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cp05-12-20
HUTCHINSON CITY COUNCIL MEETING AGENDA TUESDAY, MAY 12, 2020 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 — Maranatha House of Prayer (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 (a) Resolution No. 15168 — Resolution Accepting $50.00 Donation from Bruce and Gladys Lickfelt for Law Enforcement Memorial Park 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 ifhe will be acceptingpublic comments during the agenda item ifnot apublic hearing. Ifyou have a question, concern or comment, please ask to be recognized by the mayor— state your name and address for the record. Please keep comments under 5 minutes. Individuals wishing to speakfor 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 April 28, 2020 CONSENT AGENDA (The items iste or consi eration will be enacted by one motion unless the Mayor, a member of the City Council or a city staff member requests an item to be removed. Traditionally items are not discussed.) 7. APPROVAL OF CONSENT AGENDA (a) Consideration for Approval of 2020 City Street Repairs (b) Consideration for Approval of 2020 Sewer Lining (c) Consideration for Approval of Developers Agreement for White Hawk Village Second Addition (d) Claims, Appropriations and Contract Payments PUBLIC HEARINGS — 6:00 P.M. CITY COUNCIL AGENDA —May 12, 2020 8. APPROVE/DENY ISSUING OFF -SALE 3.2 MALT LIQUOR LICENSE TO COBORNS INC. (CASH WISE AND HOLIDAY STORES) purpose of t is portion of the agenda is to provide the ounci with information necessary to craft wise policy. ides items like monthly or annual reports and communications from other entities.) 9. HUTCHINSON HOUSING & REDEVELOPMENT AUTHORITY ANNUAL REPORT 10. REVIEW OF FEDERAL AID PROJECT MEMORANDUM FOR TH 7/22 AND MONTANA STREET CROSSING IMPROVEMENTS PROJECT UNFINISHED BUSINESS NEW BUSINESS 11. APPROVE/DENY FUNDING REQUEST FROM HUTCHINSON CENTER FOR THE ARTS (RENEWAL OF $45,000 THREE-YEAR GRANT) 12. APPROVE/DENY ORDINANCE NO. 20-814 - AN ORDINANCE AMENDING CHAPTER 112 — LIQUOR REGULATIONS — TO ALLOW HOTELS 13. APPROVE/DENY RESOLUTION NO. 15169 - RESOLUTION AUTHORIZING ISSUING PRO- RATED LICENSE FEES 14. APPROVE/DENY REVISIONS TO VEHICLE AND EQUIPMENT POLICY 15. APPROVE/DENY SETTING BUDGET WORKSHOP FOR MAY 26, 2020, AT 4:00 P.M. GOVERNANCE (T epurpose o t is portion of the agenda is to deal with organizational development issues, includingpolicies, performances, and other matters that manage the logistics of the organization. May include monitoring reports, policy development and governance process items) 16. MINUTES/REPORTS FROM COMMITTEES, BOARDS OR COMMISSIONS (a) Economic Development Authority Board Minutes from March 25, 2020 NHSCELLANEOUS 17. STAFF UPDATES 18. COUNCIL/MAYOR UPDATE ADJOURNMENT 2 CITY OF HUTCHINSON RESOLUTION NO. 15168 RESOLUTION ACCEPTING DONATIONS WHEREAS, the City of Hutchinson is generally authorized to accept donations of real and personal property pursuant to Minnesota Statutes Section 465.03 for the benefit of its citizens, and is specifically authorized to accept gifts and bequests for the benefit of recreational services pursuant to Minnesota Statutes Section 471.17; and WHEREAS, the following persons or entities have offered to contribute the cash amounts set forth below to the city: Name of Donor Amount Donation Date Bruce & Gladys Lickfelt $50.00 5/4/2020 WHEREAS, such donation has been contributed to the Hutchinson Police department towards the Law Enforcement Memorial Park fund. WHEREAS, the City Council finds that it is appropriate to accept the donations offered. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA, AS FOLLOWS: THAT, the donations described above are hereby accepted by the City of Hutchinson. Adopted by the City Council this 12th day of May 2020. ATTESTED: Matthew Jaunich City Administrator APPROVED: Gary T. Forcier Mayor HUTCHINSON CITY COUNCIL MEETING MINUTES TUESDAY, APRIL 28, 2020 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, Mary Christensen and Dave Sebesta. Members were present via electronic means. Others present in the Council Chambers were Matt Jaunich, City Administrator, Marc Sebora, City Attorney and Kent Exner, City Engineer (a) Approve the Council agenda and any agenda additions and/or corrections Motion by Christensen, second by Czmowski, to approve agenda as presented. Roll call vote was taken: Cook — aye; Czmowski — aye; Sebesta — aye; Christensen — aye; Forcier — aye. Motion carried unanimously. 2. INVOCATION — River at MSP 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 (a) Resolution No. 15162 — Resolution Accepting $60.00 Donation from Roger and Mary Mies for Law Enforcement Memorial Park Motion by Cook, second by Sebesta, to approve Resolution No. 15162. Roll call vote was taken: Cook — aye; Czmowski — aye; Sebesta — aye; Christensen — aye; Forcier — aye. Motion carried unanimously. 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 ifhe will be acceptingpublic comments during the agenda item ifnot apublic hearing. Ifyou 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 speakfor 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 April 14, 2020 Motion by Cook, second by Christensen, to approve minutes as presented. Roll call vote was taken: Cook — aye; Czmowski — aye; Sebesta — aye; Christensen — aye; Forcier — aye. Motion CITY COUNCIL MINUTES April 28, 2020 carried unanimously. CONSENT AGENDA 77- (The items listedor consi eration 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 Resolution 15163 — Resolution Calling for a Public Hearing on the Proposed Adoption of a Modification to the Development Program for Development District No. 4 and the Proposed Establishment of Tax Increment Financing District No. 4-21 and the Adoption of a Tax Increment Financing Plan Therefor (b) Consideration for Approval of Items for Airport Area Utility Extensions — Letting No. 4, Proj ect No. 20-04 1. Resolution No. 15164 - Resolution Ordering Preparation of Report on Improvement 2. Resolution No. 15165 - Resolution Receiving Report and Calling Hearing on Improvement (c) Consideration for Approval of Resolution No. 15166 — Resolution Adopting Findings of Fact and Reasons for Approval of a Conditional Use Permit for a Storage Building Located at 720 Airport Road, Upper Midwest A/C Club, Applicant with Favorable Planning Commission Recommendation (d) Consideration for Approval of Resolution No. 15167 — Resolution Adopting Findings of Fact and Reasons for Approval of a Preliminary and Final Plat for White Hawk Village Second Addition with Favorable Planning Commission Recommendation (e) Consideration for Approval of City Alley 940 Improvements (VFW Location) (f) Consideration for Approval of Century Avenue SE Water Main Reconfiguration (g) Consideration for Approval of South Grade Road (School to Dale) Bituminous Overlay (h) Consideration for Approval of City Letter of Support — US Highway 212 Federal Discretionary Grant Programs Application (i) Appointments/Reappointments to Boards and Commissions 1. Appointment of Nicole Grobe to Hutchinson Housing & Redevelopment Authority Board to August 2025 2. Appointment of Julie Lofdahl to Library Board to April 2023 3. Reappointment of Carolyn Ulrich to Library Board to April 2023 4. Appointments to Sustainability Board - Nathan Winter to May 2021 - John Lofdahl to May 2022 - Andy Nissen to May 2023 - Jeremy Carter to May 2021 - Steve Cook — Council Representative (j) Claims, Appropriations and Contract Payments — Register A 2 CITY COUNCIL MINUTES April 28, 2020 Items 7(c) and 7(g) were pulled for separate discussion. Motion by Czmowski, second by Cook, to approve Consent Agenda I with the exception of the items noted above. Roll call vote was taken: Cook — aye; Czmowski — aye; Sebesta — aye; Christensen — aye; Forcier — aye. Motion carried unanimously. Item 7(c) had further discussion. Council Member Cook commented that the plans show a gravel driveway and referenced that that should really be paved but did not have the same reference to the parking lot. Council Member Cook noted that he had spoken to Planning Director Dan Jochum about this. Mr. Jochum noted that an additional condition could be placed on the Conditional Use Permit that both the driveway and the parking lot need to paved with an improved surface. Motion by Cook, second by Czmowski., to approve Item 7(c) with the additional condition added to the Conditional Use Permit. Roll call vote was taken: Cook — aye; Czmowski — aye; Sebesta — aye; Christensen — aye; Forcier — aye. Motion carried unanimously. Item 7(g) had further discussion. Council Member Cook asked when this project will be done. John Olson, Public Works Manager, noted that it will be determined on the contractor's schedule. The majority of the project will be done under traffic with some portions being completed close to traffic. Motion by Cook, second by Christensen, to approve Item 7(g). Roll call vote was taken: Cook — aye; Czmowski — aye; Sebesta — aye; Christensen — aye; Forcier — aye. 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 and Czmowski abstaining, to approve Consent Agenda II. Roll call vote was taken: Cook — aye; Czmowski — aye; Sebesta — aye; Christensen — aye; Forcier — aye. Motion carried unanimously. PUBLIC HEARINGS — NONE COMMUNICATIONS REQUESTS 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. DISCUSSION OF AMENDING CHAPTER 112 —LIQUOR REGULATIONS —TO ALLOW HOTELS Matt Jaunich, City Administrator, presented before the Council. Mr. Jaunich explained that Cobblestone Hotel & Suites has requested that the Council consider amending City code to allow issuing on -sale intoxicating liquor licenses to hotels, as allowed by state law. City code currently only allows on -sale intoxicating licenses to be issued to restaurants and clubs, however state law CITY COUNCIL MINUTES April 28, 2020 allows cities to issue licenses to hotels and other establishments. Council Member Cook suggested that if this was granted he recommended only allowing sales to hotel guests and their guests. Mr. Jaunich noted that the definition of hotel according to the state liquor statute is an establishment where food and lodging are regularly furnished to transients and which has a dining room serving the general public at tables and having facilities for seating at least 30 guests at one time. Deb Brewer, Cobblestone Hotel & Suites General Manager, presented before the Council. Ms. Brewer explained the hotels hours and noted that currently nothing is being served at the hotel (coffee, breakfast, etc.). Council Member Christensen asked if the liquor would be sold to guests only. Ms. Brewer noted that the intention of the license would be an on -sale intoxicating liquor license and would be served in a dining room that is open to the general public. Ms. Brewer spoke of some food items that would be offered as part of the dining room/lounge. Council Member Cook again suggested only serving to guests and guests of guests. Mayor Forcier and other council members were in favor of adding hotels to the establishments that may be issued on -sale intoxicating liquor licenses. Staff will draft an ordinance for the Council to consider in amending Chapter 112 to allow hotels to be issued on -sale intoxicating liquor licenses. 10. DISCUSSION OF REFUNDING LICENSE FEES Mayor Gary Forcier suggested that perhaps the Council should consider issuing prorated refunds to those businesses that were issued licenses for this year and now have been closed due to the COVID-19 pandemic. All Council Members were in favor of refunding prorated license fees to those businesses that have been effected. Mr. Jaunich noted that staff can draft a Resolution for the Council to consider at its next meeting authorizing issuing prorated license refunds to businesses. 11. HUTCHINSON POLICE DEPARTMENT ANNUAL REPORT Tom Gifferson, Police Chief, presented before the Council. Chief Gifferson noted that the annual report was included in the Council packet and asked if the Council had any questions on the annual report. Chief Gifferson fielded questions related to statistics on specific crimes and mental health issues. Chief Gifferson also reviewed the hands -free law that was implemented in August. Chief Gifferson spoke about accomplishments related to establishment of a department Facebook page along with upgrades to necessary equipment. Chief Gifferson noted that one of the most important goals of his for the department was officer wellness — physically, psychologically, emotionally and financially. A major goal for 2020 is the new police facility — design and construction implementation, along .19 CITY COUNCIL MINUTES April 28, 2020 with improvements to the regional training facility. Discussion was also held regarding potentially purchasing a speed trailer in 2020 — which would gauge speed limits, traffic counts and speed counts. UNFINISHED BUSINESS 12. APPROVE/DENY ORDINANCE NO. 20-812 - AN ORDINANCE SUSPENDING ENFORCEMENT OF HUTCHINSON CITY CODE SECTION 92.018 PERTAINING TO HOURS OF CONSTRUCTION DURING THE TH 15/MAIN STREET RECONSTRUCTION PROJECT (SECOND READING AND ADOPTION) Kent Exner, City Engineer, presented before the Council. Mr. Exner reminded the Council that this ordinance allows for exemptions to the noise ordinance for the TH15/Main Street reconstruction project. Essentially, this ordinance allows for work and associated noise to begin at 7:00 a.m. on Saturdays and allow for noise exemptions related to concrete work. Motion by Czmowski, second by Christensen, to approve second reading and adoption of Ordinance No. 20-812. Roll call vote was taken: Cook — aye; Czmowski — aye; Sebesta — aye; Christensen — aye; Forcier — aye. Motion carried unanimously. NEW BUSINESS 13. APPROVE/DENY PURCHASE OF "EGGSPERT" FOR PERMANENT DISPLAY AT HUTCHINSON PUBLIC LIBRARY Council Member Steve Cook spoke before the Council. Council Member Cook explained that the Public Arts Commission is requesting that the City purchase "Eggspert" which is an art piece that was included in the Sculpture Stroll this year. "Eggspert" would be permanently displayed at the Hutchinson Public Library. The sale price is $14,000, however per the Sculpture Stroll artist agreement, the city receives a 25% commission on each piece sold. As a result, the City's price would be $10,500 and the funds would come from the Public Arts account. Motion by Czmowski, second by Christensen, to approve purchase of "Eggspert" for permanent display at Hutchinson Public Library. Roll call vote was taken: Cook — aye; Czmowski — aye; Sebesta — aye; Christensen — aye; Forcier — nay. Motion carried 4 to 1. Council Member Cook noted that the COVID-19 pandemic has had an effect on Hutchinson's Sculpture Stroll and other strolls throughout the region. Cook noted that two pieces were supposed to come to Hutchinson this year and now will not be. The Public Arts Commission decided to an extend an offer for the art pieces that are currently at The Depot, "The Farmer" and "The Flying Dutchmen" that is along the trail to remain for another year due to this. 14. RESOLUTION NO. 15161 - DECLARING THE OFFICIAL INTENT OF THE CITY OF HUTCHINSON TO REIMBURSE CERTAIN EXPENDITURES FROM THE PROCEEDS OF BONDS TO BE ISSUED BY THE CITY 5 CITY COUNCIL MINUTES April 28, 2020 Andy Reid, Finance Director, presented before the Council. Mr. Reid explained that the City Council must formally declare its intent to reimburse incurred improvement expenditures with bond proceeds as required by the IRS. The majority of this year's reimbursement is attributed to the Hwy 15/Main Street reconstruction. The estimated reimbursement amount is $2,000,000. That amount is based on the City's prepayment of improvement costs to MnDOT and an estimate for potential costs incurred for the Civil Air Patrol and Alley 957 projects. Motion by Cook, second by Czmowski, to approve Resolution No. 15161. Roll call vote was taken: Cook — aye; Czmowski — aye; Sebesta — aye; Christensen — aye; Forcier — aye. Motion carried unanimously. GOVERNANCE (T epurpose o t is portion of the agenda is to deal with organizational development issues, includingpolicies, performances, and other matters that manage the logistics of the organization. May include monitoring reports, policy development and governance process items) 15. MINUTES/REPORTS FROM COMMITTEES, BOARDS OR COMMISSIONS (a) Liquor Hutch Quarterly Report �b) City of Hutchinson Financial Report and Investment Report for March 2020 c) Hutchinson Housing & Redevelopment Authority Board Minutes from March 17, 2020 and March 27, 2020 (d) Planning Commission Minutes from February 18, 2020 NHSCELLANEOUS 16. STAFF UPDATES Kent Exner — Mr. Exner spoke about installation of a streetlight at Hwy 22/5t' Avenue South that has been discussed in the past. Mr. Exner explained that after a lengthy process with MnDOT, a light will be installed in the next couple of weeks. Mr. Exner also spoke briefly about the TH15/Main Street improvements that are going on. Mr. Exner also spoke about the phase schedules on the Main Street project. Council Member Cook also mentioned that he had read that a roundabout was approved to be constructed at Hwy 7/County Road 1. Chief Gifferson — Mayor Forcier noted that he had been asked by a resident about a stop sign being installed at Adams Street and Second Avenue South due to the Main Street reconstruction. Chief Gifferson noted that his department monitored this intersection over the weekend and at most there were 6-8 cars stacked up at one time and they did not take long to clear out once traffic was clear. Chief Gifferson encouraged motorists to use the 5t' Avenue/Adams Street intersection since it is already traffic -controlled. Council Member Cook spoke about the Franklin/1st Avenue NW intersection and suggested that the stop sign be placed to east/west traffic during the construction time. Chief Gifferson suggested leaving the stop sign as is due to increased truck traffic on Franklin Street. Kent Exner also suggested leaving the stop sign as is for now and eventually all of the stop sign locations/directions should be reviewed holistically. Chief Gifferson also provided a Stay at Home update — He noted that the department's park patrol has been out and have observed that people are using parks but are not using playground structures. IN CITY COUNCIL MINUTES April 28, 2020 Matt Jaunich — Mr. Jaunich noted that candidate filing opens May 5' for those interested in filing for mayor or council member. He also noted that staff continues to work on projects such as the branding project, the police facility, and updated stay at home order preparations. 17. COUNCIL/MAYOR UPDATE Steve Cook — Council Member Cook asked if there are any budget issues related to COVID-19. Mr. Jaunich noted that the City is not seeing any issues to date, however he and the Finance Director will be doing monthly reports on revenue loss and expense increases to monitor any issues. Mary Christensen — Council Member Christensen thanked all of the teachers that have been teaching online/virtually and the challenge it is for teachers and students. Gary Forcier — Mayor Forcier reminded residents to complete their Census surveys and he cautioned residents again about scams. ADJOURNMENT Motion by Czmowski, second by Forcier, to adjourn at 7:00 p.m. Roll call vote was taken: Cook — aye; Czmowski — aye; Sebesta — aye; Christensen — aye; Forcier — aye. Motion carried unanimously. 7 HUTCHINSON CITY COUNCIL Ci=y�f Request for Board Action 79 =-W Agenda Item: 2020 Street Repairs, Purchase Req #020033 Department: PW/Eng LICENSE SECTION Meeting Date: 5/12/2020 Application Complete N/A Contact: John Olson Agenda Item Type: Presenter: John Olson Reviewed by Staff ❑ Consent Agenda Time Requested (Minutes): 0 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: Each year, the City of Hutchinson solicits price quotes from paving contractors for street repairs. Four companies were solicited, including Bertram Asphalt, Duininck, Inc., Knife River, and Wm. Mueller & Sons. This year we received quotes from three companies. There can be significant variation in pricing, so we base pricing on time, materials and equipment typically used for street repairs. Using the contractors' prices, we apply them to some randomly selected invoices that we've received in the past to determine the contractor with the lowest price on the majority of the selected invoices. Wm Mueller & Sons had the lowest cost on 3/4 of the selected invoices. Bertram Asphalt had lower pricing for 1/4 of the selected invoices and a slightly lower total cost. Duininck, Inc. had higher pricing. Knife River did not respond. This year, Public Works staff is recommending approval of Purchase Order #020033 to Wm Mueller & Sons in the amount of $112,000: $ 85,000 - Streets & roadways* These totals and distribution represent average spending, $ 1,000 - Airport generally, over the last 5 years. Streets and roadways $ 20,000 - Water spending may not be as much, since last year the costs $ 3,000 - Wastewater associated with frost damage repair were high. $ 3,000 - Storm Water $112,000 - Total *Like last year, we anticipate needing to use the second low contractor, Bertram Asphalt, for some repairs if the primary contractor, Wm Mueller & Sons, is not available. A separate, smaller PO is being prepared for Bertram Asphalt. BOARD ACTION REQUESTED: Approve purchase order #020033 to Wm Mueller & Sons for 2020 Street Repairs Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: Yes PROJECT SECTION: Total Project Cost: $ 112,000.00 Total City Cost: $ 112,000.00 Funding Source: Operating budgets Remaining Cost: $ 0.00 Funding Source: Street Patching & Repair Work Conditions Price Quotes Due - 04/24/2020 1. Contractor is responsible for traffic control/warning devices necessary to protect vehicles and pedestrians. Contractor is responsible to protect uncured pavement. 2. Bituminous edges to be saw cut or milled back to sound pavement. Tack coat to be installed when patching. 3. Excess material to be disposed of as directed by the City, either at Creekside Soils or the City's Public Works facility. 4. Install to match existing mat (or a minimum of 3 inches) of 41/31 Bituminous Mix (PG 58-28) or equivalent. 5. Compact aggregate base material prior to patching. Compact pavement following patch to assure a smooth transition between existing and new pavement. 6. Maintain the worksite in a clean, neat manner. Ensure all debris at the repair site is removed and disposed of before submitting an invoice for the work. 7. Work to be completed as soon as is practicable after the City issues a work order. Contractor must notify City if repairs will be delayed more than two weeks. 8. Work to be invoiced to the City using time and materials. Invoices are to provide detail for each individual location identified on work requests. Rates. Pricine and Payments 1. Work is to be invoiced to the City using items listed below, plus other items at time and materials. Invoices are to provide detail for each individual location. 2. Aggregate and bituminous materials pricing does not include trucking. Trucking is to be accounted for on an hourly basis. 3. All equipment rates are to include operator and fuel. 4. Prices below are for the year. Prices may be subject to changes in fuel or bituminous prices. Modified pricing is to be agreed upon separately. 5. Subcontracted work, if authorized by the City, is to be billed at cost plus 5%. The subcontractor's name, contact information, and invoice/pricing is to be included. Wm Mueller Bertram Duininck DESCRIPTION Hourly Labor Rates FOREMAN $/hr $ 95.00 $/hr $ 86.33 $/hr $ 86.00 LABOR - GENERAL $/hr $ 70.00 $/hr $ 81.33 $/hr $ 67.00 LABOR - TRAFFIC CONTROL $/hr $ 70.00 $/hr $ 61.00 $/hr $ 67.00 Material Pricing SELECT GRANULAR BORROW Ton $ 4.75 Ton $ 11.50 Ton $ 5.25 RECYCLED BITUMINOUS/CONCRETE Ton $ 10.25 Ton $ 17.00 Ton $ 13.00 CLASS 5 100%CRUSHED LIMESTONE Ton $ 11.45 Ton $ 21.50 Ton $ 16.00 LV3/LV4 BITUMINOUS MIX (PG 58-28) Ton $ 60.00 Ton $ 73.00 Ton $ 70.00 TACK OIL Gal $ 4.65 Gal $ 7.00 Gal $ 3.50 TOPSOIL, SCREENED CY $ 13.00 CY $ 29.75 CY $ 32.00 Houriy E[4uipment Rates BACKHOE, CAT 320 OR EQUIVALENT $/hr $ 175.00 $/hr n/a $/hr $ 195.00 BACKHOE, CAT 336 OR EQUIVALENT $/hr $ 195.00 $/hr n/a $/hr $ 210.00 BACKHOE, TRACTOR -LOADER (small) $/hr $ 140.00 $/hr n/a $/hr $ 170.00 DOZER, CAT D4 OR EQUIVALENT $/hr $ 160.00 $/hr n/a $/hr $ 170.00 DOZER, CAT D5 OR EQUIVALENT $/hr $ 170.00 $/hr n/a $/hr $ 170.00 DOZER, CAT D6 OR EQUIVALENT $/hr $ 180.00 $/hr n/a $/hr $ 170.00 MOTOR GRADER $/hr $ 160.00 $/hr $ 145.00 $/hr $ 180.00 LOADER, CAT 966 OR EQUIVALENT LOADER, CAT 970 OR EQUIVALENT LOADER, CAT 980 OR EQUIVALENT SKIDSTEER LOADER -MILL, HAMMER, BROOM SKIDSTEER LOADER DUMP TRUCK, SINGLE -AXLE DUMP TRUCK, TANDEM OR TRI AXLE DUMP TRUCK, QUAD OR QUINT AXLE PAVER, LEEBOY 8515 OR EQUIVALENT PAVER, CAT AP600D OR EQUIVALENT PAVER, CATAP1000D OR EQUIVALENT ROLLER, STEEL WHEEL STREET SWEEPER, PICK UP TYPE TRAILER, LOW BOY Comparative Pricing for Random Invoices: Single -axle dump Quad/Quint axle Steel roller Asphalt Distributor Skid -steer loader Skid -steer loader w/ mill or hammer Foreman Labor -General Labor -Traffic 41/31 Bituminous mix Wm Mueller UNIT PRICE Bertram UNIT PRICE Duininck UNIT PRIC' $/hr $ 174.00 $/hr n/a $/hr $ 180.00 $/hr $ 190.00 $/hr n/a $/hr $ 235.00 $/hr $ 195.00 $/hr n/a $/hr $ 235.00 $/hr $ 130.00 $/hr $ 85.00 $/hr $ 230.00 $/hr $ 155.00 $/hr $ 65.00 $/hr $ 125.00 $/hr $ 90.00 $/hr n/a $/hr $ 125.00 $/hr $ 95.00 $/hr $ 102.00 $/hr $ 125.00 $/hr $ 106.00 $/hr $ 115.00 $/hr $ 135.00 $/hr $ 320.00 $/hr $ 135.00 $/hr $ 445.00 $/hr $ 385.00 $/hr n/a $/hr $ 445.00 $/hr $ 470.00 $/hr n/a $/hr $ 445.00 $/hr $ 160.00 $/hr $ 45.00 $/hr $ 150.00 $/hr $ 135.00 $/hr n/a $/hr $ 220.00 $/hr $ 185.00 $/hr $ 140.00 $/hr $ 235.00 Wm Mueller Bertram Duininck 1.50 90.00 135.00 102.00 153.00 125.00 187,50 1.00 95.00 95.00 115.00 115.00 135.00 135.00 1.50 160.00 240,00 45.00 67.50 150.00 225.00 0.75 135.00 101.25 135.00 101,25 135.00 101.25 1,00 130.00 130.00 65.00 65,00 125.00 125.00 1.00 155.00 155,00 85.00 85.00 230.00 230.00 3.50 95.00 332.50 86.33 302.16 86.00 301.00 11.50 70.00 805.00 81.33 935.30 67.00 770.50 4.00 70.00 280.00 61.00 244.00 67.00 268.00 18.00 60.00 1,080.00 73.00 1,314.00 70.00 1,260.00 3,353.75 3,382.20 3,603.25 Comparative Pricing for Random Invoices: Wm Mueller Bertram Duininck Single -axle dump 4.00 90.00 360.00 102.00 408.00 12S.00 500.00 Quad/Quint axle 3.00 106.00 318.00 115.00 345.00 135.00 405.00 Quad/Quint axle 3.00 106.00 318.00 115.00 345,00 135.00 405.00 Tandem or tri-axle 3.00 95.00 285.00 102.00 306.00 125.00 375.00 Tandem or tri-axle 3.00 95.00 285.00 102.00 306.00 125.00 375.00 Leeboy 8515 Paver 2.00 320.00 640.00 135.00 270.00 445.00 890.00 Steel roller 5.00 160.00 800.00 45.00 225.00 150.00 750.00 Asphalt Distributor 2.00 135.00 270.00 135.00 270.00 135.00 270.00 Skidsteer loader 4.00 130.00 520.00 65.00 260.00 125.00 500.00 Skidsteer loader w/ mill or hammer 1.00 1SS.00 155.00 85.00 85.00 230.00 230.00 Foreman 8.00 95.00 760.00 86.33 690.64 86.00 688.00 Labor -General 50.00 70.00 3,500.00 81.33 4,066.50 67.00 3,350.00 41/31 Bituminous mix 67.00 60.00 4,020.00 73.00 4,891,00 70.00 4,690.00 Per invoice #15-385 09/12/15 12,231.00 12,468.14 13,428.00 Single -axle dump 4,50 90.00 405.00 102.00 459.00 125.00 562.50 Quad/Quint axle 3.00 106.00 318.00 115.00 345.00 135.00 405.00 Quad/Quint axle 3.00 106,00 318.00 115.00 345.00 135.00 405.00 Leeboy 8515 Paver 4.00 320.00 1,280.00 135.00 540.00 445.00 1,780.00 Steel roller 3.75 160.00 600.00 45.00 168.75 150.00 562,50 Asphalt Distributor 2.00 135.00 270.00 135.00 270.00 135,00 270.00 Skidsteer loader 3.50 130.00 455.00 65.00 227.50 125.00 437.50 Skidsteer loader w/ mill or hammer 3.50 155.00 542.S0 85.00 297.50 230.00 805.00 Lowboy trailer 1.00 185.00 185,00 140.00 140.00 235.00 235.00 Foreman 7.00 95.00 665.00 86.33 604.31 86.00 602.00 Labor -General 13.75 70.00 962.50 81.33 1,118.29 67.00 921.25 41/31 Bituminous mix 40.00 60.00 2,400.00 73.00 2,920.00 70.00 2,800.00 8,401.00 7,435.35 9,785.75 Single -axle dump 4.00 90.00 360.00 102.00 408.00 125.00 500.00 Quad/Quint axle 3.00 106.00 318.00 115.00 345.00 135.00 405,00 Quad/Quint axle 3.00 106.00 318.00 115.00 345.00 135.00 405.00 Tandem or tri-axle 3.00 95.00 285.00 102.00 306.00 125.00 375.00 Tandem or tri-axle 3.00 95.00 285.00 102.00 306.00 125.00 375.00 Leeboy 8515 Paver 2.00 320.00 640.00 135.00 270.00 445.00 890.00 Steel roller 5.00 160,D0 800.00 45.00 225.00 150.00 750.00 Asphalt Distributor 2.00 135.00 270.00 135.00 270,00 135.00 270.00 Skidsteer loader 4.00 130.00 S20.00 65,00 260.00 125,00 500.00 Skidsteer loader w/ mill or hammer 1.00 155.00 155.00 85.00 85.00 230.00 230.00 Foreman 8.00 95.00 760.00 86,33 690.64 86.00 688.00 Labor -General 50.00 70.00 3,500.00 81.33 4,066.50 67.00 3,350.00 41/31 Bituminous mix 67.00 60.00 4,020.00 73.00 4,891.00 70.00 4,690.00 12,231.00 12,468.14 13,428.00 Recommend choosing Wm Mueller & Sons, since 3 of 4 36,216.75 35,753.83 40,245.00 representative invoices were less expensive using Wm Mueller & Sons 0 N 0 N d\' N V O cu 7 ❑ O a U a .16 O O O O 00 O O O 0 0 0 O 00 O OO 0 0 O O O O O O O O O O q 0 d O U1 O Ln O Ln lD o U1 O 0 U1 U1 a11 awl -11 �m-1 Ln H iA iA Ol m m a W -1 -1 VT in V} to V} U) T n V to 1^ UIn iT VT C a a E � O .