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cp02-14-2006 c
AGENDA REGULAR MEETING — HUTCHINSON CITY COUNCIL TUESDAY, FEBRUARY 14, 2006 1. CALL TO ORDER — 5:30 P.M. 2. INVOCATION — Rev. Jon Lindekugel, Christ the King Lutheran Church 3. PLEDGE OF ALLEGIANCE 4. MINUTES (a) REGULAR MEETING OF JANUARY 24, 2006 (b) BID OPENING MINUTES OF FEBRUARY 2, 2006 (WATER TREATMENT PLANT REPLACMENT — BUILDING 10) (c) SPECIAL CITY COUNCIL MEETING OF FEBRUARY 7, 2006 (d) HWY 7 PROJECT PUBLIC HEARING MINUTES OF FEBRUARY 7, 2006 Action - Motion to approve as presented 5. CONSENT AGENDA (a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS 1. PUBLIC LIBRARY BOARD MINUTES FROM NOVEMBER 28, 2005 2. MOTOR VEHICLE MONTHLY REPORT FOR DECEMBER 2005 3. FIRE DEPARTMENT MONTHLY REPORT FOR JANUARY 2006 4. AIRPORT COMMISSION MINUTES FROM NOVEMBER 17, 2005 5. PARKS, RECREATION, COMMUNITY EDUCATION BOARD MINUTES FROM DECEMBER 7, 2005 6. 14UTCHINSON UTILITIES COMMISSION FINANCIAL REPORT FOR DECEMBER 2005 7. HUTCHINSON AREA HEALTH CARE FINANCIAL REPORT FOR DECEMBER 2005 (b) RESOLUTIONS AND ORDINANCES 1. RESOLUTION NO. 12903 — RESOLUTION AUTHORIZING PARTICIPATION IN THE MINNESOTA HOUSING FINANCE AGENCY HOME RENTAL REHABILITATION PROGRAM 2. RESOLUTION NO. 12904 — RESOLUTION AUTHORIZING EXECUTION OF MAINTENANCE AND OPERATION AGREEMENT WITH MINNESOTA DEPARTMENT OF TRANSPORTATION FOR MAINTENANCE OF HUTCHINSON MUNICIPAL AIRPORT 3. RESOLUTION NO. 12905 — RESOLUTION CANVASSING ELECTION RETURNS OF SPECIAL MUNICIPAL ELECTION HELD ON JANUARY 31, 2006 4. RESOLUTION NO. 12909 — RESOLUTION FOR PURCHASE (SEWER TELEVISING, UNLEADED GAS, MANURE, BAG FILM, CONTROL PANEL) 5. RESOLUTION NO. 12910 — RESOLUTION RELEASING PLEDGED SECURITIES FROM FIRST MINNESOTA BANK 6. RESOLUTION NO. 12911 — RESOLUTION RELEASING PLEDGED SECURITIES FROM CITIZENS BANK & TRUST CO. CITY COUNCIL AGENDA — FEBRUARY 14, 2006 7. ORDINANCE NO. 06 -0427 - CONSIDERATION OF REZONING TWO LOTS FROM INDUSTRIAL /COMMERCIAL TO R2 TO REMAIN RESIDENTIAL USE LOCATED AT 535 AND 545 5 AVENUE SE WITH STAFF RECOMMENDATION AND FAVORABLE RECOMMENDATION (SECOND READING AND ADOPTION) 8. ORDINANCE NO. 05 -0424 - CONSIDERATION OF AMENDMENT TO THE ORDINANCE REGARDING LOT COVERAGE IN THE RI, R2 AND R3 DISTRICTS - SINGLE AND TWO FAMILY WITH STAFF RECOMMENDATION AND FAVORABLE RECOMMENDATION (SECOND READING AND ADOPTION) (c) CONSIDERATION FOR APPROVAL OF 2005 HUTCHINSON ECONOMIC DEVELOPMENT AUTHORITY ANNUAL REPORT (d) CONSIDERATION FOR APPROVAL OF LEASE AGREEMENT WITH NUTRITION SERVICES FOR USE OF SENIOR CENTER DINING ROOM (e) CONSIDERATION FOR APPROVAL OF PREMISES PERMIT RENEWAL APPLICATION FOR VOITURE 414 40 & 8 LOCATED AT AMERICAN LEGION (fl CONSIDERATION FOR APPROVAL OF MASSAGE LICENSE FOR CHERYL ROWE TO OPERATE A MASSAGE FACILITY LOCATED AT 116 MAIN STREET SOUTH (g) CONSIDERATION FOR APPROVAL OF SHORT -TERM GAMBLING LICENSE FOR VFW POST 906 AUXILIARY ON MARCH 16, 2006, AT VFW POST 906 (h) CONSIDERATION FOR APPROVAL OF HAULING LICENSE RENEWAL FOR TCW DISPOSAL, INC. (i) CONSIDERATION OF CONSULTING CONTRACT WITH AE2S FOR CENTURY AVENUE WATER . TOWER REFURBISHMENT (j) CONSIDERATION OF CONSULTING CONTRACT WITH BRAUN INTERTEC FOR PAVEMENT MANAGEMENT DEFLECTION TESTING AND ANALYSIS (k) CONSIDERATION FOR APPROVAL OF CHANGE ORDERS FOR LIQUOR STORE PROJECT Action — Motion to approve consent agenda 6. PUBLIC HEARINGS — 6:00 P.M. - NONE 7. COMMUNICATIONS, REQUESTS AND PETITIONS (a) PRESENTATION BY MILES SEPPELT, EDA DIRECTOR, ON PROPOSED EMINENT DOMAIN LEGISLATION No action. 8. UNFINISHED BUSINESS (a) CONSIDERATION FOR APPROVAL OF ESTABLISHING TASK FORCES TO REVIEW CITY OPERATIONS AND POLICIES (SNOW REMOVAL TASK FORCE, REGIONAL TRANSPORTATION TASK FORCE, STREET LIGHTING TASK FORCE AND ASSESSMENT POLICY TASK FORCE) Action — Motion to reject — Motion to approve (b) CONSIDERATION FOR APPROVAL OF CONTRACT EXTENSION WITH SCOTT EQUIPMENT TO . OPERATE BIOSOLIDS DRYER Action — Motion to reject — Motion to approve CITY COUNCIL AGENDA — FEBRUARY 14, 2006 9. NEW BUSINESS . (a) REVIEW OF WASTEWATER TREATMENT FACILITY SERVICES PLAN BY WOLD ARCHITECTS Action - (b) REVIEW BY WOLD ARCHITECTS OF CANOPY DESIGN AT EVENT CENTER AND CONSIDERATION FOR APPROVAL OF ADVERTISEMENT FOR BIDS Action — Motion to reject — Motion to approve (c) CONSIDERATION FOR APPROVAL OF FIRE DEPARTMENT RELIEF ASSOCIATION PENSION INCREASE Action — Motion to reject — Motion to approve (d) CONSIDERATION OF ISSUES RELATED TO WATER TREATMENT PLANT IMPROVEMENTS - CHANGE ORDER FOR RO FILTER STORAGE - CONSULTING AGREEMENT FOR WATER TREATMENT PLANT IMPROVEMENTS - AWARDING CONTRACT FOR WATER TREATMENT IMPROVEMENTS Action — Motion to reject — Motion to approve (e) REVIEW OF CROW RIVER DAM PROJECT STATUS Action — (f) CONTINUED DISCUSSION OF 2007 BUDGET PARAMETER CONSIDERATIONS - OVERALL DOLLAR AMOUNT OR PERCENT INCREASE IN LEVY DOLLARS • - NEW GROWTH DOLLARS - LGA HOLDBACK - TAX RATE Action - (g) CONSIDERATION FOR APPROVAL OF SETTING JOINT MEETING WITH HUTCHINSON HOUSING & REDEVELOPMENT AUTHORITY FOR MARCH 21, 2006, AT 8:30 A.M. AT THE CITY CENTER Action — Motion to reject — Motion to approve (h) CLOSED SESSION UNDER MINNESOTA STATUTE 13D.05, SUBD. 3(C) TO CONSIDER PROPERTY ACQUISITION (SKYDIVE HUTCHINSON PROPERTY FOR AIRPORT & OTHER USES) Action - 10. MISCELLANEOUS (a) COMMUNICATIONS 11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS 12. ADJOURN • 3 MINUTES REGULAR MEETING — HUTCHINSON CITY COUNCIL TUESDAY, JANUARY 24, 2006 1. CALL TO ORDER — 5:30 P.M. Mayor Steve Cook called e meeting to order. Members present were Bill Arndt, Kay Peterson, Jim Hauggen and Casey Stotts. Others present were Gary Plotz, City Administrator, Kent Exner, City Engineer and Marc Sebora, City Attorney. 2. INVOCATION — Rev. Max Myers, Riverside Assembly of God Church, delivered the invocation. 3. PLEDGE OF ALLEGIANCE 4. MINUTES (a) REGULAR MEETING OF JANUARY 10, 2006 Motion by Stotts, second by Peterson, to approve the minutes as presented. Motion carried unanimously. 5. CONSENT AGENDA (a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS 1. HUTCHINSON HOUSING & REDEVELOPMENT AUTHORITY BOARD MINUTES FROM DECEMBER 20, 2005 2. PLANNING COMMISSION MINUTES FROM DECEMBER 20, 2005 • 3. MOTOR VEHICLE MONTHLY REPORT FOR NOVEMBER 2005 4. CREEKSIDE ADVISORY BOARD MINUTES FROM DECEMBER 21, 2005 5. HUTCHINSON AREA HEALTH CARE BOARD MINUTES FROM DECEMBER 20, 2005 6. CITY OF HUTCHINSON FINANCIAL REPORT FOR DECEMBER 2005 7. CITY OF HUTCHINSON INVESTMENT REPORT FOR DECEMBER 2005 (b) RESOLUTIONS AND ORDINANCES 1. RESOLUTION NO. 12898 — RESOLUTION FOR PURCHASE (CONTRACT TO RUN BIOSOLIDS DRYER, THREE DODGE PICKUP TRUCKS) 2. RESOLUTION NO. 12901 — RESOLUTION ESTABLISHING INCOME GUIDELINES AND ASSET LIMITATIONS FOR SENIOR & DISABLED CITIZENS (c) PLANNING COMMISSION ITEMS 1. CONSIDERATION OF REZONING TWO LOTS FROM INDUSTI�UCOMMERCIAL TO R2 TO REMAIN RESIDENTIAL USE LOCATED AT 535 AND 545 5 AVENUE SE WITH STAFF RECOMMENDATION AND FAVORABLE RECOMMENDATION (WAIVE FIRST READING AND SET SECOND READING AND ADOPTION OF ORDINANCE NO. 06-0427 FOR FEBRUARY 14, 2006) 2. CONSIDERATION OF A CONDITIONAL USE PERMIT TO AMEND THE PLANNED DEVELOPMENT DISTRICT IN FAIRWAY ESTATES SECOND ADDITION TO ALLOW CONSTRUCTION UP TO THE FRONT AND REAR PROPERTY LINES LOCATED AT 1187 . OAKWOOD COURT NW WITH STAFF RECOMMENDATION AND FAVORABLE RECOMMENDATION (ADOPT RESOLUTION NO. 12897) CITY COUNCIL MINUTES — JANUARY 24, 2006 3. CONSIDERATION OF AMENDMENT TO THE ORDINANCE REGARDING LOT COVERAGE IN THE RI, R2 AND R3 DISTRICTS - SINGLE AND TWO FAMILY WITH STAFF RECOMMENDATION AND FAVORABLE RECOMMENDATION (WAIVE FIRST READING AND SET SECOND READING AND ADOPTION OF ORDINANCE NO. 05-0424 FOR FEBRUARY 14, 2006) 4. CONSIDERATION OF FINAL PLAT TO BE KNOWN AS COMMUNITY OF LAKERIDGE (RECONFIRMATION OF RESOLUTION NO. 12529) (d) CONSIDERATION FOR APPROVAL OF SHORT -TERM GAMBLING LICENSE FOR MCLEOD DEER HUNTERS ASSOCIATION ON APRIL 1, 2006, AT MCLEOD COUNTY FAIRGROUNDS (e) CONSIDERATION FOR APPROVAL OF SHORT -TERM GAMBLING LICENSE FOR THE HUTCHINSON ROTARY FOUNDATION ON APRIL 21, 2006, AT MCLEOD COUNTY HISTORICAL SOCIETY (f) CONSIDERATION FOR APPROVAL OF SHORT -TERM GAMBLING LICENSE FOR CROW RIVER HABITAT FOR HUMANITY ON AUGUST 20, 2006, AT MCLEOD COUNTY FAIRGROUNDS (g) CONSIDERATION FOR APPROVAL OF PREMISES PERMIT RENEWAL FOR ELKS LODGE TO CONDUCT GAMBLING ACTIVITIES AT ELKS LODGE IN HUTCHINSON (h) REAPPOINTMENT OF MIKE MCGRAW TO EDA BOARD TO DECEMBER 2011 (i) APPOINTMENT OF MARVIN NISSEN TO THE TREE BOARD TO APRIL 2008 �) CLOCK S AND C SCO NETWORK EQUIPMENT AS REQUESTED BY HUTCHINSON AREA HEALTH CARE • (k) CONSIDERATION FOR APPROVAL OF 2006 TECHNOLOGY POLICY Items 5(b)1, 5(b)2, and 5(c)3 were pulled for separate action. Motion by Stotts, second by Haugen, to approve consent agenda with the exception of the items mentioned above. Motion carried unanimously. Item 5(b)l had further discussion. Council Member Stotts asked for an update on the status of the biosolids facility and did not feel comfortable approving the contract for the biosolids dryer until an update was given. Motion by Stotts, second by Peterson, to approve Resolution No. 12898, with the exception of approving the biosolids dryer contract. Motion carried unanimously. Item 5(b)2 had further discussion. Gary Plotz, City Administrator, clarified that these income guidelines have been updated from last year. Motion by Stotts, second by Haugen, to approve Resolution No. 12901. Motion carried unanimously. Item 5(c)3 had further discussion. Julie Wischnack, Director of Planning/Zoning/Building, presented before the Council. Ms. Wischnack explained that the Planning Commission has discussed this topic several times. The current proposal is to increase lot coverage to 50% for R I, R2 and R3 districts for single and two-family homes. Ms. Wischnack explained that this proposal is supported unanimously by the Planning Commission and is based mainly on stormwater management. Currently, 35% maximum lot coverage is allowed for twin homes. This ordinance would not apply to planned development districts because of the regulations already imposed on them. One thing to consider is that if a current home is near the maximum 50% coverage and they apply to build a deck, they may not be able to do the addition unless some sort of impervious area is removed. Mayor • Cook suggested including language in the ordinance explaining the purpose of the ordinance which includes stormwater management. 2 q (0) CITY COUNCIL MINUTES — JANUARY 24, 2006 Motion by Peterson, second by Stotts, to defer this item to February 14, 2006. Motion carried unanimously. • Brandon Fraser, 510 Jackson Street, presented before the Council. Mr. Fraser stated that he agrees with the fact that 50% lot coverage is adequate for single homes. However, Mr. Fraser felt that the proposed 50% for twin homes may be too restrictive. Mr. Fraser stated that generally one level twin homes are built somewhat larger square footage -wise, and then to include patios, decks, garages, driveways, etc. the 50% seems to be too restrictive. 6. PUBLIC HEARINGS — 6:00 P.M. - NONE 7. COMMUNICATIONS, REQUESTS AND PETITIONS (a) PRESENTATION ON PUBLIC ARTS INITIATIVE Mayor Cook stated that he had requested that a task force be put to .ðer to research expanding public art to enhance the city more. Good examples of public art include the additions to Library Square. Linda Remucal, Hutchinson Community Foundation, Tom Wirt, artist and community at large, LuAnn Drazkowski, Crow River Arts, Marc Vaillancourt, Chamber of Commerce, Doff Moon, PRCE and Julie Wischnack, PZB are members of this task force. Linda Remucal commented on the gifts that have been given to the city to enhance art throughout the city. These gifts include fountains, statues, benches, etc. The task force has written an unofficial inventory of the amount of art throughout the city. Research has shown that art adds beautification impacts as well as economic impacts to a city. Some current public art includes parks, landscaping, statues, gardens, artists and vocalists. Some issues that come along with gifts of art include maintenance and acceptance procedures. Tom Wirt presented before the Council. Mr. Wirt explained the process and charge of the Public Arts Initiative. Books were read and field trips were taken as part of this process. One item that the Initiative discussed was considering how to incorporate additional public art into the newer parts of the city. Mr. Wirt stated that public • art can enhance a city's economic development and tourism. LuAnn Drazkowski presented before the Council. Ms. Drazkowski shared the inventory taken of the public art throughout the city. Ms. Drazkowski also talked about incorporating public art from the start of a project, whether it be new buildings, renovations, new construction, etc. She stated that public art should be a standard considered with all projects. Ms. Drazkowski also spoke about intan&ible art such as the community theatre and various singing groups. Ms. Drazkowski shared historical information regarding the mural that is in the post office. Marc Vaillancourt presented before the Council. Mr. Vaillancourt offered recommendations from the Initiative. These include creating a Public Arts Commission imposing accomplishments completed within 18 months. This group would identify standards, guidelines, funding, maintenance, branding, and acceptance procedures, as well as identify opportunities and priorities. The Commission would also identify ordinances necessary for implementation and maintenance of public art. Lastly, the group would create a communication plan to the public and city departments. More formal action will be considered at the next City Council meeting. 8. UNFINISHED BUSINESS (a) CONSIDERATION FOR APPROVAL OF AMENDING 457 PLAN (DEFERRED COMPENSATION) DOCUMENT Marc Sebora, City Attorney, reminded the Council that this was initially introduced at the last meeting in December. More information has yet to be collected. Motion by Peterson, second by Haugen, to table action on this item indefinitely. Motion carried unanimously. • (b) CONSIDERATION FOR APPROVAL OF ADOPTING 2006 CITY OF HUTCHINSON WATER WASTEWATER REFUSE COMPOST BUDGET (ADOPT RESOLUTION NO. 12893) (� [°)� CITY COUNCIL MINUTES — JANUARY 24, 2006 Ken Merrill, Finance Director, presented before the Council. Mr. Merrill reminded the Council that this item • was deferred from the last meeting to tie in with the proposed 2006 water /sewer /refuse fees. This resolution is different from the previous proposed as the revenue has been increased due to increased garbage, water and sewer rates. Mr. Merrill also presented garbage rates including four -year depreciation which would decrease the garbage, water and sewer rates between 9 %- 13.8 %. Gary Plotz noted that these garbage rates include pick up for two carts: the garbage cart and organics cart. The increase from last year to this year (not including the four - year depreciation) is an approximately 17% increase. Ken Merrill spoke about the loan to the liquor store from the water /sewer fund. He stated that ifthe loan would not have been made to the liquor store, it could have been used for the water plant project. However, the liquor store will be paying interest back to the water /sewer fund, as well as principal. Interest received from the liquor store will offset any interest from the same amount of money borrowed for the water /sewer projects. The liquor store loan is not impacting rates. Motion by Arndt, second by Haugen, to approve adopting 2006 Water/Wastewater/Ref ise /Compost budget with the four -year depreciation rates incorporated, adopting Resolution No. 12893. The final budget adopted will be lower than proposed as the rates will be reduced. Motion carried unanimously. 9. NEW BUSINESS (a) CONSIDERATION FOR APPROVAL OF ADOPTING 2006 FEE SCHEDULES FOR WATER/W ASTEWATER/REFU SE Motion by Stotts, second by Arndt, to approve adoption of 2006 fee schedules for Water/Wastewater and amending Refuse rates to include four -year depreciation. Motion carried unanimously. (b) CONSIDERATION FOR APPROVAL OF SETTING PUBLIC HEARINGS FOR HIGHWAY 7 PROJECT — LETTING NO. 1, PROJECT NO. 96-01 . - ORDERING PREPARATION OF REPORT ON IMPROVEMENT - RECEIVING REPORT AND CALLING HEARING ON IMPROVEMENT - ORDERING IMPROVEMENT AND PREPARATION OF PLANS - APPROVING PLANS & SPECIFICATIONS AND ADVERTISEMENT FOR BIDS Kent Exner, City Engineer, presented before the Council. Mr. Fxner explained that this is part of the city assessment process. The reconstruction will run on Hwy 7 from 5 Avenue NE to Shady Ridge Road. Stage 1 of the project is planned to be constructed Spring 2006 —June 2006 with Stage 2 taking place from June 2006 — Late 2006. Stage 3, from Water Street to Shady Ridge Road, is proposed to be constructed in 2007. Mn/DOT improvements include a five -lane concrete roadway, crosswalks, sidewalks & trails, traffic signals, retaining walls and a new Main Street bridge with Luce Line Trail underpass. The City's improvements include new trunk sanitary sewer system, new trunk watermain system, new water and sewer services, storm sewer and treatment pond improvements, reconstruction of side streets, completion of TH7 service road and Montana Street extension. The total cost of the project is estimated at $28.7 million which does not include MnDOT bridge, landscaping, traffic signal and lighting design or local efforts. The estimated proi ect cost for the city's improvements are estimated at $4.9 million, or roughly 20% of the project. This n be funded from the sanitary sewer fund, watermain fund, city bonding and assessments. Mr. Exner further explained the cost sharing of the project between the City and the property owner. Assessments to property owners for sanitary sewer and water services are estimated at $3000 -$5000 and for general street/drainage assessments are estimated at $45 -55 /front foot. Mr. Exner then covered the public hearing process which is proposed to be held February 7, 2006, at 6:30 p.m. at the Event Center. Motion by Peterson, second by Stotts, to approve ordering preparation of report on improvement, receiving report and calling hearing on improvement (February 7, 2006, at 6:30 p.m. at the Event Center), ordering improvement and preparation of plans and approving plans & specifications and advertisement for bids. Motion carried unanimously. • (c) CONSIDERATION FOR APPROVAL OF ESTABLISHING TASK FORCES TO REVIEW CITY OPERATIONS AND POLICIES - SNOW REMOVAL TASK FORCE 4 kA b2) CITY COUNCIL MINUTES —JANUARY 24, 2006 - REGIONAL TRANSPORTATION TASK FORCE - STREET LIGHTING TASK FORCE • - ASSESSMENT POLICY TASK FORCE John Olson, Public Works Superintendent, presented before the Council. Mr. Olson stated that the task force concept was brought about because these issues are significant, somewhat complicated and involve several agencies. The need for the task forces is for guidance in developing policies and provide direction. Mr. Olson requested the Council formally establish these task forces and consider which they may like to serve on. Marc Sebora City Attorney, suggested that these task forces be established via resolution. John Olson stated he will prepare a resolution for the Council's consideration at the next Council meeting. Council Member Stotts encouraged the public to contact John Olson if they are interested in serving on any of these task forces. (d) CONSIDERATION FOR APPROVAL OF ENVIRONMENTAL CONSULTING SERVICES CONTRACT WITH BRAUN INTERTEC — PREPARATION OF RESPONSE ACTION PLAN FOR METHANE MONITORING AT THE FORMER ARMORY LANDFILL SITE Kent Exner stated that the City entered into the MPCA's Voluntary Investigation and Cleanup Program several years ago as part of the application for the fire training tower. The MPCA is requesting that the City address several environmental and safety issues. A few remaining issues entail further environmental monitoring and documentation and should be studied by experts in this field. Staff is requesting that a contract be entered into with Braun Intertec to address these issues and submit a formal action plan to the MPCA. Motion by Arndt, second by Stotts, to approve consulting services contract with Braun Intertec. Motion carried unanimously. 10. MISCELLANEOUS (a) COMMUNICATIONS • Steve Bruhn, 924 Merrill Street, presented before the Council. Mr. Bruhn explained that he attended a meeting earlier this year regarding the storm sewer in his neighborhood. Mr. Bruhn commented that several households are run on social security and part-time jobs. Rate increases in electricity, refuse and water are a hardship to these households. He requested the Council to spend wisely. Marc Sebora — Mr. Sebora encouraged citizens to vote at the special election on January 31, 2006. Mr. Sebora explained that the vote to be considered at the election is to whether or not amend the City Charter to allow for a public vote should the sale or transfer of ownership be brought forth to the City Council. If this charter amendment would be voted affirmatively, a second election would be held to actually vote on the sale or transfer of ownership of Hutchinson Area Health Care should the City Council adopt such an ordinance. Gary Plotz — Mr. Plotz stated that potential dates to meet with Rep. Newman and Senator Dille have been presented. Motion by Arndt, second by Stotts, to set joint meeting with state representatives on February 23, 2006, from 9:00 a.m. to 12noon. Motion carried unanimously. Mr. Plotz stated that the Chief of Police was requesting direction from the Council on the workshop for the police department reorganization. Mr. Plotz requested that this workshop be rescheduled from February 14 to February 28, 2006. Motion by Peterson, second by Stotts, to reschedule the workshop on February 14, 2006, to February 28, 2006, at 3:30 p.m. Motion carried unanimously. Mr. Plotz lastly mentioned the Pioneerland Library System (PLS). He described the system and the support it gives to several local libraries. PLS has seen large decrease in federal funding, approximately $165,000 per year with no funds remaining by 2007. This will essentially close the office in Willmar. PLS is asking that • local communities and counties increase their funding support to replace the federal funding. This would mean a figure of approximately $6000 from the City next year. PLS will be conducting further funding research, however will be requesting funds from local entities in the short-term. Bill Arndt stated that he will bring this q LQ�) CITY COUNCIL MINUTES — JANUARY 24, 2006 issue to the Region 6E Board. Steve Cook — Mayor Cook reminded senior citizens and those with disabilities that there is a mechanism to defer assessments if they are eligible. He requested that this information be sent out with the hearing notices. Mayor Cook also spoke about a visit from the Adjutant General of the Minnesota National Guard. The Adjutant General encouraged citizens to support the families of the deployed soldiers. 11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS Motion by Peterson, second by Stotts, to approve claims, appropriations and contract payments. Motion carried unanimously. 12. ADJOURN 0 0 With no further business to discuss, a motion was made by Arndt, and seconded by Stotts, to adjourn at 7:50 p.m. Motion carried unanimously. 2 `-A Lo) . MINUTES BID OPENING LETTING NO.2/PROJECT NO. 06-02 WATER TREATMENT PLANT REPLACEMENT, BUILDING 10 FEBRUARY 2, 2006 Present: Gary Plotz, City Administrator, John Rodeberg, Director of Engineering/Public Works, and Patrice VanderVeen, Recorder. Gary Plotz, Finance Director called the bid opening to order at 2:01 p.m. Mr. Plotz dispensed with the reading of Advertisement for Bids, Letting No. 2, Project No. 06- 02. Mr. Plotz noted that the City Council reserves the right to reject all bids and to waive any informalities and irregularities as signed by the City Administrator. The following bids were opened and read: Gridor Construction, Inc. Buffalo, Minnesota Rice Lake Construction Group Deerwood, Minnesota Knutson Construction Services Minneapolis, Minnesota Robert L Can- Co. Marshall, Minnesota Shaw Lundquist Associates, Inc. • St. Paul, Minnesota Lump Sum Bid Amount $9,985,000.00 Alternate #1: Add $215,000 Alternate #2: Add $220,000 Alternate #3: Deduct $25,000 Lump Sum Bid Amount $10,784,000.00 Alternate # 1: Add $100,000 Alternate #2: Add $100,000 Alternate #3: Deduct $25,000 Lump Sum Bid Amount $11,151,000.00 Alternate #1: Add $42,000 Alternate #2: Add $51,000 Alternate #3: Deduct $25,000 Lump Sum Bid Amount $11,220,000.00 Alternate #1: Add $250,000 Alternate #2: Add $300,000 Alternate #3: Deduct $15,000 Lump Sum Bid Amount $11,353,000.00 y (66) Alternate #1: Add $165,000 . Alternate #2: Add $82,500 Alternate #3: Deduct $29,000 Graham Penn -Co. Construction, Inc. Eagan, Minnesota Lump Sum Bid Amount $11,453,684.00 Alternate # 1: Add $100,000 Alternate #2: Add $100,000 Alternate #3: Deduct $29,453 Madsen - Johnson Corporation Hudson, Wisconsin Lump Sum Bid Amount $11,579,600.00 Alternate #1: Add $50,000 Alternate #2: Add $50,000 Alternate #3: Deduct $30,000 Borson Construction Inc. Minneapolis, Minnesota Lump Sum Bid Amount $11,658,000.00 Alternate #1: Add $65,000 Alternate #2: Add $85,000 Alternate #3: Deduct $29,600 • The bids were referred to staff for review and a recommendation. They plan to be before the City Council for consideration and awarding on February 14, 2006. The bid opening adjourned at 2:16 p.m. ATTEST: Gary D. P1otz, City Administrator 0 Steven W. Cook, Mayor ut6) MINUTES HUTCHINSON CITY COUNCIL SPECIAL MEETING TUESDAY, FEBRUARY 7, 2006 4:30 P.M. 1. CALL TO ORDER — 4:30 P.M. Called to order at 4:36 p.m. 2. NEW BUSINESS (a) SALES TAX OF REQUESTING LEGISLATIVE APPROVAL TO SEEK A LOCAL Mayor Cook noted that at a quarterly meeting held earlier with staff members, this topic came up for discussion. He noted that he is reluctant to bring forth a request to the legislature this year, however is in favor of researching the issue. Dolf Moon, Director of Parks/Recreation/Community Education, resented before the Council. Mr. Moon explained the steps needed to request imposing a local sales tax. He covered items such as researching funding potentials, identifying projects approved in other communities, soliciting communi!f ee dback , formalizing project costs and developing strategies to communicate with citizens. rojects focoideration in Hutchinson nclude an aquatic center and development of he Bernhgen property on BlStreet for an athletic center. discussion at the meing that will be held with th e state legislators on February 23, 2006. A local sales tax must be voted on at a general election. • Mayor Cook noted that the proposed school referendum needs to be kept in mind. He does not want the local sales tax to take away consideration for the school district. Council Member Arndt noted that a citizen had brought up issues to him regarding property taxes and high fees, as well as the Council considering a local sales tax. Council Member Arndt thought a good way to approach it would be for the citizens themselves to propose a pro ect s opposed to the City developing projects and then thinking of ways to fund them. Mr. Moon stated that a small group of citizens has informed his department on their wants and needs. Roger Camps, resident of Norwood Young America, presented before the Council. Mr. Camps stated that he would be opposed to a local sales tax and it would cause him to shop elsewhere. lie feels it is taxation without representation. General discussion was held amongst staff regarding the benefits of a local sales tax. It was suggested to look at a partnership between the school district and the city for a potential aquatic /athletic facility. (b) DISCUSSION OF 2007 BUDGET PROCESS 1. OUTCOME BASED BUDGETING /ALTERNATIVE TWO -YEAR PHASE -IN - YEAR ONE: BACKGROUND WORK - Public Input to Identify Outcomes (focus groups, etc.) • _ Teams or Blue Ribbon Panel Discuss Results to Align with Outcomes Get Feel for Program Budgeting While Going Through Regular 2007 Budget Process q L( ) . - Get Outcome Database Set Up for 2008 Budget Process Preferred 2008 Budget Format ICMA Performance Measurements in Place — Possible Incorporation for 2008 Budget YEAR TWO: IMPLEMENT OUTCOME BUDGETING - Request for Results - Receive Proposals, etc. Implementation Mayor Cook stated that this item was discussed at a quarterly meeting as well as a workshop held with the International City/County Management Association. Mayor Cook suggested phasing this process in over a two -year period as outlined above. Council Member Stotts stated that he would be in favor of the work to complete in the first year. He felt that the Request for Results in year two would need to be tweaked to fit Hutchinson's needs. Mayor Cook also noted that he feels the consultants would need to be utilized for the year -one work. The maximum cost would be approximately $53,000, however could be less dependent on the amount of time the consultant is utilized. Council Member Stotts suggested researching other cities that have used this process as well as specific costs. He also suggested looking at different ways to implement this type of process without hiring a consultant, such as the City of Orono has done. Council Member Arndt reminded the Council that last year they spoke about reducing the amount of usage of consultants. Mayor Cook stated this consulting firm is different than others as they would be utilized to find ways for the City to ultimately spend less money on an annual basis. • Miles Seppelt, EDA Director, stated that he likes the idea of focus groups and getting feedback from the general public. Mayor Cook noted that this process is a policy decision of the Council and the Council needs to decide what direction they would like to move forward with. He explained the roles of the focus groups as compared to the results teams. He noted that if the Council decides to move forward with year -one of the process, it is followed through with completing year -two. Council Member Haugen stated he felt this process will be a good tool to measure what the community wants from the City. Mayor Cook stated he feels this process provides for much public feedback. Mayor Cook said he will distribute information from the consultant to review costs and processes. 2. 2007 BUDGET PARAMETER CONSIDERATIONS - Overall Dollar Amount or Percent Increase in Levy Dollars - New Growth Dollars - LGA Holdback - Tax Rate - Budget Presentation Format - Five -Year Budget Forecast - Capital Projects (underpass, dam, etc.) - Hwy 7 (cost and tax base reduction) - Other? Mayor Cook noted that the Council will need to establish specific targets for the directors to work • towards. He also stated the Council should be thinking about LGA and how much or little they wish (� (r_)� to incorporate into the budget. Budget formats from other cities may be reviewed to better present • the City's budgeting process. Council Member Haugen suggested using some parameters Ehlers & Associates had established for debt service funds awhile back. • 0 Mayor Cook asked Ken Merrill to research how much property taxes will be reduced because of the buyouts along Hwy 7. Gary Plotz suggested putting objectives on the February 14, 2006, City Council meeting agenda. 3. ADJOURN Motion by Arndt, second by Stotts, to adjourn at 5:30 p.m. Motion carried unanimously. MINUTES HUTCHINSON CITY COUNCIL • SPECIAL MEETING TUESDAY, FEBRUARY 7, 2006 6:30 P.M. CALL TO ORDER — 6:30 P.M. Mayor Steve Cook called the meeting to order. Members present were Bill Arndt, Kay Peterson, Jim Haugen and Casey Stotts. Others present were John Rodeberg, Public Works Director and Kent Exner, City Engineer. 2. PUBLIC HEARING (a) LETTING NO. 1, PROJECT NO. 96 -01 (HIGHWAY 7 PROJECT) - ORDERING IMPROVEMENT AND PREPARATION OF PLANS - APPROVING PLANS AND SPECIFICATIONS AND ADVERTISEMENT FOR BIDS Motion by Stotts, second by Arndt to open public hearing. Motion carried unanimously. John Rodeberg, Director of Public Works, presented before the Council. Mr. Rodeberg explained that an open house was held prior to the public hearing to share information from the City and Mn/DOT, as well as show designs of the School Road Underpass and the Crow River Dam reconstruction. The purpose for the public hearing is to approve the plans and specifications and advertisement for bids, which if approved, will be opened February 24, 2006. Kent Exner, City Engineer, presented btgfore the Council. Mr. Exner. explained that the reconstruction will run on Hwy 7 from 5 Avenue NE to Shady Ridge Road. Stage I of the • project is planned to be constructed Spring 2006 — June 2006 with Stage 2 taking place from June 2006 Late 2006. Stage 3, from Water Street to Shady Ridge Road, is proposed to be constructed in 2007. Mn/DOT improvements include a five -lane concrete roadway, crosswalks, sidewalks & trails, traffic signals, retaining walls and a new Main Street bridge with Luce Line Trail underpass. The City's improvements include new trunk sanitary sewer system, new trunk watermain system, new water and sewer services, storm sewer and treatment pond improvements, reconstruction of side streets, completion of TH7 service road and Montana Street extension. The total cost of the project is estimated at $28.7 million which does not include MnDOT bridge, landscaping, traffic signal and lighting design or local efforts. The estimated project cost for the city's improvements are estimated at $4.9 million, or roughly 20% of the project. This will be funded from the sanitary sewer fund, watermain fund, city bonding and assessments. Mr. Exner further explained the cost sharing of the project between the City and the property owner. Assessments to property owners for p 01tary sewer and water services aze estimated at $3000 -$5000 and for general street/draina a assessments are estimated at $45 -55 /front foot. The actual assessment hearing will be held m March or April prior to the project actually being awarded. Ford Rolf presented before the Council. Mr. Rolf explained that he owns property on Water Street behind Subway. Mr. Rolf had questions about the road height of Hwy 7 compared to Water Street. John Rodeberg explained that this is a design issue and the Mn/DOT engineering team should be able to show him elevation projections. John Rodeberg commented that staff is considering an assessment policy revision which would reduce the length of standard of service for residential properties as compared to commercial properties, as well as a deferred assessment rate for residential properties. Commercial properties typically benefit more from highway reconstruction projects as compared to residential properties. . Motion by Arndt, second by Stotts, to close public hearing. Motion carried unanimously. Mayor Cook noted that he was in favor of changing the service length for residential properties. y(A) Motion by Arndt, second by Haugen, to order improvement and preparation of plans, approve plans and specifications and advertisement for bids, including assessment policy revisions of is reducing length of standard of service for residential properties and a reduced or deferred assessment rate on residential properties. Motion carried unanimously. E L� 3. ADJOURN With no further business to discuss, a motion was made by Stotts, seconded by Arndt, to adjourn at 7:05 p.m. Motion carried unanimously. u 6) Minutes • Hutchinson Public Library Board November 28, 2005 Members present: John Hassinger, Julie Jensen, Larry Ladd, Kay Peterson, Janet Vacek and Mary Henke (Ex -Officio) Members absent: John Paulsen and Kay Johnson President Julie Jensen called the meeting to order. Kay Peterson made a motion to approve the minutes from the October 24, 2005 meeting and John Hassinger seconded the motion. Motion passed. Reports: 1. Mary reported that the State Library Task Force is still gathering information at New Business: There was none. Mary said that the change to the new automation system is scheduled for March, 2006. There will be no meeting on December 26 with our next meeting on January 23, 2006. The meeting was adjourned. Submitted, Janet Vacek, Co-Secretary 5Ca)- i meetings throughout the state. 