County Sheriff Scott Rehmann, Police Chief Dan Hatten, Public Works Director John Brunkhorst, Fire Chief Mike Schumann, City Administrator Matt Jaunich, City Engineer Kent Exner, Planning Director Dan Jochum, Parks Director Al Koglin, Lt. Tom Gifferson Mayor Forcier called the meeting to order at 1:05 p.m. Matt Jaunich provided a brief overview of the State of the City report that he distributed. Cindy Schultz provided an update on county activities including the new county facility that is being renovated for administration and other departments. The courthouse will then be named the Justice Center where the sheriff's office, court administration, county attorney's office and McLeod County Jail will remain. Better security will be in place with having less facilities and more efficiencies can be put in place. Metal detectors/screening is planned to be put in place in the courthouse the first of May. The County is also looking at instituting a McLeod County Economic Development Authority in some form. General discussion was held regarding the benefits of a county EDA. Cindy Schultz also announced that she will be retiring effective November 2019. Matt Jaunich also spoke about the Main Street project scheduled for 2020. The City is also looking at building a new police facility, along with two major road construction projects and are in the middle of a Master Parks Plan. Mr. Jaunich spoke about the multitude of joint ventures between the County and the City and are always looking at more ventures and ways to save money and find efficiencies. Other opportunities for shared services/discussion items included: Hutchinson lakes/river basin, Hutchinson Dispatch Center, NE Ring Road, Hwy 212 and Hwy 22/212 Connection, and County Trail System/Dakota Rail Trail. Kent Exner noted that there is no objective to create a watershed district with the lakes/river basin study. Commissioner Wright spoke briefly about McKeown Creek. Mr. Jaunich noted that with the City looking to build a new police facility, the Hutchinson Dispatch Center will be reviewed and the City will be looking at various possibilities for City dispatch services. Chief Hatten explained that discussions have to be held regarding long-term use of Hutchinson Dispatch Centers. Discussion was also held regarding a regional dispatch center and if that is implemented, where the location would be. Sheriff Rehmann stated he intends to reach out to other county sheriff offices in Meeker, Sibley and Renville counties regarding a regional dispatch center. Mr. Jaunich noted that the earliest that the City will be constructing a new facility will be 2020, but more likely 2021, so decisions will need to be made within the next year or so. John Brunkhorst spoke about the NE Ring Road project which has been in the planning stages for many years. The NE Ring Road would connect Hwy 22 South to Hwy 15 North. SRF Consulting is working on a phased approach to the project and the County Board will be discussing the project at a meeting in the near future. Discussion then went into the Hwy 212 and Hwy 22/212 connection and the importance it is to McLeod County and the City of Hutchinson. Mr. Jaunich noted that the City and County have partnered over the years on the county trail system and the Dakota Rail Trail. Al Koglin, McLeod County Parks Director, provided an update on the Dakota Rail Trail project and noted that an application for phase 2 needs to be submitted by August I". He intends to meet with the County Board in the near future to see how the County should proceed. Council Member Cook asked the commissioners their thoughts on paving phase 2 of the project. Koglin noted that any tiling will not be paid for by legacy grant funds. Commissioner Shimanski expressed that he feels the main focus at this time should be to be sure all areas of the trail can be opened up. Council Member Cook distributed data from the Parks & Trails Council of Minnesota speaking about the average life cycle of a Minnesota trail and the comparison between bituminous trails and aggregate trails. Fire Chief Mike Schumann spoke about the need for the rural tanker and the shared rescue/grass rig vehicle replacement in 2021. Chief Schumann also spoke about the partnership the HFD has with the townships. Lastly, Chief Schumann spoke about the future of the fire service in rural Minnesota due to the low numbers of firefighters in smaller communities and the costs to maintain fire departments. Mayor Forcier spoke about having a county -wide used platform truck or multi -county use platform truck. Discussions can and will be held amongst the county chiefs on shared opportunities. Matt Jaunich suggested that if/when the county meets with state elected officials, the City would like to be part of that. A town hall meeting is tentatively set in March to talk about property taxes and legislators will be in attendance for that. There may not be another opportunity before the legislative session is over. Motion by Czmowski, second by Sebesta, to adjourn at 2:55 p.m. Motion carried unanimously. HUTCHINSON CITY COUNCIL CityafA Request for Board Action Agenda Item: Relay for Life Annual Event Department: Police LICENSE SECTION Meeting Date: 3/12/2019 Application Complete N/A Contact: Daniel T. Hatten Agenda Item Type: Presenter: Daniel T. Hatten Reviewed by Staff Consent Agenda Time Requested (Minutes): 2 License Contingency Attachments: No BACKGROUND/EXPLANATION OFAGENDA ITEM: McLeod County Relay for Life Committee is requesting to host the Annual Relay for Life Event on Friday August 2, 2019, concluding in the Morning of Saturday August 3, 2019. This is an annual event that draws100's of people to the park. The Committee has reserved the entire camp grounds for the annual event. They are requesting the roadway through Masonic River Park be closed throughout the event, with parking for attendees to be in the grassy area just west of the game refuge. They are requesting a police presence throughout the event and overnight for security purposes. This will be accomplished by on -duty officers and Park Patrol staff. There will be amplified sound but it will not go past the 9:00 pm hour. There will be food and beverages but no alcoholic beverages will be sold on site. The Police Department looks forward to working with the McLeod County Relay for Life Committee to insure another safe and successful fund raising celebration. BOARD ACTION REQUESTED: Recommend Approval Fiscal Impact: Funding Source: Current Police Budget FTE Impact: Budget Change: No Included in current budget: Yes PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: RESOLUTION NO. 15019 RESOLUTION RELATING TO PARKING RESTRICTIONS S.P. 133-108-006 FROM STATION 28+42 TO STATION 47+53 (5TH AVENUE SE) IN THE CITY OF HUTCHINSON, MINNESOTA WHEREAS, this resolution was passed this 12th day of March 2019 by the City of Hutchinson in McLeod County, Minnesota. The Municipal Corporation shall hereinafter be called the "City'. WITNESSETH: WHEREAS, the "City', has planned the improvement of 5th Avenue SE, State Aid Route No. 108 from TH15/Main Street to Crow River Bridge (approximately 900 LF East of Huron Street SE) in the City of Hutchinson, Minnesota; and WHEREAS, the "City' will be expending Municipal State Aid Funds on the improvements of this street; and WHEREAS, this improvement maintains the existing parking restrictions on both sides of the street; and approval of the proposed construction as a Municipal State Aid Street project must therefore be conditioned upon certain parking restrictions. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, M I N N ESOTA: THAT, the "City' shall ban the parking of motor vehicles on both sides of 5th Avenue SE from Station 28+42 to Station 47+53 at all times. Adopted by the Hutchinson City Council this 12th day of March 2019. Gary Forcier, Mayor Matt Jaunich, City Administrator HUTCHINSON CITY COUNCIL CityafA Request for Board Action Agenda Item: Liquor Hutch Loyalty Program Department: Liquor LICENSE SECTION Meeting Date: 3/12/2019 Application Complete Contact: Candice Woods Agenda Item Type: Presenter: Reviewed by Staff Consent Agenda Time Requested (Minutes): License Contingency Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: Liquor Hutch recently invested in a POS system that will support a new Loyalty Program for marketing purposes. Loyalty Programs are widely used in many forms of retail business to improve current customer retention and attract new customers. This program will replace our current "GrapeVine" and "Pub Club" discount programs but we will continue to hold special events for wine, beer and spirits with a $10 per person registration fee. These events remain key to the marketing of our products and the Liquor Hutch brand. The financial impact of this program has been carefully considered and will be managed to achieve our 2019 Gross Profit goal of 25%. BOARD ACTION REQUESTED: Approval of Liquor Hutch Loyalty Program "Terms of Use" as attached. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: Yes PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: TERMS OF USE — LIQUOR HUTCH LOYALTY PROGRAM Consent By accessing or using the Liquor Hutch Loyalty program (the "Program") you are agreeing to comply with and be bound by these terms of use (the "Terms"). If you do not agree to these Terms, you may not utilize the Program. General Terms 1. The Liquor Hutch Loyalty Program is offered at the sole discretion of the City of Hutchinson (the "City"), which operates the Liquor Hutch pursuant to the authority of Minnesota Statutes, Chapter 340A. 2. All interpretations of these Terms and Conditions shall be at the sole discretion of Liquor Hutch. 3. Only persons of legal age to purchase and consume alcoholic beverages pursuant to Minnesota state law are eligible to join the Program. 4. Enrollment in the Program becomes effective when an individual successfully enrolls in the Program. No individual is successfully enrolled in the Program until they have been notified by Liquor Hutch that their requested Membership has been activated. 5. In the event that an ineligible individual is enrolled in the Program, they will not be paid any benefits or other consideration under the Program and will forfeit all credit thereunder. In the event that Liquor Hutch determines an ineligible individual has enrolled in the Program, their account shall be closed without noticing the account holder. 6. The Program has no predetermined termination date and may continue in perpetuity until Liquor Hutch or the City terminates the Program. Such termination may occur at any time, and with or without notice to Program participants. In the event of termination, all Program credits will be forfeited. 7. Liquor Hutch reserves the sole right to add, modify, delete, or otherwise change these Terms, or any of the rules, procedures, conditions, rewards, or points pertaining to the Program, at it's sole discretion, with or without notice to Program participants. In the event such changes alter or diminish the value of previously accrued benefits, Program participants shall be entitled to no compensation, other than the new value of their Program benefits pursuant to such changes. 8. There is no cost to join the Program. Program membership entitles Program participants the ability to earn Program points ("Points") which can be redeemed for rewards. 9. Program participants may not transfer Points between accounts. 10. Points cannot be combined, sold, or otherwise transferred between Program participants, for consideration or otherwise. 11. Liquor Hutch reserves the right to discontinue membership for any one member of the Program for any reason which Liquor Hutch deems appropriate. In the event of termination, all Program credits will be forfeited. 12. Termination of a Program participant's membership in the Program shall not serve as limitation or waiver of any additional remedies available to Liquor Hutch or the City including, but not limited to, criminal and/or civil prosecution. 13. Program participant's accounts which remain inactive, in the sole discretion of Liquor Hutch (e.g., which are not used when making a purchase, etc.) for over one year may be terminated. In the event of termination, all Program credits will be forfeited. 14. Liquor Hutch incurs no liability for ensuring that Points totals reflected on any Program participant's account are accurate. Further, Liquor Hutch is not responsible for providing Program participants with an accounting of their Points. 15. Liquor Hutch and the City are not liable for any third -party access to Program participants information in the event that account information is accessed by a third party. 16. Liquor Hutch is not liable for refunding or replacing any Points which are used by an unauthorized party, lost, expired, or which fail to be credited to a Program participant's account. 17. Program participants are responsible for contacting Liquor Hutch in writing, to notify Liquor Hutch of any changes of the Program participant's personal information. 19. By enrolling in the Program, each Program participant agrees to provide their email address to Liquor Hutch and the City. Each Program participant further consents to receive emails from Liquor Hutch. 20. In the event that any Program Participant wishes not to receive email communications from Liquor Hutch, the City, or their agents and assigns, the Program participant shall notify Liquor Hutch in writing. Liquor Hutch will ensure that such Program participant is removed from the applicable distribution lists within 90 days of such written request. Program Details 1. Points may be earned on eligible purchases made at Liquor Hutch. 2. Gift certificate/gift card purchases are eligible purchases for accruing Points. 3. Purchases which are paid for with gift cards are not eligible for accrual of Points. Deposits are also not eligible for the accrual of Points. 4. Points will be accrued on each purchase based upon the retail value of the products purchased on a pre-tax basis. Similarly, the amount of any coupons or other discounts will be removed from the value of the purchase for the purpose of determining the proper Point accrual. Points shall be rounded to the nearest whole number. 5. Members are encouraged to maintain proof of purchase to ensure that the balance of their Points remains accurate. 6. Points shall be accrued at a rate of 1 Point for each $1.00 spent. 7. Liquor Hutch retains the right to hold special events where certain products are eligible for additional Points. 8. Points may be redeemed for store credit at the rate of $20.00 store credit (the "Store Credit") per 500 points redeemed. 9. The Store Credit may not be used on the purchase which awards the 500tn point. 10. Points have no cash value. 11. Points expire one year after the date they are earned. Use of Data 1. In order to participate in the Program, participants are required to provide personal information ("Data") including, but not limited to, the following: (a) Name; (b) Email address; (c) Phone number; (d) Driver's license information; and (e) Zip/postal code. 2. Liquor Hutch reserves the right to use the Data to administer market and sales research. The Data may be provided to a third -party. 3. Liquor Hutch shall take reasonable steps to ensure that Data is not sold, or otherwise used for commercial purposes, by any third party. Disclaimer of Liability UNDER NO CIRCUMSTANCES, SHALL THE CITY OF HUTCHINSON, LIQUOR HUTCH, OR ANY OF THEIR EMPLOYEES, DIRECTORS, OFFICERS, AGENTS, VENDORS, LICENSORS OR SUPPLIERS, BE LIABLE TO YOU OR ANY THIRD PARTY FOR ANY LOSSES OR DAMAGES ARISING OUT OF OR IN CONNECTION WITH THE USE OF OR INABILITY TO USE OUR PROGRAM. THIS IS A COMPREHENSIVE LIMITATION OF LIABILITY THAT APPLIES TO ALL LOSSES AND DAMAGES OF ANY HIND (WHETHER DIRECT, INDIRECT, GENERAL, SPECIAL, CONSEQUENTIAL, INCIDENTAL, EXEMPLARY OR OTHERWISE, INCLUDING, WITHOUT LIMITATION, LOSS OF DATA, INCOME OR PROFITS), WHETHER THE CLAIM IS BASED ON CONTRACT, TORT (INCLUDING NEGLIGENCE), STRICT LIABILITY OR ANY OTHER LEGAL THEORY, EVEN IF AN AUTHORIZED REPRESENTATIVE OF THE CITY OF HUTCHINSON OR LIQUOR HUTCH, AND WITHOUT REGARD TO THE EFFECTIVENESS OF OTHER REMEDIES. IF ANY PART OF THIS LIMITATION ON LIABILITY IS FOUND TO BE INVALID OR UNENFORCEABLE FOR ANY REASON, THEN THE AGGREGATE LIABILITY OF THE CITY OF HUTCHINSON OR LIQUOR HUTCH, FOR LIABILITIES THAT OTHERWISE WOULD HAVE BEEN LIMITED, SHALL NOT EXCEED FIVE DOLLARS ($5.00). Miscellaneous Provisions 1. If any provision of these Terms is held by a court of competent jurisdiction to be contrary to law, such provision shall be changed and interpreted so as to best accomplish the objectives of the original provision to the fullest extent allowed by law and the remaining provisions of these Terms shall remain in full force and effect. 2. These Terms shall be governed under the laws of the State of Minnesota without regard to its conflicts of law provisions. All actions or proceedings arising out of or relating to these Terms shall be venued exclusively in state or federal court in Minneapolis, Minnesota. You hereby irrevocably consent and submit to the personal jurisdiction of said courts for all such purposes. 3. These Terms contain the entire understanding and agreement between you and us with respect to the Program and supersede all previous communications, negotiations and agreements, whether oral, written, or electronic between you and us with respect to the Program. HUTCHINSON CITY COUNCIL CityafA Request for Board Action Agenda Item: Short -Term Gambling License - Hutchinson Rotary Foundation Department: Administration LICENSE SECTION Meeting Date: 3/12/2018 Application Complete Y, Contact: Matt Jaunich Agenda Item Type: Presenter: Matt Jaunich Reviewed by Staff Consent Agenda Time Requested (Minutes): 0 License Contingency Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: The Hutchinson Rotary Foundation has submitted a short-term gambling license application into administration for review and processing. The application is for an event the organization is holding on April 26, 2019, at the Crow River Golf Club. The applicant has completed the appropriate application in full and all pertinent information has been received. BOARD ACTION REQUESTED: Approve issuing short-term gambling license to Hutchinson Rotary Foundation on April 26, 2019. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: City 11 I Hassan Street Southeast Hutchinson, MN 55350 (320) 587-515 I Fax: (320) 2344240 City of Hutchinson APPLICATION FOR GAMBLING DEVICES LICENSE In provisions of the City of Hutchinson Ordinance Chapter 114 and Minnesota Statutes Chapter 349 All applications are to be received at least 30 days before event in order to be considered Application Type Short Term Date(s) -1,2 Fee: $30.00 Month/D Near — Mim1hIDa7/Year 4-1566, Organization Information �4'ame Phone Number Ad ress where regular meeting are held City State Zip Federal or State ID: -70? ~ BEE!W! Day and time of meetings? J&AcLtA --, ____- A/'& _ Is this organization organized under the laws the State of Minnesota? ;0 yes ❑ no How long has the organization been in existence? 2 How may members in the organization?LA What is the purpose of the organization? In whose custody will organization records be kept?� n LAA ---I�tVame Phone Number Id'I Q 553 Address City State zip Authorized Officer of the Organization information True Name Phone Number Residence Address City State Zip Date of Birth: C>65,- - 1 7 Place of Birth: IJ k1-"v'17 , AV Month1day/year City State Have you ever been convicted of any crime other than a traffic offense? _ If yes, explain: ❑ no - 260 City of Hutchinson Application for Gambling Devices License Page 2 of 3 11 Designated Gambling Manager (Oualified under Minnesota Statute 049) True Name Phone lV mber esidenz e Address City State Zip Date of Birth: 12 1 1 Place of Birth: MA) Alonthld /year ity State Have you ever been convicted of any crime other than a traffic offense? ❑ yes �no If yes, explain: How long have you been a member of the organization? Game Information Location 41 G 6'5�- 3a Name of location w ere game will be played Phone Number Address of location where game will be played City State Zip Date(s) and/or day(s) gambling devices will be used: /L' through AM AM Hours of the day gambling devices will be used: From �'p , To Maximum number of player: _S j 0 Will prizes be paid in money or merchandise? A money pl-merchandise Will refreshments be served during the time the gambling devices will be used? yes ❑ no If yes, will a char a be made for such refreshments? es ❑ no Game Information Location #2 Name of location where game will be played Phone Number Address of location where game will be played City State Zip Date(s) and/or day(s) gambling devices will be used: through AM AM Hours of the day gambling devices will be used: From pM To PM Maximum number of player: Will prizes be paid in money or merchandise? ❑ money ❑ merchandise Will refreshments be served during the time the gambling devices will be used? ❑ yes ❑ no If es, will a charge be made for such refreshments? ❑ yes ❑ no 01Y of UwChfnSnu Appllcata- far C—blmK Der+aes License Page 3 of 3 Officers of the Organization (if neaesscrr�f, lice additiotsal names on separate street) n`arne .-------- ..i� ' fi ) tie Sit1 ire' cicl7'ess F t ! s r ! f .w City .z_.r- Title Lip .State A'ame — title __., Res ideoriee.4ddress City State T.Fp Title Name Residenre:Iddress Slide -71, ()tficers nr t7rh�:r Nersnns Paid ii�r Services infannation [ij.ler�°ssun'. list additional navies On separa'?.'she.er. Name Residence Address Title City Stale zip Name IWe Residence Address City Stare Zip Name Title Residence Address State Have you {Gambling Manager and Authorized Officer} read, and do you thoroughly understand the provisions o rall laws, ordinances, and regulations governing the operation and use of gambling devices {as outlined in City of }lutchins on Ordinance 1 14.20 and Minnesota Statutes Chapter 349)? Gambling Manager Oyes [J no c.] C�,7 Authorized Officer 'Lkyes ❑ no }' Initial Initial l declare that the information I have provided on this application is truthful, and 1 authorize the City of Hutchinson to investigate the information submittcd. Also, I have received from the City of l iutchinson a copy of the City Ordinance No. 114.20 relating to gambling and 1 will familiarize myself wiEll the contents thereof Signature of authorised officer of organi-ation Signature ofgam$ling manager oforganization Intemal Use On City Council U approved 0 denied motes: Dale .2 I --�- 1 t U, Dore CHECK REGISTER A FOR CITY OF HUTCHINSON CHECK DATE FROM 2/27/19 - 3/12/19 Check Date Check Vendor Name Description Amount 03/01/2019 EFTS94 EFTPS PAYROLL 2/10 - 2/23/2019 59,754.13 03/01/2019 EFT895 Child Support PAYROLL 2/10 - 2/23/2019 149.54 03/01/2019 EFT896 MN Dept of Revenue PAYROLL 2/10 - 2/23/2019 12,252.58 03/01/2019 EFT897 Provident Life PAYROLL 2/10 - 2/23/2019 666.41 03/01/2019 EFT898 PERA PAYROLL 2/10 - 2/23/2019 50,896.18 03/01/2019 EFT899 TASC-Flex PAYROLL 2/10 - 2/23/2019 1,532.02 03/01/2019 EFT900 TASC-H S A PAYROLL 2/10 - 2/23/2019 15,492.47 03/01/2019 EFT901 ICMA PAYROLL 2/10 - 2/23/2019 2,360.00 03/01/2019 EFT902 VOYA PAYROLL 2/10 - 2/23/2019 480.00 03/01/2019 EFT903 MNDCP PAYROLL 2/10 - 2/23/2019 350.00 03/01/2019 204678 Manual Payroll check PAYROLL 2/10 - 2/23/2019 61.46 03/01/2019 204679 Manual Payroll check PAYROLL 2/10 - 2/23/2019 36.42 03/01/2019 204680 NCPERS PAYROLL 2/10 - 2/23/2019 368.00 03/01/2019 204681 HART PAYROLL 2/10 - 2/23/2019 566.37 03/12/2019 204682 48FORTY SOLUTIONS, LLC PALLETS FOR CREEKSIDE PRODUCTION 10,455.12 03/12/2019 204683 A R ENGH HEATING & AIR CONDITIONING FURNISH/INSTALL AIR INTAKES - CREEKSIDE 6,915.50 03/12/2019 204684 ACE HARDWARE MAINTENANCE SUPPLIES FOR VARIOUS DEPTS 499.54 03/12/2019 204685 ACME TOOLS - PLYMOUTH CORD SET - PARKS DEPT 29.74 03/12/2019 204686 AHLGREN ELECTRIC ELECTRICAL REPAIRS - CITY CTR & FIREMAN'S PARK 893.62 03/12/2019 204687 ALEX AIR APPARATUS INC REPAIR FILL VALVE ON SCBA FILL STATION - FIRE 110.75 03/12/2019 204688 ALLIED PRODUCTIONS & SALES AUDIO, LIGHTING, & POWER RENTALS - CIVIC ARENA 1,700.00 03/12/2019 204689 ALPHA WIRELESS MARCH MAINTENANCE - POLICE 794.75 03/12/2019 204690 AMERICAN BOTTLING CO FEBRUARY COST OF GOODS - LIQUOR STORE 172.32 03/12/2019 204691 AMERICAN PUMP COMPANY 1/23 - 1/25 RENTAL OF HYDRAULIC PUMP- STWT 898.00 03/12/2019 204692 AMERIPRIDE SERVICES TOWEL BAR, MOPS, MATS - LIQUOR STORE 116.73 03/12/2019 204693 ANNANDALE, CITY OF B ERLANDSON, A AMENT: SHOOT HOUSE COURSE 850.00 03/12/2019 204694 ARCTIC GLACIER USA INC. FEBRUARY COST OF GOODS - LIQUOR STORE 331.22 03/12/2019 204695 ARTISAN BEER COMPANY FEBRUARY COST OF GOODS - LIQUOR STORE 698.70 03/12/2019 204696 ASPEN MILLS NAME TAG, HANG TAG - FIREFIGHTER 20.40 03/12/2019 204697 AUTO VALUE - GLENCOE EQUIPMENT PARTS/SUPPLIES - HATS 2,461.37 03/12/2019 204698 AXON ENTERPRISE, INC. STANDARD CARTRIDGES - POLICE 2,025.00 03/12/2019 204699 B & C PLUMBING & HEATING INC SERVICE: REPLACED CONTROL ON DISPLAY PAN - PD 351.00 03/12/2019 204700 BECKER ARENA PRODUCTS ICE PAINT FOR CIVIC ARENA 404.73 03/12/2019 204701 BELLBOY CORP FEBRUARY COST OF GOODS - LIQUOR STORE 1,511.60 03/12/2019 204702 BENNY'S MEAT MARKET COUNTY FIRE CHIEFS MTG: 8 LBS PULLED PORK 39.92 03/12/2019 204703 BERNICK'S FEBRUARY COST OF GOODS - LIQUOR STORE 337.20 03/12/2019 204704 BETTER HALF EMBROIDERY SHIRTS, JACKETS, EMBROIDERY- WATER/SEWER EE'S 1,671.28 03/12/2019 204705 BNO SHEET METAL INC WELD 2" PVC JOINT - WTP 65.79 03/12/2019 204706 BREAKTHRU BEVERAGE FEBRUARY COST OF GOODS - LIQUOR STORE 9,958.37 03/12/2019 204707 BW WELDING FABRICATE 15/16" DIA SHAFT - WWTP 175.00 03/12/2019 204708 C & L DISTRIBUTING FEBRUARY COST OF GOODS - LIQUOR STORE 46,880.99 03/12/2019 204709 CARD SERVICES DONUTS - EVENT CENTER 13.98 03/12/2019 204710 CARLA BENSON RECREATION FEE REIMBURSE FOR DAD COACH 30.00 03/12/2019 204711 CARS ON PATROL SHOP LLC FIRE TRUCK BATTERIES / 8 SNOW VEHICLE TOWS 1,359.83 03/12/2019 204712 CENTRAL HYDRAULICS VARIOUS REPAIR & MAINTENANCE SUPPLIES 1,119.89 03/12/2019 204713 CENTRAL MCGOWAN ACETYLENE, HIGH PRESSURE GAS - HATS & WWTP 138.88 03/12/2019 204714 CHEMISOLV CORP FERRIC CHLORIDE - WWTP CHEMICALS 4,883.12 03/12/2019 204715 CINTAS CORPORATION SHOP TOWELS, MATS, HANDCLEANERS, OTHER 285.00 03/12/2019 204716 CORE & MAIN LP WATER METERS (3) 630.46 03/12/2019 204717 CROW RIVER AUTO & TRUCK REPAIR VEHICLE REPAIRS/MAINT - POLICE & STREETS 3,450.54 03/12/2019 204718 CROW RIVER GOLF CLUB LIQUOR STORE EVENT ON 2/21 536.88 03/12/2019 204719 CROW RIVER PRESS INC FIRE DEPT ANNUAL REPORT PRINTING / OTHER ITEMS 453.72 03/12/2019 204720 CROW RIVER WINERY FEBRUARY COST OF GOODS - LIQUOR STORE 1,008.00 03/12/2019 204721 CUMMINS NPOWER LLC REPLACE HOUR METER ON POLICE GENERATOR 179.54 03/12/2019 204722 CZECH, RANDY REIMB: SAFETY FOOTWEAR 175.00 03/12/2019 204723 DEZURIK, INC REPAIR SUPPLIES FOR WTP 360.00 03/12/2019 204724 DLT SOLUTIONS, LLC AUTOCAD RENEWAL & ARCHITECTURE ENGINEERING 2,660.78 CHECK REGISTER A FOR CITY OF HUTCHINSON CHECK DATE FROM 2/27/19 - 3/12/19 Check Date Check Vendor Name Description Amount 03/12/2019 204725 DOMINO'S PIZZA PIZZA FOR MANDATORY SAFETYTRAINING MEETINGS 221.77 03/12/2019 204726 DPC INDUSTRIES INC SODIUM HYPO CHEMICALS FOR WTP & WWTP 2,815.61 03/12/2019 204727 DYNA SYSTEMS MAINTENANCE SUPPLIES FOR WWTP 132.42 03/12/2019 204728 E2 ELECTRICAL SERVICES INC ELECTRICAL WORK FOR LIQUOR CASH REGISTERS 3,364.77 03/12/2019 204729 ECOLAB PEST ELIMINATION RODENT PROGRAM - REFUSE 161.52 03/12/2019 204730 ELECTRO WATCHMAN REFUSE - WORK ON EXISTING FIRE ALARM SYSTEM 345.00 03/12/2019 204731 EMERGENCY AUTOMOTIVE TECH OUTFIT 2 NEW POLICE SQUADS - LIGHTS/PARTITION 4,643.80 03/12/2019 204732 ENVIRONMENTAL RESOURCE ASSOC LAB TESTING FOR WWTP SAMPLES 237.52 03/12/2019 204733 FARM -RITE EQUIPMENT MAINTENANCE SUPPLIES - STREETS & PARKS 493.30 03/12/2019 204734 FASTENAL COMPANY MAINTENANCE SUPPLIES - WTP 12.47 03/12/2019 204735 FIRST CHOICE FOOD & BEVERAGE SOLUTI COFFEE FOR HATS 304.00 03/12/2019 204736 FOSTER MECHANICAL HVAC-C REPAIR - LIQUOR STORE 1,057.50 03/12/2019 204737 GARD SPECIALISTS GARD THIN CUT ELITE - HATS EQUIP PARTS 223.43 03/12/2019 204738 GAVIN, DONLEY & OSTLUND, LTD FEBRUARY FLAT LEGAL FEE AGREEMENT 3,300.00 03/12/2019 204739 GRAINGER SUPPLIES & EQUIPMENT- WTP & WWTP 1,308.19 03/12/2019 204740 HACH COMPANY FLUORIDE FOR WTP 152.60 03/12/2019 204741 HALLIDAY PRODUCTS, INC. CABLEHOLDERS, PADLOCK BARS - WWTP 390.71 03/12/2019 204742 HANSEN GRAVEL INC. CONTRACTED SNOW PUSHING - 1/28 & 1/29 2,320.00 03/12/2019 204743 HANSON & VASEK CONSTRUCTION CONTRACTED SNOW REMOVAL 2/21, 2/25, 3/4 1,584.00 03/12/2019 204744 HAWKINS INC MURIATIC ACID, DRUMS, SODIUM BISULFITE, 3,568.11 03/12/2019 204745 HILLYARD / HUTCHINSON CLEANING SUPPLIES - VARIOUS DEPTS 2,190.92 03/12/2019 204746 HUTCHFIELD SERVICES INC MARCH JANITORIAL SERVICES - HATS 1,415.00 03/12/2019 204747 HUTCHINSON CO-OP DIESEL, LP GAS, UNLEADED FUEL 52,815.82 03/12/2019 204748 HUTCHINSON CONVENTION & VISITORS BU JANUARY 2019 LODGING TAX 5,464.35 03/12/2019 204749 HUTCHINSON HEALTH CARE JAN & FEB 2019 CAM - EVENT CENTER 6,833.97 03/12/2019 204750 HUTCHINSON HRA HRA LOAN FEES: ANDREA MITCHELL 1,100.00 03/12/2019 204751 HUTCHINSON LEADER FEBRUARY ADVERTISING AND PUBLICATIONS 2,922.14 03/12/2019 204752 HUTCHINSON SENIOR ADVISORY BOARD SENIOR TOUR REIMB: COYOTE MOON GRILL 630.00 03/12/2019 204753 HUTCHINSON WHOLESALE #1550 SHOP SUPPLIES - PUBLIC WORKS & IT 736.15 03/12/2019 204754 HUTCHINSON WHOLESALE #1552 SHOP SUPPLIES - PARKS DEPT 270.48 03/12/2019 204755 HUTCHINSON WHOLESALE #2520 SHOP SUPPLIES - FIRE DEPT 7.29 03/12/2019 204756 HUTCHINSON, CITY OF REPLENISH ATM AT CITY CENTER 5,000.00 03/12/2019 204757 HUTCHINSON, CITY OF HRA LOAN INSPECTION FEE: ANDREA MITCHELL 500.00 03/12/2019 204758 IDEAL SHIELD, LLC PIPE SLEEVES - REFUSE 105.98 03/12/2019 204759 IDEXX LABORATORIES IDEXX COLIFORM BACTERIA TESTING SEALER - WWTP 4,471.15 03/12/2019 204760 INDELCO PLASTICS CORPORATION FLANGES, FLANGE GASKETS - WTP 75.59 03/12/2019 204761 INGSTAD BROADCASTING PRO SPORTS COMBO 2/15 LIQUOR ADVERTISING 96.00 03/12/2019 204762 INTERSTATE BATTERY SYSTEM MINNEAPOL BATTERY EXCHANGE - HATS 26.00 03/12/2019 204763 INVOICE CLOUD JANUARY CHASE CREDIT CARD FEES - UB & OTHER 1,045.86 03/12/2019 204764 JACK'S UNIFORMS & EQUIPMENT GUN, HOLSTER, NAME PLATE, UNIFORM - PD OFFICER 1,171.42 03/12/2019 204765 JESSICA FORCIER REFUND PRCE REGISTRATION FEE 78.00 03/12/2019 204766 JILL MONS PRCE CLASS CANCELLED - LOW ENROLLMENT 80.00 03/12/2019 204767 A TAYLOR DIST OF MN FEBRUARY COST OF GOODS - LIQUOR STORE 6,401.40 03/12/2019 204768 JLR GARAGE DOOR SERVICE REPAIR CAR WASH DOOR - HATS 192.50 03/12/2019 204769 JOHNSON BROTHERS LIQUOR CO. FEBRUARY COST OF GOODS - LIQUOR STORE 55,359.98 03/12/2019 204770 JUUL CONTRACTING CO CONTRACT SNOW REMOVAL 2/21, 2/22, 2/25, 3/4 3,370.40 03/12/2019 204771 KELLER, MATTHEW REIMB: BOILER LICENSE EXAM FEE - WWTP 50.00 03/12/2019 204772 KENT, JOHN REIMB: BOILER LICENSE EXAM FEE - WWTP 50.00 03/12/2019 204773 KERI'S CLEANING & HANDYMAN SERVICES 2/16-2/28 SERVICE -CITY CTR, LIB, FIRE, SR DINE, LIQ 3,244.00 03/12/2019 204774 KOHLS SWEEPING SERVICE CLEAN UP BITCON PILE AFTER CRUSHING - CREEKSIDE 631.75 03/12/2019 204775 KOSEK, JEFFREY CONTRACT SNOW REMOVAL 2/21, 2/25, 3/4 1,584.00 03/12/2019 204776 L & P SUPPLY CO SCRAPER BLADE, BOLT FOR SNOW BLOWER- FIRE 46.09 03/12/2019 204777 LAND EQUIPMENT OF NORWOOD REPAIR PARTS FOR 3 PUBLIC WORKS MOWERS 3,334.32 03/12/2019 204778 LITCHFIELD BUILDING CENTER FIRE STATION OFFICE PROJECT SUPPLIES 811.58 03/12/2019 204779 LOCHER BROTHERS INC FEBRUARY COST OF GOODS - LIQUOR STORE 20,731.40 03/12/2019 204780 MACDONALD, GORDON UB refund for account: 3-845-2390-4-03 19.22 03/12/2019 204781 MANZANITA MICRO LLC ZAMBONI BATTERY CHARGER - REPAIR AND PARTS 312.03 CHECK REGISTER A FOR CITY OF HUTCHINSON CHECK DATE FROM 2/27/19 - 3/12/19 Check Date Check Vendor Name Description Amount 03/12/2019 204782 MARCO TECHNOLOGIES, LLC 2/20 - 3/20'19 COPIER CONTRACT - CITY CENTER 934.18 03/12/2019 204783 MATHESON TRI-GAS INC ACETYLENE, HIGH PRESSURE - WWTP 17.22 03/12/2019 204784 MEEKER WASHED SAND & GRAVEL SAND - STREETS 4,604.25 03/12/2019 204785 MENARDS HUTCHINSON REPAIR & MAINTENANCE SUPPLIES - VARIOUS 1,551.19 03/12/2019 204786 MESSAGE MEDIA U.S.A., INC MARCH ACCESS FEE - POLICE 30.00 03/12/2019 204787 MIDWEST MACHINERY CO REPLACEMENT FUEL CAP - STORM WATER 35.11 03/12/2019 204788 MILLNER HERITAGE VINEYARD & WINERY FEBRUARY COST OF GOODS - LIQUOR STORE 868.20 03/12/2019 204789 MINNESOTA CHIEFS OF POLICE T. GIFFERSON: 2019 DUES & ANNUAL CONFERENCE 607.00 03/12/2019 204790 MINNESOTA DEPT OF HEALTH Q1 2019 STATE FEE - WATER CONNECTIONS 7,643.00 03/12/2019 204791 MINNESOTA PETROLEUM SERVICE FUEL SYSTEM REPAIRS - HATS & AIRPORT 911.50 03/12/2019 204792 MINNESOTA POLLUTION CONTROLAGENCY ERIC LEVINE REGISTRATION: WW OPERATIONS 390.00 03/12/2019 204793 MINNESOTA STATE FIRE DEPT ASSN 2019 MEMBERSHIP DUES MSFDA 423.00 03/12/2019 204794 MINNESOTA VALLEY TESTING LAB WASTEWATER SAMPLE TESTING 1,092.50 03/12/2019 204795 MOORE, ERIC REIMB: WINTER BOOTS - WWTP 125.00 03/12/2019 204796 MORGAN CREEK VINEYARDS FEBRUARY COST OF GOODS - LIQUOR STORE 475.20 03/12/2019 204797 MWR CONTRACTING SCOREBOARDS & CONTROLS - CIVIC ARENA 2,000.00 03/12/2019 204798 NEW FRANCE WINE MARCH COST OF GOODS - LIQUOR STORE 1,943.50 03/12/2019 204799 NORTH AMERICAN SAFETY INC LENS, GLOVES, READERS - WWTP SAFETY SUPPLIES 248.40 03/12/2019 204800 NORTHERN BUSINESS PRODUCTS OFFICE SUPPLIES FOR VARIOUS DEPTS 347.91 03/12/2019 204801 NORTHERN SAFETY & INDUSTRIAL TRIPLE ANTIBIOTIC CREAM - CREEKSIDE 7.89 03/12/2019 204802 NORTHERN STATES SUPPLY INC MAINTENANCE PARTS - HATS 555.03 03/12/2019 204803 NORTHERN TOOL & EQUIP RENEW 1 YEAR ADVANTAGE - WWTP 39.99 03/12/2019 204804 NORTHLAND BUSINESS SYSTEMS CONTRACT BASE RATE 3/13/19 - 3/12/20 - POLICE 1,785.00 03/12/2019 204805 OFFICE DEPOT OFFICE SUPPLIES - CEMETERY 59.18 03/12/2019 204806 OFFICE OF MN IT SERVICES JANUARY SERVICES - DMV 200.63 03/12/2019 204807 OPG-3, INC LF PROF SERVICES PROJECT: BLDG DEPT PERM 1,110.00 03/12/2019 204808 PAUSTIS WINE COMPANY FEBRUARY COST OF GOODS - LIQUOR STORE 2,267.50 03/12/2019 204809 PENMAC STAFFING SERVICES, INC. CREEKSIDE TEMP STAFFING 2/17-3/2 3,356.42 03/12/2019 204810 PHILIPS HEALTHCARE ADULT SMART PADS CARTRIDGES - VARIOUS DEPTS 217.75 03/12/2019 204811 PHILLIPS WINE & SPIRITS FEBRUARY COST OF GOODS - LIQUOR STORE 17,856.08 03/12/2019 204812 PINE PRODUCTS INC SINGLE GROUND MULCH - CREEKSIDE INVENTORY 4,025.00 03/12/2019 204813 PLOTZ, GINA REIMB: ICE SHOW MUSIC 36.95 03/12/2019 204814 POSTMASTER POSTAGE FOR UTILITY BILLS 1,520.00 03/12/2019 204815 PREMIER TECH CHRONOS REPAIR PARTS FOR CREEKSIDE BAGGING LINE 4,259.38 03/12/2019 204816 PREMIUM WATERS DELIVERED WATER - PARKS GARAGE 15.05 03/12/2019 204817 PRO AUTO MN INC. #660 2004 F350 REPAIRS - STREETS 360.74 03/12/2019 204818 QUILL CORP OFFICE SUPPLIES - POLICE DEPT 71.37 03/12/2019 204819 R & R SPECIALTIES INC FLOW INDICATOR W/ FEMALE COUPLE - CIVIC ARENA 153.00 03/12/2019 204820 RATH RACING INC DOORS/WINDOWS FOR FIRE TRAINING SITE 2,745.50 03/12/2019 204821 REFLECTIVE APPAREL FACTORY INC JACKETS WITH LOGOS - PUBLIC WORKS 344.65 03/12/2019 204822 REINER ENTERPRISES INC HAUL MATERIAL FROM KANDIYOHI TO CREEKSIDE 6,555.00 03/12/2019 204823 RIPPE PRINT COMMUNICATIONS WONDERBLEND & TOP SOIL REBATE SLIPS - CREEKSIDE 1,237.02 03/12/2019 204824 ROSENBAUER MN LLC ENGINE-7 ENVO GAUGE KIT- FIRE 945.48 03/12/2019 204825 ROUND LAKE VINEYARDS & WINERY FEBRUARY COST OF GOODS - LIQUOR STORE 216.00 03/12/2019 204826 RUNNING'S SUPPLY VARIOUS REPAIR & MAINTENANCE SUPPLIES 1,211.07 03/12/2019 204827 SAM'S TIRE SERVICE REPAIRS FOR CREEKSIDE CONVEYOR / STREETS 918.00 03/12/2019 204828 SCHIMMEL CONSTRUCTION LLC HRA LOAN: ANDREA MITCHELL 8,950.00 03/12/2019 204829 SOLUS LED LED LIGHTS FOR PARKS GARAGE 2,203.60 03/12/2019 204830 SOUTHERN WINE & SPIRITS OF MN FEBRUARY COST OF GOODS - LIQUOR STORE 7,902.77 03/12/2019 204831 STANDARD PRINTING-N-MAILING FEB UTILITY BILL SERVICE & 2/3-2/16 MAILING SERVICE 1,352.11 03/12/2019 204832 STAPLES ADVANTAGE VARIOUS OFFICE SUPPLIES 348.32 03/12/2019 204833 STAR TRIBUNE 3/10 - 6/9'19 Service Dates - CITY CENTER 126.36 03/12/2019 204834 STREICHER'S CLASS A UNIFORM BADGES (5) - POLICE 729.95 03/12/2019 204835 SYN-TECH SYSTEMS PHONE SUPPORT FOR HATS FUEL SYSTEM 33.75 03/12/2019 204836 TALKING WATERS BREW CO FEBRUARY COST OF GOODS - LIQUOR STORE 480.00 03/12/2019 204837 TASC 4/1/19-6/30/19 HSA ADM IN FEES 1,394.40 03/12/2019 204838 TEKLE, SIRAK UB refund for account: 3-680-7150-7-05 58.73 CHECK REGISTER A FOR CITY OF HUTCHINSON CHECK DATE FROM 2/27/19 - 3/12/19 Check Date Check Vendor Name Description Amount 03/12/2019 204839 TITAN MACHINERY FILTER, TANK, MIRROR -STREETS 160.46 03/12/2019 204840 TOWMASTER INC. #923 & #812: NYLON ORANGE MARKERS - STREETS 28.75 03/12/2019 204841 TRAVIS BRECHT REIMB: TRAVEL BASEBALL FEE - DIFF IN AGE GROUPS 20.00 03/12/2019 204842 TRI COUNTY WATER BOTTLE WATER DELIVERY - POLICE & CREEKSIDE 219.50 03/12/2019 204843 TRUE BRANDS FEBRUARY COST OF GOODS - LIQUOR STORE 378.18 03/12/2019 204844 VALLEY VIEW ELECTRIC, INC. ELEC. LABOR & MAT: FIRE HALL OFFICE PROJECT 1,568.60 03/12/2019 204845 VESSCO INC MAINTENANCE SUPPLIES - WTP 233.55 03/12/2019 204846 VIKING BEER FEBRUARY COST OF GOODS - LIQUOR STORE 8,469.30 03/12/2019 204847 VIKING COCA COLA FEBRUARY COST OF GOODS - LIQUOR STORE 447.20 03/12/2019 204848 VINOCOPIA INC MARCH COST OF GOODS - LIQUOR STORE 3,660.75 03/12/2019 204849 VIVID IMAGE ANNUAL WEBSITE UPDATES - CREEKSIDE 720.00 03/12/2019 204850 WASTE MANAGEMENT OF WI -MN 2/1 - 2/15 REFUSE DISPOSAL 4,760.58 03/12/2019 204851 WEST CENTRAL SHREDDING FEB SHREDDING FOR CITY CENTER & POLICE 93.00 03/12/2019 204852 WINE COMPANY, THE MARCH COST OF GOODS - LIQUOR STORE 749.20 03/12/2019 204853 WINE MERCHANTS INC FEBRUARY COST OF GOODS - LIQUOR STORE 1,383.19 03/12/2019 204854 WOLD ARCHITECTS & ENGINEERS NEW POLICE FACILITY DESIGN 85% COMPLETE 8,577.05 03/12/2019 204855 ZENON ENVIRONMENTAL CORPORATION PAY APP #3: WWTF MEMBRANE CASSETTE REPLACE 30,998.15 03/12/2019 204856 ZEP SALES AND SERVICE ZEP 40, ZEP ORANGE - HATS SUPPLIES 1,282.51 03/12/2019 204857 CHRISTENSEN, MARY REIMB: LODGING FOR LMC CONFERENCE 117.20 03/12/2019 204858 HALQUIST, DAVID REIMB: MILES TO SW CHAPTER & ICC SPRING 153.70 03/12/2019 204859 KENT, JOHN REIMB: WORK PANTS 178.80 03/12/2019 204860 SEPPELT, MILES REIMB: MILES & MEALS TO TRAINING & CONF 292.90 03/12/2019 204861 TRNKA, JAMES REIMB: MEALS FOR PRUNING CLASS IN DULUTH 22.14 Total- Check Disbursements: $ 626,842.89 HUTCHINSON CITY COUNCIL CityafA Request for Board Action Agenda Item: Public Hearing and 1st Reading -Revisions to Right -of -Way Ordinance Chapter 9g Department: PW/WW LICENSE SECTION Meeting Date: 3/12/2019 Application Complete N/A Contact: Kent Exner/John Paulson Agenda Item Type: Presenter: John Paulson Reviewed by Staff Public Hearing Time Requested (Minutes): 10 License Contingency Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: A Public Hearing to receive comments on proposed changes to Chapter 90 Right -of -Way Ordinance related to Small Wireless Facility Conditions. Comments received at the Public Hearing will be considered for incorporation into the Right -of -Way Management Ordinance. The Right -of -Way Ordinance is being revised in response to a Federal Communications Commission (FCC) ruling that requires local units of government that want to set aesthetic standards, that they be adopted and published by April 15, 2019. The League of Minnesota Cities Newsletter article regarding the FCC ruling is attached. Proposed changes are limited to Chapter 90.09.C, Small Wireless Facility Conditions. The Ordinance is attached for your reference. City staff revised the City's Right -of -Way Ordinance, Chapter 90, in June 2018. These changes were in response to Minnesota Legislation that was adopted during the 2017 session requiring cities to accommodate small cell use of the right-of-way. If no revisions to the ordinance is needed, City staff requests that the second reading of this ordinance occur at the March 26th meeting. City staff will be available to answer any questions that you may have. BOARD ACTION REQUESTED: Approve 1st Reading of Right -of -Way Ordinance revisions and set 2nd Reading for March 26th, 2019. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: Yes PROJECT SECTION: Total Project Cost: $ 0.00 Total City Cost: $ 0.00 Funding Source: Remaining Cost: $ 0.00 Funding Source: ORDINANCE NO. 19-796 AN ORDINANCE AMENDING CHAPTER 90 (RIGHT-OF-WAY MANAGEMENT) OF THE CITY OF HUTCHINSON CODE OF ORDINANCES ADDING LANGUAGE IN SECTION 90.09; THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA ORDAINS: Notice of hearing was duly given and publication of said hearing was duly made and was made to appear to the satisfaction of the City Council that it would be in the best interests of the City to amend the Right -of -Way Management Ordinance to amend language in Sections 90.09 of the City Code as follows: CHAPTER 90 RIGHT-OF-WAY MANAGEMENT § 90.01. Findings, Purpose, and Intent. To provide for the health, safety and welfare of its citizens, and to ensure the integrity of its streets and the appropriate use of the rights -of -way, the City strives to keep its rights -of -way in a state of good repair and free from unnecessary encumbrances. Accordingly, the City hereby enacts this new chapter of this code relating to right-of-way permits and administration. This chapter imposes reasonable regulation on the placement and maintenance of facilities and equipment currently within its rights -of -way or to be placed therein at some future time. It is intended to complement the regulatory roles of state and federal agencies. Under this chapter, persons excavating and obstructing the rights -of -way will bear financial responsibility for their work. Finally, this chapter provides for recovery of out-of- pocket and projected costs from persons using the public rights -of -way. This chapter shall be interpreted consistently with 1997 Session Laws, Chapter 123, substantially codified in Minnesota Statutes Sections 237.16, 237.162, 237.163, 237.79, 237.81, and 238.086 (the "Act") and 2017 Session Laws, Chapter 94 amending the Act and the other laws governing applicable rights of the City and users of the right-of-way. This chapter shall also be interpreted consistent with Minnesota Rules 7819.0050 7819.9950 and Minnesota Rules Chapter 7560 where possible. To the extent any provision of this chapter cannot be interpreted consistently with the Minnesota Rules, that interpretation most consistent with the Act and other applicable statutory and case law is intended. This chapter shall not be interpreted to limit the regulatory and police powers of the City to adopt and enforce general ordinances necessary to protect the health, safety and welfare of the public. § 90.02. Election to Manage the Public Rights -of -Way Pursuant to the authority granted to the City under state and federal statutory, administrative and common law, the City hereby elects, pursuant Minn. Stat. 237.163 subd. 2(b), to manage rights -of -way within its jurisdiction. § 90.03. Definitions. The following definitions apply in this chapter of this code. References hereafter to "sections" are, unless otherwise specified, references to sections in this chapter. Defined terms remain defined terms, whether or not capitalized. Abandoned Facility. A facility no longer in service or physically disconnected from a portion of the operating facility, or from any other facility, that is in use or still carries service. A facility is not abandoned unless declared so by the right-of-way user. Applicant. Any person requesting permission to excavate, obstruct, or operate a small wireless facility in a right-of-way. City. The City of Hutchinson, Minnesota. For purposes of Section 90.28, City also means the City's elected officials, officers, employees and agents. City Engineer. The City Engineer of the public works department of the City, or his or her designee. Collocate or Collocation. To install, mount, maintain, modify, operate, or replace a small wireless facility on, under, within, or adjacent to an existing wireless support structure or utility pole that is owned privately, or by the City or other governmental unit to minimize obstructions and impacts in the Right -of -Way. Commission. The State Public Utilities Commission. Congested Right -of -Way. A crowded condition in the subsurface of the public right-of-way that occurs when the maximum lateral spacing between existing underground facilities does not allow for construction of new underground facilities without using hand digging to expose the existing lateral facilities in conformance with Minnesota Statutes, section 216D.04 subdivision 3, over a continuous length in excess of five hundred (500) feet. Department. The department of public works of the City. Emergency. A condition that: (A) poses a danger to life or health, or of a significant loss of property; or (B) requires immediate repair or replacement of facilities in order to restore service to a customer. Equipment. Any tangible asset used to install, repair, or maintain facilities in any right-of-way. Excavate. To dig into or in any way remove or physically disturb or penetrate any part of a right-of-way. Excavation permit. The permit which, pursuant to this chapter, must be obtained before a person may excavate in a right-of-way. An Excavation permit allows the holder to excavate that part of the right-of-way described in such permit. Excavation permit fee. Money paid to the City by an applicant to cover the costs as provided in Section 90.13. Facility or Facilities. Any tangible asset in the right-of-way required to provide Utility Service. Local Representative. A local person or persons, or designee of such person or persons, authorized by a registrant to accept service and to make decisions for that registrant regarding all matters within the scope of this chapter. Management Costs. The actual costs the City incurs in managing its rights -of -way, including such costs, if incurred, as those associated with registering applicants; issuing, processing, and verifying right-of-way or small wireless facility permit applications; inspecting job sites and restoration projects; maintaining, supporting, protecting, or moving user facilities during right- of-way work; determining the adequacy of right-of-way restoration; restoring work inadequately performed after providing notice and the opportunity to correct the work; and revoking right-of- way or small wireless facility permits. Management costs do not include payment by a telecommunications right-of-way user for the use of the right-of-way, unreasonable fees of a third -party contractor used by the City including fees tied to or based on customer counts, access lines, or revenues generated by the telecommunications right-of-way user, or for the City, the fees and cost of litigation relating to the interpretation of Minnesota Session Laws 1997, Chapter 123; Minnesota Statutes Sections 237.162 or 237.163; or any ordinance enacted under those sections, or the City fees and costs related to appeals taken pursuant to Section 90.31 of this chapter. Micro Wireless Facility. A small wireless facility that is no larger than 24 inches long, 15 inches wide, and 12 inches high, and whose exterior antenna, if any, is no longer than 11 inches. Obstruct. To place any tangible object in a right-of-way so as to hinder free and open passage over that or any part of the right-of-way. Obstruction Permit. The permit which, pursuant to this chapter, must be obtained before a person may obstruct a right-of-way, allowing the holder to hinder free and open passage over the specified portion of that right-of-way, for the duration specified therein. Obstruction Permit Fee. Money paid to the City by a permittee to cover the costs as provided in Section 90.13 Patch or Patching. A method of pavement replacement that is temporary in nature. A patch consists of: (A) the compaction of the subbase and aggregate base, and (B) the replacement, in kind, of the existing pavement for a minimum of two feet beyond the edges of the excavation in all directions. Pavement. Any type of improved surface that is within the public right-of-way and that is paved or otherwise constructed with bituminous, concrete, aggregate, or gravel. Permit. Has the meaning given "right-of-way permit" in Minnesota Statutes, section 237.162. Permittee. Any person to whom a permit to excavate or obstruct a right-of-way has been granted by the City under this chapter. Person. An individual or entity subject to the laws and rules of this state, however organized, whether public or private, whether domestic or foreign, whether for profit or nonprofit, and whether natural, corporate, or political. Registrant. Any person who: (A) has or seeks to have its equipment or facilities located in any right-of-way, or (B) in any way occupies or uses, or seeks to occupy or use, the right-of-way or place its facilities or equipment in the right-of-way. Restore or Restoration. The process by which an excavated right-of-way and surrounding area, including pavement and foundation, is returned to the same condition and life expectancy that existed before excavation. Restoration Cost. The amount of money paid to the City by a permittee to achieve the level of restoration according to plates 1 to 13 of Minnesota Public Utilities Commission rules. Public Right -of -Way or Right -of -Way. The area on, below, or above a public roadway, highway, street, cartway, bicycle lane, multi -use trail or public sidewalk in which the City has an interest, including other dedicated rights -of -way for travel purposes and utility easements of the City. A right-of-way does not include the airwaves above a right-of-way with regard to cellular or other nonwire telecommunications or broadcast service. Right -of -Way Permit. Either the excavation permit or the obstruction permit, or both, depending on the context, required by this chapter. Right -of -Way User. (A)A telecommunications right-of-way user as defined by Minnesota Statutes, section 237.162, subd. 4; or (B) a person owning or controlling a facility in the right-of-way that is used or intended to be used for providing utility service, and who has a right under law, franchise, ordinance, or as authorized by the City to use the public right-of-way. Service or Utility Service. Includes: (A) those services provided by a public utility as defined in Minn. Stat. 216B.02, subds. 4 and 6; (B) services of a telecommunications right-of-way user, including transporting of voice or data information; (C) services of a cable communications systems as defined in Minn. Stat. Chapter. 238; (D) natural gas or electric energy or telecommunications services provided by the City; (E) services provided by a cooperative electric association organized under Minn. Stat., Chapter 308A; and (F) water, and sewer, including service laterals, steam, cooling or heating services. Service Lateral. An underground facility that is used to transmit, distribute or furnish gas, electricity, communications, or water from a common source to an end -use customer. A service lateral is also an underground facility that is used in the removal of wastewater from a customer's premises. Small Wireless Facility. (A) A wireless facility that meets both of the following qualifications: (1) each antenna is located inside an enclosure of no more than six (6) cubic feet in volume or could fit within such an enclosure; and (2) all other wireless equipment associated with the small wireless facility provided such equipment is, in aggregate, no more than twenty eight (28) cubic feet in volume, not including electric meters, concealment elements, telecommunications demarcation boxes, battery backup power systems, grounding equipment, power transfer switches, cutoff switches, cable, conduit, vertical cable runs for the connection of power and other services, and any equipment concealed from public view within or behind an existing structure or concealment. (B) A micro wireless facility. Supplementary Application. An application made to excavate or obstruct more of the right- of-way than allowed in, or to extend, a permit that had already been issued. Temporary Surface. The compaction of subbase and aggregate base and replacement, in kind, of the existing pavement only to the edges of the excavation. It is temporary in nature except when the replacement is of pavement included in the City's two-year plan, in which case it is considered full restoration. Telecommunications Right -of -Way User. A person owning or controlling a facility in the right-of-way, or seeking to own or control a facility in the right-of-way that is used or is intended to be used for providing wireless service, or transporting telecommunication or other voice or data information. For purposes of this chapter, a cable communication system defined and regulated under Minn. Stat. Chap. 238, and telecommunication activities related to providing natural gas or electric energy services, a public utility as defined in Minn. Stat. Sec. 216B.02, a municipality, a municipal gas or power agency organized under Minn. Stat. Chaps. 453 and 453A, or a cooperative electric association organized under Minn. Stat. Chap. 308A, are not telecommunications right-of-way users for purposes of this chapter except to the extent such entity is offering wireless service. Utility Pole. A structure that is: (A) owned or operated by: (1) a public utility; (2) a communications service provider; (3) a municipality; (4) an electric membership corporation; or (5) a rural electric cooperative; (B) and is designed and used to: (1) carry lines, cables, or wires for telephone, cable television, or electricity; or (2) provide lighting. Wireless Facility. Equipment at a fixed location that enables the provision of wireless services between user equipment and a wireless service network, including equipment associated with wireless service, a radio transceiver, antenna, coaxial or fiber-optic cable, regular and backup power supplies, and a small wireless facility, but not including wireless support structures, wireline backhaul facilities, or cables between utility poles or wireless support structures, or not otherwise immediately adjacent to and directly associated with a specific antenna. Wireless Service. Any service using licensed or unlicensed wireless spectrum, including the use of Wi-Fi, whether at a fixed location or by means of a mobile device, that is provided using wireless facilities. Wireless service does not include services regulated under Title VI of the Communications Act of 1934, as amended, including cable service. Wireless Support Structure. A new or existing structure in a right-of-way designed to support or capable of supporting small wireless facilities, as reasonably determined by the City. § 90.04 Administration. The City Engineer is the principal City official responsible for the administration of the rights -of - way, right-of-way permits, and the ordinances related thereto. The City Engineer may delegate any or all of the duties hereunder. § 90.05. Registration and Right -of -Way Occupancy. (A) Registration. Each person who occupies or uses, or seeks to occupy or use, the right-of- way or place any equipment or facilities in or on the right-of-way, including persons with installation and maintenance responsibilities by lease, sublease or assignment, must register with the City. Registration will consist of providing application information (B) Registration Prior to Work. No person may construct, install, repair, remove, relocate, or perform any other work on, or use any facilities or any part thereof, in any right-of-way without first being registered with the City. (C) Exceptions. Nothing herein shall be construed to repeal or amend the provisions of a City ordinance permitting persons to: (1) Plant or maintain boulevard plantings or gardens in the area of the right-of-way between their property and the street curb. Persons planting or maintaining boulevard plantings or gardens shall not be deemed to use or occupy the right-of-way, and shall not be required to obtain any permits or satisfy any other requirements for planting or maintaining such boulevard plantings or gardens under this chapter. However, nothing herein relieves a person from complying with the nuisance provisions of Hutchinson City Code or Minn. Stat. Chap. 216D, Gopher One Call Law. (2) Enter into a franchise agreement with the City. § 90.06. Registration Information. (A) Information Required. The information provided to the City at the time of registration shall include, but not be limited to: (1) Each registrant's name, Gopher One -Call registration certificate number, address and e-mail address, if applicable, and telephone and facsimile numbers. (2) The name, address and e-mail address, if applicable, and telephone and facsimile numbers of a local representative. The local representative or designee shall be available at all times. Current information regarding how to contact the local representative in an emergency shall be provided at the time of registration. (3) A certificate of insurance or self-insurance: (a) Verifying that an insurance policy has been issued to the registrant by an insurance company licensed to do business in the State of Minnesota, or a form of self-insurance acceptable to the City; (b) Verifying that the registrant is insured against claims for personal injury, including death, as well as claims for property damage arising out of the; (i) use and occupancy of the right-of-way by the registrant, its officers, agents, employees and permittees, and (ii) placement and use of facilities and equipment in the right-of-way by the registrant, its officers, agents, employees and permittees, including, but not limited to, protection against liability arising from completed operations, damage of underground facilities and collapse of property; (c) Naming the City as an additional insured as to whom the coverages required herein are in force and applicable and for whom defense will be provided as to all such coverages; (d) Requiring that the City be notified thirty (30) days in advance of cancellation of the policy or material modification of a coverage term; and (e) Indicating comprehensive liability coverage, automobile liability coverage, workers compensation and umbrella coverage established by the City in amounts sufficient to protect the City and the public and to carry out the purposes and policies of this chapter. (f) The City may require a copy of the actual insurance policies. (g) If the person is a corporation, a copy of the certificate is required to be filed under Minn. Stat. Sec. 300.06 as recorded and certified to by the Secretary of State. (h) A copy of the person's order granting a certificate of authority from the Minnesota Public Utilities Commission or other authorization or approval from the applicable state or federal agency to lawfully operate, where the person is lawfully required to have such authorization or approval from said commission or other state or federal agency. (B) Notice of Changes. The registrant shall keep all of the information listed above current at all times by providing to the City information as to changes within fifteen (15) days following the date on which the registrant has knowledge of any change. 90.07. Permit Requirement. (A) Permit Required. Except as otherwise provided in this code, no person may obstruct or excavate any right-of-way, or install or place facilities in the right-of-way, without first having obtained the appropriate right-of-way permit from the City to do so. It is a misdemeanor to construct or reconstruct a sidewalk, curb and gutter, driveway, roadway surfacing, small wireless facilities, or place obstructions in any street or other public property in the City without a permit. (1) Right -of -Way Excavation Permit. An excavation permit is required by a registrant to excavate that part of the right-of-way described in such permit and to hinder free and open passage over the specified portion of the right-of-way by placing facilities described therein, to the extent and for the duration specified therein. (2) Right -of -Way Obstruction Permit. An obstruction permit is required by a registrant to hinder free and open passage over the specified portion of right-of-way by placing equipment described therein on the right-of-way, to the extent and for the duration specified therein. An obstruction permit is not required if a person already possesses a valid excavation permit for the same project. (3) Right -of -Way Small Wireless Facility Permit. A small wireless facility permit is required by a registrant to erect or install a wireless support structure, to collocate a small wireless facility, or to otherwise install a small wireless facility in the specified portion of the right-of-way, to the extent specified therein, provided that such permit shall remain in effect for the length of time the facility is in use, unless lawfully revoked. (B) Permit Exceptions. A right-of-way permit is not required for: (1) A City employee acting within the course and scope of his or her employment; (2) A contractor acting within the course and scope of a contract with the City; or (3) A franchisee acting within the course and scope of its franchise from the City or other permission or authorization from the City. (C) Permit Extensions. No person may excavate or obstruct the right-of-way beyond the date or dates specified in the permit unless (1) such person makes a supplementary application for another right-of-way permit before the expiration of the initial permit, and (2) a new permit or permit extension is granted. (D) Permit Display. Permits issued under this chapter shall be conspicuously displayed or otherwise available at all times at the indicated work site and shall be available for inspection by the City. § 90.08. Permit Applications. Application for a permit is made to the City. Right-of-way permit applications shall contain, and will be considered complete only upon compliance with, the requirements of the following provisions: (A) Registration with the City pursuant to this chapter; (B) Submission of a completed permit application form, including all required attachments, and scaled drawings showing the location and area of the proposed project and the location of all known existing and proposed facilities. (C) Payment of money due the City for: (1) permit fees, estimated restoration costs and other management costs; (2) prior obstructions or excavations; (3) any undisputed loss, damage, or expense suffered by the City because of applicant's prior excavations or obstructions of the rights -of -way or any emergency actions taken by the City; (4) franchise fees, collocation fees, or other charges, if applicable. § 90.09. Issuance of Permit; Conditions. (A) Permit Issuance. If the applicant has satisfied the requirements of this chapter, the City shall issue a permit. (B) Conditions. The City may impose reasonable conditions upon the issuance of the permit and the performance of the applicant thereunder to protect the health, safety and welfare or when necessary to protect the right-of-way and its current use. In addition, a permittee shall comply with all requirements of local, state and federal laws, including but not limited to Minnesota Statutes §§ 216D.01 - .09 (Gopher One Call Excavation Notice System) and Minnesota Rules Chapter 7560. (C) Small Wireless Facility Conditions. In addition to (B) Conditions above, the erection or installation of a wireless support structure, the collocation of a small wireless facility, or other installation of a small wireless facility in the right-of-way, shall be subject to the following conditions: (1) A small wireless facility shall only be collocated on the particular wireless support structure, under those attachment specifications, and at the height indicated in the applicable permit application. (2) No new wireless support structure installed within the right-of-way shall exceed fifty (50) feet in height without the City's written authorization, provided that the City may deny a permit to protect the public health, safety and welfare or to protect the right-of-way and its current use, and further provided that a registrant may replace an existing wireless support structure exceeding fifty (50) feet in height with a structure of the same height subject to such conditions or requirements as may be imposed in the applicable permit. (3) Wireless facilities constructed in the right-of-way after May 31, 2017, may not extend more than (10) feet above an existing wireless support structure in place as of May 31, 2017. . No wireless facility on a wireless support structure installed after Mav 31.2017 shall exceed (50) feet in total combined height. (4) Where an applicant proposes to install a new, or replace an existing utility pole for use as a wireless support structure in the right-of-way, the small wireless facilities and wireless support structures shall be located no closer than 50 feet away, radiallyy, from another small wireless facility and wireless support structure, utility_pole, other facilities in the right -of -way -,or private building structures located outside of the right-of-way. (5) Where an applicant proposes collocation on a decorative wireless support structure, sign or other structure not intended to support small wireless facilities, the City may impose reasonable requirements to accommodate the particular design, appearance or intended purpose of such structure. (6) Where an applicant proposes to install a new or replacement wireless support structure, the City may impose reasonable restocking, replacement, or relocation requirements on the replacement of such structure. (7) Maintenance and Modifications (a) Coordination of Maintenance and Equipment Upgrade Activities - Prior to telecommunication right-of-way user engaging in planned or routine maintenance activities, or equipment upgrades with equipment that is substantially similar or smaller in size, weight, height, and wind or structural loading concerning small wireless facility equipment attached to a City, County, or Utility owned pole, telecommunication right-of-way user shall provide twenty (20) days advance notice to the City in order to coordinate such maintenance activities or other public safety functions. Such twenty (20) day advance notice shall not be required in the case of an emergency. (b) Prior to making any other modifications to the small wireless facility described in Section 7 (A) above, other than maintenance and repair of site specific small wireless facility equipment as provided in the Small Wireless Facility Collocation Agreement, telecommunication right-of-way user shall file a Right -of -Way Small Wireless Facility Permit Application with the City describing the proposed modifications. The City shall review the Right -of -Way Small Wireless Facility Permit Application pursuant to the terms and conditions in the Small Wireless Facility Collocation Agreement, and if approved such Right -of -Way Small Wireless Facility Permit Application shall be attached as an Exhibit and made a part thereto. Any additional site modifications shall be incorporated thereto in the same manner. (8) All Small Wireless Facility installations within a historic district shall be stealth installations subject to the review of the Minnesota State Historic Preservation Office (SHPO) in order to satisfy that the installations are compatible with the regulations applicable to the district. Telecommunications right-of-way users shall implement design concepts, and the use of camouflage or stealth materials, as necessary in order to achieve compliance with SHPO review, the City's and other applicable regulations as amended. Prior to submitting a Right -of -Way Small Wireless Facility Permit Application for an installation proposed in a historic district, the applicant shall meet with SHPO to discuss any potential design modifications appropriate for the installation. (9) All Small Wireless Facility installations within the right-of-way shall be allowed in all zoning districts, except that an applicant may only install a new wireless support structure by conditional use permit in the following zoning districts: (a) R-1, single-family residential; (b) R-2, medium density residential; (c) R-3, medium -high density residential; (d) R-4, high density residential; (10) All Small Wireless Facilities installations within the right-of-way shall comply with the following aesthetic requirements: (a) Antennas (i) Each small wireless antenna shall be located entirely within a shroud or canister type enclosure. (ii) The enclosure shall not exceed six cubic feet in volume. (iii)All antenna enclosures shall either be mounted to the top of the wireless support structure pole and aligned with the centerline of the wireless support structure, or mounted to the side of the wireless support structure such that the vertical centerline of the antenna enclosure shall be parallel with the wireless support structure with the height of the side mounted antenna being at a location on the wireless support structure noted in the application and approved by the City, but at least 10 feet above ground level at its lowest op int. (iv)Tree "topping" or the improper pruning of trees is prohibited. Any proposed pruning or removal of trees, shrubs or other landscaping already existing in the ROW must be noted in the application and must be approved by the City_. (b) Cables and Wires. All cables, wires and connectors related to the small wireless facility must be fully concealed on the wireless support structure and shall match the color of the wireless support structure. There shall be no external cables and wires related to the small wireless facility hanging off or otherwise exposed on the wireless sunnort structure. Cables and wires shall be routed inside the wireless support structure whenever possible. (c) Colors. All colors shall match the background of any wireless support structure that the facilities are located upon. New wireless support structures shall be shop painted black. Notwithstanding the foregoing, in the case of existing wood utility poles, finishes of conduit shall be zinc, aluminum or stainless steel, or colored to match those metal finishes, and equipment cabinets shall be the color of brushed aluminum. (d) Equipment Enclosures/Concealment (i) Ground -mounted equipment shall incorporate concealment elements into the proposed design ig using materials or colors that are approved by the City. Concealment may include, but shall not be limited to, landscaping and strategic placement in less obtrusive locations. (ii) Radio equipment shall be fully enclosed within an equipment cabinet or concealed within the antenna shroud enclosure matching the color and materials of the wireless support structure, unless other materials or colors are approved by the City. (e) Signage, Logos, Lights, Decals, Cooling Fans (i) Signage. The small wireless facilitypermittee shall post its name, location identifying information, and emergency telephone number in an area on the cabinet of the small wireless facility that is visible to the public. Signage required under this section shall not exceed 4 inches by 6 inches, unless otherwise required b, law e.g. radio -frequency (RF) ground notification signs) or the City. If no cabinet exists, the signage shall be placed at the base of the pole. (ii) Lights: New small wireless facilities and wireless support structures shall not be illuminated, except in accord with local, state, or federal regulations. (iii)Logos/Decals: The small wireless facility perator/permittee shall remove or paint over unnecessary quipment manufacturer decals. The color shall match the wireless support structure or shall be as approved by the City. Small wireless facilities and wireless support structures shall not include advertisements and may only display information required by a federal, state or local agency. The small wireless facilityoperator/permittee shall utilize the smallest and lowest visibility RF warning sticker required by government or electric utility regulations. Placement of the RF sticker shall be as close to the antenna as possible. (iv)Cooling Fans: In residential areas, the small wireless facility operator/permittee shall use a passive cooling system. In the event that a fan is needed, the small wireless facility operator/permittee shall use a cooling fan with a low noise profile. (D) Small Wireless Facility Collocation Agreement. A small wireless facility shall only be collocated on a small wireless support structure owned or controlled by the City, or any other City asset in the right-of-way, after the applicant has executed a standard small wireless facility collocation agreement with the City. The standard collocation agreement may require fees in accordance with M.S. §237.162, Subd. 6(g) and the City fee schedule as they may be amended from time to time, and: (1) Up to $150 per year for rent to collocate on the City structure. (2) $25 per year for maintenance associated with the collocation; (3) A monthly fee for electrical service as follows: (a) $73 per radio node less than or equal to 100 maximum watts; (b) $182 per radio node over 100 maximum watts; or (c) The actual costs of electricity, if the actual cost exceed the foregoing. The standard collocation agreement shall be in addition to, and not in lieu of, the required right-of-way small wireless facility permit, provided, however, that the applicant shall not be additionally required to obtain a license or franchise in order to collocate. Issuance of a right-of-way small wireless facility permit does not supersede, alter or affect any then - existing agreement between the City and applicant, § 90.10 Action on Right -of -Way Small Wireless Facility Permit Applications. (A) Deadline for Action. The City shall approve or deny a right-of-way small wireless facility permit application within ninety (90) days after filing of such application. The right-of-way small wireless facility permit, and any associated building permit application, shall be deemed approved if the City fails to approve or deny the application within the review periods established in this section. (B) Consolidated Applications. An applicant may file a consolidated right-of-way small wireless facility permit application addressing the proposed collocation of up to fifteen (15) small wireless facilities, or a greater number if agreed to by the City, provided that all small wireless facilities in the application: (1) are located within a two-mile radius; (2) consist of substantially similar equipment; and (3) are to be placed on similar types of wireless support structures. In rendering a decision on a consolidated permit application, the City may approve some small wireless facilities and deny others, but may not use denial of one or more permits as a basis to deny all small wireless facilities in the application. § 90.11. Permit Fees. (A)Excavation Permit Fee. The City shall impose an excavation permit fee in an amount sufficient to recover management costs. (B) Obstruction Permit Fee. The City shall impose establish an obstruction permit fee in an amount sufficient to recover management costs. (C) Small Wireless Facility Permit Fee. The City shall impose a small wireless facility permit fee in an amount sufficient to recover: (1) management costs, and; (2) City engineering, make-ready, and construction costs associated with collocation of small wireless facilities. (D) Payment of Permit Fees. No right of way permit shall be issued without payment of all applicable permit fees. The City may allow applicant to pay such fees within thirty (30) days of billing. (E) Non Refundable. Permit fees that were paid for a permit that the City has revoked for a breach as stated in Section 90.23 are not refundable. (F) Application to Franchises. Unless otherwise agreed to in a franchise, management costs may be charged separately from and in addition to the franchise fees imposed on a right- of-way user in the franchise. 