-. 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"; ms v v roar a m o = Z¢ C w ¢mod Z u p� m E uu F rn m ❑❑❑ o c E 0 u .E O O a oYY u Yo ra a v Y onE� c O C7 H A ¢ a��utd J _J W w W 000 F H H ¢¢Q L " ro a i Y al E Y a1 Q a O a) W Lr fL' N U V V1 J° W O o >• Q W Y V) 2 2 2 Y Y Y U U V CO y7. X O 10 O O �V� " a, O �- 'C 7 3aaLLv) V1 C m Co m y J U m 0¢Q W U d ` O V U V Qa Q W W W Umw 7 +' W >Q O W J J W Vl d' u J 7 F- f- G m m m NNN 0 0 0 .--i rV an d u1 iD h oo � �-i N m rn 2 2 ❑ 0 0 HUTCHINSON CITY COUNCIL Ci=y�f Request for Board Action 79 =-W Agenda Item: 2020 Sewer lining, Purchase Req #020042 Department: PW/Eng LICENSE SECTION Meeting Date: 5/12/2020 Application Complete N/A Contact: John Olson Agenda Item Type: Presenter: John Olson Reviewed by Staff ❑ Consent Agenda Time Requested (Minutes): 0 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: Two areas in need of sewer lining were identified during other maintenance operations in 2019: 1) Sanitary sewer - Shady Ridge Rd NW rear easement sanitary sewer lines. The Shady Rdige area was identified as having high inflow and infiltration. In 2018, Public Works staff cleaned all of the lines and inspected manholes. These inspections led to a project in 2019 to curtain grout all of the manholes and plan for sewer main lining in 2020, if approved, which will be followed in the next year or two with installing a full liner inside the manholes. Costs associated with lining sanitary sewer in Shady Ridge = $52,137.53 2) Storm sewer - The pipe that runs behind homes on Lincoln Ave SW and run to a catch basin at 45 Washington Ave W (Walt Clay residence) has been an issue for many years. In 2019, the structure at 45 Washington Ave W was replaced, but televising inspections indicated a variety of pipe types that were in poor condition. Excavating in these backyards, especially considering the steep grade down to the river, makes sewer lining the most economical option to repair these storm sewer pipes. Costs assoiated with lining storm sewer (Lincoln Ave/Washington Ave W) = $51,200.87 This year we solicited price quotes from three companies. Insituform Technologies USA, LLC provided a price of $103,338.40 to do the work, which was within 1 % of the estimated cost. Hydro Klean and Michels did to submit a price quote. We did learn that this job was also looked at by a company that coordinates this kind of work, so it is likely they were involved in Insituform's price quote and in the decision by the other two companies to not price the work. Because the work needs to be done and because pricing was very close to the estimated cost, Public WOrks staff recommends approval of the purchase requisition to Insituform Technologies USA, LLC in the amount of $103,338.40. BOARD ACTION REQUESTED: Approve purchase order #020042 to Insituform Technologies USA, LLC for 2020 Sewer lining. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: Yes PROJECT SECTION: Total Project Cost: $ 103,338.40 Total City Cost: $ 103,338.40 Funding Source: Storm-$51,200.87; Sewer-$52,137.53 Remaining Cost: $ 0.00 Funding Source: O o ci O ,i O U a J d M v o M o `r' Ln ° � cz U % C a) CO H LU ra O J w i 7 a) Y v1 C C p co LU LU C w U LULU O LUo m T m m o M Lr1 M N ZT M M O I-� LU N c-I M m OZT Ln M o l0 M N I� Lf1 N l0 N I -I Lr N ci N >� M L LU O O n O O O n l0 N � N O Co N l0 rl ci I-� l0 O N Ol ci Ol m Ln T O Ln c-I l0 N Il M al N i l0 M M l0 l0 O ci p ci Ii Ii Ln N H O O O O O O O O O O O Z Ii l0 l0 ZT m N O N ZT O ZT M N CO N M M O ci I-� l0 CO Q ci Ol t m Ozt Ln m Lf t M M c-I CO CO N N Lf1 r- M Ol M a 'zt M O ci l0 M ci N l0 ci l0 ci O ci M O J 0 W O O O O O O O O O O U M ci l0 lz� n lz� O lz� CO lz� E M Ln Co N r, Zt Ln O I� Co 0_ 'zt M N ri M l0 Ln l0 Co CO c Z O to to to to to to to to to to H O O O O O O O O O O O Z Ln O O O O O O O O O Ln I� Lf1 O O a> O O Co co* O I� Q l0 l0 O O CO Ln O Ln O O M c N Lr Lr Lr N I" O Ol Lf1 'Zl I� a M c-I I� N Ln M M ID c-I c-I N O c-I N O J H H W O O O O O O O O O O v_ Ln Ln O O O O O O O O CC N N O O I, O O ci l0 O LL O O N Ln O l0 I- l0 Lf1 Lf1 N c-I ci n l0 ri Ii Il M O CO M Lf1 Lou O� O M N CO l0 Q~ rn rn L W z J a V1 Vi LL a a LL LL LL W J J J W W J J J C O O O O C ni v C C CIn `o `o 0 0 y� a o p U U - in in in U ai ai ^ t4 0 z O' Q LU no C no C no C O_ O tlA tlA tlA •O � � i J LU J J J U C C m U J O LL LL LL v1 v1 .� U LL LL y LL LL LL � v v v z v E . 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'T +L35 .� . 41 ,* 555 r 1. - r 4:3 s� � • :'�� .545 -i 7 5 � C � 'r - .-+�. vAr� . r • .15 LINCOLN AVE SW `n TY �r • ' Z lk ti aE r' r M1 000 :t24 . 540 5 3 U 5,12 3 l ' 18" STORM SEWER: 65 LF 15" STORM SEWER: 283 LF 12" STORM SEWER: 278 LF STORM SEWER: 626 LF City of Hutchinson 8" VCP SANITARY SEWER: 1,307 LF /nsituform Technologies® USA, LLC Date: May 1, 2020 To: City of Hutchinson, MN John Olson From: Tony Ostgulen Business Development Manager 651.253.0236 Project Name: 2020 CIPP Project Hutchinson, MN 1140 Bunker Lake Blvd NW Anoka, MN 55303 ID#: AA3A-YVMY6R Proposal Date: May 1, 2020 www.insituform.com Insituform Technologies USA, LLC. herein proposes to furnish a Proposal for all labor, materials, equipment, and services necessary to reconstruct the referenced project. Assumptions and Qualifications If conditions are materially different from those communicated to Insituform Technologies USA, LLC., we reserve the right to void or renegotiate the pricing contained in this proposal. We have based this proposal on a nominal wall thickness for the Insitutube as shown in the price. This is based on the best available information at the time of this proposal. Existing pipe deterioration in excess of the conditions assumed, ground water loads in excess of those assumed, or other loads or conditions may increase the recommended thickness for all or portions of the work. Final recommendations may be submitted to you following the completion of the preliminary TV phase of the project. Stated prices are subject to adjustment if design changes are agreed upon. Specific service connections will be reconnected only when written directions are received from the Owner/Prime Contractor with an additional charge for each service connection. The Owner/Prime Contractor will indemnify and hold Insituform Technologies USA, LLC. harmless from all claims arising from backups and other effects of such actions or inactions from services not opened at the owner's request. In the event that Insituform is unable to locate or reconnect a service lateral internally, the Owner/Prime Contractor will externally reconnect the service at no cost to Insituform. Water shall be provided at no cost to Insituform Technologies USA, LLC. for all construction phases of this project. Insituform Technologies USA, LLC. will follow all required deposit, backflow prevention, and metering procedures. The Owner/Prime Contractor will provide access to both ends of the line, traffic control, and point repairs if needed. Installation can be completed after point repairs and accesses to both ends are completed. Proposal Pricing Item No. Item Unit Est Qt3 Unit Price Amount I Televising inspection (Sanitary) LF 1307 S 3.30 S 4,313.10 2 Televising inspection (Storm) EA 626 S 5.10 S 3,192.60 3 Mobilization LS 1 S 10,848.60 S 10,848.60 4 Traffic Control LS 1 S 892.40 S 892.40 5 8" CIPP Lining (Sanitary) LS 1307 S 27.70 S 36,203.90 6 Trim Protruding Tap (Iron/Non-Iron) EA 3 S 414.40 S 1,243.20 7 Reinstate Lateral (Any Size) EA 30 S 85.00 S 2,550.00 8 12" CIPP Lining (Storm) LF 278 S 60.40 S 16,791.20 9 15" CIPP Lining (Storm) LF 283 $ 57.80 $ 16,357.40 10 18" CIPP Lining (Storm) LF 65 S 168.40 S 10,946.00 S 103,338.40 Insituform® Proposal — Hutchinson, MN — 05 01 20 1. Installation of CIPP by Water or Steam Install/Curing as required in specifications. 2. There will be a $2500 mob charge for each additional mobilization above the 1 anticipated mobilization for lining. 3. Insituform submits this bid based on the plans and specifications furnished to it. Insituform's bid is expressly conditioned upon the negotiation of terms and conditions fair to Insituform. Insituform shall have no obligation to perform and shall not be bound by its bid until the execution of a mutually agreeable written contract. "Insituform Technologies USA LLC will not execute a project labor agreement" Proposal Inclusions The prices stated in this proposal include: 1. Mobilization and demobilization. 2. Pipeline cleaning of normal deposits any conditions beyond `normal" will be treated as an extra 3. Pre -Video inspections and documentation of existing pipe prior to reconstruction with the Insituform process for pipe rehabilitated by CIPP 4. Final video inspection following completion of the installation to document your new pipe rehabilitated by CIPP. 5. Insitutube wetout using 400,000 Flexural Modulus resin, inversion, curing, and finishing. 6. Confined space safe entry practices. 7. One-year standard construction warranty. 8. Certificate of insurance with standard coverage Proposal Exclusions Not included in the prices stated in this estimate are costs associated with the items listed below. These items, if needed or found to be applicable, would be provided by Insituform Technologies USA, LLC. at your additional cost; or would be furnished by others, at your direction, at no cost to Insituform Technologies USA, LLC.: a) Clear access to sewer through new or existing manhole, manhole frame and chimney/corbel removed if necessary. b) If preliminary video inspection of the pipe interior indicates excessive damage, or other extra -ordinary condition, which will require excavation, or other extraordinary remedy, to prepare the pipe for installation of the Insitutube, then those services will be provided by the Prime contractor or Owner. This will include excessive roots, excessive debris and protruding taps. c) Additional cleaning and televising mobilizations and/or setups due to point repairs, obstruction removals, or delays out of our control will be an additional charge. d) Protruding tap removal unless specified e) Manual operation of any pumping and/or metering stations. f) Water from fire hydrants within a convenient distance from each cleaning and inversion site location. g) Legal dumpsite for debris resulting from pipe cleaning. h) If any hazardous or toxic materials are encountered during the project, the Owner/Prime Contractor will be responsible for the removal and disposal of the materials. i) Installation of cleanouts, or other ports, if required for special bypass pumping requirements for businesses. j) Manhole installation, rehabilitation, and/or replacement, if needed to install CIPP. k) Project permits and/or local licenses. 1) State and local sales and/or use taxes on the value of the project. If you are exempt, please submit the appropriate documentation. Page 2 of 4 insituform® Proposal - Hutchinson, MN - 05 01 20 m) Additional premiums for special insurance coverage(s) demanded by you or other parties particular to this project. n) Performance and Payment Bond not included. This is available upon request, but if required please add 2.5% to the total project cost. Page 3 of 4 insituform® Proposal — Hutchinson, MN — 05 01 20 Proposal Terms and Conditions a) Limits of Liability. In consideration of Insituform Technologies USA, LLC.'s agreement to maintain no less than $5,000,000 of comprehensive general liability insurance in the form required by the Contract, Insituform Technologies USA, LLC.'s liability to the Owner for any matter covered by such insurance will be limited to the extent of such insurance and the Owner will indemnify and hold Insituform Technologies USA, LLC. harmless from any third -party claims covered by such insurance to the extent such claims exceed the limits of such insurance. Neither party shall be liable to the other for consequential damages relating to the contract. In case of conflict between this provision and any other provision in the Contract as ultimately executed, this provision shall govern and prevail. b) LIMITED WARRANTY. IN LIEU OF ALL OTHER EXPRESSED, IMPLIED AND/OR STATUTORY. WARRANTIES, INCLUDING WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE, CONTRACTOR AGREES TO CORRECT ANY DEFECTS IN THE MATERIALS OR SERVICES PROVIDED BY CONTRACTOR WHICH ARE BROUGHT TO THE ATTENTION OF CONTRACTOR WITHIN ONE YEAR FOLLOWING COMPLETION OF CONTRACTOR'S WORK, PROVIDED OWNER AFFORDS CONTRACTOR SUITABLE ACCESS AND WORKING CONDITIONS TO ACCOMPLISH SUCH CORRECTION. c) MUTUAL RELEASE OF CONSEQUENTIAL DAMAGES. Neither party shall be liable to the other for consequential damages relating to or arising out of the Contract. d) PROPOSAL SUBJECT TO NEGOTIATION OF OTHER STANDARD TERMS OF AGREEMENT. This proposal is subject to agreement of the parties on other terms and conditions as are customary in contracts of this nature. e) Quantities are estimated. Unit prices apply for actual invoice and payment. f) Payments are due at net within thirty days of invoice. Final payment is due within thirty days of completion of project. g) Monthly progress partial payments may be requested for the value of work in progress or completed, including materials secured and on site. h) Prices stated are in effect for thirty days from the date of this proposal. The acceptance period may be extended at the sole option of Insituform Technologies USA, Inc. i) Conflicts. In case of conflict between the provision of the aforesaid paragraphs and any other provision in the Contract as ultimately executed the provisions as set forth above shall govern and prevail. Offered By: Accepted By: Insituform Technologies USA, LLC. Signature Date j%ilo" Oaoa4m, Fadurem DevePa6mmt 7yl w yen Name/Title Organization Accepted by: Insituform Technologies USA, LLC. Date: Is this Project Tax Exempt? If Yes, please provide Tax Exemption Form and, where applicable, Project Exemption Form. Does this Project require Certified Payroll? Are there wage rates? If yes, please provide a copy of the wage rates. This accepted proposal constitutes a formal agreement. If you initiate a purchase order or other contract document, it shall not be acknowledged without this accepted proposal as an attachment. Page 4 of 4 HUTCHINSON CITY COUNCIL Ci=y�f Request for Board Action 79 =-W Agenda Item: Developers Agreement for White Hawk Village Second Addition Department: Planning LICENSE SECTION Meeting Date: 5/12/2020 Application Complete N/A Contact: Dan Jochum Agenda Item Type: Presenter: Dan Jochum Reviewed by Staff ❑ Consent Agenda Time Requested (Minutes): License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: A developers agreement needs to be agreed upon by the City of Hutchinson and Bonneville Land and Cattle (Gus Wurdell) for the development of the White Hawk Village Second Addition. The preliminary and final plat were unanimously approved by the Planning Commission on April 21, 2020. A condition of approval was a developers agreement needs to be signed and agreed to prior to the City's execution of the final plat. BOARD ACTION REQUESTED: Approval of Developers Agreement between the City and Bonneville Land and Cattle. 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: DEVELOPER AGREEMENT White Hawk Village Second Addition CITY OF HUTCHINSON, MINNESOTA THIS AGREEMENT, made and entered into the day and year set forth hereinafter by and between Bonneville Land and Cattle, LLC. , hereinafter called the "Developer"; and the City of Hutchinson, a Municipal Corporation in the County of McLeod, State of Minnesota, hereinafter called the "City"; WITNESSETH: WHEREAS, the Developer is the owner and developer of property situated in the City of Hutchinson, County of McLeod, State of Minnesota, which has been identified with a legal description of White Hawk Village Second Addition. WHEREAS, City Ordinance No. 464 and 466 requires the Developer to make certain improvements in the development; NOW, THEREFORE, IT IS HEREBY AGREED AS FOLLOWS: I. SITE IMPROVEMENTS AND UTILITY INSTALLATIONS It is agreed and understood that the Developer shall be responsible for all work associated with site improvements and utility installations within the above described property. All work shall conform to the City approved site, utility and building plans. 2. The Developer shall complete all work as noted within the below section II (paragraph no. 1) and provide a written verification and as -built drawings from a professional engineer and/or surveyor stating that all utility work satisfies the intentions of the plans and this agreement. This work must be approved by City staff. Any costs associated with meeting these requirements shall be the responsibility of the Developer. 3. The Developer shall provide all turf establishment and erosion control measures necessary to protect the utility installations and street disturbance areas on the entire site and within adjacent City street right-of- ways. The Developer shall also provide all erosion control during site grading and improvement work necessary to meet local, state and federal requirements. Any subdivision disturbing one acre or more of White Hawk Village Second Addition/Page 1 — Approved 05/12/2020 land needs to obtain an NPDES/SDS (National Pollutant Discharge Elimination System/State Disposal System) permit through the MPCA (Minnesota Pollution Control Agency). Information regarding the permitting process can be accessed at www.pca.state.mn.us/water/stormwater/stormwater-c.html or by calling the City's Environmental Specialist at (320) 234-5682. A copy of the submitted permit and associated Stormwater Pollution Prevention Plan (SWPPP) must be provided to the Environmental Specialist prior to construction commencing within the site. All disturbed areas shall be seeded, mulched, and disc anchored with MNDOT seed mix 250GR or other City -approved method within 48 hours after final grading is completed or within one week after rough grading is completed. Any areas disturbed adjacent to a stormwater pond, drainage ditch or existing wetland shall be seeded with MNDOT seed mixture 310 or other City -approved method and covered with erosion control blanket. Any corrective measures to address erosion control and turf establishment are at the expense of the Developer. In the case of the SWPPP not being administered appropriately, the City shall notify the Developer in writing of work needing completion. If no action is taken by the Developer within 10 days or sooner if determined necessary, the City reserves the right to complete this work and invoice or assess the Developer. 6. It is understood and agreed that it shall be the Developer's responsibility to provide survey control points for all infrastructure and site construction. 7. It is understood and agreed that the Developer shall be responsible for maintaining the condition of the infrastructure, mowing, weed control and other site maintenance issues during site and building construction. The Developer shall be required to maintain and clean the roadways and storm sewers/ponds on a regular basis, and shall repair or replace any street, storm sewer/ponds, sanitary sewer or watermain infrastructure damaged by operations related to site and building construction. The City shall notify the Developer in writing of necessary work requiring completion. If no action is taken by the Developer within 10 days or sooner if determined necessary, the City reserves the right to complete this work and invoice or assess the Developer for the associated costs. IL FUNDING AND DEDICATIONS The Developer hereby agrees to fund and construct all necessary utility installations/relocations and appurtenances to serve the entire development. All work shall be completed by forces employed by the Developer, and the work shall meet all applicable local, state and federal regulations and construction standards. The City shall approve all construction documents and shall provide minimal construction overview with final approval of all public infrastructure proposed to be turned over to the City. All roadway and utility improvements outside of established street right-of-ways and dedicated easements shall be considered private infrastructure with all associated maintenance activities including but not limited to pavement/curbing repairs, pavement surface treatments, snow removals, sweeping, water/sewer services, storm water system/drainage maintenance, pond/wetland maintenance, etc. being the responsibility of the Developer. If proper roadway or utility maintenance for areas outside established right-of-ways or dedicated easements is not administered per the City's determination, the City reserves the right to address issues that impact emergency access, human health, environmental contamination, etc. and assess all associated costs to the Developer. III. OTHER FEES, CHARGES AND EXPENDITURES 1. It is understood and agreed that the Developer shall pay the Trunk Sanitary Sewer and Water Main Availability Charges. This fee will compensate the City for improvements required to provide trunk sanitary sewer and water main access to this development. This fee shall be based on the most current fees being charged by the City and is due at the time of building permit issuance. These rates for the year White Hawk Village Second Addition/Page 2 — Approved 05/12/2020 2020 are $2,300 per unit for sanitary sewer service and $1,750 per unit for water service. 2. It is understood and agreed that the Developer shall follow the Hutchinson Utilities Commission policy and requirements as outlined at https://www.hutchinsonutilities.com/your-account-2/billing-policies/. Electric service is provided at no charge other than requirements as outlined per the policy. Natural gas service is provided and installed by the Hutchinson Utilities Commission. Commercial and industrial service lines are installed and billed on a time and material basis. All costs shall be billed to the Developer. It is also understood and agreed that the Developer shall follow the Hutchinson Utilities Commission policy and requirements, for natural gas service, as outlined per the policy. 3. It is understood and agreed that a Parks and Playground Contribution shall be made in the form of $165 per unit within this development. 4. It is understood and agreed that any special assessments will be paid off prior to any building permits being issued. IV. GENERAL 1. It is understood and agreed that no building certificates of occupancy will be issued prior to the utility installations and City right-of-way disturbance areas being completely addressed and accepted by the City. 2. Any damage to surrounding private property or City infrastructure that occurs due to development construction shall be the responsibility of the Developer to correct. 3. It is understood and agreed that all local, state and federal permits required to be obtained for the development shall be the responsibility of the Developer. 4. This agreement shall be binding upon and extend to the heirs, representatives, assigns and successors of the parties. 