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cp01-12-21HUTCHINSON CITY COUNCIL MEETING AGENDA TUESDAY, JANUARY 12, 2021 CITY CENTER — COUNCIL CHAMBERS ('The City Council is provided background information for agenda items in advance by city staff, committees and boards. Many decisions regarding agenda items are based upon this information as well as: City policy and practices, 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 — Hunter's Ridge (The invocation is a voluntary expression of theprivate 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 previous y 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. 15268 — Resolution Accepting $100.00 Donation from Russell and Lorraine Erickson for the Law Enforcement Memorial Park Fund (b) Resolution No. 15271 — Resolution Accepting $2000.00 Donation from Village Ranch to Hutchinson Fire Department PUBLIC COMMENTS (This is an opportunity or members of'the public to address the City Council. If'the topic you would like to discuss is on the agenda, please ask the Mayor if he will be acceptingpublic comments during the agenda item if not a public 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, butplease refrain from personal or derogatory attacks on individuals) 5. CITIZENS ADDRESSING THE CITY COUNCIL 6. APPROVAL OF MINUTES (a) Regular Meeting of December 22, 2020 (b) Organizational Meeting of January 4, 2021 CONSENT AGENDA (The items listedfor consideration will be enacted by one motion unless the Mayor, a member of the City Council or a city staff member requests an item to be removed. Traditionally items are not discussed) 7. APPROVAL OF CONSENT AGENDA I (a) Consideration for Approval of Entering into an External Sales Agreement with Tall Sales Company, Inc. for Creekside Soils' Bagged Products (b) Consideration for Approval of Purchase of Wheel Loader for Public Works Department (c) Consideration for Approval of Items for Wastewater Treatment Facility Headworks Improvements (Letting No. 2, Project No. 21-02) 1. Resolution No. 15269 - Resolution Ordering Preparation of Report on Improvement 2. Resolution No. 15270 - Resolution Receiving Report and Calling Hearing on Improvement (d) Claims, Appropriations and Contract Payments — Register A 8. APPROVAL OF CONSENT AGENDA II CITY COUNCIL AGENDA January 12, 2021 (a) Claims, Appropriations and Contract Payments — Register B PUBLIC HEARINGS — 6:00 P.M. 9. PUBLIC HEARING ON PROPOSED ONE-YEAR EXTENSION FOR UPONOR, INC. TO MEET BUSINESS SUBSIDY GOALS (a) Approve/Deny Resolution No. 15272 — Resolution Granting a One -Year Extension for UPONOR, Inc. to Meet Business Subsidy Goals MMUNICATIONS RE UESTS AND PETITIONS purpose o this portion o the agenda is to provi e the ounci with information necessary to craft wise policy. ides items like monthly or annual reports and communications from other entities.) 10. LIQUOR HUTCH YEAR END REPORT 11. REVIEW OF 2020 CITY OF HUTCHINSON PAVEMENT MANAGEMENT REPORT UNFINISHED BUSINESS NEW BUSINESS 12. APPROVE/DENY FIRST READING OF ORDINANCE NO. 20-820 — AN ORDINANCE ADOPTING REVISIONS TO SECTIONS 11.02 AND 11.08 OF THE HUTCHINSON CITY CHARTER 13. APPROVE/DENY AMENDMENTS TO PANDEMIC STAFFING POLICY NO. 3.35 14. APPROVE/DENY SETTING COUNCIL WORKSHOP FOR FEBRUARY 9, 2021, TO REVIEW FUND BALANCE POLICY GOVERNANCE (T epurpose o t isportion 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) Pedestrian and Bicycle Advisory Committee Meeting Minutes from December 18, 2019, and September 16, 2020 (b) Library Board Minutes from September 21, 2020 (c) Hutchinson Utilities Commission Minutes from November 25, 2020 MISCELLANEOUS 16. STAFF UPDATES 17. COUNCIL/MAYOR UPDATE ADJOURNMENT 2 CITY OF HUTCHINSON RESOLUTION NO. 15268 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 471.17-1 and WHEREAS, the following persons or entities have offered to contribute the cash amounts set forth below to the city: Name of Donor Russell & Lorraine Erickson Amount Donation Date $100.00 12/21 /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 January 2021. ATTESTED: Matthew Jaunich City Administrator APPROVED: Gary T. Forcier Mayor CITY OF HUTCHINSON RESOLUTION NO. 15271 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 471.17-1 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 Village Ranch $2,000.00 1 /5/2021 WHEREAS, such donation has been contributed to the Hutchinson Fire Department. 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 January 2021. ATTESTED: Matthew Jaunich City Administrator APPROVED: Gary T. Forcier Mayor HUTCHINSON CITY COUNCIL MEETING MINUTES TUESDAY, DECEMBER 22, 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: City policy and practices, inputfrom constituents, and other questions or information that has not yet been presented or discussed regarding an agenda item.) 1. CALL MEETING TO ORDER— 5:30 P.M. Mayor Gary Forcier called the meeting to order. Members present were Steve Cook, Chad Czmowski, Dave Sebesta and Mary Christensen. 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: Christensen — aye; Cook — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. 2. INVOCATION — Oak Heights Covenant 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. y reviewed or approved by the Council or staff) 3. PLEDGE OF ALLEGIANCE 4. RECOGNITION OF GIFTS, DONATIONS AND COMMUNITY SERVICE TO THE CITY Council Member Cook thanked the Veterans' group and the VFW group for all of the work they are doing and have done at VFW Park. (a) Resolution No. 15259 — Resolution Accepting $25.00 Donation from Thomas Kennedy for Law Enforcement Memorial Park Motion by Cook, second by Christensen, to approve Resolution No. 15259. Roll call vote was taken: Christensen— aye; Cook — aye; Czmowski — aye; Forcier — aye. Motion carried unanimously. (b) Proclamation — One Book, One Community Mary Henke, One Book, One Community committee, presented before the Council. Ms. Henke presented the community book read to the City Council. Ms. Henke noted that this is the eighth year of this program. Ms. Henke reviewed the associated events being held with the community book read. Mayor Forcier read a proclamation regarding "One Book, One Community" and noted that the book selected for the community book read is This Tender Land by William Kent Krueger. PUBLIC COMMENTS (This is an opportunity or members of the public to address the City Council. If the topic you would like to discuss is on the agenda, please ask the Mayor if he will be accepting public comments during the agenda item if not a public hearing. If you have a question, concern or comment, please ask to be recognized by the mayor — stateyour name and address for the record. Please keep comments under S 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, butplease refrain from personal or derogatory attacks on individuals) 5. CITIZENS ADDRESSING THE CITY COUNCIL 6. APPROVAL OF MINUTES (a) Regular Meeting of December 8, 2020 CITY COUNCIL MINUTES December 22, 2020 (b) Truth in Taxation Hearing Minutes of December 3, 2020 Motion by Christensen, second by Sebesta, to approve the minutes as presented. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. CONSENT AGENDA (The items listedfor consideration will be enacted by one motion unless the Mayor, a member of the City Council or a city staff member requests an item to be removed. Traditionally items are not discussed) 7. APPROVAL OF CONSENT AGENDA (a) Consideration for Approval of Entering Into Purchase Agreement With McLeod Treatment Programs, Inc. for Purchase of 135 Franklin Street NW (b) Consideration for Approval of Resolution No. 15254 — Resolution to Dispose of Surplus Property (Information Technology Items) (c) Consideration for Approval of Resolution No. 15260 - Resolution to Sell at Auction Surplus Property (Public Works Equipment) (d) Consideration for Approval of Resolution No. 15257 — Resolution Adopting Findings of Fact and Reasons for Approval of a Conditional Use Permit for Shoreline Work in an Easement Area Located at 1830 West Shore Drive SW (With Favorable Planning Commission Recommendation) (e) Consideration for Approval of Resolution No. 15258 — Resolution Adopting Findings of Fact and Reasons for Approval of a Conditional Use Permit for Outdoor Storage in an IIC Zoning District Located at 845 Hwy 7 West (With Favorable Planning Commission Recommendation) (f) Consideration for Approval of 2021 License Renewals (g) Appointment of Justin Beck to Public Arts Commission to August 2023 (h) Consideration for Approval of Resolution No. 15262 — Resolution Calling for a Public Hearing on the Proposed One -Year Extension for UPONOR, Inc. to Meet Business Subsidy Goals (i) Claims, Appropriations and Contract Payments Motion by Czmowski, second by Sebesta, to approve consent agenda. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. PUBLIC HEARINGS — 6:00 P.M. 8. REVIEW OF REVISIONS TO HUTCHINSON CITY CHARTER AS PROPOSED BY HUTCHINSON CHARTER COMMISSION Marc Sebora, City Attorney, presented before the Council. Mr. Sebora explained revisions to the City Charter that the Charter Commission is recommending. These revisions pertain to board membership to the Hutchinson Utilities Commission, specifically allowing a board member of the HUC to be a business owner and ratepayer and not restricting it only to residents of the city. It is being proposed that only one member of the HUC Commission would be allowed to be a non- resident, business owner. Mr. Sebora explained that the Charter Commission is recommending that these revisions by adopted by ordinance which, if the Council approves, will be presented at the next 2 CITY COUNCIL MINUTES December 22, 2020 Council meeting. Motion by Czmowski, second by Cook, to close public hearing. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. Motion by Czmowski, second by Christensen, to approve the recommendation of the Charter Commission and set first reading of ordinance for January 12, 2021. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. purpose of this portion of the agenda is to provide the Council with information necessary to craft wise policy. Ides items like monthly or annual reports and communications from other entities.) 9. DISCUSSION ON GENERAL FUND BALANCE POLICY Andy Reid, Finance Director, presented before the Council. Mr. Reid provided a short presentation regarding general fund balance. Mr. Reid explained that fund balance is the difference between assets and liabilities reported in the General fund. It is the accumulation of all prior years' net surpluses and/or deficits of revenues over expenditures. Fund balance is typically referred to as a "Rainy Day Fund" or "Reserves". The Minnesota State Auditor recommends that cities maintain a fund balance of between 35%-50% or no less than five months of operating expenditures. Bond rating agencies do not have recommended fund balance levels but look favorably on larger fund balances which protect against contingencies and cash flow needs. The City's current general fund policy states that the City will maintain an unrestricted fund balance in the General fund of an amount not less than 40% of the next year's General fund budgeted expenditures. This assists in maintaining an adequate level of fund balance to provide for cash flow requirements and contingency needs because major revenues, including property taxes and other government aid, are received in the second half of the City's fiscal year. Mr. Reid reviewed historical General Fund balance since 2010. Staff is looking to update the Fund balance policy in 2021 and discussions need to be held to identify and assess risks facing the City such as working capital, public emergency funds and budget balancing/levy stabilization funds. Once the areas of risk are identified, staff and Council will need to determine a percentage or dollar amount to commit within the General Fund Balance. The updated policy will also need to define how and for what the committed fund balance may be used, how to replenish committed fund balance if amounts fall below the thresholds created by the policy, how to handle excess fund balance, annual reporting and review with the City Council and periodic review of committed fund balance target amounts. Council Member Cook spoke about the importance of having a percentage tied to the levy stabilization fund and suggested having a dollar amount assigned to the Public Emergency fund. He also suggested that the "Other" category wasn't needed at this time and those funds could stay with the unassigned funds for now for possible use with the new police facility or other needs with the financial uncertainty next year. He also suggested having a maximum amount put in the levy stabilization fund and a minimum level that will be maintained. Matt Jaunich noted that the intention is to hold a Council workshop in late January/early February to begin updating the policy and discussing the items above. Council Member Cook also asked what kinds of items would be in the Public Emergency Fund. Mr. Jaunich noted those funds would be used for things such as natural disasters, economic downturns, etc. UNFINISHED BUSINESS NEW BUSINESS CITY COUNCIL MINUTES December 22, 2020 10. APPROVE/DENY RESOLUTION NO. 15256 — RESOLUTION ADOPTING 2021 SEASONAL/TEMPORARY COMPENSATION PLAN Matt Jaunich, City Administrator, presented the Seasonal/Temporary Compensation Plan. Motion by Cook, second by Czmowski, to approve Resolution No. 15256. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Forcier — aye. Motion carried unanimously. 11. APPROVE/DENY RESOLUTION NO. 15261 — RESOLUTION ADOPTING 2021 COMPENSATION PLAN AND POSITION CLASSIFICATION TABLE AND PAY GRID Matt Jaunich, City Administrator, presented the Compensation Plan and Position Classification Table and Pay Grid. Mr. Jaunich noted that the pay grid includes a 2% shift, however any employee increases are based on performance reviews. Motion by Cook, second by Czmowski, to approve Resolution No. 15261. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Forcier — aye. Motion carried unanimously. 12_ APPROVE/DENY RESOLUTION NO. 15243 - RESOLUTION ADOPTING 2021 FEE SCHEDULE Matt Jaunich, City Administrator, presented the 2021 fee schedule. Mr. Jaunich spoke about potential changes to the license fees due to the COVID-19 pandemic and many closures for the liquor license holders. It was suggested that perhaps a percentage reduction be applied to liquor license fees for 2021. Motion by Christensen, second by Forcier, to approve Resolution No. 15243 with the exception of the liquor license fees being reduced by 50% for 2021. Roll call vote was taken: Christensen— aye; Cook — aye; Czmowski — aye; Forcier — aye. Motion carried unanimously. 13. APPROVE/DENY RESOLUTION NO. 15250 — RESOLUTION ADOPTING 2021 GENERAL FUND BUDGET Andy Reid, Finance Director, presented before the Council. Mr. Reid explained that there are two options before the Council for consideration. Both options include a 2.9% tax levy increase; transfers from the enterprise funds have increased $80,000; the self-insurance fund transfer, funding employee HSA contributions, was decreased $23,000; wages and benefits increased by only 0.9%; using $40,000 of fund balance for one-time expenditures (compensation study and police training site improvements; Uponor tax abatement at $30,000; and vehicle & equipment funding increased $30,000. The optional budget 92 includes an additional $20,000 of funding to the City's vehicle and equipment replacement fun Council Member Cook noted that he preferred Option 92. He asked that the Council commit to increasing the dollar amount by $10,000 each year. Council Member Christensen noted that she likes Option 92 as well to start to better fund large fleet. Motion by Cook, second by Sebesta, to approve Resolution No. 15250 including Option 42b. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Forcier — aye. Motion carried unanimously. 14. APPROVE/DENY RESOLUTION NO. 15251 — RESOLUTION ADOPTING THE 2021 GENERAL FUND AND DEBT SERVICE FINAL TAX LEVIES Andy Reid, Finance Director, presented before the Council. Mr. Reid noted that with the adoption of Resolution No. 15250 setting the general fund budget, Option 42b, the tax levy will be set at $7,630,779. Motion by Christensen, second by Sebesta, to approve Resolution No. 15251. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Forcier — aye. Motion carried unanimously. 15. APPROVE/DENY 2021 ENTERPRISE FUND BUDGETS (a) Resolution No. 15244 — Resolution Approving 2021 Liquor Fund Budget .19 CITY COUNCIL MINUTES December 22, 2020 (b) Resolution No. 15245 — Resolution Approving 2021 Water Fund Budget Resolution No. 15246 — Resolution Approving 2021 Wastewater Fund Budget �c) d) Resolution No. 15247 — Resolution Approving 2021 Stormwater Fund Budget Resolution No. 15248 — Resolution Approving 2021 Refuse Fund Budget �e) f) Resolution No. 15249 — Resolution Approving 2021 Compost Fund Budget Andy Reid, Finance Director, presented before the Council. Mr. Reid noted that there have been no changes to these budgets since the Truth in Taxation hearing. Significant capital expenditures impacting budgets in 2021 include: Wastewater - $5 million headworks project, $1.2 million SCADA software and system upgrade — the current assumption is to finance $4.2 million of these costs with new debt; Water — $700,000 for SCADA system upgrade; Stormwater - $539,000 to finish connecting the west streets to the Linden Park retention pond; Refuse - $610,000 investment in a new Source Separate process. Motion by Czmowski, second by Sebesta, to approve Resolution Nos. 15244, 15245, 15246, 15247, 15248, 15249. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Forcier — aye. Motion carried unanimously. 16_ APPROVE/DENY RESOLUTION NO. 15252 — RESOLUTION ADOPTING 2021 HRA FINAL TAX LEVY Andy Reid, Finance Director, presented before the Council. Mr. Reid explained that the 2021 statutory levy limit for the HRA is $204,413, however the HRA Board is requesting a lower levy of $200,000. Motion by Cook, second by Sebesta, to approve Resolution No. 15252 in the levy amount of $200,000. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Forcier — aye. Motion carried unanimously. 17. APPROVE/DENY RESOLUTION NO. 15253 — RESOLUTION ADOPTING 2021 EDA FINAL TAX LEVY Andy Reid, Finance Director, presented before the Council. Mr. Reid explained that the 2021 statutory levy limit for the EDA is $200,325, and that is the amount the EDA board is requesting. Motion by Czmowski, second by Christensen, to approve Resolution No. 15253 in the levy amount of $200,325. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Forcier — aye. Motion carried unanimously. 18. APPROVE/DENY FIVE YEAR CAPITAL IMPROVEMENT PLAN Andy Reid, Finance Director, presented before the Council. Mr. Reid explained that the five-year CIP serves as a guide which projects capital expenditures over the next five years by department as well as by potential funding sources. This is a guide and does not give authorization for the projects until formally approved based on the City's purchasing policy. This is a fluid document and is updated on an annual basis. Totals for the 2021 and 2022 CIP are higher than normal due to the new police facility and major improvements needed at the wastewater facility. Council Member Cook asked about the LED lighting project, a storage facility that is planned at the HATS facility and a stormwater pond near Applebee's. Motion by Czmowski, second by Cook, to approve Capital Improvement Plan. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Forcier — aye. Motion carried unanimously. 19. APPROVE/DENY SETTING DATE FOR CITY ADMINISTRATOR ANNUAL PERFORMANCE REVIEW Motion by Czmowski, second by Christensen, to set city administrator's performance review for January 26, 2021, at 4:00 p.m. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Forcier — aye. Motion carried unanimously. 