90.12. Right -of -Way Patching, Restoration, and Construction (A) Timing. The work to be done under the right-of-way permit, and the patching and restoration of the right-of-way as required herein, must be completed within the dates specified in the permit, increased by as many days as work could not be done because of circumstances beyond the control of the permittee or when work was prohibited as unseasonal or unreasonable under Section 90.17. (B) Patch and Restoration. Permittee shall patch its own work. The City may choose either to have the permittee restore the right-of-way or to restore the right-of-way itself. (1) City Restoration. If the City restores the right-of-way, permittee shall pay the costs thereof within thirty (30) days of billing. Upon receipt of the Right -of -Way Permit Application, the City Engineer shall cause investigation to be made as he or she may deem necessary to determine estimated cost of repair, such as backfilling, compacting, resurfacing and replacement, and the conditions as to the time of commencement of work, manner of procedure and time limitation upon the excavation. The foregoing estimated costs shall include permanent and temporary repairs due to weather or other conditions, and the cost of the investigation shall be included in the estimate. Payment of the estimated costs shall be made before the permit is issued. If, following such restoration, the pavement settles due to permittee's improper backfilling, the permittee shall pay to the City, within thirty (30) days of billing, all costs associated with correcting the defective work. (2) Permittee Restoration. If the permittee restores the right-of-way itself, all construction and reconstruction of roadway surfacing, sidewalk and curb and gutter improvements, including curb cuts, shall be strictly in accordance with specifications and standards on file in the office of the City Engineer and open to inspection and copying there. The specifications and standards may be amended from time to time by the City, but shall be uniformly enforced. (C) Sidewalk, Curb and Gutter; Construction. Methods of procedure: (1) Primary responsibility. It is the primary responsibility of the owner of property upon which there is abutting any sidewalk to keep and maintain that sidewalk in safe and serviceable condition. (2) Notice; no emergency. Where, in the opinion of the City Engineer, no emergency exists, notice of the required repair or reconstruction shall be given to the owner of the abutting property. The notice shall require completion of the work within ninety (90) days, and shall be mailed to the owner or owners shown to be owners on the records of the county officer who mails tax statements. (3) Notice; emergency. Where, in the opinion of the City Engineer, an emergency exists, notice of the required repair or reconstruction shall be given to the owner of the abutting property. The notice shall require completion of the work within ten days, and shall be mailed to the owner or owners shown to be owners on the records of the county officer who mails tax statements. (4) Failure of owner to reconstruct or make repairs. If the owner of the abutting property fails to make repairs or accomplish reconstruction as herein required, the City Engineer shall report that failure to the Council and the Council may order the work to be done under its direction and the cost thereof assessed to the abutting property owner as any other special assessment. (5) Abutting or affected property owners may contract for, construct or reconstruct roadway surfacing, sidewalk or curb and gutter in accordance with this section if advance payment is made therefor or arrangements for payment considered adequate by the City are completed in advance. (6) With or without petition by the methods set forth in the Local Improvement Code of Minnesota Statutes, M.S. Ch. 429, as it may from time to time be amended. (D) Curb Setback. (1) Permit required. It is a misdemeanor for any person to hereafter remove, or cause to be removed, any curb from its position abutting upon the roadway to another position without first making application to the Council and obtaining a permit therefor. (2) Agreement required. (a) No permit shall be issued until the applicant, and the abutting landowner if other than the applicant, shall enter into a written agreement with the City agreeing to pay all costs of constructing and maintaining the setback area in at least as good condition as the abutting roadway, and further agreeing to demolish and remove the setback and reconstruct the area to its previous condition at the expense of the landowner, or his or her heirs or assigns, if the area ever, in the City's opinion, becomes a public hazard. (b) This agreement shall be recorded in the office of the County Recorder, and shall run with the adjoining land. (3) Signposting. "Angle Parking Only" signs shall be purchased from the City and erected and maintained at the expense of the adjoining landowner in all setback areas of this type now in use or hereafter constructed. It is unlawful for any person to park other than at an angle in these setback areas, as angle parking is described and allowed in this code of ordinances. (4) Public rights preserved. Setback parking areas shall be kept open for public parking, and the abutting landowner shall at no time acquire any special interest or control of or in these areas. (E) Standards. The permittee shall perform excavation, backfilling, patching and restoration according to the standards and with the materials specified by the City and shall comply with Minnesota Rule 7819.1100. (F) Duty to Correct Defects. The permittee shall correct defects in patching or restoration performed by permittee or its agents. The permittee upon notification from the City, shall correct all restoration work to the extent necessary, using the method required by the City. Said work shall be completed within five (5) calendar days of the receipt of the notice from the City, not including days during which work cannot be done because of circumstances constituting force majeure or days when work is prohibited as unseasonable or unreasonable under Section 90.17. (G)Failure to Restore. If the permittee fails to restore the right-of-way in the manner and to the condition required by the City, or fails to satisfactorily complete all restoration required by the City in a timely manner, the City at its option may do such work. In the event that work is not performed in accordance therewith, or shall cease or be abandoned without due cause, the City may, after giving notice to the holder of the permit of its intention to do so, correct the work, fill the excavation and repair the public property, and the cost thereof shall be paid by the person holding the permit. (H) Cost Adjustment. Within sixty (60) days following completion of the permanent repairs, the City Engineer shall determine actual costs of repairs, including cost of investigation, and prepare and furnish to the permit holder an itemized statement thereof and claim additional payment from, or make refund (without interest) to, the permit holder, as the case may be. (I) Alternate Method of Charging. In lieu of the above provisions relating to cost and cost adjustment for street openings, the City may charge on the basis of surface square feet removed, excavated cubic feet or a combination of surface square feet and excavated cubic feet, on an established unit price uniformly charged. § 90.13. Joint Applications. (A)Joint application. Registrants may jointly apply for permits to excavate or obstruct the right-of-way at the same place and time. (B) Shared fees. Registrants who apply for permits for the same obstruction or excavation, which the City does not perform, may share in the payment of the obstruction or excavation permit fee. In order to obtain a joint permit, registrants must agree among themselves as to the portion each will pay and indicate the same on their applications. (C) With City projects. Registrants who join in a scheduled obstruction or excavation performed by the City, whether or not it is a joint application by two or more registrants or a single application, are not required to pay the excavation or obstruction and degradation portions of the permit fee, but a permit would still be required. § 90.14. Supplementary Applications. (A)Limitation on Area. A right-of-way permit is valid only for the area of the right-of-way specified in the permit. No permittee may do any work outside the area specified in the permit, except as provided herein. Any permittee which determines that an area greater than that specified in the permit must be obstructed or excavated must before working in that greater area (i) make application for a permit extension and pay any additional fees required thereby, and (ii) be granted a new permit or permit extension. (B) Limitation on Dates. A right-of-way permit is valid only for the dates specified in the permit. No permittee may begin its work before the permit start date or, except as provided herein, continue working after the end date. If a permittee does not finish the work by the permit end date, it must apply for a new permit for the additional time it needs, and receive the new permit or an extension of the old permit before working after the end date of the previous permit. This supplementary application must be submitted before the permit end date. § 90.15. Other Obligations. (A) Compliance with Other Laws. Obtaining a right-of-way permit does not relieve permittee of its duty to obtain all other necessary permits, licenses, and authority and to pay all fees required by the City or other applicable rule, law or regulation. A permittee shall comply with all requirements of local, state and federal laws, including but not limited to Minnesota Statutes, Section 216D.01-.09 (Gopher One Call Excavation Notice System) and Minnesota Rules Chapter 7560. A permittee shall perform all work in conformance with all applicable codes and established rules and regulations, and is responsible for all work done in the right-of-way pursuant to its permit, regardless of who does the work. (B) Prohibited Work. Except in an emergency, and with the approval of the City, no right-of- way obstruction or excavation may be done when seasonally prohibited or when conditions are unreasonable for such work. (C) Interference with Right -of -Way. A permittee shall not so obstruct a right-of-way that the natural free and clear passage of water through the gutters or other waterways shall be interfered with. Private vehicles of those doing work in the right-of-way may not be parked within or next to a permit area, unless parked in conformance with City parking regulations. The loading or unloading of trucks must be done solely within the defined permit area unless specifically authorized by the permit. (D) Trenchless excavation. As a condition of all applicable permits, permittees employing trenchless excavation methods, including but not limited to Horizontal Directional Drilling, shall follow all requirements set forth in Minnesota Statutes Chapter 216D and Minnesota Rules Chapter 7560 and shall require potholing or open cutting over existing underground utilities before excavating, as determined by the City Engineer. (E) Obstructions in Right -of -Way. It is a misdemeanor for any person to place, deposit, display or offer for sale, any fence, goods or other obstructions upon, over, across or under any street without first having obtained a written permit from the Council, and then only in compliance in all respects with the terms and conditions of that permit, and taking precautionary measures for the protection of the public. An electrical cord or device of any kind is hereby included, but not by way of limitation, within the definition of an obstruction. (1) Fires. It is a misdemeanor for any person to build or maintain a fire upon a right-of- way. (2) Dumping in Streets. (a) It is a misdemeanor for any person to throw or deposit in any street any nails, dirt, glass or glassware, cans, discarded cloth or clothing, metal scraps, garbage, leaves, grass or tree limbs, paper or paper products, shreds or rubbish, oil, grease or other petroleum products, or to empty any water containing salt or other injurious chemical thereon, except for leaves raked into the gutter line specifically for and in compliance with a municipal leaf pick up program. (b) It is a violation of this section to haul any material of this type, inadequately enclosed or covered, thereby permitting the same to fall upon streets. (c) It is also a violation of this section to place or store any building materials or waste resulting from building construction or demolition on any street without first having obtained a written permit from the City. (3) Signs and Other Structures. It is a misdemeanor for any person to place or maintain a sign, advertisement or other structure in any street without first having obtained a written permit from the City. In a district zoned for commercial or industrial enterprises, special permission allowing an applicant to erect and maintain signs overhanging the street may be granted upon terms and conditions as may be set forth in the zoning or construction provisions in Title XV of this code of ordinances. (4) Placing Snow or Ice in a Roadway or on a Public Sidewalk or Trail. (a) It is a misdemeanor for any person not acting under a specific contract with the City, or without special permission from the City Administrator, to remove snow or ice from private property and place the same in any roadway. Snow or ice on driveways, sidewalks and the like shall not be pushed across traveled portions of roadways and may only be stored on private property or on rights -of -way adjacent to the private property. The City may assess the cost of removal of snow or ice against the affected property owner pursuant to the provisions of § 90.32, (C) of this chapter. (b) Where permission is granted by the City Administrator, the person to whom that permission is granted shall be initially responsible for payment of all direct or indirect costs of removing the snow or ice from the street or sidewalk. If not paid, collection shall be by civil action or assessment against the benefitted property as any other special assessment. (F) Uses of Right -of -Way. Purpose: Rights -of -way provide many public benefits, including providing for placement of utilities, roadway safety and maintenance, and access to and protection of private property. Therefore, the City of Hutchinson regulates utilization of rights -of -way to retain these and other public benefits of rights -of -way. (1) Authority, permission and procedure. Upon an application duly made to the City Administrator and reviewed and recommended by the City Engineer, the Council may, in its discretion, grant special permission whereby on -street parking or the use of City owned parking lots or ramps or public sidewalks may be temporarily or permanently prohibited or restricted for private reasons and purposes (including, but not limited to, establishment of private or leased parking, loading zones or benches) at places, on terms and for consideration as the Council may deem just and equitable. In establishing the amount of the consideration to be paid to the City, the Council shall consider the amount of space, location thereof, if any, public inconvenience and hazards to persons or property. Upon complaint of any aggrieved person at any time and by reason of any specific special permission so granted, the Council shall, at its next regular meeting after receipt of the complaint, call a hearing thereon to be held after ten days' notice in writing to applicant and complainant and published notice at least ten days prior to the hearing. After the hearing, the Council shall by resolution decide whether to terminate, continue or redefine the terms of the permission, and the decision shall be final and binding on all persons directly or indirectly interested therein; except that, the Council may, on its own motion, reconsider the same. (2) Permanent and semi -permanent fixtures in rights -of -way require a franchise from the City. Franchise agreements for permanent or semi -permanent fixtures must be approved by the City Council. Other uses of rights -of -way may be regulated by permit or ordinance as the Council sees fit. (3) Permanent and semi -permanent fixtures shall include, but are not limited to, the following: (a) Fixtures that are affixed to the ground by posts or foundations. (b) Fixtures not affixed to the ground, but of size, mass, and/or dimension that may adversely affect the public function of the right-of-way. (c) Fixtures specifically exempt from the definition of permanent or semi -permanent fixtures include: (i) Traffic control devices placed by a road authority, as defined by Minnesota Statute 160.02. (ii) Boulevard trees and landscaping features approved by a road authority. (iii)Fixtures required to provide municipal utilities. (4) Permanent and semi -permanent fixtures shall conform to the following requirements: (a) After placement of a fixture, there shall remain at least six (6) feet of unobstructed sidewalk in commercial districts and four (4) feet of unobstructed sidewalk in residential and industrial districts where sidewalk exists. In all cases where trails exist, ten (10) feet of unobstructed trail shall remain. (b) Fixtures shall not block any traffic control device and shall not exceed thirty (30) inches in height within the sight triangle area, defined as: that triangular area formed by the hypotenuse of measurements twenty-five (25) feet each direction from the intersection of corner property lines. A greater distance may be required as determined by the City. (c) Fixtures shall not pose unreasonable safety hazards because of the type of materials, objects or property placed within rights -of -way. (d) Fixtures shall not unreasonably restrict other necessary or beneficial uses of rights -of -way. (e) Nothing herein shall prohibit: (i) The repair of fixtures and related appurtenances placed within rights -of -way by existing franchisees, a road authority, or municipal utilities. (ii) The placement of mailboxes approved by the United States Postal Service. (iii)The placement of driveways and accesses to private property otherwise permitted. (5) Maintenance of rights -of -way. (a) Work to maintain properties within rights -of -way is allowed by the City and franchisees, as governed by Code Section 90.04. (b) Materials, objects or property may be placed in rights -of -way by the City or under permit from the City in association with community and special events. (c) Landscape restoration by the City and franchisees shall consist of restoring disturbed areas within rights -of -way with turf grasses. (6) Other uses of rights -of -way. (a) No use of rights -of -way shall cause a nuisance, hazard, danger, or sight obstruction for any traffic, vehicles, pedestrians, or bicyclists using the right-of- way. The City may at its discretion remove, or order to be removed, at the owners expense, any property causing such nuisance, hazard, danger or sign obstruction and/or require appropriate warnings be placed. (b) The owner of property placed within rights -of -way shall be liable for any damage, theft, vandalism, etc. of any fixture, item, object or property placed within rights -of -way or any damage caused thereby. The owner of any such property so placed shall hold the City harmless in any claims therefor. (7) Unlawful acts. It is unlawful for any person to park or otherwise infringe upon a grant of right under this section, when clearly and distinctly marked or signposted. It is unlawful for any person not granted such a right to assert the same, or for any grantee of such a right to exceed the same under claim thereto. (8) Condition. Before granting any permit under any of the provisions of this section, the Council may impose insurance or bonding conditions thereon as it, considering the projected danger to public or private property or to persons, deems proper for safeguarding those persons and property. The insurance or bond shall also protect the City from any suit, action or cause of action arising by reason thereof. (9) Curb and Gutter, Street and Sidewalk Painting or Coloring. It is unlawful for any person to paint, letter or color any street, sidewalk or curb and gutter for advertising purposes, or to paint or color any street, sidewalk or curb and gutter for any purpose, except as the same may be done by City employees acting within the course or scope of their employment; provided, however, that, this provision shall not apply to uniformly coloring concrete or other surfacing, or uniformly painted house numbers, as that coloring may be approved by the City Administrator. § 90.16. Denial or Revocation of Permit. (A) Reasons for Denial. The City may deny a permit for failure to meet the requirements and conditions of this chapter or if the City determines that the denial is necessary to protect the health, safety, and welfare or when necessary to protect the right-of-way and its current use. (B) Procedural Requirements. The denial or revocation of a permit must be made in writing and must document the basis for the denial. The City must notify the applicant or right- of-way user in writing within three business days of the decision to deny or revoke a permit. If an application is denied, the right-of-way user may address the reasons for denial identified by the City and resubmit its application. If the application is resubmitted within thirty (30) days of receipt of the notice of denial, no additional application fee shall be imposed. The City must approve or deny the resubmitted application within thirty (30) days after submission. 90.17. Installation Requirements. (A) Standards for Installation. The excavation, backfilling, patching and restoration, and all other work performed in the right-of-way shall be done in conformance with Minnesota Rules 7819.1100 and 7819.5000 and other applicable local requirements, in so far as they are not inconsistent with the Minnesota Statutes, Sections 237.162 and 237.163. Installation of service laterals shall be performed in accordance with Minnesota Rules Chapter 7560 and these ordinances. Service lateral installation is further subject to those requirements and conditions set forth by the City in the applicable permits and/or agreements referenced in Section 90.24 (B) of this ordinance. (B) Requirement of Sewer and Water Laterals. No petition for the improvement of a street shall be considered by the Council if the petition contemplates constructing therein any part of a pavement or stabilized base, or curb and gutter, unless all sewer and water main installations shall have been made therein, including the installation of service laterals to the curb, if the area along the street will be served by those utilities installed in the street. (C) Sewer System Service and Water Main Service Laterals. No sewer system shall be hereafter constructed or extended unless service laterals to platted lots and frontage facing thereon shall be extended simultaneously with construction of mains. (D) Waiver. The Council may waive the requirements of this section only if it finds the effects thereof are burdensome and upon notice and hearing as the Council may deem necessary or proper. § 90.18. Inspection. (A)Notice of Completion. When the work under any permit hereunder is completed, the permittee shall furnish a notice of completion or have a final inspection performed by the City. (B) Site Inspection. Permittee shall make the work -site available to the City and to all others as authorized by law for inspection at all reasonable times during the execution of and upon completion of the work. The City Engineer shall inspect improvements as deemed necessary or advisable. Any work not done according to the applicable specifications and standards shall be removed and corrected at the expense of the permit holder. Any work done hereunder may be stopped by the City Engineer if found to be unsatisfactory or not in accordance with the specifications and standards, but this shall not place a continuing burden upon the City to inspect or supervise this type of work. (C) Authority of City Engineer. (1) At the time of inspection, the City Engineer may order the immediate cessation of any work which poses a serious threat to the life, health, safety or well-being of the public. (2) The City Engineer may issue an order to the permittee for any work that does not conform to the terms of the permit or other applicable standards, conditions, or codes. The order shall state that failure to correct the violation will be cause for revocation of the permit. Within ten (10) days after issuance of the order, the permittee shall present proof to the City Engineer that the violation has been corrected. If such proof has not been presented within the required time, the City Engineer may revoke the permit pursuant to Section 90.23. § 90.19. Work Done Without a Permit. (A) Emergency Situations. Each registrant shall immediately notify the City Engineer of any event regarding its facilities that it considers to be an emergency. The registrant may proceed to take whatever actions are necessary to respond to the emergency. Excavators' notification to Gopher State One Call regarding an emergency situation does not fulfill this requirement. Within two (2) business days after the occurrence of the emergency, the registrant shall apply for the necessary permits, pay the fees associated therewith, and fulfill the rest of the requirements necessary to bring itself into compliance with this chapter for the actions it took in response to the emergency. If the City becomes aware of an emergency regarding a registrant's facilities, the City will attempt to contact the local representative of each registrant affected, or potentially affected, by the emergency. In any event, the City may take whatever action it deems necessary to respond to the emergency, the cost of which shall be borne by the registrant whose facilities occasioned the emergency. (B) Non -Emergency Situations. Except in an emergency, any person who, without first having obtained the necessary permit, obstructs or excavates a right-of-way must subsequently obtain a permit and, as a penalty, pay double the normal fee for said permit, pay double all the other fees required by the City code, deposit with the City the fees necessary to correct any damage to the right-of-way, and comply with all of the requirements of this chapter. § 90.20. Supplementary Notification. If the obstruction or excavation of the right-of-way begins later or ends sooner than the date given on the permit, permittee shall notify the City of the accurate information as soon as this information is known. § 90.21. Revocation of Permits. (A) Substantial Breach. The City reserves its right, as provided herein, to revoke any right-of- way permit without a fee refund, if there is a substantial breach of the terms and conditions of any statute, ordinance, rule or regulation, or any material condition of the permit. A substantial breach by permittee shall include, but shall not be limited to, the following: (1) The violation of any material provision of the right-of-way permit; (2) An evasion or attempt to evade any material provision of the right-of-way permit, or the perpetration or attempt to perpetrate any fraud or deceit upon the City or its citizens; (3) Any material misrepresentation of fact in the application for a right-of-way permit; (4) The failure to complete the work in a timely manner, unless a permit extension is obtained or unless the failure to complete work is due to reasons beyond the permittee's control; or (5) The failure to correct, in a timely manner, work that does not conform to a condition indicated on an order issued pursuant to Section 90.20. (B) Written Notice of Breach. If the City determines that the permittee has committed a substantial breach of a term or condition of any statute, ordinance, rule, regulation or any condition of the permit, the City shall make a written demand upon the permittee to remedy such violation. The demand shall state that continued violations may be cause for revocation of the permit. A substantial breach, as stated above, will allow the City, at its discretion, to place additional or revised conditions on the permit to mitigate and remedy the breach. (C) Response to Notice of Breach. Within fourty-eight (48) hours of receiving notification of the breach, permittee shall provide the City with a plan, acceptable to the City, that will cure the breach. Permittee's failure to so contact the City, or permittee's failure to timely submit an acceptable plan, or permittee's failure to reasonably implement the approved plan, shall be cause for immediate revocation of the permit. (D) Reimbursement of City costs. If a permit is revoked, the permittee shall also reimburse the City for the City's reasonable costs, including restoration costs and the costs of collection and reasonable attorneys' fees incurred in connection with such revocation. § 90.22. Mapping Data. (A) Information Required. Each registrant and permittee shall provide mapping information required by the City in accordance with Minnesota Rules 7819.4000 and 7819.4100. Within ninety (90) days following completion of any work pursuant to a permit, the permittee shall provide the City Engineer accurate maps and drawings certifying the "as -built" location of all equipment installed, owned and maintained by the permittee. Such maps and drawings shall include the horizontal and vertical location of all facilities and equipment and shall be provided consistent with the City's electronic mapping system, when practical or as a condition imposed by the City Engineer. Failure to provide maps and drawings pursuant to this subsection shall be grounds for revoking the permit holder's registration. (B) Service Laterals. All permits issued for the installation or repair of service laterals, other than minor repairs as defined in Minnesota Rules 7560.0150 subpart 2, shall require the permittee's use of appropriate means of establishing the horizontal locations of installed service laterals and the service lateral vertical