5. It is understood and agreed that the Developer shall record this agreement at the McLeod County Recorder's Office or McLeod County Registrar of Titles Office, and that no building permits will be issued until said Agreement is recorded and a certified copy of this agreement is provided to the City. The Developer shall pay all costs associated with said recording. White Hawk Village Second Addition/Page 3 — Approved 05/12/2020 SIGNATURES • BONNEVILLE LAND AND CATTLE (Developer): Signature Printed Name & Title On this 20_before day of , me personally appeared who acknowledged themselves to be the of a Minnesota corporation, and that as such officer being authorized so to do, executed the foregoing instrument for the purpose herein contained by signing the name of the corporation by themselves as of the corporation. Notary Public, My Commission Expires County, Minnesota APPROVED BY THE HUTCHINSON CITY COUNCIL THE 12TH DAY OF MAY, 2020. • CITY OF HUTCHINSON (City): GARY T. FORCIER, MAYOR STATE OF MINNESOTA COUNTY OF MCLEOD MATT JAUNICH, CITY ADMINISTRATOR The foregoing instrument was acknowledged before me this day of 2020, by Gary T. Forcier, Mayor and Matt Jaunich, City Administrator of the City of Hutchinson. White Hawk Village Second Addition/Page 4 — Approved 05/12/2020 Notary Public, County, Minnesota My Commission Expires THIS INSTRUMENT WAS DRAFTED BY: Dan Jochum, Planning Director Hutchinson City Center I I I Hassan Street SE Hutchinson, MN 55350 White Hawk Village Second Addition/Page 5 — Approved 05/12/2020 CHECK REGISTER A FOR CITY OF HUTCHINSON CHECK DATE FROM 4/29/20 - 5/12/20 Check Date ----------------------------------------------------------------------------------------- 04/24/2020 Check EFT1196 Vendor Name EFTPS Description --------------------------------------------------------------------------------------- Payroll 4/5/20 - 4/18/20 Amount ----------------------- 61,430.81 04/24/2020 EFT1197 Child Support Payroll 4/5/20 - 4/18/20 577.29 04/24/2020 EFT1198 MN Dept of Revenue Payroll 4/5/20 - 4/18/20 11,744.15 04/24/2020 EFT1199 Provident Life Insurance Payroll 4/5/20 - 4/18/20 634.72 04/24/2020 EFT1200 PERA Payroll 4/5/20 - 4/18/20 52,633.56 04/24/2020 EFT1201 TASC-Flex Payroll 4/5/20 - 4/18/20 1,679.56 04/24/2020 EFT1202 TASC-H S A Payroll 4/5/20 - 4/18/20 13,697.59 04/24/2020 EFT1203 ICMA Payroll 4/5/20 - 4/18/20 3,288.52 04/24/2020 EFT1305 VOYA Payroll 4/5/20 - 4/18/20 330.00 04/24/2020 EFT1205 MNDCP Payroll 4/5/20 - 4/18/20 350.00 04/24/2020 210397 MNPEA Payroll 4/5/20 - 4/18/20 624.00 04/24/2020 210398 UNUM Life Insurance Payroll 4/5/20 - 4/18/20 1,285.10 04/24/2020 210399 HART Payroll 4/5/20 - 4/18/20 602.54 04/30/2020 210400 POSTMASTER MAY SR NEWSLETTERS - SR CENTER 132.00 05/12/2020 210401 A & K REPAIR, INC. REPAIR PUMP - WATERPARK 110.00 05/12/2020 210402 A.M. LEONARD INC LEAF RAKES -STREETS 90.80 05/12/2020 210403 ABDO EICK & MEYERS AUDIT SERVICES FOR YE 12/31/19 26,000.00 05/12/2020 210404 ACE HARDWARE - 1315 REPAIR & MAINT SUPPLIES - VARIOUS DEPTS 544.57 05/12/2020 210405 ACE HARDWARE - 1790 DRILL BITS, LAWN SUPPLIES - FIRE DEPT 36.15 05/12/2020 210406 AMERICAN BOTTLING CO COST OF GOODS SOLD - LIQUOR HUTCH 163.44 05/12/2020 210407 AMERIPRIDE SERVICES 4/20 CLEANING SERVICES - LIQUOR HUTCH 179.69 05/12/2020 210408 ARCTIC GLACIER USA INC. COST OF GOODS SOLD - LIQUOR HUTCH 2O9.23 05/12/2020 210409 ARTISAN BEER COMPANY COST OF GOODS SOLD - LIQUOR HUTCH 1,562.75 05/12/2020 210410 ATLAS OUTFITTERS THROW BAG, ICE PICKS, HEADLAMP - FIRE DEPT 269.25 05/12/2020 210411 AUTO VALUE - GLENCOE EQUIPMENT PARTS - HATS 478.66 05/12/2020 210412 AXON ENTERPRISE, INC. TASER 60 YR4 PAYMENT/BODY CAMERAS - POLICE 6,072.00 05/12/2020 210413 B & C PLUMBING & HEATING INC SPRING SERVICES - VARIOUS DEPTS 1,284.24 05/12/2020 210414 BARGENINC 2020TRAIL MAINT -STREETS 17,574.00 05/12/2020 210415 BARNARD, TIFFANY REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 05/12/2020 210416 BARNUM GATE SERVICES INC FRONT GATE OPENER REPAIR - WWTP 1,006.00 05/12/2020 210417 BELLBOY CORP COST OF GOODS SOLD - LIQUOR HUTCH 5,224.39 05/12/2020 210418 BERNICK'S COST OF GOODS SOLD - LIQUOR HUTCH 414.50 05/12/2020 210419 BOLTON & MENK INC. 2018 AIRPORTZONING UPDATE THRU 3/31/20 2,832.00 05/12/2020 210420 BRANDED SOLUTIONS NEW ERA PD HATS - POLICE 228.35 05/12/2020 210421 BRANDON TIRE CO 2017 FORD INTERCEPTOR TIRE REPAIR - FIRE 183.80 05/12/2020 210422 BREAKTHRU BEVERAGE COST OF GOODS SOLD - LIQUOR HUTCH 13,972.49 05/12/2020 210423 BRUHN, KELLI REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 05/12/2020 210424 C & L DISTRIBUTING COST OF GOODS SOLD - LIQUOR HUTCH 44,696.44 05/12/2020 210425 CARD SERVICES CREAMER, SUGAR - WWTP 35.14 05/12/2020 210426 CENTRAL HYDRAULICS MACK EQUIPMENT PARTS -COMPOST 3,073.24 05/12/2020 210427 CENTRAL MCGOWAN ACETYLENE, HIGH PRESSURE - VARIOUS DEPTS 156.00 05/12/2020 210428 CHEMISOLV CORP CUSTOM DEWATERING FLOCCULENT -WWTP 5,256.00 05/12/2020 210429 CINTAS CORPORATION CLEANING SERVICES - VARIOUS DEPTS 191.40 05/12/2020 210430 CORE & MAIN LP METERS & PARTS - WATER 1,808.34 05/12/2020 210431 CREEKSIDE SOILS BITCON -VARIOUS DEPTS 519.19 05/12/2020 210432 CROW RIVER AUTO & TRUCK REPAIR VEHICLE MAINT & REPAIRS -VARIOUS DEPTS 517.44 05/12/2020 210433 CROW RIVER PRESS INC SENIOR NEWSLETTERS 93.41 05/12/2020 210434 CROW RIVER SIGNS MAIN STREET 2020 PARKING LOT SIGNS - STREETS 1,635.30 05/12/2020 210435 CROW RIVER WINERY COST OF GOODS SOLD - LIQUOR HUTCH 588.00 05/12/2020 210436 D. ERVASTI SALES CO, LLC CLAY, INFIELD CONDITIONER - PARKS 950.00 05/12/2020 210437 DAHL, GWEN REFUND: CANCELLED DUE TO COVID-19 - COMM ED 20.00 05/12/2020 210438 DELEGARD TOOL CO REPAIR & MAINT SUPPLIES - VARIOUS DEPTS 361.88 05/12/2020 210439 DELL MARKETING L.P. MOBILE PRECISION BASE & SOFTWARE - ENG 1,388.89 05/12/2020 210440 DEMEYER, JODI REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 05/12/2020 210441 DONNAY, KATRIS REFUND: CANCELLED DUE TO COVID-19 - COMM ED 50.00 05/12/2020 210442 DPC INDUSTRIES INC HYDROFLUOROSILICIC ACID - WATER 1,531.20 05/12/2020 210443 DYNA SYSTEMS CB CONCRETE REPAIR, DEGREASER - STORMWATER 2,605.68 05/12/2020 210444 ECOLAB PEST ELIMINATION 4/21 RODENT PROGRAM - REFUSE 167.17 05/12/2020 210445 ELECTRO WATCHMAN ALARM MONITORING & DOOR REPAIR -VARIOUS DEPTS 1,881.24 05/12/2020 210446 ELECTRONIC SERVICING 3/9 SERVICE & SUPPLIES - EVENT CENTER 236.72 05/12/2020 210447 EMERGENCY APPARATUS MAINT VARIOUS VEHICLE REPAIR- FIRE DEPT 4,717.08 05/12/2020 210448 FAHRNER ASPHALT SEALERS LLC 2020CRACK REPAIR -STREETS 20,240.00 05/12/2020 210449 FARM -RITE EQUIPMENT 2020 BOBCAT UTV - WWTP 12,731.88 05/12/2020 210450 FIELD, MARK REFUND: CANCELLED DUE TO COVID-19 - COMM ED 20.00 05/12/2020 1210451 1 FISHER, DAN UB refund for account: 1-575-0650-3-04 70.51 CHECK REGISTER A FOR CITY OF HUTCHINSON CHECK DATE FROM 4/29/20 - 5/12/20 Check Date ----------------------------------------------------------------------------------------- 05/12/2020 Check 210452 Vendor Name FRANZEN, DAVID Description --------------------------------------------------------------------------------------- REFUND: CANCELLED DUE TO COVID-19 - COMM ED Amount ----------------------- 25.00 05/12/2020 210453 GALLS LLC SHIRTS & TROUSERS - FIRE 129.46 05/12/2020 210454 GENSMER, KAREN REFUND: CANCELLED DUE TO COVID-19 - COMM ED 20.00 05/12/2020 210455 GOPHER STATE FIRE EQUIPMENT CO. SEMI-ANNUAL SERVICE OF FIRE SUPPRESSION SYSTEM -SR DINING 213.00 05/12/2020 210456 GRAINGER CHEMICAL CARTRIDGES, RESPIRATOR CARTRIDGE - SR DINING 126.58 05/12/2020 210457 GREAT NORTHERN ENVIORNMENTAL LLC SENSORS - WWTP 156.25 05/12/2020 210458 HANSON & VASEK CONSTRUCTION CONCRETE REPAIR -VARIOUS DEPTS 10,310.00 05/12/2020 210459 HCVN-TV 1ST QUARTER FRANCHISE FEES 23,226.03 05/12/2020 210460 HILLYARD/HUTCHINSON CLEANING SUPPLIES - VARIOUSDEPTS 208.72 05/12/2020 210461 HUTCH CAFE FELLOWSHIP MEALS - SR CENTER 840.00 05/12/2020 210462 HUTCHINSON CHAMBER & TOURISM MARCH 2O20 LODGING TAX 3,843.98 05/12/2020 210463 HUTCHINSON CO-OP FUEL & SUPPLIES -VARIOUS DEPTS 13,977.51 05/12/2020 210464 HUTCHINSON HEALTH CARE MAY 2020 CAM - EVENT CENTER 2,361.67 05/12/2020 210465 HUTCHINSON LEADER APRIL ADVERTISING & PUBLISHING -VARIOUS DEPTS 707.45 05/12/2020 210466 HUTCHINSON WHOLESALE #1550 REPAIR & MAINT SUPPLIES - VARIOUS DEPTS 1,100.37 05/12/2020 210467 HUTCHINSON WHOLESALE #1552 PREM STARTER FLUID - PARKS 3.69 05/12/2020 210468 INGSTAD BROADCASTING KDUZ 4/15 PRO SPORTS COMBO ADVERTISING - LIQUOR HUTCH 360.00 05/12/2020 210469 INTERSTATE BATTERY SYSTEM MINNEAPOL BATTERIES - HATS 921.65 05/12/2020 210470 J&L INDUSTRIAL SUPPLY GAS SPRING W/NO ENDS- WWTP 30.44 05/12/2020 210471 J. FRANK SCHMIDT & SON CO. 2020 PLANTING GRANT TREE PURCHASES- STREETS 4,777.75 05/12/2020 210472 JEFFERSON FIRE & SAFETY INC DIAMOND SAW BLADE FOR K-12 SAW - FIRE 314.00 05/12/2020 210473 JOHNSON BROTHERS LIQUOR CO. COST OF GOODS SOLD - LIQUOR HUTCH 30,777.87 05/12/2020 210474 JUUL CONTRACTING CO SUPPLIES & REPAIR -VARIOUS DEPTS & PROJECTS 20,604.28 05/12/2020 210475 KAHNKE BROTHERS NURSERY DEVELOPMENT TREES - STREETS 68.00 05/12/2020 210476 KASHUBA, ROBIN REFUND: CANCELLED DUE TO COVID-19 - COMM ED 40.00 05/12/2020 210477 KATZENMEYER, KATI REFUND: CANCELLED DUE TO COVID-19 - COMM ED 50.00 05/12/2020 210478 KERI'S CLEANING & HANDYMAN SERVICES APRIL CLEANING - LIQUOR HUTCH 1,785.00 05/12/2020 210479 KIMBER FIEBIGER EGGSPERT PURCHASE FOR DISPLAY AT PUBLIC LIBRARY 10,500.00 05/12/2020 210480 KOHLS SWEEPING SERVICE CREEKSIDE TO NUEBARTHS, CONCRETE PILING 1,420.00 05/12/2020 210481 KONEN, JEREMY REFUND: CANCELLED DUE TO COVID-19 - DEPOT RENTAL 62.50 05/12/2020 210482 KOSTERS, MICHAEL REIMB: SAFETY FOOTWEAR - COMPOST 175.00 05/12/2020 210483 KRANZ LAWN & POWER CHAINSAWS - FORESTRY 1,556.35 05/12/2020 210484 KUHBANDER, CAMI REFUND: CANCELLED DUE TO COVID-19 - CAMPGROUND 140.00 05/12/2020 210485 KYLE FOKKEN ARTIST LLC 2020 SCULTPURE STROLL 1,000.00 05/12/2020 210486 L & P SUPPLY CO REPAIR & MAINT SUPPLIES - VARIOUS DEPTS 1,020.36 05/12/2020 210487 LAKELAND BROADCASTING APRILADVERTISING - LIQUOR HUTCH 880.00 05/12/2020 210488 LANDSKAPINGS LANDSCAPE MAINTENANCE - VARIOUS DEPTS 6,750.00 05/12/2020 210489 LANG, REBECCA REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 05/12/2020 210490 LANG INS, AMANDA REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 05/12/2020 210491 LANO EQUIPMENTOF NORWOOD CEMETERY EQUIPMENT PARTS 386.31 05/12/2020 210492 LEAGUE OF MN CITIES PATROL SUBS -TRAINING - POLICE 2,070.00 05/12/2020 210493 LEBENS, BRANDON REFUND: CANCELLED DUE TO COVID-19 - ECFE 42.00 05/12/2020 210494 LITCHFIELD BUILDING CENTER REPAIR & MAINT SUPPLIES - FIRE 600.80 05/12/2020 210495 LOCHER BROTHERS INC COST OF GOODS SOLD - LIQUOR HUTCH 61,637.40 05/12/2020 210496 M-R SIGN SIGNS & MATERIALS - STREETS 2,289.45 05/12/2020 210497 M. MILLERTRUCKING CREEKSIDE FREIGHT TO MULTIPLE LOCATIONS 430.00 05/12/2020 210498 MADDEN GALANTER HANSEN LLP MARCH SERVICES - POLICE 476.00 05/12/2020 210499 MAGNUSSON, BRIAN REIMB: SAFETY FOOTWEAR - PARKS 169.99 05/12/2020 210500 MANTEUFEL, DEANNA REFUND: CANCELLED DUE TO COVID-I9-COMM ED 40.00 05/12/2020 210501 MARCO TECHNOLOGIES, LLC 4/20 - 5/20'20 CITY PRINTING CONTRACT 1,570.51 05/12/2020 210502 MATHESON TRI-GAS INC ACETYLENE, HIGH PRESSURE - WWTP 21.45 05/12/2020 210503 MAYLAND, AMANDA REFUND: CANCELLED DUE TO COVID-19 - COMM ED 50.00 05/12/2020 210504 MCLEOD COUNTY AUDITOR -TREASURER CITY PROPERTY TAXES 37,055.16 05/12/2020 210505 MELLIES, ROSE REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 05/12/2020 210506 MENARDS HUTCHINSON REPAIR&MAINTSUPPLIES- VARIOUSDEPTS 2,122.96 05/12/2020 210507 MINI BIFF 4/3 - 4/30 RENTAL - COMPOST 86.96 05/12/2020 210508 MINNESOTA PETROLEUM SERVICE FUEL SYSTEM TESTING & REPAIRS- HATS 1,185.50 05/12/2020 210509 MINNESOTA RURAL WATER ASSN ERIC LEVINEANNUAL MEMBERSHIP - WATER 300.00 05/12/2020 210510 MINNESOTA VALLEY TESTING LAB LAB SAMPLE TESTING - VARIOUS DEPTS 878.00 05/12/2020 210511 MN DEPT OF TRANSPORTATION 2020 ARMER MOTOROLA AGREEMENT - POLICE 2,463.49 05/12/2020 210512 MOE, BEVERLY REFUND: CANCELLED DUE TO COVID-19 - PARKS 45.00 05/12/2020 210513 NASH FINCH COMPANY 1ST QTR 2020 CAM - LIQUOR HUTCH 1,836.79 05/12/2020 210514 NEMITZ, CAROL REFUND: CANCELLED DUE TO COVID-19 - COMM ED 20.00 05/12/2020 210515 NERO ENGINEERING LLC MARCH WWTP/WATER ENGINEERING FEES 1,981.30 05/12/2020 1210516 1 NORTHERN BUSINESS PRODUCTS IOFFICE SUPPLIES - LIQUOR HUTCH 186.35 CHECK REGISTER A FOR CITY OF HUTCHINSON CHECK DATE FROM 4/29/20 - 5/12/20 Check Date ----------------------------------------------------------------------------------------- 05/12/2020 Check 210517 Vendor Name NORTHERN SAFETY & INDUSTRIAL Description --------------------------------------------------------------------------------------- STERILE PADS, GAUZE, WRAPS, TAPE, TOWEL - HATS Amount ----------------------- 57.44 05/12/2020 210518 NORTHERN TIER TRANSPORTATION LLC CREEKSIDE FREIGHT TO MULTIPLE LOCATIONS 500.00 05/12/2020 210519 NORTHLAND CHEMICAL CORP WASH & WAX, DEGREASER - POLICE 218.88 05/12/2020 210520 NUVERA APRIL PHONE SERVICES - VARIOUS DEPTS 5,926.19 05/12/2020 210521 O'REILLY AUTO PARTS ADAPTERS, CONNECTORS - HATS 49.97 05/12/2020 210522 OENOPHILIA COST OF GOODS SOLD - LIQUOR HUTCH 372.49 05/12/2020 210523 OFFICE DEPOT OFFICE SUPPLIES -VARIOUS DEPTS 55.46 05/12/2020 210524 OLVERA, GAVIN REIMB: SAFETY FOOTWEAR - WWTP 119.99 05/12/2020 210525 PAUL, RICHARD UB refund for account: 3-075-1940-0-02 19.53 05/12/2020 210526 PAUSTIS WINE COMPANY COST OF GOODS SOLD - LIQUOR HUTCH 5,719.08 05/12/2020 210527 PENMAC STAFFING SERVICES, INC. CREEKSIDE TEMPORARY STAFFING 1,689.42 05/12/2020 210528 PEOPLEREADY INC CREEKSIDE TEMPORARY STAFFING 5,034.96 05/12/2020 210529 PETERS, SUE REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 05/12/2020 210530 PHILLIPS WINE & SPIRITS COST OF GOODS SOLD - LIQUOR HUTCH 2O,342.83 05/12/2020 210531 PIEHL, MEGAN REFUND: CANCELLED DUE TO COVID-19 - COMM ED 50.00 05/12/2020 210532 PIONEERLAND LIBRARY SYSTEM 2ND QTR 2020 FUNDING REQUEST 44,197.50 05/12/2020 210533 POKORNOWSKI TRUCKING, LLC CREEKSIDE FREIGHT TO MULTIPLE LOCATIONS 607.75 05/12/2020 210534 POSTMASTER POSTAGE - UB BILLS 1,540.00 05/12/2020 210535 PRECISION CONCRETE CUTTING SIDEWALK TRIP HAZARD MITIGATION -STREETS 8,000.00 05/12/2020 210536 PREMIER TECH CHRONOS HOUSED BRG, INSERT -COMPOST 102.48 05/12/2020 210537 QUADE ELECTRIC 3 STREETLIGHTS: WINNEPEG AVE SE -STREETS 5,860.00 05/12/2020 210538 R & R EXCAVATING CONSTRUCTION OF DELAWARE AND SHADY RIDGE LS - WWTP 4,898.52 05/12/2020 210539 RADWELL INTERNATIONAL BAGGER EQUIPMENT PARTS - COMPOST 1,669.90 05/12/2020 210540 RATH, DELORES REFUND: CANCELLED DUE TO COVID-19 - PARKS 45.00 05/12/2020 210541 REED, CHERYL REFUND: CANCELLED DUE TO COVID-19 - CAMPGROUND 60.00 05/12/2020 210542 REINER ENTERPRISES INC CREEKSIDE FREIGHT TO MULTIPLE LOCATIONS 13,003.34 05/12/2020 210543 RNL TRANSPORT LLC CREEKSIDE FREIGHT TO MULTIPLE LOCATIONS 4,940.00 05/12/2020 210544 RUNNING'SSUPPLY REPAIR&MAINTSUPPLIES- VARIOUSDEPTS 466.18 05/12/2020 210545 SCHAEFFER MFG CO MOLY EP SYNTHETIC - WWTP 141.00 05/12/2020 210546 SCHILLER, ADAM REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 05/12/2020 210547 SCHLUETER, TIMOTHY REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 05/12/2020 210548 SCHUFT, KRISTEN REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 05/12/2020 210549 SESTER FARMS INC ENERGY TREES - STREETS 5,027.69 05/12/2020 210550 SHANDS, STACEY REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 05/12/2020 210551 SHORT-ELLIOT-HENDRICKSON,INC PROFESSIONAL SERVICES-VARIOUSDEPTS 9,713.55 05/12/2020 210552 SOLIEN, KAREN REFUND: CANCELLED DUE TO COVID-19 - COMM ED 50.00 05/12/2020 210553 SOLUS LED INTERIOR FACILITY LIGHT FIXTURES-CREEKSIDE 12,696.00 05/12/2020 210554 SOUTHERN WINE & SPIRITS OF MN COST OF GOODS SOLD - LIQUOR HUTCH 32,619.12 05/12/2020 210555 STANDARD PRINTING-N-MAILING YELLOW PAPER - PLANNING & ZONING 16.00 05/12/2020 210556 STAPLES ADVANTAGE OFFICE SUPPLIES-VARIOUSDEPTS 517.56 05/12/2020 210557 STARCK, LAWRENCE 2020 SCULTPURE STROLL 1,000.00 05/12/2020 210558 STEILE CONSTRUCTION DIR BORE DUCTS FOR FUEL INTERNET CONNECTION -AIRPORT 1,740.00 05/12/2020 210559 SYLWESTER, CHAD REFUND: CANCELLED DUE TO COVID-19 - CAMPGROUND - PARKS 35.00 05/12/2020 210560 SYLWESTER, CONNIE REFUND: CANCELLED DUE TO COVID-19 - CAMPGROUND - PARKS 70.00 05/12/2020 210561 TASC JUNE FLEX ADM. FEES 122.22 05/12/2020 210562 TRETTIN, MOLLY REIMB: SAFETY FOOTWEAR - WWTP 150.49 05/12/2020 210563 TRI COUNTY WATER BOTTLE WATER DELIVERY - VARIOUS DEPTS 279.40 05/12/2020 210564 TRUE BRANDS COST OF GOODS SOLD - LIQUOR HUTCH 356.13 05/12/2020 210565 URBAN SPRITE MEDIA 4/13 & 4/20 GARDEN BITE RADIO SPOTS - COMPOST 750.00 05/12/2020 210566 VALLACHER, BILLIE REFUND: CANCELLED DUE TO COVID-I9-COMM ED 25.00 05/12/2020 210567 VER-TECH SOLUTIONS & SERVICES MAY DISH MACHINE RENTAL- SR DINING 69.95 05/12/2020 210568 VIKING BEER COST OF GOODS SOLD - LIQUOR HUTCH 25,099.60 05/12/2020 210569 VIKING COCA COLA COST OF GOODS SOLD - LIQUOR HUTCH 309.75 05/12/2020 210570 VINOCOPIA INC COST OF GOODS SOLD - LIQUOR HUTCH 2,413.18 05/12/2020 210571 VIVID IMAGE SOFTWARE &ADVERTISING -VARIOUS DEPTS 1,620.00 05/12/2020 210572 W S & D PERMIT SERVICE REFUND PERMIT PB20-0125 -BUILDING INSPECTIONS 51.00 05/12/2020 210573 WASTE MANAGEMENT OF WI -MN 4/1- 4/15 REFUSE - VARIOUS DEPTS 9,551.48 05/12/2020 210574 WEBSTER, KAYE REFUND: CANCELLED DUE TO COVID-19 - COMM ED 80.00 05/12/2020 210575 WEROWINSKI, LEAH REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 05/12/2020 210576 WEST CENTRAL SHREDDING 3CONSOLES -VARIOUSDEPTS 50.00 05/12/2020 210577 WILKE, SARA REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 05/12/2020 210578 WILSON'SNURSERY INC DEVELOPMENT TREES - STREETS 1,480.70 05/12/2020 210579 WINE COMPANY, THE COST OF GOODS SOLD - LIQUOR HUTCH 1,940.05 05/12/2020 210580 WINE MERCHANTS INC COST OF GOODS SOLD - LIQUOR HUTCH 1,204.24 05/12/2020 1210581 1 WITTE,JANAE REFUND: CANCELLED DUE TO COVID-19-CAMPGROUND 70.00 CHECK REGISTER A FOR CITY OF HUTCHINSON CHECK DATE FROM 4/29/20 - 5/12/20 Check Date ----------------------------------------------------------------------------------------- 05/12/2020 Check 210582 Vendor Name WM MUELLER & SONS Description --------------------------------------------------------------------------------------- FINE ASPHALT- IN HOUSE STREET REPAIRS Amount ----------------------- 1,447.20 05/12/2020 210583 WOLLAN, ANDREA REFUND: CANCELLED DUE TO COVID-19 - COMM ED 20.00 05/12/2020 210584 YEPEZ, VICTOR 2020 SCULTPURE STROLL 1,000.00 05/12/2020 210585 ZEULI, WENDY REFUND: CANCELLED DUE TO COVID-19 - COMM ED 25.00 Total - Check Disbursements: $ 829,029.85 HUTCHINSON CITY COUNCIL Ci=y�f Request for Board Action 79 =-W Agenda Item: 3.2% Malt Liquor License - Cash Wise/Holiday Department: Administration LICENSE SECTION Meeting Date: 5/12/2020 Application Complete Yes Contact: Matt Jaunich/M. Starke Agenda Item Type: Presenter: Matt Jaunich/M. Starke Reviewed by Staff ✓❑ Public Hearing Time Requested (Minutes): 5 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: Coborn's Incorporated is a a retail corporation that owns/operates Cash Wise Foods located at 1020 Hwy 15 South and Holiday Stationstore located at 1016 Hwy 15 South in Hutchinson. Coborn's has submitted an application for off -sale 3.2% malt liquor at both locations. State laws allows the governing body of a city or county to issue off -sale or on -sale licenses for the sale of 3.2 percent malt liquor within their respective jurisdictions. The police department has conducted a background investigation on the CFO/Officer of Coborn's Incorporated and has found nothing that would preclude him or the organization from obtaining an off -sale 3.2% malt liquor license. BOARD ACTION REQUESTED: Approve issuing off -sale 3.2% malt liquor license to Coborn's Inc. for stores located at 1020 Hwy 15 South (Cash Wise) and 1016 Hwy 15 South (Holiday). 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: wry ° f I i I Hassan Sireel Southeast Hutchinson, MN 55350 (320) 587-515i/Fax: (320) 234-4240 Off --Sale Fee: $300.00 City of Hutchinson APPLICATION FOR 3.2 ,NIALT LIQUOR LICENSE -- OFF SALE In Provisions of the City of Hutchinson Municipal Code Chapter 112 All applications must be received at least two weeks-belbre City Council Meeting in order to be considered s Information - Cash Wise #3011 Business Name 1020 Highway 15 S - Business Address Grocery store Business :orate Information i a lrcab!e Coborn's, Incorporated Corporation Naorrc T 1921 Coborn Blvd Cor orwion Address lnlcer(s12M s of the Bt -.--Christopher Coborn Name James Shaw - Name Rebecca Estb Name 320-587-7655 �T y Pone Number Hutchinson MN 55350 01Y -- - Stale T 7_ip — 320-252-4222 Phone Number St. Cloud MN 56301 w City - State ZIP a additional names on separate sheet CEO/President Title _...... - ---- CFO, Officer �.•� T-� Title Officer The following items need to be completed and/or attached in order For the application to be processed: Certificate of insurance (made out in the name of the City of Hutchinson) yes ❑ no Application fee paid in foil (check or money order): M yes ❑ no Application completed in full and sighed by authorized officer: ® yes © no The above listed business hereby applies for a license for the term of one year to sell 1N 011161NAL PACKAGES ONLY, 3.2 MALT LIQUORS, as the same are defined by law, for consumption "OFF" those certain premises in the City of Hutchinson described above at which place said applicant operates the business listed above and to that end represents and state as follows: That said applicant is a citizen of the United States, of good moral character and repute- and has attaim.;d the age 01'21 years; that he/she is proprietor of this establishment for which the license will be issued if this application is granted. That said applicant makes this application pursuant and subject to all the laws of the State of minnesota and the ordinances and regulations of said City of Hutchinson applicable thereto, which are hereby made a part Hereof, and hereby agrees to Observe and obey the same. C jfv of Nrrrc hm-y o .4ppGCO1wn (ur 3.2 .tlnlr hyuur LicC�rs� C]i] 1'rrlr Pagr: i u( _> Fach Applicant further states that he/she is not now the holder of, nor has he. -'she made application 16r. nor does he intend to make application for a Federal Retail Dealer's Special tar stamp for the sale of intoxicating liquor. I declare that the it}formation I have provided rnn this application is truthful, and I authorize the City of I lutchinson to investi-ate the information submitted. 1 TIC-- 3/5/2020 S' rrrcrture of aufhoi'i_eeI »fjicer a/'org anization Dow Internal Use Police pproved ❑ denied Notes' ft i `_ . _ (lice ChicIratrrr DATE IMMIDDIYYYY) '4 �170� CERTIFICATE OF LIABILITY INSURANCE 316re020 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed. It SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER CONTACT NAME: Priscilla Coulter Marsh & McLennan Agency Li_C PHONE FAX 6160 Golden Hills Drive Mr., t-, f: C.W ;Arc, No}: 212-948-9962 EMAIL Minneapolis MN 55416 ADDRESS: priscila.coulter@marshnlma.corn INSURER(SI AFFORDING COVERAGE NAIC # INSURERA: Sentry Insurance a Mutual Company _ 24988 INSURED COBORINCI INSURER B : Liberty Mutual Fire Insurance Company 23035 Coborn's Inc 1921 Coborn Blvd INSURER C : Aspen American Insurance Company 43460 St_ Cloud MIN 56301 INSURER D : INSURER E INSURER F : COVERAGES CERTIFICATE RFVICIe1N1 NrtIIHrPtFR- THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR; AODL'SUBR 42POLICY EFP POLICY EXP LTR TYPE OF INSURANCE WVo POLICY NUMBER . IDDIYYYYI [MM1DD1YYYY1 : LIMITS _ _ _ B X COMMERCIAL GENERAL LIABILITY EB2641444402029 7/1/2019 711/2020 . EACH OCCURRENCE S_1_,000_.00.0 )( CLAIMS -MADE OCCUR i DAVAGS TO RENTED PREMISES {Ea occurremaj$1,000,000 ME EXP (Any are person) $ No Coverage PERSONAL & ADV INJURY $ 1,000,000 GEN'L AGGREGATE LIMIT APPLIES PER GENERAL AGGREGATE $2.000,000 POLICY PRO- JECT X LOC _ PRODUCTS - COMPIOP AGG $2.000.000 UTHER S s AUTOMOBILFLUIBILITY AS2G41444402019 7JJ12019 711I2020 COMBINED SINGLE LIMIT S1,000.000 IE@ accident) X ANY AUTO BODILY IN,fuRY (Per persony S OWNED SCHEDULFO AUTOS ONLY AUTOS BODILY INJURY (Per accident)' 5 HIRED NON -OWNED PROPERTY DAMAGE S AUTOS ONLY AUTOS ONLY [Per accident] 5 C x uMeRELLA LIAB ?C . OCCUR CC0089R19 71112019 7/1/2020 EACH OCCURRENCE_ S 10.000.000 EXCESS LIAB CLAIMS -MADE AGGREGATE : s 10.000,000 DEG X RETENTION $ S SATION900306101 7/1/2019 711/2020 n WORKERS AN13EMPLOYOERSNABI ERPER X STATUTE Stop Gap Liab ITY YIN .. _ ANYPROPR IET OR)PA RTN E R.+EXECUTIVE EL EACH ACCIDENT S 1,000,000 OFFICER;MEMBERE?CCLUDED) NIA .(Mandatory in NH) E L DISEASE - EA EMPLOYEE, S 1,000,000 . If yes. describe under . DESCRIPTION OF OPERATIONS below E.L. DISEASE - POLICY LIMIT S 1,000,000 B Liquor Liability T02641444402039 7/1/2019 71112020 Earn Common Cause 1,009,9ou Ag9re[Jale 2.000.000 Deductible g700,000/por "C DESCRIPTION OF OPERATIONS; LOCATIONS I VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) Coborn's, Incorporated dba Cash Wise Foods, #3011 - 1020 Hwy 15 S - Hutchinson - MN - 55350. Liquor Liability included. Liquor Licensing Period April 2020 - December 31, 202020. Liquor Liability is continuous until cancelled L:tKIIFIL:AIL HOLDER CANCELLATION City of Hutchinson Hutchinson City Center 111 Hassan Street SE Hutchinson MN 55354-2522 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE C9) 1988-2015 ACORID CORPORATION. All rights raserved ACORE) 25 j2015if1 i) The AGDRU name and logo are registered marks of ACORD Off --Sale tree: S300.01J III Ilassan Slreci Southeast Elulrhinsou. MN 55351) 0201 587-5151&ax' (320) 234-4240 City of Hutchinson APPLICATION FOR 3.2 MALT LIQUOR LICENSE — OFF SALE In provisions of the City of Hutchinson Municipal Code Chapter 112 All applications must be received at least two weeks -before City Council Meeting in order to be considered Business information Holiday Stationstore #4067 Businecc Narne 10t6 Hwy 15 S Business Address --- - Convenience store T e!?f Business Coborn's, Incorporated Corporation ;1'Cfine .._....... _. — --- - _ 320-587-5242 Phone Number Hutchinson MN 55350 [ City State 7.ip Ij �4-%J 0G-`xel LS. Phone Monbee 1921 Coborn Blvd St. Cloud MN 56341 — _--. Car vratian Address J T - - City State _ - zip Iff aqe 2wne s of the BusinessffnevessgQy list additional names ore s 2arate sheet) Christopher Caborn CEO/President Nome Title _Lames Shaw CFO, Officer Name -� Title - Rebecca Est Officer Name - T7tle - _..___ eciclist �- - - The following items need to be completed arid/or attached in order for the application to be processed: W Certificate of insurance (made out in the; name of the City of Hutchinson) 3 yes ❑ no Application fee paid in full (check or money order): M yes Ll na Application cornpletecl in full and signed by authorized officer: ® yes ©no The above listed business hereby applies for a license for the lerm of one year to sell IN ORIGINAL PACKAGES ONl,Y, 3.2 MMJ LIQUORS, as the sarne are defined by law, for consumption "OFF" those certain premises in the City of llutchinson described above at which place said applicant operates the business listed above and to that end represents and state as follows. -1 hat said applicant is a citizen of'lhe United States; of good moral character and repute,, and has attained the age: ul'21 years, that Ile./she is proprietor of this establishment for which the license will be issued if this application is granted. I hat said applicanl makes this application pursuant and subject to all the laws of the State ot'Minnesota acid the ordinances and regulations of said City of Hutchinson applicable thereto. which are hereby sonde a part Hereof, and hereby agrees to observe and obey the satne- f -in' of Hiflel1msu+r Applrc i7 wn fur 3 ? ,Pah I.