2. Pioneerland Library System (PLS) Ad Hoc Committee on Future Structures. City and county administrators have received invitations to a December 151° meeting at PLS headquarters to learn about the issues facing PLS and discuss their concerns. 3. 2006 City and County budget requests. Mary talked to Nan Crary and Grant Knutson and found out we will received the 4% increase as requested plus '/Z of the outlay for automation software upgrade in 2006 and the other'' /: in 2007. Kay Peterson talked to Ken Merrill, City Finance Director, who said the budget included the dollars we requested. The funds for the automation software upgrade will come from a capital improvement or outlay fund. Old Business: 1. Cell phone policy. Mary reported that 2 signs were put up asking that cell phones • be turned off and favorable response was noted in compliance. 2. Community forum. Mary was unable to get committee together. Suggestions for topics were global warming (state climatologist or Paul Douglas) and pandemics (Mike Osterhohn). Mary encouraged us to keep our eye out by watching newspapers, news, etc. for interesting topics and speakers. 3. National Library Week, April 2 -8, 2006 author visit. Mary spoke to Doug Ohman, author of Barns of Minnesota and Churches of Minnesota about coming to speak. If he can sell his books, he will charge $150 for a visit and is free during National Library Week. The board chose Tues., April 4 as their I' choice and Thurs., April 6 as their 2°d choice to have him speak on Minnesota historic landmarks. 4. Focus group follow -up. The group continued to explore the ideas offered by focus group. Mary suggested we could add an evening book club. 5. Building entrance issues. The sidewalk replacement took about 4 days and people used the south door with some complaints. The city offered us 2 wooden benches with cast iron supports to place in front of the library seasonally with pots of flowers on each side. The setup approved New Business: There was none. Mary said that the change to the new automation system is scheduled for March, 2006. There will be no meeting on December 26 with our next meeting on January 23, 2006. The meeting was adjourned. Submitted, Janet Vacek, Co-Secretary 5Ca)- i • MOTOR VEHICLE MONTHLY SUMMARY For the Month of: DECEMBER 2004 2005 Net Revenue: $ 22879.29 $ 29805.08 Payroll Hours: 895.85 633.95 Net Revenue per hours worked: 25.54 47.02 Profits YTD: 33123.99 52292.70 % Profit Margin YTD: 14.7% 21.2% Comments: YEAR END Revenues exceeded budget by 17.3% Salaries/Fringe benefits under by 7.99% Other expenses under budget by 39% • • 5LG)�L, e 0 Memo TO: Mayor and City Council Members From: Brad Emans, Fire Chief Date: 2/01/06 Re: Monthly Update on Activities of the Fire Department The fire department responded to 30 general alarms in the month of January. Example of a few of the calls: • We responded to a house that had well over 1200 PPM carbon monoxide, this could have been a very deadly situation. • We responded to a commercial structure gas leak where someone tamed the burners on the grill on and turned off the pilot lights. • We responded to a residential gas pipe break inside the house. We were able to get control of the situation before the gas exploded. • We assisted the Stewart FD with a residential house fire. • We responded to a 15- gallon gas spill at one of our gas stations, we were able to absorb the majority of the product spill. This Is the breakdown of the calls for the month: W Residential 1 Commercial/Industrial 4 Multifamily 0 School 0 Carbon Monoxide 6 Hazardous Material 7 Vehicle 0 Rescue 1 Medical 0 Grass 0 Sky -Warn 0 Good Will 0 Mutual Aid 1 Rural: Rescue 4 Grass Type 0 Medical 3 Residential 0 Farm Building 0 Hazardous Material 2 Carbon Monoxide 1 Vehice 0 Commercial/Industrial 0 Good Will 0 1 f • Drills / Meetings ! Other Information • SCBA Maintenance • Equipment Maintenance Snowmobile Rescue / Patient Assessment • Ice Rescue Certification • We started our in -house Firefighter I & II training with eight students. Four of the students are from Hutchinson, three are from Dassel, and one is from Cosmos. We decided to allow outside students into our program in an effort to offset the cost of training our own firefighters. Fire Prevention / Public Relations • Gave a presentation on AED's to the Hospital Auxiliary. The auxiliary then voted to purchase six AED's and have them placed in public buildings. • We received a check from the Hutchinson Women's Bowling Association to purchase two additional AED's to be placed in public buildings. We now have AED's in the following locations: City Center, Event Center, Fair Grounds, Both Ice Arenas', Recreation Center, and the Hutchinson Bowling Center. Hutchinson is just a little safer today! • Page 2 ,5c +HUTCHINSON AIRPORT COMMISSION November 17, 2005 5:30 p.m. • Airport Arrival/Departure Building Minutes Members present: Dave Skaar, Chuck Brill, Doug McGraw Members absent: Dick Freeman, Open seat Others Present: John Olson, City of Hutchinson; Tom Parker, Hutchinson Aviation; Tim Miller, Robert Hantge Meeting was called to order at 5:30 p.m. There was a quorum of members present. 1. Approve Minutes of October 18, 2005 meetine Motion made by Brill, second by McGraw to approve October 18, 2005 minutes, with corrections. Unanimous approval 2. Review 2005 Capital Improvement Proeram Olson reviewed the 2005 Airport Improvements with Commissioners. Fueling Project: Anticipate delivery of the fuel tank November 18. At the next City Council meeting, a change • order, with a net deduct of $7,444 will be presented for approval. A deduct of $9,500 is for the use of existing Cardtrol system and an addition of $2,056 is for installation of additional tiling, rock, backfill on project - related to installation of wiring and concrete tank base. Electrical Project: Conversations with Quade Electric indicate that installation of equipment will take place in late November. Project Finances: Olson reported that the City Finance Department has been given copies of the appropriate federal and state grant agreements, along with appropriate forms for receiving reimbursement. 3. Review private and /or commercial operations activity Commissioners reviewed the resolution passed by the City Council relative to their recommendation to purchase the Skydive Hutchinson property. The resolution passed by City Council address the desire to acquire the property and approved appraisal. General discussion was held relative to other potential activities at the site that would be acceptable. 1) Commissioners recommended that City staff consider whether a purchase agreement contingent upon receiving financial assistance from the Federal Aviation Administration (FAA) and State Office of Aeronautics (Mn/DOT) would be appropriate, and if so, what amount of earnest money would be appropriate. 2) A question was raised whether the property, including the building, could be better developed into a private hangar park, which could possibly place the property into the category of hangar space, which has a potential for being funded at 95 %, rather than only having a portion of the existing building which could be considered Snow Removal Equipment storage be funded by FAA. 3) Commissioners recommended that City staff consider whether a project be developed to remove the taxi . lane accessing the current property and have the project assessed to the Skydive Hutchinson property so if a private party were to purchase the property, there would be no cost to the airport for removing the taxi lane. 6 C01 Hutchinson Airport Commission Minutes November 17, 2005 5. Operational Issues Olson informed Commissioner regarding the three responses received relative to hangar inspections conducted earlier this year. Olson updated Commissioners relative to the status of the Conditional Use Permit application to the Joint Planning Staff for a 199' Tower installation at 20716 Hwy 7 W, Hutchinson. The concern from Mr. Jim Lauer, a member of the Joint Planning Staff, was that precision approach/departures be protected. Precision approaches/departures are not on the 5 -year CIP, nor are there plans to significantly alter the existing traffic patterns at the airport, so the proposal for the tower will proceed. There are no obstructions to existing traffic patterns as a result of the installation of the proposed tower at that site. 6. Other Discussions Old Business Mayor Cook has appointed Mr. Dick Freeman as an Airport Commissioner. Mr. Jeff Lux has expressed his regrets, but must resign. Commissioners are to recommend potential Airport Commission members to Mayor Cook. Presentation of print to Ken Butler's wife. No action. Olson shared an excerpt from the developers' agreement from Ravenwood, indicating that the development was in the path of the airport, and that potential airport noises could be expected. This has historically been the manner in • which developers /property owners are made aware of their development in or near flight paths. New Business Consideration of Airport- sponsored seaplane base (with Roberts Park as base). Robert Hantge and Olson presented relative to the potential public sponsorship of a seaplane base at Roberts Park. Mr. Hantge had already done much of the groundwork for the license application, which was shared with Commissioners. A motion by Brill, second by McGraw, to direct staff to pursue application for a seaplane base license, said seaplane base being under the control of the Hutchinson Airport Commission. Unanimous approval. At 6:35, a motion to adjourn was made by McGraw, second by Brill. Unanimous approval. NEXT MEETING: Thursday, December 15, 2005 5:45 p.m. �5&)q MINUTES • Parks, Recreation & Community Education Advisory Board December 7, 2005 Members present were: Bill Arndt, Lenore Flinn, Kirk Kosel, Beth Hepola, Mike Cannon, Deane Dietel and Ralph Johnson. Also present were Dolf Moon and Karen McKay. The meeting was called to order at 5:20 pm. A motion was made by Bill Arndt and seconded by Beth Hepola to approve the minutes dated November 7, 2005. The board unanimously agreed. OLD BUSINESS Hanington/Merrill House — A $50,000 contribution was presented to Historic Hutchinson at the Sesquicentennial Gala event held in November. It is hoped that the contribution will receive a matching donation. An architect firm that specializes in historic preservation will be hired. To date the basic foundation, flooring and roof have been addressed. Although the project has a ten year plan, funding has made it possible to achieve goals sooner than planned. Budget — Following the truth and taxation for the city December 6th, the budget will be • presented to the City Council for approval at the December 13th meeting. The Event Center will try to raise an additional $15,000 while senior activities will generate another $5,000 in revenues in 2006. The Senior Club is willing to dissolve and join in the Senior Center activities. Arena Improvements — The former meeting room is now the new strength training room, and the new meeting room has been completed by donated material and labor. One of the four compressors in the arena is in disrepair. The city's insurance provides $18,000 with a $5,000 deductible to replace it. The compressors will continue to be run until they can no longer operate before being replaced. Fee Schedule for School Facilities — Dolf and Brian Mohr met with the finance committee. The new fee schedule for use of classrooms, pools, cafeterias and gyms is projected to generate $6,000 for the school. The new schedule will go into effect July 1, 2006. The new fee rates should be more affordable for some users. Community Education gets no part of these revenues as it all goes into the school's general fund. NEW BUSINESS Public Arts Initiative — An ad hoc committee has been put together to look at arts such as the fountains, statues and possibly landscape. Items will be inventoried for recognition. Dolf, Marc Vaillancourt of the Chamber of Commerce, Linda Remucal, and Julie Wischnack are working • with the Hutchinson Foundation to create a policy and fund a mechanism to look at arts more comprehensively. They would also like to get private businesses involved. SLa-� MINUTES • PRCE Advisory Board December 5, 2005 Page Two Annual Rogrts /January Meeting — There will not be a meeting in January as the first Monday is the holiday. The February meeting will be held at the Event Center to look at the annual PRCE report. Downtown Banners — Hopefully the last of the shorter light poles will be installed soon. There are four changes of banners that will be hung on the new poles. Groups such as the Jaycees, and the Chamber are gathering to discuss holiday decorations. Library Square - Heavy equipment will not be going into the park for sidewalk snow removal. Lee Wright, custodian at the City Center, will be taking care of the Library Square sidewalks as time allows. BOARD MEMBER ITEMS There will be a Luce Line Trail meeting December 61'. Steve Dille and Scott Neumann will draft bills to try to get funding to blacktop the trail from Hutchinson to Winsted. If completed, the paved trail should improve tourism between the cities. • The board expressed concern that low income participants may not be getting involved in programs. Dolf told the board that with a referral from county social services the city provides, swim lessons and ball programs to families in need. The warming house at Park Elementary will open when the weather cooperates for flooding the outdoor ice rink. ADJOURNMENT The meeting was adjourned at 6:30 pm on a motion made by Bill Arndt, seconded by Lenore Flinn, and agreed to unanimously by the board. klm U 1/23/2006 HUTCHINSON UTILITI MMISSION PAGE 1 BALANCE SHEET DECEMBER 31, 2005 v ASSETS UTILITY PLANT — AT COST LAND & LAND RIGHTS DEPRECIABLE UTILITY PLANT TOTAL UTILITY PLANT___________ -_ LESS ACCUMULATED DEPRECIATION TOTAL ACCUMULATED DEPRECIATION _ TOTAL CONSTRUCTION IN PROGRESS TOTAL UTILITY PLANT DEPREC VALUE RESTRICTED FUNDS _& ACCOUNTS FUTURE EXPANSION & DEVELOPMENT MEDICAL INSURANCE _ _BOND & INTEREST PAYMENT 2003 _ -- — — TOTAL _RE8TRICTED FUNDS 1 4CCOUNTS —_— — CURRENT & ACCRUED ASSETS __-- ___- -_ - - --_ -- CASH IN BAN( ACCOUNTS RECEIVABLE ACCOUNTS RECEIVABLE — MISO INVENTORIES PREPAID INSURANCE PREPAID GAS EXPENSE CLEARING ACCOUNT SALES TAX RECEIVABLE TOTAL CURRENT & ACCRUED ASSETS DEFERRED CHARGE BOND DISCOUNT 2003 TOTAL DEFERRED CHARGE TOTAL ASSETS U •f * * )t TOTAL * * +t 2,666,497.78 102,791,130.13 105, 457,627 91 (31,68i,iS5..26) ;; ( — (31, 681, 185.26) — - _ - -- -- - - -_ z� 4a .00 141 ( rei -- -- ----------------- 73,776,442.65 Iq ( x. 659,772.46 100,000.00 „( 235, 267.77 es iP- 2,414,462.03 4,352,414.67 (37,735.48) z` 1,364,434.13 - - -- — — — 69,971.20' nl (10,043.67) __ }a 152.58 1,470.99 gl( 8,154,226.45 W v( 595,457.95 43 N -- - - -� 595, 457.95 .. - -- - - -- .. -- 83,5121,167.28 +a w ( ei sa fa ,a ( ,y w G: ( H' re r- ( r. L ( ( BALANCE S DECEMBER 31, *5 **TOTAL* is K MUNICIPAL EQUITY & LIABILITIES MUNICIPAL EQUITY 49,756,237.93 UNAPPROPRIATED RETAINED EARNINGS 964,816.50 TOTAL MUNICIPAL EQUITY ------ 50,721,054.43 LONG TERM LIABILITIES-NET OF CURRENT MATURITIES 2003 BONDS 28,780,000.00 TOTAL LONG TERM LIABILITIES 28,780,000.00 CONSTR CONTRACTS "& ACCTS PAY RETAIN ACCRUED EXPENSES -'RETAINAGE 107,671.74 TOTAL CONSTRUCTION & ACCTS PAY 167,671.74 CURRENT & ACCRUED LIABILITIES ACCOUNTS PAYABLE 3,748,903.58 ACCOUNTS PAYABLE (193,702.61) INTEREST ACCRUED' 99,066.33 ACCRUED PAYROLL 54,653.21 ACCRUED VACATION PAYABLE ACCRUED MEDICAL FUND (132,347.03) ACCRUED SEVERANCE 30,614.82 ACCRUED SICK 5,292.20 CUSTOMER DEPOSITS 9i,050.()O OTHER CURRENT & ACCRUED LIABILITIES iG,848.46 TOTAL CURRENT & ACCRUED LIAR 3,912,441.11 -----TOTAL MUNICIPAL ,EQUITY .&-,.LIAB 83,521, 167. 28 HUTCHINSON UTILITIE MMISSION - PAGE._-_...i STATEMENT OF INCOME & EXPENSES DECEMBER 31, 2003 PREVIOUS_ CURRENT BUDGETED -- -- BUDGET.- ..._ - -. .-- -- -- ANNUAL - --- -_- -3 - -- - - - - -- ----- -__, -- - -- YEAR TO DATE YEAR TO DATE YEAR TO DATE DEVIATION BUDGET OME STATEMENT OPERATING REVENUE SALES - ELECTRIC ENERGY 19,994,765.74 24,987,248.52 20,888,328.00 4,098,920.52 20,888,328.00 SALES FOR RESALE 278,352.20 1,193,883.45 500,000.00 693,883.45 500,000.00 1 NET INCOME FROM OTHER SOURCES 134,352.4i 188,923.iB 125,750.00 63,173.i8 125,750.00 SECURITY LIGHTS 11,053.50 io ,871.00 12,000.00 (1,129.OA) 17,000.00 POLE RENTAL 1,736.30 1,666.50 2,000.00 (333.50) 2,000.00 I SALES - GAS___ 10�. 258, 241.93 127,819.55_ _ i0, 500, 000.0Ui b271819.53 iO, 500, 000.00 -_ —_ -___ NEW ULM TRANSPORTATION .00 659,938.55 630,000.00 29,938.55 630,000.00 TOTAL OPERATING REVENUE 30,678,502.28 39,170,350.75 32,658,078.00 6,512,272.75 32,658,078.00 I OPERATING EXPENSES PRODUCTION OPERATION 1,648,352.11 2,718,016.32 2,041,535.70 (676,480.62) 2,041,535.70 1 PRODUCTION MAINTENANCE 303,083.97 339,509.99 409,242.54 69,732.85 4092242.84 PURCHASED POWER ii,8i2,649.64 15,902,486.iG i1,899,515.00 (4,002,971.10) i1,899,515.00 2 OTHER POWER SUPPLY 275,487.94 480,588.99 508,727.00 28,138.01 508,727.001 TRANSMISSION OPERATION 783.43 115.25 1,000.00 884.75 1,000.00 _ _ —_- TRANSMISSION MAINTENANCE r 52,068.12 9,332.95 -- 12,000.00 2,667.05 12,000.00 ELECTRIC DISTRIBUTION OPERATION 282,302.41 .285,629.89 380,373.00 98,743.11 380,373.00 27 ELECTRIC DISTRIBUTION MAINTENANCE _— 123,185.50 _ 183,230.21 182,850.00 (380.21) 182,850.00 GAS EXPENSE 8,058,319.03 10,391,356.91 8,610,000.00 (1,781,3@,6.91) 000 8,610,• •. "' GAS TRANSMISSION OPERATION 36,296.36 75,472.91 94,700.00 19,227.09 94,700.00 GAS TRANSMISSION MAINTENANCE 3,455.06 2,464.80 29,000.00 26,535.20 29,000.00 GAS ISTRi9UTION OPERATION 331,693.i8 330,512..28 331,252.00 739.72 331,252.00 GAS DISTRIBUTION MAINTENANCE - 68,574.62 94,236.54 94,850.00 613.46 94,550.00 CUSTOMER ACCOUNTING 8 COLLECTIONS ___315,5ii.54 293,007.60 269,984.00 (3,023 60) 289,984.00 -- -_ -- T -- SALES EXPENSE .00 66,602.45 194,200.00 127,597.55 194,200.04 ' ADMINISTRATIVE h GENERAL EXPENSES 1,981,059.87 2,115,429.61 2,092,464.00 (22,965.61) :,092,464.00 DEPRECIATION 2.926,990.67 2,952,398.28 2,983,466.62 T 31,068.34 2,983,466.62___ TOTAL OPERATING EXPENSES 28,219,81 .4�i' __ 36,236,391.08 30x155.160.1.6 (.6 ,061,230.92) 30,135,160.16 OPERATING INCOME _2,458,688.83 2,933,959.67 2,502,917.84 431,041.83 2,502,917.84 _ OTHER INCOME 1 OTHER - NET 67,498.94 i88,844.i0 45,000.00 143,844.10 45,000.00 - -" - -- INTEREST INCOME- - -__ -__ -- - - - -- 112,816.01 102,089.57 70,000.00 32,089.57 70,000- 40____ MISC INCOME 623,916.66 15,298.93 5,000.00 10,298.93 5,000.00 1 GAIN ON DISPOSAL - ELECTRIC 21,749.36 .00 .00 - .00 .00 - -- -- -+ — -- - -- - - -- - GAIN ON DISPOSAL - GAS - - 5,840.00 _ .00 .00 - - - - -- OO — - _0 LOSS ON DISPOSAL - ELECTRIC (89,375.00) .00 .00 .00 .00 1 TOTAL OTHER INCOME 742,445.97 306,232.60 120,000.00 186,232.60 120,000.00 OTHER EXPENSES'I MISC EXPENSES 66,765.32 119,243.57 i00.00 (119,143.57) 100.00 _ INTERE•T EXPENSE - - -- - - - - — i,300,0.2. 1,182,392.20 -- 1,179.050.63 TOTAL OTHER EXPENSES 1,366,767.63 1,301.625.77 1,179,150.63 (122,475.14) 1,179,150.63 1 � 3 �. A I_ 973,395.00 (355.00) — 927,4- 0 0.00 — -973, 750.00 — — CONTRIBUTION - -TO - C ITY - -- TOTAL CONTRIBUTION TO CITY 927,400.00 973,750.00 973,395.00 (355.00) 973,395.00 A ;1 LOPERATNG INCOME - - - (1,551,721.66) (1,969,143.17) (2,032,545.63) 63,402.46 (2.037.,545 .63) :711- INCOME 906,967.17 964,816.50 470,372.21 494,444.29 470,372.21 71i n 1 - 175i'� 1,61 PRELIMINAO = NTATIVE vi4 PM 2oM rellminary HUTCHINSON AREA HEALTH CARE Statement of Revenues and Expenses Month and Period Ended December 31, 2005 CURRENT MONTH YEAR -TO -DATE YEAR -TO -DATE Over (Under) Budget Over (Under) Budget VARIANCE % Revenue Actual Budget Dollars Percent Actual Budget Dollars Percent December 2004 CY va PY 1 In patient revenue $3,476,621 ;3,641,839 (;165,218) A.6% $40,990,646 $44,315,002 ( ;3,324,356) -7.5% ;38,926,094 11.0°/0 2 Out patient revenue 5,232,224 5,095,316 136,908 2.7% 67,685,405 61,906,020 (4,220,615) -6.8% 51,231,705 12.6% 3 Resident Revenue 715,465 693,832 21,633 3.1% 7,901,202 8,153,955 (252,753) -3.1% 7,577,606 4.3% 4 Total patient/resident revenue $9,424,310 $9,430,987 (;6,877) -0.1% $108,577,253 $114,374,977 ( ;7,797,724) -6.8% ;95,735,306 11.3% 5 GGoovuernnmental & Policy Discount 3,931,767 4,738,494 (806,727) -17.0% 50,008,382 57,515,253 (7,506,871) -13.1% 46,447,507 7.7% 6 Charily Care 40,551 6,250 34,301 548.8% 93,867 75,000 18,857 25.1% 14,630 541.5% 7 Total deduction from revenue $3,972,318 $4,744,744 ($772,426) - 16.3% $60,102,239 $57,590,253 ( ;7,488,014) - 13.00/° $48,482,137 7.8% 8 Net pagent/residenl revenue ;6,451,992 $4,686,243 $765,749 18.3% ;66,475,014 ;58,784,724 (;309,710) -0.5% $49,273,168 14.6% 9 Other operating revenues 148,607 73,749 74,858 101.6% 1,057,042 882,707 174,335 19.8% 901,092 17.3% 10 Net operating revenue $5,600,599 $4,759,992 ;840,807 17.7% $57,532,056 ;57,667,431 ( ;135,375) -0.2% $60,174,280 14.7% 11 Fxmenses Salaries $2,153,186 $2,064,739 ;88,457 4.3% $24,497,424 ;24,031,683 ;465,741 1.91/0 $22,829,812 7.3% 12 Employee Benefits 500,002 478,158 21,844 4.6% 6,083,837 5,646,164 417,483 7.4% 5,070,632 19.6% 13 Professional and Medical Fees 201,909 639,141 (437,232) -68.4% 6,727,341 7,809,177 (1,081,836) -13.9% 6,157,712 9.3% 14 UBIIIies, Mbhce Contracts & Repairs 334,710 183,937 160,773 82.0% 2,939,818 2,183,870 755,948 34.6% 2,253,846 30.4% 15 Food, Drugs & Supplies 717,069 862,194 54,875 8.3% 8,081,543 8,030,457 31,086 0.4% 7,030,349 14.7% 16 Other expense 143,123 164,133 (21,010) -12.8% 1,853,536 1,897,642 (44,106) -2.3% 1,728,136 7.3% 17 Minnesota Care 7,204 53,508 (48,304) -86.5% 726,226 642,100 84,126 13.1% 607,820 19.6% 18 Bad debt 175,351 88,607 86,844 98.1% 1,013,301 - 1.062,080 (48,779) -4.6% 1,179,873 - 14.1% 19 Interest 65,812 65,335 277 0.4% 758,755 791,297 (32,542) -0.1% 665,767 34.1% 20 Depreciation 218,336 236.491 (17,156) -7.3% 2626.823 2737,949 (111,120) -4.1% 2.057,266 27.7% 21 Total expenses $4 518 511 ;4,835,143 ($118,832) 2.8% ;65,288,404 $54.832,409 ;435,986 0.890 $49,481,003 11.7% 22 Excess of net operating revenue over (under) operating expenses $1,094,088 ;124,849 $969,239 768.3% $2,283,652 $2,835,022 ($571,370) - 20.2% ;693,257 226.5% 23 Nonooerattw Revenues Investment income $42,470 $17,271 $25,199 145.9% $275,205 $207,250 $67,955 32.8% ;201,851 38.5% 24 Other nonoperating revenue (net) (18,308) 19,770 (38,078) •192.6% 177,229 234,197 (66,968) -24.3% 800,452 -73.2% 25 Plaza 15 Income I (Loss) 14,499 5,788 8,711 150.5% 79,848 .71,412 8,436 11.8% 91,844 26 Total nonoperating revenue $38,661 ;42,829 (E4,166) -9.7% $632,282 5512 869 __ 519,423 3.8% $953,747 -44.2%_ 27 Net Income $1,122,749 $167,678 ;955,071 569.6°:° $2,795,934 $3,347,861 ( 51,947) -16.5% $1,847,004 89.8% " 28 Patent days 871 991 (120) -12.1% 10,528 12,101 (1,573) -13.0% 10,410 1.1% 29 Resident days 3,693 3,629 64 1.8% 41,645 42,660 (1,005) -2.4% 42,160 -1.2% 30 Percent occupancy - budget beds - Hospital 46.1% 52.4% -6.3% A2.1% 47.30/6 64.3% -7.1% -13.0% 47.4% -0.3% 31 Percent occupancy- budget beds - Nursing Home 96.9% 95.2% 1.7% 1.8% 92.8% 95.0°/6 -2.2% -2.4% 93.72/6 -1.06/6 32 FTE's 481.4 491.0 -9.5 -1.9% 490.8 491.0 -0.2 0.0% 476.7 3.0% 33 Admissions (adjusted) - Hospital only 663 639 24 3.7% 7,304 7,831. (528) -6.7% 6,803 7.4% 34 Expenses (net) per admission (adjusted) - Hospital only 5,455 6,115 (880) -10.8% 6,361 5,928 435 7.3% 6,062 4.91/9 35 Revenue per admission (adjusted) - Hospital only 13,070 13,589 (519) -3.8% 13,435 13,486 (51) -0.4% 12,889 4.2% 36 Net Revenue per admission (adjusted) - Hospital only 7,236 6,383 853 13.4% 6,780. 6,341 439 6.9% 6,267 8.4% 37 Discounts as a percent of revenues 42.1% 50.3% -8.2% -18.2% 47.0% 50.4% -3.3% -6.6% 48.5% -3.1% 38 FTE's per 100 admissions (adjusted) - Hospital only 4.6 4.7 -0.2 -3.3% 6.0 4.6 0.3 7.5% 5.1 -2.9°/6 39 Days In Net Acoounts Receivable 55.1 60.0 4.9 -8.2% 58.6 -8.0% ( T V ` may, FINSTMNT.)ds Pam Larson ASSETS Current Assets 1 Cash and investments - Operations 2 Cash and Investments Self- Insured 3 Subtotal cash & Investments 4 Patient/Resident receivables 5 Allowances for bad debts 6 Advances and contractual allowances 7 Net patientfresidenl and third -party 8 payer receivables 9 10 Other receivables - net 11 Inventories 12. Prepaid expenses PRELIMINAO ENTATIVE 120 IS PM OPrelkninary HUTCHINSON AREA HEALTH CARE Comparative Balance Street As of December 31, 2005 (A) (B) (A) -(B) DEC NOV DEC Change 2005 2005 2004 CY vs PY $9,970,538 $10,415,381 $6,292,189 1,678,349 1897,327 1,872,407 1,946,746 (51,419) $11,867,865 $12,287,788 $10,240,935 1,626,930 21,912,136 21,760,079 22,709,417 (797,281) (5,959,376) (6,138,885) (5,328,059) (631,317) (7,075,114) (6,968 706) (7,948,288) 873,174 $8,877,646 $8,654,488 $9,433,070 (555,424) 246,640 261,993 338,521 (91,881) 1,089,102 1,043,557 941,113 127,989 378105 370,037 365,668 12,437 13 Total Current Assets $22,439,358 $22,617,863 $21,319,307 1,120,051 DEC NOV 14 Board Desionaled/Funded Depreciation Investments $5,355,392 $5,338,849 $5,413,515 (58,123) 2004 CY vs PY 15 Investment In Joint Ventures $1,089,312 $1,060,697 $1,042,849 46,463 Plant Assets 16 Land 17 Buildings 18 Accumulated depreciation 19 Buildings less depreciation 20 Equipment 21 Accumulated depreciation 22 Equipment less depredation 23 - Cash- construction & equipment 24 Construction in progress 25 Total Plant Assets 26 Deferred financing costs 27 Total Funds la FINSTMNT.xIs p� Pam Larson $1,019,788 $1,019,788 $1,019,788 0 Total Current Liabilities 37,398,651 37,507,555 34,403,664 2,992,987 (15 099 773) (14,969,393) (13 701 297) (1,398,476) Lono-term Debt (less current $22,296,878 $22,538,162 $20,702,367 1,594,511 maturities) - 18,626,759 18,296,582 18,792,735 (165,976) (10818,329) (10,696,925) (13,113,797) 2,295,488 $7,808,430 $7,599,657 $5,678,938 2,129,492 0 0 D 0 508,672 4N,919 3,828,321 (3,319,649). $31,633,768 $31,558,526 $31,229,414 404,354 Fund balance $75,630 $76,670 $88,131 (12,501) $60,593,460 $60,652,605 $59,093,218 1,500,244 Total Funds $8,500,114 $9,685,603 $8,673,213 (173,099) $19,891,172 ;19.887.577 $21,013,763 (1,122 591) $32,202,174 $31,079,425 ;29,406,240 2,795,934 $60,593,460 $60,652,805 $59,093,216 1,500 244 (A) (B) (A) -(B) DEC NOV DEC Change LIABILITIES AND FUND BALANCES 2005 2006 2004 CY vs PY Current Liabilities Current maturities of Longterm debt $1,239,390 $1,250,237 $1,224,072 15,318 Accounts payable - trade 2,056,989 2,575,707 2,880,804 (823,815) Estimated contractual setllemente-rlet 1,312,826 1,482,226 1,157,450 155,376 Accrued expenses - Salaries 898,429 1,438,204 793,614 104,815 PTO 1,744,732 1,707,928 1,574,242 170,490 Interest 389,478 303,177 408,929 (19,451) Self- Insured programs 685,556 703,371 432,057 253,499 Other 122,045 179,828 172,169 (50,124) Deferred liabilities 50,050 43,772 24,505 25,545 Deferred revenue 619 1,153 5,371 (4,752) Total Current Liabilities 37,398,651 37,507,555 34,403,664 2,992,987 (15 099 773) (14,969,393) (13 701 297) (1,398,476) Lono-term Debt (less current $22,296,878 $22,538,162 $20,702,367 1,594,511 maturities) - 18,626,759 18,296,582 18,792,735 (165,976) (10818,329) (10,696,925) (13,113,797) 2,295,488 $7,808,430 $7,599,657 $5,678,938 2,129,492 0 0 D 0 508,672 4N,919 3,828,321 (3,319,649). $31,633,768 $31,558,526 $31,229,414 404,354 Fund balance $75,630 $76,670 $88,131 (12,501) $60,593,460 $60,652,605 $59,093,218 1,500,244 Total Funds $8,500,114 $9,685,603 $8,673,213 (173,099) $19,891,172 ;19.887.577 $21,013,763 (1,122 591) $32,202,174 $31,079,425 ;29,406,240 2,795,934 $60,593,460 $60,652,805 $59,093,216 1,500 244 0 Memo T« .Mayor and City Council GL��-- Frwm Jean Ward, HRA Executive Director Dates 2/1!2006 Re: Request to approve Resolution for HRA to continue administration of the MHFA Home Rental Rehabilitation Program in Hutchinson The Hutchinson HRA has worked with Minnesota Housing Finance Agency since 1992 to administer the Home Rental Rehab Program in Hutchinson. The goal of the MHFA Home Rental Rehabilitation Program is to preserve the supply of decent, safe, sanitary, lead safe affordable housing for lower income families. The HRA has applied for funding and administering the program for renovation of the following apartments in Hutchinson: Freemont Apartments, Valley View Apartments, Clinton House Apartments and now Evergreen Apartments. Financing for the program is structured as follows: 0 1. All Home developments needing less than $100,000 will receive a 0% deferred loan forgiven after a five -year compliance period. Borrowers must supply a 25% match. 2. All Home developments needing more than $100,000 in Home Funds will receive a 0% deferred payment ban coterminous with their existing first mortgage. Borrowers may obtain 100% financing as long as Home expenditures do not exceed $14,000 per unit. 3. There are tenant income restrictions and rent restrictions in order to participate in the program. This program helps to preserve decent, affordable rental housing in Hutchinson. The Hutchinson HRA respectfully requests your approval to continue administration of the Home Rental Rehabilitation Program. J 5()>) 1 0 Resolution No. 12903 RESOLUTION AUTHORIZING PARTICIPATION IN THE MHFA HOME RENTAL REHABILITATION PROGRAM WHEREAS, there are privately owned residential rental properties needing rehabilitation in the City of Hutchinson, THEREFOR, BE IT RESOLVED BY THE HUTCHINSON CITY COUNCIL THAT the City of Hutchinson, through the Hutchison Housing & Redevelopment Authority continues to participate with the Minnesota Housing Finance Agency (NIHFA) in the HOME Rental Rehabilitation Program as previously adopted by the City Council on the 25th day of August, 1992 and the 12d' day of February 2002. Adopted by the City Council this 14th day of February 2006. Attest: U Steve Cook, Mayor Gary D. Plotz, City Administrator 5)1 Rev. 6/05 Mn/DOT Agreement No. 88386 GRANT AGREEMENT FOR AIRPORT MAINTENANCE AND OPERATION Ws Agreement is by and between the state of Minnesota acting through its Commissioner of Transportation ( "State's, and the City of Hutchinson ( "Municipality"). WHEREAS, the Municipality desires the financial assistance of the State for maintenance and operation of the Hutchinson Municipal Airport; and WHEREAS, the State is willing and authorized by Minnesota Statutes Sections 360.015 and 360.305 to provide financial assistance to the Municipality for its airport. NOW, THEREFORE, it is agreed as follows: 1. This Agreement is effective upon execution by the Municipality and the State, and will remain in effect for the State fiscal years 2006 and 2007. 2. The Municipality agrees to the limits of State cost participation based upon a formula using runway infrastructure costs. The Municipality has reviewed the runway infrastructure costs assigned to its airport as provided by the State and agrees the costs accurately reflect the infrastructure in place. 3. If paint striping of the airport is a part of this agreement as identified in the runway infrastructure costs, the State will contract for the periodic paint striping of the airport runways and taxiways. The Municipality agrees to the runway infrastructure deduct assigned as its share of airport paint striping. The Municipality agrees to cooperate with the marking operation. �. The Municipality will keep the landing area and the area around the lights mowed. The grass will be mowed at least 7 feet beyond the lights, and at no time will the grass exceed 6 inches in height on the landing area. 5. If the airport is to remain operational during the winter months, the Municipality will keep at least one landing area, associated taxiway, and apron area cleared of snow and ice to the same priority as arterial roads. Snow banks will be kept down so that aircraft wings will clear them, and landing strip markers and/or lights will remain visible. 6. The airport must pass periodic inspections performed by a representative of the Office of Aeronautics for compliance with the rules of the Department of Transportation and for compliance with this Agreement. If the airport is not so maintained, then no reimbursement will be made hereunder. 7. The State will reimburse the Municipality for 213 of the direct, actual maintenance and operation costs not reimbursed by any other source, not to exceed $22 37.00 of State aid for each State fiscal year. . 8. The Municipality will submit a breakdown of its incurred costs to the Director, Office of Aeronautics, on forms supplied by the Office of Aeronautics. In any and all events, costs must be submitted to the Director, Office of Aeronautics, on or before August 1 for each State fiscal year ending June 30. No requests received after August 1 for the preceding State fiscal year will be honored by the State. The State reserves the right to reject items that may not be eligible for reimbursement, and reimbursement may be denied entirely if the airport is not properly maintained in accordance with this Agreement. 9. The Municipality has established a zoning authority for the airport, and such authority has completed, or is in the process of and will complete, with due diligence, an airport zoning ordinance in accordance with Minnesota Statutes Section 360.061 to 360.074. 