locations in those cases where the City Engineer reasonably requires it. Permittees or their subcontractors shall submit to the City Engineer evidence satisfactory to the City Engineer of the installed service lateral locations. Compliance with this Chapter and with applicable Gopher State One Call law and Minnesota Rules governing service laterals installed after December 31, 2005 shall be a condition of any City approval necessary for: (1) payments to contractors working on a public improvement project including those under Minnesota Statutes Chapter 429 and, (2) City approval under development agreements or other subdivision or site plan approval under Minnesota Statutes Chapter 462. The City Engineer shall reasonably determine the appropriate method of providing such information to the City. Failure to provide prompt and accurate information on the service laterals installed may result in the revocation of the permit issued for the work or future permits to the offending permittee or its subcontractors. § 90.23. Location and Relocation of Facilities. (A) Placement, location, and relocation of facilities must comply with the Act, with other applicable law, and with Minnesota Rules 7819.3100, 7819.5000 and 7819.5100, to the extent the rules do not limit authority otherwise available to cities. (B) Undergrounding. Except for small wireless facilities and wireless support structures and unless otherwise agreed in a franchise or other agreement between the applicable right-of-way user and the City, Facilities in the right-of-way must be located or relocated and maintained underground in accordance with Section 153.084 of the City Code. (C) Corridors. The City may assign a specific area within the right-of-way, or any particular segment thereof as may be necessary, for each type of facilities that is or, pursuant to current technology, the City expects will someday be located within the right-of-way. All excavation, obstruction, or other permits issued by the City involving the installation or replacement of facilities shall designate the proper corridor for the facilities at issue. Any registrant who has facilities in the right-of-way in a position at variance with the corridors established by the City shall, no later than at the time of the next reconstruction or excavation of the area where the facilities are located, move the facilities to the assigned position within the right-of-way, unless this requirement is waived by the City for good cause shown, upon consideration of such factors as the remaining economic life of the facilities, public safety, customer service needs and hardship to the registrant. (D)Nuisance. One year after the passage of this chapter, any facilities found in a right-of- way that have not been registered shall be deemed to be a nuisance. The City may exercise any remedies or rights it has at law or in equity, including, but not limited to, abating the nuisance or taking possession of the facilities and restoring the right-of-way to a useable condition and assessing the costs to the property owner. (E) Limitation of Space. To protect health, safety, and welfare, or when necessary to protect the right-of-way and its current use, the City shall have the power to prohibit or limit the placement of new or additional facilities within the right-of-way. In making such decisions, the City shall strive to the extent possible to accommodate all existing and potential users of the right-of-way, but shall be guided primarily by considerations of the public interest, the public's needs for the particular utility service, the condition of the right-of-way, the time of year with respect to essential utilities, the protection of existing facilities in the right-of-way, and future City plans for public improvements and development projects which have been determined to be in the public interest. § 90.24 Pre -excavation Facilities Location. In addition to complying with the requirements of Minn. Stat. 216D.01-.09 ("One Call Excavation Notice System") before the start date of any right-of-way excavation, each registrant who has facilities or equipment in the area to be excavated shall mark the horizontal and vertical placement of all said facilities the maximum extent practicable. Any registrant whose facilities are less than twenty (20) inches below a concrete or asphalt surface shall notify and work closely with the excavation contractor to establish the exact location of its facilities and the best procedure for excavation. § 90.25. Damage to Other Facilities. When the City does work in the right-of-way and finds it necessary to maintain, support, or move a registrant's facilities to protect it, the City shall notify the local representative as early as is reasonably possible. The costs associated therewith will be billed to that registrant and must be paid within thirty (30) days from the date of billing. Each registrant shall be responsible for the cost of repairing any facilities in the right-of-way which it or its facilities damage. Each registrant shall be responsible for the cost of repairing any damage to the facilities of another registrant caused during the City's response to an emergency occasioned by that registrant's facilities. § 90.26. Right -of -Way Vacation. Reservation of right. If the City vacates a right-of-way that contains the facilities of a registrant, the registrant's rights in the vacated right-of-way are governed by Minnesota Rules 7819.3200. § 90.27. Indemnification and Liability By registering with the City, or by accepting a permit under this chapter, a registrant or permittee agrees to defend, indemnify, and hold the City harmless from any liability for injury or damage arising out of the action of the applicant in performance of the work, or any expense whatsoever incurred by the City incident to a claim or action brought or commenced by any person arising therefrom.and in accordance with the provisions of Minnesota Rule 7819.1250. § 90.28. Abandoned and Unusable Facilities. (A) Discontinued Operations. A registrant who has determined to discontinue all or a portion of its operations in the City must provide information satisfactory to the City that the registrant's obligations for its facilities in the right-of-way under this chapter have been lawfully assumed by another registrant. (B) Removal. Any registrant who has abandoned facilities in any right-of-way shall remove it from that right-of-way if required in conjunction with other right-of-way repair, excavation, or construction, unless this requirement is waived by the City. § 90.29. Appeal. A right-of-way user that: (A) has been denied registration; (B) has been denied a permit; (C) has had a permit revoked; (D) believes that the fees imposed are not in conformity with Minn. Stat. § 237.163, Subd. 6; or (E) disputes a determination of the City Engineer regarding Section 90.24 (B) of this ordinance may have the denial, revocation, fee imposition, or decision reviewed, upon written request, by the City Council. The City Council shall act on a timely written request at its next regularly scheduled meeting, provided the right-of-way user has submitted its appeal with sufficient time to include the appeal as a regular agenda item. A decision by the City Council affirming the denial, revocation, or fee imposition will be in writing and supported by written findings establishing the reasonableness of the decision. § 90.30 Reservation of Regulatory and Police Powers A permittee's rights are subject to the regulatory and police powers of the City to adopt and enforce general ordinances as necessary to protect the health, safety and welfare of the public. § 90.31. Severability. If any portion of this chapter is for any reason held invalid by any court of competent jurisdiction, such portion shall be deemed a separate, distinct, and independent provision and such holding shall not affect the validity of the remaining portions thereof. Nothing in this chapter precludes the City from requiring a franchise agreement with the applicant, as allowed by law, in addition to requirements set forth herein. § 90.32. Ice and Snow on Public Sidewalks and Trails (A) Ice and snow a nuisance. All snow and ice remaining upon public sidewalks and trails is hereby declared to constitute a public nuisance and shall be abated by the owner or tenant of the abutting private property within 24 hours after the snow or ice has ceased to be deposited. The owner or tenant shall provide a minimum four feet of clearance on the sidewalk or trail adjacent to their property. (B) City to remove snow and ice; property owner to be billed. The City may cause to be removed from all public sidewalks and trails, beginning 24 hours after snow or ice has ceased to fall, all snow or ice which may be discovered thereon, and it shall keep a record of the cost of that removal and the private property adjacent to which accumulations were found and removed. The owner of the property from which the accumulations were removed shall be invoiced for payment of those services in the same manner of all City invoices for services. (C) Cost of removal to be assessed. Should the bill for removal services remain unpaid, the City Administrator shall, upon direction of the Council and on receipt of the information provided for in (B) above, extend the cost of the removal of snow or ice as a special assessment against the lots or parcel of ground abutting on walks which were cleared, and these special assessments shall at the time of certifying taxes to the County Auditor be certified for collection as other special assessments are certified and collected. (D) Civil suit for cost of removal. The City Administrator shall, in the alternative, upon direction of the Council, bring suit in a court of competent jurisdiction to recover from the persons owning land adjacent to which sidewalks and trails were cleared, as provided in (B) above, the cost of the clearing and the cost and disbursement of a civil action therefor. (E) City Administrator to report sidewalks cleared. The City Administrator shall present to the Council at its first meeting after snow or ice has been cleared from the sidewalks as provided in (B) above the report of the City thereon, and shall request the Council to determine by resolution the manner of collection to be used as provided in (C) or (D) above. § 90.33 Violations. Every person violates a section, division or provision of this chapter when he or she performs an act thereby prohibited or declared unlawful, or fails to act when that failure is thereby prohibited or declared unlawful and, upon conviction thereof, shall be punished as follows. (A) Where the specific section, division or provision specifically makes violation a misdemeanor, the person shall be punished as for a misdemeanor; where a violation is committed in a manner or under circumstances so as to endanger or be likely to endanger any person or property, the person shall be punished as for a misdemeanor; where the person stands convicted of violation of any provision of this chapter, exclusive of violations relating to the standing or parking of an unattended vehicle, within the immediate preceding 12-month period for the third or subsequent time, the person shall be punished as for a misdemeanor. (B) As to any violation not constituting a misdemeanor under the provisions of division (A) above, the person shall be punished as for a petty misdemeanor. (C) Continuing violation. Each day that any person continues in violation of this section shall be a separate offense and punishable as such. EFFECTIVE DATE OF ORDINANCE. This ordinance shall take effect upon its adoption and publication. This Ordinance was passed by the City Council of the City of Hutchinson on the day of 2018. ATTEST: Matt Jaunich, City Administrator Gary Forcier, Mayor Date of Publication: day of 2019. TITLE AND SUMMARY OF ORDINANCE NO. 19-796 The following Ordinance is hereby published by title and summary: Title of Ordinance: Right -of -Way Management An Ordinance to Amend Title 9, Chapter 90 of the City of Hutchinson Code of Ordinances, Right -of -Way Management. 2. Summary of Ordinance: This ordinance amends Title 9, Chapter 90 of the Hutchinson City Code, to add aesthetic small wireless standards within public rights -of -way. This Chapter applies in the City of Hutchinson, Minnesota and to persons outside the City who are, by contract or agreement with the City, users of rights -of -way in the City. Except as otherwise provided herein, the City Engineer shall administer, implement, and enforce the provisions of this Chapter. This Ordinance shall take effect upon publication in accordance with the Hutchinson City Charter. 3. Availability of Ordinance: A complete, printed copy of this Ordinance is available for inspection by any person during regular business hours in the office of the City Clerk, This Ordinance was passed by the City Council of the City of Hutchinson on the day of 2019. ATTEST: Matt Jaunich, City Administrator Gary Forcier, Mayor Date of Publication: _ day of 2019. Deadline Approaching to Set Aesthetic Standards for Small Cell Wireless If cities want to set aesthetic standards, they must be adopted by April 15, 2019. (Published Dec 17, 2018) The Federal Communications Commission (FCC) on Dec. 10 denied a petition to stay its Declaratory Ruling and Third Report and Order regarding small wireless deployment. This means the order is set to go into effect on Jan. 14. See the FCC Order Denying Motion to Stay in Accelerating Wireless and Wireline Broadband Deploy The petition was filed by the National League of Cities (NLC) together with many other interested parties. In denying the petition, the FCC clarified the timeframe required for cities to adopt aesthetic standards on small cell deployment. Cities that wish to enforce aesthetic requirements on small cell wireless facilities must have such requirements published by April 15, 2019. Any aesthetic standard adopted by cities must be: "(1) reasonable; (2) no more burdensome than those applied to other types of infrastructure deployments; and (3) objective and published in advance." Advantage of adopting standards sooner Despite the clarification of the 180-day window for cities to adopt proper aesthetic requirements, the denial implies that cities must have some aesthetic requirements in place by Jan. 14. After Jan. 14, cities are not able to enforce ad hoc aesthetic limitations. Cities that have aesthetic, spacing, or undergrounding standards currently in place may continue to judge applications against their current standards. However, by April 15, cities may only enforce aesthetic, undergrounding and spacing standards that are "reasonable, no more burdensome than those applied to other types of infrastructure deployments, and objective and published in advance." Next steps for cities There is a separate motion to stay in the courts. Despite this additional request for stay filed with the 10th U.S. Circuit Court of Appeals, cities should be working quickly to draft and publish aesthetic standards in order to comply with the new requirements. Cities without aesthetic standards should work with their city attorney and city engineer to draft and publish aesthetic standards by Jan. 14. Cities with current aesthetic standards in place should work with their city attorney and city engineer to ensure current aesthetic standards are in compliance with the FCC order. If needed, they should amend current aesthetic standards to ensure compliance by April 15. Continued advocacy on behalf of cities The League of Minnesota Cities and NLC will continue to advocate to maintain city authority over small cell wireless deployment and management of right of ways. LMC will also continue to provide updates on the judicial appeals and how the FCC order impacts current state law. For more background information about this bill, read a previous Cities Bulletin article. ERIC uthiri n 2018m201 ia ANNUAL REPOR7 Ulher ctivities 6ui lq�j I IRC�. -04 'Rtchir4�jpn Hutchinson Parks, Reereation and Community Education r l Hutchinson , f, J.IF .,I I Parts, Recreation `- r ��� ` •-:.. Community Education q September -December 2018 R = s- Table of Contents Section 1 Park Operations Narrative................................................................................ pages 3-4 Park Operations Charts.................................................................................... pages 5-7 Section 2 Burich Arena Narrative.................................................................................... pages 8-9 BurichArena Charts........................................................................................... page 10 Section 3 Recreation Center / Pool Narrative..............................................................pages 11-12 Recreation Center Charts.................................................................................... page 13 Section 4 Recreation Narrative.................................................................................... pages 14-15 Youth & Adult Recreation Charts................................................................ pages 16-17 Section 5 Community Education Narrative................................................................. pages 18-22 Community Education Charts........................................................................page 23-24 Section 6 Event Center / Senior Center / Adaptive Recreation Narrative ................... pages 25-26 Event Center / Senior Center Charts................................................................... page 27 Pa Department: Parks and Natural Resources Staff Responsible: Sara Witte, Parks Supervisor 2018 Accomplishments General Site Improvements: • Refurbished 10 seating benches along river with new wood and cement bases. • Iron benches at Vets Memorial Parks sandblasted and repainted, along with leaning monuments straightened. • Roberts Park new playground installation. • Added features into the Community Dog Park: dog waterer, signage, bag sharing station, and donation box (HLI small group). • Sand volleyball courts at Roberts Park renovated. • Improvements made on wood features at Tartan Terrain Park. • South Park tee pad replacement project on tees: 5, 7 & 9. • Library Square fountain improvements: new cement base and stainless components. • Remodel of the Roberts Park concession stand to better serve tournaments including two new roll -up serving windows. • VFW Park CXT restroom opened (restroom set in late 2017), along with new ADA cement sidewalk and pavers added around restroom and shelter. • Elks Park final phase of inclusive playground installed and off street parking added. • Footing poured for sunshade structure at the new Gateway Park. Ballfield Maintenance: • Four new scoreboards installed at Roberts Park Complex -late fall. • Northwood's ballfield renovation project on both fields: South Main field - new backstop, dugout wings, outfield fence, new aggregate infield, regraded, and seeded entire outfield in time for use in spring 2019. North Field - enclosed dugouts and added aggregate for infield. • Riverside ballfield - new backstop, dugouts, added aggregate infield, and outfield fence. • Tartan ballfield - new backstop and dugouts. Landscaping: • McLeod County Vets Park: new plants and pavers set around the two eastern monuments near the tank. (HLI small group). • Middle School sign, new plants, and shrubs installed with HHS Landscape Class. • Library Square tree rings and Hutchinson Brothers new mulch and plants (HLI Group). • HHS paver pad around big "H", along with plantings done around two new school signs. Forestry/Natural Resources: • Arbor Day event with Park Elementary 3rd grade students - planted 10 trees in South Park. • Eighty plus trees & shrubs planted around the remodeled Hutchinson High School. • 3M Arbor Day event. • Hosted Tree Pruning Class in March with U of M staff. • Hosted two volunteer park pruning events - May & July. • Grant awarded for Conservation Corps MN (CCM) work at Rollie Johnson Ecology site. Crew was on site last week in October with assistance from various high school classes. 3 Narrative This last year marked a year of change in the Parks department. Long-term employee, Ron Carter, retired at the end of March. Ron was a `jack of all trades" and left big shoes to fill. He came to work every day set to do his best and set a good example for others. Since his replacement would not be hired until August, we hired two returning seasonal employees to cover more of the daily park rounds. This worked really well when trying to cover the daily tasks. The struggle was not having that skilled person around to do the maintenance repairs, thus pulling other full time people away from their projects to put out fires. With winter extending into the middle of April, Parks staff struggled to get ahead. We hit the ground running once the snow disappeared and never really had a chance to catch our breath. April projects were pushed back to the middle of May, thus creating a domino effect. The public and user groups still had an expectation of when things should be set out or completed, but when dealing with what Mother Nature handed us and being short staffed we did the best we could. Volunteers, again, helped us accomplish many projects around our community. These projects included: upgrades done at the community dog park, Tartan bike Terrain Park, South Park disc golf course improvement, McLeod Veteran's Park monument upgrades, landscaping around the Hutchinson Brothers in Library Square, and many clean-up activities in various parks. Park staff allocated time working on the renovation of the Hutchinson High School grounds and improvements to four community ballfields. We were fortunate to work on a number of projects surrounding the building of the new high school. Our City Arborist and his crew, along with Park Maintenance staff, planted trees and shrubs around the school. Also, park staff landscaped the two signs, along with installing the paver pad in front of the big metal "H". In late fall, time was spent in the Rollie Johnson Ecology site to clear out invasive plants and allow room for native species to be planted. Renovation and improvements to Northwood's, Riverside and Tartan ballfields all took place. The upgrades done to these ballfields will nicely serve the community and all user groups. 2019 Goals • Rebuild picnic tables, including six ADA frames. (February) • South Park T-pad project (HLI small group). (April) • Campground sewer project, along with site #13 & #14 added. (April) • Roberts Park boat landing replacement with help from MN DNR. (May) • Arbor Day events with various schools and 3M. (May/June) • Park and ECFE landscaping/Ecology site work. (June) • North Park Tennis court project. (July) • Multiple shelter door replacements to comply with new regulations. (July) • Gateway Park project. (August) • Linden Park Ballfield fencing renovation project. (August) • Rotary Park pavers and new landscaping around shelter and bathroom area. (Sept.) • Continue park -bench replacement project. (Oct.) • Research funding opportunities for playground replacements and Library Square renovations. (Dec) 4 Parks Maintenance 13497 hours Athletic Fields 2846,21% Forestry 791, 6% Equipment 1065, 8 Gene 4434, Landscape 1555, 12% Mowing & Weedwhipping 2855 hours utilities 105, 4% City Parks/Boulevards 2207, 77% Mowing 2207, 16% Snow 599, 4% School District 543, 19 Non -Park Functions Public Functions 963, , Training/Meeting 168, 4% Administrai 1811, 45 Comp time 393, 18% Sick 250, 12% 4029 hours Paid Time Off 2145 hours 6 River Rentals 3, 10% Warming House 694, 17% Holiday 188, 23% Personal Holiday 26, 1% Vacation 988, 46% Landscaping 256, 15% General Maintenance 131, 8% 100, 6% Landscapir 94, 38% ISD 423 Functions 1719 hours Hutchinson Utilities 247 hours 7 R A -,; Snow 254, 15% tic Fields 5, 25% Forestry 6, 2 % General Maintenance 42, 17% Department: Burich Arena Staff Responsible: Mary Haugen Title: Facilities & Operations Manager 2018 Accomplishments ➢ Replaced all urinals and flush valves in east and west bathrooms. This upgrade is a valuable improvement for the men's bathrooms. ➢ Installed lighting controls throughout east rink locker rooms and bathrooms. ➢ Worked with Nuvera to upgrade building -wide internet access to fiber optic feed. Dedicated lines serve refrigeration system controls. Public Wi-Fi was improved in both rinks. We replaced outdated TV monitors with new flat screen models. ➢ Continued to improve ventilation in east rink team -rooms and bathrooms. The new dehumidifiers are designed to control the humidity throughout the entire building. We have added features to help move this air throughout the facility, reducing possible mold g rowth . ➢ Continued our partnership with McLeod County Sentence -to -Service program. These workers help us with cleaning after major events and have helped us re -paint much of the interior of our two rinks. ➢ Installed fencing surrounding new dehumidifiers. We re-routed fire department sprinkler connections to be more accessible to firefighters. This completes the dehumidifier replacement project. ➢ Continued improvement of staffing patterns for building attendants. We operate two arenas with primarily seasonal staff. We hire and train good people and seek the experienced worker whenever possible. ➢ Summer ice season was very successful. We continue to offer a four -week program collaborating with Hutchinson Hockey Association, Hutchinson Figure Skating Association and the Hutchinson High School hockey program. ➢ Worked with HFSA offering a separate summer figure skating camp. Long-time professional coaches from Maplewood, MN work with our local skaters and coaches during this two-day camp. This has helped our summer ice program grow. ➢ The Facilities Technicians continued to improve maintenance logs of building equipment and systems, including resurfacers, heating units/systems, and refrigeration systems. Narrative We shared the conceptual plan from Steven's Engineering with our Park Board and Hutchinson Hockey Association. This design concept adds an upper level concourse, west rink improvements such as permanent spectator seating, concrete refrigerated floor and a common lobby area providing access to both sheets of ice. This conceptual plan was an extension of the original study done by Stevens. This plan gives us a road map for the future, helping us to make decisions on future building improvements. We met with city staff and Hutchinson Hockey Association representatives to begin planning on how to accomplish this project. Usage of Burich Arena continues to remain strong. Our user groups of hockey and figure skaters have consistent and strong participation. Our private rental groups continue to purchase ice during non -peak times. Due to increased demand from our hockey association, we opened for ice on September 20, one of our earliest fall start-ups ever. Hutchinson Hockey Association continues to offer four tournaments during our winter season. We will continue to partner with them to help improve player, parent and team experiences. Summer ice season this year will again begin with a two-day figure skating camp. HFSA administers this camp prior to their regular three weeks of lessons. Hutchinson Hockey Association will offer their camp again by utilizing local coaches in their efforts to keep participation affordable. 2019 Goals & Objectives ➢ Replace locker room, hall and bathroom lighting. We will remove the old fluorescent light fixtures and replace them with energy efficient LED lighting. These fixtures are designed to last 30-50 thousand hours with no lamp or ballast replacement needed. We will reduce energy usage, maintenance time/expense and improve the lighting levels in these areas. ➢ We will work with Citizens Bank and the city's Equipment Committee on funding the replacement of our 20-year-old ice resurfacer. A donation of $50,000 from the Burich family will go towards the purchase of this machine and has committed to help fund its replacement. The city has funds dedicated for this purchase beginning in 2021. We will work toward reconciling these dates. ➢ Work with Hutchinson Hockey Association and Hutchinson Figure Skating Association on improving our summer ice season. We have adjusted the period from an early June start to after July 4, 2019. We believe that this time shift will improve the program and will help increase participation. ➢ Develop and grow our spring and fall usage of the building with our turf floor. ➢ Continue to improve and nurture our partnership with HFSA. Participation numbers remain strong. PRCE continues to offer ISI (Ice Sports Industry), an opportunity for younger skaters, and HFSA offers a competitive program for the more experienced skater. The annual ice show is possible only with the city's support and volunteer help from HFSA. ➢ Continue long-term planning for major building system's component replacement. Work with the city's Facility Committee and Stevens Engineering to help prioritize major projects and purchases involved with the next phases of building improvements. ➢ Work with the Burich family and Hutchinson Hockey Association on funding for Burich Arena Improvements. These groups have committed to contributing to the future improvements at the facility. Ice Time Report 2015 - 2018 Comparison :�� 700 .1� 0 500 0 x 4- 0 L 400 0 z 100 0 Youth Hockey Figure Skating Summer Ice Total Ice Time Hours 2015= 2,121 2016 = 2,222 2017=2,120 200 150 3 = 100 4- 0 L 50 d M 0 E 3 z 2015 = 234 Boys HS Girls HS Open Skating Other Hockey Hockey ■2015 02016 2018-2180 02017 ■ 2018 Summer Ice 2015 - 2018 Comparison Figure Skating High School Private Rental Total Summer Ice Hours 2016 = 242 2017 = 248 2018 = 252 Youth Hockey PRCE 02015 02016 2017 ■2018 10 Department: Recreation Center Staff Responsible: Mary Haugen Title: Facilities & Operations Manager 2018 Accomplishments ➢ Through the Facilities Committee, hired design and engineering firm, ISG, to create plans and specifications for the Recreation Center roof replacement/exterior walls upgrade project. Construction documents will be complete in spring 2019 with tentative construction in fall. ➢ Completed successful second season of Hutchinson Family Aquatic Center. Average attendance these last two summers has been at about 50,000 swimmers. ➢ Worked with Aquatic Center contractor, Global Specialty Contractors, finishing items left from original construction and completing warranty items. ➢ Remodeled old Recreation Center bathrooms to become concession storage space. The new changing areas/family restrooms added through the aquatic center update have more than enough fixtures to serve the entire building. ➢ Through the Aquatic Center Manager and Concession Stand Manager, hired and trained over 80 staff as lifeguards, water safety instructors, admissions staff and concession people. ➢ Reduced total labor hours used to operate aquatic center. We learned from our first year where we could reduce staffing. ➢ Continued training of our PRCE Facilities Technicians. These two positions are responsible for maintaining our equipment and facilities. With increased usage of Burich Arena, and the addition of the aquatic center, these positions are vital to properly maintaining our assets. Narrative The Hutchinson Family Aquatic Center was a hit again for summer 2018. Nearly 50,000 people participated in activities at the pool. We adjusted hours of operation and staffing to help bring our budget expenses and revenues closer together. Our Aquatic Center Manager, Maggie Schroeder, is a certified American Red Cross Lifeguard Trainer and Water Safety Instructor Trainer. We are able to train staff in-house in lifeguarding, first aid, CPR and WSI. She recruited, hired and trained over 60 people to help staff the aquatic center and teach swimming lessons at Carlson Pool. These people did an outstanding job working with the families that came to enjoy the features offered by the aquatic center as well as teach swimming lessons to nearly 900 swimmers. We continued to utilize and improve the operation of our POS system for our concession stand sales and attendance tracking. We upgraded our outreach and communications through our PRCE website and increased our usage of social media. The citywide capital improvement plan, administered through the Facility Committee, continues to be implemented. This year, we will continue working with ISG to complete the plans and specifications for our project of the Recreation Center roof and sidewall replacement. This will lead to construction documents and ultimately construction 11 completion this fall. The building will have a new exterior look and will be a model for future improvements when it is time to re -do the exterior finishes at Burich Arena. The Recreation Center gymnasium continues to experience high usage through our major winter user groups of adult volleyball, middle school and high school sports practice and games. Tournaments, PRCE sponsored and private, continue to draw large numbers of spectators and teams. We will continue to hire, train and coach quality seasonal employees. These front-line people are the faces that represent our department. 2019 Goals & Objectives ➢ Work with the Facilities Committee and ISG on the Recreation Center roofing and wall upgrades. Bids will be accepted in the spring, followed by bid award and construction to begin in September. Exterior roof panels are to be replaced as well as adding interior roof liner. Exterior wall steel panels and cement block will be updated with new surfaces as part of the upgrade. ➢ Recruit, hire and train American Red Cross Swimming staff to serve the outdoor pool, as well as teach our summer American Red Cross learn -to -swim program. Admissions duties will become part of lifeguard rotations, including patron check -in, tube wrangling, and water slide attendants. ➢ Through the Aquatic Center Manager, continue to work toward adjusting staffing patterns to align with attendance highs and lows. We will adjust opening and closing plans as well as review our daily schedule. ➢ Continue to offer American Red Cross swimming lessons at Carlson Pool and the Aquatic Center. Pre-school lessons continue to grow as we make further use of our new outdoor spaces. ➢ Continue to work through the Facility Committee on future facility upgrades. ➢ Continue and refine maintenance policies and procedures for aquatic center operations. Work with maintenance team and summer aquatic staff to plan and respond to various water quality challenges. 