+q+rur I +erne [1Jf& !c Puke?of, Each Appiicant further states that he/she is not no%% the holder of, nor has he/she made application 1'nr. nor noes he intend to make application liar a Federal Retail Dealer-,, Special tart Stamp for the sale of intoxicating liquur- 1 declare that the inton,latiim I have provided on Ibis application is tnirhtui, and I authorize the City of I futchinson to investigate the in rarmation stihrnittcd- I 3/5/2Q20 SiK+horr-eil+�Jjirer rJ orgurri crtin+r Police QPrt+red 'J denied Notes: _ --- --- j - Mice C'hie pleb w." Dine � �g. DATE {MMtDDIYYYY} A CC CERTIFICATE OF LIABILITY INSURANCE 31sr2020 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy{ies} must have ADDITIONAL INSURED provisions or be endorsed. if SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement{s). PRODUCER CONTACT PFISCIIa Coulter Marsh & McLennan Agency LLC PHONE FAX 6160 Golden Hills Drive JALC rJo, Ext): IArC, No): 212-948-9962 Minneapolis MN 55418 E-MAIL isia.coulter marshmma.com ADDREss; p-rc- . INSURER(S) AFFORD]NG COVERAGE NAiC M 1NsyRER A : Sentry Insurance a Mutual Company 24988 INSURED COBORINCI INsut;ERB: Liberty Mutual Fire Insurance Company 23035 Coborn's Inc 1921 Coburn Blvd INSURERC: Aspen American Insurance Company 43460 St. Cloud MN 56301 INSURER D: INSURER E : INSURER F : COVERAGES CERTIFICATF Nt1MRFR-75nl779A RFVISIr7N PJlIMRFR- THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT. TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. ENSR ADDL SUBR POLICY EFF POLICY EXP LTR TYPE OF INSURANCE POLICY NUMBER MMIDDIYYYY MMIDDIYYYY LIMITS D X COMMERCIAL GENERAL LIABILITY E62641444402029 7/1/2019 711/2020 EACH OCCURRENCE $1,000,00❑ • CLAIMS -MADE : X OCCUR 0AIVA6E TO RENTED PREMISES (Ea occurrence) S 1.000,000 MED EXP (Arty one person) 5 No Coverage PER SONAL&ADVINJURY 51,000.000 GEN'L AGGREGATE LEMIT APPLIES PER GENERAL AGGREGATE $ 2.000.000 POLICY PRO- JECT X LOC PRODUCTS - COMPIOPAGG $2.000.000 OTHER 5 B AUTOMOBILE LIABILITY AS2641444402019 711)2019 7/112020 CEc NED SINGLE LIMIT IA acddenES S1.000.000 X ANY AUTO BODILY INJURY (Per person) 5 OWNED SCHEDULED AUTOS ONLY AUTOS BODILY INJURY (Per accident) 5 HIRED NON -OWNED PROPERTY DAMAGE 5 AUTOS ONLY AUTOS ONLY IPar accident) . 15 C x UMBRELLA LIAB X . OCCUR CX0089R19 7/1/2019 711/2020 EACHOCCURRENCE 510.000,000 EXCESS LIAB CLAIMS -MADE AGGREGATE S 10,000,900 OE❑ X RETENTIONS - 5 INORKERSCOMPENSATION 900306101 7/112019 711/2020 X , PER OTH- STATUTE ER Stop Gap Liab AND EMPLOYERS'LIABILITY Y 1 N 4NYPROPRIETORIPARTHER(FXECIJ7]VE ACCIDENT EACH ACCIDENT S 1.000.000 OF FIC E RIME MOE R EXCLU DED? : N I A .L. {Mandatory in NH} E L DISEASE - EA EMPLOYEE; S 1,000,000 If yes, describe unoer - - - _ - — -- - DESCRIPTION OF OPERATIONS below E.L. DISEASE - POLICY LIMIT S 1,000,000 B Liquor Liability T02641444402039 7/1/2019 711/2020 Each Common Cause 1,000,000 Aggregate 2,000.000 Deductible $100.0041per acc DIE SCR IPTION OF OPE RATIONS I LOCATIONS f VEHICLES (ACORD 101, Additional Remarks Schedule, may lac attached it inure space is required) Coborn's, Holiday Stationstore #4067. 1016 Hwy 15 S Hutchinson - MN - 55350 Liquor Liability includes. Liquor Licensing Period April 1 • 2020 - December 31, 2020. Liquor Liability is continuous until cancelled. CERTIFICATE HOLDER City of Hutchinson Hutchinson City Center 111 Hassan Street SE Hutchinson MN 55350-2522 ACORD 25 t2DISI03j CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE — ----- -- _- - — CO 1988-2015 ACORD CORPORATION. All rights reserved. The ACORD name and loge, are registered marks of ACOR❑ Hutchinson HRA 2019 Year End Housing Benchmarks 1. The General Occupancy Apartment Vacancy Rate in 2019 was 1.83%. This number has held steady since 2014 even though 87 units at Highfield Apartments were added from 2017 -2019. The vacancy rate peaked in 2009 at 14.9% during the Great Recession. A healthy vacancy rate is 5.0% to allow for unit turnover and consumer choice. 2. A variety of rental rates, depending on age of units and amenities, are affordable to our workforce; the median rent for a two bedroom unit increased 3.85% between 2018 and 2019. 3. Based on a Median rent of $675 for a two bedroom apartment and a Median Income of $55,705, only 14.5% of monthly income is needed to rent a 2 bedroom apartment based on median income and rent. 4. According to the McLeod County Assessor's Office the median resale home value was $175,000, a 6.5% increase from 2018. 5. There were 23 new construction single family dwellings constructed in 2019. At the end of 2019 there were 165 residential lots available, more than a 5 year supply at the current building rate. 6. Construction was completed on the third building (29 rental units) of Highfield Apartments. 7. Foreclosures remained steady over the past three years, with a range of 7-12 per year. 7. The HRA assisted 14 owner occupied properties with rehab funding. 8. DEED approved the SCDP Rental Rehab Program for Southdale Apartments. Construction is expected in the summer of 2020. 9. HUD issued a Commitment to Enter into a Housing Assistant Payments (CHAP) to transition from Public Housing to Section 8 PBRA for Park Towers. The financing plan for the conversion is due in July 2020. '=M**� HRA2019 YEAR END REPORT HUTCHINSON HOUSING AND REDEVELOPMENT AUTHORITY The Hutchinson HRA is a public body politic formed by the Hutchinson City Council in 1969 according to MN State Statue. The HRA was created to address a shortage of housing needs for low to moderate income families and to address substandard areas in Hutchinson. In 2019: • The third phase of Highfield Apartments was completed. • The HRA assisted in processing documents for Highfield Apartments permanent financing. • The HRA was approved for $500,000 in SCDP funds for the 907 Dale Street Apartments (South Dale) rental rehab project. • The HRA administered owner occupied rehab programs throughout the city. • The HRA owns and manages Park Towers Apartments. The HRA determined in 2019 that a non -financial conversion from HUD public housing to HUD Section 8 is feasible. The RAD application was approved by HUD in October 2019 when a CHAP was issued. Why does Housing matter? Housing matters because: • Safe, affordable housing is shown to stabilize families. Studies have shown that children who have stable housing do better in school. • Housing Programs help improve neighborhoods and maintain property values. • Housing Programs provide economic stimulus for the local economy by providing work for local contractors and businesses. In 2019, the HRA worked on the following housing objectives: • Continue to maintain strong emphasis on property management, property improvements, and energy conservation at Park Towers. • Explored the feasibility of converting from Public Housing to RAD Section 8 Housing at Park Towers. • Support rehabilitation of housing to preserve housing stock and improve neighborhoods. • Monitor housing data to identify housing needs. • Offer relevant housing programs that provide a positive impact on the community. Summary of 2019 Activities: Park Towers Apartments: Park Towers was a designated HUD high performer in 2019. Asset preservation, property improvements and energy conservation remains a priority at Park Towers • Over $150,000 was spent for building improvements including: seal coating and painting the exterior stucco, completing exterior tuck pointing, and replacing flooring in ten apartments at unit turns. 2019 Hutchinson HRA Year End Report 5/6/2020 Page 1 of 10 Pages Park Towers Property Management • Nineteen apartments were re -occupied in 2019. • Achieved a 99.59% percent occupancy for 2019. • Park Towers continues to be a needed source of one -bedroom apartments with subsidized rent based on 30% of adjusted income. Project demographics include the elderly, disabled and low income workforce. The Park Towers demographic report shows the average household income is $14,479 and the average tenant rent is $301 per month. Tenant Services Park Towers continued as a Senior Dining Program Site through a lease with Lutheran Social Services. Meals are prepared at the Evergreen Senior Dining kitchen, then delivered and served at Park Towers Monday through Friday. Park Towers RAD Conversion from Public Housing to Section 8 Project Based Rental Assistance Program The HRA is planning to convert Park Towers from Public Housing to RAD Section 8 Project Based Rental Assistance (PBRA) in order to lock in attractive 2018 Capital Funds and Operating Funds while moving to a more stable funding environment. Park Towers will still be publicly owned, managed and operated by the Hutchinson HRA. The RAD program provides a set 20 year contract with less uncertainty around year to year fluctuations in congressional funding. The RAD program also provides a plan to continue maintenance improvements needed over the next twenty years. Residents will not have to worry about displacement or moving out, because no large scale construction will be taking place. The closing is estimated for November 2020 with the change going into effect January 1, 2021. City Center Operations: Hutchinson Workforce, New Construction Housing Initiative, Homebuyer Gap Funds Hutchinson Workforce Housing New Construction Initiative, homebuyer gap funds are structured as interest free, deferred loans due in 30 years, upon sale, when the borrower no longer occupies the property, or when the first mortgage is paid off, whichever occurs first. Funding is need based up to a maximum of $25,000 Minnesota Housing (MH) IMPACT Gap funds and $15,000 HRA Entry Cost Assistance. MH contract date was April 1, 2019. No Homebuyer Gap loans have closed as of the end of 2019. Interested homebuyers have not qualified for the program mainly due to not qualifying for a first mortgage. Owner Occupied Rehabilitation In 2015, City of Hutchinson TIF owner occupied housing rehab fund (HILP) was added as a flexible tool for single family owner occupied housing rehab to continue owner occupied rehab efforts throughout the city. • The City HILP Grant program with Minnesota Housing Impact Program and the Minnesota Housing Rehab Loan Program are "full service" programs that are HRA labor intensive, requiring home inspections, work write ups, procurement and bidding, loan closing with the owner(s), construction oversight, and disbursement of loan proceeds to the contractor. • The City Accessibility Grant and City HILP Grant Program (Live and Work in Hutchinson and Streamline) and the Minnesota Housing Fix Up Loan Program requires that the owner submit contractor quotes and that the owner meets loan underwriting criteria to obtain home 2019 Hutchinson HRA Year End Report 5/6/2020 Page 2 of 10 Pages improvement loan proceeds. However, HRA inspection and construction management is not required. The 2016 MHFA Impact Program was revised in 2018 to allow rehab of manufactured homes to match City HILP (TIF). The last loan closed May 2019 and with the project completion the Program closed out in September 2019. In 2019, after no stick -built homeowners applied for the funds, the 2018 MHFA Impact Program was also revised for the rehab of manufactured homes as an owner match to the City HILP (TIF). No City Accessibility Grants or MHFA Fix Up Loans (secured & unsecured) closed in 2019 City HILP Grant Program (TIF): Match Funds: MHFA Impact _ Total Live and Work Funds Personal Weatherization Project Cost $5,000.00 Hassan Street SE $1,725.00 $6,725.00 $4,975.00 Jefferson Street SE $4,975.00 $5,000.00 Southview Dr. SW $930.00 $5,930.00 $5,000.00 Second Ave. SW $568.00 $5,568.00 $5,000.00 loth Avenue NE $2,451.00 $7,451.00 (construction not complete at YE) $5,000.00 Graham Street SW $450.00 $5,450.00 Total $29,975.00 $0.00 $6,124.00 $0.00 $36,099.00 MHFA Impact Total HILP - Grant Funds Personal Weatherization Project Cost with MH Impact $9,450.00 Dale Street SW $9,550.00 $19,000.00 with MH Impact $10,000.00 Madson Avenue SW $13,669.00 $23,669.00 Streamlined'$4,900.00 Sherwood St. SE $4,900.00 $9,800.00 Streamlined $3,225.00 Erie Street SE $3,225.00 $6,450.00 Streamlined $2,325.00 Main Street S $2,325.00 $4,650.00 Streamlined (construction not complete at YE) $2,427.64 Sherwood St. SE $2,427.64 $4,855.28 Streamlined (construction not complete at YE) $7,729.56 Harrington Street SW $8,093.66 $15,823.22 Total $40,057.20 $23,219.00 $20,971.30 $0.00 $84,247.50 MHFA Impact Total Mobile Home Initiative Funds Personal Weatherization Project Cost $10,000.00 1525 McDonald Dr. SW $12,700.00 $22,700.00 2019 Total Owner Occupied Rehab Projects 14 Rental Rehabilitation The 2019 Minnesota Small Cities Development Program Grant (SCDP) full application was submitted to DEED and it was approved for the rental rehab of 907 Dale Street Apartments (South Dale). Activity # of units/goals SCDP Cost Per unit SCDP Cost/ without admin Total SCDP SCDP Admin Admin % Total SCDP Costs PI Total Leveraged Resources Source of Leveraged Funds Totals Rental Rehab -AN 40 10,212 408,479 408,479 91,521 214,286 GMHF & Owner Match 714,286 EM Rental Rehab Admin 40 1,532 61,272 15.0% 61,272 13,728 75,000 2019 Hutchinson HRA Year End Report 5/6/2020 Page 3 of 10 Pages The SCDP and Program Income (PI) funds equal $500,000 which is used for 70% of the rehab costs, which includes inspection fees. The owner has to contribute the remaining 30% as an owner match. Inspections and the Work Write-up/bid packet were completed. Advertisement for bids was 4 weeks long and the public bid opening was December 19t'. At year end, the owner is working with Greater Minnesota Housing Fund (GMHF) on refinancing the first mortgage and getting a second mortgage. Trends: 1. Rental Housing Market Rate General Occupancy Rental The market rate general occupancy rate in August of 2019 was 1.83%. A 5.0% vacancy rate is considered a healthy vacancy rate to allow for turnover and consumer choice. A vacancy rate of greater than 5.0% indicates a soft demand or mismatch between supply and demand. Since 1999, the rental vacancy rate has fluctuated from 1.00% to a high of 14.9% in 2009 due to area layoffs. Highfield Apartments (Kuepers developers) has completed three buildings (87 units) assisted with TIF funds. Kuepers has started an additional 70 units that are not- TIF financed. Century Court West Luxury townhomes has an approved site plan of 84 total units that are not TIF financed and has started construction for 3 buildings of 12 units each. The first building with 12 units is opening in February 2020. The rent is $1300 for a 1150 square foot 2 bedroom, 2 bath unit with an attached garage. Market Rate General Occupancy Vacancy Rate 15.00% 10.00 5.00 0.00 BEHU11 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Non -Market Rate General Occupancy Rental The vacancy rate of non -market rate general occupancy projects in the fall of 2019 was 0%. Vacancies in subsidized developments should typically fall around 2.0% - 3.0%. Senior Housing The 2019 vacancy rate for market rate, apartment style senior housing for the Oaks & Pines and Prince of Peace Retirement Living, (not including memory care) was 0.82%. 2019 Hutchinson HRA Year End Report 5/6/2020 Page 4 of 10 Pages Woodstone is constructing 38 units of senior independent living. Prince of Peace is constructing 11 units of senior housing. The 2019 vacancy rate for affordable/subsidized senior housing was 0.00%. Vacancies in subsidized developments should typically be around 2.0 - 3.0%. 2.00 % 1.50% 1.00% 0.50% 0.00 % 2019 Vacancy Rates Market Rate General Occupancy -Subsidized General Occupancy ■Senior Market Rate Rental Housing ■ Senior Subsidized Rental Housing 2019 General Occupancy -Market Rate Rents (August 2019) A tName #of Efficiency Effic. Rents Dawson Property 2 $400 Colonial Apt. 1 $415 Gateway Central 1 $445 Alexander 1 $500 South Dale Apt. 2 $550 Bartco 2 $565 A tName #of 1 BD 1 BD Rents 435California Apt. 1 $395 Mansard Apt. 1 $475 Parkwood Apartments 8 $495 Apollo Apt. 3 $495 Dawson Property 2 $500 Hutchinson Estates 2 $500 Olson Apartments 2 $500 Twin Apt. 14 $500 Fairlane Apt. 9 $505 Colonial Apt. 3 $530 Freemont Apt. 2 $550 Gateway Central 3 $550 565 Jefferson Apt. 1 $565 Valley View Apt. 2 $572 Echo Manor Apt. 2 $585 Golfview Apts. 1 $590 Cedar Acres Apts. 21 $600 South Dale Apt. 7 $600 Park View Terrace A 1 $620 Ridgedale Square 2 $645 Country Club Manor 21 $675 Twin Oak Townhomes 8 $700 Bartco 4 $725 Highfield 21 $725 River Ridge 6 $750 Deer Park Century Court Apt. E 20 21 $780 $830 A tName #of 2 BD 2 BD Rents 435California Apt. 2 $475 Alexander 10 $550 Mansard Apt. 11 $550 Olson Apartments 25 $550 Parkwood Apartments 16 $570 Colonial Apt. 4 $570 Apollo Apt. 7 $595 Hutchinson Estates 34 $600 Fair] aneApt. 15 $605 Gateway Central 13 $625 Valley View Apt. 32 $635 565 Jefferson Apt. 11 $650 Cedar Acres Apts. 15 $650 GolfviewApts. 9 $650 Bradford St A ts.1200 2 $675 Freemont Apt. 22 $675 Lohman Apt. 10 $675 Rid edale Square 34 $685 Southview Terrace 18 $700 Bradford St Apts. 8 $700 Heritage Square 24 $700 Regency Apt. 17 $700 South Dale Apt. 30 $700 Park View Terrace A 17 $710 Echo Manor Apt. 28 $720 Country Club Manor 50 $735 Bartco 11 $769 Twin Oak Townhomes 64 $800 Highfield 42 $825 Deer Park 105 $845 River Ridge 30 $850 Century Court Apt. East 47 $990 Century Court Apt. West 84 $1,300 * Some above listed rents may include utilities; see the Hutchinson Apartment Guide for details. A tName #of 3 BD 3 BD Rents 435California Apt. 1 $600 Valley View Apt. 2 $693 Bradford St A ts.1200 2 $750 Olson Apartments 6 $750 GolfviewA ts. 2 $750 South Dale Apt. 1 $750 Luhman Apt. 1 $795 Rid edale Square 12 $825 Highfield 6 $925 Deer Park 12 $945 Bartco 4 $965 Twin Oak Townhomes 8 $970 ,Century CourtA t.E 28 $1,200 Hourly rate Yearly 30% Monthly Income $10 $20,800 $520.00 $12 $24,960 $624.00 $15 $31,200 $780.00 $18 $37,4401 $936.00 $20 $41,600 $1,040.00 $22 $45,760 $1,144.00 $26.78* $55,702 $1,392.56 *2017 Census Median Income of occupied Units in Hutchinson from American FactFinder. 2019 Hutchinson HRA Year End Report 5/6/2020 Page 5 of 10 Pages Market Rate Median Rents 2018 2019 Change % change Efficiency $445 $473 $28 6.29% 1 Bedroom $548 $572 $24 4.38% 2 Bedrooms $650 $675 $25 3.85% 3 Bedrooms $773 $795 $22 2.85% Increase Increase Increase Increase Market Rate Average Rents 2018 2019 Change % change Efficiency $462 $479 $17 3.68% Increase 1 Bedroom $565 $591 $26 4.60% Increase 2 Bedrooms $655 $698 $43 6.56% Increase 3 Bedrooms $813 $840 $27 3.32% Increase Monthly Income to Buy ■ Percent of Monthly Income to Buy Change in Hutchinson Apartments Market Rate Median Rents ■ 2018 ■ 2019 $1,000 $800 — $ 795 $ 572 $650 5 $600 — $445 $473 $400 — $z00 — $o g 1H Efficiency 1 Bedroom 2 Bedrooms 3 Bedrooms Change in Hutchinson Apartments Market Rate Average Rents ■ 2018 ■ 2019 $1,000 $813$840 $800 $565$591 $655 $600 $462 479 $400 $200 $0 — Efficiency 1 Bedroom 2 Bedrooms 3 Bedrooms Monthly Income to Rent 14.5% 85.5 /° CA ■ Percent of Monthly Income to Rent $55,705 Median Income* Median Price of Hutchinson Home Re -Sale from MLS $181,000 *2017 Census Median Income of occupied Units in Hutchinson from American FactFinder. Monthly Mortgage Payment $1,329 $675 Median Rent of Market Rate 2 BR in Hutchinson Percent of Monthly Income to Buy 29% 14.5% Percent of Monthly Income to Rent Home 2. Homeownership Interest rates are currently low; low interest rates and an affordable median re -sales price compared to Hutchinson median income provide opportunities for buyers who have good credit and are mortgage ready. The interest rate in January 2020 for a first time homebuyer MHFA Start Up loan for an RD or FHANA loan was around 3.5% depending on the choice of origination fees. According to information from the Minneapolis Area Association of Realtors, the median sales price rose 6.5% in 2019, a steady increase in the for sale housing market. Looking at data for Hutchinson, the 2019 median sales price was $181,000 compared to $170,000 in 2018. There were 315 sales in 2019 compared to 330 sales in 2018. As of December 2019, there were 51 homes for sale. 2019 Hutchinson HRA Year End Report 5/6/2020 Page 6 of 10 Pages According to information from McLeod County, in 2019 there were 315 sales in Hutchinson with a median sales price of $175,000. HOMERESALES CH'YOFHUTCHPJSON 2009 through 2019 Year 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 2009 Price Range No. Pct. No. Pct. No. Pct. No. Pct. No. Pct. No. Pet. No. PCt. No. Pct. No. PCt. No. Pet. No. PCt. Under $50,000 1 0.3 7 1.9% 9 2.7% 10 3.0% 15 4.2% 18 5.7 29 10.2 44 153 30 12.4 24 11.1 9 4.2 $50,000 to $74,999 5 1.6% 11 3.1% 10 3.0% 15 4.6% 26 7.3% 17 5.4 35 12.3 33 11.5 31 12.8 16 7.4 27 12.5 $75,000 to $99,999 8 2.5% 15 4.2% 22 6.6% 38 11.6% 39 11.0% 34 10.8 36 12.7 62 21.6 46 19.0 32 14.8 36 16.7 $100,000 to $124,999 27 8.6% 46 12.8% 46 13.8% 54 16.4% 58 16.3% 59 18.7 49 17.3 52 18.1 48 19.8 38 17.6 47 21.8 $125,000 to $149,999 50 15.9% 67 18.7% 70 21.0% 76 23.1% 68 19.1% 68 21.5 59 20.8 41 14.3 33 13.6 38 17.6 46 21.3 $150,000 to $174,999 64 20.3% 70 19.5% 73 21.9% 55 16.7% 60 16.9% 51 16.1 29 10.2 16 5.6 22 9.1 23 10.6 20 9.3 $175,000to$199,999 59 18.7% 55 15.3% 39 11.7% 23 7.0% 27 7.6% 21 6.6 16 5.6 13 4.5 9 3.7 12 5.6 12 5.6 $200,000 + 101 32.1 % 88 24.5% 64 19.2% 58 17.6 % 63 17.7% 48 15.2 31 10.9 26 9.1 23 9.5 33 15.3 19 8.8 Total 3L5 100.0% 359 100.0% 333 100.0% 329 100.0% 356 100.0% 316 100.0 284 100.0 287 100.0 242 100.0 216 100.0 216 100.0 Median $175,000 $161,900 $153,500 $140,000 $138,750 1 $133,500 1 $121,000 1 $101,400 $109,950 $121,600 $117,750 Sources: Peterson -Paulsen Associates Inc. Realty Maxfield Research InT-F-J McLeod County Assessor's Office Based on a household being able to afford a home priced at 3.0 times their income, not factoring in savings or debt that they may have, a household would need an income of $58,333 or $28.04/hour based on 40 hours per week to afford a home priced at $175,000, the McLeod County 2019 median sales price of a house. 2019 Hutchinson Home Sale Price Ranges n -ou 1.6% Total 2019 Hutchinson Year End Home Resales = 315 ■ Under $50,000 ■ $50,000 to $74,999 ■ $75,000 to $99,999 ■ $100,000 to $124,999 ■ $125,000 to $149,999 ■ $150,000 to $174,999 ■ $175,000 to $199,999 ■ $200,000 to $224,999 ■ $225,000 to $249,999 ■ $250,000 to $274,999 ■ $275,000 to $299,999 $300,000 + Hutchinson Median Sales Price $180,000 $175,000 $170,000 161,900 $160,000 $153,500 $150,000 146 750 $140,000 $140,000 $138,750 $133,500 $130,000 $121000 $117,750 $120,000 $110,000 8121,600 $109,950 $100,000 $101,400 $90,000 --s-Seriesl $80,000 ti0 'y4' ti1 'yt° tih ti� ti� titi titi ,y0 Oo' O'b ,LO .LO ,LO .LO ,LO .LO ,LO .LO ,LO .LO ,LO .LO The above charts are based on information from McLeod County. 3. Housing Construction in Hutchinson According to the City of Hutchinson, Planning/Zoning/Building Department, there were 23 new construction dwelling units built in 2019. As of 12/31/2019 there were 165 lots available. The lot supply benchmark for growing communities is a three to five year lot supply. A three to five year lot supply allows adequate consumer choice but minimizes developer's carrying costs. 2019 Hutchinson HRA Year End Report 5/6/2020 Page 7 of 10 Pages Residential Lots Available 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Number of New Construction Single -Family Dwelling Units 80 73 60 58 40 34 23 20 19 4 7 45 itm 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Number of Certificate of Occupancy for General Occupancy Multi -Family Dwelling Units 150 100 50 0 29 1994 1996 1999 2017 2018 2019 Ridgedale Deer Park Century Court Highfield Highfield Highfield Square TH East The above 3 charts are based on information from the Department of Planning, Zoning and Building 2019 Hutchinson HRA Year End Report 5/6/2020 Page 8 of 10 Pages 4. Foreclosure Update: Foreclosures in 2019 were lower than in 2004 when foreclosure data was initially tracked. 200 100 1W McLeod County and Hutchinson Foreclosure Counts ■ McLeod County ■ Hutchinson 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Number of Foreclosures in McLeod County and Hutchinson Year McLeod Hutchinson 2004 48 14 2005 56 2006 72 2007 142 40 2008 159 42 2009 135 50 2010 200 62 2011 176 77 2012 135 45 2013 93 39 2014 75 28 2015 53 25 2016 44 18 2017 34 11 2018 24 7 2019 27 12 2019 Sheriff Sales Cancelled In Hutchinson 2020 Realtor Predictions: Q. What do you see for the housing market for Hutchinson in 2020? A. Expect 2020 to be very similar to 2019. The interest rates continue to be favorable. Q. What are the most influential factors affecting housing in Hutchinson? A. The new construction of patio homes has opened up the market for people who want to downsize. This in turn is helping with the existing home inventory, as those people are selling their existing homes. Q. There were 23 houses built in 2019. What do you think will happen to new housing construction in 2020? A. Expect new construction to continue to be strong in 2020. There are a number of builders who have purchased lots to build on in 2020. 2019 Hutchinson HRA Year End Report 5/6/2020 Page 9 of 10 Pages Hutchinson HRA Priorities for 2020: HRA Park Towers: • Reposition Park Towers from Public Housing to Section 8 RAD PBRA • There may be new legislation requiring sprinklers in high rises due to the fatalities in the Riverside Apartment high rise fires. City Center Operations, Hutchinson Workforce New Construction Housin'- Initiative, Homebuyer Gap Funds • Diane Sorensen of Hometown Realty will continue to market the affordability gap program for five homebuyers to purchase new construction starter homes. • Housing affordability is typically calculated at 30% of monthly gross household income. For example, a rent of $750 per month will be affordable for a household gross wage rate of $14.42 per hour or $30,000 per year. A $30,000 income could afford generally 3.0 times their income to purchase a house at $90,000.00. City Center Operations, Owner Occupied Rehab: • Administer the City Home Improvement Grant Program (TIF available funds) for owner occupied rehab and determine if a separate program for radon mitigation should be added. • Administer Minnesota Housing Impact Funds, and Fix -Up Loans, as leverage funds to the City Home Improvement Grant Program. • Administer the Minnesota Housing Rehab Loan Program for owner occupied rehab for very low income homeowners. • Administer the Fix Up Fund Home Improvement Loan Program. City Center Operations, Rental Rehab Pro, -ram: • Implement the 907 Dale Street Apartments (South Dale) rental rehab. Construction expected to begin by summer 2020. City Center Operations, Rental Development • Monitor the General Occupancy Vacancy Rate • After Highfield Building Four and Building 5 (70 total units) and Century Court Luxury Townhomes West (84 total units) completes construction and after 2020 Census results are available, conduct a Comprehensive Housing Market Analysis for Hutchinson. December 31, 2019 Housing Fund Balances SCDP City Revolving Local Income Balance $163,766.16 SCDP City Revolving Program Income Balance $105,249.26 Allocated to SCDP Rental Rehab Application TIF Available Balance $325,000.00 Total Funds Available: $594,015.42 City SCDP New Construction $128,450.00 City SCDP Rehab (Owner & Rental) $385,162.11 City TIF Owner Rehab $98,387.62 Total Balance of City SCDP Loans Receivable $611,999.73 HRA Notes Receivable HHPOP $29,745.56 HRA Notes Receivable Rehab $13,413.67 Total Balance of HRA Loans Receivable $43,159.23 G/HRANeu End Report/2020 HRA Yeu End Report 2019 Hutchinson HRA Year End Report 5/6/2020 Page 10 of 10 Pages W CIN 0 N I 0 0 0 0 0 0 0 0 0 O O O O O O O O O 0 N 0 N 0 N O N 0 N 0 N c� 0 N N 0 N 0 N 0 0 N cN 0 0 N 0 0 N 0 0 N 0 0 N 0 0 N 0 0 N c� O O N N O O N v ai FBI 0.1 M o m O 0� fA fA o 0 IfI IfI fA fA 0 IfI fA o in IfI 0� fA fA in in N N fA fA in in d' �0 fA fA o 0 f� N fA � A 0 a o o N � x ro 6 6 Q ro � b O U l7d 0 0.. 