010. The State may immediately terminate this agreement if the funds necessary to pay the State's share are not received from the Minnesota Legislature or other funding source. The State will provide notice of such lack of funding as soon as possible. Upon such termination, the State will pay the Municipality a pro-rata share for work performed prior to such notice, to the extent that funds are available. SCD� 1. SPATE ENCUMBRANCE VERIFICATION Ondividual certifies that funds have been encumbered as required by Minn. Star.,) __ff 16A.1 S and 160.05 By: �S� �J1J�I�l_ l/D_�1 2a s, Date: MAPS Order No. 2. MUNICIPALITY Municipality certifies that the appropriate person(s) have executed the agreement on behalf of the Municipality as required by applicable articles, bylaws, resolutions, or ordinances. By: Title: Date: By: Sitle: Date: 3. MINNESOTA DEPARTMENT OF TRANSPORTATION By: Date: Director, Office of Aeronautics 5C� Rev. 2/05 RESOLUTION 12904 • AUTHORIZATION TO EXECUTE MINNESOTA DEPARTMENT OF TRANSPORTATION GRANT AGREEMENT FOR AIRPORT MAINTENANCE AND OPERATION It is resolved by the City of Hutchinson as follows: 1. That the state of Minnesota Agreement No. 88386, "Grant Agreement for Airport Maintenance and Operation," at the Hutchinson Municipal Airport is accepted. 2. That the and (Mayor, Chairperson, President, etc.) (Clerk, Auditor, Secretary, etc.) authorized to execute this Agreement and any amendments on behalf of the City of Hutchinson. 0 STATE OF MINNESOTA COUNTY OF CERTIFICATION are I certify that the above Resolution is a true and correct copy of the Resolution adopted by the at an authorized meeting held on the (Name of the Municipality) day of as shown by the minutes of the meeting in my possession. Signature: (Clerk or Equivalent) • CORPORATE SEAL /OR/ NOTARY PUBLIC My Commission Expires: , 2005 RESOLUTION NO. 12905 . RESOLUTION CANVASSING ELECTION RETURNS OF SPECIAL MUNICIPAL ELECTION HELD ON JANUARY 31, 2006 • WHEREAS, the City Council has duly met as a canvassing board as required by the City Charter for the purpose of canvassing the election returns of the Special Municipal Election held January 31, 2006, wherein ballots were used for the casting of votes in every voting precinct in the City, and WHEREAS, the City Council has duly inspected the return sheets of each precinct prepared and certified to by the election officers of the three precincts in which the election was held, and THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON THAT: 1. Said election returns be hereby canvassed, and the number of votes received together with the number of absentee ballots and spoiled ballots, if any, is hereby determined to be as follows: SPECIAL ELECTION Adopted by the City Council this 14`h day of February, 2006. ATTEST: Gary D. Plotz City Administrator Steven W. Cook Mayor �5C�3)5 PRECINCTS CHARTER AMENDMENT QUESTION TOTAL VOTES 1 2 3 Yes 397 100 104 193 NO 487 147 130 210 Number Voting in Person 849 243 220 386 ABSENTEE BALLOTS 35 4 14 17 TOTAL VOTERS 884 247 234 403 FOILED BALLOTS 4 2 2 Adopted by the City Council this 14`h day of February, 2006. ATTEST: Gary D. Plotz City Administrator Steven W. Cook Mayor �5C�3)5 RESOLUTION NO. i240g CITY OF HUTCHINSON RESOLUTION FOR PURCHASE The Hutchinson City Council authorizes the purchase of the following: ITEM COST PURPOSE DEPT. BUDGET VENDOR Sewer Televising 17,010 Maintenance S W & Yes Infratech 28,500 ft Sever Unleaded Gas 8,501 17,181 City/County /State use HATS Yes Hutchinson Coop gal Manure 54,245 Resale Creekside Yes Lutherans Farm BAG film 2 cult Nat 17,250 Manufacture bag film Creekside Yes Super Group BAG film 2 cult Red 34,500 Manufacture bag film Creekside Yes Super Group Mulch Control Panel 28.706 Replacement panel WWTP Yes — Quality Flow Systems (under est. of $35,000) *The following items were authorized due to an emergency need: ITEM I COST I PURPOSE I DEPT. I BUDGET I VENDOR Date Approved: February 14, 2006 • Motion Made By: Seconded By: Resolution submitted for Council action Ken Merrill by: Finance Director 5L�)I • RESOLUTION NO. `la RELEASING PLEDGED SECURITIES FROM FIRST MINNESOTA BANK WHEREAS, First Minnesota Bank a city depository, has requested the following security be released under collateral agreement with the City of Hutchinson: Maple River MN ISD # 2135 565323AV4 $485,000 02 -01 -18 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA: THAT the City Finance Director be authorized to release said securities. Adopted by the City Council this 14th day of February 2006. . Steven W Cook Mayor ATTEST: Gary D. Plotz City Administrator 5%)5 RESOLUTION NO.P2'4PS ACCEPTING PLEDGED SECURITIES FROM CITIZENS BANK & TRUST CO. WHEREAS, Citizens Bank & Trust Co, Hutchinson a city depository, has requested the following security be added under the collateral agreement with the City of Hutchinson: FELB 06 -18 -2007 cusip 3133x4g96 $1,000,000 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA: THAT the City Finance Director be authorized to accept the security effective February 7, 2006. Adopted by the City Council this 14th day of February 2006. ATTEST: Gary D. Plotz City Administrator r � U Steven W. Cook Mayor 0 PUBLICATION NO. ORDINANCE NO. 06 -0427 AN ORDINANCE AMENDING THE OFFICIAL ZONING MAP OF THE CITY OF HUTCHINSON FOR A PROPERTY TO BE REZONED FROM I/C TO R2 AS REQUESTED BY JAMES KLEIN, 535 — 4TH AVE SE AND CURTIS CARLSON, 545 — 4' AVE SE THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA ORDAINS: WHEREAS, the following described real property is hereby rezoned from to I/C ( Industrial Commercial) to R2 (Medium Density Residential) as requested by the property owners: LEGAL DESCRIPTION: 535 — 4' Ave SE - The South Half of Lot Three (3); the North Half of Lot Four (4), the West Half of the South Half of Lot Four (4); the West Half of Lot Five (5), Block Thirty-eight (38), Townsite of Hutchinson, South Half. 545 — 4a' Ave SE - East Half of Lot 5 and the South Half of the East Half of Lot 4 in Block 38 Townsite of Hutchinson South Half, McLeod County, Minnesota WHEREAS, the City Planning Commission and City Council have considered the effects of rezoning this piece of property; WHEREAS, there are certain parameters that will make this rezoning appropriate for this area; THEREFORE; the City hereby officially rezones this property to R2 and it shall take effect upon publication of this ordinance; Adopted by the City Council this 10 day of February, 2006. ATTEST: Gary D. Plotz City Administrator r� U Steven W. Cook Mayor 51�w PUBLICATION NO. • ORDINANCE NO. 05-0424 AN ORDINANCE AMENDING SECTIONS 154.004, 154.056, 154.057 AND 154.058 OF THE HUTCHINSON MUNICIPAL CODE TO CHANGE LANGUAGE REGULATING LOT COVERAGE ON SINGLE AND TWO FAMILY LOTS u U SECTION 154.004 DEFINITIONS LOT COVERAGE: The ,.r.. let eaeupied by `hs pfineipa4 and buildings. The area of a lot occupied by: the principal and accessory buildings including gazebos and tool sheds: driveways (paved and gravel) and decks and patios. The purpose of the regulation shall be to control the amount of impervious surfaces which affect storm water infrastructure and the environment. SECTION 154.056 R -1, SINGLE FAMILY RESIDENTIAL DISTRICT. (F) Dimensional regulations. (1) Required lot area, lot coverage and dimensions. R -1 Use Minimum Lot Minimum Lot Width Minimum Lot Depth Area Single - family 10,400 square feet 80 feet; for corner lot, 130 feet residence connected 8,400 square feet 110 feet at building line 120 feet to public sanitary 90 feet at building line sewer Maximum lot coverage 50% (A survey will be required if calculations cannot be verified.) SECTION 154.057 R -2, MEDIUM DENSITY RESIDENTIAL DISTRICT. (F) Dimensional regulations. (1) Required lot area, lot coverage and dimensions. R -2 Use Minimum Lot Minimum Lot Width Minimum Lot Depth Area per Dwelling Unit Single - family residence 8,400 square feet 70 feet; for comer lot, 120 feet connected to public 90 feet at building line sanitary sewer Maximum lot coverage 50% (A survey will be required if calculations cannot be Verified.) Two - family dwelling; 5,000 square feet 80 feet 120 feet 5 c-6)9' • i 1 L_J • Ordinance # 05 -0424 Lot coverage February 14, 2006 Pave 2 .............e 35714 Maximum lot coverage Minimum Lot Area per Dwelling Unit Minimum Lot Width Minimum Lot Depth 50% (A survey will be required if calculations cannot be verified.) SECTION 154.058 R -3, MEDIUM -MGH DENSITY RESIDENTIAL DISTRICT. (E) Dimensional regulations. (1) Minimum lot area, lot coverage and dimensions. (a) Requirements. R -3 Use Minimum Lot Area per Dwelling Unit Minimum Lot Width Minimum Lot Depth Single family residence Maximum lot coverage 7,200 square feet 60 feet; comer, 80 feet 120 feet 50% (A survey will be required if calculations cannot be verified. Two-family residence; mound Maximum lot coverage 5,000 square feet 80 feet 120 feet 50% (A survey will be required if calculations cannot be verified.) EFFECTIVE DATE OF ORDINANCE. This ordinance shall take effect March 1, 2006. Adopted by the City Council this 14'b day of February, 2006. Attest: Gary D. Plotz City Administrator Steven W. Cook Mayor 50D)K 0 ! No ! M An Economic Development Authority 2005 Annual Report Hutchinson Economic Development Authority Prepared by Miles R. Seppelt, EDA Director Erin Eberdt, Deputy , 5 (C)- 0 TABLE OF CONTENTS Tableof Contents .................................................. ............................... i Introduction.......................................................... ............................... 1 Organization of the Economic Development Authority .............................. 1 ActivityReport ...................................................... ............................... 2 Business Retention & Expansion Program ........................... :............. 3 Downtown Redevelopment .............................. ............................... 4 Hutchinson Hotel .................................. ............................... 4 Historic State Theater ........................... ............................... 5 Liquor Hutch Expansion ......................... ............................... 5 Downtown Streetscape ......................... ............................... 6 Cornerstone Commons .......................... ............................... 7 Industrial Park Development ............................ ............................... 8 Property Management .......... ................ .... .. ... .. .............. ",.... 8 Business Start-ups & Expansions ............ ............................... 8 New Economic Development Program: JOBZ .......................... 8 Industrial Park Improvements................ Marketing..................................................... ............................... 10 EDAWeb - site ..................................... ............................... 10 Community Venture Network .................. ............................... 10 • Hutchinson Downtown Association ................. :................................. Board Reorganization & Bylaw Update ..... ............................... 10 11 Farmers Market ................................... ............................... 12 Popcorn Wagon ................................... ............................... 12 Downtown Events ................................ ............................... 12 Loan & Grant Programs .......................................... ............................... 13 Economic Development Loan Fund. ....... 13 Downtown Commercial Rehabilitation Loan Fund . ............................... 13 Storefront Revitalization Matching Grants ............ ............................... 14 Sign & Awning Grants ..................................... ............................... 14 Internship Program ................................................ ............................... 15 EDAFinances ....................................................... ............................... 15 Summary.............................................................. ............................... 18 Summary of Results: EDA 2005 Work Plan & Goals... ............ ................... 19 2006 Work Plan & Goals ........................................ ............._................. 20 Appendix A — Downtown Loan Status Report, 2005 ................ Appendix B — Hutchinson Downtown Association Year -end Financial Report ..... iii Appendix C — EDA Year -end Financial Statements ....... ............................... iv • i SC�� • • Introduction On December 12, 1961 a group of prominent local businessmen — including Virgil Goebel, Robert Stearns, Emanuel Albrecht, Glen Engwall, and Jay Beytien — incorporated the first formal economic development organization in the City of Hutchinson, called "Hutchinson Growth." The stated mission of the corporation was to "promote the growth of the City of Hutchinson by taking such steps as may be necessary to induce businesses to locate in Hutchinson and to assist existing businesses to continue to operate in Hutchinson and to develop and enlarge the activities of such businesses." In the 44 years since, local economic development has been the responsibility of several organizations. From 1961 to 1979 Hutchinson Growth spearheaded the economic development efforts of the city, giving way to the Chamber Industrial Development Committee, which handled those duties from 1979 to 1982. In March of that year the Hutchinson Community Development Corporation — the HCDC — was created to direct Hutchinson's economic development efforts. In January of 1998 the Hutchinson Economic Development Authority was formed, giving the HCDC significantly broader economic development powers and making the organization a part of city government. Today, the Hutchinson Community Development Commission — an EDA, leads the city's economic development efforts — focusing on business retention & recruitment, downtown redevelopment, industrial park development and generally doing whatever is necessary to enhance the economy of the City of Hutchinson. This report summarizes the EDA's activities in 2005. Organization of the Economic Development Authority A seven - member Board of Commissioners oversees and directs the economic development efforts of the city. Members of this board are appointed by the Mayor and confirmed by the City Council; with terms lasting six years. Two of the seven are City Council members, and serve as a liaison between the EDA and the Council — insuring that all actions taken by the EDA have the benefit of Council input. The Economic Development Authority has established three teams to more closely supervise various economic development activities. The Industrial Park Team meets on an as- needed basis and is primarily responsible for industrial park development. The EDA Finance Team oversees all the financial transactions of the Authority and administers the various economic development loan and grant programs offered. In addition, they evaluate new businesses from a financial perspective to insure that any aid provided by the EDA represents a sound use of public economic development resources. Finally, the Hutchinson Downtown Association is a semi- autonomous organization that operates under the auspices of the Economic Development Authority. The Downtown Association is a self- funded membership organization of individuals and businesses from throughout the community who are committed to creating and maintaining a strong downtown. Activities of the HDA include sponsorship of the Farmer's Market & Popcorn Wagon as well as downtown events such as Main Street Christmas and Picnic in the Park. Staff support for the organization is provided by the EDA. Figure 1 — EDA Organizational Chart & Team membership, 2005 Finance Team Jim Young, Chair Mike Cannon Anthony Hanson Don Walser Steve Jansick Tim Ulrich Dan Carlson Activity Report EDA Board of Directors Tim Ulrich, President Jim Haugen, City Council Casey Stotts, City Council Don Walser Duane Hoversten Steve Jansick Mike McGraw Industrial Park Team Diane Gordon, Chair Ron McGraw Josh Gehlen Dan Steele Randy Voller Jim Haugen Tina Heubner Dick McClure Andy Larson John Lang HDA Board of Directors Matt McMillan, President Mark Cormier Ian McDonald Jackie Jensen Dan Robertson Nina Myers Tina McMillan Hutchinson has enjoyed an exceptional year for economic development in 2005. In the downtown, the EDA's 2002 investment in the "Revitalization Master Plan for Downtown" continues to pay big dividends. Since the plan was completed & adopted, considerable progress has been made in its implementation. With the re- opening of the historic State Theater & Jorgensen Hotel, the expansion of the Liquor Hutch and with the 2 5cc—) implementation of the Downtown Streetscape initiative, downtown Hutchinson has been • transformed. In 2006, the opening of Cornerstone Commons on the site of the former Rix Gas Station will continue this process, as will the addition of the new Southwest Minnesota Foundation headquarters on the old location of Dale's Auto, at the intersection of Hwy's 7 &15. In the area of industrial park development, the EDA successfully recruited a sizable manufacturer and they will be constructing 40,000 — 50,000 square foot facility in the coming year. The project will result in the creation of 12 — 15 high paying jobs in the first year. By any measure, it has been a busy and successful year for economic development in Hutchinson. Business Retention & Expansion Program The Hutchison EDA has an ongoing program to retain and promote the expansion of Hutchinson's existing business base — it being considerably easier to retain and expand existing businesses than it is to recruit new ones into the community. The core of the program is visits by EDA staff to a number of Hutchinson businesses each year. These visits have three main goals; which are to: • A) Communicate our appreciation to the business, first that they are in Hutchinson, and also for their contributions to the community; B) Identify any issues adversely impacting the business so that we can address them in a timely manner; and finally, C) Identify any potential for the business to expand in our community. In the course of our visits we also explore opportunities for "vertical integration" — which occurs when a company buys its production materials from and / or sells products to other local companies. An example of this would be the relationship between Impressions Inc. and 3M: Impressions makes all the boxes for various 3M products, so there is vertical integration between the two companies. In 2005 EDA staff was able to conduct a total of 14 BR &E visits, which are summarized in Table 1, below. Table 1 — BR&E Visits, 2005 ➢ TC Tool Engineering ➢ U.S. Post Office ➢ 3D C -N -C ➢ Ashwill Industries ➢ Impressions ➢ Provesta ➢ TEK Mechanical Services ➢ Stearnswood ➢ Hutchinson Manufacturing ➢ Cenex ➢ 3M ➢ New Dimension Plating Goebel Fixture Company ➢ Lynn Card Company • 3 s(�) In addition, EDA staff visited more than 40 downtown businesses in the course of the year. In 2006, it is our goal to more closely coordinate with the Hutchinson Chamber of Commerce and do joint BR &E visits to businesses wherever possible. Downtown Redevelopment Redevelopment of Hutchinson's downtown has been a key element of the EDA's overall economic development strategy for a number of years now. In early 2002 the EDA provided $168,000 to hire the Hoisington- Keogler Group to develop the "Revitalization Master Plan for Downtown Hutchinson." After a yearlong process involving dozens of meetings and input from literally hundreds of Hutchinson residents, the Downtown Plan was completed and formally adopted by the EDA and City Council. Implementation of the plan began immediately. Since the adoption of the plan, we've seen more than $12 million of new investment in downtown Hutchinson, as summarized in Table 2, below. Table 2 — Downtown Investment EDA Loan & Grant Programs* ➢ 53 Low Interest Loans ➢ 31 Storefront Matching Grants ➢ 48 Sign & Awning Grants Jorgensen Hotel State Theater Cornerstone Commons Liquor Hutch Expansion Downtown Streetscape Southwest Foundation TOTAL $12;313.992 *These amounts do not take into,account matching private investment. Hutchinson Hotel After being closed and dormant for many years, the historic Jorgensen Hotel building was renovated in early 2005 and is once again a center of activity in downtown. The first floor of the building is now the home of the Hutchinson Chamber of Commerce, Convention and Visitor's Bureau and also houses an attorney's office and a 4 $1,136,723 $79,291 $97,395 private $1,000,000 private $1,780,000 private $2,125,000 city $1,652,618 city $1,442,965 private $3,000,000 TOTAL $12;313.992 *These amounts do not take into,account matching private investment. Hutchinson Hotel After being closed and dormant for many years, the historic Jorgensen Hotel building was renovated in early 2005 and is once again a center of activity in downtown. The first floor of the building is now the home of the Hutchinson Chamber of Commerce, Convention and Visitor's Bureau and also houses an attorney's office and a 4 chiropractor. The basement, along with the 2 "d & 3`d floors of the building, were cleaned out and will be renovated in future phases of the project. To facilitate this renovation, the Hutchinson EDA provided a low- interest loan in the amount of $130,000 along with two small grants; one for the new awnings on the building and another to improve the "curb appeal" of the structure. Historic State Theater After nearly 2 '/2 years of work, a historic Hutchinson landmark was brought back to life in 2005. On September 7th, the State Theater opened once again to the movie -going public, showing 2nd run movies three times a day on three screens. In addition, on the 2nd floor of the building, seven old apartments were demolished and four new luxury apartments were built in their place. The owners of the State Theater live in one and the other three are rented out. Finally, two rental spaces are available in the building for retail type establishments. The Hutchinson EDA played a very key role in this project right from the very beginning. Working closely with the new owners, the EDA pulled together a financial package of nearly $1.8 million to make restoration of the building possible. Financial partners included Citizens Bank, the Minnesota Business Finance Corporation, and the Southwest Minnesota Foundation. In addition, the Hutchinson EDA provided a low interest loan in the amount of $130,000 along with two small grants. Finally, a redevelopment Tax Increment Financing District was set up to help offset certain project costs. Liquor Hutch Expansion Hutchinson's liquor enterprise provides an important source of revenue for the city — with profits contributing more than $300,000 to the city's budget each year. By 1999 the business had grown to a point where the existing facility was no longer adequate in terms of size & layout and an expansion was needed. Due to a number of factors, the project struggled for a number of years. 5c�) Because of the project's importance to the city and the downtown, and because it was one of the identified priorities in the "Revitalization Master Plan," the City Council assigned EDA staff to get the project done. From mid -2004 to the end of 2005, the EDA provided staff assistance for every phase of the project - from site selection & hiring of the architect to selecting the contractor and project coordination & oversight. The newly completed Liquor Hutch features more than 8,500 square feet of retail display space, a 35 -door cooler, an enhanced wine display area, expanded storage space and a new loading dock. The additional sales area will allow the Liquor Hutch to offer a wider variety of products and the new warehouse & loading dock areas will significantly enhance the overall efficiency of the operation. With the completion of this project, an important element of the Revitalization Master Plan has now been implemented. The new store will be a significant generator of traffic and will provide additional support to other downtown retail establishments. Finally, the project contributes to the goal of creating a "2nd Main Street" on Washington Avenue and creates a "bookend" for the east end of the downtown. Downtown Streetscape Another project coming straight out of the pages of the Downtown Master Plan was the Downtown Streetscape project. The existing streetlights, wiring and sidewalks in the downtown were installed in 1968 and were well beyond their original design life. This presented an opportunity for the city to combine the need for replacing the downtown streetlights & sidewalks with one of the key elements of the Downtown Master Plan, i.e. the proposed streetscape. The final scope of the project included replacement of all the sidewalks and streetlights in a six -block area from the Crow River Bridge to 4th Avenue South and on one block of Washington Avenue west of Main Street. In addition to replacing the streetlights & sidewalks, signage in the downtown was consolidated and reduced, a number of pedestrian safety improvements were made, some landscaping was added and the downtown parking lots were more clearly identified. The project began in late August and by the end of December principle construction on the Main Street segment of the project was completed. In May of 2006 the project will be completed with 6 final work being done on the Main Street segment and implementation of the Washington Avenue portion of the project. Because it was a key element of the Downtown Revitalization Master Plan, the EDA was involved in the Streetscape project from the very beginning. In addition to coordinating three public meetings to educate the public and solicit their feedback, the EDA and Hutchinson Downtown Association contributed to the planning of the project and its implementation. EDA staff worked closely with other city departments to research & develop the final streetscape plan and also worked very closely with downtown businesses to get their input on the project and insure that construction disruptions were minimized as much as possible. The final result will be a downtown that is considerably brighter, safer and more pedestrian friendly. For the next 30 years or more, the look of downtown Hutchinson will be appealing and inviting to residents & visitors alike. Cornerstone Commons The Hutchinson EDA was instrumental in the redevelopment of one of downtown's most run -down areas: the corner of First Avenue NW & Main Street. For more than a year the EDA worked with the developer to plan the project and get it rolling. EDA staff devoted considerable time to helping pull together the business plan for the project, assist in the acquisition of the property, secure bank financing and complete the building approval process. To aid in the financing of the project, the Economic Development Authority provided a low- interest loan and established a redevelopment Tax Increment Financing district to help offset certain project costs. Cornerstone Commons will be a two -story building with about 11,000 square feet of floor area on each floor; it will feature four retail shops on the ground level with professional office suites on the upper level. Construction on the project began in October 2005 and the new building should be ready for occupancy by mid -2006. Cornerstone Commons will make the corner of Main Street & 1" Avenue NW one of the most attractive areas of the whole downtown. 7 ,5� 0 E 0 Industrial Park Development Property Management The Hutchinson Economic Development Authority started the year with total 94.3 acres of land under its administration and available for development. The former Wetherell Property, totaling 16.54 acres, was leased out for $500 per month and the former Stritesky Property, which is 77.76 acres in size, was leased out for agricultural purposes at a rate of $100 per acre. Gross rental income totaled $13,384 for the year, with property taxes equaling $2,654. Net income from leasing out the land equaled $10,730. In early fall the EDA was able to sell 10.85 acres for $194,700 to a company planning to expand in Hutchinson in mid -2006. The proceeds of this sale will be utilized for future industrial land acquisition. At the end of the year, a total of 83.45 acres remain available for industrial development. Business Start -ups & Expansions The EDA helped one new business get started in 2005 and recruited another company to add a manufacturing facility in the Hutchinson industrial park in mid -2006. Technical assistance and gap financing was provided to Ashwill Industries, a new company that uses state -of- the -art water jet cutting technology to cut virtually any material to very precise specifications. The water jet can actually cut materials that industrial lasers cannot handle. It is anticipated that the new company will do custom cutting of materials for local firms such as Hutchinson Technology, Hutchinson Manufacturing and 3D C -N -C, among others. Initially, one new job was created and the fledgling company has rented production space in the industrial park. In early summer of 2005 the Hutchinson EDA successfully recruited a manufacturing company to expand in the city's industrial park. The company manufactures farm implement accessories and the trusses & catwalks seen on the top of grain elevators. The company, referred to only as " V until such time as the owner decides to make the expansion public, has purchased 10.85 acres of the former Wetherell property on 5"' Avenue SE and will build a 40- 50,000 square foot facility in the summer of 2006. The project will represent between $3 -5 million of new investment in the community and result in 12 -15 new jobs initially. The company will keep its existing production facility, but will move one of its two product lines to the new Hutchinson plant. New Economic Development Program: JOBZ In 2004 Governor Tim Pawlenty introduced a new economic development tool designed to help greater Minnesota communities` attract new business. Upon approval of the Department of Employment and Economic Development, certain land parcels can be designated a "Job Opportunity Building Zones." Companies locating or expanding in ` one of these zones enjoy a number of tax breaks, including exemptions from individual income taxes, corporate franchise taxes, state sales & �IINHESOTA use taxes, and property taxes. In addition, tax credits were provided for high paying jobs created in the Zone. 8 5&_-)_ 0 Because Hutchinson did not receive an allocation of JOBZ acres when the program was initiated, it was necessary to look to other Minnesota communities as a possible source of JOBZ acres. EDA staff identified and contacted a number of potential JOBZ "donor" cities. Of these, the cities of Marshall and Tracy were gracious enough to agree to the transfer of some of their JOBZ acres to Hutchinson. EDA staff then worked with officials at the Minnesota Department of Employment and Economic Development to implement a mechanism to transfer the acres, and obtained the necessary approvals from the McLeod County Board, the local school board and the City Council. After about three months of work, Hutchinson had 51.9 acres of its industrial park designated as a JOBZ zone. Obtaining this JOBZ designation proved to be instrumental in recruiting Company "X" to expand in Hutchinson, and will doubtless be very beneficial as we continue the development of the city's industrial park. Industrial Park Improvements Two projects were initiated in 2005 to improve the Hutchinson Industrial Park. The first of these is to address an on -going concern of companies in the industrial park, namely the absence of adequate signage on the east side of the industrial park at the intersection of Hwy 22 and 5"' Avenue SE. Oftentimes semi tractor - trailers making runs to companies in the industrial park have a difficult time finding their way and frequently end up going significantly out their way before they before they find their destination. Working in concert with companies in the industrial park, the Hutchinson EDA is planning to facilitate.the construction of a large monument -style sign that will serve as a landmark for trucks visiting industrial park companies. The sign will be on the same scale as the existing "Hutchinson" signs, be internally lit, and will feature the logos of companies participating in the project. The project will be privately funded, with each participating company paying to have their logo on the sign. Design work and bidding for the project will be completed over the winter months and the sign will be constructed as early as possible in 2006. The second improvement project involved a portion of the former Wetherell property now owned by the Economic Development Authority. In the course of evaluating the feasibility of creating an EDA -owned industrial spec building on a portion of the Wetherell property, it was learned that the site planned for this facility was quite low and would need significant soil corrections to make it buildable. Ordinarily it would have cost close to $100,000 to have the required soil corrections made. Instead, the EDA hired a contractor to excavate the poor soils (costing $10,147) and will be able to get quality fill free during 2006 from the various municipal infrastructure projects scheduled. This will make the 3.89 -acre lot buildable and save the EDA tens of thousands of dollars. The dollars invested to excavate the bad soils will be recouped by building that dollar amount into the final selling price of the lot. 9 Marketing In addition to its other activates, the Hutchinson Economic Development Authority markets the city as a potential site for new businesses. Two major components of this effort are the EDA web site and the organizations membership in Community Venture Network. EDA Web Site The web site of the Hutchinson Economic Development Authority, located at www.hutchinsoneda.com, takes the approach of trying to answer any question a potential business might have about economic development opportunities in the city of Hutchinson. In designing the site, EDA staff asked the question, `If I were looking at Hutchinson as a potential site for my business, what would I want to know ?" We designed the web site to answer those questions. Sections were developed to provide information on available land, buildings, financing options, the local labor force as well as the cost of doing business (water & sewer rates, energy rates, local taxes, etc.) in the community. Sections of the site also cover the EDA's efforts to revitalize the downtown and include a brief community profile. Once the design was finalized, the city's Information Technology (I -T) Department did the necessary coding and posted the site on the Internet. The result, we hope, is the single best economic development web site in the State of Minnesota. Communitv Venture Network The EDA has also continued its membership in the Community Venture Network (CVN). Over the years CVN has cultivated a network of relationships with bankers, attorneys, real estate professionals and others in an effort to identify and contact companies that are either starting -up or are expansion minded. Four times per year CVN hosts an event in the Twin Cities at which six companies will make presentations detailing their history, products, prospects and needs for future development. Once these presentations are done, CVN member cities are then free to recruit these business prospects for their particular community. In this way, the Hutchison EDA gains access to 24 business prospects per year. While none have been recruited to date, EDA staff is currently in talks with two medical devices companies about possible expansion in Hutchinson. Hutchinson Downtown Association The Hutchinson Downtown Association (HDA) has as its primary goal the strengthening of downtown. To accomplish this, it has adopted a number of strategies, which are embodied in its mission statement, which is: 10 1) to build consensus and cooperation among the many groups and individuals who have a role in the revitalization of downtown Hutchinson; 2) to preserve & enhance the physical appearance of downtown by rehabilitating buildings and making streetscape improvements, 3) to strengthen the downtown's existing economic base, while expanding it to meet new challenges & opportunities, and; 4) to market and promote the downtown to residents, visitors, new businesses, and potential investors. The HDA is made up of business owners, managers, and individuals who are interested in maintaining the vitality of the downtown. During the 2005 Membership Drive, 12 new businesses and 2 individual members joined, bringing total organizational membership to 52. Due to the partnership between business and property owners, city staff, elected officials and community members, downtown Hutchinson has become a destination of choice for residents and visitors alike. Board Restructuring & Bylaw Update At the beginning of 2005, the HDA Board of Directors was restructured from a 16- member to a 7- member board with liaisons representing the City Council, the Chamber CVB, the Farmers Market, and Historic Hutch. . In addition to restructuring the Board, the bylaws of the organization were updated in April. One of the biggest changes dealt with the election of the Board of Directors. The new bylaws state that a nominating committee will determine a slate of candidates with the correct number of candidates to fill the open positions. Next, the full HDA board must approve the slate of candidates and the membership must be notified of the selections. The membership then has the option to file a petition with additional Board nominations. If no petition is filed, the Board of Directors elects the slate of candidates, otherwise, an election is held to fill the vacant Board positions. 