12 Hutchinson Outdoor Pool Attendance 2011-2018 50,000 40,000 30,000 54,937 20,001 12,689 12,436 12,564 12,000 11,415 10,00( 11 v 2011 2012 2013 2014 2015 2016 2017 Facility Usage ➢ Busiest Membership Check -In Day: Wednesday (3889) Slowest Membership Check -In Day: Saturday (1774) ➢ Busiest Day: June 29 (1379) July 7 (948) August 13 (907) ➢ Facility Rental: Aquatic Center 10 Party Tents 36 ➢ Sponsored Events: 3 with Thrivent/Hutch Health 2 with Common Cup 13 48,712 Membershias/Swimmers ➢ Memberships Sold: 1949 ➢ Membership Check -Ins: 20,080 June — 7,717 July — 7,684 August — 4,679 ➢ Daily Swimmers: 23,397 June — 5,869 July — 10,464 August — 7,064 Total Swimmers: 43,477 Department: Recreation Staff Responsible: John McRaith Title: Recreation Services Coordinator 2018 Accomplishments Digital Signage at the Recreation Center: One of the last pieces of the MaxGalaxy software was to get digital signage for the gymnasium and water park at the Recreation Center. These signs post water park fees, concession prices, and facility schedules. We can now display the current standings in all of our adult leagues. The signs also advertise programming and special events, run videos, and display pictures from around the community. Crow River Junior Baseball: This past year, PRCE became involved in scheduling the area baseball leagues for kids in third through sixth grade. These programs are strictly recreational and involve the Hutchinson youth currently playing in the Major and Senior divisions. The former coordinator dropped this level, but several communities around the Hutchinson area had a strong desire to keep the program going. We are working with them to establish an ongoing program that fits the needs of our Hutchinson youth while maximizing the use of our local baseball facilities by providing the scheduling. This will be very similar to what we have already done with Crow River Fastpitch for the girls. • Ballfield Schedules Online: This past summer we made all of our baseball and softball fields available to view online. While scheduling is still completed through the PRCE office, this allows coaches and team managers to see available facilities to plan a practice or game and speed up the reservation process. Soccer Relocation to Roberts Park: PRCE had programmed most of its outdoor soccer programs at Linden Park each fall. With the storm pond project taking place, soccer was relocated to Roberts Park. The transition went very smoothly and saved on striping paint as the soccer fields used many of the same lines as the football fields that were already in place. In addition, the participants and their families welcomed the close access to restrooms and the addition of concessions. Narrative After a tumultuous year in 2017 with entirely new software and a new waterpark to bring online, 2018 was spent fine-tuning different processes and learning how to use our new technology to the best advantage. Our staff did a great job of keeping our online information up to date and adding great new material to our digital signage program. With over three quarters of our registrations now completed online, we have accomplished a major goal of making the registration process quicker and easier for people who are only becoming more and more busy in their day-to-day lives. What does the future look like at this point? We know we are going to have to deal with the loss of Linden Park and its four ballfields in 2019. We are also beginning to see trends toward one sport participation at the youth level, declining team numbers in adult sports, and a surge in interest in the game of pickleball, which is becoming popular with the baby boomer generation. 14 2019 Goals Ballfield Usage: With the disappearance of Linden Park for the coming summer, we have the challenge of finding enough play space for all the different activities that take place during the summer. With renovations taking place at Northwoods Park and Riverside Park, we have some good facilities to work with. One avenue that will be looked at is to have our youngest participants get on the fields early at Roberts Park and then have an attendant do a quick changeover to allow adult leagues to quickly follow. Accommodating Multi -Season Sports: We are seeing an increase in sports that have more than one season. Soccer and volleyball have had a spring season along with the customary fall season for quite some time now. In the past couple of years, girls fastpitch has added a fall season and a fall state tournament which quickly follows the summer season. Youth baseball is beginning to follow the same path. On the adult side, we have had fall and winter seasons of volleyball for quite some time. The softball players are now hinting that they would like to have a night of softball as part of our fall offerings. Needless to say, adding programs means increased maintenance and that can be a challenge after the summer staff has returned to school. Pickleball Programming: With the help of a few avid participants, we hope to grow the interest in pickleball for our older participants. We are seeing that baby boomers, who were the backbone of the team sports boom back in the `80's and `90's, want to remain active. This slower paced version of doubles tennis appears to be one answer to those desires. The fairgrounds already is hosting a robust men's program on Monday and Thursdays. We hope to create a similar program for the women at the Recreation Center. In addition, we would like to provide some co-rec and open gym time for these participants. New Programming Options at the Recreation Center: Now that there are four new basketball and volleyball courts at the high school, we have seen a dramatic drop in winter tournaments held at the Recreation Center. This provides us with an opportunity to be more available for private rentals and special events. We are already seeing an uptick in birthday party rentals and hope to provide other options for our community that were not available due to limited space in the past. 15 Youth Program Participation 2008, 2017, 2018 Comparison 400 350 342 300 301 301 282 270 273 260 r 250 235 R 222 Q- 216 U a200 s1 180 0 -a 150 lAn43 E Z 105 100 84 55 60 64 62 50 0 Indoor Soccer Baseball Basketball Softball Flag Football Tackle Football Outdoor Soccer Girl's Volleyball Youth Participation 2008 = 1711 2017= 1350 2018 = 1351 ■2008 132017 ■2018 70 60 50 N d 40 0 d E 30 z 20 10 0 Adult Program Participation 2008, 2017 & 2018 Comparison Basketball Broomball Football SB-Co-Rec SB-Men's SB-Women's VB-Co-Rec VB-Men's VB-Women's VB-Sand Total Adult Teams 2008= 216 2017 = 136 2018 = 118 ■ 2008 132017 ■ 2018 17 Department: Community Education �PRC hutci n Staff Responsible: Sharon Armstrong Title: Community Education Program Coordinator 2018 Accomplishments • Reached goal to add a new activity for each brochure: Fall, Winter/Spring, and Summer • Achieved holding 86 percent of activities offered and 100 percent of leagues offered • Ensured a timely flow of paperwork to payroll department to meet new payroll guidelines for summer coaches Narrative Hutchinson Community Education offers activities throughout the year taught by people within and outside our community. Some instructors traveling close to 90 miles to teach! Instructors are obtained because they have a special skill or expertise they are willing to share. Although Community Education does not endorse the opinions or business affiliations of our instructors, we strive to provide a quality educational experience for our participants. A sample of activities offered to youth and adult: AARP, Lap Swim, Student Driver's Education, Coding, Dog Obedience, and Kids Food Decorating. League activities may include basketball, football, strength Minnesota Community Education State reports gather statistics including the percentage of success of offerings. Statistics for 2017-18 school year: Community Education offered 267 activities, 235 held, accomplishing 88 percent successful offerings in this category. The League category offered 26 leagues, 26 held, accomplishing 100 percent success offerings in this category. Middle School Activities since 2003: Community Education continues to fund Middle School activities for students in grades 6, 7, and 8. This is a collaborative effort between Hutchinson Public School's Activities Department and Community Education. During the 2017-18 school year, there were 17 Middle School activities offered, which is the same as the previous year. Girls swim, boys' tennis and dance were ran as a 7-12 grade program. Enrollment per activity ranges from eight to 81 students with a total enrollment of 484 students. Total enrollment is slightly lower than the previous year. Data located in the statistic section of this report. School Facility Rentals and Usage for Fiscal Year 2017-2018: Hutchinson High School: 25 groups generated 148 permits estimating 31,610 participants Hutchinson Middle School: 38 groups generated 233 permits estimating 185,235 participants Park Elementary: 22 groups generated 103 permits estimating 57,471 participants West Elementary: Seven groups generated 52 permits estimating 23,668 participants School Outdoor Fields: Six groups generated 20 permits estimating 10,230 participants 18 ABE/GED Highlights: (Submitted by Shari Brunes) Hutchinson Adult Basic Education (ABE) is located at Ridgewater College in Room 145. Our mission is to provide adults with educational opportunities to f acquire and improve their literacy skills in order to become self-sufficient and to participate effectively as productive workers, family members, and citizens. A certified teacher is in the room to meet the needs of learners four days a week. Our schedule includes both daytime and evening hours providing the opportunity of 36 instructional hours weekly for students. Hutchinson ABE offers programming 12 months a year. For the 2017-18 academic year, which runs from May 1 to April 30, 278 students attended 8,597.25 hours. These numbers are lower than last year, which follows a statewide trend. Students who attend 12 or more hours are "participants". Hutchinson ABE had 116 participants for the year. Currently, the average ABE student attends for 31 hours. Learners participated in a variety of programming including classroom hours, distance (online) learning, basic computer classes, grant sponsored classes, and collaborative classes with the college and CareerForce. Our ABE site is co -located with Ridgewater College and the CareerForce Center. Because of this, we have been able to develop programs to assist learners with educational, employment, certifications, and college goals. ABE offers free basic computer skill classes and continues to academically support, college -attending students who do not meet Accuplacer Math cut scores. ABE assists potential Ridgewater students as they prepare for Accuplacer testing, the exam for college class placement. Pearson Vue GED testing began in January 2014. Pearson VUfdellvus During the 2017-18 academic year, 30 Hutchinson one exam everyzseconds. students earned a GED Diploma, which is five more ?burs is the one than the previous year. State funding currently provides that counls. a $10 discount on the cost of the first Official GED Test Learnmore> in each subject area for students. Many students in our °° °d`°°"E program are academically ready to test, but are not able to afford the testing fees or do not have a digital form of payment needed to pay for tests. Total annual testing costs for students in Hutchinson is about $5,000. We are happy to report that we now have a GED Testing Fund that provides free GED testing for qualified ABE students in our program. A partnership with the Ridgewater College Foundation was established in January 2018. As far as we know, we are the only ABE program in the state of Minnesota that offers free GED testing to students. The Foundation provides fiscal management and oversight of the fund. ABE teachers and students have also been guest speakers at club and organizational meetings to share information about the GED Testing Fund. To date, $10,830 has been raised. This new program has brought in many students and we are currently one of the top 10 GED testing sites in our state. Our intent is to be a community that supports education and learners that are determined to gain academic credentials. During the previous academic year, ABE staff members have been involved in state trainings for College & Career Readiness Standards, Language & Literacy, Math, ACES, and the Adult 19 Diploma Task Force. Participation and involvement in these and other opportunities make Hutchinson Adult Basic Education a leader among small rural programs. The Commissioner of Education is facilitating a process to select one or more tests to be approved in Minnesota for a high school equivalency diploma; Minnesota State Legislature statute 124D.549. Shari Brunes was selected for a two-year process to participate in the working group tasked with researching and making recommendations for High School Equivalency Testing in the state of Minnesota. We continue to build on relationships with groups in the community including the public library, employers, and community organizations. ABE is a valuable component to Hutchinson's Community Education program, meeting the needs of many individuals from the surrounding area by making them better family members, employees, and citizens. Shari Brunes is the current Hutchinson Site Manager and lead teacher. Ann Trochlil serves as the Glacial Lakes ABE Consortium Program Manager. The Hutchinson teaching staff currently includes Carla Benson, Shari Brunes, Peg Carls, Kathy Eggimann, Mary Horrocks, Joyce Evenski, and Ann Springer. ABE Data Summary Information: IN 41 % Engage, Equip, Empower Glacial Lakes Consortium Total Enrollees 278 337 in 2016-17 Total Hours 8,597.25 This is a 17% decrease from the previous year Total Participants 116 Students who attend 12+ hours Total GED Earners 30 This is a 20% increase from the previous year Heart of Hutch: (Submitted by Candace Hoversten) Heart of Hutch is a group of community volunteers of all ages and backgrounds who want to inspire positive change in habits, behaviors, and attitudes across our community. The guiding principles of Heart of Hutch are Eat Smart, Move Naturally, and Connect Wholeheartedly. Heart of Hutch has continued to grow both in numbers of activities per year and reach in the community. Since 2012, Heart of Hutch has offered approximately 360 health -related activities and initiatives in Hutchinson, reaching more than 44, 425 people who live, work, or play in our community. At the close of 2018, the Heart of Hutch name dissolved and took on a new form. As Hutchinson Health increases efforts to improve health and well-being in partnership with its members, patients, and community, many of the programs of Heart of Hutch will continue to be championed by Hutchinson Health in partnership with community volunteers. 20 Included in Hutchinson Health's efforts will be community favorites COMM UNff`.' t300K READ like One Book, One Community, Little Free Libraries, community events and more. Efforts to improve community connections will continue to be led and implemented by community volunteers4. through the Connect Wholeheartedly Committee, with support from Hutchinson Health. Move Naturally and Eat Smart efforts are led by Hutchinson Health and implemented in partnership with individuals and organizations within the community. A complete list of community initiatives, events, services, and resources supported or led by Hutchinson Health is available on the Health & Well -Being page: https:Hhutchhealth.com/health-well-being/ ECFE: (Submitted by Marijean Storlie) Early Childhood Family Education offers weekly parent/child classes during the school year, with sibling care Ll offered for families. ECFE supports families with children birth to entrance into Kindergarten and offers classes during the day and evening hours. Recently we have added some evening and weekend family events and classes to support those families that may not be able to attend weekday classes. ECFE also supports families through its home visiting program where a parent educator and early childhood educator take their class on the road to a family's home. Parents may request a home visit by calling our ECFE office and setting up a time that works for both their schedule and our staff's schedule. Book talks on development and other research based early childhood topics are offered as a parent -only class with childcare provided. Local experts are brought in to share in classes — for example, — this fall we had one of the pediatricians from Hutchinson af(j Health speak to our Busy Baby Parent/Child class and answer parent questions about their child's development. During the 2018 school year, there were over 300 parents and children that participated in an ECFE class and/or Ott - other family events. ECFE collaborates with McLeod County Public Health and Hutchinson Public Health as well as PACT for Families. 2018-19 Goals & Objectives Community Education Goals: • Promote healthy relationships with instructors, customers, and district personnel • Provide efficient and timely assistance with customer facility reservations for Hutchinson Public Schools and navigating through the online reservation program • Proactive in reaching out to individuals and businesses to offer activities keeping up with today's trends • Offer diversity in class activities and customer climates • Maintain partnerships • Participate in Minnesota Community Education Association (MCEA) continuing education training and classes • Promote awareness for PRCE activities through Facebook, websites, brochures and word of mouth ADULT BASIC EDUCATION GOALS: (Submitted by Shari Brunes) • Reach out to learners in the community in need of ABE services; ongoing • Seek donations for the GED Testing Fund to cover the cost of testing for our students in partnership with the Ridgewater College Foundation 21 • Participate in the High School Equivalency Test Selection Stakeholder Working Group • Participate in the MN State Adult High School Diploma program; ongoing • Pretest and posttest students to successfully meet MN ABE goals of 60% of students achieving a gain of at least one academic level; ongoing • Develop grants with partners to assist students as they explore career pathways; ongoing • Increase average student attendance hours to 40+ • Provide distance learning (online) opportunities using state approved platforms; ongoing • Offer basic computer classes for Work Force clients to empower them in their job search and increase employability; ongoing • Collaborate with Ridgewater and CMJTS to offer adult training and certifications • Partner with Head Start and ECFE/Family Literacy parents to earn a GED or with other educational needs Early Childhood Family Education Goals: (Submitted by Marijean Storlie) • Maintain quality in our ECFE programming; ongoing • Increase collaborative efforts with other local community agencies and businesses. In 2018, efforts were attempted with 3M to offer a lunchtime parent class, but efforts were slowed due to shift change hours vs hours that staff were available to meet with 3M workers. In 2019, we will revisit this collaboration and see if there is a possibility to try the class. Also in 2019, we will try to meet with 3 other local businesses/agencies and speak about our programming opportunities • Improve assessments in our programming; ongoing • Evaluate and update parent and child class curriculum; ongoing • Streamline methods for census reporting; ongoing • Continue collaborations with local preschools, daycares, and in home day care providers • New for 2019 — we will streamline the registration process for both early childhood screening and ECFE by going with an online process. • Create and distribute a new Early Childhood Screening postcard that will go out to families two months before their child is eligible for a screening by the district. • Create and distribute, via county birth records that ECFE purchases monthly, a postcard that invites parents' of a newborn into our classroom for a free baby class and a gift tote that contains a hard cover children's storybook and other local businesses information and/or gifts. 22 IP bb 90 80 70 60 50 40 30 20 10 0 Participant Numbers ■ Pre-K 632 ■ Youth 4,670 ■ Adult 5,992 ■ Special Events 5,897 Middle School Sports a0 a0 • ,�� ��J et et '�� • �� �� a0 a0 �a '�`' �� O O � \69 t �yy C� 0�A �0A5 23 Facility Hours 8000 ■ PRCE 7000 ■ Public 6000 ■ Extra Curricular 5000 4,133 4000 2,368 2,662 3000 2000 1,541 1,044 1000 46 99 181 52 .B 0 57 163 0 71 HS MS PARK WEST Outdoor Tota Is PRCE Q 46 2,368 99 181 52 2,746 Public Q 57 2,903 163 0 71 3,194 Extra 7,602 4,133 2,662 1,541 1,044 16,982 Curricular 22,922 24 Department: Event Center/Senior Center Programming/ Adaptive Recreation Staff Responsible: September Jacobsen, HEC Coordinator 2018 Accomplishments • Updated Event Center Rental Rates (January): Wedding and large event rental rates are structured to include all needed event items bundled into one rate. Customers expressed how much easier it is to budget for events with the new bundling policy, and outside vendors find it easier to work with our clients. Due to the nature of advanced booking for large events, it will be another year before there could be a noticeable difference in revenue. • Projectors Replaced (February): The two original projectors were no longer cost effective due to use and age (16). • Mini -Golf (March, May, July & October): Several members of the Hutchinson Senior Center worked together to construct an indoor mini golf set up. It was used for a fundraiser, Adaptive Recreation, and rentals. Over 200 people enjoyed the project. • Dinner Theater: Since the 2017 Murder Mystery Dinner was so successful, another was scheduled for April 2018. Bad weather forced the event to reschedule to May. • Concert (September): The Senior Advisory Board booked a wonderful musical group that provided an evening of entertainment. Approximately 300 attended. • Exterior Updates (August): Exterior posts and touch up painting created a big change with little investment. • Staff Shortage: Several unexpected staff changes left the Event Center, Senior Programming and Adaptive Recreation short-staffed for 75% of the year. • Large Events: Five major events were booked with over 2,000 guests in attendance in a four -day period. • Meet the Author Events: A collaboration with Hutchinson Public Library. Over 70 citizens attended. • Unexpected Maintenance fees Narrative The Event Center continues to provide a location for a variety of programs and meeting spaces that the community can enjoy and is a great asset to the city of Hutchinson. Staff puts a high priority on cultivating a warm and welcoming environment. The space rented for businesses, organizations, and private events provides a great opportunity to welcome newcomers into our community while providing revenue to both the center and local businesses. This past year several new organizations came to the Event Center due to its accessibility and flexibility for their unique events. With over 8,000 square feet of space available, this facility can be host to large events as well as several smaller multi group users. Occupancy rate for 2018 was 94%. Twenty six per cent of these events hosted 150 or more guests. Staff enjoy setting up for the variety of events ranging from a group of 500 to the one-on-one interview meetings. The flexibility the Event Center offers makes it a "go to" location. Staff are encouraged by all the positive reviews from our customers, which makes the Event Center a wonderful place to work. The center is also very fortunate to have full time and part time staff that are dedicated to making each event a success for our customers and program participants. 25 Senior programming continues to publish an eight page monthly newsletter. There is a subscription fee with a portion of the funds used to support the center. Every year, the Senior Advisory Board sets a goal for fundraising and creatively tries to develop events that will help raise funds while also providing exciting programming. During the past year, the Advisory Board sponsored a Murder Mystery Dinner Theater, mini -golf day, and a tribute concert. Several other fundraising projects are still effective to date, such as repurposing greeting cards, rental of chair covers, china/flatware plus a variety of decorations and sales of crafting items. The Senior Advisory Board staff is always looking for new and popular activities for senior participation. Current activities such as ping-pong, pickleball, less competitive card games, cross-country skiing, and snowshoeing are included on the programming calendar. Seniors are very appreciative of the space the city provides. The Adaptive Recreation program continues to meet on a regular basis and calls the Eventer Center home base. With new staffing in place, it is the goal to offer new activities geared to a more active cliental while attracting new members. This group benefits the most from the easy accessibility the facility has to offer. Looking ahead to 2019, staff anticipate increased revenue from weddings, continued growth with business meetings, increased senior participation, and updated adaptive recreation program. Objectives for 2019: • Replace bathroom receptacles for budget reasons. (February) • Great Room/Hallway carpet professionally cleaned. (January) • Plan a meet and greet for single seniors. (May) • Repair water damage — carpeting, wallpaper and painting. • Co-sponsor health related seminars. • Investigate fees to have monthly newsletter printed in color. • Host an HEC wedding expo -free for vendors. • Enhance the vestibule for a better "first impression". • Host senior musical concert. (April, May,& September) • Partner with health professionals to offer seminars to seniors. (April) • Be more attentive to social media. 26 Facility Use - *Rentals *Senior Programs *Adaptive Recreation Senior Programming & Adaptive Recreation Participation 18,000 16,000 14,000 12,000 10,000 8,000 6,000 4,000 2,000 0 TOTAL Participation Fellowship Programs Service Programs AR Participants 1,430 ■ 2016 16,117 10,266 4,421 ■ 2017 14,995 10,105 3,676 1,214 ■ 2018 j 16,036 j 10,061 j 4,815 j 1,160 27 City of Hutchinson Public Works Forestry Operations This report is intended to give the public and the City Council insight into activities conducted as part of the City's Urban Forestry program. 1 CONGRATULATIONS !!!!! • Donovan Schuette put in a huge amount of effort and study in preparation for becoming a Master Arborist. His efforts were successful. Donovan is now a International Society of Arboriculture - • �' S Board Certified Master Arborist Congratulations to Donovan Schuette for passing his test to become a Board Certified Master Arborist. This designation by the International Society of Arboriculture is for those Certified Arborists who have a measurable experience relating to arboriculture, including * Formal education * Related credentials * Professional experience Candidates must pass significant testing and appropriately respond to a variety of scenarios. The designation is for those who have reached the pinnacle of their professional development. Fewer than 2% of ISA Certified Arborists hold this designation. N Forestry Operations Goal of urban forest maintenance • Establish & maintain tree cover. • Maintain healthy trees using best practices. • Establish species & age diversity goals. • Promote conservation of trees. • Select, site, maintain to maximize benefits and minimize hazards, nuisances, & maintenance. • Centralize tree management under a qualified arborist. • Promote efficient, cost effective management. • Foster community support for urban forestry, encourage good management on private properties. • Address tree -related conflicts. For 40 years, the City of Hutchinson has been actively managing and maintaining its urban forest. Taking care of the urban forest makes sense for a lot of reasons. A tree's greatest value is when the tree is healthy and maturing or mature. The practices we use keep in mind the goal of getting as many trees as possible to their greatest value as healthy maturing or mature trees. Guidelines address species diversity, conservation, site selection and maintenance practices at every stage of a tree's life. Management requires qualified, dedicated people, who have an eye to providing services that are cost effective. The City of Hutchinson is fortunate to have an ISA Board Certified Master Arborist on staff. The urban forest has always been supported by residents, and efforts are outlined that will hopefully maintain or even improve the support residents give to this program. Tree owners are regularly provided with information to help them best manage their trees and Forestry staff can be a sounding board to address tree -related issues. 3 Forestry Operations • Urban Forest Maintenance Program — Outlines goals and objectives, establishe 4� priorities, and identifies program components • Approved Species Lists — One list for general planting — One list for approved boulevard tree species • Boulevard Tree Engineering Criteria — Identifies criteria for boulevard trees • Urban Forestry Metrics — Identifies items to measure as part of the program There are four main documents we use to manage the urban forest. 1. Urban Forest Maintenance Program. Contains a description of the program, where it applies, identifies the City's priorities and gets into some detail about the various components of the program. 2. Approved Species List. An up-to-date list can be found on the City's website. There's a list of trees that generally do well in Hutchinson. Anyone can use this list to help them select trees with a higher likelihood of being healthy. Trees approved for use within rights -of -way are selected for specific characteristics that improve the likelihood of long-term, healthy growth in boulevards and minimize the interruptions caused by the trees. 3. Boulevard Tree Engineering Criteria. This document identifies tree spacing and size selection as they relate to other public infrastructure located within rights -of - way. The goal is to mitigate potential conflicts that may result in a tree not being able to grow to healthy maturity. 4. Urban Forestry Metrics. This document identifies the things we measure on a regular basis within urban forestry to ensure we are providing high quality service. 4 Forestry Operations • Operations — Plant • Development, energy, diversification, grants, and replacements �_ e� — Prune • Pruning by staff, winter pruning, contract pruning — Manage diseases/infestations • Dutch Elm, Bur Oak Blight, Emerald Ash Borei — Remove • Removals by staff, contract removals, stump removal 52 In general, working with trees involves the basic steps of planting, pruning, managing diseases and/or infestations, and removals. There are several ways to address urban forest needs at these various stages within a tree's life. A combination of City staff and contractors are used to address various issues during a tree's life -cycle. Ongoing education is one of the ways we can best learn about cost effective practices used by other agencies. These practices are backed up by science and as these new practices are learned, we can implement them to benefit Hutchinson's urban forest. Active membership in ISA and other organizations specifically relating to urban forestry are very valuable. 5 Tree inventory - • Tree inventory 2018 2017 Boulevard trees 8,130 8,202 Park trees 3,974 3,993 Cemetery trees 777 778 School trees 641 657 13,522 13,630 There is almost one publicly owned tree for each resident in the City. The majority of trees are found on boulevards and in parks, but there are also a significant amount located on public facilities, such as the cemetery and at schools. [: Species Diversification 2018 2017 • Maple 18% 18% • Ash 16% 16% • Oak 9% 9% • Linden 8% 8% • Hackberry 8% 8% • Elm 7% 7% • Others <5% 34% 34% In Hutchinson, green ash is the most common single species, accounting for about one - sixth of all the public trees. In years following the devastation caused by Dutch Elm disease that started in the late 1970's, cities generally planted a lot of ash and maple trees, the most common being green ash, sugar maple and silver maple trees. Arboricultural science now recommends diversification of species so no one species represents more than 10% of the total population of an urban forest. This recommendation is in place to ensure tree health and to limit the impact of any future disease or infestation that affects a specific tree species. There are several maple species in Hutchinson. As of the most recent inventory, only green ash trees exceeded 10% of the total population with 2,007 publicly owned green ash trees. For many years the City of Hutchinson worked hard to reduce the number of ash and maple trees in the City, to include diversifying the species of maple trees that are used. VA Tree Diseases/Infestations • Dutch Elm Disease — Still an issue, 2018 = 7 removals; 2017 = 4 removals. • Bur Oak Blight — Still an issue, however, no removals this year. • Maples — Stem girdling, dieback in top center. • Emerald Ash Borer — 55 ash removed/replaced in 2018. — Now in Wright County (Clearwater). Implementing some reactive measures identified in EAB Response Plan. Dutch Elm Disease is still around after 40+ years and still affects a few trees in the City each year. In 2018, there were 7 removals related to Dutch Elm Disease. Bur Oak Blight is a disease that has affected a number of trees in the City. There is one private bur oak that will need to be taken down in 2019 and seven bur oaks that will need to be removed in the Cemetery. There have been some maple trees that have been affected by die back in the top center of the tree. Any tree species can be affected by stem girdling. Stem girdling is caused by improper planting. Roots grow around the tree trunk, 'strangling' the tree by blocking off routes for nutrients and water. Emerald Ash Borer is in Minnesota, but has been generally contained to areas within the metropolitan area and along the Mississippi River in southeastern Minnesota. EAB is as close to us as Eden Prairie (47 miles) and Clearwater (49 miles). The City receives regular updates from the MN Department of Agriculture regarding the progress of this pest in Minnesota. In the City's EAB response plan, because the pest was found in a neighboring County, as it was recently discovered to be in Clearwater, Wright County, certain reactive phases of the City's response plan were triggered. 0 Ash • Boulevard • Park • School • Cemetery Tree Distribution 2018 One key to managing any future infestation of Emerald Ash Borer will be to monitor 1,265 the ash tree population. 595 Efforts are underwayto 126 remove/replace ash trees on boulevards, in parks, on 21 school property and at the cemetery. In 2018, 53 ash trees were • Total Ash 2,OQ7 removed & replaced (2.5%). In Hutchinson, green ash trees are located primarily on boulevards and in parks. As efforts continue to be made to reduce the number of ash trees, replacing them with other species, the inventory of ash trees will be monitored closely. Managing the ash tree inventory will be an important component for both the proactive and reactive responses to a potential Emerald Ash Borer infestation. 07 Planting • 2018 Purchases Kahnke Brothers 55 h� Bailey Nurseries 79__ Sester Farms 71 Carlton Plants Bachman's 89 10 Waconia Tree Farm 7� Dundee Nursery 1 Total 312 $29,032,06 Kahnke Brothers (PRCE) 20 $ 2,079.00 Total 332 $31,111.06 This past season several planting programs used by the City including: Tree Purchases — A total of 332 trees were purchased from a number of vendors. Of these, 250 were planted, and 82 remain in inventory. Trees are purchased in a variety of sizes. Bare root stock, container stock, and trees up to 2" ball -burlap trees are purchased, depending upon the planting program and the site where the tree is planted. In 2018, the average cost/tree was $94. 