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BOARD ACTION REQUESTED: None 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: STATE OF MINNESOTA DEPARTMENT OF TRANSPORTATION and City of Hutchinson PROJECT MEMORANDUM FOR SP 133-010-006 and SP 4308-35 Minn Proj No. ROUTE NAME: Trunk Highway (TH) 7/22 at Montana Street FROM: TH 7/22 TO: Montana Street PROPOSED IMPROVEMENT: Installation of a pedestrian -activated electronic crossing warning/control system (High -Intensity Activated Crosswalk, or HAWK). Recommended: ----------------------------------------------- ------- City of Hutchinson Engineer Date Reviewed and Recommended: ------------------------------------------------------ District State Aid Engineer Date Approved: ----------------------------------------------- ------- State Aid Engineer Date Kittson Roseau Lake of the Woods Marshall Koochiching Beltrami Pennington Red Lake Cook L m St. Louis Lake Polk Itasca m Norman rvennom� u .a i R Cass Becker = u C C Aitkin Carlton s Otter Tail 0 Pine o ; d 06rant `m Douglas ~ Morrison m m m Y r enton TH 7/22 and Montana Street Stevens pope Stearns Big stone IsenH Sherburne 9 NW Pedestrian Crossing Project $Wlft (SP 133-010-006 and SP 4308-35) Anoka Kandiyohl Meeker Wright Lac qui Chippewa City of Hutchinson, Parle Hennepin McLeod McLeod County Yellow Medicine Renville Carver Scott Dakota Sibley 5 Lyon Redwood icollet Le Goodhue --.. Sueur Rice Wabasha Brown m Murray cononwood waton—n Blue Earth wasera Steele -o o Olmsted Winona 0 Rock Nobled Jackson Martin Faribault I Freeborn Mower Fillmore Houston STATE MAP Project Memorandum SP 133-010-006 and SP 4308-35 March 2020 Page 2 } N 3 a 5t 'HI a Mil I a M x 0 a a IL Off_ ,M o� 0 �M � x Nca o :. iS VNVINQVI -i' •. Z r Z a �No MN OVaN laoHDS 1 1. REPORT PURPOSE This Project Memorandum (PM) documents the need for the proposed improvement, environmental impacts and mitigation, and schedule, funding and design information. This documentation was prepared to demonstrate that the project does not have a significant environmental effect and is excluded from the requirement to prepare an EA or EIS in accordance with 23 CFR 771.115. Project Owner Name: Kent Exner, PE Title: City Engineer Address: 111 Hassan Street SE, Hutchinson, MN 55350 Phone: (320) 234-4212 Fax: (320) 234-4240 E-mail: kexner@ci.hutchinson.mn.us Project Manager Name: John Gray, PE Title: SEH Project Manager Address: 3535 Vadnais Center Drive, St. Paul, MN 55110 Phone: (651) 490-2073 Fax: (651) 490-2150 E-mail: jgray@sehinc.com Preparer Name: Samuel Turrentine, AICP Title: SEH Transportation Planner Address: 10901 Red Circle Drive, Suite 300, Minnetonka, MN 55343 Phone: (651) 765-2983 Fax: (888) 908-8166 E-mail: sturrentine@sehinc.com 2. HIGHWAY SECTION DESCRIPTION The project seeks to improve the non -motorized crossing of Trunk Highway (TH) 7/22 at Montana Street. The existing intersection operates under stop control for northbound and southbound Montana Street. The existing crosswalks are constructed with colored concrete and are further delineated with six-inch wide white crosswalk lines. The original design of this intersection assumed that it might be controlled at some point in the future. Montana Street provides access to and from residential areas to the north of the highway and access to the Luce Line State Trail south of the highway and several City parks and local recreational trails along the riverfront. There are bituminous trails that run along the west side of Montana Street from the Luce Line Trail on the south to 5t" Avenue on the north and along the north side of Project Memorandum SP 133-010-006 and SP 4308-35 March 2020 Page 4 TH 7/22 from Montana Street to the grade -separated crossing west of School Road. There are continuous sidewalks on the north and south sides of TH 7/22 that extend easterly from Montana Street to TH 15 (Main Street). Route Designation or Name: Trunk Highway (TH) 7/22 at Montana Street Highway Section Termini The logical termini for the proposed project are identified below. TH 7/22 at Montana Street Functional Class: Principal Arterial and Local Street, respectively Number of The TH 7/22 approaches have two through lanes, a Vehicle Lanes: dedicated left turn lane and no dedicated right turn lane. The southbound Montana Street approach has a dedicated left turn lane and a shared lane for through and right turn movements. The northbound Montana Street approach operates as a single lane. ADT (2017): 12,100 and 1,350, respectively Posted Speed: 40 MPH and 30 MPH, respectively See additional 'existing condition' elements description in the Design Study Section. Unusual Traffic or Road / Facility Use: None Horizontal/Vertical Alignment: Flat and Straight Adjacent Land Use: Commercial Bridge Crossing(s): No Railroad Crossing Location: No Airport Proximity: The proposed project is outside of the defined project coordination area for the Hutchinson Municipal Airport — Butler Field (the nearest public airport). Traffic Signal(s): The project will install a pedestrian -activated electronic crossing warning/control system (High -Intensity Activated Crosswalk, or HAWK). 3. PROJECT PURPOSE AND NEED Purpose/Objectives The purpose of the proposed project is to improve the overall connectivity of the City's multi -use trail system within and immediately adjacent to TH 7/22 at Montana Street. The project will also address non-compliance with the Americans with Disabilities Act (ADA). Project Memorandum SP 133-010-006 and SP 4308-35 March 2020 Page 5 Need/Deficiencies The City's local trail system has been planned and constructed with the anticipation of a controlled crossing of TH 7/22 at Montana Street. The nearest controlled pedestrian crossing of TH 7/22 to the west is approximately 3,600 away at School Road. To the east, it is approximately 3,200 feet away at TH 15 (Main Street). Currently, there are no advance pedestrian crossing warning signs present approaching the Montana Street intersection nor are there any warning signs at the crossings. The length of the pedestrian crossing is also quite long and ranges from about 85 to 90 feet. As discussed below, the gaps in traffic on TH 7/22 are insufficient to safely serve non -motorized users to cross at the Montana Street intersection. An engineering study completed in October 2016 for the TH 7/22 and Montana Street intersection found that at Montana Street, there are 0.13 acceptable crossing gaps every minute during the one hour period between 7.45 and 8.45 AM. This results in an acceptable gap every 7.5 minutes. In the afternoon peak hour, there are higher vehicle volumes on TH 7/22 which result in fewer acceptable gaps. There are 0.03 acceptable crossing gaps per minute during the one hour period between 4.45 and 5.45 PM. This results in one acceptable gap every 30 minutes. During the highest hour of pedestrian and bicycle activity, 7.15 to 8.15 PM, it was found that there are 0.27 acceptable crossing gaps per minute. This equates to one acceptable gap every 3.8 minutes. With less than one acceptable gap per minute during the AM, PM and non - motorized peak hours, there are not sufficient acceptable gaps in TH 7/22 traffic for pedestrians to cross at the marked crossing on TH 7/22 at Montana Street. The need for the project is further defined by the City's 2012 Transportation Plan Update which identifies a HAWK system crosswalk as the preferred traffic control device to address existing and future pedestrian crossing safety concerns at the intersection. This potential improvement is also noted in the School District's Safe Routes to School Plan. 4. ALTERNATIVES No Build Alternative The No Build Alternative would involve no trail crossing improvements being made. The No Build Alternative was not recommended because it would not address the need for the project, which is to remedy safety deficiencies at the TH 7/22 and Montana Street intersection. Design/Construction Alternatives Several trail crossing options were considered during project development. This included the removal of the existing pavement markings for the crosswalk since the crossing demand is less than 20 people per hour. This alternative was dismissed from further consideration since the colored concrete surface of Project Memorandum SP 133-010-006 and SP 4308-35 March 2020 Page 6 the crosswalks would remain in place and the City's trail system would still generate crossing demand. The installation of conventional crosswalk warning signs were considered but it was determined that static warnings signs alone would not be adequate for this situation. The construction of a pedestrian refuge island was considered but was dismissed from further consideration since it is not feasible to maintain the operation of the existing eastbound and westbound left turn lanes. The narrowing of the traffic lanes on TH 7/22 to 11 feet along with the construction of a pedestrian refuge island was considered but dismissed from further consideration. TH 7 is constructed with concrete pavement and the longitudinal pavement joints are currently aligned with the traffic lanes. Lane shifts are possible but they would be best implemented in concert with pavement reconstruction or overlay, neither of which are programmed in the foreseeable future. The construction of a traffic control signal system was considered but dismissed from further consideration since it is not warranted based on cross street traffic volume and pedestrian crossing demand. The construction of a grade -separated crossing such as a trail bridge or tunnel was considered but dismissed from further consideration due to relatively low user demand and high costs. Location Alternatives No location alternatives were considered for this project. Bridge Alternatives None Preferred Alternative The project will install a pedestrian -activated electronic crossing warning/control system (High -Intensity Activated Crosswalk, or HAWK) at the multi -use trail crossing of TH 7/22 at the intersection of Montana Street (see project location map at the beginning of this document). Pedestrian ramps will be constructed or reconstructed according to ADA guidelines at needed locations. Appendix A contains a sketch drawing showing the typical intersection improvement. The project will also replace the existing street lighting at the intersection (removal of the existing poles and relocation of the lights onto the flasher poles). 5. PROJECT COSTS AND FUNDING SUMMARY Estimated Project Costs Intersection Improvement Cost: $200,000 Total Estimated Cost: $200,000 Project Memorandum SP 133-010-006 and SP 4308-35 March 2020 Page 7 All Non -Bridge Construction Funding Federal STBGTAP1 Funds: $160,000 State Trunk Highway Funds: $40,000 Total Funding: $200,000 STIP Details STIP Document Years: STIP Project Year: STIP Sequence Number: STIP Federal Funding Amount: STIP Estimate Construction Cost: 2020-2023 2022 & 2023 1297 (2022), 1308 (2022) & 1334 (2023 AC Funding) $140,640 (2022) & $19,360 (2023 AC Funding) $200,000 It is also anticipated that this project will be constructed in advance of the federal funding being available; an Advance Construction Agreement will be requested from State Aid for Local Transportation. 6. PROJECT SCHEDULE Project Memo: March 2020 Public Meeting: None Right of Way Acquisition: None Plans, Specs and Estimate: Spring 2020 Bid Opening: October 2020 Desired Construction Start: June 2021 Future Stages or Improvements: None 7. PUBLIC INVOLVEMENT Public Information Meetings Due to the nature of the proposed project, no public informational meetings were held. Coordination with the public will occur during the project's construction. Public Hearing Meetings None Other Meetings The City's 2012 Transportation Plan Update process and the School District's Safe Routes to School Plan process both included public engagement/input opportunities. The project has also been reviewed in detail with the Hutchinson City Council. The formal approval of the federal funding grant application occurred at a regularly scheduled meeting on January 10, 2017. 1 Surface Transportation Block Grant for Transportation Alternatives Program Project Memorandum SP 133-010-006 and SP 4308-35 March 2020 Page 8 8. SOCIAL, ECONOMIC AND ENVIRONMENTAL (SEE) IMPACTS Section 4(f) of the Transportation Act of 1966 There are no Section 4(f) lands or properties adjacent to this project and the project will not use Section 4(f) lands or properties. Section 6(f) of the Land and Water Conservation Fund Act of 1965 The project will not impact Section 6(f) lands or properties. Section 106 of the National Historic Preservation Act of 1966 The MnDOT Cultural Resources Unit (CRU) has determined there are "No Historic Properties Affected" within the Area of Potential Effect (APE). The CRU determination letter can be found in Appendix B. Endangered Species Act of 1973 The provisions of the Endangered Species Act of 1973 (ESA) have been satisfied by a Section 7 determination of may affect, not likely to adversely affect the Northern Long-eared Bat (Myotis septentrionalis). The Section 7 ESA correspondence can be found in Appendix C. Right -of -Way The project is located within MnDOT right-of-way and will be secured by a MnDOT Limited Use Permit. Contaminated and Regulated Material Potential for impacts from contaminated properties has been considered, but because of the project location and nature of the planned work, there is little potential for encountering contaminated materials. Any potentially contaminated materials encountered during construction will be handled and treated in accordance with applicable state and federal regulations. The project will not require bridge or building demolition/relocation. Farmland Protection Policy Act of 1981 The project will not involve the acquisition of farmland. Air Quality The project will not significantly impact air quality. Highway Traffic Noise The project is not a Type 1 project. Procedures for the abatement of highway traffic noise do not apply in accordance with 23 CFR 772. Construction Noise Construction noise has been considered and no impact is anticipated. Night construction activities are not anticipated. Floodplain Management The project will not encroach into a floodplain. Project Memorandum SP 133-010-006 and SP 4308-35 March 2020 Page 9 Wetland Protection The project will not impact or encroach on a wetland. Section 404 of the Clean Water Act (CWA) The project will not involve placement of fill into waters of the U.S. (defined in 33CFR 328). Water Pollution / MPCA—NPDES The project will disturb less than one acre of total land area, will not impact any public or private water supply, or allow contamination of free flowing water. A NPDES permit is not required. This project will not increase the existing impervious surface area and associated highway runoff, and it will not change the existing drainage system. This project does not introduce highway runoff to sensitive water bodies. Therefore, no impacts on water quality are anticipated. Environmental Justice The purpose of Executive Order 12898 is to identify, address, and avoid disproportionately high and adverse human health or environmental effects on minority and low income populations. Based on the nature and location of the project, which includes installation of a pedestrian -activated electronic crossing warning/control system (High -Intensity Activated Crosswalk, or HAWK), there are no anticipated Environmental Justice concerns on this project. State Environmental Review (MEQB) The project has been determined to be an exemption category project in accordance with current Minnesota Rules, Part 4410.4600, Subp. 14. Controversy The project is not anticipated to be controversial. Federal Action Determination Statement Based on the results of the environmental study in accordance with 23 CFR 771.117, summarized herein, it is determined that the proposed project is a Class II Action (Categorical Exclusion). This action will have non -significant social, economic, or environmental impacts, and is anticipated to have no foreseeable change on the quality of the human environment. AGENCY COORDINATION State Coordination The project has been coordinated with MnDOT who has jurisdiction over TH 7/22. County Coordination None Project Memorandum SP 133-010-006 and SP 4308-35 March 2020 Page 10 Municipal Coordination The City of Hutchinson is the proposer of this project. MnDNR Natural Heritage and Non -Game Research Program The MnDNR Ecological Service Division was contacted regarding the potential for encountering state threatened and endangered species. The MnDNR replied that given the nature of the project they do not believe the proposed project will adversely affect any known occurrences of rare features (see correspondence in Appendix C). Permits Required Permits that are required for the proposed project are listed in Table 1. Table 1 — Permits Required Agency Permits or Agreements USACE Section 404 No Coast Guard No DNR—Water Appropriation No DNR—Public Waters No M PCA—N PD ES No MPCA—Section 401 No Watershed District No Wetland Conservation Act / BSWR No Railroad No Other MnDOT — Limited Use Permit Yes 9. DESIGN STUDY The project will be designed in accordance with the FHWA-MnDOT Stewardship Agreement. For this project, the following design standards are applicable. State Aid Geometric Design Standards Not Applicable Other Specifications and Guidelines Minnesota Manual on Uniform Traffic Control Devices AASHTO Guide for the Planning, Design, and Operation of Pedestrian Facilities, July 2004 Project Memorandum SP 133-010-006 and SP 4308-35 March 2020 Page 11 Americans with Disabilities Act (ADA) Public Right of Way Access Guidance (PROWAG) The project will be constructed in accordance with the current edition of the Minnesota Department of Transportation's "Standard Specifications for Construction", including all Supplemental Specifications. 10. Traffic During Construction The proposed improvements will impact traffic on TH 7/22 and Montana Street during construction. A construction staging and traffic plan will be developed during the final design phase of the project. The plan will identify anticipated timeframes for traffic disruptions. Access to local properties will be maintained throughout the construction process. 11. Design Exceptions The proposed project meets State Aid Rules. There are no design exceptions required for this project. 12. Safety Enhancements Beneficiaries of the project will include pedestrians and bicyclists in the immediate area since the crossing improvements are anticipated to improve safety conditions. 13. Other Work tied to this contract or additional phases No additional work will be added to this contract. There are no other phases related to this project. List of Appendices Appendix A Sketch Drawing Showing Intersection Improvement Appendix B Section 106 Correspondence Appendix C MnDNR Natural Heritage and Non -Game Research Program Letter MnDOT OES Threatened and Endangered Species Correspondence Project Memorandum SP 133-010-006 and SP 4308-35 March 2020 Page 12 Appendix A Sketch Drawing Showing Intersection Improvement TYPICAL PA[00 POLE FOUNDATION MAST ARM TYPE PAIDO-A-40-040-9 (DAVIT AT 350 DEC) POLE LUMINAIRE-COBRAWEAD LED 2-oNE WAY SGNALS-OVQOTEAD AT d h 12' 1-ANGLE MOUNT SIGNAL -POLE MCIINTED 270 DEC I -ANGLE MOUNT CD PED INDICATON-POLE MTD 0 DEG 1-AP9 PUSH BUTTON, MGM (LT ARROW) AND AP5 ADAPTOR -POLE MOUNTED 270 DEG 'CROSSWALK -STOP HERE ON RED" SIGN -OVERHEAD ONE WAY EVP DETECTOR AND LIGHT -OVERHEAD ,6(FACING pxcoM 2 TRAFFIC D INTO ADJACENT HAN a c. 3' CONDUIT 2-12 C/ 4 1-3 C/i4 SEVP) 1-2/C 14) 1 EQ 1 /CjB4(CRD.) T R10-6L SIGN (STOP HERE ON RED) CABINET PAD (CONTROLLER/ SERVICE CABINETS) RECONSTRUCT CURB RAMPS AND SIDEWALK (ADA COMPLIANCE) MONTANA ST (30 mph) TYPICAL SLOE STREET• PEDESTAL FOUNDATION PEDESTAL POLE AND BASE V I !1 POLE 1-MANK-011T SIC•N (ND LEFf/filCHT TURN) - POLE MOUNTED (FAaNG ONCOMING 11MC) EXTEND INTO ADJACENT NANDNGL.E 2' CONDUIT { 1-4/C�I4 n f 1-L/DiB (GOO.) Y X X a C Z_ zzz�l 0 30 Scale feet SIGNAL HEAD O O 101. RECONSTRUCT CURB RAMPS AND SIDEWALK (ADA COMPLIANCE) MONTANA ST �y (30 mph) XCL Z ( / FILE NO. HAWK SIGNAL -CONCEPT, J PHONE.• (651) 490-20DD HUTCH 137737 I.����L EMIR 3535 VADNAIS CENTER DR. TH 7 AT MONTANA ANA sTEET SEH ST. PAUL, MN W110 DATE: NO.1 12/07/2016 HUTCHINSON, MINNESOTA Appendix B Section 106 Correspondence IDEPARTMENT OF TRANSPORTATION Office of Environmental Stewardship Office Tel: (651) 366-4291 Mail Stop 620 395 John Ireland Boulevard St. Paul, MN 55155-1800 November 20, 2019 Samuel Turrenfine, SEH sfurrenfine@sehinc.com Re: S.P. 133-010-006 and 4308-35, TH 7/22 at Montana Street, Hutchinson, McLeod County Dear Sam, We have reviewed the above -referenced undertaking pursuant to our FHWA-delegated responsibilities for compliance with Section 306108 (formerly known as Section 106 of the National Historic Preservation Act [54 USC 300101 et. seq.]) and its implementing regulations, 36 CFR 800, and as per the terms of the 2015 Section 106 Programmatic Agreement between the FHWA and the Minnesota State Historic Preservation Office (SHPO). We have also reviewed the above -referenced undertaking pursuant to MnDOT's responsibilities under the Minnesota Historic Sites Act (MS 138.665-.666), the Field Archaeology Act of Minnesota (MS 138.40); and the Private Cemeteries Act (MS 307.08, Subd. 9 and 10). This project, as described in the Historical/Archaeological Review Request form dated July 31, 2019, will install a pedestrian -activated electronic crossing warning/control system at the multi -use frail crossing of Trunk Highway 7/22 at the intersection with Montana Street NW in Hutchinson. Pedestrian ramps will be constructed or reconstructed according to ADA guidelines as needed at that intersection. Based on our existing programmatic agreements with various tribal groups, we sent a consultation letter to the following tribes: Lower Sioux Indian Community and Shakopee Mdewakanfon Sioux Community. We did not receive any response within the allotted time. The project area of potential effects (APE) for direct effects consists of the proposed construction area. If was surveyed for cultural resources in 2003, and no archaeological sites or historic structures were identified. The project will create no indirect effects on archaeological or architecture/history resources. The finding of this office is that there will be no historic properties affected by the project as currently proposed. If the project scope changes, please provide our office with the revised information and we will conduct an additional review. FHWA is the lead federal agency for this Section 106 Review. As per the terms of the 2005 PA between the FHWA and the Corps, this letter concludes the Section 106 Reviewfor this project, and the Corps has no further 106 responsibilities under 36 CFR 800. If this project requires a permit from the Corps of Engineers, please include this findings letter with the permit application so the Corps understands that their obligations under Section 106 are complete, as per the terms of the statewide PA. Sincerely, L,"� � �� Ren6e Huffer Barnes, Historian Cultural Resources Unit Supervisor cc: Kent Exner, City of Hutchinson (kexner@ci.hutchinson.mn.us) MnDOT CRU Project File Appendix C MnDNR Natural Heritage and Non -Game Research Program Letter MnDOT OES Threatened and Endangered Species Correspondence Page 1 of 2 NHIS Response: TH7/22 & Montana St Ped Xing Bump, Samantha (DNR) to: sturrentine@sehinc.com 01/02/2020 11:35 AM Hide Details From: "Bump, Samantha (DNR)" <samantha.bump@state.mn.us> To: "sturrentine@sehinc.com" <sturrentine@sehinc.com> RE: Natural Heritage Review of the proposed TH 7/22 & Montana St NW Ped Crossing (SP133-010-006, SP4308- 35), T117N R30W Section 36 Correspondence # ERDB 20200165 Dear Mr. Turrentine, As requested, the above project has been reviewed for potential effects to known occurrences of rare features. Given the project details provided with the data request form, I do not believe the proposed project will negatively affect any known occurrences of rare features. The Natural Heritage Information System (NHIS), a collection of databases that contains information about Minnesota's rare natural features, is maintained by the Division of Ecological and Water Resources, Department of Natural Resources. The NHIS is continually updated as new information becomes available, and is the most complete source of data on Minnesota's rare or otherwise significant species, native plant communities, and other natural features. However, the NHIS is not an exhaustive inventory and thus does not represent all of the occurrences of rare features within the state. Therefore, ecologically significant features for which we have no records may exist within the project area. If additional information becomes available regarding rare features in the vicinity of the project, further review may be necessary. For environmental review purposes, the results of this Natural Heritage Review are valid for one year; the results are only valid for the project location (noted above) and the project description provided on the NHIS Data Request Form. Please contact me if project details change or for an updated review if construction has not occurred within one year. The Natural Heritage Review does not constitute review or approval by the Department of Natural Resources as a whole. Instead, it identifies issues regarding known occurrences of rare features and potential effects to these rare features. If needed, please contact your DNR Regional Environmental Assessment Ecologist to determine whether there are other natural resource concerns associated with the proposed project. Please be aware that additional site assessments or review may be required. Thank you for consulting us on this matter, and for your interest in preserving Minnesota's rare natural resources. Please include a copy of this letter in any state or local license or permit application. An invoice will be mailed to you under separate cover. Have a great day, Samantha Bump NHIS Review Specialist I Ecological & Water Resources Minnesota Department of Natural Resources 500 Lafayette Road St. Paul, MN 55155 Phone: 651-259-5091 Samantha. Bump@state.mn.us Page 2 of 2 MDEPARTMENT OF NATURAL RESOURCES In Cl P Links: DNR Regional Environmental Assessment Ecologist Contact Info http://www.dnr.state.mn.us/eco/ereview/erp regioncontacts.html Page 1 of 2 SP 133-010-006, ESA (Section 7) - No Effect Determination Smith, Christopher E (DOT) to: Samuel Turrentine 02/04/2020 12:22 PM Cc: "Khan, Sulmaan M (DOT)" Hide Details From: "Smith, Christopher E (DOT)"<chri stopher. e. smith@ state. mn.us> To: Samuel Turrentine <surrentine@sehinc.com> Cc: "Khan, Sulmaan M (DOT)" <sulmaan.m.khan@state.mn.us> History: This message has been replied to. 1 Attachment 133-010-006_&_4308-35_ESA(Section_7)-PBO NE.PDF Sam — RE: S.P. 133-010-006 Endangered Species Act (link) Attached is a No Effect determination. No further action under Section 7 of the Endangered Species Act is required. However, if information becomes available indicating that federally -listed species or designated critical habitat may be affected, or if project scope changes, please contact this office and consultation with the Service will be initiated if necessary. Migratory Bird Treaty Act (link) Protected birds are not anticipated to be impacted by the proposed action. Bald and Golden Eagle Protection Act (link) Based on the best available information, the proposed action is not anticipated to disturb, harm, or destroy a bald eagle or a bald eagle nest. Let me know if you have questions or concerns. Thank you, Chris Christopher E. Smith, CWB® Wildlife Ecologist I Protected Species Program Coordinator (he/him/his) Minnesota Department of Transportation Office of Environmental Stewardship 395 John Ireland Blvd., M.S. 620 St. Paul, Minnesota 55155 O: 651-366-3605 Page 2 of 2 mndot.gov itDEPARTMENT OF TRANSPORTATION DEPARTMENT OF TRANSPORTATION February 4, 2020 U.S. Fish and Wildlife Service Ecological Services Field Office 4101 American Boulevard East Bloomington, MN 55425 S.P. 133-010-006 & 4308-35, TH 7 & 22 IPaC #: 03E 1 9000-2020-R-0578 Hutchinson, McLeod County, Minnesota Notification of Determination — May affect, not likely to adversely affect — Northern long-eared bat (Myotis septentrionalis) Project Description: This project proposes to install a pedestrian -activated electronic crossing warning/control system (a High Intensity Activated Crosswalk, or HAWK) in Hutchinson, MN at the multi -use trail crossing of TH 7/TH 22 at Montana Street NW. Associated activities will include construction or reconstruction of pedestrian ramps according to ADA guidelines and potential replacement of existing street lighting at the intersection. No tree removal or bridge work is proposed. 