0 The 2005 HDA Board of Directors and Liaisons is given in Table 3, below. Member Matt McMillan Joey Willmert Jackie Jensen Mike Cannon Ian McDonald Nina Myers Tina McMillan Jim Haugen Teresa Pejsa Hugo Rusch George Quast Table 3 - HDA Board of Directors & Liaisons, 2005 Position Affiliation Term President Hutchinson Leader 2007 Vice - President The Village Shop 2005 Secretary / Treasurer Mid - Country Bank 2006 Director Citizens Bank 2005 Director Cornerstone Mortgage Co. 2006 Director The Coffee Company 2006 Director Hutchinson Leader 2007 City Council Liaison Chamber CVB Liaison Farmers Market Liaison Historic Hutchinson Liaison 11 669i)_ Farmers Market • From the end of May through the end of October each year, the HDA sponsors the Hutchinson Farmers Market, On Wednesdays from 3 PM to 6 PM and Saturdays from 8 AM to Noon First Avenue SE is closed to traffic and used for the Farmers Market. Vendors have the option of buying a season pass, which reserves them a stall of their choice, or a daily pass, which requires a payment each time they attend. The membership dues pay for the insurance and advertising associated with the market. For 2005 more than 20 vendors participated, offering everything fruits & vegetables, baked goods, jams & jellies, flowers, and handmade crafts. The market is listed in the "Minnesota Grown" Directory, which advertises all of the markets throughout the state of Minnesota. In late fall and early spring, the HDA also sponsors a Farmers Market Luncheon for all season pass holders. This is a time for vendors to reflect on the season and to voice their opinions about changes they feel are necessary to keep the market successful. Popcorn Wagon In 2003, the HDA refurbished the popcorn wagon with new paint and a new vinyl floor. This year, a new sign with the logo of the HDA was added to the Main Street side of the wagon. The Popcorn Wagon was open during the major downtown events and during Music in the Park each Monday night. is Downtown Events • Each year, the Hutchinson Downtown Association sponsors two events: Picnic in the Park and Main Street Christmas. In mid -July, the HDA sponsors "Picnic in the Park" in conjunction with Crazy Days. This year the event was switched to a two -day, Friday- Saturday, event. On the Friday, the HDA served rib sandwiches and hotdogs to almost 500 people — it's best turn out yet! In addition, the HDA held four special contests (Oldest Car in Library Square, Oldest Person on Roller skates, Craziest Hairdo and Best Dressed Pioneer) to try and regain the excitement of Crazy Days. Hutch Bucks were given as prizes for all of the winners. Bags filled with products donated by local businesses were given away to everyone who attended the event. There was also face painting, a performance by the Phoenix drum line, and entertainment from good old Beans the Clown. The event was a great success and drew many people to the downtown. Each December, the HDA also puts on "A Main Street Christmas." People that attend can enjoy a horse -drawn sleigh ride and a visit with Santa and enjoy hot apple cider, cookies, and candy. This year more than 150 people participated, making for a very successful event and marking the end of another successful year for the Hutchinson Downtown Association. The year -end financial report of the Hutchinson Downtown Association is provided in Appendix B. 12 • Loan & Grant Programs The Hutchinson Economic Development Authority administers two revolving loan funds and two small downtown grant programs. Activity for 2005 for each program is summarized below. Economic Development Loan Fund The Hutchinson Economic Development Loan Fund is designed to provide gap financing for businesses & industry starting up or expanding in the city's industrial park, although projects at other locations in the city will also be considered. The primary focus of the program is manufacturing and technology related businesses. For 2005, one loan was made. Table 4 — Economic Development Loans, 2005 Approved Recipient Loan Amount Purpose Start-up business, 9/20/2005 Ashwill Industries $32,000 purchase water jet cutting machine TOTAL Downtown Commercial Rehabilitation Loan Fund The Downtown Commercial Rehabilitation Loan Fund is intended to provide an additional financial resource and incentive for downtown property owners to improve their place of business. The goal of the program is to help keep downtown Hutchinson an attractive place for commercial & retail business by providing building improvement loans at low interest rates. At the end of the year, there were a total of 39 outstanding loans from the downtown revolving loan fund. At the time of origination, these loans totaled $1,006,723 — representing a major investment in the downtown. The outstanding balance of these 39 loans as of December 31, 2005 was $689,552.68 with $7,901.16 being repaid each month. A total of 8 loans were paid off over the course of the year when downtown properties were sold. Appendix A summarizes the year -end status of the 39 outstanding downtown loans. As noted in Table 5, below, one new loan was made in 2005, although it probably will not close until the 2nd quarter of 2006. Table 5 — Downtown Commercial Rehabilitation Loans, 2005 Approved Recipient Loan Amount Purpose New commercial 7/22/2005 Cornerstone Commons $130,000 development in place of old gas station and pawn shop TOTAL 130.000 13 Sc�� Storefront Revitalization Matching Grants The Storefront Revitalization Matching Grant Program is intended to offer dollar -for- dollar matching funds for property owners in the downtown area so they can make exterior improvements and generally improve the "curb appeal" of their property. For 2005 a total of five matching grants were made, as noted in Table 6. Table 6 — Storefront Revitalization Matching Grants, 2005 Approved Recipient Grant Amount Purpose 1/28/2005 The Glass Apple $102.50 Adjustment 3/30/2005 Jorgenson Hotel $5,000 Remove and install new doors and frames 7/22/2005 Cornerstone $5,000 New commercial development in place Grant Amount Commons 3130/2005 of old gas station and pawn shop 9/3012005 Kock's Jewelry $5,000 Replace bay window, front door, front $1,800 New Sign 8/26/2005 windows $2,000 New Sign 8/26/2005 Replace front door and windows, 10/28/2005 The Vacuum Gallery $5,000 remove old stairwell in back of building $2,000 New Sign 9/30/2005 and add landscaping 10/2812005 Titan Cleaners Building $5,000 Replace front windows $2,000 TOTAL 10/2812005 The Glass Apple Sion & Awning Grants 12/212005 Mark Schierman - 246 Main Street The Hutchinson EDA provides up to $2,000 per business for new signs and / or awnings. In 2005 a total of nine downtown businesses took part in the program, with an average grant amount of $1,861. Table 7, below, summarizes the Sign & Awning grants awarded in 2005. 14 �G� Table 7 — Sign & Awning Grants, 2005 Approved Recipient Grant Amount Purpose 3130/2005 Jorgenson Hotel $2,000 Awnings 4122/2005 Salon 22 $1,800 New Sign 8/26/2005 Law Offices of Lenore L. Flinn $2,000 New Sign 8/26/2005 Crow River Chiropractic $1,500 New Sign 8/2612005 Chamber of Commerce CVB $2,000 New Sign 9/30/2005 Titan Cleaners $2,000 New Sign 9/30/2005 Kock's Jewelry $2,000 Replace awning 10/2812005 The Glass Apple $1,451 Awning for rear entrance 12/212005 Mark Schierman - 246 Main Street $2,000 Monument style sign TOTAL 16.751 14 �G� Internship Program Working with the Community Development Department of St. Cloud State University, the Hutchinson EDA has been able to offer a very highly regarded internship program over the years. In contrast to many other internships, the Hutchinson EDA provides students with "hands -on" training and quite a lot of responsibility. Interns are the primary source of staff support for the Hutchinson Downtown Association and in that capacity are responsible for the Farmers Market, Popcorn Wagon and the HDA Budget. In addition the intern manages the two downtown grant programs as well as the downtown revolving loan fund. Finally, the intern typically works on other economic development projects in conjunction with the EDA Director. For example, in 2005 it was the EDA Intern who was primarily responsible for obtaining the JOBZ business incentive program for the City of Hutchinson. Because Hutchison offers such a high quality internship that provides considerable "real world" experience, we're able to attract the very highest quality students from St. Cloud State. The result is a "win -win" situation in which Hutchinson benefits from having top quality interns, and the students in turn get one of the very best learning opportunities available. In 2005, the Hutchinson EDA benefited ra eatly from having Crystal Foust and Erin Eberdt as interns. 0 EDA Finances E Operations of the economic development authority are funded from a variety of sources. The principle sources of funding are a transfer from the city's general fund of roughly $100,000, a transfer from the EDA revolving loan funds of $10,000; rents from EDA owned properties of approximately $10,000 per year and interest earnings & reimbursements, which each contribute about $500 per year. Since the EDA was created in 1999, the organization has had an annual operating budget averaging approximately $123,000. Figure 2, on the following page, depicts the sources of EDA funding since it was established, although data for 1999 could not be located in time for this report. 15 0 LJ Figure 2 — EDA Funding Since Inception 1999 2000 2001 2002 2003 2004 2005 2006 ❑ General Fund ■ Loan Funds ❑ Rents ❑ Reimbursements ■ Interest The bulk of the EDA's operating funds for 2005 came in the form of a transfer from the city's general fund. Over the last three years, rental income from EDA -owned property has become a significant source of revenue for the organization. As a long -term goal, the EDA is exploring options to become more financially self - sufficient. Table 8 — EDA Revenue, 2005 Source Amount Pct. General Fund $100,000 81.0% Loan Fund $10,000 8.1% Property Rent $13,384 10.8% Interest Earnings $0 0.0% Reimbursements 40 0.0% TOTAL $14 100% As shown in Figure 3, on the following page, the primary budget item for the EDA is for staff, which accounts for about 73% of the total. After that, marketing comprised 6.6% of the budget while daily operating expenses were about 4.3 %. Expenditures on consulting made up 1.9% of spending and office supplies were 1.2 %. Finally, about 12.9% of EDA spending was on industrial park improvements and property taxes and is categorized in this graph as "Other." [G 0 Figure 3 — EDA Expenditures, 2005 0Staff ■Supplles ❑Consulting ❑Operations ■ Marketing, etc. ®Other Expenditures for the year are summarized in Table 9, below. In 2005 EDA owned property was deemed by McLeod County to be taxable, since it was being rented out to private parties. Additionally, the EDA opted to make a small investment in some EDA owned property in order to make it more readily marketable. It is expected that the EDA will be able to recoup its investment once the property sells. Table 9 — Summary of EDA Expenditures, 2005 Category Budgeted Expenditure Pct. Staff $95,320 $96,509 73.2% Supplies $2,800 $1,562 1.2% Consulting $5,500 $2,471 1.9% Operations $10,750 $5,657 4.3% Marketing $9,000 $8,707 6.6% Taxes & Misc. $500 $5,267 4.0% Land Imprvmnts. / Dev. 500 $11,687 8.9% TOTAL $1 1k% Staff = Salaries, PERA, FICA, Health & Insurance benefits, etc. Supplies = Office & operating supplies Consulting = Appraisals, surveying, wetland delineations, site plans, etc. Operations = Telephone, postage, travel, printing, TIF plans, data processing, etc. Marketing = Membership in CVN, Southwest Minnesota Foundation Taxes & Misc.= Taxes on EDA owned land, etc. • Development & Land Imp. = Improvements to EDA owned land, etc. 17 56a) Summary On many levels it has been an excellent year for economic development in the City of Hutchinson. A major manufacturer has been recruited to expand in Hutchinson, we've added a powerful new financing tool with JOBZ, and we've made dramatic progress in revitalizing downtown. Consider where we were with these projects just one year ago: ➢ Historic State Theater ➢ Hotel Jorgenson ➢ Liquor Hutch ➢ Downtown Streetscape ➢ Rix Gas Station / Cornerstone Commons Add to that the redevelopment of the corner of Highways 7 & 15, where we went from having a used car dealership to having the new headquarters of the Southwest Minnesota Foundation. The Downtown Revitalization Master Plan continues to pay huge dividends for the community, and may represent one of the best investments the City & EDA have ever made. With over $12 million in new investment in Hutchinson's downtown — so far — the $160,000 Downtown Plan has paid for itself about 75 times over. By establishing a well - thought -out plan for downtown, by removing uncertainty for investors, by establishing a "yardstick" by which projects can be evaluated, and by giving the City & EDA a "To Do" list of projects based upon community needs & desires, the Downtown Revitalization Master Plan has contributed greatly to our recent success. Even more so, the city has benefited rg eatly from having a City Council and Economic Development Authority with a "Get It Done" attitude. A plan is worthless if it just sits on the shelf and gathers dust. Fortunately, Hutchinson has leaders with the courage, conviction and commitment to turn "plans" into realities. The proof is the exceptional city we live in. • 18 1-_�) Summary of Results: EDA 2005 Work Plan & Goals Business Retention & Expansion Visit 25 local companies VISITED 14 Provide outstanding customer service to our local companies DONE Swiftly deal with any issues identified from BRE visits DONE Downtown Complete Downtown Streetscape project ss % COMPLETE Complete Liquor Store project DONE Complete Rix Corner redevelopment IN PROGRESS Complete State Theater project DONE Complete at least one large -scale wall mural project (Econo-Foods) PLANNING Aggressively promote the redevelopment of the Hutchison Hotel DONE, CONTINUE Promote development of a new downtown Post Office IN PROGRESS Continue support of Hutchinson Downtown Association DONE Industrial Park Complete annexation of Stritesky parcel DONE Complete C_ site consolidation on Stritesky parcel 2006? Obtain JOBZ designation for industrial parks ( Stritesky, Wetherell & Goebel ?) DONE Complete access road to Stritesky Property 2007? Plant trees along 5'" Avenue to beautify the area NOT FEASABLE Signage on corner of Hwy 22 & 5 Ave. SE & Wetherell Property IN PROGRESS Formulate infrastructure plan for Stritesky Property (work w/ 3M etc.) YET TO DO . Scrape off topsoil on Block 2, Lot 2 of 5"' Avenue Industrial Park DONE Spec Building PRIVATE ng leased out or seW N/A foF Phase 11 of prooGt NIA Business Recruitment YET TO DO Aggressively market new 5"' Avenue Industrial Park & Stritesky Industrial Park DONE Recruit at least one new company for the Industrial Park DONE N/A Continue membership in Community Venture Network DONE Redevelopment Plan redevelopment of Dakota Rail site along Adams St & 15` Avenue SE. YET TO DO Marketing Update the EDA web -site monthly BI- MONTHLY Create new marketing materials to promote the spec building & Industrial Parks YET TO DO Post sites / buildings on MNPRO YET TO DO Update community profile quarterly YET TO DO 19 / /c) • 2006 Work Plan & Goals Throughout the last three months of 2005 the EDA Board and EDA Finance Team considered goals and priorities for 2006. In addition to continuing existing programs the EDA will continue to work for the implementation of the various projects detailed in the Downtown Revitalization Master Plan, with the top priority being the development of a new downtown Post Office. BUSINESS RETENTION / EXPANSION 1) Conduct 20 BR & E business visits, as many as possible in conjunction with the Chamber of Commerce DOWNTOWN 1) Aggressively pursue a new downtown Post Office 2) Complete existing projects (Cornerstone Commons, Streetscape, etc.) 3) Complete * project/ housing 4) Support downtown through the bridge closure 5) Downtown Redevelopment — Washington Avenue? 6) Recruit a nice sit -down restaurant( ?) 7) Get the mural done. 8) Old Pet Clinic / Additional Downtown Parking * Needs to be kept confidential for the time being. • INDUSTRIAL PARK 0 1) Complete "Company X" building project 2) Get "Company Y" into town & complete that building project (this is a medical devices company) 3) Complete C * Project 4) Complete fill project on Wetherell Industrial Park site 5) Promote development of Brown's Greenhouse & Goebel Properties 6) Research possibilities to recruit renewable energy projects to Hutchinson 7) Establish "virtual" business incubator * Needs to be kept confidential for the time being. GENERAL 1) Support Hwy 7 businesses through construction project. 2) Obtain $100,000 in grants (various uses) 3) Host event to mark the 45"' anniversary of the founding of "Hutchinson Growth" to honor the Founding Fathers. (December 12"') 20 5() 0 APPENDIX A Downtown Loan Program Status Report, 2005 11 40 ii ScG� TOTALS V $1,006,723.33 **Payment is interest only $7,901.16 $669,552.68 Outstanding Balance as of Loan Borrower Originated Loan Amt Term Rate Monthly Pymt 12131106 Maturity 2 B 3/10/1990 $4,626.55 20 0% $19.28 $751.27 2/1/2010 3 C 611/1991 $4,965.91 20 0% $20.69 $345.06 5/1/2011 4 D 6/10/1991 $30,101.37 20 0% $125.42 $6,647.83 5 /12011 5 E 12/1/1991 $3,395.75 20 0% $14.15 $735.01 11/1/2011 6 F 5/1/1992 $7,310.00 20 0% $30.46 $2,680.95 4/1/2012 7 G 2/10/1993 $25,637.10 20 .0% $106.82 $10,148.20 1/2/2013 8 H 3/10/1993 $1,772.95 20 0% $7.39 $568.91 2/10/2013 9 1 6/1/1993 $3,749.00 20 0% $15.62 $1,390.38 4/1/2013 10 1 1/2/1994 $1,610.75 20 0% $6.71 $644.51 12/1/2013 11 K 1/2/1996 $3,536.43 20 0% $14.74 $1,767.63 1211/2015 12 L 5110/1997 $2,016.50 17 0% $9.88 $365.46 5112014 13 M 5/1/1998 $17,625.26 12.66 0% $117.90 $6,778.46 12112010 14 N 8/1/1998 $59,000.00 10 2% $542.88 $16,389.88 7/12008 15 O 3112000 $3,000.57 10 2% $30.00 $1,200.33 2/12010 16 P 4/12000 $5,088.90. 10 2% $48.44 $2,218.36 3/12010 17 0 12/12000 $11,923.40 10 2% $200.00 $654.19 11/12010 18 R 122001 $18,975.00 10 2% $250.00 $12,583.97 12112010 19 S 3/12001 $4,411.00 10 2% $40.59 $2,334.78 2112011 20 T 4/102001 $13,033.31 10 2% $119.92 $7,167.10 4/12011 21 11 5/12001 $1,612.34 10 2% $14.84 $894.20 4/12011 22 v 5/12001 $53,855M 10 2% $495.54 $30,594.33 4/12011 23 W 9/1/2001 $8,105.00 10 2% $100.00 $3,464.11 8/12011 24 X 9/12001 $33,580.50 10 2% $308.99 $20,689.73 8112011 25 Y 9112001 $4,110.00 10 2% $37.82 $2,455.79 8/12011 26 Z 11/12001 $2,960.00 10 2% $27.24 $1,818.13 10112011 27 AA 12/12001 $4,650.00 10 2% $45.00 $2,746.66 11/12011 28 BB 12112001 $59,820.00 10 2% $550.42 $37,287.65 11/12011 29 CC 3/12002 $15,970.23 10 2% $146.95 $10,206.79 2/12012 30 DD 4/12002 $27,494.00 10 2% $252.98 $2,646.98 3/12012 31 EE 12/12002 $17,060.00 10 2% $156.97 $10,343.71 11/12012 32 FF 122003 $3,000.00 10 2% $27.60 $2,210.61 12/12012 33 GG 5/82003 $65,000.00 10 2% $598.09 $50,064.61 4/12013 34 HH 7/12003 $15,000.00 10 2% $138.02 $11,938.44 6/12013 35 II 1/2/2004 $130,000.00 10 2% $227.51" $121,148.86 12/12013 36 4112004 $11,055.52 10 2% $101.73 $9,371.47 3/12014 37 KK 9/102004 $130,000.00 10 2% $1,196.17 $115,145.69 9/12014 38 LL 10272004 $130,000.00 10 2.75% $1,240.34 $118,209.31 10/12014 39 MM 12112004 $65.000.00 15 4.5% $497.25 561.902.20 11/12019 TOTALS V $1,006,723.33 **Payment is interest only $7,901.16 $669,552.68 APPENDIX B Hutchinson Downtown Association 2005 Budget Report r� U r� U iii • 0 0 Hutchinson Downtown Association 2005 Budget Report Updated: January 26. 2005 REVENUE Membership Dues Interest Income Farmers Market Donations Promotions: Crazy Days / Picnic in the Park Shopping Bags Misc. Income TOTAL REVENUE EXPENSES Administration Fanners Market Popcom Wagon (Cost to Refurbish) Popcorn Wagon (Operations) Insurance Legal Expenses Meeting Expenses Advertising: Hutchinson Leader Other Marketing Expenses Office Supplies: Letterhead Envelopes Postage Promotions: Christmas Crazy Days / Picnic in the Park Shopping Bags Flowers & Treetops Banners Dues & Subscriptions: Memberships (i.e. Chamber) Newsletters Donations: Misc. TOTAL EXPENSES BALANCE Annual Budget $6,500.00 $60.00 $3,300.00 $0.00 $1,300.00 $175.00 $50.00 $11,385.00 Annual Budget $300.00 $600.00 $100.00 $100.00 $615.00 $25.00 $1,000.00 $2,800.00 $50.00 Y 1'1 1 1 Y 11 11 :11 11 �. 111 11 1 11 Y 11 11 $100.00 $25.00 $500.00 $10.345.00 $1.040.00 HDA year -end Financial Condition Checking Balance $370.69 Savings Balance $12,280.11 TOTAL $12.650.80 2005 Actual $7,000.00 $114.48 $3,420.50 $300.00 $1,318.00 $152.80 $3.41 $12,309.19 2005 Actual $25.58 $1,165.97 $122.48 $77.00 $599.00 $0.00 $447.67 $3,936.04 $433.42 $205.55 $0.00 $263.50 $941.50 $1,657.19 $264.37 $1,363.42 $0.00 $292.50 $0.00 $400.00 $12.195.19 $114.00 % of Budaeted 107.69% 190.80°/0 103.65% 0.00^/ 101.38% 87.31% 6.82% 108.12% % of Budgeted 8.53% 194.33% 122.48% 77.00% 97.40% 0.00% 44.77% 140.57% 866.84% 102.78% 0.00% 329.38% 117.69% 165.72% 176.25% 90.89% 0.00% 292.50% 0.00% 80.00% 117.88% .s(<�) r� APPENDIX C Economic Development Authority 2005 Year -end Financial Statements 0 0 iv �G� Hutchinson Community Development Corp - EDA DRAFT AS OF DECEMBER 31, 2005 OPERATIONS DRAFT Assets TOTAL Cash 315,517 Accounts Receivable 500 Mortgages - McClure (Year 7 of 10 yr. forgiveness) 5,424 - McClure (DAVXYear 5 of 10 yr, forgiveness) 6,640 - American Energy System (Year 4 of 10 yr. forgiveness) 78,174 TOTAL MORTGAGES RECEIVABLE 90,238 TOTAL ASSETS Liabilities Accounts Payable 147 Accrued Payroll & Vacation 0 Deferred Land Write Down - 90,238 TOTAL LIABILITIES 90,385 Equity Fund Balance Reserved - future land purchase 17,113 Reserved - Land Miller McGraw Property Sold 5,528 Reserved - Land DAV Land Sale Miller McGraw Property Sold 92,074 Unreserved 201,156 • TOTAL FUND BALANCE 315,870 TOTAL LIABILITIES & FUND BALANCE • Page 1 of 5 :SL!) Hutchinson Community Development Corp - EDA DRAFT AS OF DECEMBER 31, 2005 DRAFT • Statement of Revenues & Expenditures Object Available Code Description Budget DEC YTD. Balance REVENUES 3860 VIDEO REVENUE 0 0 0 0 3923 CLEARING ACCOUNT 0 0 0 0 3171 TIF FEES 0 0 0 0 3849 COMMUNITY DEVELOPMENT ADM. 0 0 0 0 3781 RENT 11,400 500 13,384 -1,984 3780 TRANSFER 0 0 0 0 3845 REIMBURSEMENT 1,000 0 40 960 3845 COMMERCIAL LOAN TRANSFER 2,600 10,000 10,000 -7,400 3845 ECONOMIC DEV LOAN TRANSFER 3,000 0 0 3,000 3845 TAX INCREMENT ADM. 0 0 0 0 3845 DEVELOPERS FEES 0 0 0 0 3845 GENERAL FUND & TAX LEVY 100,000 100,000 100,000 0 3840 SALE OF PROPERTY 0 0 199,956 - 199,956 3810 INTEREST EARNED 1,000 0 0 . 1,000 TOTAL INCOME 119,000 110,500 323,380 - 204,380 EXPENDITURES 6100 WAGES- REG.EMPLOYEES 63,088 5,216 65,559 -2,471 6115 COLA/PERFORMANCE 2,950 0 0 2,950 4120 WAGES - TEMPORARY EMPLOYEES 14,100 1,091 16,484 -2,384 4141 PERA - COORDINATED 4,268 288 3;626 642 4144 FICA -CITY PORTION 4,785 386 5,030` -245 6150 MEDICARE 1,119 90 1,176. -57 4150 EMPL.HEALTH 1 & INS. BENEFIT 4,510 349 4,191 319 4170 WORKERS COMP INSURANCE 500 35 444 56 TOTAL SALARIES & FRINGE BENEFITS 95,320 7,456 96,509 -1,189 4200 OFFICE SUPPLIES 800 0 106 694 4210 OPERATING SUPPLIES 2,000 64 1,455 545 4220 REPAIR & MAINTENANCE SUPPLIES 0 0 0 0 TOTAL SUPPLIES, REPAIRS, & MAINT. 2,800 64 1,562 1,238 4300 PROFESSIONAL SERVICES 4309 OTHER CONTRACTUAL & LEGAL TOTAL CONSULTING • Page 2 of 5 3,500 0 2,046 1,454 2,000 425 425 1,575 5,500 425 2,471 3,029 5L) Hutchinson Community Development Corp - EDA DRAFT AS OF DECEMBER 31, 2005 DRAFT Statement of Revenues & Expenditures .Object 0 1,540 Available . Code Description Budget. Month YTD - 10,147 Balance 0 0 4310 COMMUNICATIONS 2,500 187 2,502 -2 4301 LEGAL SERVICES 0 0 0 0 4302 AUDIT . 0 0 0 0 4311 POSTAGE 1,600 11 290 1,310 4320 TRAVEL SCHOOL CONFERENCE 2,200 0 2,167 33 4330 ADVERTISING 0 0 0 0 4340 PRINTING & PUBLISHING 2,500 17 697 1,803 4321 MILEAGE 1,000 0 0 1,000 4325 MEETING EXPENSE 0 0 0 0 4370 CONTRACT REPAIR & MAINTENANCE 0 0 0 0 4385 DATA PROCESSING EXPENSE 950 0 0 950 TOTAL OTHER SERVICE & CHARGES 10,750 214 5,657 5,093 6735 SOUTHWEST MN FOUNDATION 4,000 0 4,000 0 TOTAL TRANSFERS 4,000 0 4,000 0 4401 DUES & SUBSCRIPTIONS 5,000 0 4,707 293 4402 TAXES 0 0 2,654 -2,654 • 4409 MISCELLANEOUS 500 47 2,613 -2,113 4980 REFUNDS & REIMBURSEMENTS 0 0 0 0 TOTAL MISCELLANEOUS 5,500 47 9,974 -4,474 4513 DEVELOPMENT COST 4514 IMPROVEMENTS TO LAND 4530 MACHINERY & EQUIPMENT 4500 LAND TOTAL CAPITAL OUTLAYS TOTAL EXPENSES Revenues over (under) expenditures E 0 0 1,540 - 1,540. 0 0 10,147 - 10,147 500 0 0 500 0 0 0 0 500 0 11,687 - 11,187 124,370 8,206 (5,370) 102,294 Page 3 of 5 131,860 -7,490 191,521 (198,891) 5() Hutchinson Community Development Corp - EDA DRAFT AS OF DECEMBER 31, 2005 DRAFT . ECONOMIC DEVELOPMENT LOAN FUND Assets TOTAL Cash 116,444 Mortgage Receivable Ashwill Industries 31,308 Plastic Specialties - (Year7 of 10 yr. forgiveness) 23,717 Allied Mechanical 21,560 76,585 Deposits (MCCF) 25,000 Accrued Interest 528 TOTAL ASSETS 218,556 Liabilities Accounts Payable 0 Deferred Revenues (mortgage receivable) 76,585 Equity Fund Balance Reserved 0 Unreserved 141,972 TOTAL FUND BALANCE 141,972 TOTAL LIABILITIES & FUND BALANCE 218,556 • ECONOMIC DEVELOPMENT LOAN FUND Statement of Revenues & Expenditures REVENUES TIF /IDR Application Fee 0 Loan Repayment - Interest 438 Loan Repayments 7,500 Reimbursement 0 Interest earned 0 TOTAL REVENUES 7,938 EXPENSES Loan 0 Transfers .0 TOTAL EXPENSES 0 Revenues over (under) expenditures 7,938 5C� Hutchinson Community Development Corp - EDA DRAFT AS OF DECEMBER 31, 2005 DRAFT ENERGY LOAN FUND - DOWNTOWN LOAN FUND Assets TOTAL Cash 5291846 Mortgage Receivable Mortgages 706,776 Interest Receivable 0 Due From Other funds 0 TOTAL ASSETS 1,236,422 Liabilities Accounts Payable 0 Deferred Revenues (mortgage receivable) 706,776 . Equity Fund Balance Unreserved 529,645 TOTAL FUND BALANCE 529,645 TOTAL LIABILITIES & FUND BALANCE 1,236,422 ENERGY LOAN - DOWNTOWN LOAN FUND Statement of Revenues & Expenditures REVENUES Loan Repayments 126,870 Other Revenue. 0 Interest earned 0 TOTAL REVENUES 126,870 EXPENSES Loan 173,907 Downtown Grant Program 30,206 Misc. 476 Transfers 10,000 TOTAL EXPENSES 214,589 Revenues over (under) expenditures 87,719 • Page 5 o 5 5C • • • LEASE AGREEMENT This agreement is made and entered into by and between the City of Hutchinson, a Minnesota municipal corporation,( "Lessor ") and Nutrition Services, Inc., Mid - Minnesota Senior Dining ( "Lessee ") for Lessee to use the premises described as Senior Center, Evergreen Apartments, 115 Jefferson Street, Hutchinson, MN 55350 Term. This lease shall be in effect for the calendar year 2006 and renewable annually thereafter until either party provides 60 days written notice of intent to terminate. 2. Reimbursement. There shall be monthly payments of $900.00 paid to the Lessor for reimbursement of utilities and maintenance expense directly associated with Lessee's use of the premises. 3. Use of the Premises. Lessee shall have the right to use the dining area from 10:30 a.m. to 1:00 p.m. and the kitchen from 6:00 a.m. to 2:00 p.m., or reasonable time of completion daily, Monday through Friday. In the event the Lessor must unavoidably use the premises during these hours, the Lessee shall be notified two weeks in advance and provide an acceptable alternate option if available. 4. Repair/Maintenance/Utilties. A. The Lessor will be responsible for major housekeeping chores, such as cleaning bathrooms, washing windows, scrubbing kitchen floors and shoveling snow. B. The Lessee will conduct daily light housekeeping as follows: sweeping of floor, taking out garbage, recycling ( *Lessor provides container), wiping down cupboards, shelves, countertops, dishwasher, freezers, refrigerators, keeping stoves and ovens in clean order (inside and out), keeping items off the floor space keeping kitchen in generally good appearance and in neat order. Utility payments to the vendors shall be the responsibility of the Lessor. 5. Lessee Property. All goods, foodstuffs, fixtures, equipment and personal property of the Lessee shall remain the property of and reserved for the Lessee at all times. Any damage /disappearance, mysterious or otherwise, during the Lessor's use of the premises shall be the Lessor's responsibility to reimburse Nutrition Services, Inc 6. Lessor Provided Trade Fixtures. The Lessor shall provide oven, washing and storage fixtures as well as place settings, table and chairs, and cleaning utensils for meal site operation at the level described in "special conditions ". This property remains the Lessor's if provided at the Lessor's expense. 7. Insurance. The Lessee agrees to carry personal property insurance to cover all its contents and personal property on the leased premises. s(�) r • LJ • S. Assigns. The terms and agreements of this lease shall extend to and bind the heirs, assigns and executors of both parties. 9. Food License. The Lessee will maintain a Minnesota Food License for program operations only. The Lessor is responsible to ensure that any other food preparation activities in the facility are in compliance with Minnesota State Law. 10. Special Conditions. A. The Lessee will maintain telephone service for program use only. The Lessee will pay for long distance telephone calls made by program staff. B. The Lessor will provide adequate place settings and other trade fixtures for an average meal service capacity of 75 persons. In witness whereof both parties have executed this agreement with their signature below as dated. LESSEE Larry Kroeger, President Nutrition Services Inc. Mid - Minnesota Senior Dining Date 15_ °� LESSOR Gary D. Plotz City Administrator Steven W. Cook Mayor Date SLd) Wk C4 % Minnesota Lawful Gambling contrw (LG200R) Lawful Gambling License Renewal Application Corrections should be made directly on this application Submit one check for all renewal fees, payable to State of Minnesota 7 rganization requirements: Current license term: 6/1/2004 to 5/31/2006 1. An annual organization license fee of $350 Is required. Renewing license term: 6/1/2006 to 5/31/2008 Authorization: 3389 Organization: Volture 414 40/8 35 3rd Ave SE, Hutchinson, MN 55350 CEO: Don Pankake 805 Laura Ave SW, Hutchinson, MN 55350 Treasurer: Richard Krueger 670 Southview Dr, Hutchinson, MN 55350 (320)587 -2665 County of McLeod FAnnual Goal for Charitable Contributions qD - %T-t- ----------------------- — —I ® F_irned_ aes box n yow i mans auon quames for I the waiver of the $350 organization kense fee defined In MN Statute 349.16 Subd. 6 {320)587 -7000 (320)587 -2259 Premises permit requirements: — -- — — — -- - - - -- -- 1. An annual premises permit fee of $150, 2. A separate resolution of approval including the site address from the local unit of government, (The local unit of government does not sign this renewal application) and 3. A LG215 lease agreement for each site your organization does not own is required. - ................. Site number 001 L [- a;ea� mis box rb,te sire has been discontinued or wiii not be renewed �� . ; ero * American Legion Post 96 ...... .35 3rd Ave SE, Hutchinson, MN 55350 McLeod County 1 Township of (if applicable) Gambling account # 021717 Organization owns this site: N Marquette Bank Does your organization conduct bingo at this site? Y / N _.� 308 S Main St, Hutchinson, MN 55350 Is the resolution of a roval attached? Y / N .. ... -- PP if yes, the attached list of the days and beginning and ending hours of your bingo occasions must be updated and returned. 