10 Planting Trees Purchase 332 Library Square 10 Arbor Day (3M) Q Energy 110 Misc. Park 1 Development 38 PRCE 20 Diversification 29 Public Works 230 + HHS diversification 26 PRCE 20 Trees lost 12 2018 Trees Planted 250 Arbor Day (South Park) 8 Memorial trees 6 Inventory 82 Roadway project 1 Down from 349 plantings in 2017, Public Works 230 many of which were covered by grant funding. This past season several planting programs were used to plant 250 trees, including: Energy trees —Hutchinson Utilities reimburses the City for strategically planting trees to save energy. Trees are planted to provide long-term energy conservation. This program is being restructured in 2019, following changes in the transfer of funds from HUC to the City. Development trees — Trees are paid for as part of building permits or development agreements. Boulevard trees have an early, positive impact on property values in areas that generally don't have a lot of trees in them to begin with. Diversification — Part of funds set aside for tree diseases/infestations are used to proactively remove and replace ash trees. There were 29 trees were planted as part of the program, with an additional 26 that replaced ash trees as part of the High School renovation project. Trees lost — Trees prepared for planting but died or became unsuitable for planting. Arbor Day activities — Trees are planted as part of Arbor Day activities (3M & schools). Memorial trees — Trees planted in parks in memory of someone. Road projects — Trees for road projects that weren't already accounted for in projects. Parks — Tree plantings at parks. Forestry staff and Park Maintenance staff work together on tree plantings in parks on a regular basis. 11 Planting • 2019 Planting (PROPOSED) Development 30 Energy 30 Diversification 40 Replacement 50 Tota 1 150 For 2019, we anticipate fewer trees being planted compared to last year. We anticipate a slight reduction in "Development" trees to more closely reflect actual 2018 plantings. This number has gone up in recent years because of additional development taking place, including commercial, multi -family and residential properties. Energy trees available will be reduced as the program is restructured. Forestry staff recognizes the desire to continue this program, however, the number of trees available will need to decrease to address changes included in the 2019 budget. 30 trees are anticipated for the spring program. If funds are available, a fall program may also be offered. Efforts to diversify species in place of existing ash trees will continue. Approximately 40 replacements for ash trees are expected. Ash trees in poor health, those with conflicts with other infrastructure or those located in areas with high percentage of ash tree populations will be removed and be replaced with other species. General replacement of boulevard trees is an ongoing effort, which we anticipate will take around 50 trees. 12 Pruning • Pruning 2017-2018 trees pruned: 1,202 9.0% Formative trees pruned: 476 3.4% Equivalent annual cycle: 2017 ponds maintained 2018 ponds maintained 11 years (full-size) 8 years (incl. formative) I Taking care of City -owned trees is a lot of work, particularly when it comes to pruning. New trees are monitored for the first five years. As new trees are evaluated, formative pruning is done, staking materials are removed, and the arborist is made aware of any potential issues. Through November, 2018, 476 trees in their formative stage were pruned. Pruning is critical to the health of a tree and promotes healthy, long-term growth. After Christmas each year, crews focus on pruning boulevard trees. This work continues into the early spring, subject to weather conditions and other necessary duties. Properly pruned trees are less likely to have physical defects that weaken the tree, so they are much less likely to be damaged during severe weather. The ideal timeframe for pruning is about every 5-7 years. Last year we were able to hit an average of around 11 years for existing full-size trees and 8 years, when formative pruning of smaller trees was included. The volume of mature trees able to be pruned is directly affected by snow removal operations, since the same operators perform both functions. Work on ponds generally takes between the end of the leaf vacuum season and Christmas each year, provided weather conditions are suitable. The biggest pond project in 2018 was Hwy 7 Pond #1, located in Oddfellows Park. 13 Removals Location Ash Other Total Pa rks 24 6 30 Cemetery 0 3 3 Boulevards 29 69 98 2018 Removals 53 78 LU 2017 Removals 80 There comes a time in every tree's life where the only reasonable thing to do is to remove the tree. As a general rule of thumb, City staff removes most trees that are less than 24" in diameter. In general, larger trees are removed by contractors. Removal of 131 trees removed represents about a 0.97% mortality. This low mortality indicates that our urban forest is generally young and healthy. It is not unusual to have mortality rates in the range of 1.0% for younger urban forests to 2.5% for more established urban forests. 14 Storm Damage/Emergencies May 29, 2018 — Afternoon storm with significant winds required removals, pruning, and brush cleanup. — Initial response: • Staff hours 23.0 • Equipment hours 25.5 — Follow up (May 30-Jun 8): • Pruning & brush chipping — THANK YOU - To City of Litchfield Public Works for helping. There was one windstorm that caused significant tree damage this past year. On the afternoon of May 29, there was a storm accompanied by high winds. City staff were involved with cleaning up, removing trees, pruning damaged limbs, and removing brush from sites all over the City. A great big thank you to the City of Litchfield Public Works staff for helping us out on May 31. They came prepared to chip brush and worked for a long day in the area west of downtown. 15 Financial • Urban Forest Revenues • General funds — Some general funds and fees are used for forestry programs. It is likely additional funds may be needed for EAB management to offset removal & replacement costs. • Grants — HUC energy tree grant is $30,000. We have also utilized other forestry -related grants, on average, every other year for the last 8 years. • Chapter 429 assessments — Boulevard tree planting are a recognized public improvement able to be specially assessed to abutting property owners. The care of trees can also be assessed, but historically has not been done. ■ Donations — Volunteer labor, cash or other in -kind donations from private groups are regularly used for planting trees. A variety of revenue sources are used to fund urban forest programs. General funds and fees represent a relatively small amount of the revenue, while grants, when received, tend to represent a significant amount of revenue available for tree planting. There may be some need in the future to consider fees or other funding sources, particularly if revenues are not adequate to remove/replace trees following response to a disease/infestation. Including trees as part of improvement projects allows the use of bonds and assessments to offset the cost of trees removed/replaced as part of improvement projects. Other tree -related costs are eligible to be specially assessed, but the City has not historically assessed for these types of costs. Every year there are a number of volunteers that help out with tree planting. Volunteers have also helped with inventories and with general health assessments. Volunteers are an important component of the urban forest program and their efforts result in significant monetary savings each year. 16 Financial,.. • Urban Forest Expenditures • Labor — City staff — Arborist, Operators, and seasonal staff. • Tree stock — Bare root, ball/burlap, and potted trees. • Equipment — Two boom trucks, one 1-ton chipper truck, one brush chipper, one single -axle dump truck, one light truck and one trailer. — Saws, pruners, power tools, hand tools and supplies. • Contractual — Contract — Removals, pruning and stump removal. Labor costs for the urban forest program are significant, as most work is done by one Arborist and operators from Parks & Public Works. In the summer there are usually two seasonal staff. Tree stock is purchased, depending upon the need, in a variety of ways. Bare root stock is the least expensive. Purchasing ball/burlap and potted trees becomes necessary in some cases based on the need of the site or for specific species. There are two boom trucks, a 1-ton truck with a chipper box, a brush chipper, a single - axle dump truck, a skid steer loader, one light truck and a trailer used in forestry operations. Wheel loaders and other trucks are also used on an as -needed basis. Power tools and hand tools are also necessary to provide forestry services. We generally rotate these tools on a 2 to 3-year cycle, since it is critical that these tools remain reliable. Most contractual maintenance is performed for tree removals (usually large trees over 24" in diameter) or for stump removal and restoration. Some years, contractors are brought into augment pruning efforts by City staff, particularly in tougher winters, when staff is more focused on snow removal/ice control operations. 17 HUTCHINSON CITY COUNCIL CityafA Request for Board Action Agenda Item: 2018 Fund Balance Report and Discussion Department: Finance LICENSE SECTION Meeting Date: 3/12/2019 Application Complete N/A Contact: Andy Reid Agenda Item Type: Presenter: Reviewed by Staff Communications, Requests Time Requested (Minutes): 5 License Contingency Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: Attached for your review is a preliminary 2018 report, listing the fund balance and cash balance for all of the city's funds. The third page of the report shows the preliminary General fund balance at 55.2%, which includes the preliminary 2018 surplus of $529,382. City policy requires a fund balance of at least 40% of next year's budgeted expenses. The State auditor recommends a fund balance in the range of 35% to 50%. This is a good time to have a discussion on the General fund balance. We can either leave the fund balance at 55.2%, or we can move funds for other needs and still have a healthy fund balance above 50%. I've included scenarios showing the impact on our fund balance if council decides to move funds for other purposes. If council decides to use a portion of the fund balance, I would recommend the transfer be effective for the 2018 reporting period as an offset to the $529,382 surplus. The last page shows the 2018 fund balances for the Capital Projects, Community Improvement and Equipment Replacement funds. Committed projects have been deducted to arrive at the unreserved fund balance amounts, which are available for future expenditures. Note: The Airport Construction and the 2017 & 2018 Construction funds are showing significant fund balance and cash deficits due to the timing of federal dollars. The deficits will be funded temporarily as of 12/31/2018 with monies from the Capital Improvements fund. We received the Airport Construction federal dollars in February but we are still waiting on the 2017 and 2018 construction fund federal dollars. BOARD ACTION REQUESTED: Review and discussion on fund balances. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: *PRELIMINARY* FUND BALANCES & CASH BALANCES The use of the term "fund balance" is limited to Governmental funds, where it is used to describe the difference between fund assets and fund liabilities. Fund balance is not the same as cash balance. Cash balance is simply cash on hand at the end of a reported period, which is December 31 for this analysis. Negative fund balances result mainly from interfund borrowings that will be repaid in a future year. Negative cash balances typically occur due to the timing of other funding sources occuring in a following year, such as federal or state aid. Negative cash balances must be funded temporarily by another city fund at year-end. FUND BALANCE Fund Fund Type 12/31/2017 12/31/2018 Change GOVERNMENTAL FUNDS: General Fund General Fund 6,719,823 7,249,205 529,382 Rural Fire Department Special Revenue Fund 28,741 28,929 188 HATS Operation Special Revenue Fund 267,373 315,098 47,725 Economic Dev Loan Fund Special Revenue Fund 470,239 478,603 8,365 Energy Loan Fund Special Revenue Fund 912,869 924,579 11,710 Economic Loan Fund - MIF Special Revenue Fund (101) 19,804 19,906 Hutchinson Enterprise Center Special Revenue Fund (291,567) (282,372) 9,195 Housing Redevelopment Special Revenue Fund 77,305 78,328 1,022 SCDP Housing Rehab Special Revenue Fund 1,081,433 948,215 (133,218) Tax Increment Special Revenue Fund 495,890 560,956 65,066 TIF #4-16 - Franklin Street Site Special Revenue Fund (300,257) (311,459) (11,202) TIF #4-17 - Enterprise Center Special Revenue Fund (137,966) (143,466) (5,500) TIF #4-18 - Highfield Housing Develop Special Revenue Fund (4,743) (4,956) (213) TIF#4-19 - Hwy 7 & 15 Soils Condition Special Revenue Fund (14,503) (14,779) (275) TIF #4-20 - Warrior Expansion Special Revenue Fund - (8,603) (8,603) Public Sites Special Revenue Fund 255,924 267,077 11,154 Tree Disease Mitigation Special Revenue Fund - 449,044 449,044 2006 Improv Bonds Debt Service Debt Service Fund 401,470 295,568 (105,902) 2008 Improv Bonds Debt Service Debt Service Fund 93,379 49,972 (43,408) 2009 Improv Bonds Debt Service Debt Service Fund 270,945 248,247 (22,698) 2010 Improv Bonds Debt Service Debt Service Fund 459,120 369,420 (89,700) 2011 Improv Bonds Debt Service Debt Service Fund 624,018 611,580 (12,439) 2012 Improv Bonds Debt Service Debt Service Fund 693,096 683,736 (9,361) 2013 Improv Bonds Debt Service Debt Service Fund 705,829 687,747 (18,083) 2014 Improv Bonds Debt Service Debt Service Fund 445,607 437,558 (8,049) 2015 Improv Bonds Debt Service Debt Service Fund 480,704 461,473 (19,231) 2016 Improv Bonds Debt Service Debt Service Fund 439,671 461,108 21,437 2017 Improv Bonds Debt Service Debt Service Fund 109,779 461,197 351,418 2018 Improv Bonds Debt Service Debt Service Fund - 236,489 236,489 1992 Tax Incr Debt Service Debt Service Fund 39,313 58,896 19,584 2004 Go Tax Incr Refunding Bd Debt Service Fund 421,057 528,301 107,244 Capital Improvements Capital Projects Fund 1,417,025 2,039,344 622,319 Community Improvement Fund Capital Projects Fund 610,252 6,209,615 5,599,363 Airport Construction Capital Projects Fund 10,493 (387,408) (397,901) 2017 Improvement Construction Capital Projects Fund (188,081) (102,971) 85,110 2018 Improvement Construction Capital Projects Fund (11,487) (724,469) (712,982) 2019 Improvement Construction Capital Projects Fund - (20,954) (20,954) TOTALS 16,582,650 23,158,652 6,576,002 CASH BALANCE 12/31/2017 12/31/2018 Change 7,109,701 7,600,506 490,804 39,384 44,520 5,136 269,915 320,638 50,723 97,634 120,678 23,044 429,222 498,263 69,041 (222) 994 1,216 219,663 37,299 (182,364) 60,894 78,328 17,434 - 213,378 213,378 457,891 516,981 59,089 (120) (120) 260,808 264,086 3,278 - 449,044 449,044 400,883 293,704 (107,179) 92,934 49,314 (43,620) 270,800 247,426 (23,373) 458,232 368,663 (89,568) 623,410 610,753 (12,657) 692,608 683,048 (9,559) 705,211 686,586 (18,625) 444,953 436,310 (8,643) 480,134 460,683 (19,451) 439,161 459,558 20,398 109,779 459,101 349,322 - 236,489 236,489 39,313 58,896 19,584 - 87,789 87,789 1,601,164 2,129,017 527,853 619,091 6,212,216 5,593,125 14,998 (365,919) (380,916) - (102,971) (102,971) (934,122) (934,122) 15,937,560 22,221,138 6,283,578 *PRELIMINARY* NET POSITION & CASH BALANCES Proprietary funds use the term "net position" rather than fund balance. The factors behind net position are more complicated, but the largest difference is the inclusion of Fixed Assets, which can be a substantial amount. Fixed assets are not accounted for within Governmental funds, but rather within the General Fixed Asset fund. NET POSITION PROPRIETARY FUNDS: 12/31/2017 12/31/2018 Change Water Fund Enterprise Fund 14,188,036 13,389,672 (798,364) Sewer Fund Enterprise Fund 20,843,807 19,749,223 (1,094,584) Refuse Fund Enterprise Fund 2,683,845 2,688,455 4,610 Liquor Fund Enterprise Fund 1,485,166 1,517,475 32,309 Compost Fund Enterprise Fund 4,771,784 4,749,269 (22,514) Storm Water Utility Enterprise Fund 4,994,545 3,995,444 (999,101) Equipment Replacement Fund Internal Service Fund 2,530,208 2,180,511 (349,697) Self Insurance Fund Internal Service Fund 653,537 528,855 (124,682) TOTALS 52,150,927 48,798,904 (3,352,023) FUND BALANCE COMPONENT UNITS: 12/31/2017 12/31/2018 Change Economic Development Authority Component Unit 158,296 136,900 (21,396) CASH BALANCE 12/31/2017 12/31/2018 Change 3,438,179 3,808,119 369,941 5,857,265 6,314,521 457,257 1,396,620 1,548,213 151,593 121,837 116,957 (4,879) 2,112,128 2,372,834 260,706 1,219, 771 2,360,675 1,140,904 1,593,036 1,226,960 (366,076) 659,663 532,680 (126,983) 16,398,497 18,280,959 1,882,462 CASH BALANCE 12/31/2017 12/31/2018 Change 165,641 144,413 (21,228) COMMENTS: Cash Balances usually do not reflect actual operations due to the timing of cash flow for certain revenues and expenditures at year-end. It is standard accounting practice to accrue revenues earned and expenditures incurred during the year, although the cash is not received or disbursed until the following year. Large fluctuations in receivables or payables must be considered when making decisions on the use of cash balance. This mainly is a factor when looking at Proprietary funds. Fund balance is a more appropriate indicator for Governmental funds as receivables and payables have been factored into the fund balance amount. The use of fund balances within Governmental funds can be classified as; 1) Unspendable; 2) Restricted; 3) Committed; 4) Assigned or 5) Unassigned. The use of the fund balance may be determined by external restrictions, the nature of the fund, the activity within the fund or by city council action. General Fund Fund balance may be unspendable, restricted, committed, assigned or unassigned. The committed fund balance is for the City's working capital requirement. Since we only receive tax dollars and LGA in June and December, we must have adequate working capital reserves to operate in the months prior to receiving those funds. Unassigned fund balance represents the residual fund balance that may be used for any purpose designated by the council. Special Revenue Funds Fund balance may be restricted, committed, assigned or assigned. But ultimately, the use should be for the specific purpose designated by the fund itself. For example, the Rural Fire fund balance must be used for rural fire operations and not for any other purpose. Debt Service Funds Fund balance is restricted for debt service payments on the city's debt obligations. Capital Project Funds Fund balance is assigned for future capital improvement projects. We may have internal earmarks for funds, such as the Facility Plan. GENERAL FUND BALANCE ANALYSIS 2018 Fund Balance Type Amount Unspendable $2,290 Restricted $57,174 Unrestricted - Committed $5,249,917 Unrestricted - Assigned $113,413 Unassigned $1,826,411 Total Fund Balance $7,249,205 Purpose 2019 expenses prepaid in 2018 Police drug forfeiture funds 40% Working Capital - % of next year's budgeted expenditures Cemetery perpetual care funds for future capital improvements 13.9% of next year's expenditures 55.2% of 2019 expenditures . City policy requires a General fund unrestricted (committed) fund balance of not less than 40% of the next year's budgeted expenditures. The State Auditor and the League of Minnesota Cities recommend a fund balance reserve be anywhere from 35% to 50% of planned expenditures. The Unassigned fund balance may be used by City Council for any purpose, while being cognizant of maintaining a healthy fund balance after potential any use. Fund balance is factor that could affect the City's bond rating. Scenarios of Fund Balance Use Use of Fund Balance % Fund Balance Remaining $100,000 54.5% $250,000 53.3% $500,000 51.4% $686,809 50.0% Potential Uses of Fund Balance: 1) Future police facility expenditures 2) Heavy fleet; Over $1 M needed in next 5 years: Snow plow trucks, Wheel loaders, Zamboni ice resurfacer 3) City Center improvements 4) Playground equipment replacements 5) Other projects? CAPITAL PROJECTS FUND 2018 Ending Fund Balance $2,039,344 Facility Plan Reserve (821,224) Miscellaneous Infrastructure Maint Reserve (214,431) Planning Funds (105,328) T-Hangar project (59,778) Ballfield Improvements - remaining costs (55,242) Rail Authority - 2019 & 2020 lease payments (60,000) Unreserved Fund Balance $723,341 COMMUNITY IMPROVEMENT FUND 2018 Ending Fund Balance $6,209,615 Police Facility - assigned fund balance (3,000,000) Dakota Trail Improvements (80,000) Gateway Park Improvements (33,700) Center for the Arts 2019 & 2020 commitments (30,000) Wayfinding/Interpretive signage project (10,000) Public Arts Commission funding carryover (9,837) Unreserved Fund Balance $3,046,078 EQUIPMENT REPLACEMENT FUND 2018 Ending Cash Balance $1,226,960 Heavy Equipment Debt Service reserve' (605,318) Unreserved Fund Balance $621,642 5-Year Equipment debt service, 2018-2022 HUTCHINSON CITY COUNCIL CityafA Request for Board Action Agenda Item: Discussion on Chapter 93.18 of City Code - Running at Large Prohibited Department: Administration LICENSE SECTION Meeting Date: 3/12/2019 Application Complete N/A Contact: Matt Jaunich Agenda Item Type: Presenter: Matt Jaunich Reviewed by Staff Communications, Requests Time Requested (Minutes): 10 License Contingency Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: Back in early January, Mayor Forcier had asked the Council and City Staff about reviewing the City's "leash laws" or dogs running at large ordinance. The Mayor was specifically interested with including language that would allow for electronic remote collars so dogs could be walked without a leash. Staff has spent some time doing research on this issue and would like to discuss the language of our city code (93.18) and where the Council would like staff to go with this. There are four documents attached to this Board Action Form. The documents cover the following: -- The first document is a proposed revision to the ordinance that would allow for dogs/cats to be accompanied by "electronic means" -- The second document is the "running at large" language used at some of the other regional centers in outstate Minnesota. -- The third document is language from the City of Otsego, MN regarding running at large and animal control. This is the only ordinance I was able to find that specifically addresses electronic collars within Minnesota. It is not a common practice to allow for this type of language in an ordinance. -- The last document is a memo I asked for from the Police Chief regarding concerns he would have with this type of ordinance being adopted. BOARD ACTION REQUESTED: Discussion only. No action at this time Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: PROPOSED ORDINANCE AMENDING SECTION 93.18 § 93.18 RUNNING AT LARGE PROHIBITED. It shall be unlawful for the dog or cat of any person who owns, harbors or keeps a dog or cat to run at large. A person who owns, harbors, or keeps a dog or cat which runs at large shall be guilty of a misdemeanor. Dogs or cats on a leash and GOR4911ed by ^ e-R.able "^"`^" accompanied by a responsible person or accompanied by and under the control and direction of a responsible person, so as to be effectively restrained by command or electronic means as by leash, shall be permitted in streets or on public land unless prohibited with signs reading "Dogs and Cats Prohibited," except that dogs under the supervision of their owner may be unrestrained in the area designated as an off leash dog park. Dogs or cats who are under the control and direction of a responsible person so as to be effectively restrained by leash or an electronic control device shall be permitted only on private property at the consent of the property owner or in a public area designated as such. (2004 Code, § 93.18) (Ord. 13-0705, passed 4-9-2013; Ord. 17-777, passed 10-10-2017) Penalty, see § 10.99 REGIONAL CENTERS "LEASH" LAWS City of Willmar Sec. 4-26. - Running at large. Authority to impound,- declaration of nuisance. Any dog or cat which runs at large within the city at any time shall be subject to the provisions of this division regarding impounding and destruction, and such animal shall be deemed to be a nuisance. Allowing dog or cat to run at large. It shall be unlawful and deemed to be a violation of this chapter for the owner, keeper or person lawfully charged with the care of any dog or cat, to permit or allow the dog or cat to run at large at any time within the city limits of the city. City of New Ulm Section 8.21. Dog and cat regulation and licensing. Subdivision 1. Running at large prohibited. It is unlawful for any person who is the owner, or other person in possession or control, of a dog or cat to permit such dog or cat to run at large; provided, that such dog or cat shall not be deemed to be running at large if it is on a leash or otherwise under the direct control of an accompanying person. City of Marshall Section 14-2. — General regulations. No person shall allow, permit or place any animal upon any public park, bike path or foot bridge, or upon any grass, turf, boulevard, city park, cemetery, garden or private property, without the specific permission from the owner. The restrictions of this subsection do not prohibit the appearance of any dog or cat upon streets or public property when the dog or cat is on a leash or under the control of the person charged with its care. City of Alexandria Subd. 4. Running at Large Prohibited. It is unlawful for any person who is the owner, or other person in possession of an animal to permit such animal to run at large; provided that an animal shall not be deemed to be running at large if it is on a leash or otherwise under the control of an accompanying person. City of Albert Lea Sec. 14-36. - Dogs running at large. It is a petty misdemeanor for any owner to permit a dog to be unrestrained at any time. For purposes of this section, every dog at large is deemed at large and unrestrained with the permission and at the sufferance of its owner. If a violation of this section occurs, it shall be no defense that the offending dog escaped or is otherwise at large without the permission or sufferance of its owner. Restrained means within the limits of the owner's property or while confined within a vehicle being driven or parked on the streets or on a leash, one end of which is attached to a collar worn by the animal and the other end of which is firmly held by a person of suitable age and discretion. Any animal not restrained is unrestrained and at large. St. Cloud Section 1040:40. Animals at Large. Subd 1. It will be unlawful for any person having or maintaining any animal to permit the animal to be at large or to be upon any premises other than as provided in the permit whether or not a permit for such animals has been issued as provided under the licensing and permit provisions of this code or other ordinance of the City. Subd. 2. It is unlawful for any owner to allow a domestic animal to be at large at any time. Subd. 3. Dogs are permitted to be unleashed in off leash dog park areas as designated by the City of St. Cloud Park Department under the following conditions: a. The owner of the dog must be present; and b. The dog must be under the voice control of the owner at all times; and c. The owner of the dog must have in their possession a valid dog park permit as provided for in Ordinance Section 236 and d. Feces must be properly removed and disposed of in compliance with Park Department Rules "At Large" means off the premises of the owner and not under the control of the owner, or other competent person, by leash not exceeding eight feet in length. Mankato Subd. 5. Running at Large. A. Definition. "Running at Large" shall mean off the premises of the owner or keeper and not under the control of a person by leash, cord or chain of not more than ten (10) feet in length. B. Prohibition. It is unlawful for any person owning, harboring or keeping any dog or cat to allow or permit, whether knowingly or unknowingly, such dog or cat to run at large within the City; provided that the provisions of this prohibition shall not apply to any dog or cat confined within a building, structure or enclosed vehicle if such confinement is otherwise lawful and with the consent of the owner of the building, structure or vehicle; or to any dog or cat owned or kept by an employee or agent of the City while such dog or cat is being employed in the enforcement of this section. C. It shall be unlawful for any person owning, harboring, or keeping any dog or cat to allow or permit, whether knowingly or unknowingly, such dog or cat to leave the premises of the owner or keeper, without a rabies identification tag attached to the animal or the animal having a microchip implanted. Animal Control - City of Otsego, Minnesota Page 1 of 1 Animal Control The City of Otsego contracts with the City of Monticello for animal control. Please contact the Animal Control Officer at 612.859.6989 and/or the Wright County Sheriffs Office by dialing 911 if you require assistance with an animal. Quick Information: Running at Large: It shall be unlawful for the dog or cat of any person who owns, harbors, or keeps a dog or cat, or the parents or guardians of any such person under eighteen (18) years of age, to run at large. Dogs must be physically restrained on a leash or using an electronic remote collar and accompanied by and under the control and direction of the responsible person shall be permitted in streets or on public land unless the City has posted an area with signs reading "Dogs or Cats Prohibited." Habituai Barking: It shall be unlawful for any person to keep or harbor a dog which habitually barks or cries. Habitual barking shall be defined as barking or crying for repeated intervals of at least three minutes with less than one minute of interruption. Such barking or crying must also be audible off of the Owner's or caretaker's premises. Repeated barking due to intentional provocation by an unrelated individual residing off the property of the Owner is not considered habitual barking for purposes of this ordinance, nor is barking related to a periodic external stimulus such as a non domestic animal, machinery or unusual activity within the vicinity of the premises. City Code 2 https:/Iwww.ei.otsego.mn.us/anirnalcontrol 119/2019 MEMORANDUM POLICE / EMERGENCY MANAGEMENT SERVICES TO: Matt Jaunich FROM: Daniel T. Hatten DATE: January 18, 2019 RE: Ordinance 93.18 Running at Large Prohibited I have attached the current city ordinance requiring pets to be on a leash while in public spaces except in designated off leash areas. 93.18 RUNNING AT LARGE PROHIBITED. It shall be unlawful for the dog or cat of any person who owns, harbors or keeps a dog or cat to run at large. A person who owns, harbors, or keeps a dog or cat which runs at large shall be guilty of a misdemeanor. Dogs or cats on a leash and controlled by a reasonable person shall be permitted in streets or on public land unless prohibited with signs reading "Dogs and Cats Prohibited," except that dogs under the supervision of their owner may be unrestrained in the area designated as an off leash dog park. Dogs or cats who are under the control and direction of a responsible person so as to be effectively restrained by leash or an electronic control device shall be permitted only on private property at the consent of the property owner or in a public area designated as such. I am recommending the city ordinance remain as it is currently written as it relates to pets, specifically dogs being allowed off leash on an electronic control device in public spaces for the following reasons; The City of Hutchinson does have a park solely dedicated for dog owners to allow their dog to run free. This park was created at the urging and financial support of dog owners. Dogs allowed in public spaces on electronic control devices are not viewed by the general public as being under control when first observed. Dogs on an electronic control device are frequently yards away from their owner which causes a sense of uneasiness and even fear for the unknowing citizens who encounters this dog off leash on a public street, trails, or City Park. Dogs on an electronic control device would be able to play in any city park under the direction of the owner again causing a sense of uneasiness and even fear for the unknowing citizens who encounters this dog off leash. Dogs on an electronic control device are frequently running onto private property without the authorization of the property owner. Often the dog owner will not go on said property to clean up after the dog if the owners are even aware the dog as taken care of its business. The dog owner clearly has no way of preventing the dog from urinating on private property if the animal is allowed to run off leash. Allowing dogs in public spaces on an electronic control device will be difficult at best to enforce the ordinance based on the fact officers seeing an animal off leash would not be readily able to determine if the animal was under the control of an electronic control device or truly running at large. For these reasons I am recommending the existing Ordinance 93.18 Running at Large Prohibited remain as it is currently written. HUTCHINSON CITY COUNCIL CityafA Request for Board Action Agenda Item: 2nd Reading of Ordinance Rezoning 1015 Dale St. SW from R-1 to R-4 Department: Planning LICENSE SECTION Meeting Date: 3/12/2019 Application Complete N/A Contact: Dan Jochum Agenda Item Type: Presenter: Dan Jochum Reviewed by Staff Unfinished Business Time Requested (Minutes): 5 License Contingency Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: This is the 2nd reading of the ordinance for the proposed rezoning of 1015 Dale St SW from R-1 to R-4. This rezoning will facilitate the Woodstone Addition and is consistent with the approved Plat and site plan that the City Council previously approved. Please contact me should you have any questions. BOARD ACTION REQUESTED: Approval of 2nd reading of rezoning ordinance. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: PUBLICATION NO. 8320 ORDINANCE NO. 19-795 AN ORDINANCE OF THE CITY OF HUTCHINSON, MINNESOTA, TO REZONE PROPERTY AT 1015 DALE ST SW FROM R-1(SINGLE FAMILY RESIDENTIAL) TO R-4 (HIGH DENSITY RESIDENTIAL) AS REQUESTED BY CITY OF HUTCHINSON PROPERTY OWNER THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA ORDAINS: Section 1. Notice of hearing was duly given and publication of said hearing was duly made and was made to appear to the satisfaction of the City Council that it would be in the best interest of the City to rezone the property from R- 1 (Single Family Residential) to R4 (High Density Residential): Section 2. That the property to be rezoned to R-4 (High Density Residential) is described as follows: Outlot A, Welcome to Our Home Addition, Hutchinson, MN Section 3. This ordinance shall take effect from and after passage and publication. Adopted by the City Council this 12th day of March, 2019. ATTEST: Matthew Jaunich, City Administrator Gary T. Forcier, Mayor Ordinance No. 19-794 An Ordinance Establishing a Sustainability Advisory Board for the City of Hutchinson The City of Hutchinson ordains: §31.32 Sustainability Advisory Board. (A) Establishment. A Sustainability Advisory Board is hereby established. (B) Purpose. The purpose of the Sustainability Advisory Board shall include, but is not limited to: (1) Advise and make recommendations to the City Council and identify the highest priorities for city government and citizens to achieve sustainable management of natural resources - water, urban forests, and energy in particular - and shall recommend to the City Council goals to achieve and workable means to reach such goals. (2) Provide input to the City Council and city staff as to the continued use and environmentally -friendly manufacturing of compost and other products produced at Creekside Soils, the City's composting facility. (3) To help oversee the City's urban forest tree program and to review and make recommendations as to the present and future needs of the City's urban forest and to make recommendations as to tree management, including amendments to the Hutchinson City Code. (4) To advise the City Council as to resource and energy reduction measures in city buildings and operations. (5) To promote the City's continued participation in programs such as Tree City USA, GreenStep Cities, and the SolSmart Designation. (C) Appointment and Board Composition (1) The Board may consist of up to five members who are appointed by the Mayor, subject to ratification by the City Council. One of the board members may be a Hutchinson City Council Member and, additionally, one of the board members may be a member of the Hutchinson Utilities Commission. All remaining board members are "at -large" members. (2) At -large members shall serve three-year terms but may be appointed for periods of less than three years in order to achieve staggered appointments at the establishment of the board or due to member resignation or removal. City Council and Utility Commission appointments shall be for one-year terms. (3) At -large members shall be residents of the Hutchinson Joint Planning Area or the owner of a business based in the Hutchison Joint Planning Area. (4) The City Administrator, the City's Project/Environmental/Regulatory Manager, and the Compost Manager shall be ex officio, nonvoting, members of the Board. Adopted by the City Council this day of , 2019. ATTEST: Mayor Gary T. Forcier Matthew Jaunich, City Administrator Ordinance Number 19-797 Publication Number An Ordinance of the City of Hutchinson, Minnesota Repealing Section 31.26 and Section 31.31 of the Hutchinson City Code The City of Hutchinson ordains: Section 1. That section 31.26 of the Hutchinson City Code pertaining to the City Tree Board and section 31.31 pertaining to the Creekside Renewables Advisory Board are hereby repealed and, therefore, those boards are abolished. Section 3. This ordinance shall take effect upon its adoption and publication. Adopted by the City Council this day of , 2019. Gary T. Forcier Mayor ATTEST: Matthew Jaunich City Administrator HUTCHINSON CITY COUNCIL ci=v-f� Request for Board Action 7AL =-ft Agenda Item: Crow River Sno Pros Event Department: Police LICENSE SECTION Meeting Date: 2/12/2019 Application Complete Yes Contact: Daniel T. Hatten Agenda Item Type: Presenter: Daniel T. Hatten Reviewed by Staff New Business Time Requested (Minutes): 2 License Contingency Attachments: No BACKGROUND/EXPLANATION OFAGENDA ITEM: The Crow River Sno Pros Snowmobile Cub will be having a summer camp out this year. The organization has reserved all the camping sites at the West River Park including the electrical sites, along with the Shelter and Band Shell. The dates for this event are August 9-11, 2019. They are planning on having food catered in on Friday and Saturday for at least one meal each day. Pizza on Friday with a hog roast (or similar) on Saturday. There will be no food sales. They are planning on having entertainment both evenings, which is why they have rented the Band Shell and to ensure they had the whole park to themselves. They are aware the noise ordinance requires amplified music to stop at 10:00 PM but are asking for a waiver for one hour to 11:00 PM. The Sno Pros will not be providing nor selling any alcohol at this event. They will not be advertising publicly but they won't discourage the general public from stopping by to see what is happening and encourage them to join the club if they're interested. I have reviewed this request, confirmed with the Parks Dept the entire park as been reserved. I have also determined no additional police staff will be required. I will ensure the patrol staff is aware of this event and will be prepared to respond and provide any assistance required. The Hutchinson Police looks forward to working with the Crow River Sno Pros to ensure a successful event. BOARD ACTION REQUESTED: Recommend approval Fiscal Impact: $ 0.00 Funding Source: N/A FTE Impact: 0.00 Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: HUTCHINSON CITY COUNCIL CityafA Request for Board Action Agenda Item: Approve/Deny First Reading of Ordinance 19-798, set Second Reading Department: Administration LICENSE SECTION Meeting Date: 3/12/2019 Application Complete N/A Contact: Matt Jaunich Agenda Item Type: Presenter: Matt Jaunich Reviewed by Staff New Business Time Requested (Minutes): 10 License Contingency Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: Attached is a copy of the ordinance that would amend Chapter 95.08 of our City Code dealing with Tobacco -Free Parks. At our last council meeting, council member Cook brought forth language that would expand upon our Tobacco Free Language within Section 95 of our City Code. The language was less restrictive than an all-out ban and would restrict smoking within 25 feet of any city playground or ballfields as listed within the ordinance. There is also an exception for parking lots that are 25 feet or more away from an entrance, walkway or spectator area. There was consensus among the council members to consider this language in a future ordinance, which has been drafted for your consideration. If you are comfortable, I would ask the Council to consider an official first reading of the ordinance on Tuesday. The plan is to have the second reading and potential approval at the second meeting in March. BOARD ACTION REQUESTED: Approve/Deny First Reading of Ordinance 19-798, an Ordinance Amending Chapter 95.08 of the Hutchinson City Code dealing with Tobacco -Free Parks. Set second reading and potential adoption for March 26. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: ORDINANCE 19-798 AN ORDINANCE AMENDING CHAPTER 95.08 — TOBACCO -FREE PARKS, OF THE HUTCHINSON CITY CODE The City Council hereby ordains: WHEREAS, there is a need to update rules and regulations within the park and recreation system as growth and different uses within the system presents itself, and WHEREAS, the City believes parents, leaders, and officials involved in recreation are role models for youth and can have a positive effect on the lifestyle choices they make; and WHEREAS, because the City of Hutchinson believes that tobacco use in the proximity of children and adults engaging in or watching outdoor recreational activities is detrimental to their health and can be offensive; NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Hutchinson, that Chapter 95.08 of the City Code is hereby amended and replaced to read as follows: § 95.08 TOBACCO -FREE PARKS. It is unlawful for any person to smoke or use tobacco products or electronic delivery devices (e-cigarettes, e-pipes, vap pens, etc.) within 25 feet of any city playground or within the confines of Tartan Park (which includes the terrain park, skate park and north ball field), Veterans Memorial Field, the ball field areas at Roberts Park, Riverside Park, Northwoods Park and VFW Park, and the Hutchinson Aquatic Center. This also includes spectator areas, concession stands and restrooms at these facilities. Except for Tartan Park, parking lots adjacent to the facilities listed in this section are exempt from the rules of this section unless use of such products and devices are closer than 25 feet from any entrance, walkway, or spectator area. FURTHERMORE BE IT ORDAINED that the effective date of this Ordinance is , 2019. ADOPTED BY THE HUTCHINSON CITY COUNCIL THIS DAY OF 52019 Attest: Matthew Jaunich, City Administrator Gary T. Forcier, Mayor 2018 Motor Vehicle Recap Processed 2,012 new to fleet or title transfers for 9 dealerships. Total transactions for DMV, DNR and Driver's License reached 48,066, showing an increase in transactions of 5,367. This is misleading, as what was once a one step process has became a two and three step process in MNLARS with increased time to finalize a transaction, but with no increase in filing fees. Expedited 27 motor vehicle titles once this ability was restored to us on 7/2/2018. Successfully trained and implemented the federally mandated Real ID on October 1, 2018. Participated in two Time and Motion Studies initiated by MDRA to measure the increased amount of time that is spent on each transaction with the implementation of the Real ID, Enhanced and Standard driver's licenses. With a third and final Time and Motion study in for MNLARS and a Financial impact survey completed, sponsored by MDRA, the final results show an increase of 37% time spent with motor vehicle transactions and an increase of 34%time for drivers license and a cost of 9.8 million borne by deputy registrars in the first year. Goals for 2019 As a new board member of the MDRA, I will continue to support all efforts to secure compensation for deputies. The board is pursuing a 14 million compensation amount for deputies and will be asking for filing fee increases of $4.00 for long applications, $3.00 for renewals and $4.00 for driver's license. With the ability to print duplicate titles, we will be asking for a $10.00 expedite fee for this, in addition to the duplicate title fee. In preparation for the many new updates and enhancements that MNLARS and FAST continue to release, our office will continue to watch the online training and help each other complete the new transactions. Hire a full time employee to replace Dale Krienke and possibility hire and train a new part time employee if one of the current part timers pursue the full time position. Continue to offer excellent customer service to encourage returning customers. Grand Totals: City Fees: Transactions; State Total: City Fees: _ Transactions: r_ __. __ 2018 $ 6,034,976.70 Grand Totals: - $ - 289,213.25 City Fees: - ---- _ 48,0667ransattloas: Motor Vehicle 5 5,501,824.57 State Total; _ _ --, 206,486.00 City Fees: 361880 Transactions: _ 2018 5 YR Year -End Recap Comparison 2017 1 2016 $ 5,992,805.23 Grand Totals: $ 5,828,962.56 Grand Totals: $ 295,62250 City Fees:. . $ 299,052.00 City Fees, 42,699 Transactions,. 41,974 Transactions: - .-- - Motor Vehicle Motor Vehicle $ 5,474,939.58 State Total: $ 5,287,633.13 fatal: City Fees: 5 202,607.00 : �5 203r343.00 City Fees ,_..—. _ ..--_----- 31,431. Transactions: 30,079 Transactions: 2015 $ $ - - Motor Vehide 5 -- $ 51668,65S.55 281,153.5G 41,425 — 5,151,618.00 200,710.00 30,312 Grand Totals: City Fees: Transactions: - - - Total: City Fees: Transactions: 2014 I $ --1_ $ 1 ; Motor Vehicle $ $. 5,627,657.01 278,347.00 40,445 5,127,328.16 202,214.00 -- 29,422 Drivers license Drivers License I Drivers License Drivers License Drivers License State Total: $ 321,822.50 State Total: $ 122,759.00 State Total: $ 134,501.25 Total: city Fees: _ 129,506,00 _ Totals $ 120A59.25 City Fees:. $ _ 61,686.00 City Fees: _ $ 62,fi12.g0 Ciry Fees: '$ 65,476.00 $ 61,296,00 Chy Fees: $ 57,44&00 Transactions: -- 7,890 Transattions: -� 8,088 Transattions:_ ._._..— 8.460 .—_ Transactions: 7838 Transactions: 7,730 1 ___ _ Applications: Photos: Passport $ ._.. 3,660.00- Passport Passport Passport Passport Pictures Applications: Applications:_ ApplicatIons: i Applications: _ _ Photos: $ 3,645.00 Photos: $ 6,GD0.00 Photos: $ 5,325.00 _ Photos' $ 4,110,00 Postage: Postage: Tren88ctions: (Appea Phelaa} DNR 408 Postage: Postage: Transactions: 274 Postage: - - Transeclions:(Apps6Pholn) 243 Transactions:(Apps apt 355 Trartsuctions; Total: City Fees: Transactions: _ Toll k: City Fees: _ Transactions: JAP,&F1 244 DNR $ 87,125.35 $ 11,b76.00 2,472 Fish 8 Game $ 14,397.25 5 556.50 S77 ATM Fees DNR State Total: I $ 109,066.88 DNR DNA Total: $ 92,164.55 City Fees: $ 12,302.W Teansacteons: 2512 State Total: $ 86,185.90 State Total: $ 105.041.43 City Fees: $ 12,56850 _ _ City Fees: 13,715.50 Transactions_ 2,582 F&G City Fees: $ 11,821.00 Transactions: 2,231 _ Transactions: 2,652 F&G F&G _ F&G Total: $ 13,376'.50 State Total: 5 12,049.50 State Total: $ 13,3M.25 SNuteTotal: _� Cay Fees: _ _ $ 12,734,75 City Fees: $ 393.25 _ City Fees: _ _ _ Transactions: $ _ , 451.50 541 $ 428.00 City Fees: _ _ $ 440,5D Transactions: 489 ATM Files Transactions: 471 Transactions: 429 12 month Total ATM $ 1,287.50 _ ATM ATM 12 Month Total i $ 1,395.00 12 Month Total $ 2,447.50 v 12 Months Totat $ 3,135.00 12 Months Total . $ 2,792.50 HUTCHINSON CITY COUNCIL ci=v-f� Request for Board Action 7AL =-ft Agenda Item: December 2018 Preliminary Financial Statements & Local Sales Tax Update Department: Finance LICENSE SECTION Meeting Date: 3/12/2019 Application Complete N/A Contact: Andy Reid Agenda Item Type: Presenter: Reviewed by Staff Governance Time Requested (Minutes): 0 License Contingency Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: For Council review, attached are preliminary 2018 financial statements for the general and enterprise funds. Also attached is my narrative regarding the financial results of each fund. The last page of this report provides an update on the historical local sales tax and excise tax collected within the Water and Sewer funds. As a reminder, these funds are entirely dedicated to paying annual debt service. If not for this revenue source, both funds would have a significant cash deficit each year, most likely requiring user rate increases. Feel free to contact me with any questions. Thank you. BOARD ACTION REQUESTED: Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: 2018 Preliminary Financial Results GENERAL FUND SUMMARY The preliminary 2018 financial statement for the General fund currently reflects a net surplus of $529,382. These results are preliminary and subject to change as we finalize the 2018 financial audit, however I do not anticipate any material adjustments. Actual Budget Variance % Var Total Revenues $13,650,949 $12,858,303 $792,146 6.2% Total Expenses $13,121,567 $13,260,091 $138,524 1.0% Net Revenue $ 529,382 $ (401,288) $930,670 Total revenues exceeded budgeted expectations by $792,146 while total expenses were under budget by $138,524, leading to a $529,382 surplus that beat the budget by $930,670. We budgeted for a $401,288 deficit, resulting from a transfer of committed fund balance out of the General fund to the new Tree Disease Mitigation fund. The transfer was considered necessary as those funds had accumulated to a substantial amount and was beginning to skew the General fund's actual operating fund balance. The major factor behind the large revenue variance is the council's decision to transfer $500,000 of hospital payoff monies from the Community Improvement fund. This was done to rebuild the General fund balance, which had decreased in recent years due to funding the new aquatic center. If not for the transfer -in, revenues would have exceeded the budget by only $292,146, or 2.3%. FUND BALANCE Overall, it was a very good year for the General fund operations. The 2018 fund balance represents 55.2% of the 2019 budgeted expenditures, up from 52.3% last year. We continue to maintain a healthy fund balance in comparison to the State Auditor's recommendation of at least 35% to 50%. REVENUES Total revenue exceeded the budget by $792,146 within each revenue category. The following is a summary of the key activity Taxes ($42,074 more than budget) Since the repeal of the State's Market Value Homestead Credit at the end of 2011, the City's collection of current general fund property taxes has averaged approximately 99.2% annually; less than a 1% delinquency rate. The 2018 collection rate of 99.7% is an unanticipated increased from the past average. This revenue category normally outperforms the budget due to the collection of delinquent taxes, not only from the general levy but also from the debt levy. Our practice with the debt levy is to make the debt service funds "whole" by transferring the delinquency to the general fund. This allows the debt service funds to maintain healthy fund balances to meet scheduled debt payments on the G.O. Improvement Bonds. For budgeting purposes, we are very conservative with the delinquent taxes simply due to the uncertainty around delinquent collections. Other Taxes ($6,092 less than budget) This category includes the collection of Lodging Taxes ($6,059 under budget) and Cable TV Franchise Fees ($33 under budget). We had assumed the new hotel at the intersection of highways 7 & 15 to be open in the first half of 2018 but operations did not commence until September. Revenue reported by the new hotel was offset by an identical decrease in revenue for the three other hotels in the city. For lodging taxes collected, 95% is remitted to the Hutchinson Convention & Visitors Bureau to fund those operations. While our lodging tax revenue fell below budgeted expectations, the corresponding expense (the 95% to HCVB) fell below budget as well, resulting in a minimal impact to the General fund's bottom line. Similarly, for the cable TV franchise fees, 50% is remitted to HCVN to help fund the public television network. The payments to HCVB and HCVN are reflected as a Miscellaneous Expense within the general fund. Licenses & Permits ($224,155 greater than budget) The largest driver in this category was Building Permits, which exceeded the budget by $206,471. A total of 1,424 permits were issued in 2018 based on total value of $44,309,277. Intergovernmental Revenue ($39,948 greater than budget) Police Pension Aid and Other State Grants exceeded the budget by $24,957 and $15,534, respectively. We budget police pension aid at the same level as the prior year's actual and the 2018 aid increased $24,957 over the 2017 amount. The other state grant increase is the result of a $15,000 bridge sealant grant awarded by the U of M to the Streets Department. Charges for Services ($27,120 less than budget) The waterpark revenue was the main factor in missing our budgeted revenue for this category. The daily admissions and season membership revenues fell below budget by $23,867 and $35,363, respectively. We believe that poor June weather was the main factor in lower revenue. Other areas that underperformed compared to the budget include: Recreation Activity Fees ($26,419) and Motor Vehicle Fees ($10,415). Areas that outperformed compared to the budget include: Civic Arena Rental Fees ($45,565) and Engineering Fees ($22,914). Miscellaneous Revenues ($23,807greater than budget) Interest rates continued to rise in 2018, contributing to General fund investment earnings of $67,377 compared to a budget of $55,000. Back in 2017, we made the decision to maximize our interest earnings by transferring cash reserves out of our local bank and into a money market within our brokerage account. The money market has been earning 2.25% annually compared to only 0.40% through the local bank. On a balance of $10,000,000, that equates to an additional $185,000 per year by making this change. The money market funds are liquid and can be accessed on a daily basis, as needed. Transfers -In ($494,385 greater than budget) The increase is due to the $500,000 transfer from the Community Improvement fund to rebuild General fund reserves. The HUC transfer to reimburse for street light utilities was $5,616 below the budgeted estimate. Fines & Forfeitures ($989 greater than budget) This category consists of the City's portion of court fines received from the State. EXPENDITURES Total expenditures were less than the budget by $138,524. The following is a summary of the key activity within each expenditure category. Wages & Benefits ($1,961 less than budget) Several factors comprise the positive budget variance of $1,961. The largest factor is within the Police department budget where we budgeted a 5% vacancy factor to deal with anticipated officer turnover. We began this budgeting practice in 2016 in an attempt to minimize the historical budgetary surplus caused by officer turnover. There was very little turnover in 2018, resulting in the Police wages and benefits being $147,854 over budget. This is a budgetary assumption that works well in years with turnover, but not so well with little or no turnover. The 2019 budget adjusted the vacancy factor to one full-time police officer wages and benefits, which equates to roughly half of the previous 5% vacancy assumption. We will analyze this assumption each budget year. Building Inspections was $48,794 under budget due to later hiring dates for the two new inspectors than was budgeted. Additionally, we budgeted for family health and dental benefits for both positions when in reality, one waived the benefits and the other elected only single coverage. The IT department was under budget by $28,314 due to employee turnover. Other departments with significant budgetary savings include City Administration ($5,085), Motor Vehicle ($8,379), Streets & Alleys ($5,536), Event Center ($4,756), Waterpark ($32,829) and Cemetery ($16,487). Departments with a significant budgetary deficit for wages and benefits include Fire ($9,800), Civic Arena ($9,683) and Recreation Building ($4,131). Supplies ($33,146less than budget) Expenses contributing to the budget surplus in this category include Chemicals ($13,840), Concessions Supplies ($8,951), Small Tools & Equipment ($18,465) and Building Repairs Supplies ($8,789). Expenses that exceeded the budget in this category include Street Maintenance Materials ($11,009) and Tree & Landscaping Materials ($10,130). Services & Charges ($105,538 less than budget) Several factors contributed to the budget surplus. Expenses that were less than budget include Professional Services ($29,725), Software & Licensing ($23,669), Travel/Conference Expense ($25,846), Contract Repair & Maintenance ($36,461) and Automotive Repair & Maintenance ($17,227). Areas that exceeded the budget include Credit Card Processing ($7,847), Utilities ($25,847) and Insurance Deductible ($12,116). The insurance deductible was partially offset by policy premiums being under budget by $6,909. The higher deductible expense was attributed to the 430 Water Street claim that resulted in attorney fees from the League of Minnesota Cities as they represented the City in the matter. Miscellaneous Expenses ($12,114 less than budget) As explained in the Other Taxes revenue above, the Lodging Tax revenue was under budget by $6,059, translating into the Expense being under budget by $5,756. The expense represents the 95% of lodging taxes remitted to the Hutchinson Convention & Visitor's Bureau. Dues and Subscriptions were $7,295 under budget with several departments contributing to the savings. Transfers -Out (Actual equals Budget) Transfers -out include $100,000 for the City's annual funding share of the HATS facility, in addition to $401,288 of tree disease mitigation funds being transferred to a new special revenue fund in 2018. Capital Outlay ($14,235 more than budget) The budgeted activity in this category is for the on -going fence improvements at the Cemetery. We spent $11,990 for fencing in 2018 after several years of no expenditures. We also incurred $12,245 of unbudgeted improvements to the Airport fuel system, where the credit card reader terminal failed and needed to be replaced. Fuel could not be purchased without a functional credit card system. ENTERPRISE FUNDS The 2018 financial statements for enterprise funds are substantially complete but have some necessary work as we prepare for the audit. Accounting for our fixed asset activity is a major function prior to the audit fieldwork in April. In accounting for fixed assets, we move all capital expenditures incurred in the year from the P&L expense to the Balance Sheet asset accounts. We also calculate depreciation expense for the year. These preliminary financials do include estimates for the Depreciation expense mainly for budgetary comparison purposes. We also will move the debt service principal payments from the P&L to the Balance Sheet. While those entries have yet to be made, the preliminary financials should give council a good understanding of how the various funds performed in comparison to the budget since we budget for those Balance Sheet items on our P&L (Capital and Debt). LIQUOR FUND Total revenues for 2018 exceeded the budget by $3,713 while expenditures were under budget by $37,777. While 2018 ended with a negative net revenue of $76,691, this was favorable by $34,065 when compared to the budgeted negative net revenue of $110,756. The liquor store had another good year financially, with total sales increasing 1.5% over the prior year and falling just $2,500 short of our budgeted expectations. All sales categories increased in comparison to the 2017 sales levels; Liquor 2.9%, Beer 1.0%, Wine 0.03% and Other 4.3%. Liquor and Other sales exceeded the budget by $13,572 and $1,396, while Beer and Wine fell short of the budget by $14,566 and $2,902, respectively. The gross margin of 23.7% beat the budget of 23.6%, and was a nice increase over the 2017 margin of 23.3%. These percentages are lower than the margins Candice shows as I have included credit card fees as a cost of sales, which is consistent with the auditors' margins. Gross margin looks only at sales revenue and costs of goods, while net profit margin looks at total profit in relation to total expenses before transfers -out. The 2018 net profit margin is estimated at 8.5%, which is up slightly from 2017's margin of 8.4%. The labor to sales ratio was 10.5%, up from 10.2% in 2017. After transferring $500,000 to the general fund, the Liquor fund ended the year with a cash balance of $116,957, down $4,879 from 2017. The cash balance is expected to sustain this fund at the $500,000 transfer level until the interfund loan from the Water and Sewer funds is fully repaid in 2020. Starting in 2021, the liquor fund will see a cash flow increase of approximately $128,000 due to the loan being paid off. The Services and Charges expense category exceeded the budget by $15,734 due to credit card fees being $19,537 higher than expected. Credit card fees are based on a percentage of sales price, so as prices increase, so do the fees. The larger impact, however, is the growing percentage of transactions being paid by credit or debit card versus cash. The Capital Outlay expenditure was for a new security camera system installed in April, which cost $6,777 higher than budget. REFUSE FUND Total revenues for 2018 exceeded budgeted expectations by $32,484 while expenditures were under budget by $34,567. The fund ended the year with a positive net revenue of $17,110. Sales revenues exceeded the budget by $13,225 due mostly to new accounts. Miscellaneous revenues included insurance claim proceeds of $11,452 related to wind damage to the bi-fold doors on the source -separated building. The repairs will be completed by mid-2019. Interest earnings, due to higher investment yields, exceeded the budget by $7,717. The Services & Charges expense category was $16,377 over budget due to higher than anticipated Credit Card fees ($5,467) and Contract Repair & Maintenance ($6,424). The expense for the refuse hauling contract with West Central ended the year at a total of $524,603, or $397 under budget. The hauler's fees are adjusted each April and October based on any increase in the CPI -Midwest Region. The current five-year contract expires September 30, 2020 and has three optional three-year extensions. The landfill disposal expense totaled $149,060. This is unfavorable when compared to the budget of $146,500, with residential disposal being $8,164 over budget and source -separated disposal being $5,604 under budget. The residential increase is due to a 5% increase in material that was disposed at the landfill in 2018 when compared to 2017. The initial three-year disposal contract expired on September 30, 2018 and allows for automatic one-year renewals. A breakdown of the disposed tonnage and cost is as follows: 2018 Actual Residential tons 2,316 Source Separate tons 210 Total tons 2,526 Residential cost $137,064 Source Separate cost $ 11,996 Total cost $149,060 2018 Budget 2,194 300 2,494 $128,900 $ 17,600 $146,500 2017 Actual 2,206 241 2,446 $127,674 $ 13,455 $141,129 The Refuse fund ended the year with a cash balance of $1,548,213, which is up $151,593 from 2017. This is after the $55,000 annual transfer to the Tree Disease Mitigation fund. The fund is very healthy with no customer rate increases since 2008 and no increases anticipated in the foreseeable future. COMPOST FUND Total revenues exceeded expectations by $484,270 and expenditures were over budget by $325,114. While 2018 ended with a negative net revenue of $25,014, this was favorable by $159,156 when compared to the budgeted negative net revenue of $184,170. Bagged sales revenue surpassed the budget by $296,390 and increased $284,674 over 2017. The increase is attributed to one new retail customer in 2018. Bulk sales exceeded the budget by $89,894 due to increased demand for bitcon. Freight revenue increased $65,233 due to the increased bag and bulk sales. Interest earnings, due to higher investment yields, exceeded the budget by $14,311. Expenditures exceeded the budget due to higher Cost of Sales ($361,043). Cost of sales follows sales levels, and since sales were up, so were the costs associated with those sales. The gross margin of 31.7% fell short of the budgeted margin of 34.3%, and decreased from the 2017 margin of 33.3%. Gross margin looks only at sales revenue and costs of goods, while net profit margin looks at total profit in relation to total expenses before transfers -out. The 2018 net profit margin is estimated at 11.9%, which is down from 2017's margin of 12.6%. Contributing to the drop in margins was the sales associated with the one new customer that had lower margin products. Not helping matters was the fact that Creekside's higher margin products were down about $100K due to poor spring weather. The poor weather also resulted in higher production costs, as staff had to deal with pallets that were frozen to the ground and could not be shipped until the spring thaw. Overtime hours and higher input costs were incurred to produce replacement pallets in order to meet customer orders. The Compost fund ended the year with a cash balance of $2,372,834, which is up $260,706 from 2017. This is after the $110,000 annual transfer to the General fund. While this is a healthy cash balance, we do have substantial capital needs in the near future. WATER FUND Total revenues for 2018 surpassed the budget by $138,061 while expenditures were $53,799 lower than budget. While 2018 ended with a negative net revenue of $769,114, this was favorable by $191,861 when compared to the budgeted negative net revenue of $960,975. The positive revenue results were due to higher than expected water connection charges ($120,520) and local sales taxes ($101,033). Water consumption was below budget for Residential (6.6%) and Industrial (18.2%) while Commercial consumption increased 2.4%. Comparing to the 2017 consumption, Residential and Industrial decreased by 1.3% and 27.2% while Commercial increased 9.1%. While all industrial usage was down for the year, one specific user was down nearly 75% as it relied more heavily on its private wells for process water. Interest earnings, due to higher investment yields, exceeded the budget by $17,021. The Supplies expense category was under budget by $22,988 due mainly to lower Chemical expense ($14,449). The Service & Charges category was under budget by $72,394 due to Professional Services ($31,574), Utilities ($17,856) and Contract Repair & Maintenance ($10,157). The Water fund ended the year with a cash balance of $3,808,119, which is up $369,941 from 2017. The fund is healthy with no rate increases since 2011. Annual local sales tax is definitely helping to maintain a healthy fund balance and keep user rates stable. The local tax is devoted to paying the debt service, covering approximately 50% of the 2018 debt payments. SEWER FUND Total revenues for 2018 surpassed the budget by $103,890 while expenditures were $70,645 lower than budget. While 2018 ended with a negative net revenue of $1,055,584, this was favorable by $174,535 when compared to the budgeted negative net revenue of $1,230,119. The positive revenue results were due to higher than expected sewer connection charges ($165,445) and local sales taxes ($101,033). Sewer consumption was below budget for Residential (6.0%) and Industrial (16.2%) while Commercial consumption increased 1.3%. Comparing to the 2017 consumption, Residential and Commercial increased by 1.1% and 9.4% while Industrial decreased 6.8%. Sewer flow was up nearly 6% for two of the industrial customers but down 21% for the third industrial customer. Industrial surcharges missed the budget by 3.6% and was 3.8% lower than 2017. Interest earnings, due to higher investment yields, exceeded the budget by $31,464. Wages & Benefits was under budget by $31,624 due to the delayed hiring of a new Public Works employee. The new employee was assumed to enroll in family medical and dental benefits but waived coverage. Services & Charges was under budget by $63,325 due to lower Utilities ($30,204) and Contract Repair & Maintenance ($30,673). The Sewer fund ended the year with a cash balance of $6,314,521, which is up $457,257 from 2017. Contributing to the excess cash is the delay of the planned 2018 MBR aeration blower project that will be completed in 2019, at an estimated cost of $110,991. The fund is healthy with no rate increases since 2011. Annual local sales tax is definitely helping to maintain a healthy fund balance and keep user rates stable. The local tax is devoted to paying the debt service, covering approximately 53% of the 2018 debt payments. STORM WATER FUND Total revenues for 2018 ended above budgeted expectations by $26,284 while expenditures were $825,345 higher than budget. The 2018 negative net revenue of $1,002,601 was worse than budget by $799,062. The positive revenue results were due to higher than expected storm water sales ($8,779), interest earnings ($7,648) and sale of fixed assets ($3,784). The rates for storm water customers increased 3% in 2018. The main reason the expenditures were $825,345 over budget is the Linden Park pond project. Costs incurred by year-end for the pond totaled $785,232. While the costs are financed by $1,550,000 in bond proceeds, we did not budget for the 2018 project costs, resulting in a negative variance. Wages & Benefits was under budget by $51,620 due to the delayed hiring of a Public Works employee and the fact that another new employee waived health and dental coverage but was budgeted for family coverage. Supplies were under budget due to lower Fuel expense ($10,908) and Street Maintenance Materials ($6,500). Debt Service was over budget due to $38,847 in bond issuance costs. The Storm Water fund ended the year with a cash balance of $2,360,675, which is up $1,140,904 from 2017. The cash increase is due to the G.O. bond proceeds issued for the 2018 Linden Park pond project. The unspent bond proceeds at year-end equals $1,216,897 and are committed to the pond project. If not for the bond proceeds, the fund's cash balance would have decrease by $75,993 for the year. The fund is healthy with annual rate increases occurring since 2012. REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON PERIOD ENDING DECEMBER 31, 2018 2018 2017 2018 ACTUALS 2018 AVAILABLE % BDGT 2017 YTD 2017 % BDGT DECEMBER YTD BUDGET BALANCE