5 CITY COUNCIL MINUTES December 22, 2020 GOVERNANCE (The purpose o t is portion of the agenda is to deal with organizational development issues, including policies, performances, and other matters that manage the logistics of the organization. May include monitoring reports, policy development and governance process items) 20. MINUTES/REPORTS FROM COMMITTEES, BOARDS OR COMMISSIONS �a) Planning Commission Minutes from October 20, 2020 b) Hutchinson Utilities Commission Minutes from October 28, 2020 �c) Hutchinson Housing & Redevelopment Authority Board Minutes from November 17, 2020 d) City of Hutchinson Financial Report and Investment Report for November 2020 MISCELLANEOUS 21. STAFF UPDATES Tom Gifferson — At the request of the mayor, Chief Gifferson provided an overview on pet licensing. He noted that the license fee is $10.00 and all pets within the City of Hutchinson are to be licensed per city ordinance. If the pet is spayed/neutered and/or microchipped, the fee is waived. Chief Gifferson noted that a benefit of having a pet licensed is to aid the police department in finding the owners of lost pets. Chief Gifferson noted that the police department recently received its permit from the DNR to begin turkey harvesting and the intention is to begin doing so within the next week or two. Chief Gifferson also expressed his gratitude to Council Member Steve Cook as he ends his term on the Council. Kent Exner — Mr. Exner also expressed his gratitude to Council Member Cook as well. Marc Sebora — Mr. Sebora thanked Council Member Cook for all of his years of service and wished him the best. Matt Jaunich — Mr. Jaunich acknowledged Council Member Cook's years of service as well as Dolf Moon's, the Director of Parks/Recreation/Community/Education, who is retiring next week after 30+ year. He noted that City offices will be closed at noon on Christmas Eve and all of Christmas Day and New Year's Day. He also reminded the Council of the organizational meeting set for January 4, 2021, at 9:00 a.m. 22. COUNCIL/MAYOR UPDATE All Council Members wished everyone a Merry Christmas and thanked Council Member Cook for all of his years of service and dedication to the City of Hutchinson. Council Member Cook thanked his fellow Council Members and City staff for all for their hard work and dedication to the City as well. ADJOURNMENT Motion by Cook, second by Sebesta, to adjourn at 7:15 p.m. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. rol MINUTES HUTCHINSON CITY COUNCIL SPECIAL ORGANIZATIONAL MEETING MONDAY, JANUARY 4, 2021 - 9:00 A.M. L INSTALLATION OF NEWLY ELECTED CITY COUNCIL MEMBERS: ♦ MAYOR GARY T. FORCIER ♦ COUNCIL MEMBER BRANDON BEGNAUD ♦ COUNCIL MEMBER CHAD CZMOWSKI 2. CALL TO ORDER — 9:00 A.M. Mayor Forcier called the meeting to order. Members present included Mary Christensen, Dave Sebesta, Steve Cook and Chad Czmowski. Others present were Matt Jaunich, City Administrator and Marc Sebora, City Attorney. 3. CONSENT AGENDA (a) RESOLUTIONS 1. RESOLUTION NO. 15263 - Appointing Matthew Jaunich as City Administrator for 2021 2. RESOLUTION NO. 15264 - Designating Official Newspaper as Hutchinson Leader 3. RESOLUTION NO. 15265 - Designating Depositories of City Funds in Commercial Banks and Institutions 4. RESOLUTION NO. 15266 — Resolution Recognizing Steve Cook for His Years of Service as a Council Member to the Residents of Hutchinson Motion by Christensen, second by Sebesta, to approve the Resolutions as presented. Roll call vote was taken: Christensen — aye; Begnaud — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. (b) CONSIDERATION OF 2021 CITY CALENDAR Motion by Czmowski, second by Sebesta, to approve the 2021 City calendar. Roll call vote was taken: Christensen — aye; Begnaud — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. 4. OLD BUSINESS Organizational Meeting Minutes — January 4, 2021 5. NEW BUSINESS (a) Selection of Council's Vice President — Chad Czmowski Motion by Christensen, second by Sebesta, to approve appointing Chad Czmowski as Council Vice President. Roll call vote was taken: Christensen — aye; Cook — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. (b) Designation of Council Representatives to City Boards & Commissions: 1. AIRPORT COMMISSION (one appointment) — Gary Forcier 2. HUTCHINSON ECONOMIC DEVELOPMENT AUTHORITY (EDA) (two appointments) — Chad Czmowski and Mary Christensen 3. HUTCHINSON HOUSING AND REDEVELOPMENT AUTHORITY (HRA) (one appointment) — Gary Forcier 4. LIBRARY BOARD (one appointment) — Mary Christensen 5. PARKS, RECREATION, COMMUNITY EDUCATION ADVISORY BOARD (one appointment) — Chad Czmowski 6. PLANNING COMMISSION (one appointment) — Dave Sebesta 7. PUBLIC ARTS COMMISSION (one appointment) — Brandon Begnaud 8. BICYCLE -PEDESTRIAN ADVISORY COMMITTEE (one appointment) — Brandon Begnaud 9. SUSTAINABILITY BOARD (one appointment) — Brandon Begnaud Motion by Sebesta, second by Forcier, to ratify Mayor's apppointments. Roll call vote was taken: Christensen — aye; Begnaud — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. (c) Designation of Council Representatives to Other Standing Boards/Committees: 1. MID-MINNESOTA COMMISSION (one appointment) — Dave Sebesta 2. JOINT PLANNING BOARD (one appointment) — Dave Sebesta 3. HUTCHINSON DOWNTOWN ASSOCIATION (one appointment) — Gary Forcier 4. FIRE RELIEF ASSOCIATION — Fire Chief Mike Schumann, City Administrator Matthew Jaunich, Mayor Gary Forcier 5. RESOURCE ALLOCATION COMMITTEE (two appointments) — Chad Czmowski and Gary Forcier 6. WAGE COMMITTEE (two appointments) — Dave Sebesta and Brandon Begnaud 7. REGIONAL RADIO BOARD (one appointment) — Dave Sebesta 8. LABOR UNION NEGOTIATION COMMITTEE (two appointments) — Gary Forcier and Mary Christensen 9. MARKETING AND BRANDING COMMITTEE (two appointments) — Mary Christensen and Brandon Begnaud Organizational Meeting Minutes — January 4, 2021 Motion by Christensen, second by Czmowski, to ratify Mayor's appointments. Roll call vote was taken: Christensen — aye; Begnaud — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. (d) Designation of Council Representatives to Other Temporary Committees: I. NEW POLICE FACILITY CORE PLANNING GROUP — Gary Forcier and Mary Christensen 2. LAKES/RIVER BASIN STUDY TECHNICAL ADVISORY PANEL (TAP) — Gary Forcier and Chad Czmowski Motion by Sebesta, second by Christensen, to ratify Mayor's appointments. Roll call vote was taken: Christensen — aye; Begnaud — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. (e) Approve/Deny Purchase of Hutchinson Fire Department Medical/Grass Fire Truck Fire Chief Mike Schumann presented before the Council. Chief Schumann explained that the timeline moved up for this proposed purchase due to state bid timelines. The current Rescue 8 truck is in need of replacement and an internal fire department truck committee has been working on specifications for a new truck for almost two years. The committee is electing to build a truck via individual components to provide the best truck at the best price. The chassis will be purchased using Minnesota state bid pricing. The aluminum utility service body and the ultra -high pressure wildland pump .skid will be installed by a dealer. Final emergency lighting, radios, striping, etc. will be installed by local outfitters. The total project cost is split 50/50 between the city and rural townships. Estimated project completion will be mid-2021 at a maximum total cost of $108,000. Motion by Czmowski, second by Sebesta, to approve purchase of Hutchinson Fire Department medical/grass fire truck. Roll call vote was taken: Christensen — aye; Begnaud — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. 6. MISCELLANEOUS 7. ADJOURNMENT Motion by Czmowski, second by Christensen, to adjourn at 9:25 a.m. Roll call vote was taken: Christensen — aye; Begnaud — aye; Czmowski — aye; Sebesta — aye; Forcier — aye. Motion carried unanimously. c HUTCHINSON CITY COUNCIL HUTCHINSON Request for Board Action A CITY ON PURPOSE. Consideration for Approval of entering into an External Sales Agreement with Tall Agenda Item: Sales Company, Inc. for Creekside Soils' bagged products Department: Creekside LICENSE SECTION Meeting Date: 1/12/2021 Application Complete N/A Contact: Andy Kosek Agenda Item Type: Presenter: Reviewed by Staff ❑� Consent Agenda Time Requested (Minutes): License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: Creekside has utilized a contracted sales agency for the promoting and sale of its bagged products essentially since the facility started producing bagged goods. Since 2004, that agency has been Jeff Meehan Sales, Inc (JMSI). In July of 2017, JMSI had announced that it had merged with Tall Sales Company Inc (TSC). As part of JMSI's transition to TSC, and due to agreement termination clauses, this service has continued to be provided under agreement with JMSI with commission payments continuing to be made to JMSI, until just recently. Staff has been informed that JMSI has been formally dissolved as of January 1, 2021 and it is now time to finalize our contractual transition to TSC. Included with this request is the proposed agreement with TSC as well as the previous agreement that was held with JMSI, for reference. The general scope of the proposed agreement remains the same, however, the structure of the proposed agreement has changed from that of the original JMSI agreement to further define the assignments and requirements of both parties. Commission rates will remain the same from that of the previous agreement. Please note, the service is provided solely as commission based with the annual amount payable varying from year to year depending upon the sales volume for eligible orders in a given year. In the most recent years, payable commissions have ranged from approx $80,000 to $90,000 per year. The initial term of the agreement is for three years with auto renewal each year thereafer. Several parties have reviewed and provided input to this agreement, including TSC staff. Having the opportunity to work with TSC staff for the past two and a half years, it has given staff time to gauge TSC's level of compentency and ability to provide a sales service of Creekside's products. Staff is comfortable and confident that TSC will provide the services as expected and defined. BOARD ACTION REQUESTED: Approve entering into an External Sales Agreement with Tall Sales Company, Inc. Fiscal Impact: Funding Source: FTE Impact: Budget Change: New Bu 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 EXTERNAL SALES AGREEMENT This External Sales Agreement ("Agreement") is entered into effective as of January 121", 2021, between the City of Hutchinson DBA CreekSide Soils ("CreekSide"), a Minnesota municipality with principal offices at 111 Hassan St SE Hutchinson, MN and manufacturing facility at 1500 Adams St SE Hutchinson, MN and Tall Sales Company, Incorporated ("TSC"), a Minnesota corporation with its principal place of business at 6714 Walker St. St Louis Park, MN. CreekSide is in the business of manufacturing soil products, mulch products, and related items. In addition to CreekSide's internal sales activities, Creekside desires to obtain the services of TSC to assist CreekSide in marketing and selling its products as set forth below. 1. RECITALS 1.1 CreekSide is in the business of manufacturing soil products, mulch products and related products for the horticultural industry. 1.2 In addition to internal sales activities, CreekSide desires to obtain the services of TSC to assist CreekSide in marketing and selling its Products as set forth below. 2. DEFINITIONS 2.1 "Products" shall mean those products listed in Exhibit A attached hereto and any such additional products that CreekSide may manufacture. Products may be changed, discontinued or added at any given time with appropriate notice communicated to TSC. TSC shall have the right of first refusal to represent any additional product, including product upgrades and modifications, represented, sold or marketed by CreekSide, upon the same terms as set forth in this Agreement. 2.2 "Territory" means the geographic areas listed on Exhibit B hereto. 3. APPOINTMENT AND AUTHORITY OF TALL SALES COMPANY 3.1 Exclusive Sales Representative. Subject to the terms and conditions herein, CreekSide appoints TSC as CreekSide's exclusive sales representative for the Products in the Territory, and TSC accepts such appointment. 3.2 Independent Contractors. The relationship of Creekside and TSC established by this Agreement is that of an independent contractor, and nothing contained in this Agreement shall be construed to (i) give either party the power to direct and control the day-to-day activities of the other, or (ii) constitute the parties as partners, joint ventures, co -owners or otherwise as participants in a joint undertaking, or (iii) allow TSC to create or assume any obligation on behalf of CreekSide for any purpose whatsoever. All financial and other obligations associated with TSC's business are the sole responsibility of TSC, TSC shall be responsible for, and shall defend, indemnify and hold CreekSide harmless from, any and all Page 1 of 12 claims, damages or lawsuits (including CreekSide's attorney's fees) arising out of acts of TSC, its employees or its agent. 4 COMMISSION 4.1 Sole Compensation. TSC's sole compensation under the terms of this Agreement shall be a commission ("Commission") as provided in Exhibit C hereof on the net sales of all Products ordered, delivered or sold in the Territory. 4.2 Basis of Commission. The Commission shall apply to all orders written and submitted by TSC to CreekSide. Commission shall be computed on the net sales amount invoiced by CreekSide to the customer, provided no commission shall be paid with respect to charges for handling, freight, taxes, C.O.D. charges, insurance, tariffs and duties, cash and trade discounts, uncollected or uncollectible amounts, services, and the like. 4.3 Payment. Commissions shall be subject to all applicable governmental laws, regulations and rulings, including the withholding of taxes. 4.4 Time of Payment. The Commission for a given order shall be earned by TSC when that order is shipped. The Commission on a given order shall be due and payable within 90 days after the end of the calendar month in which CreekSide invoices and ships that order. 4.5 Monthly Statements. CreekSide shall submit to TSC monthly statements of the commission due and payable to TSC under the terms of this Agreement, with reference to the specific orders on invoices on which the commissions are being paid. 4.6 Commission Charge -Back. CreekSide shall have the right, while this Agreement is in effect, to write off as bad debts such overdue customer accounts as it deems advisable after notifying TSC and providing TSC the opportunity to attempt to induce payment. In each such case, CreekSide may charge back to TSC's account only any amounts previously paid to TSC. If such accounts are paid at any time, TSC shall be entitled to the applicable commissions. 4.7 House Accounts. CreekSide may have from time to time house accounts generated through local contracts generated by CreekSide. Local contracts are defined as those customers within a twenty -mile radius of CreekSide, excluding those accounts who are owned by accounts outside, or buy outside of the twenty -mile radius. These house accounts are not part of this agreement and are not subject to a TSC commission payment. 4.8 Private Label Accounts. CreekSide may have from time to time private label accounts generated through its internal solicitations. If such accounts are acquired and TSC has had no involvement in the solicitation thereof, TSC is not entitled to a commission of these sales. Sales of private label accounts that TSC has generated are subject to a commission rate set forth in Exhibit C. Page 2 of 12 S. SALE OF THE PRODUCTS 5.1 Prices and Terms of Sale. CreekSide shall provide TSC with its current pricing programs, its delivery schedules when applicable, and its standard terms and conditions of sale, as established from time to time. TSC shall quote to customers, potential customers and leads only those authorized prices, delivery schedules, and terms and conditions, and shall have no authority to quote or offer any discount to such prices or change any such terms and conditions without written the consent of CreekSide. CreekSide may change the prices, delivery schedules, and terms and conditions provided that it gives TSC at least 30 days prior written notice of any changes; however, such changes shall not affect any orders submitted and accepted by CreekSide. Each order for a Product shall be governed by the prices, delivery schedules, and terms and conditions in the effect at the time the order is accepted, and all quotations by TSC shall contain a statement to that effect. 5.2 Quotations. The parties shall furnish to each other copies of all quotations submitted to customers on all orders that are commissionable. 5.3 Orders. All orders for the Products shall be in writing, and the original shall be submitted to CreekSide. CreekSide shall promptly furnish to TSC informational copies of all commissionable orders sent directly to CreekSide by customers. 5.4 Acceptance. All orders obtained by TSC shall be subject to acceptance by CreekSide at its principal office(s) currently located at the address listed for CreekSide at the beginning of the Agreement, and all quotations by TSC shall contain a statement to that effect. TSC shall have no authority to make any acceptance or delivery commitments to customers. CreekSide specifically reserves the right to reject any order or any part thereof for any reasonable reason. 5.5 Allied Products. CreekSide may purchase Allied products, including but not limited to products listed in Exhibit A, for redistribution to compliment CreekSide's primary products. These products will be sold by TSC and are subject to the commission rates set forth in Exhibit C. At its discretion, CreekSide will maintain an adequate inventory level of said products. CreekSide reserves the right to source Allied products from vendors it so chooses. 5.6 Credit Approval. CreekSide shall have the sole right of credit approval or credit refusal for its customers in all cases. 5.7 Collection. It is expressly understood by TSC that full responsibility for all collection rests with CreekSide, provided that, at CreekSide's request, TSC will provide reasonable assistance in collection of any accounts receivable. 5.8 Product Availability. CreekSide shall not be responsible to TSC or any other party for its failure to fill accepted orders, or for its delay in filling accepted orders, when such failure or delay is due to a cause beyond CreekSide's reasonable control. Page 3 of 12 6. ADDITIONAL OBLIGATIONS OF TALL SALES COMPANY 6.1 Duties. TSC agrees to diligently and faithfully work the exclusive TSC sales territory in an effort to procure and secure business for CreekSide, and use its best efforts and practices to promote and market the Product. Additionally, TSC will cooperate with CreekSide in the development and preparation of sales projections, proposed promotions, proposed discounts and anticipated delivery dates for both CreekSide and related products, this information shall be communicated to CreekSide by July 1" of each year. TSC shall be eligible for commissions only on sales orders it writes. 6.2 Insurance. During the time of this Agreement and any extension thereof, TSC shall have in force its own insurance policies for Commercial General Liability; $1,000,000 combined single limit per occurrence, $2,000,000 annual aggregate, Automobile Liability; $1,000,000 combined single limit per occurrence and Workers' Compensation coverage with coverage in accordance with the statutory requirements of the State of Minnesota and Employer's Liability Coverage with amounts not less than $500,000 for Bodily Injury by Disease per employee; Bodily Injury by Disease aggregate, and Bodily Injury by Accident. TSC shall add CreekSide as an additional insured to its commercial general liability insurance. TSC's policies shall be primary insurance and non-contributory to any other valid and collectible insurance available to CreekSide with respect to any claim arising out of TSC's performance under this agreement. TSC shall annually provide CreekSide a valid Certificate of Insurance indicating the minimum coverage required prior to the existing policy(s) expiring. 6.3 Disclosure of TSC Conflicts/Non-Competition. TSC shall not sell or market any other products of a direct competitor whose product lineup is same or similar to that of Creekside's, including but not limited to bagged soil and mulch products, in the TSC exclusive sales territory of any kind or nature whatsoever without the express written consent of CreekSide. 