0 5 �� • MEMORANDUM POLICE / EMERGENCY MANAGEMENT SERVICES TO: Melissa Starke, Administrative Coordinator FROM: Sgt. Chris Dobratz, Police Services 0 DATE: January 24, 2006 RE: Massage License As of today's date, I have completed a background investigation on Cheryl Rowe. Ms. Rowe has applied with the City of Hutchinson for a massage license to conduct Massage and Reflexology practices at Reflexology Plus, located at 116 Main St. S. During the course of conducting this background investigation, I did not find anything in Ms. Rowe's background that would prevent her from obtaining this license. If you have any questions, or if you need any further investigation into this matter, please contact me. 5(f� 0 0 I I I Hassan Street Southeast Hutchinson, MN 55350 (320) 587-515 I/Fax: (320) 234 -4240 City of Hutchinson Application for Massage Service License cps License Fee: Operating Year: Ob Business Information Business Name Phone Number \16 N a,+ , � � ( (l, ytr6r 11i Vl 55350 Business Address city State zip Corporate Name Address Phone Number State ZiI Owners) /Corporate Officer(s) (list names and addresses of all persons have a beneficial interest in the business/corporation) tt Name: L J�o. Jz X535 a Address City State Zip Name: Address City State Zip 'Ifnecessary, list additional owner(s) /corporate officer(s) on a separate sheet ofpaper -ssee (if applicable) Name: Address City State Zip Operators list all individuals involved in giving massage services Name: 1?�h �ri CIuA Sy -aA3 I��fiC'��Sw. C, C) Address City State Zip Name: s Address City list additional operators on a separate sheet ofpaper State Zip 5() 0 i 0 City of Hutchinson Application for Massage Service Page 1 of 3 be vro�cFu �� mass�4 cU �, s lean, tit fLU\Q a(So Describe Nature of Massage Business and Massage Services Offered IAZ< CkfPAfi rn �fer -)+f (D✓ 0V'ej_�,C✓ GI VCC&��� an Ar41XKt;u � ¢0. uScis Se �0AkI f 0 v} ��Nafio" ef e1tk ri �l_ +i ,S V-E' wt-' ' 4VJgtt'w MUSc6S- 10.j5t, J,eo-fl CG FV\t + s1yd-d, 11tiuSClcs So As iD 1ri' 1LYJ ,r, w, '1 Ltil ✓,Y" l',V. ,'.^ I( ,, w..,,, -•T- ,,, w Insurance Coverage Information (attach public liability insurance policy or certificate of insurance that meets or exceeds limits established in City Ordinance 6.43; Subsection 7 q r1 G4"e o-1 (jgtK.0 ,6, bYln�vuesr �ckcrc{ ySewcu Al� VKP Insuranc Co arty Agent's Name S W4aVLL have C ) 8 q-a, Address `City State Zip Phone Number Fax Number Background Statement Have you or any operators been convicted of any crime, misdemeanor, or violation of any municipal ordinance, other than traffic violations? ❑ YES NO If yes, state nature of offense and punishment or penalty therefore: Manager Information (Ordinance 6.43 subsection 6 requires that the manager of the establishment be "a natural person who is a resident of the City". Please complete the following confirming compliance with this ordinance �n2VjAi We ��d9 �)L U Manager Name Phone Number l33 rd e SVQ- -'103 k'14 .S -CIS SO Manager Address City State Zip Checklist all items must be checked "yes" in order for the application to be processed) The following items need to be completed and/or attached in order for the application to be processed: Copy of insurance that meets or exceeds limits established in the ordinance: la yes ❑ no Application fee paid in full (check or money order): Rl yes ❑ no Application completed in full and signed: es ❑ no S i' C(vuj V"USJ-r 5 60 • ►J City of Hutchinson Application for Massage Service Page 3 of 3 I hereby certify that I have completely filled out the entire above application, together and that the application is true, correct, and accurate. I fully understand that any person who violates any provision of the Massage Services Ordinance No. 6.43 is guilty of a misdemeanor and upon conviction thereof shall be punished by a fine not exceeding $500 or by imprisonment for a period not exceeding 90 days or both, plus, in either case, the costs of prosecution. cL�1� SignpFure of Applicant Date 7CWFi Print Name 0 W +I v( Title NOTE: No application will be forwarded to the City Council unless received one week prior to the regular Council meeting, filled out in completion, and jee payment is attached Internal Use Only Building: ❑ approved ❑ Notes: Fire ❑ approved ❑ denied Notes: Police ❑ approved O denied Notes: City Council ❑ approved ❑ denied H:Lit z1Appliution0Masuge.dw Notes: 5(f� • E • Minnesota Lawful Gambling I r77A Annlirr!atinn fur Pvmmnf Darmit Fno Page 1 of 2 11104 41�A V. For Board Use Only Fee Paid An exempt permit may be issued to nonprofit organizations conducting lawful gambling activity on five or fewer days, and awarding less than $50,000 in prizes during a calendar year. Check No. Organization Information Organization legal name Previous license or exemption number, if any V'r43 Po S7 b u , ('kW Street City State and zip code County ScL-J� W1n 5s3sb K1�� -0 Name of chief executive officer (CEO) rst name name Daytime phone number '7 D,1 \ e -e- � r ? - 9 q Type of nonprofit organization (check one) ❑ Fratemal ❑ Religious [i] Veteran ❑ Other nonprofit organization Type of proof of nonprofit - attach a copy (see Instructions) [RI' Nonprofit Articles of Incorporation or Certificate of Good Standing - Minnesota Secretary of State's Office ❑ Internal Revenue Service ❑ Affiliate of parent nonprofit organization (charter) Gambling Premises Information Name of premises where gambling activity will be conducted (for raffles, list the site where the drawing will take place) V��J Pos-r qo Address (do not use PO box) City Zip code County sl- ftu-t SL run Lej Date(s) of activity (for raffles, indicate the date of the drawing) G A< �l.t�` 0b to Check the box or boxes that indicate the type of gambling activity your organization will be conducting: E3-Bingo ❑ Raffles ['Paddlewheels ❑ 'Pull -Tabs ❑ - ripboards 'Gambling equipmentfor pull-tabs, tipboards, paddlewheels, and bingo (bingo paper, hard cards, and bingo bap selection device) must be obtained from a distributor licensed by the Gambling Control Board. To find a licensed distributor, go to www.gcb.state.mn.us and click on List of licensed Distributors. Or call 651 -639 -4000. This form will be made available in alternative format (i.e. large print, Braille) upon request. The information requested on this form (and anyattad merds)wilbe used bytheGambling Control Board (Board) to determine your qua6Acetfonsto be Involved in lawful gambling activities in Minnesota. You have the right to refuse to supply the Information requested; however, if you refuse to supply this Information, the Board may not be able to determine your qualifications and, as a consequence, may refuse to Issue you a permit. If you supply the Information requested, the Board will be able to process your application. Your name and and your organization's name and address will be public information when received bythe Board. Alto that you provide will be private data about you until the Board Issuesyour permit. When the Board I= yourpermit, all oftheinformation that you have provided to the Board in the process of appykg bryour permit will become public. If the Board does not issue you a permit, all the Information you have provided In the process of apptyig for a permit remains private, with the exception of your name and your organization's name and address which will remain pubic. Private data about you are available only to the following: Board members, staff of the Board whose work assignment requires that they have access to the Information; the Minnesota Department of Public SaW,, the MinnesoteAttomey General; the Minnesota Commissioners of Administration, Finance, and Revenue; the Minnesota Leglsletrve Auditor, national and International gambling regulebry agencies; anyone pursuant to cast order, other individuals and agencies that are specifically authorized by state or federal haw to have access to the Information; individuals and agencies for which haw or lega l order arihoriaes a new use or staring of information alter this Notice was given; and anyone with youroonsent 5�) • • LG220 Application for Exempt Permit �(► j Page 2 of 2 Organization Name V'�-- w Q O S T q 0t, w t V 1' CAM 11/04 Local Unit of Govemment Acknowledgment if the gambling premises is within city limits, the city must sign this application. On behalf of the city, I acknowledge this application. Check the action that the city is taking on this application. ❑The city approves the application with no waiting period. ❑The city approves the application with a 30 day waiting period, and allows the Board to issue a permit after 30 days (60 days for a first class city)- ❑ The city denies the application. Print name of city Signature of city personnel receiving application Title Dabs / I if the gambling premises is located in a township, troth the county and township must sign this application. On behalf of the county, I acknowledge this application. Check the action that the county is taking on this application. ❑ The county approves the application with no waiting period. ❑ The county approves the application with a 30 day waiting period, and allows the Board to issue a permit after 30 days. ❑ The county denies the application. Print name of county Signature of county personnel receiving application Title Date / ! TOWNSHIP: On behalf of the township, I acknowledge that the organization is applying forexempled gambling activity within the township limits. [A township has no statutory authority to approve or deny an application (Minnesota Statute 349.213, subd. 2).] Print name of township Signature of township official acknowledging application Date / r Chief Executive Officer's Signature The information provided in this application is complete and accurate to the Beat of my knowledge. I acknowledge thatthe financial report will be completed and truedpto the Gambli Control Board within 30 days of the date of our gambling Chief executive officer's sign aturo�(I.a Name (please Mail application and attachments Complete an application for each gambling activity: • one day of gambling activity • two or more consecutive days of gambling activity • each day a raffle drawing is held Date—L-1-2 Q/— Send: • the completed application, • a copy of your proof of nonprofit status (see instructions), and • a $50 application fee. Make check payable to "State of Minnesota ". To: Gambling Control Board 1711 West County Road B, Suite 300 South Roseville, MN 55113 r C� 9 1 L I l l Hassan Sheet Southeast Hutchinson, MN 55350 (320)587- 5151/Faz:(320)2344240 City of Hutchinson Application for Licensing (Under Ordinance No. 117.15) G Company 9-6-9-4416 7 - 3058 Phone Number 96'3 Pbkc Ave r MW 55339 Address City State Zip In Commercial Hauling Years In Residential Hauling — Years Recycling _� Years Description Ral 10 Description • Description *If necessary, list additional equipment on se Mack 199 q0 MakelModel Year Capa Make/Afodel Year Capacity Make/Model Year Capacity sheet. 5�) • • City of Hutchinson Application for Licensing Page 2 of 3 List Additional Equipment Needed to Purchase or Lease to Meet Licensing Requirem ", t fgrr r Adeqiiiie4ransit Vehicles {secti ©n 5.23, subsection 4,E) Insurance Company Agent's Name 5350 tts� 78 It 3 --ceeV Era i ncL -!j 6Tg39 Address City State Zip q - 99.l - (?9 9-S- 763 - 557 - 6757 Phone Number Fax Number Monthly Submission of Information to City Administrator (section 623, subsection. Are you aware of your responsibility to submit names and addresses of your business and commercial account no later than the I Oth of each month to the City Administrator? ❑ YES $— NO Are you willing to maintain a local telephone number and a daily 24 -hour answering service to handle service questions? J ( YES ❑ NO I hereby certify that I have completely filled out the entire above application, together with the attached and executed Release of Information Form, and that the application is true, correct, and accurate. of Applicant Fire ❑ approved ❑ denied Notes: Police ❑ approved ❑ denied Notes: City Council ❑ approved ❑ denied Notes: 019 -05- Date 5ch� • u • C TO: Mayor & City Council FROM: John Rodeberg, Director of Public Works Kent Exner, City Engineer Randy DeVries, Director of Water/Wastewater Operations RE: Consideration of Consulting Contract with AE2S for Century Avenue Water Tower Refurbishment (Project No. 06-10) DATE: February 14, 2006 A request for proposals (RFP) was initiated by City staff to obtain consulting services necessary to complete the proposed Century Avenue Water Tower Refurbishment project. The following proposals were submitted: • AE2S • Short Elliott Hendrickson Inc. • Kollmer Consultants Inc. $38,400.00 (direct expenses included) $40,200.00 (direct expenses not included) $43,800.00 (direct expenses included) The current opionion of probable cost of construction for this project is $300,000. Attached is the consulting contract provided by Advanced Engineering and Environmental Services (AE2S) for this project. This contract includes the services necessary to complete the preliminary inspections, design recommendations, technical specifications, bidding assistance, construction inspection, and two-year warranty inspection. We recommend executing the consulting contract with AE2S in the amount of $38,400.00. cc: Gary Plotz — City Administrator 6t\) • AGREEMENT BETWEEN OWNER AND ENGINEER FOR PROFESSIONAL SERVICES THIS IS AN AGREEMENT effective as of February 15, 2006 ( "Effective Date ") between City of Hutchinson, 111 Hassan Street SE, Hutchinson, MN 55350 ( "OWNER ") and Advanced Engineering and Environmental Services, Inc., 6901 East Fish Lake Road, Suite 184, Maple Grove, MN 55369 ( "ENGINEER "). OWNER intends to perform Refurbishment of the Century Avenue Elevated Storage Tank ( "Project "), which generally consists of the following components: See Exhibit L — Project Approach OWNER and ENGINEER agree as follows: ARTICLE 1 - SERVICES OF ENGINEER ARTICLE 3 - SCHEDULE FOR RENDERING SERVICES 0 1.01 Scope \J A. ENGINEER shall provide, or cause to be provided, the services set forth herein and in Exhibit A. B. ENGINEER shall furnish Resident Project Representative(s) with duties, responsibilities, and limitations of authority a set forth in Exhibit D. ARTICLE 2 - OWNER'S RESPONSIBILITIES 2.01 General A. OWNER shall have the responsibilities set forth herein and in Exhibit B. B. OWNER shall pay ENGINEER as set forth in Exhibit C. C. OWNER shall be responsible for, and ENGINEER may rely upon, the accuracy and completeness of all requirements, programs, instructions, reports, d_ ata, and other information furnished by OWNER to ENGINEER pursuant to this Agreement. ENGINEER may use such requirements, programs, instructions, reports, data, and information in performing or furnishing services under this Agreement. 3.01 Commencement A. ENGINEER shall begin rendering services as of the Effective Date of the Agreement. 3.02 Time for Completion A. ENGINEER shall complete its obligations within a reasonable time. Specific periods of time for rendering services are set forth or specific dates by which services are to be completed are provided in Exhibit A, and are hereby agreed to be reasonable. B. if, through no fault of ENGINEER, such periods of time or dates are changed, or the orderly and continuous progress of ENGINEER's services is impaired, or ENGINEER's services are delayed or suspended, then the time for completion of ENGINEER's services, and the rates and amounts of ENGINEER's compensation, shall be adjusted equitably. C. If OWNER authorizes changes in the scope, extent, or character of the Project, then the time for completion of ENGINEER's services, and the rates and amounts of ENGINEER's compensation, shall be adjusted equitably. Agreement Between OWNER and ENGINEER for Professional Services Page t of 10 156\ • • • D. OWNER shall make decisions and carry out its other responsibilities in a timely mariner so as not to delay the ENGINEER's performance of its services. E. If ENGINEER fails, through its own fault, to complete the performance required in this Agreement within the time set forth, as duly adjusted, then OWNER shall be entitled to the recovery of direct damages resulting from such failure. ARTICLE 4 - INVOICES AND PAYMENTS 4.01 Invoices A. Preparation and Submittal of Invoices. ENGINEER shall prepare invoices in accordance with its standard invoicing practices and the terms of Exhibit C. ENGINEER shall submit its invoices to OWNER on a monthly basis. Invoices are due and payable within 30 days of receipt. 4.02 Payments A. Application to Interest and Principal. Payment will be credited first to any interest owed to ENGINEER and then to principal. B. Failure to Pay. If OWNER fails to make any payment due ENGINEER for services and expenses within 30 days after receipt of ENGINEER's invoice, then: 1. amounts due ENGINEER will be increased at the rate of 1.01/o per month (or the maximum rate of interest permitted by law, if less) from said thirtieth day; and 2. ENGINEER may, after giving seven days written notice to OWNER, suspend services under this Agreement until OWNER has paid in full all amounts due for services, expenses, and other related charges. OWNER waives any and all claims against ENGINEER for any such suspension. C. Disputed Invoices. If OWNER contests an invoice, OWNER may withhold only that portion so contested, and must pay the undisputed portion. D. Legislative Actions. If after the Effective Date of the Agreement any governmental entity takes a legislative action that imposes taxes, fees, or charges on ENGINEER's services or compensation under this Agreement, then the ENGINEER may invoice such new taxes, fees, or charges as a Reimbursable Expense to which a factor of 1.0 shall be applied. OWNER shall.pay such invoiced new taxes, fees, and charges; such payment shall be in addition to the compensation to which ENGINEER is entitled under the terms of Exhibit C. ARTICLE 5 - OPINIONS OF COST 5.01 Opinions of Probable Construction Cost A. ENGINEER's opinions of probable Construction Cost are to be made on the basis of ENGINEER's experience and qualifications and represent ENGINEER's best judgment as an experienced and qualified professional generally familiar with the construction industry. However, since ENGINEER has no control over the cost of labor, materials, equipment, or services furnished by others, or over contractors' methods of determining prices, or over competitive bidding or market conditions, ENGINEER cannot and does not guarantee that proposals, bids, or actual Construction Cost will not vary from opinions of probable Construction Cost prepared by ENGINEER If OWNER wishes greater assurance as to probable Construction Cost, OWNER shall employ an independent cost estimator as provided in Exhibit B. 5.02 Designing to Construction Cost Limit Not Used. 5.03 Opinions of Total Project Costs A. The services, if any, of ENGINEER with respect to Total Project Costs shall be limited to assisting the OWNER in collating the various cost categories which comprise Total Project Costs. ENGINEER assumes no responsibility for the accuracy of any opinions of Total Project Costs. ARTICLE 6 - GENERAL CONSIDERATIONS 6.01 Standards of Performance A. The standard of care for all professional ENGINEERing and related services performed or furnished by ENGINEER under this Agreement will be the care and skill ordinarily used by members of the subject profession practicing under similar circumstances at the same time and in the same locality. ENGINEER makes no warranties, express or implied, under this Agreement or otherwise, in connection with ENGINEER's services. B. OWNER shall not be responsible for discovering deficiencies in the technical accuracy of ENGINEER's services. ENGINEER shall correct any such deficiencies in technical accuracy without additional compensation except to the extent such corrective action is directly attributable to deficiencies in OWNER - furnished information. Agreement Between OWNER and ENGINEER for Professional Services Page 2 of 10 6z\) E LJ • C. ENGINEER may employ such Consultants as ENGINEER deems necessary to assist in the performance or furnishing of the services, subject to reasonable, timely, and substantive objections by OWNER. D. Subject to the standard of care set forth in paragraph 6.0l.A, ENGINEER and its Consultants may use or rely upon design elements and information ordinarily or customarily furnished by others, including, but not limited to, specialty contractors, manufacturers, suppliers, and the publishers of technical standards. E. ENGINEER and OWNER shall comply with applicable Laws and Regulations and OWNER - mandated standards that OWNER has provided to ENGINEER in writing. This Agreement is based on these requirements as of its Effective Date. Changes to these requirements after the Effective Date of this Agreement may be the basis for modifications to OWNER's responsibilities or to ENGINEER's scope of services, times of performance, and compensation. G. ENGINEER shall not be required to sign any documents, no matter by whom requested, that would result in the ENGINEER having to certify, guarantee, or warrant the existence of conditions whose existence the ENGINEER cannot ascertain. OWNER agrees not to make resolution of any dispute with the ENGINEER or payment of any amount due to the ENGINEER in any way contingent upon the ENGINEER signing any such documents. H. The General Conditions for any construction contract documents prepared hereunder are to be the "Standard General Conditions of the Construction Contracf' as prepared by the ENGINEERs Joint Contract Documents Committee (No. C-700,2002 Edition). I. ENGINEER shall not at any time supervise, direct, or have control over Contractor's work, nor shall ENGINEER have authority over or responsibility for the means, methods, techniques, sequences, or procedures of construction selected or used by Contractor, for security or safety at the Site, for safety precautions and programs incident to the Contractor's work in progress, nor for any failure of Contractor to comply with Laws and Regulations applicable to Contractor's furnishing and performing the Work. J. ENGINEER neither guarantees the performance of any contractor nor assumes responsibility for any contractor's failure to furnish and perform the Work in accordance with the Contract Documents. K. ENGINEER shall not be responsible for the acts or omissions of any contractor, subcontractor, or supplier, or of any of their agents or employees or of any other persons (except ENGINEER's own employees and its Consultants) at the Site or otherwise furnishing or performing any Work; or for any decision made on interpretations or clarifications of the Contract Documents given by OWNER without consultation and advice of ENGINEER. 6.02 Design without Construction Phase Services Not used. 6.03 Use of Documents A. All Documents are instruments of service in respect to this Project, and ENGINEER shall retain an ownership and property interest therein (including the copyright and the right of reuse at the discretion of the ENGINEER) whether or not the Project is completed. OWNER shall not rely in any way on any Document unless it is in printed form, signed or sealed by the ENGINEER or one of its Consultants. B. A party may rely that data or information set forth on paper (also known as hard copies) that the party receives from the other party by mail, hand delivery, or facsimile, are the items that the other party intended to send. Files in electronic media format of text, data, graphics, or other types that are fitmished by one party to the other are furnished only for convenience, not reliance by the receiving party. Any conclusion or information obtained or derived from such electronic files will be at the user's sole risk. If there is a discrepancy between the electronic files and the hard copies, the hard copies govern. C. Because data stored in electronic media format can deteriorate or be modified inadvertently or otherwise without authorization of the data's creator, the party receiving electronic files agrees that it will perform acceptance tests or procedures within 60 days, after which the receiving party shall be deemed to have accepted the data thus transferred. Any transmittal errors detected within the 60 -day acceptance period will be corrected by the party delivering the electronic files. D. When transferring documents in electronic media format, the transferring party makes no representations as to long term compatibility, usability, or readability of such documents resulting from the use of software application packages, operating systems, or computer hardware differing from those used by the documents' creator. E. OWNER may make and retain copies of Documents for information and reference in connection with use on the Project by OWNER ENGINEER grants OWNER a license to use the Documents on the Project, extensions of the Project, and other projects of OWNER, subject to the following limitations: (1) OWNER acknowledges that such Documents are not intended or represented to be suitable for use on the Project unless Agreement Between OWNER and ENGINEER for Professional Services Page 3 of 10 Jl l) completed by ENGINEER, or for use or reuse by OWNER or others on extensions of the Project or on any other project without written verification or adaptation by ENGINEER; (2) any such use or reuse, or any modification of the Documents, without written verification, completion, or adaptation by ENGINEER, as appropriate for the specific purpose intended, will be at OWNER's sole risk and without liability or legal exposure to ENGINEER or to ENGINEER's Consultants; (3) OWNER shall indemnify and hold harmless ENGINEER and ENGINEER's Consultants from all claims, damages, losses, and expenses, including attorneys' fees, arising out of or resulting from any use, reuse, or modification without written verification, completion, or adaptation by ENGINEER; (4) such limited license to OWNER shall not create any rights in third parties. F. If ENGINEER at OWNER's request verifies or adapts the Documents for extensions of the Project or for any other project, then OWNER shall compensate ENGINEER at rates or in an amount to be agreed upon by OWNER and ENGINEER. 6.04 Insurance A. ENGINEER shall procure and maintain insurance as set forth in Exhibit G, "Insurance." ENGINEER shall cause OWNER to be listed as an additional insured on any applicable general liability insurance policy carried by ENGINEER B. OWNER shall procure and maintain insurance as set forth in Exhibit G, "Insurance." OWNER shall cause ENGINEER and ENGINEER's Consultants to be listed as additional insureds on any general liability or property insurance policies carried by OWNER which are applicable to the Project C. OWNER shall require Contractor to purchase and maintain general liability and other insurance in accordance with the requirements of paragraph 5.04 of the "Standard General Conditions of the Construction Contract," (No. C -700, 2002 Edition) as prepared by the ENGINEERS Joint Contract Documents Committee and to cause ENGINEER and ENGINEER's Consultants to be listed as additional insureds with respect to such liability and other insurance purchased and maintained by Contractor for the Project. D. OWNER and ENGINEER shall each deliver to the other certificates of insurance evidencing the coverages indicated in Exhibit G. Such certificates shall be furnished prior to commencement of ENGINEER's services and at renewals thereafter during the life of the Agreement. E. All policies of property insurance relating to the . Project shall contain provisions to the effect that ENGINEER's and ENGINEER's Consultants' interests are covered and that in the event of payment of any loss or damage the insurers will have no rights of recovery against ENGINEER or its Consultants, or any insureds or additional insureds thereunder. F. At any time, OWNER may request that ENGINEER or its Consultants, at OWNER's sole expense, provide additional insurance coverage, increased limits, or revised deductibles that are more protective than those specified in Exhibit G. If so requested by OWNER, and if commercially available, ENGINEER shall obtain and shall require its Consultants to obtain such additional insurance coverage, different limits, or revised deductibles for such periods of time as requested by OWNER, and Exhibit G will be supplemented to incorporate these requirements. 6.05 Suspension and Termination A. Suspension. By OWNER OWNER may suspend the Project upon seven days written notice to ENGINEER. By ENGINEER: If ENGINEER's services are substantially delayed through no fault of ENGINEER, ENGINEER may, after giving seven days written notice to OWNER, suspend services under this Agreement. B. Termination. The obligation to provide further services under this Agreement may be terminated: For cause, a. By either party upon 30 days written notice in the event of substantial failure by the other party to perform in accordance with the terms hereof through no fault of the terminating party. b. By ENGINEER 1) upon seven days written notice if OWNER demands that ENGINEER firmish or perform services contrary to ENGINEER's responsibilities as a licensed professional; or 2) upon seven days written notice if the ENGINEER's services for the Project are delayed or suspended for more than 90 days for reasons beyond ENGINEER's control. 3) ENGINEER shall have no liability to OWNER on account of such termination. Agreement Between OWNER and ENGINEER for Professional Services' \ Page 4 of 10 J \\ 1 C. Notwithstanding the foregoing, this Agreement will not terminate under paragraph 6.05.B.1.a if the party receiving such notice begins, within seven days of receipt of such notice, to correct its substantial failure to perform and proceeds diligently to cure such failure within no more than 30 days of receipt thereof, provided, however, that if and to the extent such substantial failure cannot be reasonably cured within such 30 day period, and if such party has diligently attempted to cure the same and thereafter continues diligently to cure the same, then the cure period provided for herein shall extend up to, but in no case more than, 60 days after the date of receipt of the notice. 2. For convenience, a. By OWNER effective upon ENGINEER's receipt of notice from OWNER. C. Effective Date of Termination. The terminating party under paragraph 6.05.B may set the effective date of termination at a time up to 30 days later than otherwise provided to allow ENGINEER to demobilize personnel and equipment from the Site, to complete tasks whose value would otherwise be lost, to prepare notes as to the status of completed and uncompleted tasks, and to assemble Project materials in orderly files. • D. Payments Upon Termination. 1. In the event of any termination under paragraph 6.05, ENGINEER will be entitled to invoice OWNER and to receive full payment for all services performed or furnished and all Reimbursable Expenses incurred through the effective date of termination. Upon making such payment, OWNER shall have the limited right to the use of Documents, at. OWNER's sole risk, subject to the provisions of paragraph 6.03.E. 2. In the event of termination by OWNER for convenience or by ENGINEER for cause, ENGINEER shall be entitled, in addition to invoicing for those items identified in paragraph 6.05.D.1, to invoice OWNER and to payment of a reasonable amount for services and expenses directly attributable to termination, both before and after the effective date of termination, such as reassignment of personnel, costs of terminating contracts with ENGINEER's Consultants, and other related close -out costs, using methods and rates for Additional Services as set forth in Exhibit C. • 6.06 Controlling Law A. This Agreement is to be governed by the law of the State of Minnesota. 6.07 Successors, Assigns, and Beneficiaries A. OWNER and ENGINEER each is hereby bound and the partners, successors, executors, administrators and legal representatives of OWNER and ENGINEER (and to the extent permitted by paragraph 6.07.B the assigns of OWNER and ENGINEER) are hereby bound to the other party to this Agreement and to the partners, successors, executors, administrators and legal representatives (and said assigns) of such other party, in respect of all covenants, agreements, and obligations of this Agreement. B. Neither OWNER nor ENGINEER may assign, sublet, or transfer any rights under or interest (including, but without limitation, moneys that are due or may become due) in this Agreement without the written consent of the other, except to the extent that any assignment, subletting, or transfer is mandated or restricted by law. Unless specifically stated to the contrary in any written consent to an assignment, no assignment will release or discharge the assignor from any duty or responsibility under this Agreement. C. Unless expressly provided otherwise in this Agreement: 1. Nothing in this Agreement shall be construed to create, impose, or give rise to any duty owed by OWNER or ENGINEER to any Contractor, Contractor's subcontractor, supplier, other individual or entity, or to any surety for or employee of any of them 2. All duties and responsibilities undertaken pursuant to this Agreement will be for the sole and exclusive benefit of OWNER and ENGINEER and not for the benefit of any other party. 3. OWNER agrees that the substance of the provisions of this paragraph 6.07.0 shall appear in the Contract Documents. 6.08 Dispute Resolution Not Used. 6.09 Environmental Condition of Site A. OWNER has disclosed to ENGINEER in writing the existence of all known and suspected Asbestos, PCBs, Petroleum, Hazardous Waste, Radioactive Material, hazardous substances, and other Constituents of Concern located at or near the Site, including type, quantity, and location. Agreement Between OWNER and ENGINEER for Professional Services C�� Page 5 of 10 • 0 • B. OWNER represents to ENGINEER that to the best of its knowledge no Constituents of Concern, other than those disclosed in writing to ENGINEER, exist at the Site. C. If ENGINEER encounters an undisclosed Constituent of Concern, then ENGINEER shall notify (1) OWNER and (2) appropriate governmental officials if ENGINEER reasonably concludes that doing so is required by applicable Laws or Regulations. D. It is acknowledged by both parties that ENGINEER's scope of services does not include any services related to Constituents of Concern. If ENGINEER or any other party encounters an undisclosed Constituent of Concern, or if investigative or remedial action, or other professional services, are necessary with respect to disclosed or undisclosed Constituents of Concern, then ENGINEER may, at its option and without liability for consequential or any other damages, suspend performance of services on the portion of the Project affected thereby until OWNER: (1) retains appropriate specialist consultant(s) or contractor(s) to identify and, as appropriate, abate, remediate, or remove the Constituents of Concern; and (2) warrants that the Site is in full compliance with applicable Laws and Regulations. E. If the presence at the Site of undisclosed Constituents of Concern adversely affects the performance of ENGINEER's services under this Agreement, then the ENGINEER shall have the option of (1) accepting an equitable adjustment in its compensation or in the time of completion, or both; or (2) terminating this Agreement for cause on 30 days notice. F. OWNER acknowledges that ENGINEER is performing professional services for OWNER and that ENGINEER is not and shall not be required to become an "arranger," "operator," "generator," or "transporter" of hazardous substances, as defined in the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA), as amended, which are or may be encountered at or near the Site in connection with ENGINEER's activities under this Agreement. 