9�5 .:` •tip _ _ Action Area identified for the proposed project. Conservation Measures: r Required Avoidance and Minimization Measures (AMMs). See MnDOT boiler plate special provisions (e.g., Protection of Bats). • General AMM 1: Ensure all operators, employees, and contractors working in areas of known or presumed bat habitat are aware of all FHWA/FRA/FTA (Transportation Agencies) environmental commitments, including all applicable AM Ms. Notify contractor(s) during the pre -construction State Project 133-010-006 & 4308-35 ESA (Section 7) — No Effect Determination February 4, 2020 Page 1 of 3 meeting. Bat sightings (including sick, injured, and/or dead bats) on the project must be reported to OES wildlife ecologist (651-366-3605). Lighting AMM 1 & AMM 2: Direct temporary lighting, if used, away from wooded areas during the bat active season (April 1 to Oct 31, inclusive). If installing new or replacing existing permanent lights, use downward -facing, full cut-off lens lights (with same intensity or less for replacement lighting); or for those transportation agencies using the BUG system developed by the Illuminating Engineering Society, be as close to 0 for all three ratings with a priority of "uplight" of 0 and "backlight" as low as practicable. Please contact Susan Zarling (MnDOT Lighting Engineer) at 651- 234-7052 with questions about approved products. Additional Recommended Conservation Measures: • If rolled control products are to be used, they should be limited to bio-netting, natural netting or woven type products without plastic mesh nettings or other plastic components. Be aware that hydro -mulch products may contain small plastic fibers to aid in its matrix strength. These loose fibers could potentially re -suspend and make their way into Public Waters impacting protected aquatic species (e.g., mussels, fishes). Species List for the Project Action Area A list of federally threatened, endangered, proposed and candidate species, and designated and proposed critical habitat that overlaps with the action area, was requested via the Information for Planning and Consultation (IPaC) web application maintained by the U.S. Fish and Wildlife Service (requested January 2020). Based on this list, the project is within the range of the following: Species Status Habitat Northern long-eared bat Threatened Hibernates in caves and mines - swarming in surrounding wooded areas in Myotis septentrionalis I F autumn. Roosts and forages in upland forests during spring and summer. OnDOT consults the Minnesota Department of Natural Resources Natural Heritage Information System (Copyright 2020 State of Minnesota, Department of Natural Resources), and other resources as available, to determine if proposed projects may affect listed species. Endangered Species Act — Section 7 Consultation Section 7 of Endangered Species Act of 1973, as amended (Act), requires each Federal agency to review any action that it funds, authorizes or carries out to determine whether it may affect threatened, endangered, proposed species or listed critical habitat. Federal agencies (or their designated representatives) must consult with the U.S. Fish and Wildlife Service (Service) if any such effects may occur as a result of their actions. Consultation with the Service is not necessary if the proposed action will not directly or indirectly affect listed species or critical habitat. If a federal agency finds that an action will have no effect on listed species or critical habitat, it should maintain a written record of that finding that includes the supporting rationale. Notice of Determination Northern long-eared bat — May affect, not likely to adversely affect No documented NLEB hibernacula and/or roost trees are documented within the project Action Area (https://files.dnr.state.mn.us/eco/ereview/minnesota nleb township list and map.pdf). This project review relies on the USFWS Programmatic Biological Opinion for FHWA, FRA, FTA Transportation Projects within the Range of the Indiana Bat and Northern Long-eared Bat (PBO) to satisfy requirements under Section 7(a)(2) of the Endangered Species Act of 1973 (ESA) (87 Stat. 884, as amended; 16 U.S.0 1531 et seq.). The review was completed using the U.S. Fish and Wildlife Service's Information for Planning and Consultation (IPaC) system (Consultation Code: 03E19000-2020- R-0578). The U.S. Fish and Wildlife Service's consistency verification letter is attached (Attachment 1). State Project 133-010-006 & 4308-35 ESA (Section 7) — No Effect Determination February 4, 2020 Page 2 of 3 Please contact me if there are questions or concerns. Thank you, Digitally signed by Christopher E Smith Date: 2020.02.04 12:20:27-06'00' Christopher E. Smith, M.Sc., C.W.B.® Wildlife Ecologist I Protected Species Program Coordinator Minnesota Department of Transportation Office of Environmental Stewardship 395 John Ireland Blvd., M.S. 620 St. Paul, Minnesota 55155 0:651-366-3605 mndot.Qov MDEPARTMENT OF TRANSPORTATION State Project 133-010-006 & 4308-35 ESA (Section 7) — No Effect Determination February 4, 2020 Page 3 of 3 Attachment 1 -{�.C� � United States Department of the Interior f6 FISH AND WILDLIFE SERVICE ,$ Minnesota -Wisconsin Ecological Services Field Office �Cr$ 4101 American Blvd E Bloomington, MN 55425-1665 Phone: (952) 252-0092 Fax: (952) 646-2873 http://www.fws.gov/midwest/Endangered/section?/s7process/step 1.html IPaC Record Locator: 488-20076259 February 04, 2020 Subject: Consistency letter for the 'SP 133-010-006 & 4308-35 (TH 7/22) -Hutchinson Crosswalk Warning System' project (TAILS 03E19000-2020-R-0578) under the revised February 5, 2018, FHWA, FRA, FTA Programmatic Biological Opinion for Transportation Projects within the Range of the Indiana Bat and Northern Long-eared Bat. To whom it may concern: The U.S. Fish and Wildlife Service (Service) has received your request to verify that the SP 133-010-006 & 4308-35 (TH 7/22) - Hutchinson Crosswalk Warning System (Proposed Action) may rely on the revised February 5, 2018, FHWA, FRA, FTA Programmatic Biological Opinion for Transportation Projects within the Range of the Indiana Bat and Northern Long- eared Bat (PBO) to satisfy requirements under Section 7(a)(2) of the Endangered Species Act of 1973 (ESA) (87 Stat.884, as amended; 16 U.S.C. 1531 et seq.). Based on the information you provided (Project Description shown below), you have determined that the Proposed Action will have no effect on the endangered Indiana bat (Myotis sodalis) or the threatened Northern long-eared bat (Myotis septentrionalis). If the Proposed Action is not modified, no consultation is required for these two species. For Proposed Actions that include bridge/structure removal, replacement, and/or maintenance activities: If your initial bridge/structure assessments failed to detect Indiana bats, but you later detect bats during construction, please submit the Post Assessment Discovery of Bats at Bridge/Structure Form (User Guide Appendix E) to this Service Office. In these instances, potential incidental take of Indiana bats may be exempted provided that the take is reported to the Service. If the Proposed Action may affect any other federally -listed or proposed species and/or designated critical habitat, additional consultation between the lead Federal action agency and this Service Office is required. If the proposed action has the potential to take bald or golden eagles, additional coordination with the Service under the Bald and Golden Eagle Protection Act 02/04/2020 IPaC Record Locator: 488-20076259 may also be required. In either of these circumstances, please advise the lead Federal action agency accordingly. 02/04/2020 IPaC Record Locator: 488-20076259 3 Project Description The following project name and description was collected in IPaC as part of the endangered species review process. Name SP 133-010-006 & 4308-35 (TH 7/22) - Hutchinson Crosswalk Warning System Description This project proposes to install a pedestrian -activated electronic crossing warning/control system in Hutchinson, MN at the multi -use trail crossing of TH 7/TH 22 at Montana Street NW. Associated activities will include construction or reconstruction of pedestrian ramps according to ADA guidelines and potential replacement of existing street lighting at the intersection. No tree removal or bridge work is proposed. 02/04/2020 IPaC Record Locator: 488-20076259 4 Determination Key Result Based on the information you provided, you have determined that the Proposed Action will have no effect on the endangered Indiana bat and/or the threatened Northern long-eared bat. Therefore, no consultation with the U.S. Fish and Wildlife Service pursuant to Section 7(a)(2) of the Endangered Species Act of 1973 (ESA) (87 Stat. 884, as amended 16 U.S.C. 1531 et seq.) is required for these two species. Qualification Interview 1. Is the project within the range of the Indiana bat[i]? [1] See Indiana bat species profile Automatically answered No 2. Is the project within the range of the Northern long-eared bat[1]? [1] See Northern long-eared bat species profile Automatically answered Yes 3. Which Federal Agency is the lead for the action? A) Federal Highway Administration (FHWA) 4. Are all project activities limited to non-construction[i] activities only? (examples of non - construction activities include: bridge/abandoned structure assessments, surveys, planning and technical studies, property inspections, and property sales) [1] Construction refers to activities involving ground disturbance, percussive noise, and/or lighting. No 5. Does the project include any activities that are greater than 300 feet from existing road/ rail surfaces[i]? [1] Road surface is defined as the actively used [e.g. motorized vehicles] driving surface and shoulders [may be pavement, gravel, etc.] and rail surface is defined as the edge of the actively used rail ballast. No 02/04/2020 IPaC Record Locator: 488-20076259 5 6. Does the project include any activities within 0.5 miles of a known Indiana bat and/or NLEB hibernaculum[i]? [1] For the purpose of this consultation, a hibernaculum is a site, most often a cave or mine, where bats hibernate during the winter (see suitable habitat), but could also include bridges and structures if bats are found to be hibernating there during the winter. No 7. Is the project located within a karst area? No 8. Is there any suitable[i] summer habitat for Indiana Bat or NLEB within the project action area[2]? (includes any trees suitable for maternity, roosting, foraging, or travelling habitat) [1] See the Service's summer survey guidance for our current definitions of suitable habitat. [2] The action area is defined as all areas to be affected directly or indirectly by the Federal action and not merely the immediate area involved in the action (50 CFR Section 402.02). Further clarification is provided by the national consultation FAQs. IW 9. Does the project include wetland or stream protection activities associated with compensatory wetland mitigation? No 10. Does the project include slash pile burning? No 11. Does the project include any bridge removal, replacement, and/or maintenance activities (e.g., any bridge repair, retrofit, maintenance, and/or rehabilitation work)? No 12. Does the project include the removal, replacement, and/or maintenance of any structure other than a bridge? (e.g., rest areas, offices, sheds, outbuildings, barns, parking garages, etc.) No 13. Will the project involve the use of temporary lighting during the active season? Yes 02/04/2020 IPaC Record Locator: 488-20076259 6 14. Is there any suitable habitat within 1,000 feet of the location(s) where temporary lighting will be used? No 15. Will the project install new or replace existing permanent lighting? Yes 16. Is there any suitable habitat within 1,000 feet of the location(s) where permanent lighting will be installed or replaced? No 17. Does the project include percussives or other activities (not including tree removal/ trimming or bridge/structure work) that will increase noise levels above existing traffic/ background levels? Yes 18. Will the activities that use percussives (not including tree removal/trimming or bridge/ structure work) and/or increase noise levels above existing traffic/background levels be conducted during the active season[i]? [1] Coordinate with the local Service Field Office for appropriate dates. No 19. Are all project activities that are not associated with habitat removal, tree removal/ trimming, bridge and/or structure activities, temporary or permanent lighting, or use of percussives, limited to actions that DO NOT cause any additional stressors to the bat species? Examples: lining roadways, unlighted signage , rail road crossing signals, signal lighting, and minor road repair such as asphalt fill of potholes, etc. Yes 20. Will the project raise the road profile above the tree canopy? No 21. Is the location of this project consistent with a No Effect determination in this key? Automatically answered Yes, because the project action area is not within suitable Indiana bat and/or NLEB summer habitat and is outside of 0.5 miles of a hibernaculum. 02/04/2020 IPaC Record Locator: 488-20076259 22. Is the temporary lighting portion of this project consistent with a No Effect determination in this key? Automatically answered Yes, because the lighting will be more than 1,000 feet from the nearest suitable habitat 23. Is the permanent lighting portion of this project consistent with a No Effect determination in this key? Automatically answered Yes, because the lighting will be more than 1,000 feet from the nearest suitable habitat 02/04/2020 IPaC Record Locator: 488-20076259 Determination Key Description: FHWA, FRA, FTA Programmatic Consultation For Transportation Projects Affecting NLEB Or Indiana Bat This key was last updated in IPaC on December 02, 2019. Keys are subject to periodic revision. This decision key is intended for projects/activities funded or authorized by the Federal Highway Administration (FHWA), Federal Railroad Administration (FRA), and/or Federal Transit Administration (FTA), which may require consultation with the U.S. Fish and Wildlife Service (Service) under Section 7 of the Endangered Species Act (ESA) for the endangered Indiana bat (Myotis sodalis) and the threatened Northern long-eared bat (NLEB) (Myotis septentrionalis). This decision key should only be used to verify project applicability with the Service's February 5, 2018, FHWA, FRA, FTA Programmatic Biological Opinion for Transportation Projects. The programmatic biological opinion covers limited transportation activities that may affect either bat species, and addresses situations that are both likely and not likely to adversely affect either bat species. This decision key will assist in identifying the effect of a specific project/activity and applicability of the programmatic consultation. The programmatic biological opinion is not intended to cover all types of transportation actions. Activities outside the scope of the programmatic biological opinion, or that may affect ESA -listed species other than the Indiana bat or NLEB, or any designated critical habitat, may require additional ESA Section 7 consultation. HUTCHINSON CITY COUNCIL Ci=y�f Request for Board Action 79 =-W Agenda Item: Approve/Deny Funding Requests from the Hutchinson Center for the Arts Department: Administration LICENSE SECTION Meeting Date: 5/12/2020 Application Complete N/A Contact: Matt Jaunich Agenda Item Type: Presenter: Matt Jaunich Reviewed by Staff ✓❑ New Business Time Requested (Minutes): 10 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: The Hutchinson Center for the Arts has asked to address the City Council regarding their annual funding request. They will be asking the Council to consider extending/renewing the City's membership and financial commitment to the Center for the Arts. Please see the attached letter regarding this request. Please note that Minnesota Statute 471.941 allows cities to make donations to "artistic organizations", which the Center for the Arts qualifies as one. The City is currently a member of the Center for the Arts. We first joined in 2012 with a 3-year commitment. We extended our first 3-year agreement with another one in 2014 and then again in 2017. The last two commitments were each for 3 years at $15,000/year. The current 3-year commitment ends at the end of this year. Is there is desire to extend our membership with the Center for the Arts? If so, for how long and for how much. The Center is asking for another 3-year commitment at $15,000 a year. Funding for this membership has historically come out of the Community Improvement Fund. Any extension of the funding would begin with the 2021 budget season. Please note that the the City's total contribution to the Center for the Arts, dating back to 2012, is at $145,000. BOARD ACTION REQUESTED: Approve/Deny Funding Request from the Hutchinson Center for the Arts Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: $ 0.00 Total City Cost: $ 0.00 Funding Source: Remaining Cost: $ 0.00 Funding Source: AC utchinson ENTER #OR THE RTS April 27, 2020 Dear Mayor and City Council: I am writing, first, to thank you for the consistent and necessary financial support of the Hutchinson Center for the Arts (HCA) in the past and, second, to request the City of Hutchinson council members renew their $45,000 3-year grant to preserve the presence of the HCA as an important pillar of the community. City funding has supported our mission and work which positively impacts the lives of our entire community through a range of programming: o Art Kids Drop In Day, our free monthly program for preschool children and their caregivers that uses art to build social skills and facilitate community connections o Visual Arts Exhibition Series, which brings regional Minnesota artists to the Hutchinson Community o Creative Palette, our new program for seniors in partnership with Woodstone Senior Living offering art enrichment activities to residents in their care suites and memory care unit o Vital infrastructure support that provides services, such as fiscal sponsorship, insurance, and storage, for our arts and culture partners, allowing them to grow and thrive. ■ Our Partner Groups: CRAYO, Crow River Youth Choir, Crow River Singers, Historic Hutchinson, Hutchinson Parks & Rec, Hutchinson Photo Club, Hutchinson Theater Co, Litchfield Area Male Chorus, MN Pottery Festival, No Lines Improv, & Riversong o Youth scholarships and transportation vouchers, ensuring all children have access to high quality arts education —10% of youth participants receive some sort of financial support o Summer Studio and After School Art Offerings, giving kids fun, high quality arts experiences that ultimately develop intellect, emotional intelligence, and empathy all while they learn to work together and build the next generation of artists and arts patrons. We adapt our youth programs to ensure children of all abilities can participate. This includes adapting activities for physical and intellectual needs including those on the autism spectrum o Important community events and outreach, making the arts a vehicle for building community and enriching lives o Unique programming partnerships with other non -profits such as; Hutchinson Public Library and McLeod County Historical society o In 2020 we are launching a scholarship program for our adult classes helping to give those individuals on fixed income access to our quarterly adult workshops Each year nearly 2,000 individuals visit and/or participate in programs at the Hutchinson Center for the Arts. In the time of Covid 19 we have made unique changes to keep the arts accessible and available to our community. • Our exhibits are being presented online and arranged so artworks can be viewed through our windows. Artist talks will be recorded and presented online. • To replace our Free Art Kids Drop In Day Program ewe are handing out 20 free take home art kits for preschool children every week from April 20t" through May. • We have donated paint and brushes to the Food Bank to provide art supplies for children who may not have any access to art and craft materials in their homes • Sharing the creative projects of our artists and maker in our community via Facebook • We were proactive and secured a PPP loan to help navigate the financial burden impacting arts non -profits. We have rescheduled our Annual Night for the Arts and launched the #ticketfortomorrow campaign to support the Art Center and our partner groups. The campaign asks those who are able to not take a refund or make a donation in the amount of a ticket sale to a postponed or canceled event. City support of the arts has been a smart investment. Over the last two years, your $15,000 investment allowed us to secure nearly $40,000 in additional grants/gifts from outside of the city by demonstrating a strong civic commitment to building and sustaining the arts in our community. rurtnermore, basea on ine 2017 Minnesota citizens ror ine Arts stuay, we Know investing in the arts has a valuable financial return for Hutchinson: Hutchinson's nonprofit arts and cultural organizations draw almost 62,000 attendees annually. The economic impact of attendee spending is $1.2 million, while Hutchinson's arts and cultural organizations contribute another $1 million in economic impact, for a combined $2.2 million in impact each year." Your investment in the arts — about $1 per resident per year — is a contribution to the fiscal health of Hutchinson and beyond, to the creative energy captured in our programs, and to cultural values and identity worth preserving. The City of Hutchinson has always supported our creative community to the greatest extent possible, so we humbly ask for your continued support of our organization to help our community thrive through the patronage of the arts. Sincerely, Lisa Bergh Executive Director Board of Directors Jill Springer, President Lisa Hill, Vice President Sarah Work, Treasurer Jody Runke, Secretary Greg Jodzio Justin Beck Jeri Jo Redman Kay Hultgren Erika Kellen Karlene Ulrich Coleman Weber HUTCHINSON CITY COUNCIL Ci=y�f Request for Board Action 79 =-W Agenda Item: Approve/Deny First Reading of Ordinance 20-814, Amending Chapter 112 Department: Administration LICENSE SECTION Meeting Date: 5/12/2020 Application Complete N/A Contact: Matt Jaunich Agenda Item Type: Presenter: Matt Jaunich Reviewed by Staff ✓❑ New Business Time Requested (Minutes): 5 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: At the last council meeting, the City Council held a discussion on the idea of amending it's liquor ordinance to allow hotels to be issued an on -sale intoxicating liquor license. This discussion took place after a request was submitted to Administration from Cobblestone Hotel and Suites. Included with this Board Action Form is a memo along with a first draft of an ordinance to amend Chapter 112. In regards to the ordinance, we have proposed minimal changes with the first reading. In reviewing and considering the ordinance, please keep in mind the following: -- Section 112.001 - We have not changed the definition in regards to hotels -- Section 112.085 -- Under section C, we have included "hotels" in the list of entities that can obtain an on -sale intoxicating liquor licenses -- Section 112.087 -- With the desire of the Council to allow this ordinance to be put in place so hotels could provide liquor to their customers, we have not included hotels within the list of those on -sale license holders who could provide temporary on -sale intoxicating liquor in connection with a social event off of their premise. Nor have we allowed them to sell at a sports, convention or cultural facility (112.086). Staff is asking the Council to consider a first reading of this ordinance and set a second reading with possible adoption for your next meeting. BOARD ACTION REQUESTED: Approve/Deny a First Reading of Ordinance 20-814, Amending Chapter 112 of the Hutchinson City Code Relating to Liquor Regulations Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: $ 0.00 Total City Cost: $ 0.00 Funding Source: Remaining Cost: $ 0.00 Funding Source: Office of the City Administrator 111 Hassan Street SF Hutchinson, NIN 55350-2522 320-234-4241/Fax 320-234-4240 Memo To: Mayor Forcier and City Council Members From: Matt Jaunich, City Administrator Date: 5/12/20 Re: Amending Liquor Ordinance in Regards to Hotels At the last council meeting, the City Council held a discussion on whether or not to allow a hotel in town to obtain an intoxicating liquor license. This discussion came at the request of Cobblestone Hotel & Suites who would like the Council to consider amending the current ordinance to allow them to obtain such a license. As the Council considers this amendment, staff would like to provide you with a memo that hopefully provides you with some additional information on this request. While the State does allow cities to issue liquor licenses to bowling centers, sports facilities and others, it is important to remember that since we have a municipal liquor store, there are additional regulations in place for us. Specifically, Minnesota State Statute 340A.601 notes that cities with a municipal liquor store can only issue on -sale intoxicating liquor licenses to hotels, clubs and restaurants. This is known as being a "split liquor" City (the law also allows a "taproom license" to certain small brewers, which we currently have). Right now, the City only allows clubs and restaurants