6.4 Non -Disclosure of CreekSide Information. TSC shall not disclose to any actual or potential CreekSide competitor any product, pricing or manufacturer information of CreekSide products. 6.5 Facilities. TSC shall provide itself with, and be solely responsible for, (i) such facilities, employees, and business organization, and (ii) such permits, licenses, and other forms of clearance from governmental or regulatory agencies, if any, as it deems necessary for the conduct of its business operations in accordance with the Agreement. 6.6 Customer and Sales Reporting. TSC shall, at its own expense, and in a manner consistent with the sales policies of CreekSide: (i) attend applicable trade shows as CreekSide requests; (ii) provide adequate contact with existing and potential customers within the Territory on a regular basis; and (iii) assist CreekSide in assessing customer requirements for the Products. 6.7 Customer Service. TSC shall diligently assist its customer's personnel in using the Products and shall perform such additional customer services as good salesmanship requires and as CreekSide may reasonably request. Page 4 of 12 6.8 Product Complaints. TSC shall promptly investigate and monitor all customer complaints and/or correspondence concerning the use of the Products. TSC shall immediately notify CreekSide of all such complaints and/or correspondence. Any corrective actions executed will be at the expense of CreekSide. 6.9 Expense of Doing Business. TSC shall bear the entire cost and expense of conducting its business in accordance with the terms of this Agreement. 6.10 Representation. TSC shall not make any false or misleading representation to customers or others regarding CreekSide or the Products. TSC shall not make any representations, warranties or guarantees with respect to the specifications, features or capabilities of the Products that are not consistent with CreekSide's documentation accompanying the Products or CreekSide's literature describing the Products. 7. ADDITIONAL OBLIGATIONS OF CREEKSIDE SOILS 7.1 Duties. CreekSide will use its best efforts to perform and provide its products in a timely, fit, merchantable, competent, and marketable manner. TSC may assist CreekSide in these areas but the sole discretion as to marketability and other product standards shall be the decision of CreekSide. CreekSide will protect and promote exclusive TSC customer relationships in the TSC sales territory and may provide support for the sales and marketing efforts of TSC as CreekSide deems best for the promotion of CreekSide products and within a budget for these purposes determined solely by CreekSide. CreekSide reserves the right to invoke a "stop sell" clause due to any natural disaster, accident, pandemic or epidemic, and other circumstances which are beyond the control and without the fault or negligence of CreekSide and which by the exercise of reasonable diligence CreekSide is unable to prevent, that renders the manufacturing of CreekSide products impossible or commercially impracticable. 7.2 Regulatory Approvals. CreekSide shall be responsible for obtaining any approvals, licenses, and permits necessary to distribute the Products into specific states within the sales Territory. 7.3 Materials. CreekSide shall provide TSC with marketing and technical information concerning the Products as well as reasonable quantities of brochures, sell sheets, advertising literature, demonstration product samples, and other Product data at no charge. 7.4 Technical and Sales Support. CreekSide shall provide a reasonable level of marketing and technical support to TSC and its representatives. CreekSide shall use its best efforts to support TSC's sales and marketing activities. 7.5 Delivery Time. CreekSide shall use its best efforts to fulfill delivery obligations as committed in acceptances. 7.6 New Developments. CreekSide shall promptly inform TSC of new product developments relating to the Products. Page 5 of 12 8. TRADEMARKS During the term of the Agreement, TSC shall have the right to indicate to the public that it is an authorized representative of the Products and to advertise such Products under the trademarks, marks, and trade names that CreekSide may adopt from time to time ("Trademarks"). TSC shall not alter or remove any Trademark applied to the Products. Except as set forth in the Article 7, nothing contained in this Agreement shall grant to TSC any right, title or interest in the Trademarks. 9. CONFIDENTIAL INFORMATION TSC acknowledges that by reason of its relationship to CreekSide hereunder it will have access to certain information and materials concerning CreekSide's technology and products that are confidential and of substantial value to CreekSide, which value would be impaired if such information were disclosed to third parties. TSC agrees that it will not use in any way for its own account or the account of any third party, nor disclose to any third party, any such confidential information revealed to it in written or other tangible form or orally, identified as confidential, by CreekSide without the prior written consent of CreekSide. TSC shall take every reasonable precaution to protect the confidentiality of such information. Upon request by TSC, CreekSide shall advise whether or not it considers any particular information or materials to be confidential. In the event of termination of this Agreement, there shall be no use or disclosure by TSC of any confidential information of CreekSide, and TSC shall not manufacture or have manufactured any devices, components or assemblies utilizing any of CreekSide's confidential information. This section shall not apply to any confidential information which is or becomes generally known and available in the public domain through no fault of TSC. 10. INDEMNIFICATION CreekSide shall be solely responsible for the design, development, supply, production and performance of its products and the protection of its trade names. CreekSide agrees to indemnify, hold TSC harmless against and pay all losses, costs, damages or expenses, whatsoever, including reasonable counsel fees, which TSC may sustain or incur on account of infringement or alleged infringements of trademarks, trade names resulting from the sale of CreekSide's products, or arising on account of warranty claims, negligence claims, product liability claims or similar claims by third parties. TSC shall promptly deliver to CreekSide any notices or papers served upon it in any proceeding covered by this Indemnification Agreement, and CreekSide shall defend such litigation at its expense. TSC shall, however, have the right to participate in the defense at its own expense unless there is a conflict of interest, in which case, TSC shall indemnify CreekSide for the expenses of such defense including counsel fees. Upon request, CreekSide shall provide TSC with a certificate of insurance evidencing CreekSide's coverage for general liability, automobile and workers compensation. This provision shall survive and remain in full force and effect after the termination or non -renewal of this Agreement. Under no circumstances, shall CreekSide be required to indemnify TSC for claims arising from TSC's negligence or intentional misconduct. CreekSide does not waive any immunities or other tort protections it is entitled to under Minnesota Statutes, Chapter 466. Page 6 of 12 11. TERM AND TERMINATION 11.1 Term. This Agreement shall continue in full force and effect for a period of three (3) years from the date above, unless terminated earlier under the provisions of this Agreement. Unless notice is given by either party 120 days prior to the expiration of this initial three-year term, the agreement will renew for an additional one-year term. Thereafter, this Agreement shall be renewed automatically for an extension of one (1) year unless a party gives the other a 120 days' notice of nonrenewal prior to the expiration of any one-year extension of this contract. CreekSide shall not for the duration of the Agreement or for one full year after termination thereof engage, hire, or employ TSC's sub agents, sales persons, employees, representatives, or agents unless otherwise agreed to in writing by TSC. Such sub agents, sales persons, employees, representatives, or agents shall be identified to CreekSide at the end of non - renewal of this agreement. At any time after January 121", 2022, either party may serve upon the other a notice to terminate this agreement. The notice shall state the date the agreement will terminate but such date shall not be sooner than 120 days after receipt of the notice of agreement termination by the receiving party. 11.2 Termination. This Agreement may be terminated as follows: 11.2.1 By either party if the other party becomes insolvent or bankrupt, or files a voluntary petition in bankruptcy, or has filed for an involuntary petition in bankruptcy (unless such involuntary petition is withdrawn or dismissed within ten days after filing) in which event termination may be immediate upon notice; or 11.2.2 By either party if the other party fails to cure any breach of a material covenant, commitment or obligation under this Agreement, within 30 days after receipt of written notice specifically setting forth the breach from the other party; or 11.2.3 By either party if the other party is convicted or pleads to a crime or an act of fraud that materially impacts on its performance or its fiduciary duties hereunder, in which event termination may be immediate upon notice; or 11.2.4 By either party if the other party changes ownership, merges with, or operates under a different company name than that of the company name listed within this Agreement. 11.3 Return of Materials. All confidential Information and other property belonging to CreekSide shall remain the property of CreekSide and will be immediately returned by TSC upon termination. TSC shall not make or retain any copies of any Confidential Information that may have been entrusted to it. 12. MISCELLANEOUS 12.1 Notices. Any notice required or permitted by this Agreement shall be in writing and shall be sent by prepaid registered or certified mail, return receipt requested, addressed to the other Page 7 of 12 party at the address shown above or at such other address for which such party gives notice hereunder. Such notice shall be deemed to have been given 3 days after deposit in the mail. 12.2 Remedies. This Agreement in its entirety recognizes and will be subject to Minnesota Statute 325E.37 and 181.145. TSC and CreekSide hereby agree that its sole remedy for claims or causes of action arising from this Agreement shall be to submit those claims or causes of action to arbitration as prescribed in Minnesota Statute 325E.37 12.3 Assignment. The parties may not assign or transfer this Agreement or any of its rights and obligations under this Agreement without the prior written consent of the other party. 12.4 Property Rights. TSC agrees that CreekSide owns all rights, title, and interest in the product lines that include the Products and in all of CreekSide's trademarks, trade names, copyrights, know-how, and trade secrets relating to the design, manufacture, and performance of the Products. The use by TSC of any of these property rights is authorized only for the purpose herein set forth, and upon termination of this Agreement for any reason such authorization shall cease. 12.5 Modification; Waiver. This Agreement may not be altered, amended or modified in any way except by a writing signed by both parties. The failure of a party to enforce any provision of the Agreement shall not be construed to be a waiver of the right of such party to thereafter enforce that provision or any other provision or right. 12.6 Entire Agreement. This Agreement and the exhibits hereto represent and constitute the entire agreement between the parties, and supersedes and merges all prior negotiations, agreements and understandings, oral, or written, with respect to any and all matters between TSC and CreekSide. City of Hutchinson/CreekSide Soils Gary Forcier, Mayor Matt Jaunich, City Administrator City of Hutchinson DBA CreekSide Soils 111 Hassan St. SE Hutchinson, MN 55350 Phone (320) 587-5151 Tall Sales Company, Inc. Jeff Selleck, CEO Tall Sales Company, Inc. 6714 Walker St. St. Louis Park, MN 55426 Phone (952) 836-2300 Page 8 of 12 FXNIRIT A LIST OF PRODUCTS a � ew (eve TM d d by CreeKgide' Product Name UPC# 1 CF 100% Compsoted Manure 8 12754 00550 3 1 CF Professional Planting Mix 8 12754 005510 1 CF Professional Garden Soil 8 12754 00552 7 1 CF Professional Container Mix Plus 8 12754 00553 4 1 CF Supreme Gardener's Mix 8 12754 00554 1 1 CF Professional Potting Mix 8 12754 00555 8 CREEKSIp f Product Name UPC# 201b Premium Potting Soil 8 12754 00360 8 401b Premium Potting Soil 8 12754 00352 3 401b Premium Topsoil 8 12754 00350 9 401b Premiuim Compost 8 12754 00353 0 401b Premium Compost w/Manure 8 12754 00354 7 2 CF Red Hardwood Mulch 8 12754 00375 2 2 CF Gold Hardwood Mulch 8 12754 00365 3 2CF Brown Hardwood Mulch 8 12754 00385 1 2 CF Natural Hardwood Mulch 8 12754 00355 4 .5 CF Washed Sand 8 12754 003615 401b Premium Garden Soil 8 12754 00362 2 Page 9 of 12 EXHIBIT A (cont.) Product Name UPC# 201b All Purpose Potting Soil 8 12754 007217 .75 CF All Purpose Potting Soil 8 12754 007118 .75 CF Compost w/Manure 8 12754 00714 9 .75 CF All Purpose Topsoil 8 12754 00712 5 75 CF Peat Select 8 12754 00715 6 ALLIED PRODUCTS Including but not limited to: Product Name UPC# 2 CF Small Nuggets (1/2" to 1") Will vary from vendor to vendor 2 CF Medium Nuggets (1" to 2 1/4") Will vary from vendor to vendor 2 CF Large Nuggets (2 1/4" to 3 3/4") Will vary from vendor to vendor 2 CF Shredded Red Cedar Mulch Will vary from vendor to vendor 2 CF Red Cedar Chips Will vary from vendor to vendor 2 CF Cypress Mulch Will vary from vendor to vendor Page 10 of 12 EXHIBIT B TERRITURY TSC is encouraged to sell all Products in all 50 states but has exclusive rights to sell the Products specifically in Minnesota, Iowa, Wisconsin, Michigan, North Dakota and South Dakota. WA MT OR ID WY N V UT CA CO e° AZ NM AK 0 oa Q O HI 0 yr ME ND MN NH SD WI NY MA CT RI NE PA NJ OH DE IL IN WV VA MD KS MO KY DC NC TN OK AR SC Specific Sales Temtory MS AL GA TX LA Page 11 of 12 FL FXNIRIT r COMMISSION SCHEDULE Base Sales Commission- • 7% commission for all WonderBlend trademark product sales • 5% commission for all CreekSide trademark product sales • 5% commission for all SplendorGro trademark product sales, except; o 3% commission for SplendorGro trademark products sold to major retailers aka "Big Box" stores. (i.e. Wal-Mart, Menard's, Home Depot, Lowe's, Fleet Farm, etc.) • 3% commission for all Allied product sales • 7% commission for Private Labeled products not sold through a Distributor o Private Label commission rates may be negotiated from time to time in order to procure or maintain business with specific customers. • 5% commission for Private Labeled products sold through a Distributor o Private Label commission rates may be negotiated from time to time in order to procure or maintain business with specific customers. • 5% commission for all Gerten's Green Loon Private Label products • Private Label sales not procured and/or generated by TSC or its representatives are not subject to a commission. Page 12 of 12 Outside Sales Agreement This agreement entered into on the 1 st day of June, 2009, by and between CreekSide Soils/City of Hutchinson, Minnesota ("CreekSide"), a Minnesota municipality and Jeff Meehan Sales, Incorporated ("JMSI"), a Minnesota corporation. CreekSide is in the business of soil products, mulch products, and related items. In addition to CreekSide's inside sales activities, Creekside desires to obtain the services of JMSI to assist CreekSide in marketing and selling its products as set forth below. Product and Sales Territory. JMSI is encouraged to sell all of Creekside's products and has exclusive rights to sell the items listed in Addendum "A" in Minnesota, Wisconsin, Iowa, North Dakota and South Dakota. Disclosure of JMSI Conflicts/Non Competition. JMSI shall not sell or market any other products of a direct competitor of Creekside in the JMSI exclusive sales territory of any kind or nature whatsoever without the express written consent of CreekSide. Non -Disclosure of CreekSide Information. JMSI shall not disclose to any actual or potential CreekSide competitor any product, pricing or manufacturer information of CreekSide products. Duties of JMSI. JMSI agrees to diligently and faithfully work the exclusive JMSI sales territory in an effort to secure business for CreekSide, and use its best efforts to promote and market CreekSide's products. Additionally, JMSI will cooperate with CreekSide in the development and preparation of a formalized yearly sales and marketing plan, including sales projections, proposed discounts and anticipated delivery dates for each CreekSide and related products. The marketing plan shall be submitted to CreekSide by July 1 of each year. JMSI and CreekSide agree to mutually cooperate to develop procedures for the purposes of accounting for sales of CreekSide products as well as developing the basis for the payment of commissions. JMSI shall be eligible for commissions only on sales orders it writes. Duties of CreekSide. CreekSide will use its best efforts to perform and provide its products in a timely, fit, merchantable, workmanlike, and marketable manner. JMSI may assist CreekSide in these areas but the sole discretion as to marketability and other product standards shall be the decision of CreekSide. CreekSide will protect and promote exclusive JMSI customer relationships in the JMSI sales territory and may provide support for the sales and marketing efforts of JMSI as CreekSide deems best for the promotion of CreekSide products and within a budget for these purposes determined solely by CreekSide. CreekSide reserves the right to invoke a "stop sell" clause due to any natural disaster or accident which renders the manufacturing of CreekSide products impossible. Relationship Created. The relationship between CreekSide and JMSI is that of an independent contractor. No relationship of employer -employee or joint venture is created by this document. CreekSide has contracted with JMSI only to be its outside sales and marketing representative in the states listed above. JMSI has no control, input or interest over CreekSide's business organization and activities (including custom bagging projects or the sales of products not using Creekside trademarks, i.e. "private label" sales) except with regard to orders it develops and consummates for CreekSide. Liability. CreekSide shall hold JMSI harmless from and against JMSI for all liability, loss, costs, expenses or damages caused by reason of any products (whether or not defective), or any act or omission of CreekSide, including but not limited to any injury (bodily, property, personal, business character, reputation), sustained by any person or to any person or to property, and for infringement of any patent rights or other rights of third parties, and for any violation of municipal, state, or federal laws governing the products or their sale. JMSI recognizes that production capabilities of CreekSide and availability of its products are finite and that JMSI is solely responsible for representations made to customers, should those representations be in conflict with information presented to JMSI by CreekSide. Insurance. During the time of this agreement and any extensions thereof, JMSI shall have in force its own insurance policies for workers compensation, automobile liability, and property damage with coverage amounts not less than $300,000 per person or $500,000 per occurrence. Allied Products. Allied products are the following miscellaneous products which JMSI may offer to customers to complement Creekside's main products: Small Nuggets Medium Nuggets Large Nuggets Shredded Red Cedar Mini Bark Pebbles Shredded Walk-on bark Cypress Mulch Peat These products will be sold by JMSI exclusively and JMSI shall be paid a 3% commission on all net sales of allied