6.10 Indemnification and Mutual Waiver A. Indemnification by ENGINEER. To the fullest extent permitted by law, ENGINEER shall indemnify and hold harmless OWNER, and OWNER's officers, directors, partners, agents, consultants, and employees from and against any and all claims, costs, losses, and damages (including but not limited to all fees and charges of ENGINEERs, architects, attorneys, and other professionals, and all court, arbitration, or other dispute resolution costs) arising out of or relating to the Project, provided that any such claim, cost, loss, or damage is attributable to bodily injury, sickness, disease, or death, or to injury to or destruction of tangible property (other than the Work itself), including the loss of use resulting therefrom, but only to the extent caused by any negligent act or omission of ENGINEER or ENGINEER's officers, directors, partners, employees, or Consultants. The indemnification provision of the preceding sentence is subject to and limited by the provisions agreed to by OWNER and ENGINEER in Exhibit I, "Allocation of Risks," if any. B. Indemnification by OWNER. To the fullest extent permitted by law, OWNER shall indemnify and hold harmless ENGINEER, ENGINEER's officers, directors, partners, agents, employees, and Consultants from and against any and all claims, costs, losses, and damages (including but not limited to all fees and charges of ENGINEERS, architects, attorneys, and other professionals, and all court, arbitration, or other dispute resolution costs) arising out of or relating to the Project, provided that any such claim, cost, loss, or damage is attributable to bodily injury, sickness, disease, or death or to injury to or destruction of tangible property (other than the Work itself), including the loss of use resulting therefrom, but only to the extent caused by any negligent act or omission of OWNER or OWNER's officers, directors, partners, agents, consultants, or employees, or others retained by or under contract to the OWNER with respect to this Agreement or to the Project. . C. Environmental Indemnification. In addition to the indemnity provided under paragraph 6.10.B of this Agreement, and to the fullest extent permitted by law, OWNER shall indemnify and hold harmless ENGINEER and its officers, directors, partners, agents, employees, and Consultants from and against any and all claims, costs, losses, and damages (including but not limited to all fees and charges of ENGINEERs, architects, attorneys and other professionals, and all court, arbitration, or other dispute resolution costs) caused by, arising out of, relating to, or resulting from a Constituent of Concern at, on, or under the Site, provided that (i) any such claim, cost, loss, or damage is attributable to bodily injury, sickness, disease, or death, or to injury to or destruction of tangible property (other than the Work itself), including the loss of use resulting therefrom, and (ii) nothing in this paragraph shall obligate OWNER to indemnify any individual or entity from and against the consequences of that individual's or entity's own negligence or willful misconduct. D. Percentage Share of Negligence. To the fullest extent permitted by law, a party's total liability to the other party and anyone claiming by, through, or under the other party for any cost, loss, or damages caused in part by the negligence of the party and in part by the negligence of the other party or any other negligent entity or individual, shall not exceed the percentage share that the party's negligence bears to the total negligence of OWNER, ENGINEER, and all other negligent entities and individuals. Agreement Between OWNER and ENGINEER for Professional Services /�\ Page 6 of 10 5 / l \ • • LJ E. Mutual Waiver. To the fullest extent permitted by law, OWNER and ENGINEER waive against each other, and the other's employees, officers, directors, agents, insurers, partners, and consultants, any and all claims for or entitlement to special, incidental, indirect, or consequential damages arising out of, resulting from, or in any way related to the Project. 6.11 Allocation of Risks A. Engineer's Liability Limited to Amount of Insurance Proceeds. Engineer shall procure and maintain insurance as required by and set forth in Exhibit G to this Agreement. Notwithstanding any other provision of this Agreement, and to the fullest extent permitted by law, the total liability, in the aggregate, of Engineer and Engineer's officers, directors, partners, employees, agents, and Engineer's Consultants, and any of them, to Owner and anyone claiming by, through, or under Owner for any and all claims, losses, costs, or damages whatsoever arising out of, resulting from or in any way related to the Project or the Agreement from any cause or causes, including but not limited to the negligence, professional errors or omissions, strict liability or breach of contract, or warranty express or implied, of Engineer or Engineer's officers, directors, partners, employees, agents, or Engineer's Consultants, or any of them (hereafter "Owner's Claims "), shall not exceed the total insurance proceeds paid on behalf of or to Engineer by Engineer's insurers in settlement or satisfaction of Owner's Claims under the terms and conditions of Engineer's insurance policies applicable thereto (excluding fees, costs and expenses of investigation, claims adjustment, defense, and appeal). If no such insurance coverage is provided with respect to Owner's Claims, then the total liability, in the aggregate, of Engineer and Engineer's officers, directors, partners, employees, agents, and Engineer's Consultants, and any of them to Owner and anyone claiming by, through, or under Owner for any and all such uninsured Owner's claims shall not exceed $2,000,000. 6.12 Miscellaneous Provisions A. Notices. Any notice required under this Agreement will be in writing, addressed to the appropriate party at its address on the signature page and given personally, by facsimile, by registered or certified mail postage prepaid, or by a commercial courier service. All notices shall be effective upon the date of receipt. B. Survival. All express representations, waivers, indemnifications, and limitations of liability included in this Agreement will survive its completion or termination for any reason. C. Severability. Any provision or part of the Agreement held to be void or unenforceable under any Laws or Regulations shall be deemed stricken, and all remaining provisions shall continue to be valid and binding upon OWNER and ENGINEER, who agree that the Agreement shall be reformed to replace such stricken provision or part thereof with a valid and enforceable provision that comes as close as possible to expressing the intention of the stricken provision. D. Waiver. A party's non - enforcement of any provision shall not constitute a waiver of that provision, nor shall it affect the enforceability of that provision or of the remainder of this Agreement. E. Accrual of Claims. To the fullest extent permitted by law, all causes of action arising under this Agreement shall be deemed to have accrued, and all statutory periods of limitation shall commence, no later than the date of Substantial Completion. ARTICLE 7 - DEFINITIONS 7.01 Defined Terms A. Wherever used in this Agreement (including the Exhibits hereto) terms (including the singular and plural forms) printed with initial capital letters have the meanings indicated in the text above or in the exhibits; in the following provisions; or in the "Standard General Conditions of the Construction Contract," prepared by the ENGINEERS Joint Contract Documents Committee (No. C -700, 2002 Edition): 1. Additional Services —The services to be performed for or furnished to OWNER by ENGINEER in accordance with Exhibit A, Part 2, of this Agreement 2. Basic Services —The services to be performed for or finished to OWNER by ENGINEER in accordance with Exhibit A, Part 1, of this Agreement. 3. Construction Cost —The cost to OWNER of those portions of the entire Project designed or specified by ENGINEER. Construction Cost does not include costs of services of ENGINEER or other design professionals and consultants, cost of land, rights -of -way, or compensation for damages to properties, or OWNER's costs for legal, accounting, insurance counseling or auditing services, or interest and financing charges incurred in connection with the Project, or the cost of other services to be provided by others to OWNER pursuant to Exhibit B of this Agreement Construction Cost is one of the items comprising Total Project Costs. 4. Constituent of Concern- -Any substance, product, waste, or other material of any nature whatsoever (including, but not limited to, Asbestos, Petroleum, Radioactive Material, and PCBs) which is Agreement - Between OWNER and ENGINEER for Professional Services Page 7 of 10 5 ok or becomes listed, regulated, or addressed pursuant to [a] the Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. § §9601 et seq. ( "CERCLA "); [b] the Hazardous Materials • Transportation Act, 49 U.S.C. § §1801 et seq.; [c] the Resource Conservation and Recovery Act, 42 U.S.C. § §6901 et seq. ( "RCRA"); [d] the Toxic Substances Control Act, 15 U.S.C. § §2601 et seq.; [e] the Clean Water Act, 33 U.S.C. § §1251 et seq.; [f] the Clean Air Act, 42 U.S.C. § §7401 et seq.; and [g] any other federal, state, or local statute, law, rule, regulation, ordinance, resolution, code, order, or decree regulating, relating to, or imposing liability or standards of conduct concerning, any hazardous, toxic, or dangerous waste, substance, or material. 5. Consultants— Individuals or entities having a contract with ENGINEER to furnish services with respect to this Project as ENGINEER's independent professional associates, consultants, subcontractors, or vendors.. 6. Documents - -Data, reports, Drawings, Specifications, Record Drawings, and other deliverables, whether in printed or electronic media format, provided or furnished in appropriate phases by ENGINEER to OWNER pursuant to this Agreement. 7. Drawings - -That part of the Contract • Documents prepared or approved by ENGINEER, which graphically shows the scope, extent, and character of the Work to be performed by Contractor. Shop Drawings are not Drawings as so defined. 8. Laws and Regulations; Laws or Regulat- ions —Any and all applicable laws, rules, regulations, ordinances, codes, and orders of any and all govern- mental bodies, agencies, authorities, and courts having jurisdiction. 11. Specifications —That part of the Contract Documents consisting of written technical descriptions of materials, equipment, systems, standards, and workmanship as applied to the Work and certain administrative details applicable thereto. 12. Total Project Costs —The sum of the Construction Cost, allowances for contingencies, and the total costs of services of ENGINEER or other design professionals and consultants, together with such other Project- related costs that OWNER furnishes for inclusion, including but not limited to cost of land, rights -of -way, compensation for damages to properties, OWNER's costs for legal, accounting, insurance counseling and auditing services, interest and financing charges incurred in connection with the Project, and the cost of other services to be provided by others to OWNER pursuant to Exhibit B of this Agreement. ARTICLE 8 - EXHIBITS AND SPECIAL PROVISIONS 8.01 Exhibits Included A. Exhibit A, "ENGINEER's Services," consisting of 8 pages. B. Exhibit B, "OWNER's Responsibilities," consisting of 2 pages. C. Exhibit C, "Payments to ENGINEER for Services and Reimbursable Expenses," consisting of 1 page and Appendix 1 to Exhibit C consisting of 1 page. D. Exhibit D, "Duties, Responsibilities and Limitations of Authority of Resident Project Representative," consisting of 3 pages. 9. Reimbursable Expenses —The expenses E. Exhibit E, "Notice of Acceptability of Work," incurred directly by ENGINEER in connection with consisting of 2 pages. the performing or funvshing of Basic and Additional Services for the Project. F. Exhibit F, "Construction Cost Limit," Not Used. 10. Resident Project Representative - -The G. Exhibit G, "Insurance," consisting of 2 pages. authorized representative of ENGINEER, if any, assigned to assist ENGINEER at the Site during the H. Exhibit H, "Dispute Resolution," Not Used. Construction Phase. The Resident Project Representative will be ENGINEER's agent or I. Exhibit 1, "Allocation of Risks," Not Used. employee and under ENGINEER's supervision. As used herein, the term Resident Project Representative J. Exhibit J, "Special Provisions," Not Used. includes any assistants of Resident Project Representative agreed to by OWNER. The duties and K. Exhibit K, "Amendment to Standard Form of responsibilities of the Resident Project Agreement," Not Used. Representative, if any, are as set forth in Exhibit D. L. Exhibit L, "Proposal for Refurbishing of Century Avenue Elevated Storage Tank, City of Agreement Between OWNER and ENGINEER for Professional Services Page 8 of 10 SL�� Hutchinson, Minnesota" Submitted by Advanced Engineering and Environmental Services, Inc. in association with KLA4 Engineering, Inc. • 8.02 Total Agreement • F- -I LJ A. This Agreement (consisting of pages 1 to 10 inclusive, together with the exhibits identified above) constitutes the entire agreement between OWNER and ENGINEER and supersedes all prior written or oral understandings. This Agreement may only be amended, supplemented, modified, or canceled by a duly executed written instrument based on the format of Exhibit K to this Agreement. 8.03 Designated Representatives A. With the execution of this Agreement, ENGINEER and OWNER shall designate specific individuals to act as Engineer's and Owner's representatives with respect to the services to be performed or fiurrished by Engineer and responsibilities of Owner under this Agreement. Such individuals shall have authority to transmit instructions, receive information, and render decisions relative to the Project on behalf of each respective party. Agreement Between OWNER and ENGINEER for Professional Services Page 9 of 10 5 Ok IN WITNESS WHEREOF, the parties hereto have executed this Agreement, the Effective Date of which is indicated on page 1. • OWNER: By: Gary Plotz Title: City Administrator Date Signed: February 15, 2006 Address for giving notices: 111 Hassan Street SE Hutchinson, MN 55350 Designated Representative (see paragraph 8.03.A): Richard Nagy . Title: Water System Supervisor Phone Number: 320 - 234 -5629 Facsimile Number: 320- 234 -9420 • E -Mail Address: dnagy @ci.hutchmson.nm.us ENGINEER: By: Charles S. Vein, P.E. Title: President Date Signed: February 9, 2006 ENGINEER License or Certificate No. 20544 State of: Minnesota Address for giving notices: 6901 East Fish Lake Road Suite 184 Maple Grove, MN 55369 Designated Representative (see paragraph 8.03.A) John K. Berrigan Jr., P.E. Title: Project Manager Phone Number. 763 -463 -5036 Facsimile Number: 763 -463 -5037 E -Mail Address: John.berrigan@AE2S.com Agreement Between OWNER and ENGINEER for Professional Services ` Page 10 of 10 5 J\\ • 3 TO: Mayor & City Council FROM: John Rodeberg, Director of Public Works Kent Exner, City Engineer John Olson, Public Works Superintendent RE: Consideration of Consulting Contract with Braun Intertec for Pavement Management Deflection Testing and Analysis DATE: February 14, 2006 Non-destructive testing (NDT) has been determined to be a necessary tool to administer an effective Pavement • Management System. This testing was last completed in 1996. This current testing would redefine and update the data in the system to provide for accurate planning and forecasting of pavement maintenance work and Capital Improvement Plan development. Attached is the consulting contract provided by Braun Intertec. This contract includes the services necessary to complete the testing and associated report The cost of these services has been accounted for within the 2006 budget. We recommend executing the consulting contract with Braun Intered in the amount of $12,379.54. cc: Gary Plotz — City Administrator sL ) BRAUN Bfflm MN.n« c«po.a�ion Phase: 952 995.2000 1100 1 Hampshire Avenue 5 Fax 952.995 2020 INTERTEC Mnneopolis,PON 55438 Web: braunnrerteacom January 9, 2006 Kent Exner, PE City Engineer Hutchinson City Center 11 I Hassan Street SE Hutchinson, MN 55350 -2522 Re: Deflection Testing and Analysis City Street Network Hutchinson, Minnesota Dear Mr. Exner. Proposal BL -06 -00092 We are submitting this proposal in response to your request to perform Non - Destructive Testing (NDT) on the city street network of Hutchinson, Minnesota. It is our understanding that the roads requested for evaluation, including asphalt, concrete, and aggregate surfaced- sections, were previously tested in September 1996, and that the City of Hutchinson (the City) desires 10 -year re- testing as called for by the city pavement management system (PMS). Braun Intertec proposes to perform a similar program of testing and analysis as previous to determine pavement load capacity, effective subgrade strength, pavement structural strength (including Granular Equivalency (GE)), and required overlay, as applicable, for the requested routes. Scope of Services To determine the desired information for the pavements of the network, Braun Intertec proposes testing with a Dynatest® model 8002E Falling Weight Deflectometer (FWD) at the rate of one test per partial - 500 feet of street length in a single direction of travel. Based on the PMS information we have been provided, one thousand forty-eight (1048) tests at this rate will be required for coverage of the entire city street system. Network level testing provides the City with a sampling of the structural information about the overall network. Deflection testing can screen the pavements to evaluate if there are any general problems such as poor subgrade strength or an under - designed roadway, which may not be apparent from the roadway surface condition. Network level testing, however, does not provide sufficient data to make project - specific recommendations for overlay thickness. After analyzing the collected data, Braun Intertec will prepare a technical report outlining our findings and recommendations and provide two copies to the City. The report will contain the following information: • description of the work performed • table summarizing information reported by the City • graphs and tables summarizing results of the testing • discussion of 10 -year results, where applicable analysis and recommendations as requested by the City Providing engineering and environmental solutions since 195,,:,,(,. City of Hutchinson Proposal BLr06 -00092 January 9, 2006 Page 2 • copies of the field data with analysis results profile plots of the analysis results (sufficiently long sections) We will require the following information for our analysis. Much of the required data has already been obtained from the PMS records of previous tests. Subgrade soil type for each roadway As built pavement information (layer thicknesses and material type) Detailed traffic volumes, including any information (percentage) on truck traffic Another option is to test only the streets that were tested in 1996 at the same rate, which would require seven hundred seventy-eight (778) tests according to the 1996 data. Price breakdowns for both options are included below. Our current schedule will allow us to complete the deflection testing following the removal of spring load restrictions in late spring 2006. The final report will be furnished within 45 days of the completion of the deflection testing and receipt of the required information. Basis for Proposal This proposal is based on your request for network pavement testing under data analysis Option 4. This analysis option provides information on maximum spring load capacity, effective subgrade soil strength, pavement structural strength, and required overlay as appropriate by pavement surface type. The cost per equivalent mile (10 tests per mile) for testing, data analysis and report is one hundred ninety-seven if the equivalent miles exceed 100 miles or two hundred twenty-one dollars if the equivalent miles are between 50 miles and 100 miles ($197 or $221). Equivalent miles are determined assuming a standard 10 tests per mile, which is the basis for our unit rates. These unit rates decrease as total equivalent miles to be tested increase, which is responsible for the difference in unit rate between the two options. The proposed equivalent mileages are greater than the provided 69.9 actual centerline miles of roadway due to the proposed minimum of one test per partial 500 feet. Table 1— Estimated Costs — All Test Option Effort Estimated Quantity (Unit) Unit Rate ($) Cost ($) Mobilization (Round Trip) 120 (miles) — -- (Option 4) Testing, Analysis, and Report 104.8 (equivalent miles) 197 20,645.60 Subtotal 20,645.60 Rate Discount 10% 2,064.56 Subtotal 18,581.04 Discount (Spring Deflection Testing) 20% 3,71621 Total Proposed Cost 14,864.83 City of Hutchinson Proposal BL-06-00092 January 9, 2006 Page 3 Table 2 — Estimated Costs —19% Test Option Effort Estimated Quantity (Unit) Unit Rate.($) Cost (a) Mobilization (Round Trip) 120 (miles) -- — (Option 4) Testing, Analysis, and Report 77.8 (equivalent miles) 221 17,193.80 Subtotal 17,193.80 Rate Discount 100/0 1,719.38 Subtotal 15,474.42 Discount (Spring Deflection Testing) 20% 3,094.88 Total Proposed Cost 12,379.54 We appreciate the opportunity to present this proposal. The attached General Conditions are a part of this proposal. If acceptable after your review, please sign the Signature Page of the copy and return mail or fax the entire document, including the General Conditions, to us as authorization to proceed. We trust this meets your requirements. If you have any questions or concerns, or if we can be of further assistance, please call Neil Lund at 952.995.2284 or Chunhua Han at 952.995.2306. Thank you for this opportunity to be of service. • Sincerely, 0 BRAUN INTERTEC CORPORATION e Neil G. Lund, EIT Pavement Engineer Chunhua Han, Ph.D., P.E. Principal Pavement Engineer Attachments: Signature Page General Conditions (3/1/03) CiHutchinsm City of Hutchinson Proposal BL -06 -00092 January 9, 2006 Page 4 Signature Page Re: Deflection Testing and Analysis City Street Network Hutchinson, Minnesota Braun Intertec appreciates the opportunity to present this proposal to you. It is being presented in duplicate so if it is acceptable, the original can be retained for your records and the copy can be signed and returned to us by fax or U.S. Mail in its entirety, including the General Conditions, as written authorization to proceed. We will begin the project upon receipt of your authorization. The estimated cost of $14,864.83 (All Test Option) or $12,379.54 (1996 Test Option) presented in this proposal is based on the scope of services described and the assumption that the proposal will be authorized within 30 days and that the project will be completed within the proposed schedule.. If the project is not authorized within 30 days, we may need to modify the proposal. If the project cannot be completed within the proposed schedule due to circumstances beyond our control, revising the proposal may be required for completion of the remaining tasks. Payment for services is due upon receipt of invoice, with interest added to unpaid balances after 30 days, in accordance with the attached General Conditions, which are a part of this proposed contract. • Authorization to Proceed: Please proceed according to the described scope of services and General Conditions: Authorizer's Firm Authorizer's Signature Authorizer's Name (please print or type) Authorizer's Title Date • • • • ., General Conditions Our agreement with you consists of these General Conditions and the accompanying written proposal or authorization. Section 1: Our Responsibilities 1.1 We will provide the professional services specifically described in our written agreement with you. You agree that we are not responsible for professional services that are not fairly included in our specific undertaking. Unless otherwise agreed in writing, all of our record findings, opinions, and recommendations will be provided to you in writing. You agree not to rely on oral findings, opinions, or recommendations without our written approval. 1.2 In performing our services, we will use that degree of cart and skill ordinarily exercised under similar circumstances by reputable members of our profession practicing in the same locality. If you direct us to deviate from our recommended procedures, you agree to hold us harmless from all claims, damages, and expenses arising out of your direction., 13 We will reference our field observations and sampling to available reference points, but we will not survey, set, or check the accuracy of those points unless we accept that duty in writing. It is understood that locations of field observations or sampling described in our report or shown on our sketches are based on information provided by others or estimates made by our personnel. You agree that such dimensions, depths, or elevations are approximations unless specifically stated otherwise in the report. You accept the inherent risk that samples or observations may not be representative of things not sampled or seen and, further, that site conditions may change over time. 1.4 Our duties do not include supervising your contractors or commenting on, overseeing, or providing the means and methods of their work, unless we accept such duties in writing. We will not be responsible for the failure of your contractors to perform in accordance with their undertakings, and the providing of our services will not relieve others of their responsibilities to you or to others. 1.5 We will provide a health and safety program for our employees, but we will not be responsible for contractor, job, or site health or safety unless we accept that duty in writing. 1.6 Our estimates of construction or remediation costs will be based on informa- tion available to us and on our experience and knowledge. Such estimates are an exercise of our professional judgment and are not guaranteed or warranted Actual costs may vary. You should allow a contingency in addition to estimated costs. Section 2: Your Responsibilities 2.1 You will provide access to the site. In the course of our work some site damage is normal even when due care is exercised. We will use reasonable care to minimize damage to the site. We have not included the cost of restoration of normal damage in the estimated charges. We will correct normal damage at your direction and expense. 2.2 You agree to provide us, in a timely manner, with information that you have regarding buried objects at the site. Until we have completed our work, you agree to provide us with all of your plans, changes in plans, and new information as to site conditions. We will not be responsible for locating buried objects at the site unless we accept that duty in writing. You agree to hold us harmless from all claims, damages, losses, and related expenses involving buried objects of which you had knowledge but did not timely call to our attention or correctly show on the plans you or others on your behalf furnished to us. 23 You will be responsible for the cooperation of your employees and your contractors in observing all radiation safety standards after we notify you that radiographic or gamma ray equipment or another nuclear testing or measuring device will be used 2.4 You will notify us of any knowledge or suspicion of the presence of hazardous or dangerous materials in a sample provided to us. You agree to provide us with information in your possession or control relating to contamination at the work site. If we observe or suspect the presence of contaminants not anticipated in our agreement, we may terminate our work without liability to you or to others, and we will be paid for the services we have provided. 2.5 Neither this agreement nor the providing of services will operate to make us an owner, operator, generator, transporter, treater, Storer, or a disposal facility within the meaning of the Resource Conservation BRAIN I NTERTEC Recovery Ad, as Amended, or within the meaning of any other law governing the handling, treatment, storage, or disposal of hazardous materials. You agree to hold us harmless and indemnify us from any such claim or loss. 2.6 Drilling, well installation, and remediation services may involve risk of cross - contamination of previously uncontaminated air, soil, and water. If you are requesting that we provide services that include this risk, you agree to hold us harmless and indemnify us from cross - contamination claims and damages, unless the loss is caused by our negligence. 2.7 You agree to make disclosures required by law. In the event you do not own the site, you acknowledge that it is your duty to inform the owner of the discovery or release of contaminants at the site. You agree to hold us harmless and indemnify us from all claims related to disclosures made by us that are required by law and from all claims related to the informing or failure to inform the site owner of the discovery of contaminants. Section 3: Reports and Records 3.1 We will furnish reports to you in duplicate. We will retain analytical data for seven years and financial data for three years. 3.2 All samples remaining after tests are conducted and field and laboratory equipment that cannot be adequately cleansed of contaminants are and continue to be your property. They will be discarded or returned to you, at our discretion, unless within 15 days of the report date you give us written direction to store or transfer the materials at your expense. 33 Our reports, notes, calculations, and other documents and our computer software and data are instruments of our service to you, and they remain our property but are subject to a license to you for your use in the related project for the purposes disclosed to us. You may not transfer our reports to others or use them for a purpose for which they were not prepared without our written approval, which will not be unreasonably withheld. At your request, we will provide endorsements of our reports or letters of reliance, but only if the recipients agree to be bound by the terms of our agreement with you and only if we are paid the administrative fee suited in our then current Schedule of Charges. ' Providing erWZneerirtg and enumnmeruel soiudons since 1957 5J� • • 3.4 If you do not pay for our services as agreed, we may retain all work not yet delivered to you and you agree to return to us all of our work that is in your possession or under your control. You agree not to use or rely upon our work for any purpose whatsoever until it is paid for in full. Section 4: Compensation 4.1 You will pay for services as agreed upon or according to our then current Schedule of Charges if there is no other written agreement as to price. An estimated cost is rat a firm figure. You agree to pay all sales taxes and other taxes based on your payment of our compensation. Our performance is subject to credit approval and payment of any specified retainer. 4.2 You will notify us of billing disputes within 15 days. You will pay all undisputed portions of invoices on receipt. You agree to pay interest on unpaid balances beginning 30 days after invoice dates at the rate of 1.5% per month, but not to exceed the maximum rate allowed by law. 4.3 If you direct us to invoice another, we will do so, but you agree to be responsible for our compensation unless you provide us with that person's written acceptance of all terms of our agreement and we agree to extend credit to that person and to release you. 4.4 You agree to compensate us for our reasonable fees and expenses if we are required to respond to legal process arising out of a proceeding related to the project and as to which we are not a party. 4.5 If we are delayed by factors beyond our control, or if project conditions or the scope or amount of work change, or if changed labor union conditions result in increased costs, decreased efficiency, or delays, or if the standards or methods change, we will give you timely notice and we will receive an equitable adjustment of our compensation. If you and we do not reach agreement on such compensation within 30 days of our written application, we may terminate without liability to you or others. 4.6 If you fail to pay its within 60 days following invoice date, we may consider the default a total breach of our agreement and, at our option, terminate all of our duties without liability to you or to others. 4.7 In consideration of our providing insurance to cover claims made by you, you hereby waive any right of offset as to fees due US. Section 5: Disputes, Damage, and RlskAllocation 5.1 Disputes will be submitted to Alternative Dispute Resolution (ADR) as a condition precedent to litigation. Each of us will exercise good faith efforts to resolve disputes through a mutually acceptable ADR procedure. Collections will not be submitted to ADR. 5.2 We will not be liable for special, incidental, consequential, or punitive damages, including but not limited to those arising from delay, loss of use, loss of profits or revenue, loss of financing commitments or fees, or the cost of capital. 53 We will not be liable for damages unless suit is commenced within two years of the date of injury or loss or within two years of the date of the completion of our services, whichever is earlier. We will not be liable unless you have notified us of the discovery of the claimed breach of contract, negligent act or omission within 30 days of the date of discovery and unless you have given us an opportunity to investigate and to recommend ways of mitigating damages. 