to get licenses (thus the request from the hotel). Some of those other facilities, like bars and bowling alleys, cannot receive an on -sale license from us because we have a municipal liquor store. It is important for all of you to remember this and that having a municipal liquor store, does limit some of the places where an on -sale intoxicating liquor license can be issued. It also important to remember that we have loosened some of the restrictions in our liquor ordinance over the past couple of years. So certain establishments that may not have been able to receive a license in the past may be allowed to now (although none comes to mind). One of those restrictions that was loosened in recent years was the shrinking of seating arrangements for restaurants from 85 to 30, and the other was loosening the ability to have alcohol in public places (library square, craft festival, etc.). A question has been raised about the ability for our ordinance to be stricter than state law. The answer to that is YES. For instance, our license requirement for restaurants is stricter than state law (the portion relating to a sales portion on food). One thing to keep in mind is that at a minimum, our laws cannot be "looser" than state law, only stricter. In regards to a hotel liquor license, in the proposed ordinance in front of you for consideration, staff has simply provided the minimum requirements for a hotel to get a liquor license in Hutchinson. There is nothing prohibiting the Council from making our ordinance stricter than what the state allows. Please note that the state/city currently only has four factors for a hotel to get a liquor license: 1) They are approved to do so by a local municipality/government agency (State Requirement) — This is currently not allowed by our ordinance as it is written today 2) They have a dining room serving the general public at tables and having facilities for seating at least 30 guests at one time; 3) For a city the size of Hutchinson, they have guest rooms at a minimum number of 10; and 4) They have a resident proprietor or manager (City Requirement — stricter than state law) The question was brought up at the last council meeting about the City limiting the alcohol that would be served to guests, renters and meeting members at a hotel. In speaking with staff, I struggle with this concept of being a requirement of an ordinance because the minimum state definition of a hotel, as it relates to a liquor license; notes that they need to serve the "general public". There was also several comments about food at the last meeting and what the hotel would or would not be serving. In regards to food, please keep in mind that state law currently does not state anything about providing food, what type of food, whether they should have a menu or not, etc. when it comes to hotels and liquor licenses. It simply notes that a hotel needs to have a "dining room serving the general public at tables and having facilities for seating at least 30 guests at one time". One would assume there is food, but that is not clearly defined in the state law. The League of MN Cities has noted that this references hotels where "food and lodging are regularly furnished to guests". This is one of those areas that you could be "stricter" in if you so choose (food that is). If that is a desire of the Council, we just need to know that. The obvious alternative to all of this is to simply not change the ordinance. Let me know if you have any additional questions and/or comments. Matt 2 ORDINANCE NO. 20-814 AN ORDINANCE AMENDING CHAPTER 112 OF THE HUTCHINSON CITY CODE — LIQUOR REGULATIONS The City Council hereby ordains: § 112.001 DEFINITIONS. For the purpose of this chapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning. 3.2% MALT LIQUOR. Malt liquor containing not less than 0.5% alcohol by volume, nor more than 3.2% alcohol by weight. This definition includes so-called "malt coolers" within the alcoholic content limits stated herein. ALCOHOLIC BEVERAGE. Any beverage containing more than 0.5% alcohol by volume, including, but not limited to, 3.2% malt liquor, wine and liquor as defined in this section. AFFILIATE or SUBSIDIARY COMPANY. A company in which a manufacturer or its stockholders own a majority of the stock. APPLICANT. Any person making an application for a license under this chapter. APPLICATION. A form with blanks or spaces thereon, to be filled in and completed by the applicant as a request for a license, furnished by the city and uniformly required as a prerequisite to the consideration of the issuance of a license for a business. BREWER. A person who manufactures 3.2% malt liquor for sale. BUSINESS RECORDS. Include, but are not limited to, articles of incorporation, bylaws, corporate minutes, records of sale and shipping documents, as well as lists of complaints whether or not those complaints have resulted in a filing with an appropriate government agency, and also include records relating to any litigation threatened or commenced against a license holder arising out of the operation of licensed premises pursuant to the license granted herein. CLUB. (1) An incorporated organization organized under the laws of the state for civic, fraternal, social or business purposes, for intellectual improvement or for the promotion of sports, or a congressionally chartered veterans' organization, which: (a) Has more than 50 members; (b) Has owned or rented a building or space in a building for more than one year that is suitable and adequate for the accommodation of its members; and (c) Is directed by a board of directors, executive committee or other similar body chosen by the members at a meeting held for that purpose. (2) No member, officer, agent or employee shall receive any profit from the distribution or sale of beverages to the members of the CLUB, or their guests, beyond a reasonable salary or wages fixed and voted each year by the governing body. The CLUB or congressionally chartered veterans' organization must have been in existence for at least three years. COMMISSIONER. The State Commissioner of Public Safety. HOTEL. An establishment where food and lodging are regularly furnished to transients and which has: (1) A resident proprietor or manager; (2) A dining room serving the general public at tables and having facilities for seating at least 30 guests at one time; and (3) At least ten guest rooms. INDEPENDENT ACCOUNTANT. An accountant engaged in the practice of public accountancy who is not an employee of, on the staff of or otherwise affiliated with the licensed premises or the party holding the license at issue. An accountant who derives more than one- third of his or her gross income from services performed for the license holder is not INDEPENDENT, as defined herein. The term INDEPENDENT ACCOUNTANT includes, but is not limited to, certified public accountants and licensed public accountants. INTOXICATING LIQUOR or LIQUOR. Ethyl alcohol and distilled, fermented, spirituous, vinous and malt beverages containing in excess of 3.2% of alcohol by weight. This definition includes so-called "wine coolers" and "malt coolers" within the alcoholic content limits stated herein. LICENSE. A document, issued by the city to an applicant, permitting him or her to carry on and transact the business stated therein. LICENSE FEE. The money paid to the city pursuant to an application and prior to issuance of a license to transact and carry on the business stated therein. LICENSEE. An applicant who, pursuant to his or her approved application, holds a valid, current, unexpired license, which has neither been revoked nor is then under suspension, from the city for carrying on the business stated therein. LICENSED PREMISES. The premises described in the issued license. MALT LIQUOR. Any 3.2% malt liquor, ale or other beverage made from malt by fermentation and containing not less than 0.5% alcohol by volume. MANUFACTURER. Every person who, by any process of manufacture, fermenting, brewing, distilling, refining, rectifying, blending or by the combination of different materials, prepares or produces alcoholic beverages for sale. MEAL. Entrees and sandwiches offered on a restaurant menu. The term does not include appetizers, snacks and non -meal -related food. MINOR. Any natural person who has not attained the age of 21 years. OFF -SALE. The sale of alcoholic beverages in original packages for consumption off the licensed premises only. ON -SALE. The sale of alcoholic beverages for consumption on the licensed premises only. PACKAGE and ORIGINAL PACKAGE. Any container or receptacle holding alcoholic beverages, which container or receptacle is corked, capped or sealed by a manufacturer or wholesaler. RESTAURANT. An establishment, other than a hotel, under the control of a single proprietor or manager, where meals are regularly served at tables to the general public, and having seating capacity for at least 85 guests. A RESTAURANT qualifying under this chapter shall submit proof to the City Council that not less than 40% of the gross sales of the establishment for which the on -sale license is to be used are from the serving of food. Upon the request of the City Administrator, the applicant shall submit a financial statement signed by an independent accountant that indicates the total gross sales of the establishment and the total food sales of the RESTAURANT for the calendar year or fiscal year preceding the date of the renewal application. SALE, SELL and SOLD. All barters and all manners or means of furnishing alcoholic beverages to persons, including the furnishing in violation or evasion of law. WHOLESALER. Any person engaged in the business of selling alcoholic beverages to a licensee from a stock maintained in a warehouse. WINE. A beverage made without rectification or fortification by the fermentation of sound ripe grapes, grape juice, other fruits or honey, and also carbonated wine, wine made from condensed grape must, wine made from other agricultural products, imitation wine, compounds sold as WINE, vermouth, cider, perry and sake, containing not less than 0.5%, nor more than 14%, alcohol by volume. This definition includes so-called "wine coolers" within the alcoholic content limits stated herein. (2004 Code, § 112.001) (Ord. 93-76, passed 3-23-1993; Ord. 98-217, passed 2-10-1998) § 112.085 LICENSE REQUIRED. (A) It is unlawful for any person, directly or indirectly, on any pretense or by any device, to sell, barter, keep for sale or otherwise dispose of intoxicating liquor as part of a commercial transaction, without a license therefor from the city. (B) This section shall not apply to: (1) beverage; (2) purposes; (3) on -sale wine licensee; (4) Commissioner; or (5) the city. Potable liquors as are intended for therapeutic purposes and not as a Industrial alcohol and its compounds not prepared or used for beverage Wine in the possession of a person duly licensed under this chapter as an Sales by manufacturers to wholesalers duly licensed as such by the Sales by wholesalers to persons holding intoxicating liquor licenses from (C) The city may issue annual on -sale intoxicating liquor licenses only to restaurants, hotels and clubs or congressionally chartered veterans' organizations; provided that, liquor sales will be made only to members and bona fide guests. The city, at the option of the City Council, may also issue joint 3.2% malt liquor and wine licenses. The City Council may, at its sole discretion, provide that the licensee may contract for intoxicating liquor catering services with the holder of a full year on -sale intoxicating liquor license issued by the city. A license from the Commissioner is also required. (2004 Code, § 112.085) (Ord. 95-146, passed 4-25-1995; Ord. 98-217, passed 2-10-1998) Penalty, see § 10.99 § 112.086 SPORTS, CONVENTION OR CULTURAL FACILITIES LICENSE. The Council may authorize any holder of an on -sale intoxicating liquor license, which under this section shall include clubs and restaurants, issued by the city or by an adjacent municipality, to sell liquor at any convention, banquet, conference, meeting or social affair conducted on the premises of a sports, convention or cultural facility owned by the city, or instrumentality thereof having independent policy -making and appropriating authority and located within the city. The licensee must be engaged to sell liquor at the event by the person or organization permitted to use the premises, and may sell liquor only to persons attending the event. The licensee shall not sell liquor to any person attending or participating in any amateur athletic event. These sales may be limited to designated areas of the facility. All sales of this type shall be subject to all laws relating thereto. (2004 Code, § 112.086) (Ord. 02-309, passed 3-26-2002; Ord. 02-309, passed 4-23-2002) Penalty, see § 10.99 § 112.087 TEMPORARY INTOXICATING LIQUOR LICENSE. (A) License authorized. Notwithstanding any provision of this code of ordinances to the contrary, the Council may issue a license for the temporary on -sale of intoxicating liquor in connection with a social event sponsored by the licensee. This license may provide that the licensee may contract with the holder of a full -year on -sale license, which under this section shall include clubs and restaurants, issued by the city, for liquor catering services. (B) Applicant. The applicant for a license under this section must be a club or charitable, religious or other non-profit organization in existence for at least three years. (C) Terms and conditions of license. (1) No license is valid until approved by the Commissioner. (2) No license shall be issued for more than three consecutive days. (3) All licenses and licensees are subject to all provisions of statutes and this code relating to liquor sale and licensing. The licensee shall provide proof of financial responsibility coverage and, in the case of catering by a full -year on -sale licensee, the caterer shall provide proof of the extension of that coverage to the licensed premises. (4) Licenses may authorize sales on premises other than those owned or permanently occupied by the licensee. (D) Insurance required. The Council may, but at no time shall it be under any obligation whatsoever to, grant a temporary intoxicating liquor license on premises owned or controlled by the city. This type of license may be conditioned, qualified or restricted as the Council sees fit. If the premises to be licensed are owned or under the control of the city, the applicant shall agree to indemnity, defend and hold harmless the city and file with the city, prior to issuance of the license, a certificate of liability insurance coverage in at least the sum of $300,000 for injury to any one person, $1,000,000 for injury to more than one person and $10,000 for property damage, naming the city as an insured during the license period. (2004 Code, § 112.087) § 112.088 HOURS AND DAYS OF SALES. No on -sale of intoxicating liquor shall be made between the hours of 1:00 a.m. and 10:00 a.m. on Sunday, nor between 12:00 midnight and 8:00 a.m. on Monday, nor between the hours of 1:00 a.m. and 8:00 a.m. on Tuesday through Saturday. No off -sale of intoxicating liquor shall be made on Sunday nor before 8:00 a.m. or after 10:00 p.m. on Monday through Saturday, nor on New Year's Day, January 1; July 4; Thanksgiving Day; or Christmas Day, December 25. No sale of intoxicating liquor shall be made after 8:00 p.m. on December 24. (2004 Code, § 112.088) (Ord. 96-172, passed 9-10-1996; Ord. 97-213, passed 11-25-1997; Ord. 98-217, passed 2-10-1998; Ord. 10-0558, passed 9-14-2010) Penalty, see § 10.99 § 112.089 ON -SALE WINE LICENSE REQUIRED. (A) It is unlawful for any person, directly or indirectly, on any pretense or by any device, to sell, barter, keep for sale or otherwise dispose of wine on -sale, as part of a commercial transaction, without a license therefor from the city. (B) This section shall not apply to: (1) Sales by manufacturers to wholesalers duly licensed as such by the Commissioner; (2) Sales by wholesalers to persons holding on -sale or off -sale intoxicating liquor licenses from the city; city; or (3) Sales by wholesalers to persons holding on -sale wine licenses from the (4) Sales by on -sale intoxicating liquor licensees on days and during hours when on -sale liquor sales are permitted. (2004 Code, § 112.089) Penalty, see § 10.99 § 112.090 HOURS AND DAYS OF WINE ON -SALES. No on -sale of wine shall be made between the hours of 1:00 a.m. and 10:00 a.m. on Sunday, nor between the hours of 1:00 a.m. and 8:00 a.m. on the days of Monday through Saturday. (2004 Code, § 112.090) (Ord. 97-213, passed 11-25-1997) Penalty, see § 10.99 § 112.091 INTOXICATING MALT LIQUORS. (A) It is unlawful for any person, directly or indirectly, on any pretense or by any device, to sell, barter, keep for sale or otherwise dispose of intoxicating malt liquors, as part of a commercial transaction, without a liquor license pursuant to either § 112.085 of this chapter or this section. A holder of an on -sale wine license who is also licensed to sell 3.2% malt liquors at on -sale and whose gross receipts are at least 60% attributable to the sale of food, may sell intoxicating malt liquors at on -sale without any additional license from the city. (B) The seller qualifying under this section shall submit proof to the City Council that not less than 60% of the gross sales of the establishment are from the serving of food. Upon request of the City Administrator, the seller shall submit a financial statement signed by an independent accountant that indicates the total gross sales of the establishment and the total food sales of the seller for the calendar year or fiscal year preceding the date of the seller's license renewal application. (2004 Code, § 112.091) (Ord. 95-140, passed 3-28-1995) Penalty, see § 10.99 § 112.092 INTOXICATING LIQUOR OR ON -SALE WINE LICENSE; REGULATIONS AND RESTRICTIONS. (A) Licenses in connection with premises of another. A license may not be issued to a person in connection with the premises of another to whom a license could not be issued under the provisions of this chapter. This division (A) does not prevent the granting of a license to a proper lessee because the person has leased the premises of a minor, a non -citizen who is not a resident alien, or a person who has been convicted of a crime other than a violation of this chapter. (B) Employment of minors. No person under 18 years of age may sell or serve intoxicating liquor or wine on licensed premises. (C) Premises eligible. On -sale wine licenses shall be granted only to restaurants, as defined in this chapter; provided, however, for purposes of this section, the restaurant shall have appropriate facilities for seating not less than 25 guests at one time. (2004 Code, § 112.092) (Ord. 98-217, passed 2-10-1998) Penalty, see § 10.99 § 112.093 CATERERS; SPECIAL PROVISIONS. (A) City Council findings. The City Council makes the following findings regarding the need to enact additional sale provisions governing persons selling or furnishing alcoholic beverages pursuant to a caterer's permit issued pursuant to M.S. § 340A.404(12), as it may be amended from time to time. This statute authorizes the holder of such a permit to provide alcoholic beverages at unlicensed locations; provided that, the sale is incidental to a larger food service. This division (A) is enacted in order to preserve the incidental nature of the caterer's permit and to preserve the underlying state and local framework for permanent on -sale intoxicating liquor licenses. The issuance of a caterer's permit does not allow a person to, in effect, operate a permanent on -sale intoxicating liquor establishment; rather it entitles the person to provide temporary alcoholic beverages as an incidental part of a food service that prepares meals at special locations apart from the licensee's permanent location. The location requirements in this section for the sale of alcoholic beverages at catered events are enacted to assure compliance with existing state and local provisions regarding on -sale licenses. Numerous events conducted at one location where alcoholic beverages are provided by caterers thwarts the licensing scheme for permanent on -sale intoxicating liquor establishments. (B) Regulations. Events that are catered in accordance with M.S. § 340A.404(12), as it may be amended from time to time, shall comply with the following additional sale provisions. (1) No one location shall have more than 48 days of catered events in one calendar year at which alcoholic beverages are served to the general public, and in no case shall any one event of this type be for more than four consecutive days. (2) All such caterer's licenses shall be approved by the City Council, although no public hearing shall be required. (2004 Code, § 112.093) (Ord. 98-217, passed 2-10-1998) Penalty, see § 10.99 Adopted by the Hutchinson City Council this day of , 2020. ATTEST: Gary T. Forcier, Mayor Matthew Jaunich, City Administrator HUTCHINSON CITY COUNCIL ci=y�f AFON Request for Board Action 7AL =-M Agenda Item: Approve/Deny Resolution 15169 - Refunding a Portion of City License Fees Department: Administration LICENSE SECTION Meeting Date: 5/12/2020 Application Complete N/A Contact: Matt Jaunich Agenda Item Type: Presenter: Matt Jaunich Reviewed by Staff ✓❑ New Business Time Requested (Minutes): 5 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OF AGENDA ITEM: At the last council meeting, the City Council held a discussion on the idea of refunding a portion of City License Fees for businesses impacted by COVID-19. From that conversation, staff was directed to put together a resolution for the Council to consider that would refund fees. Attached is that resolution. The resolution calls for a prorated refund of fees based off of how long a business was closed down by a State or Federal order. Staff has left it broad on purpose to give us the greatest flexibility when it comes to issuing refunds. In particular, the resolution would provide refunds for the following type of licenses that have been impacted during this pandemic: - Variety of On -Sale Liquor Licenses - Massage Services - Peddler/Solicitor/Transient Merchant - Tobacco Licenses - Caterer's Permit - Taproom Permit Since we don't know the length of some of these required shut downs, staff is unable to give a fiscal impact statement at this time. Staff estimates that it could be a couple hundred to a couple thousand dollars. BOARD ACTION REQUESTED: Approve/Deny Resolution 15169 - A Resolution Refunding a Portion of the City License Fees for the 2020 Season due to COVID-19 Fiscal Impact: Funding Source: FTE Impact: Budget Change: Yes Included in current budget: No PROJECT SECTION: Total Project Cost: $ 0.00 Total City Cost: $ 0.00 Funding Source: Remaining Cost: $ 0.00 Funding Source: Resolution No. 15169 A RESOLUTION REFUNDING A PORTION OF THE CITY LICENSE FEES FOR THE 2020 SEASON WHEREAS, the City of Hutchinson, along with the rest of the State, Nation and World, is in the midst of a pandemic that is resulting not only in a loss of life but is impacting the economic vitality of each and every community; and WHEREAS, the COVID-19 pandemic has resulted in the closure of many businesses in Hutchinson and around the nation, and that the Federal and State governments have asked citizens to social distance themselves from others; and WHEREAS, the State of Minnesota has had a "Stay at Home" order in place since March 28 and the State has required that bars, restaurants, and other places of public accommodation be closed to the public, outside of certain curbside services, since March 16; and WHEREAS, many businesses in Hutchinson have been affected by the Stay at Home Order and closure of bars, restaurants, and other places of public accommodation; and WHEREAS, many of those businesses were required to receive an annual license from the City to operate. NOW THEREFORE BE IT RESOLVED by the City Council of the City of Hutchinson, Minnesota, that the City Council hereby authorizes the City Administrator to provide a pro -rated refund of any city license fee to any business or applicate who is impacted by the Stay at Home Order or any other State or Federal mandate. Such business must have been required to close or not provide a specific service to the public for a period of time and were required to obtain a city license. Fees that are to be refunded shall include, but are not limited to, fees associated with the following: Liquor Licenses, Massage Services, Peddler/Solicitor/Transient Merchant, Tobacco Licenses, Caterer's Permit, Taproom Permit, etc. Adopted by the City Council this 12th day of May, 2020. Gary T. Forcier, Mayor Matthew Jaunich, City Administrator HUTCHINSON CITY COUNCIL ci=y�fAa� Request for Board Action 7AL =-W Review of the City's Vehicle and Equipment Policy Agenda Item: Department: Finance LICENSE SECTION Meeting Date: 5/12/2020 Application Complete N/A Contact: Andy Reid Agenda Item Type: Presenter: Reviewed by Staff ❑ New Business Time Requested (Minutes): 5 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: The fleet committee met four times in 2019 to discuss fleet requests and fleet policy. There are several revisions mainly because the policy has not been modified since it was established in 2012. Proposed changes include red font for additions and strike -through for deletions. The following bullet points highlight the main revisions to the policy: • Defining city staff appointed to the committee by the City Administrator. • Language that reflects what is actually occurring, or should be occurring, at the fleet committee. • Document the necessary actions to assist departments in the acquisition and disposition processes. This includes reference to the city's purchasing policy regarding state contract pricing, multiple quotes, and proper approvals. • Revise the Vehicle Condition Index (VCI) and assign realistic point systems to the VCI variables. The committee will monitor the effectiveness of certain VCI variables over the next few years and may recommend revisions if the VCI does not align with actual replacement need. • The prior policy put substantial weight on the service age of vehicles/equipment when looking at replacement. The VCI is the primary indicator for replacement, however service age is a major factor within the VCI calculation. • Since the VCI is an indicator of current condition, the fleet committee believes that service age should be utilized mainly for budgeting future year replacements. This pertains to years 2 through 5 of the city's 5-year Capital Plan. Year 1 of the Capital Plan will base replacements primarily on the VCI. • Include language for the committee to discuss energy efficient options when replacing vehicles. I've also attached the current Fleet Inventory spreadsheet for the General Fund departments as well as the Enterprise Funds. The calculated VCI column on the far right still requires updated data from several departments. The fleet committee will be meeting in May or June to review the 2021 replacement requests and to prioritize the 2022-2025 Capital Plan. BOARD ACTION REQUESTED: Review and, if acceptable, approve the proposed Vehicle and Equipment Policy Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: N/A Remaining Cost: $ 0.00 Funding Source: N/A Vehicle & Equipment Policy Policy Scope This policy applies to all vehicles/equipment owned and operated by the City of Hutchinson with an acquisition cost of at least $10,000 before any trade-ins. Policy Objective This policy intends to reduce ongoing expenses and replacement costs by addressing acquisition, use, maintenance, replacement and disposal of vehicles/equipment. Fleet Committee The City Administrator shall appoint a Fleet Committee to review vehicle/equipment policies and to make recommendations regarding management, acquisition, disposal, and related procedures. Fleet Committee MakeUD The City Administrator designates the following as members of the fleet committee. The Committee shall be composed of seven (7) members. Each member has vehicles/equipment that their department is responsible for, except for the City's Finance Director who shall be the committee's chair. Makeup of the Committee shall be as follows: • Finance Director (Chair) • Creekside/Compost Manager • Fire Chief • IT and Planning Director (Rotates between the two every 3 years) • PRCE Director or their designee • Police Chief or their designee • Public Works Director or their designee Acquisition Procedures 1. Identify Need, Priority Replacement priority for vehicles/equipment: • Public Safety (e.g., Police squad cars, fire trucks, emergency equipment) • Essential Maintenance Services (e.g., sewer, jetter, pumps, snow equipment, street & specialty equip. ) City of Hutchinson I Vehicle & Equipment Policy � • Municipal Services (e.g. administrative vehicles, mowers, general maintenance vehicles/equipment) Vehicle/Equipment replacement report: a. Departments identify needs, prepare reports and submit them to the Fleet Committee Chair by TAT April 30 each year. Reports must ifielude V,.,.iele Geed fie 1nd&. (344) afi identi f: other- _ell, Emt f eter- identify the vehicle/equipment proposed for replacement and its Vehicle Condition Index (VCI). Reports shall include detailed explanations as to why the vehicle/equipment can no longer be used for city operations and how city operations will be impacted if not replaced. Vehicle/equipment specifications submitted shall reflect features and apparatus necessary to ensure appropriate purchases are made. b. Departments should designate an employee or group to review specifications. Reports should include feedback regarding vehicle/equipment suitability, productivity, maintainability and acquisition cost. Vehicle/equipment types, engine sizes, etc., shall be vetted by department personnel prior to submitting the replacement request. Necessary apparatus or attachments shall be identified and may be considered with the replacement. c. Departments should conduct life -cycle cost analysis to determine the best value. d. Vehicles/equipment acquired are to be used interdepartmentally to the extent possible. e. Departments shetild shall consider vehicles/equipment designed to consume less fuel, use alternative fuels, or be otherwise advantageous to the environment, provided the vehicle/equipment is economically or operationally advantageous to the City or the higher cost of the vehicle/equipment is determined to be commensurate to the benefit. 