products. House Accounts. CreekSide may have from time to time house accounts generated through local contracts generated by CreekSide. Local contracts are defined as those customers within a twenty -mile radius of CreekSide, excluding those accounts who are owned by accounts outside, or buy outside of the twenty mile radius. These house accounts are not part of this agreement. Base Commission. The base commissions payable by CreekSide to JMSI shall be: 7% commission on Wonderblend trademark products 5% commission Creekside trademark products 5% commission on SplenderGRO trademark products 7% commission on private -labeled products NOT going through a distributor ( i.e. Bachrnans, Gertens, Linders) or 5% for private -labeled products going through a distributor (i.e. Bachmans, Gertens, Linders) 3% commission on SplenderGRO products going through Big Box stores (i.e. WalMart, Menard's) except for existing current account with United Hardware $0.50 per cubic yard on bulk products The actual amount of commission will be computed on the net amount of each invoice for a complete or partial order excluding freight/transportation costs, including insurance. All commissions earned shall be due and payable not later than the 15Ih of the month following customer payment to CreekSide. JMSI is not entitled to any commission for sales of CreekSide products which are not the result of leads or sales contracts developed by JMSI. JMSI shall not be entitled to any commission as a result of sales at industry shows, exhibitions or presentations which orders have not been written by JMSI. Additional Commission Incentive. As an additional sales incentive for sales written by JMSI, CreekSide will pay additional commissions to JMSI as follows: Year 1 /2% upon meeting the threshold of 1,000,000 bags paid on net sales (including Allied products) I% of net sales for sales of 1,000,000 to 1,100,000 bags of CreekSide products 1.5% of net sales for sales of 1,100,000 to 1,200,000 bags of CreekSide products 2% of net sales for sales of over 1,200,000 bags of CreekSide products Year 2 '/z% upon meeting the threshold of 1,050,000 bags paid on net sales 1% of net sales for sales of 1,050,000 to 1,150,000 bags of CreekSide products 1.5% of net sales for sales of 1,150,000 to 1,250,000 bags of CreekSide products 2% of net sales for sales of over 1,250,000 bags of CreekSide products Year 3 ``/z% upon meeting the threshold of 1,100,000 bags paid on net sales 1 % of net sales for sales of 1,100,000 to 1,200,000 bags of CreekSide products 1.5% of net sales for sales of 1,200,000 to 1,300,000 bags of CreekSide products 2% of net sales for sales of over 1,300,000 bags of CreekSide products The amount will be computed on the basis of the sales year, which runs from September 1 — August 31 of each year. This incentive will begin September 1, 2009. Term. This sales agreement will commence on June 1, 2009, and will continue in full force and effect for a period of three years. There will be an automatic renewal extension of one year following the three-year term and each year after unless CreekSide notifies JMSI in writing at least 120 days prior to the date of termination. CreekSide shall not far the duration of this sales agreement or for one full year after termination thereof engage, hire, or employ JMSI's sub agents, sales persons, employees, representatives, or agents unless otherwise agreed to in writing by JMSI. Such sub agents, sales persons, employees, representatives, or agents shall be identified to CreekSide at the end of non -renewal of this agreement. At any time after June 1, 2010, either party may serve upon the other a notice to terminate this agreement. The notice shall state the date the contract will terminate but such date shall not be sooner than 90 days after receipt of the notice of contract termination by the receiving party. Remedies. This entire agreement recognizes and will be subject to Minnesota Statute 325E.37 and 181.145 (Addendums B&C). JMSI and CreekSide hereby agree that its sole remedy for claims or causes of action arising from this agreement shall be to submit those claims or causes of action to arbitration as prescribed in Minnesota Statute 325E.37. CreekSide Soils/City of Hutchinson, MN Steven W. Cook, Mayor Gary D. Plotz, City Administrator 111 Hassan St. SE Hutchinson, MN 55350. Phone (320) 587-5151 Fax (320) 234-4240. Jeff Meehan Sales, Incorporated Jeffrey C. Meehan, CEO Jeff Meehan Sales, Incorporated 2924 Anthony Lane North — Suite 104 Minneapolis, MN 55420 Phone (612) 788-4757 Fax (612) 788-1737 JMSI/CREEKSIDE SOILS ADDENDUM "A" PRODUCT LISTING 1.) CreekSide Brand Bagged Products 2.) Products to Bachmans, Linders, and Gertens (Includes Bulk Formulations) 3.) Products to United Hardware 4.) "Allied Products" as described on page 2 of the agreement 5.) WonderBlend HUTCHINSON CITY COUNCIL ci=wof Request for Board Action 7AL =- M-7 Agenda Item: Wheel loader, Purchase Order #020109 Department: PW/Eng LICENSE SECTION Meeting Date: 1/12/2021 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: The City currently owns a 2001 Case 612C wheel loader. It is used primarily for snow removal and street maintenance, but also performs other work at various municipal facilities. The current wheel loader has approximately 5,100 hours on it. This is the oldest of the three loaders in our fleet. We intend to match existing wheel loaders and configurations we already own. $159,310 2021 Case 621G wheel loader $ 49,372 Falls wing/plow & couplers $ 250 Delivery $208,932 Total The trade value was estimated at $32,000. Public Works staff believes it is in the best interest of the City to auction the existing wheel loader/snow equipment. In consultation with Fahey Sales, it appears likely the City would meet or exceed $32,000 from the sale. BOARD ACTION REQUESTED: Approve purchase order #020109 to Titan Machinery for acquisition of a 2021 Case 621 G w/ snow equipment for $ $208,932. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: Yes PROJECT SECTION: Total Project Cost: $ 208,932.00 Total City Cost: $ 208,932.00 Funding Source: Vehicle/Equipment replacement fund Remaining Cost: $ 0.00 Funding Source: TITAN MACHINERY 6340 Hwy 101 Shakopee Mn 55379 City of Hutchinson Attn John Olson Hutchinson MN Reference: Quotation DATE 9/15/2020 Tim Pittman Field Marketer Tim othv. oittman(@titanmachinerv.com 612-708-4578 - Mobile 952-445-5400 - Office 952-445-0365 - Fax Quantity Description Total 1 2021 Case 621G Wheel Loader $ 138,298.00 Cab w/ Heat and AC std Enhanced Cab Comfort (heated air seat, radio, sound supression) $ 836.00 Full Coverage Fenders w/ steps $ 640.00 Enhanced visibilty bundle (rear camera, LED Lights, heated Mirrors) $ 1,634.00 4 speed Transmission std Limited Slip Differentials front and rear std Cooling system w/ reversing Fan std Cold Weather Package std Ejector type precleaner $ 255.00 Michelin Tire Brand Preference $ 1,650.00 20.5x25 Michelin Snow Plus $ 6,740.00 Joystick w/ 2 auxilary functions $ 747.00 Ride Control std ACS style Pro 2000 coupler and 3 yd bucket w/ BOE $ 8,510.00 Falls Snow Plow PKG 12' REV plow, 10' Wing, Hyd Push, Falls hyd $ 46,042.00 Stuchi/Faster Hyd quick coupler System $ 3,330.00 sub total $ 208,682.00 3 yr 2000 hour Warranty and Pro Care Maintanence Plan Delivery per State Contract $ 250.00 Less 2001 Case 621 C #447 aprox 5050hrs $ (32,000.00) All Pricing per State Contract Expiring 11/30/2021 TOTAL $ 176,932.00 PLUS TAX If you have any questions concerning this quotation, please contact me at the number noted above. Approved By: Tim Pittman THANK YOU FOR YOUR BUSINESS! HUTCHINSON CITY COUNCIL ci=wof Request for Board Action 7AL =- M-7 Agenda Item: Items for Wastewater Treatment Facility Headworks Improvements (1-3/P21-03) Department: PW/Eng LICENSE SECTION Meeting Date: 1/12/2021 Application Complete N/A Contact: Kent Exner Agenda Item Type: Presenter: Kent Exner Reviewed by Staff ❑ Consent Agenda Time Requested (Minutes): 0 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: City staff requests that the City Council approve the appropriate Resolutions to set a Public Hearing for the above referenced project letting during their January 26th meeting. Please note that City staff will be communicating project related scope, schedule and estimated cost information during the upcoming hearing. BOARD ACTION REQUESTED: Approval of Resolutions Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: Yes PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: RESOLUTION NO. 15269 RESOLUTION ORDERING PREPARATION OF REPORT ON IMPROVEMENT LETTING NO. 3/PROJECT NO. 21-03 WHEREAS, it is proposed to improve: Wastewater Treatment Facility (WWTF) Headworks Improvements Project: Procurement and construction of forcemains, pumps, drum screens, grit removal system, splitter box, process mechanical upgrades, structural improvements, electrical implementations and appurtenances. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA: THAT, the proposed improvement, called Letting No. 3/Project No. 21-03, be referred to the Engineer for study and that that person is instructed to report to the Council with all convenient speed advising the Council in a preliminary way as to whether the proposed improvement is necessary, cost-effective, and feasible; whether it should best be made as proposed or in connection with some other improvement and the estimated cost of the improvement as recommended. Adopted by the Council this 12th day of January 2021. Mayor: Gary Forcier City Administrator: Matthew Jaunich RESOLUTION NO. 15270 RESOLUTION RECEIVING REPORT AND CALLING HEARING ON IMPROVEMENT LETTING NO. 3/PROJECT NO. 21-03 WHEREAS, pursuant to a resolution of the Council adopted January 12, 2021, a report has been prepared by Kent Exner, Public Works Director/City Engineer with reference to the following proposed improvements: Wastewater Treatment Facility (WWTF) Headworks Improvements Project: Procurement and construction of forcemains, pumps, drum screens, grit removal system, splitter box, process mechanical upgrades, structural improvements, electrical implementations and appurtenances, and said report was received by the Council on January 12, 2021, and WHEREAS, the report provides information regarding whether the proposed improvement is necessary, cost-effective, and feasible; whether it should best be made as proposed or in connection with some other improvement; the estimated cost of the improvement as recommended; and a description of the methodology used to calculate individual assessments for affected parcels. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA: 1. The Council will consider the improvements of such street(s) in accordance with the report and at an estimated total cost of the project of $5,297,467.00. 2. A public hearing shall be held on such proposed improvement on the 26th day of January 2021, at the Hutchinson City Center at 6:00 PM and the Clerk shall give mailed and published notice of such hearing and improvement as required by law. Adopted by the Hutchinson City Council this 12th day of January 2021. Mayor: Gary Forcier City Administrator: Matthew Jaunich HUTCHINSON PUBLIC WORKS/ENGINEERING DEPARTMENT Hutchinson City Center/111 Hassan St SE/Hutchinson MN 55350-2522/320-234-4209/FAX 320-234-4240 ENGINEERING REPORT & FEASIBILITY STUDY TO: Mayor & City Council FROM: Kent Exner, DPW/City Engineer DATE: January 12, 2021 SUBJECT: Letting No. 3/Project No. 21-03 I have studied the following proposed improvements and find that the proposed project is feasible and recommend it be constructed: L3/P21-03 Wastewater Treatment Facility (WWTF) Headworks Improvements Project: Procurement and construction of forcemains, pumps, drum screens, grit removal system, splitter box, process mechanical upgrades, structural improvements, electrical implementations and appurtenances. ESTIMATED COST TOTAL Construction Cost $5,000,000 Engineering $297,467 Administration $0 ESTIMATED TOTAL $5,297,467 ESTIMATED FUNDING TOTAL Assessable Costs $0 State Aid $0 City - Bonding $4,200,000 City - Water Funds $0 City - Wastewater Funds $1,097,467 City - Stormwater Funds $0 ESTIMATED TOTAL $5,297,467 PUBLICATION NO. 8399 NOTICE OF HEARING ON IMPROVEMENT LETTING NO. 3/PROJECT NO. 21-03 (L3P21-03) TO WHOM IT MAY CONCERN: Notice is hereby given that the City Council of Hutchinson, Minnesota, will meet in the Council Chambers at the Hutchinson City Center, 111 Hassan St SE, Hutchinson, MN, at 6:00 pm on the 26th day of January 2021, to consider the making of an improvement of Letting No. 3/Project No. 21-03, an improvement of: Wastewater Treatment Facility (WWTF) Headworks Improvements Project: Procurement and construction of forcemains, pumps, drum screens, grit removal system, splitter box, process mechanical upgrades, structural improvements, electrical implementations and appurtenances. The estimated City cost of said improvement is $5,297,467.00. Such persons as desire to be heard with reference to the proposed improvement will be heard at this meeting. Dated: 01 /12/2021 Matthew Jaunich, City Administrator PUBLISHED IN THE HUTCHINSON LEADER ON WEDNESDAY, JAUNUARY 13, 2021 AND ON WEDNESDAY, JANUARY 20, 2021. CHECK REGISTER A FOR CITY OF HUTCHINSON CHECK DATE FROM 12/23/20 - 01/12/21 Check Date ------18/2--- 0--2- 0--- 12/T90 Check ----EFT1---366---- Vendor Name EF------PS -------------------------------------------------------- Description 1--2/12/2------------------------------------------------------------------ -P-a r-Y -oll------ll/2-----/20-------- Amount 6__5_,_0_4__5 --- 3-6-- 12/18/2020 EFT1367 Child Support Payroll 11/29/20 - 12/12/20 577.29 12/18/2020 EFT1368 MN Dept of Revenue Payroll 11/29/20 - 12/12/20 12,728.51 12/18/2020 EFT1369 Provident Life Payroll 11/29/20 - 12/12/20 591.76 12/18/2020 EFT1370 PERA Payroll 11/29/20 - 12/12/20 54,443.81 12/18/2020 EFT1371 TASC-Flex Payroll 11/29/20 - 12/12/20 1,493.05 12/18/2020 EFT1372 TASC-H S A Payroll 11/29/20 - 12/12/20 13,082.82 12/18/2020 EFT1373 ICMA Payroll 11/29/20 - 12/12/20 3,308.52 12/18/2020 EFT1374 VOYA Payroll 11/29/20 - 12/12/20 330.00 12/18/2020 EFT1375 MNDCP Payroll 11/29/20 - 12/12/20 350.00 12/18/2020 213617 M NPEA Payroll 11/29/20 - 12/12/20 585.00 12/18/2020 213618 Unum Life Insurance Payroll 11/29/20 - 12/12/20 1,250.17 12/18/2020 213619 United Way Payroll 11/29/20 - 12/12/20 1,104.00 12/18/2020 213620 LELS Payroll 11/29/20 - 12/12/20 310.00 12/18/2020 213621 HART Payroll 11/29/20 - 12/12/20 469.77 12/31/2020 213622 HART Payroll 12/13/20 - 12/26/20 469.77 12/31/2020 EFT1376 EFTPS Payroll 12/13/20 - 12/26/20 70,476.51 12/31/2020 EFT1377 Child Support Payroll 12/13/20 - 12/26/20 577.29 12/31/2020 EFT1378 MN Dept of Revenue Payroll 12/13/20 - 12/26/20 13,857.96 12/31/2020 EFT1379 PERA Payroll 12/13/20 - 12/26/20 53,286.21 12/31/2020 EFT1380 ICMA Payroll 12/13/20 - 12/26/20 2,308.52 12/31/2020 EFT1381 VOYA Payroll 12/13/20 - 12/26/20 330.00 12/31/2020 EFT1382 MNDCP Payroll 12/13/20 - 12/26/20 350.00 01/04/2021 213623 ARTHUR J GALLAGHER RISK INSURANCE BROKER FEE 1/1- 3/31-21 3,500.00 01/04/2021 213624 LEAGUE OF MN CITIES -INS TRUST INSURANCE PREMIUMS 1/1- 3/31-21 66,454.00 01/04/2021 213625 MEDICA JANUARY MEDICAL INSURANCE 145,940.40 01/04/2021 213626 MINNESOTA SAFETY COUNCIL 2021MEMBERSHIP DUES - SAFETY COMMITTEE 580.00 01/04/2021 213627 UNUM LIFE INSURANCE CO OF AMERICA JANUARY LIFE INSURANCE 2,858.28 01/12/2021 213628 ACE HARDWARE- 1315 REPAIR & MAINT SUPPLIES- MULTIPLE DEPTS 747.72 01/12/2021 213629 ACE HARDWARE- 1790 REPAIR & MAINTSUPPLIES- FIRE DEPT 342.40 01/12/2021 213630 ACE HARDWARE - 1825 REPAIR & MAINT SUPPLIES - POLICE 22.76 01/12/2021 213631 ADVANCED ENGINEERING & ENVIRONMENTA WWTF & WTP SCADA ASST SERVICES 14,648.54 01/12/2021 213632 AEM MECHANICAL SERVICES INC REPAIR INFRARED HEATERS -AIRPORT 1,493.32 01/12/2021 213633 AHLGREN ELECTRIC VARIOUS REPAIRS - MULTIPLE PARKS LOCATIONS 2,969.50 01/12/2021 213634 ALPHA WIRELESS JAN MAINT ON RADIO EQUIP- PD 794.75 01/12/2021 213635 AMERICAN BOTTLING CO COST OF GOODS SOLD - LIQUOR HUTCH 105.60 01/12/2021 213636 ANDERSON, SHARON REFUND DUE TO COVID - REC 180.00 01/12/2021 213637 ANIMAL MEDICAL CENTER ON CROW RIVER DEC PROCESS/BOARDING FEES - POLICE 232.00 01/12/2021 213638 APPLEBEE'S NIEGHBORHOOD GRILL & BAR REFUND: 1/2 2021 LIQUOR LICENSE 1,062.50 01/12/2021 213639 ARAMARK UNIFORM & CAREER APPAREL GR 12/14 SERVICE & SUPPLIES - LIQUOR HUTCH 302.69 01/12/2021 213640 ARTISAN BEER COMPANY COST OF GOODS SOLD - LIQUOR HUTCH 1,311.08 01/12/2021 213641 ASSOC OF TRAINING OFFICERS - ATOM 2021 MEMBERSHIP RENEWAL: TGIFFERSON - PD 250.00 01/12/2021 213642 ATS TARGETS ELECTRIC TARGET SYSTEM - POLICE 16,995.00 01/12/2021 213643 AUTO VALUE - GLENCOE EQUIPMENT PARTS - HATS 719.37 01/12/2021 213644 BELLBOY CORP COST OF GOODS SOLD - LIQUOR HUTCH 9,536.09 01/12/2021 213645 BENTZ, ANDREW REIMB: SAFETY FOOTWEAR - PARKS 149.99 01/12/2021 213646 BERNICK'S COST OF GOODS SOLD - LIQUOR HUTCH 441.06 01/12/2021 213647 BEST, TAYLOR UB refund for account: 3-125-0450-1-04 119.52 01/12/2021 213648 BETTER HALF EMBROIDERY CAPS & EMBROIDERY- BLDG 14.90 01/12/2021 213649 BLACK, TOM UB refund for account: 1-295-0150-5-00 5.68 01/12/2021 213650 BLUE NOTE OF WINSTED, INC REFUND: 1/2 2021 LIQUOR LICENSE 150.00 01/12/2021 213651 BOBBING BOBBER BREWING COMPANY LLC REFUND: 1/2 2021 LIQUOR LICENSE 550.00 01/12/2021 213652 BOND TRUST SERVICES CORPORATION 2021 PAYING AGENT FEES 1,525.00 01/12/2021 213653 BREAKTHRU BEVERAGE COST OF GOODS SOLD - LIQUOR HUTCH 18,272.49 01/12/2021 213654 BRYAN ROCK PRODUCTS RED BALL DIAMOND - PARKS 1,719.86 01/12/2021 213655 BUFFALO CREEK ENTERPRISES COST OF GOODS SOLD - LIQUOR HUTCH 127.56 01/12/2021 213656 BUFFALO WILD WINGS REFUND: 1/2 2021 LIQUOR LICENSE 1,062.50 01/12/2021 213657 BUREAU OF CRIM. APPREHENSION CJDN ACCESS FEES OCT - DEC 2020 - POLICE 390.00 01/12/2021 213658 C & L DISTRIBUTING COST OF GOODS SOLD - LIQUOR HUTCH 47,172.55 01/12/2021 213659 CARLOS CREEK WINERY COST OF GOODS SOLD - LIQUOR HUTCH 873.00 01/12/2021 213660 CASH WISE FOODS REFUND: 1/2 2021 LIQUOR LICENSE 150.00 01/12/2021 213661 CENTRAL HYDRAULICS PIGS TAIL SERVICE PLUGS - HATS 79.00 CHECK REGISTER A FOR CITY OF HUTCHINSON CHECK DATE FROM 12/23/20 - 01/12/21 Check Date i-1------------ 01/12/2021 'Hi Check -- --- --- ----- 213662 Vendor Name --------------------------------------------------------------- CHEMISOLV CORP Description --------------------------------------------------------------------------------------------------------- FERRIC CHLORIDE -WWTP Amount 5,l1196 01/12/2021 213663 CINTAS CORPORATION SUPPLIES - MULTIPLEDEPTS 327.54 01/12/2021 213664 CORE & MAIN LP METERS & PARTS - WATER 4,637.21 01/12/2021 213665 COUNTRYSIDE FLAGPOLE FLAGS & SUPPLIES - POLICE 330.00 01/12/2021 213666 CROW RIVER AUTO & TRUCK REPAIR VEHICLE MAINT- SEVERAL PARKS VEHICLES 2,065.15 01/12/2021 213667 CROW RIVER BAR & RESTAURANT REFUND: 1/2 2021 LIQUOR LICENSE 1,062.50 01/12/2021 213669 CROW RIVER PRESS INC SR NEWSLETTERS - SR CENTER 47.89 01/12/2021 213670 CROW RIVER WINERY COST OF GOODS SOLD - LIQUOR HUTCH 1,209.60 01/12/2021 213671 DEHN, PETER REIMB: SAFETY FOOTWEAR - STREETS 175.00 01/12/2021 213672 DOG -ON -IT -PARKS BAGS, LINERS - PARKS 534.00 01/12/2021 213673 DONNAY, JASON REIMB: MILEAGE TO EMR CLASS - FIRE DEPT 93.15 01/12/2021 213674 E2 ELECTRICAL SERVICES INC LED'S- AIRPORT 1,883.30 01/12/2021 213675 ECOLAB PEST ELIMINATION 12/22 PESTCONTROL- COMPOST 167.17 01/12/2021 213676 EL LORO II REFUND: 1/2 2021 LIQUOR LICENSE 1,062.50 01/12/2021 213677 EMBROIDERY PLUS WINTER HATS, JACKETS- FIRE 491.00 01/12/2021 213678 ENGINEERING NEWS -RECORD 2021 MEMBERSHIP RENEWAL- ENG 108.00 01/12/2021 213679 EPA AUDIO VISUAL INC VIRTUAL MEETING ROOM INSTALLATIONS/UPGRADE 10,019.00 01/12/2021 213680 EWERT BROS INC BARLEY ST/MCDONALD TRAILER PARK TELEVISING - WWTP 1,159.50 01/12/2021 213681 FARM -RITE EQUIPMENT EQUIPMENT PARTS - MULTIPLE DEPTS 422.93 01/12/2021 213682 FASTENAL COMPANY REPAIR & MAINT SUPPLIES - MULTIPLE DEPTS 116.20 01/12/2021 213683 FERGUSON WATERWORKS #2518 COMB AIR RELEASE VALVES - WATER 422.84 01/12/2021 213684 FINANCE & COMMERCE TH 7/22 & MONTANA ST CROSS IMPROV BIDS 510.19 01/12/2021 213685 FORESTRY SUPPLIERS INC TAPE MEASURE - STREETS 75.60 01/12/2021 213686 FORKLIFTS OF MINNESOTA INC JOYSTICK CONTROLLER - HATS 599.29 01/12/2021 213687 FRATZKE, RACHEL UB refund for account: 3-735-5760-0-01 25.92 01/12/2021 213688 FRITSCH, KATELYN REFUND DUE TO BROKEN ARM - SKATING CLASS 82.00 01/12/2021 213689 GRAINGER REPAIR & MAINT SUPPLIES- MULTIPLE DEPTS 945.86 01/12/2021 213690 GRANDVIEW VALLEY WINERY COST OF GOODS SOLD - LIQUOR HUTCH 408.00 01/12/2021 213691 GRANITE ELECTRONICS, INC. MINITOR VI SINGLE FREQ & PARTS - FIRE DEPT 2,870.00 01/12/2021 213692 HAGER JEWELRY INC. SUPPLIES - MULTIPLE DEPTS 140.50 01/12/2021 213693 HANSEN GRAVEL INC. SNOW DUMP TRUCKS RETAINER - STREETS 2,145.00 01/12/2021 213694 HANSON & VASEK CONSTRUCTION SNOW TRUCKING RETAINER -STREETS 1,075.00 01/12/2021 213695 HARRINGTON INDUSTRIAL PLASTICS 1/2" VALVE Y-CHECK - WATER 68.08 01/12/2021 213696 HCVN-TV 2021 YOUTUBE UPLOAD/LINK - IT 250.00 01/12/2021 213697 HIGHFIELD APARTMENTS OF HUTCHINSON 2ND HALF 2020 TIF PAYMENT 29,823.50 01/12/2021 213698 HILLYARD / HUTCHINSON CLEANING SUPPLIES - MULTIPLE DEPTS 388.71 01/12/2021 213699 HJERPE CONTRACTING WATER LEAK DETECTION @ ROBERTS RD - WATER 580.00 01/12/2021 213700 HOFF, RANDY LARGE VASE ARRANGEMENT - POLICE 50.00 01/12/2021 213701 HOLIDAY STATION STORE REFUND: 1/2 2021 LIQUOR LICENSE 150.00 01/12/2021 213702 HUSKY SPRING SPRINGS, PINS, RODS, NUTS, WASHERS - STREETS 907.78 01/12/2021 213703 HUTCH BOWL & SQUEAKY'S GRILL & BAR REFUND: 1/2 2021 LIQUOR LICENSE 1,062.50 01/12/2021 213704 HUTCHFIELD SERVICES INC DEC CLEANING SERVICES - HATS 1,415.00 01/12/2021 213705 HUTCHINSON CHAMBER & TOURISM NOV 2020 LODGING TAX 10,721.41 01/12/2021 213706 HUTCHINSON DANCE TEAM NOV COMPOST BAG DELIVERY 500.00 01/12/2021 213707 HUTCHINSON HUSKIES BASEBALL REFUND: 1/2 2021 LIQUOR LICENSE 212.50 01/12/2021 213708 HUTCHINSON LEADER DEC PUBLISHING - MULTIPLE DEPTS 5,529.06 01/12/2021 213709 HUTCHINSON LODGE #2427 OF THE BPO REFUND: 1/2 2021 LIQUOR LICENSE 1,062.50 01/12/2021 213710 HUTCHINSON WHOLESALE #1550 REPAIR & MAINT SUPPLIES - MULTIPLE DEPTS 212.98 01/12/2021 213711 HUTCHINSON WHOLESALE #1551 REPAIR & MAINT SUPPLIES - COMPOST 50.27 01/12/2021 213712 HUTCHINSON WHOLESALE #1552 AIR HOSE, BLOW GUN, ADAPTER - PARKS 167.97 01/12/2021 213713 HUTCHINSON WHOLESALE #2520 REPAIR & MAINT SUPPLIES - FIRE DEPT 33.48 01/12/2021 213714 HUTCHINSON, CITY OF STORM DRAINAGE 11/1- 11/30-20 6,445.79 01/12/2021 213715 INGSTAD BROADCASTING DEC ADVERTISING - LIQUOR HUTCH & POLICE 1,484.75 01/12/2021 213716 INTEGRATED POWER SERVICES LLC BALDOR MOTOR - WWTP 299.94 01/12/2021 213717 J & B PALLET, LLC PALLETS - CO POST 4,984.00 01/12/2021 213718 JEFFERSON FIRE & SAFETY INC MISC FIRE EQUIPMENT 1,475.94 01/12/2021 213719 JOHNSON BROTHERS LIQUOR CO. COST OF GOODS SOLD - LIQUOR HUTCH 30,496.71 01/12/2021 213720 JOHNSON CONTROLS FIRE PROTECTION LP 6/1/20 - 5/31/21 CONTRACT - EV CTR 202.34 01/12/2021 213721 JOHNSTONE SUPPLY HEATER - ARENA 677.29 01/12/2021 213722 KERI'S CLEANING & HANDYMAN SERVICES DEC CLEANING - MULTIPLE DEPTS 3,922.94 01/12/2021 213723 KIDS DEPOT CANCELLATION REFUND - REC 146.00 01/12/2021 213724 KNIFE RIVER CORPORATION CRUSHED CONCRETE - EHEIM PARK 75.60 CHECK REGISTER A FOR CITY OF HUTCHINSON CHECK DATE FROM 12/23/20 - 01/12/21 Check Date i-1------------ 01/12/2021 'Hi Check -- --- --- ----- 213725 Vendor Name --------------------------------------------------------------- KOHLS SWEEPING SERVICE Description --------------------------------------------------------------------------------------------------------- CONCRETE PILING, MANURE HAULING -COMPOST Amount 955.00 01/12/2021 213726 KOSEK, JEFFREY SNOW REMOVAL RETAINER FEE -STREETS 950.00 01/12/2021 213727 KWIK TRIP #316 REFUND: 1/2 2021 LIQUOR LICENSE 150.00 01/12/2021 213728 LAKELAND BROADCASTING Q102: DEC ADVERTISING - LIQUOR HUTCH 240.00 01/12/2021 213729 LANDS' END BUSINESS OUTFITTER POLO'S - POLICE 91.85 01/12/2021 213730 LOCHER BROTHERS INC COST OF GOODS SOLD - LIQUOR HUTCH 62,534.70 01/12/2021 213731 LTP ENTERPRISES EMERGENCY REPAIR OF WELL #7 - WATER 21,662.64 01/12/2021 213732 LUEDTKE CONTRACTING LLC DRAIN TILE 715 HWY 15 E - STORM WATER 8,450.00 01/12/2021 213733 M-R SIGN SIGNS - STREETS 77.29 01/12/2021 213734 MACQUEEN EQUIP LLC GREASE - STORM WATER 181.78 01/12/2021 213735 MAIN STREET SPORTS BAR REFUND: 1/2 2021 LIQUOR LICENSE 1,062.50 01/12/2021 213736 MANUFACTURING INFORMATION SYSTEMS I ANNUAL RENEWAL 1/15/21- 1/15/22 - COMPOST 1,587.09 01/12/2021 213737 MARCO TECHNOLOGIES, LLC NOV COST PER PRINT- MULTIPLE DEPTS 485.33 01/12/2021 213738 MARCO TECHNOLOGIES, LLC 12/20/20-1/20/21 CONTRACT - MULTIPLE DEPTS 1,737.44 01/12/2021 213739 MARISSA JOHNSON REFUND: CANCELLED DUE TO COVID-19 - REC 30.00 01/12/2021 213740 MATHESON TRI-GAS INC HIGH PRESSURE - WWTP 25.27 01/12/2021 213741 MCLEOD COUNTY RECORDER REC FEE FOR NOTARY PUBLIC COMM - POLICE 20.00 01/12/2021 213742 MEGHAN CURRY REFUND: CANCELLED DUE TO COVID-19 - REC 60.00 01/12/2021 213743 MENARDS HUTCHINSON REPAIR & MAINT SUPPLIES - MULTIPLE DEPTS 1,035.86 01/12/2021 213744 MICHIGAN DEPARTMENT OF AGRICULTURE WONDERBLEND MANURE LICENSE RENEWAL - COMPOST 225.00 01/12/2021 213745 MIDWEST PLAYSCAPES INC. TODDLER BEAM EXT ARMS - PARKS 1,395.70 01/12/2021 213746 MILLNER HERITAGE VINEYARD & WINERY COST OF GOODS SOLD - LIQUOR HUTCH 1,428.60 01/12/2021 213747 MINI BIFF 11/13 - 12/10 RENTAL @ COMPOST 99.71 01/12/2021 213748 MINNESOTA DEPT OF AGRICULTURE REGISTRATION: SOIL AMEND/FERTILIZER PROD - COMPOST 1,400.00 01/12/2021 213749 MINNESOTA VALLEY TESTING LAB LAB SAMPLE TESTING - MULTIPLE DEPTS 1,034.00 01/12/2021 213750 MN TRANSPORTATION ALLIANCE 2021 ANNUAL MEMBERSHIP: KENT EXNER - ENG 592.00 01/12/2021 213751 MORGAN CREEK VINEYARDS COST OF GOODS SOLD - LIQUOR HUTCH 219.00 01/12/2021 213752 MTI DISTIBUTING, INC. 800 HRS SERVICE & PARTS - PARKS 1,770.81 01/12/2021 213753 MUDDY COW REFUND: 1/2 2021 LIQUOR LICENSE 1,062.50 01/12/2021 213754 NORTHERN BUSINESS PRODUCTS SUPPLIES- MULTIPLE DEPTS 675.34 01/12/2021 213755 NORTHERN STATES SUPPLY INC EQUIPMENT PARTS - HATS 437.60 01/12/2021 213756 NSF - MSF TOURNAMENT FEE - REC 55.00 01/12/2021 213757 NUVANTAGE EMPLOYEE RESOURCE 2021 EAP CONTRACT 2,122.20 01/12/2021 213758 OFFICE DEPOT CHAIRS -STREETS 239.96 01/12/2021 213759 OLSON, STEVEN REIMB: MILEAGE TO EMR CLASS - FIRE DEPT 93.15 01/12/2021 213760 PAGEL, NICK REIMB: MILEAGE TO EMR CLASS - FIRE DEPT 93.15 01/12/2021 213761 PARK NICOLLET CLINIC JAN 2021 CAM 2,361.67 01/12/2021 213762 PATROL PC RHINO TAB - IT 5,056.64 01/12/2021 213763 PAUSTIS WINE COMPANY COST OF GOODS SOLD - LIQUOR HUTCH 3,055.75 01/12/2021 213764 PECE RECYCLING LLC PALLETS -COMPOST 1,045.00 01/12/2021 213765 PEN & INC. SELL SHEETS DESIGN - COMPOST 600.00 01/12/2021 213766 PENMAC STAFFING SERVICES, INC. CREEKSIDE TEMP STAFFING 2,130.03 01/12/2021 213767 PEOPLEREADY INC CREEKSIDE TEMP STAFFING 2,354.24 01/12/2021 213768 PHILLIPS WINE & SPIRITS COST OF GOODS SOLD - LIQUOR HUTCH 23,164.96 01/12/2021 213769 PHONETICALLY SPEAKING &ASL EMT/FIRE BINDERS- FIRE DEPT 135.00 01/12/2021 213770 PORTER, RAGEN UB refund for account: 2-805-3350-9-02 135.82 01/12/2021 213771 POSTMASTER POSTAGE - UB BILLS 1,540.00 01/12/2021 213772 PREMIUM PLANTSERVICES SURGE PIPE CLEANING -WATER 11,098.75 01/12/2021 213773 PREMIUM WATERS 5 GALLONS - PARKS 30.99 01/12/2021 213774 QUADE ELECTRIC FUSES - WWTP 17.50 01/12/2021 213775 RADUNZ, HEIDI UB refund for account: 3-910-7550-0-04 53.63 01/12/2021 213776 RAHN PAINTING & CONTRACTING LLC JAN 2021 SNOW CONTRACT- MULTIPLE DEPTS 3,675.00 01/12/2021 213777 RAMAKER & ASSOCIATES INC 1/13/21- 1/13/22 CLOUD HOSTING & SUPPORT - CEMETERY 1,450.00 01/12/2021 213778 REINER ENTERPRISES INC 12/14 CREEKSIDE FREIGHT 9,283.91 01/12/2021 213779 REVIER WELDING VARIOUS REPAIRS -COMPOST 1,347.09 01/12/2021 213780 RICE COMPANIES, INC. DAMAGED RAILING REPAIRS @ POLICE STATION 2,819.00 01/12/2021 213781 RIDGEWATER COLLEGE BURN CONTAINER WINDOWS: TRAINING SITE - FIRE DEPT 1,246.00 01/12/2021 213782 RNL TRANSPORT LLC CREEKSIDE FREIGHT 11/9 - 11/13 5,675.00 01/12/2021 213783 RUNNING'SSUPPLY REPAIR & MAINT SUPPLIES- MULTIPLE DEPTS 449.66 01/12/2021 213784 SAFEASSURE CONSULTANTS INC 2021 SAFETY TRAINING - SAFETY COMMITTEE 8,784.07 01/12/2021 213785 SHORT-ELLIOT-HENDRICKSON, INC CONSULTING FEES FOR VARIOUS PROJECTS - ENG 4,170.35 01/12/2021 213786 SIRCHIE ACQUISITION COMPANY, LLC TESTS - POLICE 183.35 CHECK REGISTER A FOR CITY OF HUTCHINSON CHECK DATE FROM 12/23/20 - 01/12/21 Check Date 01- i-1-2- /--2-0--21 ----- 1 Check -------213787------ Vendor Name -S-OLUS-------LE---D --------------------------------------------------- Description H--T B----ULBS --------- CC ----------------------------------------------------------------------------- -L-I- Amount 5-99.26-------- 01/12/2021 213788 SONORA'S REFUND: 1/2 2021 LIQUOR LICENSE 1,062.50 01/12/2021 213789 SOUTH DAKOTA DEPT OF AGRICULTURE 2020TONNAGE FERTILIZER PRODUCTS -COMPOST 245.89 01/12/2021 213790 SOUTHERN WINE & SPIRITS OF MN COST OF GOODS SOLD - LIQUOR HUTCH 28,336.16 01/12/2021 213791 SPS WORKS TWISTED S LINKS & ATTACHMENTS - POLICE 198.53 01/12/2021 213792 STANDARD PRINTING-N-MAILING POSTAGE & SHIPPING COSTS - MULTIPLE DEPTS 5,069.20 01/12/2021 213793 STAPLES ADVANTAGE SUPPLIES - MULTIPLE DEPTS 445.96 01/12/2021 213794 STAR TRIBUNE 2021 SUBSCRIPTION - POLICE 529.36 01/12/2021 213795 STEINHAUS, NICK REIMB: MILEAGE TO EMR CLASS - FIRE DEPT 93.15 01/12/2021 213796 SUPER AMERICA REFUND: 1/2 2021 LIQUOR LICENSE 150.00 01/12/2021 213797 SUPERAMERICA STORE NO.4315 REFUND: 1/2 2021 LIQUOR LICENSE 150.00 01/12/2021 213798 TCIC, INC WWTF OX DITCH CITECT WORK 750.00 01/12/2021 213799 THE PAINT FACTORY REFUND: 1/2 2021 LIQUOR LICENSE 212.50 01/12/2021 213800 THOMSON REUTERS-WEST DEC WEST INFO CHARGES - POLICE 145.53 01/12/2021 213801 TOKYO GIRLL AA INC REFUND: 1/2 2021 LIQUOR LICENSE 300.00 01/12/2021 213802 TRI COUNTY WATER BOTTLE WATER DELIVERY - MULTIPLE DEPTS 195.50 01/12/2021 213803 TRITECH SOFTWARE SYSTEMS LETG SOFTWARE MAIN ANNUAL FEE - POLICE 304.08 01/12/2021 213804 TWO-WAY COMMUNICATIONS INC CLEAN & REPAIR PAGERS- FIRE DEPT 67.50 01/12/2021 213805 UNITED FARMERS COOP MID -GRADE LEAD FREE - HATS 14,757.94 01/12/2021 213806 UNIVERSAL ATHLETIC SERVICE INC BASKETBALL HOOP/BACKBOARD - PARKS 626.70 01/12/2021 213807 UPONOR INC 2ND HALF 2020 TAX ABATEMENT 20,996.91 01/12/2021 213808 USA BLUE BOOK ELBOWS- WATER 28.53 01/12/2021 213809 VEGA AMERICAS INC VEGAPULS C 21 TRANSMITTER - WATER 872.65 01/12/2021 213810 VFW POST 906 REFUND: 1/2 2021 LIQUOR LICENSE 1,062.50 01/12/2021 213811 VIKING BEER COST OF GOODS SOLD - LIQUOR HUTCH 25,538.60 01/12/2021 213812 VIKING COCA COLA COST OF GOODS SOLD - LIQUOR HUTCH 462.80 01/12/2021 213813 VINOCOPIA INC COST OF GOODS SOLD - LIQUOR HUTCH 1,034.33 01/12/2021 213814 VIVID IMAGE ANNUAL SAFE & SOUND - HUC 960.00 01/12/2021 213815 WAL-MART SUPERCENTER #1738 REFUND: 1/2 2021 LIQUOR LICENSE 150.00 01/12/2021 213816 WASTE MANAGEMENT OF WI -MN 12/1- 12/15 RESIDENTIAL REFUSE 7,204.88 01/12/2021 213817 WATERVILLE FOOD & ICE COST OF GOODS SOLD - LIQUOR HUTCH 567.92 01/12/2021 213818 WELCOME NEIGHBOR NEW RESIDENT VISITS - LIQUOR HUTCH 120.00 01/12/2021 213819 WEST CENTRAL SHREDDING DEC SHREDDING: 3CONSOLES - MULTIPLE DEPT 50.00 01/12/2021 213820 WINE COMPANY, THE COST OF GOODS SOLD - LIQUOR HUTCH 1,167.73 01/12/2021 213821 WINE MERCHANTS INC COST OF GOODS SOLD - LIQUOR HUTCH 3,081.81 01/12/2021 213822 WINEBOW FINE WINE & SPIRITS COST OF GOODS SOLD - LIQUOR HUTCH 514.00 01/12/2021 213823 WOLD ARCHITECTS & ENGINEERS NEW POLICE FACILITY -THRU 12/31/20 32,573.00 01/12/2021 213824 ZIEGLER INC FUEL FILTER ELEMENTS -STREETS 284.23 01/12/2021 213825 ZOLL MEDICAL CORPORATION AED BATTERIES - FIRE DEPT 60.00 Total - Check Register A Disbursements: 1 1,142,009.80 CHECK REGISTER B FOR CITY OF HUTCHINSON CHECK DATE FROM 12/23/20 - 01/12/21 Check Date i------------ 01/12/2021 Check ----------- 213668 Vendor Name --------------------------------------------------------- CROW RIVER GLASS INC. Description -------------------------------------------------------------- GLASS & PLEXI - CREEKSIDE, STORM WATER Amount --------------------- 209.71 Total - Check Register A Disbursements: $ 209.71 HUTCHINSON CITY COUNCIL ct=y�fl1 Request for Board Action 7AL Zwl,7 Agenda Item: PUBLIC HEARING ON A PROPOSED ONE-YEAR EXTENSION FOR UPON06 Department: EDA LICENSE SECTION Meeting Date: 1/12/2021 Application Complete N/A Contact: Miles R. Seppelt Agenda Item Type: Presenter: Miles R. Seppelt Reviewed by Staff ❑ Public Hearing Time Requested (Minutes): 0 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: In the fall of 2018, as UPONOR was considering expanding into Hutchinson, the City agreed to provide UPONOR, Inc. a forgivable loan in the amount of $450,000 from the Minnesota Investment Fund. These are all state dollars and no local funding is involved. For its part UPONOR agreed to create 83 new jobs in Hutchinson by December 31, 2020. Due to economic conditions over this past year UPONOR, Inc. has been unable to meet that job creation goal and is requesting a a one-year extension in order to do so. Thus far 53 jobs have been created at UPONOR's Hutchinson facility. UPONOR is confident it can reach the goal of 83 new jobs created by the end of 2021. State Statute gives City's the authority to grant a one-year extension for businesses to meet their job creation & wage goals, following a public hearing. EDA staff will attend the public hearing and make a short presentation on the status of the company and to answer any questions the Council may have. ATTACHED is the resolution granting the one-year extension. If you have any questions or need additional information, please give me a call anytime at (320) 234-4223. BOARD ACTION REQUESTED: Adoption of the ATTACHED resolution granting a one-year extension for UPONOR to meet Business Subsidy Goals. Fiscal Impact: $ 0.00 Funding Source: N/A FTE Impact: 0.00 Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: RESOLUTION NO. 15272 A RESOLUTION GRANTING A ONE-YEAR EXTENSION FOR UPONOR, INC. TO MEET BUSINESS SUBSIDY GOALS WHEREAS, UPONOR, Inc. has been granted a Business Subsidy by the City of Hutchinson in the form of a forgivable loan in the amount of $450,000 from the State of Minnesota's Minnesota Investment Fund; and, WHEREAS, in consideration of this Business Subsidy UPONOR, Inc. has agreed to certain job creation and wage level commitments to be fulfilled by December 31, 2020; and, WHEREAS, due to unfavorable economic conditions due, in part, to the global pandemic, UPONOR, Inc. has been unable to meet those requirements; and, WHEREAS, UPONOR, Inc. is therefore requesting a one-year extension to meet those requirements; and, WHEREAS, Minnesota Statutes, Sections 116J.993 to 116J.995 (the "Business Subsidies Act"), provides that the City, as a local government agency within the meaning of the Act, may, following a public hearing, provide a one-year extension for a business to attain its job creation and wage level commitments; NOW, THEREFORE BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA, UPONOR, Inc. is hereby granted a one-year extension, until December 31, 2021, to attain its business subsidy goals. Adopted by the City Council this 12t' day of January, 2021. ATTEST: Matt Jaunich Gary Forcier City Administrator Mayor To: Mayor and Council From: Candice Woods, Liquor Hutch Director Date: 01/01/21 Re: Liquor Hutch End of Year Sales January — December 2020 Year to Date Sales: 2019 $6,369,435 Liquor $2,192,137 Beer $3,065,546 Wine $ 973,796 2020 Change $7,689,417 20.7% Increase ($1,319,982) $2,649,652 20.8%increase (+457,515) $3,701,635 20.7%increase (+$636,089) $1,138,284 16.9%increase (+164,488) Year to Date Gross Profit Dollars: $1,612,785 $1,895,874 17.5% increase Year to Date Customer Count: 247,078 255,616 3.5% increase Average Sale per Customer: $25.78 $30.08 $4.30 increase Gross Profit Percentage: 25.32% 24.66% 0.66% decrease *2020 GP% reflects the Pandemic Sales Trend to Beer Suitcases (competitive GP=19%) Budget Comparisons: Net Profits through November 2019 $564,027 2020 Difference $735,832 $171,805 Further details of all statistics have been provided to the Finance Department. Please feel free to contact me with any questions or requests for additional data. HUTCHINSON CITY COUNCIL ci=wof Request for Board Action 7AL =- M-7 Agenda Item: 2020 City of Hutchinson Pavement Management Report Department: PW/Eng LICENSE SECTION Meeting Date: 1/12/2021 Application Complete N/A Contact: John Olson Agenda Item Type: Presenter: John Olson Reviewed by Staff ❑ Communications, Requests Time Requested (Minutes): 10 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: Attached for your information is the 2020 Pavement Management Report. Highlights of the report are that for the first time, the City of Hutchinson received the same Pavement Condition Index (PCI) score over a period of years. In both 2017 and 2020, the average PCI for the City was 76, slightly above the goal of maintaining PCI's of 65-75. This represents the best case scenario for pavement management, as it indicates that the projects selected, funded and delivered were able to sustain the overall condition of streets within the City. This is the ultimate goal of pavement management. The upcoming 5-year Capital Improvement Plan (CIP) will likely result in maintaining PCI's in the range of 65-75. Budget calculations indicate additional capital funding of approximately $125,000 per year should be considered to maintain PCI's within the 65-75 range. For the last 10-15 years, there was a significant effort to seal coat streets. In 2017 and again in 2020, the pavement management data indicate a need for more maintenance overlays. You will find several maintenance overlays are planned for 2021-2023. Three main areas of streets in marginal or poor condition include: 1) the area near the Rec Center/Civic Arena, which will be addressed as part of the ongoing South Central Trunk Storm Sewer projects; 2) Downtown area; and 3) Clifton Heights (east of Michigan Street). These three areas are identified within the 5-year CIP. I want to thank the Public Works operators for their work on pavement maintenance. In the last two years, Public Works operators have placed an average of 2.7 times the typical amount of bituminous, primarily as they concentrate on streets in excellent or good condition, to maintain the average PCI. BOARD ACTION REQUESTED: Report is provided for City Council's review. Public Works staff will be available to answer any questions. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: Yes PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: HUTCH I NSO A CITY ON PURPOSE. January 2021 City of Hutchinson Public Works Department Operations & Maintenance 1400 Adams St SE Hutchinson, MN 55350 Phone (320) 234-4219 Fax (320) 234-6971 To: Honorable Mayor and City Council members Matt Jaunich, City Administrator Kent Exner, DPW/City Engineer From: John Olson, Public Works Manager Subject: 2020 Pavement Management Report (includes 2020 condition survey) Pavement Management The City uses a pavement management system to collect and manage information about the condition of its pavement. Since 1996, this system has helped the City manage its significant investments in pavement. Pavements under the City's jurisdiction are worth well over $100 million in replacement value. The pavement management system helps to make the best use of available funds by providing decision -makers with important information related to pavement conditions and maintenance options. Using this information, maintenance activities can be scheduled in a timely manner to help preserve pavement at less expense over time. The goal of pavement management is to do the right treatment to the right pavement at the right time at the lowest possible cost, in order to prolong the life of pavement. PCI I •`.