5.4 For you to obtain the benefit of a fee which includes a reasonable allowance for risks, you agree that our aggregate liability will not exceed the fee paid for our services or $50,000, whichever is greater, and you agree to indemnify us from all liability to others in excess of that amount. If you are unwilling to accept this allocation of risk, we will increase our aggregate liability to $100,000 provided that, within 10 days of the date of this agreement, you provide payment in an amount that will increase our fees by 10%, but not less than $500, to compensate us for the greater risk undertaken. This increased fee is not the purchase of insurance. 5.5 If you do not pay us within 60 days of invoice date, or if you make a claim against us that is resolved in our favor, you agree to reimburse our expenses, including but not limited to attorney fees, staff time, expert witness fees, and other costs of collection or litigation. 5.6 The law of the state in which our servicing office is located will govern all disputes. Each of us waives trial by jury on our own behalf and on behalf of our subcontractors and assigns. . Section 6: General Indemnification 6.1 We will indemnify and hold you harmless from and against demands, damages, and expenses to the comparative extent they are caused by our negligent acts or omissions or those negligent acts or omissions of persons for whom we are legally responsible. You will indemnify and hold us harmless from and against demands, damages, and expenses to the comparative extent they are caused by your negligent acts or omissions or those negligent acts or omissions of persons for whom you are legally responsible. 6.2 To the extent it may be necessary to indemnify either of us under Section 6.1, you and we expressly waive, in favor of the other only, any immunity or exemption from liability that exists under any worker compensation law. 63 You agree to indemnify us against all loss and costs arising out of claims of patent or copyright infringement as to any process or system that is specified or selected by you or by others on your behalf. Section 7: Miscellaneous Provisions 7.1 We will provide a certificate of insurance to you upon request. 7.2 This agreement is our entire agreement It supersedes all prior agreements. It may be modified only in a writing making specific reference to the provision modified. 73 Neither of us will assign or transfer any interest, any claim, any cause of action, or any right against the other under this agreement. Neither of us will assign or otherwise transfer or encumber any proceeds or expected proceeds or compensation from the project or project claims to any third person, whether directly or as collateral or otherwise. 7.4 This agreement may be terminated early only in writing. We will receive an equitable adjustment of our compensation in the event of early termination. 7.5 It is customary for the consultant that provides design recommendations to be retained to provide observation and related services during construction or remediation work. If we are not retained to provide continuing services, you agree to hold us harmless from all claims, losses, and expenses arising out of any interpretations, clarifications, substitutions, or modifications of our work provided by you or others. Revised 3 -1 -03 -q)) MEMORANDUM Date: February 8, 2006 • To: Honorable Mayor & City Council From: Miles R. Seppelt, EDA Director Candice Woods, Liquor Hutch Manager RE: Liquor Hutch change orders Summarized below are a number of change orders related to the final completion of the Liquor Hutch expansion project. With these change orders we are still well within the overall project budget and still have some contingency dollars remaining (see bottom line). Summary of Liquor Hutch Change Orders #43 Demo & replace sprinklers to accommodate new cooler # 44 Additional sprinkler head in storage room #45 Double doors to warehouse, instead of single door. #48 Wood door for storage area next to beer cooler. • # 51 CREDIT — unused paint, deletion of two coats epoxy on floor # 52 Sheetrock of column in storage area # 55 Redo flooring in old section of store # 56 Additional vinyl & carpet base in wine area # 57 Electrical hookup for dock leveler TOTAL $1,532 $179 $1,326 $332 $1,293 CR $168 $8,042 $143 $837 Staff is recommending approval of these change orders. Total Project Contingency Change Order Set A Change Order Set B Change Order Set C (above) • Remaining Contingency ($19,719) ($18,109) ($11,266) $56,560 6 ornery & Associates, Inc. 7645 Lyndale Avenue South, Suite 100 Richfield, M1155423 Attn: Dan Pellinen Re: Change Order Request No. 43 (COR #43) 'Liquor Hutch Expansion & Renovation Hutchinson, MN Dear Dan: � U wJ Uwne �-5 y o5hi bee 25 Years — and Building FAXED NOV 15 20M Attached is our Change Order Request No. 43, please see the cost to demo and replace the eight (8) dry pendant sprinklers at the existing beer cooler to accommodate construction for the new beer cooler. Please review and sign below if it is acceptable. If you have any questions regarding this • request, please do not hesitate to contact me. Sincerely, Jeff Bag oss Project Manager JB /dms c« u - 11 -W4)a Enc. Accepted by: Date: • :a., 34h Wcnuc e_ (Shingobee builder, Inc. 669 _ � 6. nw direct" po. fox 3 Wait. Park. 4N 3633: t�,rcltc. TN' iu.R OW) 202 -0L%) fax (3.0) 2Q2 -919': 6u•: ('63) 4794W fax: 063) 41,9-W, Ceneral Contractor Con- truction ManaFwnt De .5i9,n/8uiid Real f. -.ate: Service c`smshirk�c�cc.ccm �� i • FA r November 9, 2005 Tushie- Montgomery & Associates, Inc. 7645 Lyndale Avenue South, Suite 100 Richfield, MN 55423 Attn: Dan Pellinen Re: Change Order Request No. 44 (COR #44) Liquor Hutch Expansion & Renovation Hutchinson, MN Dear Dan: 4.8hin 6 qbee 25 Years — and Building FAXED NOV 15 215 Attached is our Change Order Request No. 44, please see the cost to furnish and install one (1) additional sprinkler head at the proposed storage room off the existing sales area (see attached drawing). Please review and sign below if it is acceptable. If you have any questions regarding this request, please do not hesitate to contact me. Sincerely, Jeff Bag 66 Project n JB/dms cau_,,.oe -os Enc. Accepted by: s Date: M 34th Nv��uc o. c�hitlgObee builder -s, lnc. 66a V. *dna &=L DO. M3 S 'Fait_- Q t Lfctto. gib; 353W-C, X bu, (320) ?C2 -LIZ? Fax: (r-0) 202 -9P2 bus: (:63) Fax: (,63) 47?326 General Centfwtor 4 Con- traction Mankcment Dcrni.,n/Build 4 12c,31 EAatc & -rvice I, 2005 Tushie- Montgomery & Associates, Inc. 7645 Lyndale Avenue South, Suite 100 Richfield, Mlb 55423 Attn: Dan Pellinen Re: Change Order Request No. 45 (COR #45) PR #8 Liquor Hutch Expansion & Renovation Hutchinson, MN Dear Dan: (_, v w /Vw��� & be 25 Years - and Building FAXED NOV 15 2Z Attached is our Change Order Request No. 45, please see the cost to change Door 12C in Vestibule B to a pair of T -0" x T -0" doors with Hardware Group 5 in lieu of a single 3' -0" x T -0" door with Hardware Group 4, per PR #8. Please review and sign below if it is acceptable. If you have any questions regarding this Irequest, please do not hesitate to contact me. Sincerely, ,#i%4OW Jeff Baggenstoss Project Manager JB /dms cor 45 - 11-09-05 Enc. Accepted by: Date: bhin8o c builders, Inc. • La-1 34th Avenuc 6. 663 K ucdina btrcct. P.O. box 8 Wait -. Parka 4.0 56357 Loretto. \IV 55357 -x- bu& (3:0) 202.13c -0 Fax: (320) 202a1?2 &-s: (:63) 471- WO Fax: (:63) +73.326: Gcncral Contractor 4 Construr -Lion Management Dcsip/build Rcal E-katc Service T".shin�ctce.ccm '5 o_-) December 13, 2005 G 4,.(Shinbe 25 Years — and Building FAXED Tushie- Montgomery & Associates, Inc. DEC 152005 7645 Lyndale Avenue South, Suite 100 Richfield, MN 55423 Attn: Dan Pellinen Re: Change Order Request No. 48 (COR #48) RQY. 2aaf, Liquor Hutch Expansion & Renovation Hutchinson, MN Dear Dan: Attached is our Change Order Request No. 48, please see the cost to furnish and install one (1) additional wood door, frame and hardware adjacent to the existing Beer Cooler 07. Please review and sign below if it is acceptable. If you have any questions regarding this request, please do not hesitate to contact me. Sincerely, Jeff Baggens oss Project Manager JB /dms Cor 48-- 12-13-05 Enc. Accepted by: Date: Shingobee builders, Inc. '��� 3-tfn 1�-enuc & 669 K 4eJina otrccl P.O. $ox S Tak- mark. MN X0337 I.orcito. xv 55337{.008 8u,: (32-0) 202-133-D Fa,,: (320) 2:02 -?1 2 Bus: (7 0) 4 ?&-'0 Fay: (763) 479.326; General Contractor Con4fuct.ion �%na8cwnt De *n/Build Real [Aatc Service vrw� ��m � 0 0 December 13, 2005 Tushie - Montgomery & Associates, Inc. 7645 Lyndale Avenue South, Suite 100 Richfield, MN'55423 Attn: Dan Pellinen Re: Change Order Request No. 51 (COR #51) Liquor Hutch Expansion & Renovation Hutchinson, MN Dear Dan: 4,.(Shinbee 25 Years — and Building FAXED DEC 13 Attached is our Change Order Request No. 51; please see the cost change for additional adds and deducts for the painting and finishing for this project. 1. Change the color of the red paint color for exterior hollow metal doors / frames. Paint was already on site, will be turned over to Owner. Add: $50.00 2. Restocking cost for purchased exterior black sealer (water repellant) per specifications. Sealer was on site at time of product change. Add: $225.00 3. Delete final (2) coats of epoxy on concrete floor in existing Liquor Store. Deduct: $1,500.00 Please review and sign below if it is acceptable. If you have any questions regarding this request, please do not hesitate to contact me. Sincerely, Jeff Bagg s Project Manager JB /dms E6r31- 1243-05 Eno. Accepted by:(S� zoo 34th Avenue 6. Shingobee Builders, Inc. Date: 669 N. Medina sreeL P.O. Box a Waite Park MN 56387 i,oretto. MN 13535740008 Bus: (320) 202 -1300 fax (320) 202,4192 Bua (763) 479 -1300 fax: (363) 479 -3267 General Contractor A Construction Management A Design/Build A Qeal Estate Servicc wm ®.ehic8obcc.mm ��� j 0 • December 13, 2005 Tushie- Montgomery & Associates, Inc. 7645 Lyndale Avenue South, Suite 100 Richfield, MN'55423 Attn: Dan Pellinen Re: Change Order Request No. 52 (COR #52) Liquor Hutch Expansion & Renovation Hutchinson, MN Dear Dan: V" 25 Years — and Building FAXED DEC 13 Attached is our Change Order Request No. 52, please see the cost to box -out the existing column on the south wall of General Storage A. Please review and sign below if it is acceptable. If you have any questions regarding this request, please do not hesitate to contact me. Sincerely, Jeff Ba stoss �7 Project Manager JBldms CW 52- 12-1 cos Enc. 4 s Accepted by: Date: zoo 34th Avenue b. (Shingobee builders, Inc. 669 N. Medina c5treet, P.O. box 8 • Waite Park MN %387 Lorctto. MN T53574D008 Bue: (320) 202-1300 Fax (320) 202 -9192 5m: (763) 479 -1300 Fax: (7b3) 449 -3267 General Contractor Construction Management Design/build Beal Estate bervice vw\v tingobcc.com �Shi b� 25 Years — and Building January 4, 2006 Tushie- Montgomery & Associates,. Inc. 7645 Lyndale Avenue South, Suite 100 Richfield, MN 55423 Attn: Dan Pellinen FAXED Re: Change Order Request No. 55 (COR #55) PR#9 JAN 04 ION Liquor Hutch Expansion & Renovation Hutchinson, MN Dear Dan: Attached is our Change Order Request No. 55, please see the additional cost to change the flooring finish at existing concrete. It ,-tom Option #2: LSI, Earth Series, 2634 Wood (Metro Floor — Burlington Plank • Please review and sign below if it is acceptable. If you have any questions regarding this request, please do not hesitate to contact me. Sincerely, `,I nstoss Jeff Bag � Project Manager JBldms C« 65- 01 -04-06 Enc. •200 34th Avenue S. Waite Park, MN 56387 Bus (320) 202 -1300 Accepted by: Fax (320) 202 -9192 (Shingobee Builders, Inc. General Contractor Const.niction Management Design/build wwwAHip,obec.com 1'�C \'ld �'J rR�ti 669 N. Medina &recL P.O. Box 8 Loretto, MN 95357-0008 f5m: (763) 479 -1300 Fax: (763) 47913267 Deal Estate &rvicc 5L�)- • January 12, 2006 Tushie - Montgomery & Associates, Inca 7645 Lyndale Avenue South, Suite 100 Richfield, MN 55423 r Attn: Dan Pellinen Re: Change Order Request No. 56 (COR #56) Liquor Hutch Expansion & Renovation Hutchinson, MN Dear Dan: 4-8-1i" V" 25 Years - and Building FAXED JAN 12 2006 Attached is our Change Order Request No. 56, please see the cost to provide and install additional vinyl and carpet base at wine racks as requested by Candice Woods. Please review and sign below if it is acceptable. If you have any questions regarding this request, please do not hesitate to contact me. • Sincerely, eff Bag stoss Project Manager JBldms C« ua 01 -12-06 Enc. Accepted by: Date: Shingobec Builders, Inc. 200 34th Avenue b. 669 N. Medina btteel, P.O. Box 8 Waite Park MN 56387 Loretto, MN 553574X)08 bus: (320) 202 -1300 Fax (320) 202 -9192 Bus: (763) 479 -1300 rax: (763) 4733267 General Contractor A Construction Management Desi8n/BuM A Deal Estate 6erviee ®arnshingobcc.00m -5 (� ) • January 13, 2006 Tushie - Montgomery & Associates, Inc. 7645 Lyndale Avenue South, Suite 100 Richfield, MN 55423 n Attn: Dan Pellinen 48hiq5q� 25 Years - and Building FAXED Re: Change Order Request No. 57 (COR #57) Liquor Hutch Expansion & Renovation Hutchinson, MN Dear Dan: JAN 16 2006 Attached is our Change Order Request No. 57, please see the cost to furnish electrical hook -up for the dock leveler per ASI #1, dated July 11, 2005. Please review and sign below if it is acceptable. If you have any questions regarding this request, please do not hesitate to contact me. . Sincerely, Jeff oBaggen*stos4s Project Manager JB /dms Co 57 01.13-08 Enc. Accepted by: Date: `l 200 34th Avcnuc b. Shingobee builders, Inc. 669 N. Mcdina &xcL P.O. Box 8 • Waitc Park, MN 56387 Lon°ttc, MN 953570008 Bu8: (320) 202 -1300 Fax (320) 202,9192 Bus: (763) 479-1300 fax: (763) 479 -3267 Gencral Contractor A Construction Management Design /build Qeal Estate 8ervioe ,amw.ahingobcc.com 0 MEMORANDUM Date: February 8, 2005 To: Honorable Mayor & City Council From: Miles R. Seppelt EDA Director RE: Proposed changes to Eminent Domain Law Background Recently the U.S. Supreme Court heard a case challenging the right of local governments and authorities (such as the EDA) to use their power of eminent domain / condemnation to acquire property from unwilling sellers. The ruling by the Supreme Court did not change Eminent Domain / Condemnation in any way, but it did open the door for States to amend their eminent domain laws if they so choose. Current Proposal . Here in Minnesota a group of metro area car dealers, with support from a Libertarian Group called the "Institute of Justice," has proposed legislation that would severely curtail the use of eminent domain in the state. To summarize: ➢ Eminent domain for economic development would be virtually eliminated ➢ Eminent domain for removing blight and promoting redevelopment of run -down areas would be severely restricted. ➢ Eminent domain for public infrastructure projects troads, etc.) would be maintained. Example: Under the proposed legislation, the 1990 / 1991 project to redevelop the area where Shopko & Econo Foods currently stand could not have happened. Key Points ➢ The use of eminent domain in Minnesota is extremely rare. ➢ A variety of protections for property owners are already in place. The condemning authority must: • Negotiate in good faith with the landowner • Provide just compensation to the landowner • Get an appraisal on the parcel to be acquired • Provide funds for the land -owner to get their own appraisal • If agreement is not reached, the landowner can appeal to a board of Condemnation Commissioners — which they help choose •• If the landowner still is not satisfied they can appeal to District Court ri Cc-) ➢ Without the power of eminent domain, property owners would have no incentive • to negotiate in good faith — they could demand any amount of money for their property. Alternate Proposal Alternative legislation has been proposed that will preserve the ability of local governments and authorities to use eminent domain, albeit with some additional restrictions. The goal is to increase the transparency, simplicity and fairness of eminent domain proceedings for all involved parties, while preserving the ability of local governments & authorities to use the eminent domain power for removal of blight, redevelopment, and for some economic development. Resolution The Economic Development Association of Minnesota is one of the groups attempting to preserve the use of eminent domain. As an aid to their efforts, they are requesting that local EDA's and City Council's pass resolutions calling for the preservation of eminent domain powers and for reasonable reforms that improve the eminent domain process for all parties. A copy of the resolution is attached for your review. • Also, I will have a short presentation on this issue at our next City Council meeting. \J Please call me at 234 -4223 if you have any questions or need additional information. . RESOLUTION # 12912 RESOLUTION IN SUPPORT OF EFFORTS TO PRESERVE THE AUTHORITY OF CITY'S AND ECONOMIC DEVELOPMENT AUTHORITIES TO USE EMINENT DOMAIN TO FURTHER THE ECONOMIC DEVELOPMENT & REDEVELOPMENT GOALS OF THEIR COMMUNITIES. WHEREAS, the Hutchinson Economic Development Authority (EDA) is responsible for increasing the welfare of the community by creating jobs, increasing the local tax base and facilitating redevelopment; and, WHEREAS, redevelopment activities are essential for a city with aging and blighted parcels that no longer meet the needs of residents; and, WHEREAS, the City has rarely exercised its authority of eminent domain, and then only when all other alternatives have been exhausted and then for the benefit of the community as a whole; and, WHEREAS, eminent domain can be a vital tool to make possible significant public improvements that result in new jobs and increased tax base and facilitates the creation of housing, public parks, and other public amenities; and, WHEREAS, the City recognizes that improvements to the eminent domain process are appropriate to ensure transparency, simplicity and fairness for all involved; . and, WHEREAS, changes proposed to state statutes and regulations substantially undermine the ability of City's & EDA's to use eminent domain for economic development and redevelopment purposes that benefit the community as a whole, NOW, THEREFORE BE IT RESOLVED by the Hutchinson City Council that it: 1. Requests that the State Legislature preserve the ability of City's and local Economic Development Authorities to utilize eminent domain for economic development and redevelopment purposes; and 2. Supports reasonable efforts to increase the transparency, simplicity and fairness of eminent domain proceedings for all involved parties. Adopted by the Hutchinson City Council this 14th day of February, 2006. ►r.151111111 Gary Plotz City Administrator • Steven W. Cook Mayor VI (a) • C Hutchinson City Center 111 Hassan street SE Hutchinson, MN 55350 -2522 320 - 587- 5151/Faz 320 - 2344240 M. F M CI R A N D L J N4 TO: Mayor and City Council FROM: John P. Rodeberg, Director of Public Works RE: Establishing Task Forces DATE: February S, 2006 At the last Council Meeting we presented the attached memorandum noting that we were reviewing four topics. As in the past, we proposed to set up a "task force" to review each area, with each task force including the involved city departments and other governmental/non - governmental partners. We have also always asked Council members if they would like to be involved, and we were presenting this information to solicit your involvement, and that of interested members of the community. • We expect these each to be very short-term (2 —4 meeting over a couple of months), and to focus significantly on technical issues. Although official Committees and Commissions require resolutions or ordinances to set up, it has never been the policy of the city to require a resolution to establish a short-term task force, such as these. We have always included appropriate public members, and have received some names of interested parties. Some of these groups have already begun their work (Street Lighting, Regional Transportation) and the people at each meeting depend on the issue being discussed. It is our intent to have each task force review their work with the Council at workshops this spring. This item came up right after an item regarding setting up a formal commission (which required an resolution or ordinance), and we are wondering if there was some confusion on these task forces. Let me know if you would like to see the policies revised to include a more formal process than we have utilized in the past, or if we should proceed as we have been doing, with the involvement of interested community and council members. cc: Gary Plotz — City Administrator Kent Exner — City Engineer John Olson — Public Works Superintendent is Panted on recycled Paper - g a- C • .Hutchinson City Center Ill Hamm Street ss HWd&soo, MNSMSO -= 320- 5E7- 512SLFL: 320-431-�0 M E M 0 R A N. no Li rA TO: Mayor and City Council FROM: John Rodeberg, Public Works Director RE: Consideration of Establishing Task Forces to Review City Operations & Policies • Snow Removal Task Force • Regional Transportation Task Force • Street Lighting Task Force • Assessment Policy Task Force DATE: January 19, 2006 We have several issues regarding city policies and operations that need to be reviewed in some detail. We are proposing to set up several task forces to work on these issues over the next 2 to .3 months, and would like one or two Council Members to be involved on each topic. Each proposed Task Force and their initially proposed scope of issues are noted below; Snow Removal Task Force One of the city's largest single programs, snow removal operations involve several, city departments, county and state highway departments, the school district and private haulers. Issues regarding the use of a snow storage site on an industrial property, but near residential properties, have created significant discussions and concerns. Along with the expected significant expansion of needs with the Highway 7 Project and additional expectations for service on trails/sidewalks and cul-de -sacs, there is the potential for a significant increase in the financial and other. resources needed to address the city's needs. We will be reviewing current policies, operations and issues; and work toward developing a new operation policy and a list of the required resources to address the community's needs. Regional Transportation Task Force This is one of the Council Objectives that we have just started working on. We will be reviewing proposed and potential regional county and state projects, the municipal state aid system, functional classification, regional airport possibilities/needs/partnerships, and other issues that will guide the future development of regional transportation efforts serving the Hutchinson area. Street Lkebtine Task Force The City spends considerable resources on street lighting, both through the City's General Fund and through Hutchinson Utilities. Issues regarding current lighting policies (light level, spacing, identification of needs, etc.), installation and maintenance costs, light pollution, costs, and other policy and operational issues, need to be reviewed. We have been working with Hutchinson Utilities on identifying the policies and operations at other municipal. utilities, and will be worming in partnership to develop a new operations and maintenance policy for the City. Assessment Policy Task Force We have been talking about this issue for an extended period, and are proposing to hold a work session with the Council prior to the second Council meeting in February. The state, statutes regarding this issue are very specific as to the process, and the requirement to identify the related benefit to each property assessed. However, as noted in the article from the Minneapolis Tribune handed out to the Council a couple of months ago, the variation in policies among Minnesota Cities is dramatic (some cities assess 1000/a of costs to individual properties while others spread the cost to the community as a whole). We will work with the League of Minnesota Cities staff, our financial consultant (Ehlers) and other resources to review and update our policy. We also propose to, review and update the "Financing Hutchinson's Growth" document (which sets financing parameters and guidelines), which could be dramatically affected by changes in the assessment policy. Thanks you for your consideration and willingness to help us work on these topics. Hutchinson City Center 111 Hassan Sheet SE Hutchinson, MN 55350 -2522 320- 587.5151/Fax 320 - 2344240 TO: Mayor and City Council FROM: John P. Rodeberg, Director of Public Works RE: Consideration of Contract Extension with Scott Equipment to Operate Biosolids Dryer DATE: February 8, 2006 This item was on the last agenda as a Resolution for Purchase. We were asked to provide more information regarding the contract, including why and when we use this service, and what other alternatives might be available. Attached for your information is a copy of the contract. In the past we have utilized the dryer for approximately 10 days per year (would relate to an approximate cost of $17,000 — 20,000), although longer periods may be required. The dryer is only utilized when land spreading isn't available. This • may occur due to weather or crop conditions, or for environmental or preference conditions. Our other current option for these periods is to landfill the waste at Spruce Ridge. We are continuously reviewing our operations, and have looked at providing on -site storage for the Biosolids until land spreading is available and also at options for increasing the amount of land available for land spreading. Due to the time of the year, and the expected need in the near future, we are asking that the contract be approved for the upcoming year. Randy DeVries will be at the meeting to answer your questions. cc: Gary Plotz — City Administrator Randy DeVries — Water/Wastewater Director John Olson — Public Works Superintendent Primed m recycled papa - 2- 8-06; t :26PM O MANUFACTURERS PNDCESSIN EQUIPMENT • AGRICULTURE INDUSTRIAL-0 BUILT FOR TODAY • CHEMICAL • FOOD • TO LAST FOR TOMORROW January 5, 2006 Mr, Randy DeVries City of Hutchinson 111 HASSAN ST SE HUTCHINSON, MN 55350 -2522 Dear Randy: Following is an updated agreement for operating your sludge drying facility this spring. Scott Equipment Company agrees to operate the dryer and auxiliary equipment for the City of Hutchinson's sewage disposal plant as follows: -Two Scott Equipment operators with hepatitis vaccination will run the dryer for up to 12 hours per day_ Ten hours will be considered a normal operating day, Monday — Friday. -The Scott operators will also operate the pellet mill and the auxiliary equipment to deliver pelleted sludge to the storage bins. -The Scott operators will comply with all safety provisions to protect themselves and will be covered by Scott • Equipment Co. workers compensation policy while on the site. -The City of Hutchinson will indemnify Scott Equipment Co. from any liability for damage to the City of Hutchinson property or employees through the operation of th'e dryer or other equipment operated by the Scott Equipment Co. employee's while on the site. -The Scott Equipment operators will comply with the City of Hutchinson's quality control program and strive to comply with that program at all times. Scott Equipment will not be liable for any lost profit, dawn time, or liability for any material produced out of specification. -The Scott Equipment Co. employee's will cooperate with the City of Hutchinson in training of a City employee to run the dryer if that is desired. -The City of Hutchinson will be charged a minimum of $1,700 per day for up to 10 hours per day and $210 per hour for any additional hours up to 12 hours per day. If the facility is forced to shut down due to excessive odor, or for any other reason, the minimum charge per day will still apply. The Scott operator will start work at 7:00 am and leave the site at 5:00 pm Monday - Friday unless up two additional hours are needed. Any work performed on weekends or Holidays will need to be negotiated prior to the work being performed. - The Scott Operators will defer all decisions as to whether or not to operate the Sludge Drying Facility to a City of Hutchinson employee. - Scott Equipment will require two weeks notice prior to scheduling the on site operation of the Sludge Drying Facility with an estimated number of days or weeks this service will be needed unless otherwise negotiated. 16 hours notice will be required prior to canceling the next days operation of the facility. - The City of Hutchinson will have an employee on the site operating the belt presses to deliver pressed sludge at approximately 17% solids to the dryer. This operator will be in the building at all times and will be available to assist the Scott operators as needed. The Scott operators will not operate the drying and pelleting system without a City of Hutchinson employee in the building. • SCOTT EQUIPMENT COMPANY 605 4T" Avenue N.W. - New Prague, Minnesota 56071 Phone (952) 758 -2591 - Fax (952) 758.4377 • IvVeh Site hitp:! /www.Scat(FquipmCnt.coni 651 2- 8-06' 1 =26PM • Randy, we will need to work out the schedule so that we can dry the amount of sludge that you need as well as meet the demand in our test lab. If you have any question or need additional information please call me at 952 -758 -2591. Kind Regards, SCOTT EQUIPMENT CO. 605 4 h Ave NW New Prague, MN 56071 Ph: (952) 758 -2591 Fax: (952) 758 -4377 • Rich! Lucas HUTCHINSON WASTEWATER DEPT 111 HASSAN ST SE HUTCHINSON, MN 55350 -2522 Ph: (320) 587 -5151 Fax: (320) 234 -4240 Randy DeVrles SCOTT EQUIPMENT COMPANY • 605 4th Avenue N.W. • New Prague, Minnesota 56071 Phone (612) 758 -2591 . fax (612) 758.4377 . Web Stte rittP /www.5cottEquipment.com fT 1) TTClI P C • Hutchinson City Center 111 Hessen Street SE Hutchinson, MN 55350.2522 320- 587- 5151/Fax 320 - 234 -4240 _E 1%/1 0 R A N D RJ M. TO: Mayor and City Council FROM: John P. Rodeberg, Public Works Director Randy DeVries, Water/Wastewater Director RE: Review of Wastewater Treatment Facilities Plan by Wold Architects DATE: February 8, 2006 Attached is the "Administration Building Expansion Study" report completed by Wold Architects. As noted when we approved this review, we have programmed for an upgrade /expansion of the Wastewater Treatment Facility (WWTF) for many years, but have delayed any work while we reviewed the operations and personnel needs at the facility. We now have completed this review, and have identified the appropriate staffing levels, and service levels for the laboratory and other services. • As we completed the review, we looked at several alternatives. The final two layouts we reviewed included the plan noted in this report, and also a plan that would have just brought the current building up to code, and added a second building for the plant mechanic services. This alternative (separate buildings) has been preferred by many Cities, however it ended up costing more and creating some coordination issues with staff. We have therefore focused on the other alternative. • We had originally budgeted $800,000 for the building, and another $120,000 for a garage (some garage space may be utilized at the HATS Facility temperate storage expansion). We have not increased these requests for several years. The estimate in the report is approximately $1,200,000 (based on the recent HATS Facility expansion bid received by McLeod County, which should be representative of costs for this building also). Costs are higher than budgeted due to significant building cost increases over the last two years, more defined scope of actual needs, additional security improvements proposed and other issues. John McNamara of Wold Architects will be at the Council meeting to review this report. We would then like to review issues with the Council, and get direction on how to move ahead with the construction of the facility. cc: Gary Plotz — City Administrator a � (6L)- 1� 0 0, W9L� U • is City of Hutchinson - Solid Waste Facility Wold Architects and Engineers Administration Building Expansion Study February 14, 2006 TABLE OF CONTENTS pane Introduction 2 Executive Summary 3 Space Summary 4 Building Expansion Diagram 5 Site Expansion Diagram 6 Cost Summary 7 Project Schedule 8 Appendix A Facility Analysis Page 1 Commission No. 052167 R (0-) City of Hutchinson — Solid Waste Facility Wold Architects and Enciineers Administration Building Expansion Study February 14, 2006 • INTRODUCTION Wold Architects and Engineers is pleased to submit to the City Council of the City of Hutchinson the expansion analysis for the Administration Building at the Solid Waste Facility in Hutchinson. We wish to thank the City Council, Administration and Staff for their exhaustive efforts in providing the Design Team the information necessary to advance to this stage of development in a timely fashion. The Design team will commence the Schematic Design Phase of this project upon approval by the City Council. Thank you for your consideration of this presentation. John McNamara, AIA Wold Architects and Engineers Page 2 Commission No. 052167 R (0--) City of Hutchinson — Solid Waste Facility Wold Architects and Engineers Administration Building Expansion Study February 14, 2006 • EXECUTIVE SUMMARY In late 2005, the City of Hutchinson requested Wold Architects and Engineers to provide a detailed evaluation of the existing administration building at the Solid Waste Facility. The scope of this work included an evaluation of physical deficiencies of the existing structure and to evaluate the cost of upgrading the building. In addition, we were to look at program and space deficiencies related to administration staff spaces, lab usage, maintenance and storage space. City administration provided information regarding current staffing and projected growth of the facility. We were also provided information regarding the lab space and proposed changes to that operation. Through meetings with staff and administration, a building program was developed addressing these deficiencies and allowing for growth. These meetings and evaluation concluded the following: • The existing building structure is in good condition, but requires some maintenance. • The lab space needs to be remodeled and upgraded to meet current codes and operations. • Any expansion needs to address current accessibility deficiencies in the building. • Proper storage space is needed through -out the facility. • There needs to be space for training. • The largest growth will occur in the area of maintenance and repair. The diagrams presented in this report represent solutions for the above items. • Future phases of the project will provide more detail to the solutions and we look forward to presenting these in the future. is Page 3 Commission No. 052167 City of Hutchinson - Solid Waste Facility Wold Architects and Engineers Administration Building Expansion Study February 14, 2006 . SPACE NEED SUMMARY 1.00 SOLID WASTE FACILITY Square Footage Proposed Proposed Staff Existing Staff NSF Comments 1.100 Administration 1.101 Director 1 135 NSF 1 160 NSF Office 1.102 Superintendent 1 in 1.201 NSF 1 135 NSF Office 1.103 Office Specialist 1 55 NSF 1 80 NSF 8x10 cubicle Subtotal Support Spaces Subtotal Administration 0 949 NSF 0 1,540 NSF Department Net to Gross 3 190 NSF 3 375 NSF 1,091 NSF Department Net to Gross 1.15 3,394 NSF 1.5 • 1.100 Total Administration 219 NSF Building Net to Gross 565 NSF x 1.27 1.200 Operators 1.201 Sr. Operator 1 190 NSF 1 80 NSF 8x10 cubicle 1.202 Operators (1 FT/ 1 PT) 1.5 in 1.201 NSF 1.5 128 NSF (2) 8x8 cubicles 1.203 Lab Specialist/ Operator 1 40 NSF 1 in 1.401 NSF Subtotal Operators 3.5 230 NSF 3.5 208 NSF Department Net to Gross 1.15 1.5 1.200 Total Operators 265 NSF 315 NSF • 1.300 Maintenance 1.301 Sr. Mechanic 1 in 1.201 NSF 1 140 NSF Shared office 1.302 Mechanic 1 in 1.201 NSF 1 140 NSF w/ 1.302 1.303 Garage (includes fab. area) 1,400 NSF 1,650 NSF 1.304 Workbenches 182 NSF 300 NSF 1.305 Dry storage room 0 NSF 240 NSF Subtotal Maintenance 2 1,582 NSF 2 2,470 NSF Department Net to Gross 1.15 1.04 1.300 Total Maintenance 1,819 NSF 2,570 NSF 1.400 Support Spaces 1.401 Lab 402 NSF 500 NSF 1.402 Breakroom/ Training 192 NSF 475 NSF 1.403 MateriaV Record Storage incl NSF 145 NSF 1.404 Toilets/ Lockers 355 NSF 355 NSF 1.405 Accessible toilet 0 NSF 65 NSF Subtotal Support Spaces 0 949 NSF 0 1,540 NSF Department Net to Gross 1.15 1.4 1.400 Total Support Spaces 1,091 NSF 0 2,160 NSF Subtotal NSF 3,394 NSF 5,610 NSF • Building Net to Gross x 1.33 x 1.27 Page 4 Subdividable Commission No. 052167 9 ca�) City of Hutchinson - Solid Waste Facility Wold Architects and Engineers Administration Building Expansion Study February 14,2006 . SPACE NEED SUMMARY Total Gross SF Maintenance 8.5 4,520 GSF 7,150 GSF FJ Commission No. 0521,67 Page 4 z 0 Ic V • 0 Solid Waste Facility Administration Building Expansion RENOVATE EXI5TING LAB TO AGCOMMODATE BUILDING ADDITION ADMINI5TRATION. ADD TO TO ACCOMMODATE BUILDING FOR PROGRAM - BREAKJ TRAINING AND MAINTENANCE —7\ ADDITION NEW ENTRY oil I I I I I I I I I III I ( I I I V2 on I 13/4 Ton I 1314 Ton' Jeep I Truck Truck Truck 1 I III I I I IL I L___j!L_ L L__�J ___J ADDITION New II Exist. Mech. Gen. RENOVATED GARAGE AND " EXI5TING MECH./ ELEG. BUILDING ADDITION TO AND GEN. ROOM5 TO REMAIN AGCOMMODATE MAINT. UPGRADE A5 NEEDED i Lob _ RENOVATE Exist. Exist. EXI5T. ADMIN. Elec. Mech. AREA TO I AGGOMMODATE THE LAB FUNGTION ADMINISTRATION BUILDING EXPANSION EXANSION OPTION FEBRUARY 14, 2006 COMM. NO. 052167 PAGE 5 0' 8. 