USED ACTUAL BUDGET USED General Fund Taxes 2,367,215 4,967,540 4,925,466 (42,074) 100.9 4,759,282 4,763,796 99.9 Other Taxes 61,801 298,908 305,000 6,092 98.0 293,840 300,000 97.9 Licenses & Permits 26,504 567,205 343,050 (224,155) 165.3 686,987 283,550 242.3 Intergovernmental Revenue 23,139 1,595,109 1,555,161 (39,948) 102.6 1,472,960 1,423,830 103.5 Charges for Services 707,317 2,813,414 2,840,534 27,120 99.0 2,739,971 2,817,291 97.3 Miscellaneous Revenues 29,312 343,307 319,500 (23,807) 107.5 317,561 339,500 93.5 Transfers -In 1,199,713 3,009,477 2,515,092 (494,385) 119.7 2,349,544 2,292,161 102.5 Fines & Forfeitures 8,778 55,989 55,000 (989) 101.8 50,233 55,000 91.3 Capital Contributions - - - - - - 25,000 - TOTAL REVENUES 4,423,779 13,650,949 12,858,803 (792,146) 106.2 12,670,378 12,300,128 103.0 Wages & Benefits 935,414 8,655,935 8,657,896 1,961 100.0 8,231,858 8,175,052 100.7 Supplies 89,185 835,694 868,840 33,146 96.2 777,542 866,545 89.7 Services & Charges 240,697 2,554,239 2,659,777 105,538 96.0 2,455,892 2,596,456 94.6 Miscellaneous Expenses 51,622 550,176 562,290 12,114 97.8 520,974 552,075 94.4 Transfers -Out - 501,288 501,288 - 100.0 600,000 600,000 100.0 Capital Outlay (1,409) 24,235 10,000 (14,235) 242.4 24,958 10,000 249.6 TOTAL EXPENDITURES 1,315,509 13,121,567 13,260,091 138,524 99.0 12,611,224 12,800,128 98.5 NET REVENUE 3,108,270 529,382 (401,288) (930,670) 59,154 (500,000) REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON PERIOD ENDING DECEMBER 31, 2018 2018 ACTUALS DECEMBER YTD General Fund Expense by Department 2018 2017 2018 AVAILABLE % BDGT 2017 YTD 2017 % BDGT BUDGET BALANCE USED ACTUAL BUDGET USED Mayor & City Council 7,864 45,504 49,922 4,418 91.2 44,349 49,962 88.8 City Administrator 43,923 406,923 411,990 5,067 98.8 399,632 395,266 101.1 Elections 373 15,814 23,100 7,286 68.5 - 6,850 - Finance Department 37,124 357,440 359,527 2,087 99.4 333,373 355,653 93.7 Motor Vehicle 30,428 254,156 264,832 10,676 96.0 222,364 217,890 102.1 Assessing - 61,131 61,131 - 100.0 60,963 46,496 131.1 Legal 44,183 314,857 313,858 (999) 100.3 295,257 294,100 100.4 Planning 16,480 145,537 149,212 3,675 97.5 151,283 151,585 99.8 Information Services 60,861 483,165 560,588 77,423 86.2 508,910 535,168 95.1 City Hall Building 23,586 169,773 167,556 (2,217) 101.3 172,903 173,368 99.7 Police Department 445,388 3,448,842 3,331,215 (117,627) 103.5 3,270,632 3,216,585 101.7 Hospital Security 41,956 307,795 311,394 3,599 98.8 292,633 296,977 98.5 Emergency Management 223 10,113 22,180 12,067 45.6 24,648 10,000 246.5 Safety Committee 1,152 10,292 10,800 508 95.3 9,896 10,000 99.0 Fire Department 9,629 308,355 332,858 24,503 92.6 318,245 343,461 92.7 Protective Inspections 49,113 338,383 365,062 26,679 92.7 248,889 236,552 105.2 Engineering 45,019 423,626 457,087 33,461 92.7 427,689 418,877 102.1 Streets & Alleys 132,678 1,590,148 1,582,983 (7,165) 100.5 1,417,551 1,548,036 91.6 Park/Recreation Administration 26,749 256,327 260,339 4,012 98.5 233,806 233,898 100.0 Recreation 12,594 241,130 247,593 6,463 97.4 218,486 232,724 93.9 Senior Citizen Center 5,992 86,155 86,779 624 99.3 84,655 84,801 99.8 Civic Arena 58,019 365,619 338,878 (26,741) 107.9 341,672 333,284 102.5 Park Department 82,015 881,544 904,484 22,940 97.5 869,559 879,100 98.9 Recreation Building 27,851 235,751 225,236 (10,515) 104.7 215,803 211,726 101.9 Events Center 28,618 256,981 253,808 (3,173) 101.3 241,509 259,478 93.1 Evergreen Building 2,973 25,914 26,650 736 97.2 24,895 26,225 94.9 Library 5,568 217,456 216,091 (1,365) 100.6 207,754 211,842 98.1 Waterpark 1,624 348,727 398,741 50,014 87.5 408,103 424,753 96.1 Cemetery 12,213 126,573 141,517 14,944 89.4 120,478 132,974 90.6 Airport 13,001 113,635 113,640 5 100.0 101,852 103,679 98.2 Unallocated General Expense 48,313 1,273,900 1,271,040 (2,860) 100.2 1,343,432 1,358,818 98.9 TOTAL EXPENDITURES 1,315,509 13,121,567 13,260,091 138,524 99.0 12,611,224 12,800,128 98.5 Liquor Fund Sales Miscellaneous Revenues TOTAL REVENUES Cost of Sales Wages & Benefits Supplies Services & Charges Miscellaneous Expenses Transfers -Out Capital Outlay Depreciation Expense Debt Service TOTAL EXPENDITURES NET REVENUE REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON PERIOD ENDING DECEMBER 31, 2018 2018 ACTUALS DECEMBER YTD 2018 2017 2018 AVAILABLE % BDGT 2017 YTD 2017 % BDGT BUDGET BALANCE USED ACTUAL BUDGET USED 685,194 6,242,500 6,245,000 2,500 100.0 6,148,149 6,123,000 100.4 726 2,787 4,000 1,213 69.7 2,692 4,000 67.3 685,920 6,245,287 6,249,000 3,713 99.9 6,150,841 6,127,000 100.4 504,504 4,660,771 4,691,290 30,519 99.3 4,616,974 4,591,390 100.6 78,723 656,365 671,021 14,656 97.8 628,185 662,377 94.8 840 18,856 27,750 8,894 68.0 18,545 24,250 76.5 30,304 241,534 225,800 (15,734) 107.0 228,994 218,550 104.8 - 4,030 5,850 1,820 68.9 4,115 5,850 70.3 500,000 500,000 500,000 - 100.0 500,000 500,000 100.0 - 31,777 25,000 (6,777) 127.1 - 20,000 - 81,000 81,000 85,000 4,000 95.3 78,640 80,000 98.3 127,645 127,645 128,045 400 99.7 127,253 127,635 99.7 1,323,017 6,321,979 6,359,756 37,777 99.4 6,202,707 6,230,052 99.6 (637,097) (76,691) (110,756) (34,065) (51,866) (103,052) Year to Date Sales December Sales Comments 2018 2017 Change Liquor Sales Revenue: Liquor 2,123,572 2,064,292 2.9% Beer 2,988,434 2,959,294 1.0% Wine 994,098 993,807 0.0% Other 136,396 130,756 4.3% Total Sales 6,242,500 6,148,149 1.5% Customer Count 246,576 244,599 0.8% Average Sale per Customer $ 25.32 $ 25.14 0.7% Gross Margin on Sales 23.7% 23.6% Labor to Sales Ratio 10.5% 10.7% Net Profit Margin before Transfers 8.5% 7.8% 2018 2017 Change 255,850 250,509 2.1% 266,661 270,902 -1.6% 149,244 152,216 -2.0% 13,438 14,143 -5.0% 685,194 687,769 -0.4% 23,763 24,228 -1.9% $ 28.83 $ 28.39 1.6% 23.3% 23.6% 10.2% 10.8% 8.4% 7.9% REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON PERIOD ENDING DECEMBER 31, 2018 Water Fund Sales Sales - Other Local Sales Tax Licenses & Permits Charges for Services Miscellaneous Revenues TOTAL REVENUES Wages & Benefits Supplies Services & Charges Miscellaneous Expenses Transfers -Out Capital Outlay Depreciation Expense Debt Service TOTAL EXPENDITURES NET of REVENUES & EXPENDITURES 2018 ACTUALS DECEMBER YTD 2018 2017 2018 AVAILABLE % BDGT 2017 YTD 2017 % BDGT BUDGET BALANCE USED ACTUAL BUDGET USED 122,716 1,745,891 1,880,000 134,109 92.9 1,819,485 1,870,000 97.3 67,463 656,354 516,750 (139,604) 127.0 588,199 514,950 114.2 140,110 741,033 640,000 (101,033) 115.8 654,299 625,000 104.7 - 775 - (775) - - - - 2,447 54,313 55,000 687 98.8 53,554 50,000 107.1 77,020 135,946 104,500 (31,446) 130.1 112,741 92,000 122.5 409,756 3,334,311 3,196,250 (138,061) 104.3 3,228,278 3,151,950 102.4 59,619 484,402 478,638 (5,764) 101.2 462,128 461,635 100.1 2,388 109,312 132,300 22,988 82.6 134,565 126,600 106.3 41,812 463,566 535,960 72,394 86.5 488,417 522,250 93.5 6,420 14,948 14,700 (248) 101.7 10,836 12,200 88.8 295,785 295,785 60,000 (235,785) 493.0 351,635 60,000 586.1 - 142,078 350,000 207,922 40.6 597,441 250,000 239.0 1,120,000 1,120,000 1,100,000 (20,000) 101.8 1,218,822 1,205,000 101.1 111,804 1,473,334 1,485,627 12,293 99.2 1,470,057 1,481,305 99.2 1,637,828 4,103,426 4,157,225 53,799 98.7 4,733,901 4,118,990 114.9 (1,228,073) (769,114) (960,975) (191,861) (1,505,623) (967,040) Year to Date Water Sales Comments 2018 2017 Change Water Sales Revenue: Residential 1,111,540 1,126,047 -1.3% Commercial 388,935 356,509 9.1% Industrial 245,416 336,929 -27.2% All users down from 2017; Ohly-75%; 3M-9%; TDK-5% Water Sales 1,745,891 1,819,485 -4.0% Base Charge 425,574 420,834 1.1 % WAC Charge 152,520 92,068 65.7% Other 78,260 75,297 3.9% Other Sales 656,354 588,199 11.6% REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON PERIOD ENDING DECEMBER 31, 2018 Sewer Fund Sales Sales - Other Local Sales Tax Intergovernmental Revenue Licenses & Permits Charges for Services Miscellaneous Revenues TOTAL REVENUES Wages & Benefits Supplies Services & Charges Miscellaneous Expenses Transfers -Out Capital Outlay Depreciation Expense Debt Service TOTAL EXPENDITURES NET of REVENUES & EXPENDITURES 2018 ACTUALS DECEMBER YTD 2018 2017 2018 AVAILABLE % BDGT 2017 YTD 2017 % BDGT BUDGET BALANCE USED ACTUAL BUDGET USED 239,063 2,728,707 2,920,000 191,293 93.4 2,712,779 2,920,000 92.9 84,884 587,089 410,000 (177,089) 143.2 504,028 410,000 122.9 140,110 741,033 640,000 (101,033) 115.8 654,299 625,000 104.7 - 5,100 6,500 1,400 78.5 5,100 6,500 78.5 834 6,519 3,500 (3,019) 186.3 13,458 3,500 384.5 67,889 155,442 140,000 (15,442) 111.0 136,889 123,000 111.3 532,781 4,223,890 4,120,000 (103,890) 102.5 4,026,553 4,088,000 98.5 82,099 647,214 678,838 31,624 95.3 577,027 655,584 88.0 19,931 221,752 219,700 (2,052) 100.9 141,948 219,650 64.6 93,088 737,505 800,830 63,325 92.1 695,031 780,450 89.1 1,722 33,357 32,500 (857) 102.6 21,790 32,500 67.0 317,221 317,221 60,000 (257,221) 528.7 84,884 60,000 141.5 111,250 427,083 650,000 222,917 65.7 801,684 350,000 229.1 1,450,000 1,450,000 1,450,000 - 100.0 1,621,990 1,623,000 99.9 91,112 1,445,342 1,458,251 12,909 99.1 1,448,916 1,460,650 99.2 2,166,423 5,279,474 5,350,119 70,645 98.7 5,393,270 5,181,834 104.1 (1,633,641) (1,055,584) (1,230,119) (174,535) (1,366,717) (1,093,834) Year to Date Sewer Sales Comments 2018 2017 Change Sewer Sales Revenue: Residential 1,575,020 1,557,738 1.1% Commercial 476,239 435,292 9.4% Industrial - Flow 460,657 494,440 -6.8% Ohly down 21 %; 3M up 11 % from 2017 Industrial - Violation Surcharges 216,790 225,309 -3.8% Mainly due to a reduction in Ohly's surcharges Sewer Sales 2,728,707 2,712,779 0.6% Base Charge 369,379 366,036 0.9% SAC Charge 200,445 121,003 65.7% Other 17,265 16,988 1.6% Other Sales 587,089 504,028 16.5% REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON PERIOD ENDING DECEMBER 31, 2018 2018 2017 2018 ACTUALS 2018 AVAILABLE % BDGT 2017 YTD 2017 % BDGT DECEMBER YTD BUDGET BALANCE USED ACTUAL BUDGET USED Refuse Fund Sales 100,460 1,167,225 1,154,000 (13,225) 101.1 1,142,083 1,151,900 99.1 Sales - Other 3,951 46,757 43,550 (3,207) 107.4 45,222 41,400 109.2 Intergovernmental Revenue 3,173 12,884 12,500 (384) 103.1 12,854 12,500 102.8 Miscellaneous Revenues (1,700) 28,169 12,500 (15,669) 225.4 9,327 7,000 133.2 TOTAL REVENUES 105,885 1,255,034 1,222,550 (32,484) 102.7 1,209,486 1,212,800 99.7 Wages & Benefits 19,164 187,433 187,401 (32) 100.0 175,439 188,733 93.0 Supplies 2,108 57,800 58,400 600 99.0 58,207 62,400 93.3 Services & Charges 127,994 752,567 736,190 (16,377) 102.2 712,794 731,550 97.4 Miscellaneous Expenses 0 1,484 6,500 5,016 22.8 9,043 5,750 157.3 Transfers -Out 55,000 55,000 55,000 - 100.0 55,000 805,000 6.8 Capital Outlay - 55,640 85,000 29,360 65.5 - 190,374 - Depreciation Expense 128,000 128,000 144,000 16,000 88.9 126,830 138,000 91.9 Debt Service - - - - - 346 24,261 1.4 TOTAL EXPENDITURES 332,266 1,237,924 1,272,491 34,567 97.3 1,137,659 2,146,068 53.0 NET of REVENUES & EXPENDITURES (226,381) 17,110 (49,941) (67,051) 71,826 (933,268) REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON PERIOD ENDING DECEMBER 31, 2018 2018 2017 2018 ACTUALS 2018 AVAILABLE % BDGT 2017 YTD 2017 % BDGT DECEMBER YTD BUDGET BALANCE USED ACTUAL BUDGET USED Compost Fund Sales 76,370 2,455,981 2,003,975 (452,006) 122.6 1,946,347 1,991,476 97.7 Charges for Services 60,342 87,448 82,500 (4,948) 106.0 80,713 58,500 138.0 Miscellaneous Revenues (993) 53,716 26,400 (27,316) 203.5 87,150 7,000 1,245.0 TOTAL REVENUES 135,719 2,597,145 2,112,875 (484,270) 122.9 2,114,209 2,056,976 102.8 Cost of Sales 66,248 1,677,643 1,316,600 (361,043) 127.4 1,297,433 1,348,002 96.2 Inventory Cost Adjustment (54,550) (625,865) (494,200) 131,665 126.6 (600,745) (538,028) 111.7 Wages & Benefits 72,250 631,616 610,345 (21,271) 103.5 583,702 582,363 100.2 Supplies 13,415 107,921 65,300 (42,621) 165.3 79,342 78,626 100.9 Services & Charges 52,004 269,255 243,440 (25,815) 110.6 297,435 231,004 128.8 Miscellaneous Expenses 5,049 13,518 11,500 (2,018) 117.5 14,538 14,000 103.8 Transfers -Out 110,000 110,000 110,000 100.0 110,000 110,000 100.0 Capital Outlay 2 146,140 139,227 (6,913) 105.0 - 623,000 - Depreciation Expense 205,000 205,000 207,000 2,000 99.0 172,814 174,000 99.3 Debt Service 2,861 86,931 87,833 902 99.0 91,596 - - TOTAL EXPENDITURES 472,279 2,622,159 2,297,045 (325,114) 114.2 2,046,115 2,622,967 78.0 NET of REVENUES & EXPENDITURES (336,560) (25,014) (184,170) (159,156) 68,094 (565,991) Year to Date Sales Comments 2018 2017 Change Compost Sales Bagged 1,935,740 1,651,065 17.2% Bulk 330,719 170,992 93.4% -increase due to bitcon inventory available for all of 2018 Other (Freight) 189,522 124,290 52.5% Total Sales 2,455,981 1,946,347 26.2% Gross Margin 31.7% 34.3% 33.3% 32.3% Net Profit Margin before Transfers 11.9% 6 8% 12 6% 8 1 % REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON PERIOD ENDING DECEMBER 31, 2018 2018 2017 2018 ACTUALS 2018 AVAILABLE % BDGT 2017 YTD 2017 % BDGT DECEMBER YTD BUDGET BALANCE USED ACTUAL BUDGET USED Storm Water Utility Sales 76,357 913,379 904,600 (8,779) 101.0 884,028 879,275 100.5 Sales - Other 362 3,856 3,000 (856) 128.5 3,555 2,200 161.6 Licenses & Permits 100 5,555 4,000 (1,555) 138.9 5,350 1,500 356.7 Charges for Services - - - - 560 - - Miscellaneous Revenues 1,939 28,844 13,750 (15,094) 209.8 18,039 7,000 257.7 TOTAL REVENUES 78,758 951,634 925,350 (26,284) 102.8 911,533 889,975 102.4 Wages & Benefits 20,656 224,869 276,489 51,620 81.3 243,181 256,432 94.8 Supplies 112 16,705 38,800 22,095 43.1 15,674 38,800 40.4 Services & Charges 17,609 162,508 165,600 3,092 98.1 204,364 163,600 124.9 Miscellaneous Expenses 825 15,024 11,250 (3,774) 133.5 7,160 11,250 63.6 Transfers -Out 390,670 390,670 125,000 (265,670) 312.5 298,814 - - CapitalOutlay 550,377 785,232 200,000 (585,232) 392.6 - 170,000 - Depreciation Expense 158,000 158,000 157,000 (1,000) 100.6 151,913 153,000 99.3 Debt Service 10,146 201,226 154,750 (46,476) 93.5 151,492 160,550 70.2 TOTAL EXPENDITURES 1,148,396 1,954,234 1,128,889 (825,345) 173.1 1,072,598 953,632 112.5 NET of REVENUES & EXPENDITURES (1,069,638) (1,002,601) (203,539) 799,062 (161,066) (63,657) REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON PERIOD ENDING DECEMBER 31, 2018 2018 2017 2018 ACTUALS 2018 AVAILABLE % BDGT 2017 YTD 2017 % BDGT DECEMBER YTD BUDGET BALANCE USED ACTUAL BUDGET USED HATS Operation Intergovernmental Revenue 7,333 176,000 176,000 0 100.0 162,280 162,280 100.0 Charges for Services 24,344 313,132 267,500 (45,632) 117.1 233,037 325,000 71.7 Miscellaneous Revenues 449 4,149 3,500 (649) 118.5 3,390 3,500 96.8 Transfers -In - 100,000 100,000 - 100.0 100,000 100,000 100.0 TOTAL REVENUES 32,126 593,281 547,000 (46,281) 108.5 498,707 590,780 84.4 Wages & Benefits 3,766 31,462 38,151 6,689 82.5 25,171 39,495 63.7 Supplies 13,705 325,790 273,650 (52,140) 119.1 258,108 341,650 75.5 Services & Charges 54,145 161,028 157,160 (3,868) 102.5 136,470 162,000 84.2 Miscellaneous Expenses 5,000 5,025 5,600 575 89.7 5,025 5,600 89.7 Capital Outlay - 23,001 76,612 53,611 30.0 14,800 42,035 35.2 TOTAL EXPENDITURES 76,617 546,306 551,173 4,867 99.1 439,574 590,780 74.4 NET of REVENUES & EXPENDITURES (44,490) 46,975 (4,173) (51,148) 59,133 - Comments Charges for Services The main activity in this category is the sale of fuel to City departments, the State, County and Hutchinson Utilities. Supplies The main activity in this category is the cost of fuel for the fueling system. Local Option Sales Tax and Excise Tax Year 2012 2013 2014 2015 2016 2017 2018 Totals 2012 2013 2014 2015 2016 2017 2018 Totals State Administered Local Sales Tax Gross Net Vehicle Total Sales Tax State Fees Receipts Excise Tax Received 1,303,707 (30,296) 1,273,411 27,500 1,300,911 1,348,688 (22,660) 1,326,028 28,640 1,354,668 1,311,213 (22,015) 1,289,198 34,100 1,323,298 1,213,641 (21,733) 1,191,908 32,940 1,224,848 1,261,682 (20,996) 1,240,686 30,128 1,270,814 1,299,327 (20,186) 1,279,141 29,458 1,308,599 1,481,090 (23,622) 1,457,468 24,598 1,482,066 9,219,348 (161,508) 9,057,840 207,364 9,265,204 Water Fund % of Debt Annual Local Sales Funded by Debt Service Tax Receipts Local Tax 1,210,884 546,383 45% 1,251,870 568,961 45% 1,229,016 661,476 54% 1,311,514 612,424 47% 1,407,710 635,407 45% 1,480,405 654,300 44% 1,485,176 741,033 50% 9,376,575 4,419,984 47% Allocation of Local Sales Tax Water Sewer % Fund Fund Allocation 546,383 754,528 42% / 58% 568,961 785,707 42% / 58% 661,476 661,822 50% /50% 612,424 612,424 50%/50% 635,407 635,407 50%/50% 654,300 654,300 50%/50% 741,033 741,033 50% /50% 4,419,984 4,845,221 48% / 52% Sewer Fund % of Debt Annual Local Sales Funded by Debt Service Tax Receipts Local Tax 1,516,212 754,528 50% 1,558,722 785,707 50% 1,531,727 661,822 43% 1,514,931 612,424 40% 1,510,315 635,407 42% 1,402,110 654,300 47% 1,400,162 741,033 53% 10,434,179 4,845,221 46% Notes: The State of Minnesota administers the Local Option Sales Tax, collecting the tax along with the State sales tax. The State Fees average 1.8% of the gross local sales tax collected. The City of Hutchinson administers the Vehicle Excise Tax, which is $20 per vehicle sold, applicable to retail dealers in the city. The allocation percentages between the Water and Sewer funds is determined annually based on the total outstanding debt. Library Board Meeting Minutes Monday, Jan. 14, 2019 @ 4:30 p.m. Present: Steve Bailey, Mary Christensen, Gerry Grinde, Jack Sandberg, Carolyn Ulrich, Katy Hiltner, Ex- Officio Excused: Kristine Leuze and Julie Lofdahl Review and approve minutes from the Nov. 26, 2018 meeting. Motion to approve by Carolyn, seconded by Jack, minutes APPROVED. Old Business: 1. Program Reports: • Author Event with Mary Krugerud — Event on Tuesday, Nov. 27t" had 12 attendees; Liz Marcus from HCVN filmed the event at the Senior Center. This February, a book group from the Senior Center plans to read this book, and author mayjoin them for a book discussion. • Author Event with Brian Devore — Event on Thursday, Nov. 29t" at 29 attendees; his book "Wildly Successful Farming" made for an interesting subject and discussion of organic farming methods versus traditional farming methods. • Friends of Library Project Bookshelf —Thanks to monetary donations from the Friends of the Library and community, Katy purchased 88 new books for Project Bookshelf. In addition, the library and area schools collected an additional 154 books. This year's donation to the McLeod County Project Bookshelf totaled 242 books for children and teens. • Friends of Library Fundraiser — Bonnie Martinez created origami ornaments for fundraiser. All of the ornaments sold earning the Friends $259. 2. Adult Winter Reading Program: The Adult Winter Reading Program started on Monday, Jan. 7t". To date, 187 people have signed up. Everyone who reads 12 books will earn a ticket to the State Theatre for Friday, April 12, 2019. Bonus books are also part of this year's program. These book challenges include: read a book by an author new to you; read a book with your favorite color on the cover; and read a book set in Minnesota. New Business: 1. Adult Craft Night @ the Library • The English Paper Piecing class done by Kristine Leuze was held on Monday, Jan. 7t". It was very well attended. • Card making with Mary Haugen will be held on Tuesday, Feb. 5tn • Button bowls with Rachelle Golde is scheduled for Tuesday, March 5tn 2. Teen Paint Night will be held at the Paint Factory on Tuesday, Jan. 22 from 6-8 p.m. Teens throughout McLeod County are invited. A Legacy grant will cover the costs. 3. Master Gardener Programs — Sherry is partnering with the Master Gardeners for a children's snowflake program on Monday, Jan. 281". Then on Thursday, Jan. 31s', Katy is working with the Master Gardeners on an adult program titled "Decoding Seed and Nursery Catalogs." 4. AED Defibrillator —JJ Verhey, facility manager, secured an AED defibrillator for the Library. 5. Board Terms for 2019—There was confusion expressed on the total length of board terms. Katy will clarify with the city. If new members are appointed or if members stay on, she will need to notify the City no later than March. 6. Library Buzz —What Have You Been Reading/Watching? Jack — Dad Jokes by Andrew Howell —a different book. Mary —Becoming by Michelle Obama Steve —a Gorbachev biography— good read! Carolyn — Read a lot this month (13 books) including: Mystery of Three Quarters by Sophie Hannah; Tip of the Iceberg by Mark Adams; A Midwife in Amish Country by Kim Woodward Osterholzer; Forever and o Day by Anthony Horowitz; The Royol Art of Poison by Eleanor Herman; Colors of All the Cottle by Alexander McCall Smith; and Shell Game by Sara Paretsky Jerry — Presidents of War by Michael Beschloss; Fear by Bob Woodward, this author has done multiple books on presidents and this is a good read ; Brief Answers to the Big Questions by Stephen Hawking, he's a brilliant man. Katy— promises to report on next month's reading 7. Other — Friends of the Library want new members; membership is $10/year. Next Meeting: Monday, Feb. 25, 2019 @ 4:30 p.m. November and December 2018 Donations $310.00 Family of Mark Rotzien (memorial books) $500.00 Jim and Shannon Lyons (for the purchase of books) $50.00 TOPS NO. MN 773 (thank you for use of the meeting room) $200.00 Hutchinson Garden Club (for the purchase of gardening books) $300.00 Lorraine and Russell Erickson (for the purchase of books) Total Minutes submitted by Mary Christensen. $1,360.00 EDA Board Meeting Main Conference Room — Enterprise Center 11:30 AM Wednesday, January 23rd, 2019 MEETING MINUTES Members present in bold. EDA Board Members Mike McGraw Jonny Block Mike Cannon Corey Stearns Daron Vanderheiden Chad Czmowski Mary Christensen Staff Miles Seppelt, EDA Director Matt Jaunich, City Administrator Andy Reid, Finance Director Maddie Christie, EDA Program Manager I. Call to Order Meeting called to order at 11:33 AM. Economic Development Authority Financial Summary as of December 2018 Operations Cash Available $144,270 Reserved $56,736 Unreserved $79,805 Economic Development Loan Fund Cash Available $111,791 Redline Systems Balance $9,590 Ashwill Industries Balance $9,836 Laser Dynamics Balance (forgivable) $23,000 Innovative Foam Balance (forgivable) $14,355 Downtown Revolving Loan Fund Cash Available $498,263 Loans Receivable $426,316 Capital Assets $201,329 Total Assets $1,125,908 MIF Loan Fund Cash Available $994 MOXY Loan Receivable $18,810 Enterprise Center Fund Cash Available $46,328 SHOPKO TIF District (TIF 4-5) Cash Available $87,789 Interfund Loans Receivable $478,307 MEDICAL CLINIC TIF District (TIF 4-16) Interfund Loan Payable $311,459 II. Board Elections • President — 1 year term - Mike Mcgraw • Vice -President - Jonny Block • Secretary (can be staff) - Madison Newcomb • Treasurer Assistant - Andy Reid • Treasurer (can be staff) - Chad Czmowski M/S/P: Stearns, Christensen to adopt the slate of board officers as written. Passed unanimously. III. Approve Agenda — no action. IV. Review Minutes a. December 19t" Finance Team meeting: M/S/P: Stearns, Cannon to approve the minutes as written. Passed unanimously. b. January 2nd EDA Board Meeting M/S/P: Vanderheiden, Czmowski to approve the minutes as written. Passed unanimously. V. Review of EDA Financial Statements Finance Director Andy Reid provided an update on the EDA financials. (Please refer to table on the previous page) ■ EDA operating budget will end 2018 $21,755 in the red, due to a number of one-time costs from moving from City Hall to the Enterprise Center, unemployment costs, intern costs, etc. See Below: Revenue $1,920 8.8% Health insurance $7,117 32.7% Unemployment Benefits $3,432 15.8% Intern $1,567 7.2% Small tools / Miscellaneous (Incubator) $2,732 12.6% Printing& Publishing $1,800 8.3% Operating Supplies $982 4.5% Other Line Items $2,205 10.1% TOTAL $21,755 100% ■ Enterprise Center made an interest payment to the Economic Development Loan Fund which was $6,200. ■ Discussion on operations deficit and possible remedies, including a 5% management fee from the incubator reimbursed to EDA Staff for work, TIF admin expenses, and reimbursement for Enterprise Center expenses. M/S/P: Christensen, Block to approve the financial report as presented. Passed unanimously. VI. Director's Report A Marketing Plan Facebook updates = 12 Twitter activity = 12 Website updates = 5 Social media has 299 likes on Facebook and 84 followers on Twitter. B Business Recruitment / Expansions Staff updated the board on recent contacts and conversations. C NuCrane Closing No orders, will be closing at the end of January. Building will be listed on our website. D Lallemand bought OHLY A French Canadian company that does the same work bought out OHLY. E UPONOR street project Annexation complete. BDPI grant application is mostly written. Waiting on information from Uponor. F Enterprise Center Nothing new. G Skilled workforce development plan Formalizing Tiger Manufacturing. H Farmer's Market Board has been advertising Executive Director position. EDA Board recommended doing a press release on the status of the market. Site Selection Magazine advert Prize was being in the magazine, little bit of free advertising. VII. Request for donation from Public Arts Commission • EDA Board discussed and determined there was not room in the budget for a donation. M/S/P: Cannon, Czmowski to decline the donation request. Passed unanimously. Vill. Discuss Payment Schedule for Enterprise Center • So far, we have only booked the interest payment for 2018. Looking at paying $8,886.51 to the principal payment for 2018. • Will pay P&I every 6 months, $11,969.56 biannually, totaling $23,938.56 per year after 2018 payment. • We can use Enterprise TIF to help pay this cost once it starts generating. M/S/P: Block, Vanderheiden to accept the 2018 principal payment. Passed unanimously. IX. Enterprise Center Budget • Discussion on 2019 operating budget. X. Grant & Loan Program Applications - NONE XI. Other Business — None. XII. Set Next Meeting — 11:30 AM Wednesday, February 27t", 2019 XIII. Adjourn Meeting adjourned at 12:35pm. M/S/P: Block, Cannon to adjourn the meeting. Passed unanimously. Respectfully Submitted, Madison Newcomb EDA Program Manager MINUTES Regular Meeting — Hutchinson Utilities Commission Wednesday, January 30, 2019 Call to order — 3:00 p.m. President Morrow called the meeting to order at 3:00 p.m. Members present: President Monty Morrow; Secretary Robert Wendorff; Commissioner Don Martinez; Commissioner Matt Cheney; GM Jeremy Carter; Attorney Marc Sebora. Absent: Vice President Anthony Hanson 1. Conflict of Interest 2. Commission Reorganization President Morrow called for the annual Commission reorganization. a. A motion made by Commissioner Wendorff, second by Commissioner Cheney to elect Don Martinez to the position of president. Motion unanimously carried. b. A motion made by President Morrow, second by Commissioner Martinez to elect Matt Cheney to the position of vice president. Motion unanimously carried. c. A motion made by Commissioner Martinez, second by Commissioner Cheney to re-elect Robert Wendorff to the position of secretary. Motion unanimously carried. d. A motion made by Commissioner Martinez, second by Commissioner Wendorff to appoint Marc Sebora as legal counsel. Motion unanimously carried. e. A motion made by Commissioner Martinez, second by Commissioner Cheney to appoint Angie Radke as recoding secretary. Motion unanimously carried. f. A motion made by Commissioner Martinez, second by Commissioner Wendorff to designate Citizens Bank & Trust, Wells Fargo Bank, Wells Fargo Advisors, Home State Bank, Morgan Stanley and Cetera Investment Services as depositories for utility funds. Motion unanimously carried. 3. Approve Consent Agenda a. Approve Minutes b. Ratify Payment of Bills A motion made by Commissioner Cheney, second by Commissioner Wendorff to approve the Consent Agenda. Motion unanimously carried. 4. Approve Financial Statements GM Carter presented the financial statements. GM Carter noted that it can be difficult to compare December 2017 to December 2018 with year-end adjustments especially with GASB Pension Liability adjustments. On the Natural Gas side, net income increased by $438,147. Revenue was down mostly due to the swing of $578,429 in fuel cost adjustments but also less usage due to warmer temperatures. On the Electric side, Sales for Resale are higher. Overall Purchased Power increased by 6,566. MRES purchases decreased by $8,281 and market purchases/MISO costs increased by $14,847. Overall, trending as anticipated. GM Carter reviewed the additional graphs that Mr. Lang included on Load Duration Curve, Historical market, HUC Energy pricing and HUC's load profile. These give a good pictorial of the data being collected even though it is not reported on every month. HUC has been fairly consistent. A motion made by Commissioner Martinez, second by Commissioner Cheney to approve the financial statements. Motion unanimously carried. 5. Open Forum 6. Communication a. City Administrator— Matt Jaunich I. Projects being worked on are; Hospital expansion, Woodstone Living, 4tn phase of Highfield Apartments ii. Street projects; 5t' Ave, Uponor Road, Intersection by Cash Wise b. Divisions i. Dan Lang, Engineering Services Manager — Absent ii. Dave Hunstad, Electric Transmission/Distribution Manager — Nothing to report iii. Randy Blake, Production Manager — 1. Working and coordinating with contractors 2. Piping to cooling tower is going well. 3. Support steel for exhaust is up. iv. John Webster, Natural Gas Division Manager — Nothing to report v. Jared Martig, Financial Manger —Absent c. Human Resources — Brenda Ewing — Nothing to Report d. Legal — Marc Sebora — Nothing to Report e. General Manager — Jeremy Carter i. Auditors are here. ii. With Government shutdown, any Federal Utility customers we have, we will be lenient on payment dates. iii. Involved with energy committee webinars. iv. Working on Strategic Planning topics of where HUC should be in the next 5-10 years. v. Wrapping up year-end. 7. Policies a. Review Policies i. Minnesota Government Data Practices Act & Public Records Request ii. Section 1 of Exempt Handbook 2 iii. Section 1 of Non -Exempt Handbook No Changes recommended at this time. b. Approve Changes - None GM Carter noted for reviewal of policies HUC would like to take more of a systematic approach. The Employee handbooks are made of six sections. Staff would like to review a section a month; January through June. After June, there are about 50 customer service polices, which would parcel out to be 10 a month. If policy changes are needed before scheduled review time, HUC would review those immediately. Commission agreed that a systematic approach makes sense. 8. Unfinished Business 9. New Business a. Approval of 2019 Ford F-250, 4WD Cab and Chassis Mr. Webster presented Requisition #007803 for a 2019 Ford, F-250, 4WD Cab and Chassis. In compliance with the 2019 Fleet Management Program the Natural Gas Division is to replace vehicle #651, a 2006 Ford, F-150 4-wheel drive pickup. The replacement vehicle that is recommended by HUC is a 2019 Ford F-250 extended/double cab, 4-wheel drive cab and chassis. A requisition for the utility body will follow in the coming months. A motion by Commissioner Cheney, second by Commissioner Wendorff to Approve 2019 Ford F-250, 4WD Cab and Chassis. Motion carried unanimously. b. Approval of 2019 Ford F-350, 4WD Cab and Chassis Mr. Webster presented Requisition #007185 for a 2019 Ford, F-350, 4WD Cab and Chassis. In compliance with the 2019 Fleet Management Program, the Natural Gas Division is to replace vehicle #623, a 2008 Ford, F-350 4-wheel drive cab and utility body with 93,000 miles. The replacement vehicle that is recommended by HUC is a 2019 Ford F-350 crew cab, 4-wheel drive cab and chassis. A requisition for the utility body will follow in the coming months. A motion by Commissioner Cheney, second by Commissioner Martinez to Approve 2019 Ford F-350, 4WD Cab and Chassis. Motion carried unanimously. c. Approve Requisition #007814 Replace 2008 Service Truck #573 Mr. Hunstad presented Requisition #007814 to replace the 2008 Service Truck #573. In compliance with the 2019 Fleet Management Program, the Electric Division is to replace the 2008 Service Truck #573. The replacement vehicle that is recommended by HUC is a 2019 Ford F-350 4-wheel drive Super Cab/Chassis. A requisition for the utility body will follow in the coming months. 3 A motion by Commissioner Wendorff, second by Commissioner Cheney to Approve replacing the 2008 Service Truck #573. Motion carried unanimously. d. Approve Requisition #007822 for Plant 1 Cooling Tower Upgrade Mr. Blake presented Requisition #007822 for Plant 1 Cooling Tower Upgrade. The original Plant 1 cooling tower was built in 1962; in 1978, an east cell was added. One of the outside walls then became an interior wall. In 2012, HUC received bids to repair the wood in the fan stack area of the west and center cells. At that time, the siding was removed by Midwest Towers and replaced with fiberglass panels. Last summer, the tower developed a leak between the center and east cell wall. Several contractors that specialize in cooling tower repair have been contacted. The interior wall that is leaking contains asbestos fibers in the wall panels. The contractors also stated that the outer walls have the same asbestos composition and would need to be abated before they could perform the repairs. This upgrade will require coordinating two contractors at the same time to perform the opening of the tower and removing the asbestos. This requisition is for the tower repair to Precision Cooling Towers for $46,485.00. The low bid for the asbestos abatement came in at $22,450.00 and that requisition was given to GM Carter for that portion of the project. Total budgeted project cost was $80,000, with total actual project costs coming in at $68,935.00. A motion by Commissioner Martinez, second by Commissioner Cheney to Approve Requisition #007822 for Plant 1 Cooling Tower Upgrade. Motion carried unanimously. e. Approve HDR Change Order Request GM Carter presented the HDR Change Order Request. GM Carter noted that this is the third change order request. The original contract amount approved was for $382,110. Since then two change orders have increased the current contract price to $827,610. HDR is now requesting a third change order in the amount of $108,400 to complete the project along with the final commissioning of the new units in June of 2019. The change order is being requested due to redesign work that was needed along with additional questions and emails that are being asked from Fagen Inc. Every time there is contact with HDR that leads to more billable hours. HDR is required to respond to the contractors, this is a complex project and clarification is needed. When Unit 5 was completed, different contractors were used and it was only the one unit. Mr. Blake noted that back when the plant was being built not everything was documented; Staff did not have GIS. Today, Staff does not know where piping is located until digging starts. Thus creating redesigns, which also takes more time and materials. This is also a lot of structure in a small area. After some discussion, a motion by Commissioner Martinez, second by Commissioner Wendorff to Approve HDR Change Order Request. Motion carried unanimously. 4 10. Adjourn There being no further business, a motion by Commissioner Cheney, second by Commissioner Martinez to adjourn the meeting at 3:52p.m. Motion was unanimously carried. ATTEST:, / Don Martinez, President 5 Robert Wendorff, Secr l�/