~ Excellent Good -1 4096 Drop in Quality Fair Poor - Very Poor Failed O 75%of Life 40016 Drop in Quality SpendiFul $1 on preservation here... ...eliminates or delays spending 56 to S 10 on rehabilitation or reconstruction here. + 12% of Life 5 10 15 20 Pavement Condition Index (PCI) PCI is determined by periodically conducting physical surveys. Physical surveys are usually conducted every three years. Pavement distresses for each pavement section are identified and cataloged. Some streets do not get rated, including streets under State or County jurisdiction and streets under City jurisdiction that are neither developed nor paved. PCI is based on a 100-point scale (100 = no distresses, 0 = fully deteriorated street). Categorizing the PCI scores helps to identify potential maintenance options. A 5-tier condition rating is used: Excellent 86-100 Green Good 71-85 Blue Adequate 51-70 Yellow Marginal 36-50 Orange Poor 0-35 Red The City's stated goal has been to maintain an average system -wide PCI of 65 to.. In 2018, Public Works surveyed some other agencies in Minnesota to see what their target PCI was. On average, the target PCI for other agencies was 70. Physical surveys capture pavement conditions at a specific time. Between physical surveys, system -wide PCI is estimated by applying standard decay curves to each pavement section. The last physical survey was completed in 2020. The next physical survey is scheduled for 2023. System -wide PCI for the pavement network following the last physical survey was.. Past system -wide PCI ratings have been: Year System -wide PCI rating 2020 2017 2014 2011 66 2007 69 2004 ' 1996 As you can see from previous ratings, maintaining the same system -wide PCI over time is not typical. System -wide PCI ratings were the same in 2017 and 2020, indicating project selection and the levels of spending for capital projects and pavement maintenance over the last few years were adequate to sustain the City's overall network PCI. This is the ideal situation and represents the goal of pavement management. Maintaining the system at a static PCI indicates that appropriate projects were selected and that funding levels were adequate. Pavement Inventory The majority of pavements are rated on a regular basis. The City has a few streets that are not rated because they are gravel or undeveloped. No ratings are given to pavements under the jurisdiction of the County and State. Center - Classification Line Miles PCI City streets -rated 74.6 City streets-unrated 2.6 n/a County roads-unrated 6.1 n/a State highways-unrated 6.7 n/a Total 90.1 Over time, the City's pavement network has grown by new construction and/or from turn -back of other agencies' roadways at an annual pace of about 1.5% over the last 20 years. There was no new construction and no streets were turned back to the City in 2020. Data Analysis Of the 90.1 miles of streets in Hutchinson, 6.7 miles of street are operated by MnDOT and 6.1 miles by Mcleod County. The City is responsible for 77.2 miles of streets. Of these 74.6 miles receive PCI ratings. The 2.6 miles of City streets that are not rated include streets that are unpaved, undeveloped or are not in service. Assuming the 2021-2025 CIP is implemented as proposed, it appears system -wide PCI will remain above or within the 65 - 0 range for the next 5-year period. This prediction assumes proposed spending levels remain in place and that provisions are made to account for future inflation. Maintenance overlay projects have impacted about 93,000 Square Yards of pavement over the last ten years. Pavement management data again indicates the need for overlays. This is likely because the City was focused on biennial seal coat projects over the last 10 —15 years. Many streets in poor condition are in the area of the Recreation Center. Most of these streets will be addressed over the next couple of years, as part of the south central trunk storm sewer project. Another grouping of streets in the downtown area are identified as being in marginal or poor condition and a third grouping of streets in poor condition can be found in the Clifton Heights addition. Protect Alternatives for Pavement Maintenance Public Works operators typically focus on streets in Excellent or Good condition, because maintenance efforts for these streets are cost-effective. Streets rated as Adequate are evaluated to determine whether localized repairs can be coupled with a maintenance overlay to increase the street's longevity at a reasonable cost. Streets in Marginal or Poor condition are usually maintained for safety -related issues until a capital project is feasible. There are a number of alternatives used to rehabilitate and maintain pavements. The most commonly used alternatives are listed from most expensive to least expensive: Strategy Description Cost/Sy New construction new infrastructure where none existed $155.00 Reconstruction existing infrastructure replaced by new infrastructure $155.00 Partial reconstruction street, curb & gutter, drainage; minimal utility work $95.00 Full -depth reclamation street surface, drainage; minimal curb, gutter & utility work $40.00 Structural overlay remove >2" of surface, resurface; other work very limited $20.25 Maintenance overlay remove <2" of surface, resurface, no other work $13.50 Spray injection asphalt and aggregate application, usually on cracks $4.00 Seal coat/fog seal asphalt and aggregate application; no other work $1.85 Replay sealant polymerized agricultural based asphalt sealant $1.50 Crack Repair rout and apply sealant to cracks, over -band larger cracks $0.25 Project Development The mix of projects, on average, over the last ten years has been: Capital projects: Maintenance protects: Construction/reconstruction 32.3% Patching, maint. overlay 6.7% Partial reconstruction 30.0% Seal coat/fog seal 26.4% Reclaim 20.4% Replay Sealant 28.7% Overlay -Structural 17.3% Crack repair 39.1% Total 100.0% 100.0% 10-year SY addressed 365,845 1,393,087 Percentage of total network 24.4% 92.9% 4 Whenever possible, projects are developed to maximize pavement lifespan. Ideally, less expensive maintenance projects are done early and at critical points during the life of a pavement. Eventually, when the PCI drops too low, maintenance projects are no longer an option. All pavements eventually decay to the point where costly capital projects are needed. The City's CIP and maintenance budgets include projects that should result in maintaining or slightly exceeding an average system -wide PCI of 65 to 0 for the next five years. Actual PCI scores are based upon physical surveys conducted. During the period covered by the current CIP, the next physical survey is scheduled for 2023. Frost Damage Sometimes, a significant challenge to maintaining PCI's of 65 - 0 comes in the form of severe weather. Following severe winters, there is always the chance for frost -damaged streets. In 2019, following a particularly severe winter, repairs to frost -damaged streets cost an additional $164,000. The typical repair process for frost -damage streets includes having Public Works operators excavate, install geotextile fabric, and place aggregate material in frost -damaged areas. Contractors typically patch and pave larger frost -damaged areas, while smaller areas are patched and paved by Public Works operators. Public Works operators continue to improve their patching and small -area paving skills. As a result, placement of bituminous material by Public Works operators increased over the last couple of years. In the past, Public Works operators usually placed around 150 tons of bituminous material. Over the last two years, Public Works operators have placed an average of 400 tons, 2.7 times more than usual. Budget Recommendation The City's capital and maintenance funding sources are limited. It is also often necessary to utilize available resources for purposes that do not directly affect system -wide PCI ratings. For example, spending for utilities, streetlights, trees, trails, sidewalks, signs, etc. does not affect the PCI score, but are an important part of any project. Overtime, higher spending on other purposes can result in a larger backlog of work, which drives system -wide PCI ratings down. Pavement management software allows for various budget scenarios. Looking at various scenarios helps to determine the effect of various plans on system -wide PCI. Over time, Public Works has used standard scenarios of maintaining PCI, increasing PCI by 10% and decreasing PCI by 10%, looking out over a 20-year period to determine the most economically advantageous five-year project list. Projects appearing in all three selections generally demonstrate significant economic value and/or positive affect on system -wide PCI ratings. Budget Recommendation The budget for pavement projects ends up at around $3.3 million per year. CAPTIAL (recommended funding targets indicate a need for slightly more capital funding): Construction/partial reconstruction $1,711,420 Reclaim/overlay 1,216,898 Spending not affecting PCI ratings* 439,248 Total capital improvements 3.367.565 GO Improvement Bonds $1,900,000 Assessments 842,000 Municipal State Aid 500,000 Total capital funding 24 a Capital shortfall $ 125,565 * spending not affecting PCI ratings: streetlights, trees, streetscape items, sidewalks, etc. MAINTENANCE (recommended funding targets indicate a need for more maintenance overlays): Patching & maintenance overlays $ 226,000 Pavement preservation 125,000 Crack repair 49,000 Total maintenance projects 400.Q00 General fund $ 175,000 Infra maint — sealcoat 125,000 Infra maint—other 100,000 Total maintenance funding $ 400.000 G Condition Ratines M:00-35 MARGINAI.:36-50 ADEQUATE:51-70 ®:71-85 ®:85-100 Overall rating Length Miles % SY Area 2020 2017 Rated streets 393,882 74.6 82.8% 1,498,984 ® 76 --- Not rated 81.926 15.5 17.2% 418.973 na --- Total 475,808 90.1 100.0% 1,917,957 A 76 PCI by City Quadrant Length Miles %% SY Area 2020 2017 Northwest 74,224 14.1 15.6% 264,844 82 - 4 Northeast 45,390 8.6 9.5% 179,962 71 + 1 Southwest 172,200 32.6 36.2% 639,364 _a 72 --- Southeast 102,067 19.3 21.5% 414,814 79 + 2 Rated streets 393,882 74.6 82.8% 1,498,984 76 --- Not rated 81,926 15.5 17.2% 418,973 na na --- Network 475,808 90.1 100.0% 1,917,957 m 76 PCI by Street Designation Length Miles % SY Area 2020 2017 Local Roads 299,612 56.7 63.0% 1,104,519 75 - 2 MSA streets 60,890 11.5 12.8% 268,964 73 + 6 C.S.A.H. turn back 9,568 1.8 2.0% 42,967 1 93 + 2 County Rd turn back 22,721 4.3 4.8% 74,656 87 + 1 Trunk Highway turn back 1,091 0.2 0.2% 7,878 100 Rated streets 393,882 74.6 82.8% 1,498,984 76 --- Not rated 81,926 15.5 17.2% 418,973 na na Network 475,808 90.1 100.0% 1,917,957 ■ 76 • attached for reference are photos of streets with various PCI ratings. 7 PCI - Mileage (74.6 mi. rated streets) change from previous 40.0 33.5 35.0 +4% 30.0 25.0 17.8 20.0 +7% 12.2 15.0 -1% 6.7 10.0 -16% 4.4 5.0 -2n4% . I I 0.0 00-35 36-50 51-70 71-85 86-100 PCI - Area (1,498,984 SY rated streets) % change from 2017 800,000 700,000 600,000 500,000 400,000 +5% +3% 300,000 200,000 -22% 100,000 F-I 36-50 PCI = 70 PCI = 50 10 -AW- ti- L3� City of Hutchinson Public Works Roadway Maintenance Work Plan Considering the department's responsibilities, roadway maintenance has the most effect on the greatest number of people, so it is among the top maintenance activities done by the department. Roadway maintenance represents a significant amount of the department's time, resources and budget. The average pavement section in Hutchinson is about 540 feet long (about 1.6 typical city blocks). There are 90.1 miles of street and 881 sections of street. 15.5 miles and 106 sections are not rated because they are under the County or State's jurisdiction or are unpaved or undeveloped. Street condition #sections LF Mi. Sq Ft Sg Yds %% Poor (0-35) 86 35,414 6.7 1,220,625 135,625 9% Marginal (36-50) 50 22,994 4.4 820,105 91,122 6% Adequate (51-70) 110 64,175 12.2 2,179,456 242,162 16% Good (71-85) 174 94,249 18.0 3,159,851 351,095 23% Excellent (86-100) 355 177,049 33.5 6,110,817 678,980 45% Not rated 106 81,926 15.5 3,770,756 418,973 n/a All roadways 881 475,808 90.1 1,917,957 Department resources Time allocation: Approximately 3,500 hours (1.7 FTE) for roadway maintenance. General Fund: Approximately $212,000 for materials and repairs. Capital Projects Fund: Approximately $275,000 for preservation and repairs. Priority of streets to maintain: 1) Priority routes (as identified in the snow removal & ice control policy) 2) Business districts (including downtown, highway districts, schools, hospitals, etc.) 3) Parade routes (focus on pedestrian safety) 4) Residential streets 12 Most roadway sections are in EXCELLENT condition (45%). Maintenance for these sections focuses on preservation: 1) Replay pavement preservation. Replay pavement preservation consists of first sweeping and cleaning the section. Bio-based preservation material is then applied at a rate of approximately 0.20 gallons/sq yd. In 30-60 minutes, the roadway is open to traffic. For high traffic roadways, dividing applications into two or three passes allows the work to be done under traffic. At this point, it appears likely that sections will receive Replay pavement preservation applications at least three times, every 6-8 years. This work is typically done by a contractor. 2) Surface treatments. Other surface treatments are available, have been used, and will continue to be considered, based on their cost and effectiveness. Surface treatments include products like Reclamite, GS1388, T-MAT, MACMAT or other polymerized asphalt or petroleum based products. These products are designed to reintroduce binders that lock in aggregates while reducing the effects of oxidization. This work is typically done by a contractor. 3) Crack repair. Crack repair for sections in excellent condition consists of routing and sealing cracks to at least W x W using high -quality crack repair material. Cracks are over -banded so material does not extend more than %" above the grade of adjoining pavement. This work is typically done by a contractor. 4) Localized repairs. Localized repairs are made to address specific areas of distress in pavements. Whenever possible, distresses are milled or cut out to reach pavement in sound condition. Approximately 2-3" of pavement is removed, tacked, and bituminous material is placed to match the grade of adjoining pavement. As necessary, bituminous material may need to be removed down to the base material. After any base repairs are made, bituminous material is placed in lifts of 2-3" until matching the grade of adjoining pavements. Public Works operators typically addresses work in smaller distress areas, while contractors typically address larger distress areas. Roadway sections in GOOD and ADEQUATE condition make up the next largest grouping (39%). Maintenance for these sections focuses on improving the section's condition: 1) Crack repair. Crack repair for streets in good/adequate condition may consist of routing and sealing low severity cracks, using mastic material and/or lower grade material for medium severity cracks (with or without routing). Spray injection patching or localized repairs may be made to address high severity cracks. Public Works operators typically address work in smaller distress areas. Contractors are used to address larger distress areas. 2) Spray injection patching. Spray injection patching may be used to address medium to high severity cracks, primarily as a method to improve ride quality. 13 3) Localized repairs. Localized repairs are made to address specific areas of distress in pavements. Whenever possible, distresses are milled or cut out to reach pavement in sound condition. Approximately 2-3" of pavement is removed, tacked, and bituminous material is placed to match the grade of adjoining pavement. As necessary, bituminous material may need to be removed down to the base material. After any base repairs are made, bituminous material is placed in lifts of 2-3" until matching the grade of adjoining pavements. Skin patching of large areas may also be done. Skin patching consists of a layer of bituminous material no more than 2" in depth being placed over distressed pavement or grade imperfections. Skin patches do not typically extend from curb to curb, nor are they usually more than 25% of a roadway section's length. Public Works operators typically address work in smaller distress areas. Contractors are used to address larger distress areas. 4) Sea[ coating. Once crack repairs and/or localized repairs have been completed, the roadway section may become a candidate for seal coating. Seal coating consists of sweeping and cleaning the section, placing bituminous oil, placing aggregate, sweeping up loose aggregate and applying a fog seal. This work is typically done by a contractor. 5) Maintenance overlay. Once crack repairs and localized repairs are complete, the roadway section may become a candidate for a maintenance overlay. Maintenance overlays consist of placing a layer of bituminous material no more than 2" in depth over repaired pavement or grade imperfections. Maintenance overlays generally extend from curb to curb and typically address at least 25% of a roadway section's length. Public Works operators typically prepare the roadway for the maintenance overlay by milling curb edges, milling around utility structures, and making necessary minor repairs before installing the overlay. Maintenance overlay paving is typically done by a contractor. Roadway sections in MARGINAL and POOR condition make up the least amount of sections (15%). Maintenance for these sections focuses on the safety of users: 1) Safety -related repairs, The focus for these sections is generally limited to repairs necessary to address safety concerns. Work will generally focus on crosswalks and travelled portions of the section (the center 24'). Work outside of the travelled portions of the pavement section is typically reserved for addressing significant safety concerns. 2) Localized repairs. Localized repairs will be done on sections in marginal or poor condition, when authorized by the Public Works Manager or designee. Generally localized repairs will be not be authorized unless the repair will likely move the section into a higher condition category or be effective for at least two years. The Public Works department maintains a list of pavement sections that need to be reconstructed. Once a section is placed on the reconstruction list, maintenance activities are primarily focused on addressing safety concerns related to potentially hazardous conditions. 14 Factors that are evaluated to determine if sections need to be reconstructed include, but are not limited to: • Pavement surface conditions warrant reconstruction (< PCI 40) • Preservation is no longer cost effective • Subgrade failure • Failure of curb, gutter and drainage improvements • High or low grade on the roadways' crown that affect drainage • Traffic considerations • Capacity considerations • Functional considerations • Safety considerations • Condition of associated utilities • Condition of associated municipal infrastructure Identifying sections that need reconstruction helps the department allocate its resources to pavement repairs that maximize cost -benefit. Local Repairs A typical maintenance/patching day includes transporting material and equipment, preparing work sites, conducting patching/repair work and cleaning up. Most Public Works operators' work focuses on sections with PCIs from 51-100. The following identifies why City operators focus on sections with PCIs of 51-100: 1) Capable operators— Current Public Works operators are skilled at making localized pavement repairs. 2) Adequate equipment— Equipment currently owned by the City allows Public Works operators to make high -quality pavement repairs. 3) Contracting is expensive — Many contractors focus on larger jobs, so contractors are usually only willing to do small repairs if they are highly profitable. 4) PCIs from 51-100 — Repairing defects is typically cost-effective. 5) PCIs 50 or less — Repairing defects is typically not cost-effective. Limiting maintenance on streets with PCIs 50 or lower to addressing safety concerns and hazards typically allows adequate time necessary to perform more cost effective repairs on sections with PCIs 51-100 without increasing crew size. Using Public Works operators, equipment and resources to address sections with PCIs between 51-100 results in more streets receiving attention. 