2. Fleet Committee Review a. Vehicles/equipment will be replaced on a priority basis after assessing their condition. The Fleet Committee will physically inspect each vehicle/equipment proposed for replacement, to the extent possible. b. Replacement will be considered when the minimum Vehicle Condition Index requirements are met and economic or operational priority is demonstrated. c. Department reports will be reviewed to ensure cooperative purchasing contracts and/or government discount programs are used to reduce cost. r ,.ea p., .,.,...ses shetild be ,.ensider-ea if.vehiele. e __:� .� �Iable and pfieffiig is eefnpefi4ve. Competitive pricing should be sought to the extent possible for used equipment. d. A variety of ways to make vehicles/equipment available are reviewed, including replacement, used vehicles/equipment, rental, leasing, cooperative agreements, or by other means, to determine which method provides the most benefit to City operations and the most economic advantage. e. In the case of low utilization, acquisition or replacement of vehicles/equipment will not be considered unless for specific life -safety -health functions. Departments must clearly identify such vehicle/equipment's specific function and necessity. City of Hutchinson I Vehicle & Equipment Policy mom f. Some vehicles/equipment may become functionally obsolete while in service. If service, repairs, or replacement parts are no longer readily available, or when safety regulations are no longer met, these vehicles/equipment are to be noted identified as "Obsolete" by the Fleet Committee and may be considered for replacement regardless of other factors. g. As vehicles are proposed for replacement, the Fleet Committee will discuss the potential to replace with energy efficient options. The main discussion points shall include the vehicle's core operational functions and the cost/benefit of the energy efficient option. 3. Financing & Planning a. The goal in the General Fund is to budget appropriate transfers into the Vehieke an Equipment Replacement Fund as the primary funding source. b. Enterprise funds will budget separately for vehicle/equipment acquisitions. c. Use of equipment certificates, debt instruments, or lease -purchases may be considered. The Finance Director and City Administrator will make any debt recommendations to the City Council for approval. d. The Fleet Committee will recommend replacements necessary due to catastrophic loss. e. Vehicles/equipment not included for current funding wil4 may be identified in the City's 5- year capital plan, based on meeting replacement criteria. f. Once the etiffent yeaf ^5-year - ehiele/eg pment Y plae ..f.^rt capital plan is approved by City Council each December, departments may submit purchase requisitions orders for vehicles/equipment budgeted in the first year of the plan. Replacements are not necessarily approved simply by being included on the 5-year CIP. Approvals are still required by the Finance Director and City Administrator. Replacements with a gross cost exceeding $50,000 must receive City Council approval prior to ordering. City Administrator and Finance Director approval must be received before presenting to City Council. g. Replacements must consider Minnesota State pricing, if available, before buying through another source. Replacement of cars, SUVs and light trucks shall consider the lowest state pricing of the major automakers. Other dealer quotes, including local, should be obtained as state pricing is not always the lowest option. Departments missing the state contract window may submit other competitive quotes for consideration, but may not receive approval if the cost is substantially higher than state pricing. The City Administrator and Finance Director will review and decide on those situations. h. Departments are responsible for forwarding the dealer invoice and MSO (manufacturer's statement of origin) to the Finance department as soon as possible after taking delivery of the new vehicle/equipment. Finance will complete the registration with the DMV in addition to paying the vendor for the vehicle/equipment. City of Hutchinson I Vehicle & Equipment Policy Vehicle & Equipment Disposition V,., iel e _-:pm ent Disposition includes all activities undertaken by departments to remove the a vehicle/equipment from service using the most economically advantageous method for the City. Methods of disposition include the following: a. Trade-in to a dealer as part of another competitively bid transaction. i. Appropriate trade -value shall be determined by reference to the "Blue Book" or other similar published reference book or website, whenever possible. b. Sell using a competitively bid targeted auction service, specializing in specific types of vehicles/equipment. c. Sell at other local, state or online competitively bid auction sites. d. Sell directly to other governmental agencies at fair market value. e. Sell directly as salvage parts or scrap metal if the vehicle/equipment is deemed unserviceable or unsafe for sale. 2. Vehicles/equipment removed from service shall be offered to other departments for circumstances such as for new full-time or seasonal employees. Transferred vehicles will be identified in the master fleet inventory report as "Do not Replace with New" and essentially be used as a spare vehicle. All interdepartmental transfers of vehicles/equipment shall receive prior approval from the Fleet Committee. 3. . From time to time Public Works will coordinate disposal of surplus equipment by auction for those departments not disposing of their own equipment. Departments are responsible for costs related to decommissioning and preparing reasefi ble e i4s to rr pa surplus vehicles/equipment for disposal in a manner that maximizes revenue potential. 4. Disposal of vehicles/equipment shall occur as soon as possible after replacement, but no later than December 31 of the year replaced. Departments shall not retain a replaced vehicle/equipment without Fleet Committee approval. 5. City council approval is required prior to disposing of surplus vehicles/equipment, except in the case of a trade-in. 6. Titles for vehicles to be disposed will only be released by the Finance department after city council approval or City Administrator approval of a trade-in. Vehicles/equipment shall not be sent to auction without city council approval. 7. Revenues from the disposition of vehicles/equipment are reserved in the appropriate fund for future vehicle/equipment replacement. Vehicle & Equipment Utilization Vehicle/equipment utilization includes all activities undertaken by departments to maximize the function of vehicle/equipment, including their routine assignment and cooperative use among City functions. 1. Vehicles/equipment may be assigned to specific functions or be made available in a pool, as is determined to be most efficient. City of Hutchinson I Vehicle & Equipment Policy Departments will actively pursue opportunities to cooperatively manage the utilization of similar vehicle/equipment types and to make vehicles/equipment available to other departments to enhance utilization. To encourage interdepartmental utilization, repair costs related to specific incidents, with the exception of routine consumable parts such as filters, batteries, wear parts, cutting edges, etc., will be borne by the department operating the vehicle/equipment when the incident occurred. 3. Departments will make operational changes, as needed, to enhance fuel efficiency; for example, by limiting idle times and using the smallest capable vehicle/equipment for the work. Vehicle & Eauinment Maintenance Maintenance includes all activities undertaken by departments to maximize the functional life of vehicles/equipment, including routine maintenance, repairs, refurbishments, and improvements. 1. Preventive maintenance schedules shall be are developed for each elass 0 vehicle/equipment. Qualified technicians are used to perform vehicle/equipment maintenance. Periodic reviews determine whether maintenance functions are being performed adequately. 2. Departments maintain records identifying maintenance activities, including the mileage or hours on the vehicle/equipment when the maintenance activity occurred. 3. Ongoing communication with operators is used to determine if improvements can be made to maintenance activities. 4. Departments establish procedures for authorizing repairs. Dollar amounts requiring specific approval may vary by equipment class and be commensurate to the cost of the vehicle/equipment. One person is appointed to make repair authorizations. Repair decisions take into consideration the specific function performed by the vehicle/equipment, as well as its age, condition, and target replacement guideline. 5. Departments to shall identify operator inspection and reporting responsibilities. Inspections and reporting are a part of each operator's normal routine. Departments routinely inspect vehicles/equipment for damage. A41 Commercial drivers comply with inspection regulations for commercial vehicles identified in State statute. 6. Departments ensure that vehicles/equipment perform their intended function in a safe, effective manner. 7. Departments shall ensure that vehicles/equipment are cleaned on a periodic basis. Reporting Finance will maintain an inventory of vehicles/equipment to serve multiple purposes: a. Serve as the Fleet Committee's official record of the City's fleet b. Insurance purposes c. Fixed asset accounting 2 Aft :,..,,.ntefy r-epei4 shall be submittedd Finance shall submit an updated inventory report to the Fleet Committee in January/February of enee each year to the Fleet r,.mmit4ee. Departments are to identify update the following information for vehicles/equipment assigned to the department: City of Hutchinson I Vehicle & Equipment Policy a. Home department b. Fleet ID number d. Description e. Class f. Priority classification g. Serial or vehicle identification number h. Date purchased i. Date placed in service J. Acquisition cost 1. Salvage value in. E*peete Estimated replacement ate cost n. Mileage/Hour meter readings o. Non-standard repair costs over the life of the vehicle/equipment P• 3. Departments must report any transaction that changes the status of vehicles/equipment to the Finance Department. Transactions may include: acquisition, disposition, transfer, retirement and disposal. Reports must be made as soon as possible to ensure insurance records are properly maintained. Forms and processes may be prescribed to ensure accurate reporting. Policy Review The appointed Fleet Committee shall review this policy from time to time, and provide recommendations for policy modifications to by the City Administrator. City of Hutchinson I Vehicle & Equipment Policy " Vehicle & Equipment Policy Capital Improvement Plan Forecasting Target Replacement Guidelines The VCI shall be the main factor in determining if a vehicle/equipment is in need of replacement within the next year or two. While the VCI is a measure of current condition, it is not ideal for forecasting future replacements. Therefore, the following replacement guidelines will be utilized, in conjunction with the VCI, to assist the Fleet Committee in prioritizing replacements in years 2- 5 of the City's 5-year Capital Improvement Plan. Category Age Municipal vehicles & eauipment Squad cars (marked patrol cars) --3-5 years Cars, sport utilities, minivans 4-0--12 years Pickups, light trucks ('/4, '/2, 3/4 ton) 4�0-- 12 years Light truck snowplows (1/4, 1 ton) —7— 9 years 1 ton trucks (pickups, flatbeds, dumps, etc.) 4-2— 15 years Heavy trucks (dump trucks, snowplows, etc.) 4-5-- 20 years Fire trucks (engines, tankers, etc.) 2-0— 25 years Trailers (all types)* 4-5--- 20 years Lawn mowers, grounds equip, etc. —7— 9 years Tractors and backhoes 4-2— 15 years Skid steer loaders (skid steer, utility loaders) 4-2— 15 years Wheel loaders 5-- 20 years Heavy equipment" 5-- 20 years Forklifts, utility & contractor equipment 4-5--- 20 years Solid VVaste Resource Recovery equipment Skid steer loaders (skid steer, utility loaders) 4— 10 years Wheel loaders --9— 10 years Heavy equipment** 4-5-- 20 years Forklifts, utility & contractor equipment —5-- 7 years * except specifically identified trailers **except specifically identified equipment City of Hutchinson I Vehicle & Equipment Policy " VEHICLE CONDITION INDEX FACTOR POINTS Service Age 1131, 0.5 i 0 "5" One point for each year of chronological age, based on in-service date. Miles/Hours Calculated by assigning one point for each 9,00 10,000 miles of use. Equipment with hours shall be assigned one point for each 250 hours for an engine under 150 horsepower, or one point for each 1,000 hours for an engine with 150+ horsepower. for f r each 150 hettf:s of tte) For vehicles/equipment without meters (e.�.��, use one-half the service age of the equipment. Utilization Calculated by considering the type of service the vehicle/equipment is routinely involved in. Assign points based on typical utilization. Points are to be assigned by the Fleet Committee: " 1 " — Light duty — for example: administrative cars, personnel transportation "3" — Routine duty — for example: pickups, vehicles used for daily operations "5" — Severe duty — for example: squad cars, street sweepers, snowplows, etc. Reliability Calculated by considering the reliability of the vehicle/equipment. Categorize the frequency of necessary repair work which takes the vehicle/equipment out of service within the past year (do not include routine maintenance such as oil changes and tire repairs). Assign points dependimg upon the frequency of repair downtime. Service log documentation is required to signify downtime. "» little or- no downtime for- repairs "3" routine downtime for- repairs "1" for 1 or 2 times within the past year "2" — for 3 or 4 times within the past year 2" — for 4 or 5 times within the past year 4" — for 5 or 6 times within the past year "5" — for 7 or more times within the past year Maintenance & Calculate by dividing total lifetime maintenance & repair costs by the capital Repair Costs cost of the vehicle/equipment (capital cost includes purchase price plus auxiliary equipment installed). Assign points based on the lifetime maintenance costs. "1" — lifetime costs less than 15% of capital cost. "2" — lifetime costs of 15%-30% of capital cost 2" — lifetime costs ' COS-400% 31%-45% of capital cost. 4" — lifetime costs 46%-60% of capital costs "5" — lifetime costs over 40°� 60% of capital cost. City of Hutchinson I Vehicle & Equipment Policy Condition Calculate by considering the condition of the body, rust, interior condition, accident history, and anticipated repairs necessary. Assign points based on the general condition of the vehicle/equipment. Points are to be assigned by the Fleet Committee based on condition evaluation. I" good tie„ eeiisidefifig its feutiffe use. " ' u » "1" - Excellent "2" - Good "3" - Average "4" - Marginal "5" - Poor Safety Concerns 1 point shall be assigned if there is a defect affecting the safety of the vehicle/equipment, which will be assigned by the Fleet Committee Vehicle Condition Index 16 to 20 mint, Goo (VCI) 21 to 25 Points Adequate 26 to 30 r its Al.,,...inal fe eeiisidef ff plae,,met4 Over- 30 r its u fefTeplaeemefft eefisider Under 16 points Condition I Excellent 16 to 25 points Condition II Good 26 to 30 points Condition III Consider for Replacement 31 points and above Condition IV Needs immediate consideration Other- e;-s Otherfaetarsafe independently th. VC! 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To assist us with that process, I would like to have a workshop meeting with the council to discuss the process that is being used to establish the budget and to get some feedback from the Council on budgetary goals for 2021. This meeting will be similar to the annual budget kick-off meeting I've conducted the past several years. The one difference is that I will attempt to do it virtually! BOARD ACTION REQUESTED: Approval of calling a special workshop meeting for 4:00 p.m. on May 26 Fiscal Impact: $ 0.00 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: EDA Board Meeting Conference Call 11:30 AM Wednesday, March 251h, 2020 MEETING MINUTES Members present in bold. EDA Board Members Mike McGraw Jonny Block Mike Cannon Corey Stearns Daron Vanderheiden Chad Czmowski Mary Christensen Jeremy Carter Staff Miles Seppelt, EDA Director Matt Jaunich, City Administrator Andy Reid, Finance Director Maddie Newcomb, EDA Program Manager I. Call to Order Meeting called to order at 11:30 AM. II. Review Agenda III. Review Minutes Economic Development Authority Financial Summary as of February 2020 Operations Cash Available $105,109 Reserved $56,736 Unreserved $47,543 Economic Development Loan Fund Cash Available $67,162 Ashwill Industries Balance $6,309 Zephyr Wind Services $95,845 Laser Dynamics Balance (forgivable) $23,000 Innovative Foam Balance (forgivable) $14,355 Advances to other funds (Enterprise $283,146 Center Downtown Revolving Loan Fund Cash Available $568,584 Loans Receivable $344,919 Capital Assets $201,329 Total Assets $1,114,831 MIF Loan Fund Cash Available $2,868 MOXY Loan Receivable $15,478 Enterprise Center Fund Cash Available $29,177 SHOPKO TIF District (TIF 4-5) Cash Available $163,917 Interfund Loans Receivable $480,906 MEDICAL CLINIC TIF District (TIF 4-16) Interfund Loan Payable $322,661 a. February 19th Finance Team meeting: M/S/P: Stearns, Czmowski to approve the minutes as written. Passed unanimously. b. February 26th EDA Board Meeting M/S/P: Christensen, Block to approve the minutes as written. Passed unanimously IV. Review of EDA Financial Statements Finance Director Andy Reid provided an update on the EDA financials. (Please refer to table) M/S/P: Cannon, Czmowski to approve the financial report as presented. Passed unanimously. V. Director's Report A. Marketing Plan: FB = 348, T = 94, Facebook updates = 16, Twitter updates = 16, Website updates = 6. B. Business recruitment / expansions — Staff provided an update on recent prospects and ongoing conversations. C. Cenex Site Redevelopment — Staff talked with Trident Development, they may be interested in putting up market rate apartments. In April they will be conducting an analysis to see if this is feasible. They would utilize a housing TIF. D. Clinic Site — hearing back from FEMA will be a long, slow process. Hopefully hear news by September or October. VI. Current Events A. City State of Emergency / Possible shutdown of non -essential services — The City has declared a State of Emergency. This helps alleviate some purchasing requirements and bidding laws while also giving the City Administrator the ability to make decisions on staffing arrangements and the closing of buildings. Non -essential city services will soon be temporarily discontinued. B. EDA actions to date: pushing out information via website & social media (will also do a press release) - Waiting to see what decisions the Minnesota Governor will make, as of this meeting no Executive Order has been placed for essential/non-essential personnel. EDA will most likely shut down, with calls and emails being forwarded to make working from home possible. C. SBA Economic Injury Disaster Loans — staff modified EDA website with COVID-19 tab at the top of the page, also included resources for businesses with links to access information. D. DEED Emergency Loan Program — information added to website for businesses to reference. E. Councilmember Cook Proposal: Small Business Stabilization Fund / Grant Program / etc. — Discussion on how we can potentially help businesses in this time of need. Board consensus is to help as much as possible but for now to hold off and see what the Federal and State levels of government will do. We would like to complement what they are doing and not overlap. The board will address this as we go forward. VII. EDA Loan Programs A. Consider suspending all Downtown Commercial Rehabilitation Loan payments for April -May -June & waive interest. - Discussion on what we can do as the EDA to help our businesses, most of the businesses that have loans through the EDA are currently shutdown. - Borrowers would need to cancel auto -payments themselves. - Staff to send out letters this afternoon notifying loan holders of this situation. M/S/P: Cannon, Stearns to approve suspending all Downtown Commercial Rehabilitation Loan payments for April, May, and June & waive interest. Passed unanimously. B. Do we put our ED Loan Fund payments on hold too? M/S/P: Cannon, Christensen to approve suspending all ED Loan Fund and Moxy Loan Fund payments for April, May, and June & waive interest. Passed unanimously. Vill. Enterprise Center Question on rent payments — can we hold off on rent to help alleviate some burden on our incubator tenants? - EDA wants to help keep our small business tenants afloat until the economy comes back. - Each tenant will still be responsible for paying the rent amount for each month by the end of the 2020 calendar year. This is not waiving rent — just a deferment to help business until they get back on their feet. - Rent payments will still be accepted during this time, if they so choose. M/S/P: Stearns, Christensen to offer Enterprise Center tenants to option to defer rent payments for 90 days. Passed unanimously. IX. Unique Tool - Land Write -down Program $52,193 A. Authorization of land write -down for manufacturing project (2/3 write -down amount) B. Authorization to sell 1.797 acre lot (1/3 would be $26,096) - Unique Tool would like to build a 5,000 sq. ft. building in the Industrial park on the lot directly across the road from Warrior Manufacturing and west of Customer Elation. (Site of former Wetherell house) - Land write -down would offer an incentive to help the project move along since TIF and Tax - abatement would not work. - Discussion of the amount of assistance provided vis-a-vis project size and return on investment. Staff noted that larger projects, those that create more jobs, tax base and economic impact, qualify for larger economic development incentives. M/S/P: Czmowski, Christensen to approve the use of the land -write down program for Unique Tool's purchase of the 1.797-acre lot. Passed unanimously. X. Systems West Project: 40,500 sf manufacturing building A. Sale of lot for $1 B. Authorization for an economic development TIF District C. Authorization for interfund loan from SHOPKO TIF District. $15,000 - Systems West would like to move forward with a building project in the industrial park. - They have had conversations with a manufacturer — Systems West would build and finance a building for the manufacturer and then lease it to them for a few years. After that, the company would purchase the building from Systems West. - The interfund loan would help cover our cost of setting up the TIF district, and would be reimbursed from tax increment generated once the building is up. M/S/P: Cannon, Czmowski to approve the sale of the lot for $1 to Systems West, authorize an economic development TIF District, and authorize an interfund loan for $15,000 from the SHOPKO TIF district. XI. Grant & Loan Program Applications - NONE XII. Other Business A. EDA Strategic Plan B. EDA Annual Report - Board Consensus to wait with these reports until things settle down. XIII. Set Next Meeting — 11:30 AM Wednesday, April 22nd, 2020 —by Conference Call XIV. Adjourn Meeting adjourned at 12:36 pm. M/S/P: Stearns, Christensen to adjourn the meeting. Passed unanimously. Respectfully Submitted, Madison Newcomb EDA Program Manager