15 Crew assignments: 1— Site Preparation 2 — Patcher 3 — Driver 4 — Raker/Finisher 5 — Roller Operator 6 —Truck driver Typical Crew Size* = As few as one employee when placing cold mix, to as many as six crew members when hauling and placing larger quantities of bituminous materials * Crew size does not take traffic control into account. For situations requiring significant traffic control efforts, additional crewmembers are assigned as needed. Roadway Maintenance Equipment: • 1-ton dump truck • 9,900# tilt -bed trailer • 46" vibratory roller/compactor ■ 1-ton w/ flatbed -dump ■ 3.5 cubic yard heated asphalt trailer w/ 50 gal tack oil ■ Walk -behind blower • Backpack blower • Miscellaneous hand tools (Seasonal maintenance personnel can operate the majority of this equipment without special licenses. Early and late in the season, one load of 3.5 cubic yards is typically adequate for patching. The 46" roller is adequate for most municipal applications.) • 2 ea. Tandem -axle dump trucks • Single -axle dump truck for debris • Wheel loader • Tilt -bed trailer for skid steer loader • Skid steer loader • Skid steer attachments: 1) Bucket; 2) Hydraulic breaker; 3) Asphalt Planer; 4) Pickup Broom; 5) Kick off broom. (Full-time, regular operators operate this equipment. Larger repairs will typically require some or all of this equipment.) 16 Ln N FA IN i r� y6x 1 � c � cxu � I .. , „n � rti t E c a) Q w,✓ • — = O a CO 0 - fV U U EM HUTCHINSON CITY COUNCIL HUTCHINSOK Request for Board Action A CITY ON PURPOSE. Consideration of Ordinance No. 20-820 - City Charter Revisions Agenda Item: Department: Administration/Legal LICENSE SECTION Meeting Date: 1/12/2021 Application Complete N/A Contact: Matt Jaunich/Marc Sebora Agenda Item Type: Presenter: Matt Jaunich/Marc Sebora Reviewed by Staff ❑� New Business Time Requested (Minutes): 10 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OF AGENDA ITEM: At the December 22, 2020, Council meeting, the City Council held a public hearing and approved recommendations from the Charter Commission pertaining to revisions to Sections 11.02 and 11.08 of the City Charter. These changes pertain to the following sections in Chapter 11 - Public Ownership and Operation of Utilities and are encapsulated in Ordinance No. 20-820 which is attached: Section 11.02 —Appointment and Terms Section 11.08 — Removal of Commissioners Minnesota Statute Section 410.12, Subd. 7 allows for Charter amendments to be enacted by ordinance following a public hearing. These amendments may be considered for adoption by a unanimous vote of the Council via ordinance. The first reading of the ordinance will take place on January 12, 2021. Should the Council approve the first reading of the ordinance, a second reading and adoption of the ordinance will be placed on the January 26, 2021, Council agenda. If the Council approves the ordinance, the amendments will take effect 90 days from the date of the adoption of the ordinance. During that 90 day period, citizens can circulate a petition and file with the City a petition with verified signatures of registered voters requesting that any of the proposed changes above be voted on at a referendum. Again, the ordinance must be approved unanimously in order to take effect. BOARD ACTION REQUESTED: Approve first reading of Ordinance 20-820 and set second reading for January 26, 2021. Fiscal Impact: $ 0.00 Funding Source: FTE Impact: 0.00 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 Ordinance No. 20-820 Publication No. AN ORDINANCE ADOPTING REVISIONS TO SECTIONS 11.02 AND 11.08 OF HUTCHINSON CITY CHARTER The City Council hereby ordains: WHEREAS, the Hutchinson Charter Commission met on November 21, 2019, and September 29, 2020, to review sections of the City Charter for updating or amending pertaining to eligibility to serve on the Hutchinson Utilities Commission; and, WHEREAS, the Hutchinson Charter Commission voted unanimously for revisions to be made to Sections 11.02 and 11.08 in order to allow more people to be eligible to serve on the Hutchinson Utilities Commission; and, WHEREAS, Minnesota Statute 410.12, Subd. 7, allows Charter changes to be made by ordinance, NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, THAT 1. The Hutchinson City Charter be amended as follows: Section 11.02. APPOINTMENT AND TERMS. The commission shall consist of five (5) persons, registered voters of Hutchinson, or who is an owner of a business whose principal place of business is within the City of Hutchinson which is a rate -paver of the Utilities Commission who shall be appointed by the council. Of the five members, only one member may be a non- resident business owner. In addition, one of the members may be a member of the city council appointed annually by the mayor with the consent of the city council, at the first meeting of the city council in January of each year. After initial appointments for such terms as are set by the council, a member shall be appointed every year for a term of 5 years, to fill the place of the member whose term has expired, except for any city council member appointed to serve on the Utilities Commission, and in such case, that person shall serve a one year term subject to reappointment. The commissioners in office at the time of adoption of this charter shall continue to serve the term to which they were previously appointed. Commissioners shall qualify for their office by taking and subscribing to the oath of office required of members of the council and filing the same with city administrator. They shall hold office until their successors are appointed and qualified and vacancies in office for any cause shall be filled for the balance of the term in which the vacancy occurs in the same manner as the original appointment is made. No member shall serve more than two consecutive five-year terms, exclusive of the fulfillment of an unexpired term, but shall be again eligible for such service following a break in service of not less than one year. The members of the commission, excluding the city council member, may receive compensation for their services as determined by the council. Section 11.08. REMOVAL OF COMMISSIONERS. If a commissioner is guilty of malfeasance or misfeasance in office, has become incapacitated to hold office, or ceases to be -a °side„t ofthe City f14u4ehinse„ to maintain the qualifications necessarrgppointinent to the commission and such fact is brought to the City Council by council investigation or a petition of ten (10) or more voters of the City of Hutchinson, the commissioner may be removed from office by a four -fifths (4/5) majority vote of the council. Upon the filing of any such fact, together with a copy of such charges, such commissioner shall be notified of the time and place where the council will meet to consider such charges. Notice shall be given at least ten days before the meeting, at which time such commissioner shall have the right to be present and produce testimony and evidence. No member of the commission shall continue in office after the loss of any qualification required for appointment to that position. 2. Changes to the City Charter will take effect 90 days from adoption of this ordinance. Adopted by the City Council this Attest: Matthew Jaunich, City Administrator day of 12021. Gary T. Forcier, Mayor HUTCHINSON CITY COUNCIL ct=y�fl1 Request for Board Action 7AL Zwl,7 Agenda Item: Consideration of Amendments to - Pandemic Staffing Policy No. 3.35 Department: Administration LICENSE SECTION Meeting Date: 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: Attached is the City Pandemic Staffing Policy - Police No. 3.35. Administration is proposing to amend the policy as noted and due to the following: Policy 3.35 provides for paid pandemic leave that is available to all regular full time and regular part time employees for a period of up to two weeks at their normal rate of pay. The leave is available to essential employees who are not able to work due to personal illness, quarantine, exposure to the pandemic illness, or other eligible absence, and to non -essential employees who are directed not to report to work, not working remotely, or not able to work due to illness, to care for an ill immediate family member, quarantine, child care issue, or other allowable absence. This leave is in addition to any previously accrued City leave (sick/vacation) and the leave available through the federal Families First Coronavirus Response Act (FFCRA). Per Policy 3.35, this City COVID leave is only available if the City is in a declared State of Emergency. The City has not been in a "state of emergency" for many months, but we continue to deal with numerous employee -related COVID absences. We have employees who have used the 80 hours of emergency sick leave provided by the FFCRA and have extended isolation periods and/or subsequent COVID related incidences where they cannot be at work and are forced to use their City accrued leave, which for some employees is very limited. A situation we have encountered is when there is a family member with COVID, and because our employee cannot isolate form this person, the employee is out of work for up to 24 calendar days. Another situation is an employee who has been out of work for the required 14 days due to a close contact situation and has contracted COVID afterward. To address these unprecedented employee situations related to COVID, it is requested that the City Council consider amending the policy language a proposed to allow the City Administrator to approve use of this temporary City leave, up to the two -week maximum, for those employees who have not yet exhausted this leave balance, retroactive to November 29, 2020. BOARD ACTION REQUESTED: Consideration and adoption of amendments to City policy number 3.35 retroactive to 11/29/2020. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: City of Policy No. 3.35 POLICY -PERSONNEL - PANDEMIC STAFFING DATE ' 4� January 2021 NO. 3.35 SOURCE ADMINISTRATION 4 Pages PURPOSE: To establish a policy for city staffing during a Pandemic Event. STATEMENT OF POLICY: In the event of a pandemic in the City of Hutchinson, where the city would declares an "Emergency Declaration", city staffing may need to be adjusted to slow the spread of the disease, while at the same time allowing the City to continue to provide essential services. 1. What is a Pandemic? According to the Centers for Disease Control and Prevention, a pandemic is a global disease outbreak. A pandemic occurs under the following conditions: a. A new disease emerges, against which there is little or no immunity in humans. b. It spreads easily from human to human; and, c. It infects humans and causes severe illness, and even death. 2. Maintaining City Government City officials are committed to maintaining a working government should pandemic occur. Plans and strategies are being developed to ensure continuous operation of City services. City employees (regular full time and regular part time) may be especially concerned about how a pandemic outbreak could affect their jobs and livelihood. The following information is designed to provide general information on leave and pay options during a pandemic. 3. Work Options Essential/Emergency Employees City employees in the Essential/Emergency service departments that include police, fire, water, wastewater, and other public works departments such as cemetery and streets will be expected to report to work as directed. Absences will only be allowed per the following: 1) the employee's personal illness that may affect other employees, 2) circumstances that will be considered on a case -by -case basis and justify excusing an employee from duty because of an individual hardship or circumstance unique to the employee, and, 3) brief family emergencies. Employees refusing to follow orders may be subject to appropriate discipline, up to and including termination. The City is working to have measures in place to assist these employees to ensure that their families' needs are being adequately addressed to allow them to report to work and to perform their work efficiently and effectively. City employees not normally employed in an essential position but who may have skills and abilities to do so may be required to work in or be assigned to an essential position. Other Employees A pandemic may cause non -essential employees to be unable to work from their regular location, or they may have obligations outside the office because of a pandemic which might prevent them from reporting to their regular work location. Employees may also be unable to work because they or close family members are ill or contagious, or a decision may be made by City officials to reduce the potential for contact by recommending or directing employees remain at home. One way to slow the spread of disease is to minimize person -to -person contact, known as "social distancing". Workplaces may provide opportunities for a disease to spread, so in the event of a severe pandemic, City employees who are able to do so may be directed to work from an alternate location, afforded the opportunity to work an alternative schedule, or possibly telecommute (work from home). Alternative work schedules include, but may not be limited to, the following: a. Establishing different start and stop times for regularly scheduled work days b. Establishing different work days in the established work week c. Compressing work schedules( i.e. allowing an employee who normally works five 8-hour days to work four 10-hour days in the established workweek) d. Reducing hours Telecommuting opportunities will be considered on a case by case basis and allowed only as determined by the City. 4. Absences and Accrued Time If an employee or a family member (spouse, dependent child, parent, adult child, sibling, mother-in-law, father-in-law, grandchild, grandparent, or stepparent) becomes ill, the City Personnel Policy — Employee Handbook provides the following options: a. Sick Leave — The current City sick leave policy as included in the City Personnel Policy — Employee Handbook remains in place in the event of a pandemic influenza. Employees may request to use their accrued sick leave for their own illness or to care for a dependent child who is ill or receiving medical treatment. Up to a maximum of 160 hours of sick leave may be used for caring for the employee's adult child, spouse, sibling, parent, mother-in-law, father-in-law, grandchild, grandparent, or stepparent. b. Sick leave may also be used if health authorities or a health care provider determine that an employee's exposure to a pandemic influenza virus jeopardizes the health of others by their presence on the job, even if he employee has not fallen ill. c. Vacation Leave/Compensatory Time — Employees have the option of requesting the use of accrued vacation leave and/or compensatory time during a pandemic influenza. This option would most likely be used when an employee anticipates that their available sick leave hours will not cover the anticipated absence due to their own personal illness or that of a close family member. Vacation and compensatory time use will not be granted to employees who are needed at work and who are not ill or caring for a sick close family member. Like sick leave, vacation leave may also be used if health authorities or a health care provider determine that an employee's exposure to a pandemic influenza virus jeopardizes the health of others by their presence on the job, even if he employee has not fallen ill. d. Donated Leave — The current City leave donation policy will remain in place during a pandemic influenza. e. Family Medical Leave Act — The Family Medical Leave Act gives eligible employees the right to take up to 12 weeks of leave without pay for a serious health condition or to care for a spouse, dependent child, or parent with a serious health condition. City policy requires that employees substitute accrued sick leave and/or vacation leave for the unpaid time. 5. Paid Pandemic Leave During a pandemic, paid leave is available to all regular full time and regular part time employees for a period of up to two weeks at their normal rate of pay. Paid pandemic leave may not exceed the standard scheduled hours per week for full-time employees and the average scheduled work hours per week for part-time employees. Leave may not result in an overtime situation. The leave is available to essential employees who are not able to work due to personal illness, quarantine, exposure to the pandemic illness, or other eligible absence, and to non -essential employees who are directed not to report to work, not working remotely, or not able to work due to illness, to care for an ill immediate family member, quarantine, child care issue, or other allowable absence. The Paid Pandemic leave is used prior to the use of any accrued sick leave, vacation leave, or compensatory time. When the paid pandemic leave is exhausted, employees may use any other accrued leave for absences related to a pandemic event. The City Council reserves the right to lengthen the available paid pandemic leave period provided by this policy depending on the pandemic situation and advisories issued by the Minnesota Department of Health (MDH) and the Centers for Disease Control (CDC). The temporary pandemic leave ceases when it is exhausted and/or when the Emergency Declaration by the City allowing for the leave is lifted, whichever occurs first. The City Administrator, at his/her discretion, may allow use of the temporary leave during a pandemic when an emergency declaration is not in place. 6. Personal Leave Without Pay If an employee has exhausted his or her available annual or sick leave or other forms of paid time off, he or she may request leave without pay. The City Administrator may grant any regular employee a leave of absence without pay for a period not exceeding 90 days except that the City Administrator may extend such leaves to a maximum period of one year in case the employee is disabled or where extraordinary circumstances, in the City Administrator's judgment, such as a pandemic flu event, warrant such extension. No vacation, holiday, sick leave or other benefits, except group insurance coverage, shall accrue during a leave of absence without pay. The eligibility for group insurance during such leave shall be governed by the terms of the policy in force at the time. The City shall not pay any costs of insurance premiums for an employee taking a (personal) leave of absence without pay. 7. Lay -Off The City may need to lay-off non -essential employees. These employees may substitute accrued time (vacation/compensatory time) in lieu of unpaid lay-off. 8. Employee Pay The City is taking steps to ensure there will be no disruptions to the regular issuance of employee pay during a pandemic. Mandatory direct deposit will remain in effect. In the event of a pandemic disease outbreak, the City will adhere to the Fair Labor Standards Act regarding overtime compensation. Employees may be required to perform overtime work and the City may discipline an employee for failure to report for scheduled overtime work. 9. Insurance Coverage and Other Benefits a. Insurance - It is the City's understanding and intention that health, dental, life, and long term disability insurance benefits will continue regardless of the severity of a health crisis. In the event of unpaid personal leave without pay or a lay-off, insurance coverage ceases per the existing City plan. Employees may purchase coverage at their own expense per COBRA regulations. b. Flexible Spending Accounts (Health Care and Dependent Care) — The City does not see a need for special procedures for the Flexible Spending Account program at this time. Claims will continue to be submitted to TASC, the City's Flex plan administrator for processing and payment. Due to a pandemic event, there may be a significantly increased number of claims. This may increase the time it takes for claims to be processed and reimbursements to be received. 10. Family Plan City employees are encouraged to have a "family emergency plan" for their residence to ensure their family has provisions when the employee reports to work during the emergency. c HUTCHINSON CITY COUNCIL HUTCHINSON Request for Board Action A CITY ON PURPOSE. Calling a Special Workshop Meeting for 4.00 pm on February 9 Agenda Item: Department: Administration LICENSE SECTION Meeting Date: 1/12/2021 Application Complete N/A Contact: Matt Jaunich Agenda Item Type: Presenter: Matt Jaunich Reviewed by Staff ❑� New Business Time Requested (Minutes): 1 License Contingency N/A Attachments: No BACKGROUND/EXPLANATION OFAGENDA ITEM: Staff is looking for the City Council to call a special workshop meeting for 4.00 p.m. on February 9. The purpose of the workshop will be to go through the first draft of a General Fund Balance Policy. This will be a follow up from the discussion that took place at our December 22 city council meeting. BOARD ACTION REQUESTED: Approval of calling a special workshop meeting for 4:00 p.m. on February 9 to discuss a General Fund Balance Policy Fiscal Impact: Funding Source: FTE Impact: Budget Change: New Bu 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 CITY OF HUTCHINSON Pedestrian and Bicycle Advisory Committee Wednesday, December 18th, 2019 2:00 p.m. City Center Meeting Minutes Members present: Michelle Kiefer, John Hassinger Others Present: Dolf Moon, Sara Witte Absent: Kent Exner (City Engineer), John Olson (Public Works), Sara Turrell, Steve Cook, Mark Hanneman, Dave May 1. Review of last meetings minutes — Motion to approve September meeting minutes made by Michelle, seconded by John H. 2. Education/Promotion/Community Wellness a) Bike/Walk to Work/School- Hutch Health helped to organize the walk to school event on Oct. 2"d, with some participation. Bike train has had zero participation. b) Bike Rides- Rotary- Next year date is Sunday 6/14/20. c) Community Events —Wellness Committee/HH is working on a plan -sub committees. d) Friends of Luce Line- No update. e) SHIP -Brett- No update. Walk, Bike, Fun program updates -Michelle -Bike Alliance was renewed from MNDOT 3. Trail Counts Physical counting conducted @ Eheim 2" week of July- Still needing to compile the data into a readable format. 4. Trail Projects 2019 projects: Finished Northwood's trail -completed, 5t' Ave. SW to SE corridor, South Grade road project to be completed in Nov. Will get a 2020 project list from public works for the March meeting. 5. Street Crossings/Bike racks Hwy 7 & Montana update- HAWK system-2020 Elks donated money for the purchase of the bike fix -it station at Rec Center/Aquatic Center, this was installed in September New bike station also added in Silver Lake Talk with John Olson about freshening up sharrows- Franklin & Hassan 6. Luce Line Trail DNR did good job of maintenance along trail this year 7. County Trail- Dakota update Possible bike station to be added in Lester Prairie? 8. Committee Goals for 2020 Other • Passport to the Park -Helmet distribution- maybe see about having an event like this again in the future NEXT MEETING: March 18th, 2020 2:00 p.m. CITY OF HUTCHINSON Pedestrian and Bicycle Advisory Committee Wednesday, September 16th, 2020 2:00 p.m. Via Zoom meeting Meeting Minutes Members present: Michelle Kiefer, Dave May, John Hassinger, Mark Hanneman Others Present: Brett Nelson (SHIP), Sara Witte Absent: Kent Exner (City Engineer), John Olson (Public Works), Dolf Moon (PRCE), Steve Cook 1. Review of last meetings minutes — December 2019 Motion to approve made by Mark H., seconded by John H. 2. Education/Promotion/Community Wellness a) Bike/Walk to Work/School- With Co-VID no organized walk/bike ride, but promoting of a "Bike to Anywhere" day by BikeMN b) Bike Rides- All being done virtual- Jessie James/Tour De Tonka. BikeMN sponsored 4 week long biking campaign. Informal (do on your own) Mark mentioned of the Strava App to keep track of physical fitness activity. John H. mentioned of some seniors riding together when possible. c) Friends of Luce Line- meetings have been held via Zoom d) SHIP -Brett -Wrapping up SHIP grant cycle- MNDOT education campaign and he spoke on the Glencoe Active Living group trying to get some good initiatives going in the Glencoe community. e) Walk, Bike, Fun program updates -Michelle -Putting together a 3 part Teacher guide (self -paced) Zoom training- then small group on site. Also working on Distance Learning guides- Michelle will share with the group 3. Trail Counts Cameras were placed at Bluff, Eheim and Oddfellows in June Physical counting was conducted at Eheim 2nd week of July *Still needing to compile the data into a readable format. 4. Trail Projects 2020 projects: John O. emailed update in May 5. Street Crossings/Bike racks Hwy 7 & Montana update- HAWK system-2020-no update given 6. Trail updates: Luce Line, Dakota, etc. MNDOT trail use counter near Arch Street- no update given 7. Committee Goals for 2020: Community Outreach on bike education- possible after school programs using Bike/Fun activity guides Other discussion: Come up with a possible logo for our committee, something that the community would recognized- Sara will have Leslie in the PRCE office work on some ideas Common Cup ministries gave away 25-30 bikes at the end of summer, they are always looking for more Brett spoke more on the Glencoe "In Motion" group. They have their own facebook page and logo Some of their initiatives include: Supporting of walking/biking in Glencoe Signage- showing distance between frequented locations in the community Designate a bike/ped group Walking challenge in spring 2021 Colorful crosswalks NEXT MEETING: December 16th, 2020 2:00 p.m. Library Board Meeting September 21, 2020 Note: After an extended furlough from in -person meetings, Library Board members met, socially distanced, at the Pavilion in Library Square, at 4:30 pm, on the 21 st. Katy Hiltner, librarian, kept the Board well-informed of all Library activities during the months without meetings. Board President, Carolyn Ulrich, and members expressed their appreciation of the many creative efforts taken by library staff to continue appropriate (within pandemic guidelines) services to the citizens of Hutchinson. Members Present: Carolyn Ulrich, Mary Christensen, Margaret Hoffman, Kay Hultgren, Dianne Wanzek, and Katy Hiltner, Ex-officio. Excused: Jared Golde and Julie Lofdahl Minutes from the February 24, 2020, meeting were reviewed and accepted. Old Business: 1. Overview of Library Services and Happenings (March -September): Bd members again expressed their appreciation for Katy's frequent updates about services, staff, etc. Staff Changes: Carol Koehler, Library Assist. II, retired in June. Two new Library Assistant I staff have been hired. Rachelle Golde is now Children's Librarian for both Hutchinson and Litchfield, spending 2 days a week at each location, with one "digital" day. This gives her full-time status, with her salary split between the two library budgets. COVID Safety Measures: Katy reported that library staff feels supported by good safety measures such as: installation of plexiglass at desk, a good cleaning crew, quarantine room (meeting room) for materials, and other actions (appointments, etc.). 2. Board Terms: Carolyn has accepted her second term on the Board and will remain President. All other officers are staying on in their positions (Dianne Wanzek, v-pres.; Kay Hultgren, sec.; Julie Lofdahl, back-up secretary). 3. Program Reports and Updates: Digital Programs: Several opportunities have been offered and taken advantage of by the public throughout past months. Online Book Discussion: A large number, of the 38 registered, participated in reading and discussing the book, How to Be an Anti -Racist. Summer Reading: A total of 16 adults participated in the Adult Summer Reading Challenge. Six grand prize winners were rewarded with certificates for Culver's custard. The library is greatly appreciative of Culver's donation of prizes. Youth Services: Board members received an extensive report from Rachelle Golde, describing all the programs offered for children, teens/YA during the summer, as well as those being offered this fall. Summer programs ranged from digital book programs, cable TV story times, take and make kits, posts about ideas and activities for Coding and Lego clubs, etc. Fall programs will extend summer offerings, with the addition of a digital bedtime story time, book clubs, etc. (Please see the attached report for detailed information.) Grants: A grant applied for, from Kiwanis Club, resulted in the library receiving $900 for purchasing early literacy and sports books. A grant for $2000, from the LJ Burich Foundation, will go towards purchasing books in Spanish for all collections. Page 2 New Business: 1. 2021 Budget Request: Katy reported that there will not be an increase in the budget request to Pioneerland for 2021. The library has funds in reserve to apply toward salary increases and other planned expenditures. 2. Phases of Library Services: Appointments: appointments for in -library services will continue. Access: Doors remain locked to better monitor access for appointments and services. This will be reviewed from time to time. 3. Virtual Programs for Fall/Winter: Youth Services: Detailed in Rachelle's report. Adults: Katy plans to submit two Legacy grants for the McLeod County Libraries. The One Book, One Community committee is planning a virtual program for the selected community read book. Friends of the Library continue with their table of books for sale inside the library. In addition, they are considering putting a cart outside (free-will donations) with a selection of books from their abundant stock. 4. Library Buzz: Board members shared one book title from the many they have read over the past few months: Katy: Anxious People (F) by Fredrik Backman Margaret: The Splendid and the Vile (NF) by Erik Larson Kay: There, There (F) by Tommy George Dianne: The Book Woman of Troublesome Creek (F) by Kim Michele Richardson Carolyn: Cross of Snow (NF) by Nicholas Basbanes February -September Donations and Grants: Kiwanis Club Grant $900.00 Friends of Library $5,555.92 (payment for DVDs and audio books in 2019) I.J. Burich Family Foundation grant $2,000.00 3M Grant $500.00 (summer reading program) American Legion Aux. $100.00 (book memorials) Everett "Les" Young Family donation $100.00 (book memorial) Anonymous Donations $20.00 Total=$9175.92 Next Meeting: TBD Minutes submitted by Kay Hultgren, Secretary MINUTES Regular Meeting — Hutchinson Utilities Commission Wednesday, November 25, 2020 Call to order — 3:00 p.m. President Don Martinez called the meeting to order. Members present: President Don Martinez, Vice President Matt Cheney; Secretary Robert Wendorff; Commissioner Monty Morrow; Commissioner Anthony Hanson; GM Jeremy Carter; Attorney Marc Sebora; Conflict of Interest 2. Approve Consent Agenda a. Approve Minutes b. Ratify Payment of Bills Motion by Commissioner Morrow, second by Commissioner Cheney to approve the Consent Agenda. Motion carried unanimously. 3. Approve Financial Statements GM Carter presented the Financial Statements. Electric Division net profit increased by S17k despite lower usage and revenues mostly from a decrease in expenses directly related to providing power including purchased power, transmission, and fuels. There was no power cost adjustment for October. Natural Gas Division net profit increased by $19k led by an increase in customer revenue along with a decrease in operating expense. December is looking to be milder. Motion by Commissioner Cheney, second by Commissioner Wendorff to approve the financial statements. Motion carried unanimously. 4. Open Forum 5. Communication a. City Administrator — Matthew Jaunich — Absent b. Divisions i. Dan Lang, Engineering Services Manager — Absent ii. Dave Hunstad, Electric Transmission/Distribution Manager — Absent iii. Randy Blake. Production Manager — Absent iv. John Webster. Natural Gas Division Director — Absent v. Jared Martig, Financial Manager- Absent c. Human Resources - Brenda Ewing — Absent d. Legal — Marc Sebora — i. City Council approved the reappointment of Commissioner Wendorff e. General Manager — Jeremy Carter i. EV Charger update ii. Staff is working alternating half crew shifts. This plan is consistent with the earlier plan implemented back on April 6. This initial plan will last until January 8. iii. Working on year end tasks iv. Plant 2 substation and site work will start late this week/early next week. 6. Policies a. Review Policies i. CIP Rebate Level of Authority ii. Delegation of Authority Policy iii. Financial Reserve Policy iv. Investment Policy v. Purchasing Policy/Credit Cards/Fixed Assets vi. Service Beyond City Limits of Hutchinson No changes recommended at this time. b. Approve Changes i. Payments of HUC Payables ii. Surplus Property Policy GM Carter noted the revised date for the New Year on Payments of HUC Payables. GM Carter and Mr. Sebora reviewed the Surplus Property Policy and changes are recommended to more mirror the state and keep HUC in compliance. Motion by Commissioner Hanson, second by Commissioner Cheney to Approve Policy changes. Motion carried unanimously. 7. Unfinished Business a. Approve Bright Energy Choices Program GM Carter recapped last month's discussion regarding the Bright Energy Choices Program. Discussions were held on if the program would be voluntary, community participation and if this program would assist companies coming to town. Currently HUC's total energy supply is 71 percent carbon -free based upon energy generated from wind, solar. nuclear, and other carbon -free energy sources. Through this Bright Energy Choices Program, HUC can purchase Renewable Energy Credits (REC's) from MIRES to offset the remaining 29 percent of energy coming from carbon -based power resources and make Hutchinson 100 percent carbon free. GM Carter noted for any commercial customer choosing the 100% renewable option, HUC will cover the first 29% of the REC's to be consistent with the amount purchased for the customers to be 100% carbon -free or "Clean" energy. Consensus from the board is to move forward with the Bright Energy Choices Program and to review on an annual basis. 2 Motion by Commissioner Hanson, second by Commissioner Morrow to Approve the Bright Energy Choices Program for all of HUC's rate classes to move to 100% clean energy with the option for commercial customers to go 100% renewable as an adder at the customer's discretion and for this Bright Energy Choices Program to be reviewed annually starting the Fall of 2021. Motion carried unanimously. 8. New Business a. Approve Non -Waiver of Tort Liability Limits for General Liability Insurance GM Carter presented the requirement by League of Minnesota Cities Insurance Trust. Staff is recommending to not waive the tort liability limits. Completion of the Wavier form is done annually. In the past HUC has not waived the municipal tort limit. After discussion, a motion by Commissioner Cheney, second by Commissioner Wendorff to Approve Non -Waiver of Tort Liability Limits for General Liability Insurance. Motion carried unanimously. b. Approve Customer Uncollectable Write -Offs GM Carter presented the Customer Uncollectable Write -Offs. HUC is requesting to approve write-offs of $24,998.20. This amount is more than last year due to a retail company filing bankruptcy. Mr. Morrow recognized the Staff on a job well done. A motion by Commissioner Morrow, second by Commissioner Cheney to Approve Customer Uncollectable Write -Offs. Motion carried unanimously. c. Approve Selling of Surplus Vehicles GM Carter presented Selling of Surplus Vehicles. As part of HUC's Fleet Management Program, it is recommended to sell the listed vehicles from the 2020 Fleet Schedule. After discussion, a motion by Commissioner Hanson, second by Commissioner Cheney to Approve Selling of Surplus Vehicles. Motion carried unanimously. d. Discuss Date for Performance Review of Hutchinson Utilities General Manager Ms. Radke discussed the Date for Performance Review of Hutchinson Utilities General Manager. Per the General Manager's contract with Utilities, an annual Performance Review is to be conducted. Generally, this review has occurred in December at the scheduled Commission Meeting or it can occur at a Special 3 Meeting. It is up to the Commission on when the Performance Review should be held. GM Carter would have the opportunity to decide if it would be an open or closed session. When the date is decided, review forms will be sent to all the Commissioners. After Commissioners have completed and returned review forms, all results will be compiled for discussion at the review. After discussion, GM Carter and Commissioners agreed to have the review at the December 16, 2020 Commission Meeting. e. 2021 Budget Presentation GM Carter presented HUC's 2021 Preliminary Budget. GM Carter noted Bright Energy Choices is not included in this. GM Carter highlighted for combined divisions, revenues are at $41.3M with expenses at S39.8M with a Net Profit of $1.6M, which was an increase in net profit of $163K over last year. Both the Electric Division and Gas Division remained stable. Electric Division, Retail Customer Sales is at $25.41M down by $186K, which is based on only projecting $1.3M in PCA, where last year it was $1.5M. Forecasted Kwhr sales for 2021 is 281,099,231 kwhr's which is a .43% reduction from 2020 of 282,305,883 kwhr's. Sales for Resales, projecting $353K increase over 2020 budget. Capacity Sales are increasing to $474K while showing a decrease in Market Sales of $121 K. Other Revenues of $308K is made up of Additional customer charges (only budgeting 6 months), Interest Earnings and Bond Premiums. GM Carter reviewed the Pictorial Graphs; these graphs show the overall comparison as to how the revenue is derived. The Consumption History graph shows a snapshot of each customer class loads, which is fairly flat. GM Carter spoke on the Electric Division Expense Budget Highlights. Health Insurance will be staying with Medica with a 7% decrease. Dental, LTD, Basic Life & AD &D benefits remain the same. PILOT remains the same as the 2020 Budget. GM Carter reviewed the GRE/MISO Transmission Expense of a S520K increase, along with the MIRES Baseload Contract Expense of a $458K decrease. Additional Operating Expenses of $25K for Compensation Study, $25K for Citizen Survey Study, $50K for Electric Distribution Study, $50K for McLeod Sub SCADA design and commissioning work and S30K for LED Light Retrofitting Project were also highlighted. Mr. Sebora left the meeting at 3:50pm. After discussion of the Electric Division preliminary budget, GM Carter reviewed an overview of the Natural Gas Division. Retail Customer Sales has a decrease of $21 K and shows a 1.36% increase in forecasted Retail MCF's sold. Contract Sales of 3M and HTI show a decrease in revenue of $67K. GM Carter highlighted Other Revenues of $2.1M; which are made up of N.U/HCP/UFC Transport/ 4 Reservation Fees, Electric Division Transportation Fees, Bond Premiums, Late Charges/Fees (only budgeting 6 months), Interest Income and Brownton & HCP operation/maintenance Agreement. GM Carter noted Brownton is looking to add water meters but HUC is not able to help with this project until after the first of the year. GM Carter concluded by reviewing the pictorial graphs and expense budget highlights of the Natural Gas Division. Additional Operating Expenses of $10K for RTU's/Flow Boss equipment, $40K for Transmission ROW Maintenance, $25K for Compensation Study, $25K for Citizen Survey Study and S30K for LED Light Retrofitting Project were also highlighted. GM Carter noted that currently HUC is at 53 FTE and anticipate to stay in the range of 50-53. GM Carter spoke of the oil spray problems with Units 6 & 7. HUC has been running the engines trying to reach the 1,000 hour mark but have been experiencing several issues. The engines have developed an oil leak at the crankshaft end next to the generator. The engines have been tripping off-line due to an oil mist shutdown. Engineers have not been able to travel to HUC due to COVID-19 but has been in contact through conference calls. Staff, Caterpillar and Ziegler from Shakopee have been continuing to work on the oil spray issues. GM Carter noted PILOT conversations will need to start again the first part of 2021. GM Carter looked to the Commission for questions, concerns or comments on the 2021 Budget Presentation. There were no concerns from the Commissioners. 9. Adjourn There being no further business, a motion by Commissioner Cheney, second by Commissioner Hanson to adjourn the meeting at 4:19p.m. Motion carried unanimously. ATTEST: Don Martinez, President 5 Robert Wend6rff, Secr