16, V • • is Solid Waste Facility Administration Building Expansion BUILDING EXPANSION FUTURE EXPANSION PROVIDE ADDITIONAL PARKING ADJAGBNT _ To ADDITION —i r ADAM5 STREET EXPAND AND RECONFIGURE PARKING -\ - - - - - - - - - - � I MILL AND OVERLAY - ROADS PER FACILITY ANALY5I5 REPORT EX15TDIG PRELIMINARY TREATMENT BUILDING (STRUCT. NO. 30) FUTURE EXPANSION --- %--- x-- -x- - -x --- RENOVATE EXI5TING BUILDING AND UPGRADE PER FACILITY ANALY515 REPORT REPLACE WALKS PER FACILITY ANALYSIS REPORT ADMINISTRATION BUILDING EXPANSIQN_ SITE PLAN FEBRUARY 14, 2006 COMM. NO. 052167 PAGE 6 0, 129 0 Y a 0 0 Z e 2 y V • • City of Hutchinson - Solid Waste Facility Wold Architects and Engineers Administration Building Expansion Study February 14, 2006 Budget Summary Renovation Costs (4,520 sfl Page 7 Commission No. 052167 �(a)- Cost/ SF Budget Building Renovation $ 55.00 /sf $ 248,500 Mechanical $ 35.00 /sf $ 158,500 Electrical $ 15.00 /sf $ 68,000 Subtotal Renovation $ 105.00 /sf $ 475,000 Addition Costs (2.630) Cost/ SF Budget Site Modifications $ 15.00 /sf $ 40,000 Building Construction $ 100.00 /sf $ 263,000 Mechanical $ 35.00 /sf $ 92,000 Electrical $ 15.00 /sf $ 40,000 Subtotal Addition $ 165.00 /sf $ 435,000 Total Construction Cost $ 910,000 Project Costs Architectural Fees $ 75,000 Architectural Reimb. $ 4,000 Bid Set Printing $ 7,000 Geotechnical $ 3,000 Survey $ 7,000 Special Testing $ 8,000 Furniture, Fixtures and Equipment $ 75,000 Lab Equipment $ 20,000 Project Contingency (10 %) $ 91,000 Total Project Costs $ 290,000 Total Project Cost $ 1,200,000 Page 7 Commission No. 052167 �(a)- • r 1 U • City of Hutchinson - Solid Waste Facil Administration Building Expansion Study Project Schedule Wold Architects and Engineers February 14, 2006 W LD 2006 2007 J F M A MIJ!J A SIO NiD J FIM A M J JIA S O'IN D Design I CD's Bidding I Award Construction Occupancy Design I Construction Documents - Construction Bidding Page 8 Commission No. 052167 • _0 0 TO: Mayor and Council Parks, Recreation & Community Education No Harrington stmt sw Hutchfison, MN 55350 -3097 320- 587- 2975/Faa 320 - 234 -4243 FROM: Dolf Moon, PRCE Director DATE: February 9, 2006 SUBJECT: Event Center Canopy The Event Center canopy project is included in the 2006 capitol improvement plan. John McNamara, Wold Architects, will present the design for the project. I recommend authorization to advertise for bids. Pnnmd m mcycW p"r - I ('�) City of Hutchinson � Event Center � Contract � Document i Submittal ' Hutchinson, Minnesota February 14, 2006 r 1 1 i 1 1 i 1 u��0 19 j ' City of Hutchinson — Event Center Canopy Wold Architects and Engineers ' Contract Document Submittal February 14, 2006 TABLE OF CONTENTS ' Page Introduction 2 Canopy Plan 3 ' Elevations 4 Cost Summary 5 Project Schedule 6 1P ' Page 1 Commission No. 052173 q(6) ' City of Hutchinson — Event Center Canopy Wold Architects and Engineers ' Contract Document Submittal February 14, 2006 INTRODUCTION Wold Architects and Engineers is pleased to submit to the City Council of the City of Hutchinson the Contract Document Submittal for the new Canopy at the Event Center in Hutchinson. ' We wish to thank the City Council, Administration and Staff for their exhaustive efforts in providing the Design Team the information necessary to advance to this stage of development ' in a timely fashion. The Design team will commence the Bidding Phase of this project upon approval by the City ' Council. Thank you for your consideration of this presentation. John McNamara, AIA 1 Wold Architects and Engineers 4 I 1P Page 2 Commission No. 052167 1 1 r NEW CANOPY ADDITION Qi ?0 ... ........: :::::::: .......... ....................._ .. ::: PLAN VIEW NEW CANOPY ADDITION SGALE: 1/8" = V -O" qt�)) I r 1 1 ......... n I 1 1p NEW CANOPY ADD ITION WEST ELEVATION 5GALE: 3/32" V -O" WEST ELEVATION 5G-ALE: 3/32" V -O" WEST ELEVATION 5GALE: 3/32" V -O" ' City of Hutchinson - Event Center Canopy Wold Architects and Engineers Construction Document Submittal February 14, 2006 Cost Summary Construction Costs ' Construction Documents ' Site Work $ 13,500 Building Construction $ 112,000 ' Mechanical $ 2,500 Electrical $ 8,000 ' Total Construction Cost $ 136,000 Project Costs ' Architectural Fees $ 10,750 Architectural Reimb. $ 500 Bid Set Printing $ 1,250 Special Testing $ 12,000 Construction Contingency $ 14,500 Total Project Costs $ 39,000 ' Total Project Cost $ 175,000 ' Proposed Project Alternates (construction costs) ' Exterior column lighting $ 9,000 Page 5 Commission No. 052173 9(b) 1 1 r r City of Hutchinson - Event Center Canopy Construction Document Submittal Project Schedule m910 Design / CD's Bidding /Award Construction Substantial Completion 2005 Wold Architects and Engineers February 14, 2006 2006 1? _ Design / Construction Documents ,per, nx — Construction _ '—,'Y Bidding Page 6 Commission No 052173 r 1 0 Memo To: Mayor and City Council From: Gary Forcier, President Date: 2/6/2006 Re: Pension Increase for the Firefighters The Hutchinson Fire Department Relief Association Board is made up of active firefighters, refired firefighters, and city officials. The purpose of the relief association is to provide a retirement benefit to the firefighters that have served the city for 15 years or more and have reached the age of 50. Although the retirement amount given to the retired firefighters is modest by many standards, it is a way for us to thank the men and woman that have faithfully dedicated many years of their life to the fire department. The association is funded with the revenue received from the °2% money", 2% money is the dollars collected from the fire insurance portion of homeowners insurance, and a modest contribution by the fire district. We currently pay our retired firefighters $11.00 per month for each year of service, an example would be, if a firefighter has 20 -years of service in the Hutchinson Fire Department and has reached the age of 50, he or she would be eligible to receive $220.00 a month. The board has rat increased the pension rate for almost six years in an effort to increase the level of funded ratio. Our funded ratio has risen to 90.1 % at this time; and it is now time to pass the benefits on to the members. We are requesting the city council to give the relief association authorization to increase benefits by $2.00 per year of service or from $11.00 to $13.00. If you have any questions, feel free to contact me at 583 -8717. �cG� 0 C TO: Mayor & City Council FROM: John Rodeberg, Director of Public Works Kent Exner, City Engineer Randy DeVries, Director of Water/Wastewater Operations RE: Improvement Project Change Order (Letting No. 12/1roject No. 05 -14 — Water Treatment Improvements/Reverse Osmosis System Equipment) DATE: February 14, 2006 Manufacturing of the reverse osmosis system equipment included in the above referenced Letting has proceeded close to the proposed schedule. Ultimately, this equipment will be completed prior to the Water Treatment Plant (WTP) • Improvements being to a point where the equipment can be installed within the new WTP. Thus, storage of this equipment is necessary until the new WTP is capable of housing the equipment. The following Change Order (see attached) will address the need to rent secure space at the manufacturer's facilities until the installation of the equipment can occur. • Change Order No. 1 — Letting No. 12/Project No. 05-14 — Water Treatment Improvements/Reverse Osmosis System Equipment — Total additional project cost is dependent on the length of storage. We recommend that the above Change Order be approved per the negotiated payment criteria. cc: Gary Plotz —City Administrator • Q(a) • CHANGE ORDER NO.1 Buyer City of Hwxhinson. Mmnesota Date February 6. 2006 Project Procurement of Reverse Osmwis System Buyees Contract No. LeJlJ= No. 12/Projed No. 05-14 Seller GE Osmonics Daft of Contract Start Mw 19,2005 S 1,054-350.DD Ll You we directed to make the following charges m the Contract Documents. Demption: Seller shall store the Goods for a period of up to six (6) months, at a cos[ of S 1,500.00 per month. Payment applications shall be revised to allow the second payment application at such time as the Seller represents that the Goods are ready for storage. Contract Price and Tortes shad be adjusted b reflect the actual term of storage. More formally, this change order nukes the following change to Paragraph 10.02.A2 of the General Conditions: A Replace the words "Buyer's acknowledgement of receipt of the Goods" with "Seder's certification that the Goods are ready for storage ". Reason for Charge Order: Delay in general conwuction contract for the WTP require storage of the Goods for a period of up to six (6) months. CONTRACT PRICE CONTRACT TOM (Delivery Date) To substantial To final coma Lion Orignal: $1.054.350.00 Original: Previous C.Os : $ 0 Previous C.O.s (ADD/DEDUCT): This C.O. (ADD): $ 9.000.00 This C.O. (ADD/DEDUCT): • Contract Price with all REVISED: approved Change Orders: $1.063.350.00 55. . ... a : .. s1•.i 41.r It is agreed by the Seder that this Change Order includes any and all casts associated with or resulting from the cb®rge(s) ordered herein, including all impact, delays, and acceleration costs. Other than the dollar amount and time allowance listed above, them shall be no further time or dollar compensation as a result of this Change Order. 17Y.i� ul,da\u oa By: THIS DOCUMENT SHALL BECOME AN ANENI)t T TO THE CONTRACT AND ALL STIPULATIONS AND COVENANTS OF THE CONTRACT SHALL APPLY HERM. Engheer ( AuthorQed Signahae) APPROVED: By: Buyer (Authorized Signehue) ACCEPTED: BY Seder (Authorized Signature) 0 Date Earth Tech, Inc. 83357 1 1 Project Change Number Order No. L.W mrNho1r3\83357 1terhlChmscOrdwNo120060206 .doe 1 / • l i N /1_ Hutchinson City Center 111 Hassan street SE Hutchinson, MN 55350 -2522 320- 587.515VFas 320.234 -4240 TO: Mayor and City Council FROM: John P. Rodeberg, Public Works Director Randy DeVries, Water/Wastewater Director RE: Consideration of Consulting Agreement with EarthTech for WTP Improvements Phase 2 Construction Services DATE: February 9, 2006 Attached is the Engineering Services Proposal for the above referenced work. We are asking for additional supporting information from EarthTech due to the size of the consulting costs. It is also substantially larger than originally estimated. Scott Young will be supplying us with a spreadsheet noting how these costs were calculated, and is planning on attending the Council Meeting. I will send it out by e-mail as soon as I get it. Scott did give an outline for the consulting costs: • John - I recognize that engineering costs are more than estimated in 2004. As we reported in December, overall program costs are 20 %+ over the 2004 estimates, which was the basis for the funding application. A new estimate was not prepared at the time of application since no new information was available. At Ken's request, we discussed this with PFA in January and they indicated that the City could still fund the entire project. As to your question about engineering costs, I'll go through my review and then we can discuss by telephone. In 2004, we provided the City with an engineering proposal for detailed design and construction services totaling $1.8 million. That proposal included WTP contract award in June 2005 and construction completion by December 2006. The City decided to conduct the project in a phased approach. The current schedule calls for award in February 2006 and construction completion by July 2007. The design phase has cost more than the 2004 estimate for several reasons, including: 1. Additional costs caused by phasing 2. EAW requirement 3. Extended negotiations with MPCA over wetland treatment 4. City - requested design changes after the design was formalized 5. Inflation due to increased salaries The current engineering services proposal includes not only construction services, but also bidding services and supplemental design efforts after final review by the City. These include revising the • grading plan to eliminate retaining walls and then returning to the original design, revising the landscape plan after the City had approved the landscaping materials and revising the irrigation plan after it was approved by the City. Other supplemental services included distribution system evaluation, security system design (ElectroWatchman original design was inadequate), Annandale -Maple lake impacts and follow -up and utilities changes related to TH 7 project - Pruned m recycled paper - Q�a WTP Consulting Services - Page 2 Regarding bidding, which we have conducted without formal authorization by the City to keep the • project schedule, reproduction costs alone total nearly $20,000. Regarding construction- related services, in the 2004 estimate the schedule was set such that only 1 staff -year was required for construction observation. The current proposal includes 1.5 staff -years for construction observation. We believe this is necessary because of the changed project timing. We now have a winter start and summer completion instead of a summer start and winter completion, which compresses the available construction time and requires more on -site activity during that compressed time -frame. Our agreements did not include any City-paid testing services. When we prepared the draft PFA application, we did not receive any input from the City regarding testing costs. We can indude those in the application update, which will be prepared after the project is awarded. I hope this addresses your questions about engineering costs. Scott Young EarthTech and staff will be meeting prior to the Council meeting to review these issues. As noted earlier, I will also be sending out the additional information requested from EarthTech as soon as it 1:- 1110►I[.&M Thank you for your consideration. • cc: Gary Plotz — City Administrator Kent Exner — City Engineer Randy DeVries — Water/Wastewater Director Dick Nagy— Water Systems Supervisor • � (a) ENGINEERING SERVICES PROPOSAL WTP IMPROVEMENTS -Phase 2 Construction Services Hutchinson, Minnesota February 3, 2006 Project Background Earth Tech completed a "WTP Design Study', dated April 2004, for the City of Hutchinson recommending a membrane treatment facility utilizing reverse osmosis and biological filtration to meet the City's desired water quality goals, including source water iron and ammonia reduction and copper corrosion control. On April 27, 2004, the Hutchinson City Council adopted the recommendations and supporting reports, and authorized City staff to enter into an engineering services agreement with Earth Tech to implement the project. Earth Tech completed the "Water System Improvements Preliminary Design Report, dated October 2004, which provides design documentation for the improvements and was the basis for the "Value Engineering" review conducted by the City of Hutchinson. Value Engineering was conducted on Tuesday, October 26, 2004, the findings of which are documented in Meeting Minutes received November 14, 2004. City staff developed action items from the value engineering review and a memo, dated December 14, 2004, documents those items. The value engineering action items, together with the preliminary design report, equipment procurement, the well, reservoir & WTP design and the Phase 1 construction engineering services provide the basis for the Phase 2 construction engineering services, which this proposal addresses. Project implementation consists of multiple procurement /construction contracts, including: 1. Membrane Equipment Procurement 2. BioFilter Equipment Procurement 3. Water Supply Well 4. Ground Storage Reservoir 5. WTP Construction & Equipment Installation Items 1 -5 have been bid and construction has been completed for items 3 and 4. Equipment procurement is approaching delivery and the WTP construction contract is ready for award. Engineering construction- related services (CRS) will be implemented in two (2) phases, including: 1. Engineering CRS for Well No. 8, 1.5 mg Reservoir, BioFilter Equipment Procurement and Membrane Equipment Procurement 2. Engineering CRS for the WTP Building and Site Improvements 0 e � La) • 0 WTP Proposal -Phase 2 Construction Services February 3, 2006 Page 2 of 2 Earth Tech Responsibilities This proposal addresses Phase 2 engineering construction - related services (CRS) to implement the recommended plan, as well as supplemental services for previous authorizations. Major efforts for the construction contract include: 1. Bidding Assistance 2. Construction Contract Administration, including: a. Project Management b. Weekly /Bi- weekly Meetings c. Payment Requests/Recommendations d. Change Orders, as appropriate e. Record Drawings /Information documentation f. Contract Close -out 3. Shop Drawings Review 4. Equipment Contracts Coordination 5. Construction Observation 6. O &M Manual/Review 7. Start -up Services Assistance Client Responsibilities The City of Hutchinson shall be responsible for the following services: 1. Assign a Project Manager, who will be the primary liaison with Earth Tech staff during the conduct of the project. This person shall generally provide direction and decisions on behalf of the City. 2. Provide background reports and information, as may be available and necessary for the conduct of the project. 3. Coordinate project requirements with the Minnesota Department of Transportation (MnDOT), who is planning an improvement adjacent to the WTP Improvements, as well as other local projects. Assumptions This proposal is based on the following assumptions: 1. Construction contract will be complete by June 30, 2007. 2. Construction observation is no more than 3,120 hours (1.5 staff years). 3. O &M Manual includes a $40,000 allocation until determination of final format. Fees Earth Tech will complete the Services described above at a cost of $1,275,000. LAwork%hutchW3581projmgt\WTP CRS Phase 2 Proposal 20060203.doc e I (d) CONSULTING AGREEMENT AND AUTHORIZATION TO PROCEED This Agreement between EARTH TECH, Inc, d.b.a. Earth Tech Consulting, Inc., a California corporation, ( "ETI ") with offices at 3033 Campus Drive North, Suite 290, Minneapolis, Minnesota 55441 and City of Hutchinson ( "CLIENT'), with offices at 111 � san Street SE: Hutchinson, MN 55350 . MW 1. ETI agrees to perform the services described in its PROPOSAL dated: February 3, 2006, including attachments and amendments ( "SERVICES "). 2. CLIENT authorizes ETI to perform these SERVICES for the following project and location: Engineering Services — WTP Ipiprovements - Phase 2 Construction Services 3. ETI is willing to perform the SERVICES in exchange for the following fee (check and c oniplete): CLIENT will pay on a time and material basis. ETI will invoice according to the Fee Schedule* attached to the PROPOSAL. X CLIENT will pay a lump sum of $1,275,000.00. ETI will invoice monthly on a percentage completed basis. CLIENT will pay on a time and material basis not to exceed the sum of $ . ETI will invoice according to the Fee Schedule* attached to the PROPOSAL up to the stated limit. Upon reaching the limit, ETI will stop performing unless CLIENT authorizes further work in writing. CLIENT will pay a retainer in the amount of $ , to be applied against the fee. * ETI reserves the right to adjust its Fee Schedule annually. 4. Billing: ETI will submit invoices to CLIENT monthly. CLIENT recognizes that timely payment is a material part of this Agreement. Each invoice is due and payable within thirty (30) calendar days of the date of the invoice. CLIENT will pay an additional charge of one and one -half percent per month not to exceed the maximum, rate allowed by law for any payment •received_ by ETI more than thirty (3 0) calendar days from the date of the invoice. CLIENT will pay when due that portion of invoice, if any, not in dispute. If CLIENT fails to pay any undisputed invoiced amounts within thirty (30) calendar days of the date of the invoice, ETI may suspend its performance or terminate this Agreement without incurring any liability to CLIENT and without waiving any other claim against CLIENT. 5. Special Provisions: X NONE ATTACHMENT 6. CLIENT RECOGNIZES THAT THE PRESENCE OF HAZARDOUS MATERIALS OR POLLUTION ON OR BENEATH THE SURFACE OF A SITE MAY CREATE RISKS AND LIABILITIES. CONSULTANT HAS NEITHER CREATED NOR CONTRIBUTED TO THIS POLLUTION. CONSEQUENTLY, CLIENT RECOGNIZES THIS AGREEMENT WILL ACCORDINGLY LIMIT CONSULTANT'S LIABILITY. CLIENT confirms reading this document in full (including the terms 7 through 18 on the following page). This Agreement when executed by Earth Tech is an offer to perform the services, open for acceptance within 30 days. This Agreement becomes effective on the date CLIENT signs below. CLIENT: Lo Name: Steven W. Cook Title: Mayor By: Name: Gary D. Plotz • Title: City Administrator Date: MORWInAi1 ETI - EARTH TECH, Inc., d.b.a. Earth Tech Consulting, Inc. By: Name: J. Michael Valentine Title: Vice President Date: February 3. 2006 l (A Page 10 7. Standard of Care: ETI will perform the Services in accordance with the standards of care and diligence normally practiced by consulting firms performing services of a similar nature in the same locale. 8. Indemnity/Limitation of Liability: Subject to any limitations stated in this Agreement, ETI will indemnify and hold harmless CLIENT, its officers, directors, employees, and subcontractors, from and against all claims and actions, including reasonable attorneys fees, arising out of • damages or injuries to persons or tangible property to the extent they are caused by a professionally negligent act, error, or omission of ETI or any of its agents, subcontractors, or employees in the performance of Services under this Agreement. ETI will not be responsible for any loss, damage, or liability arising from any contributing negligent acts by CLIENT, its subcontractorsi agents, staff, or consultants. Neither party will be responsible to the other for consequential damages including, but not limited to, loss of profit, loss of investment or business interruption. The CLIENT also agrees to seek recourse only against ETI and not against its officers, employees, directors, or shareholders. The CLIENT agrees to limit ETTs liability due to breach of contract, warranty or negligent acts, errors or omissions of ETI to $50,000 or the fee paid to ETI under this Agreement, whichever is greater. 9. Insurance: During the period that Services are performed under this Agreement, ETI will maintain the following insurance: (1) Workers' Compensation coverage in accordance with the laws of the states having jurisdiction over its employees engaged in the Services and Employer's Liability Insurance (limit of $500,000 each occurrence.); (2) Commercial General Liability Policy with a limit of $1,000;000 per occurrence and a $2,000,000 aggregate; (3) Commercial Automobile Liability with a limit of $500,000 per occurrence and a $1,000,000 aggregate; and (4) Professional Liability coverage with a $500,000 limit on each claim and a $1,000,000 aggregate. Client agrees ETI will not be liable for any loss, damage, or liability arising out of this Agreement beyond the coverage, and conditions of such insurance with limits as stated above. 10. Hazardous Substances/Hazardous Waste: CLIENT represents that if CLIENT knows or has reason to suspect that hazardous substances or pollution may exist at the project site, CLIENT has fully informed ETI. In the event ETI encounters hazardous substances or contamination significantly beyond that originally represented by CLIENT, ETI may suspend its Services and enter into good faith renegotiation of this Agreement. CLIENT acknowledges that ETI has no responsibility as a generator, treater, storer, or disposer of hazardous or toxic substances found or identified at a site and CLIENT agrees to defend, indemnify, and hold harmless ETI, from any claim or liability, arising out of ETI's performance of work under this Agreement and made or brought against ETI for any actual or threatened environmental pollution or contamination except to the extent that ETI has negligently caused or contributed to any such pollution or contamination. This indemnification includes reasonable attorney fees and expenses incurred by ETI in defense of such claim. 11. Sample Ownership: All samples and cuttings of materials containing hazardous contaminants are the property and responsibility of CLIENT. Removal of cuttings from the project site will remain the obligation of CLIENT. Absent direction from CLIENT, ETI may rewm all contaminated samples and laboratory byproducts to the CLIENT for proper disposal or treatment. • 12. Buried Utilities: In those situations where ETI performs subsurface exploration, CLIENT, to the extent of its knowledge, will furnish to ETI information identifying the type and location of utilities and other mart -made objects beneath the surface of the project site. ETI will take reasonable precautions to avoid damaging these utilities or objects. Prior to penetrating the site's surface, ETI will furnish CLIENT a plan indicating the locations intended for penetration. CLIENT will approve the location of these penetrations and authorize ETI to proceed. 13. Documents and Records: CLIENT acknowledges that ETI's reports, boring logs, field data, field notes, laboratory test data, calculations, estimates and other similar documents ( "Records ") are instruments of professional service, not products. All data ETI prepares for CLIENT under this Agreement will remain the property of ETI. CLIENT will not use any ETI data or report for any purpose other than its original purpose as defined in the PROPOSAL. CLIENT has no rights to incomplete or partial data. ETI will retain these Records for a period of three (3) years following completion of this project. During this time, ETI will reasonably make available the records to the CLIENT. ETI may charge a reasonable fee in addition to its professional fees for retrieving or copying such records. 14. Change Orders: ETI will treat as a change order any written or oral order (including directions, instructions, interpretations or determinations) from CLIENT which request changes in the Services. ETI will give CLIENT notice within ten (10) days of the change order of any resulting increase in fee. Unless Client objects in writing within five (5) days, the change order becomes a part of this Agreement. 15. Third -Party Rights: Except as specifically stated in this Agreement, this Agreement does not create any rights or benefits to parties other than CLIENT and ETI. 16. Assignment/Status: The CLIENT will not delegate, assign; sublet, or transfer any interest in this Agreement without the written consent of ETI. ETI is an independent consultant and not the agent or employee of CLIENT. 17. Termination: Either party may terminate the Services with or without cause upon ten (10) days advance written notice. If Client terminates without cause, CLIENT will pay ETI costs incurred, noncancelable commitments, and fees earned to the date of termination and through demobilization, including any cancellation charges of vendors and subcontractors. 18 Complete Agreement: The Parties acknowledge this Agreement, including the Proposal and any Attachments constitute the entire Agreement between them Unless stated otherwise in this Agreement, this Agreement may not be modified except in a writing signed by both parties. The • parties agree that California law governs this Agreement and any dispute involving the Agreement. Conssf 98k (Aug 13, 1998) (10/03) a W • C TO: Mayor & City Council FROM: John Rodeberg, Director of Public Works Kent Earner, City Engineer Randy DeVries, Director of Water/Wastewater Operations RE: Consideration of Accepting Bids for Letting No. 2 Project No. 06-02 (Water Treatment Improvements) DATE: February 14, 2006 Attached is the Resolution Accepting Bids and Awarding Contract for Letting No. 2. Bids for the above referenced Letting were received and opened on Thursday, February 2"d. Eight (8) responsive bids were submitted for consideration. Gridor Construction, Inc., of Buffalo, Minnesota, submitted the apparent low bid in the amount shown on the Resolution. EarthTech, project engineering consultant, has reviewed the bids and provided a Letter of Recommendation (see attached). EarthTech notes that Alternates No. 1 & 2 should be accepted, thus arriving at a total contract amount of $10,420,000.00. Further discussion regarding the aspects of the alternate bids may be addressed at the City Council meeting. The Engineer's opinion of probable cost of construction for this Letting was $10,550,000.00. City staff and EarthTech believe that Gridor Construction, hic., is qualified and capable of completing the work specified within this Letting. We recommend awarding this project in the amount of $10,420,000.00 to Gridor Construction, Inc. cc: Gary Plotz — City Administrator q (d) 0 I' 1 EarthTech A ifw Idwnetmal Ltd. fempam February 7, 2006 John Rodeberg, Director Engineering & Public Works City of Hutchinson 111 Hassan Street South East Hutchinson, Minnesota 55350 -2522 Subject: Letter of Recommendation Water Treatment Plant Replacement Letting No. 2/Project No. 06-02 Earth Tech Project No. 83358 Dear Mr. Rodeberg: 3033 Campus Drive P 763.551.1001 Suite 290 F 763.551.2499 Minneapolis, MN 55441 www.earthtech.com Pursuant to the Official Notice to Bidders, sealed bids for the referenced Project were received at the office of the City Engineer/Director of Public Works on February 2, 2006 at 2:00 p.m. and publicly opened and read aloud. City staff reviewed all the Bids received for the Work and prepared the enclosed Bid Tabulation. Earth Tech reviewed the two lowest bids and prepared this written recommendation concerning the award of the construction contract. Our recommendations have been made following discussions with City staff on the bids submitted. Eight (8) sealed bids were received. The low base bid was submitted by Gridor Constr., Inc. of Buffalo, Minnesota, in the amount of $ 9,985,000.00. The second low base bid was submitted by Rice Lake Construction Group of Deerwood, Minnesota, in the amount of $10,784,000.00. The Bidding Documents included three (3) Alternates, including: 1. Assignment of Reverse Osmosis Contract. 2. Assignment of Bio- Filtration Contract. 3. Elimination of Reservoir Retaining Walls. Consideration of any combination of the Alternates does not change the low bidder for the project and has only a marginal effect on the order of bidders 4 -8. Earth Tech does not recommend that Alternate 3 be accepted since it increases the potential for erosion around the reservoir. Alternates 1 and 2 should be considered by the City for multiple reasons, as detailed herein. Without the Alternates, the City of Hutchinson is responsible for accepting shipment of the equipment, insuring the equipment and coordinating the demonstration testing processes and start-up among the construction contract, reverse osmosis system and bio- filtration system. The demonstration testing process will run a minimum of 35 days and could stretch to '60 days or more. The substantial completion date for the contract, which includes demonstration testing and start-up, is q Cd) EarthTech • ATyulftwu nalUd.Cmpaay John Rodeberg City of Hutchinson February 7, 2006 Page 2 of 3 February 28, 2007. Any delay in proving the reverse osmosis and bio- filtration equipment, relative to the construction contract, is the City s responsibility and places the City at risk for contract price and time increases. These costs may be assessable back to the equipment suppliers if they are proven responsible for the delay. Contract timing was specifically established so that demonstration testing and start-up of the new facility occurred during the winter months, when system demands are low, since we need to have some wells supply the existing WTP and other wells supply the new WTP. Therefore, anytime delay not only may have a potential dollar cost associated with it, but may also create a situation wherein the City cannot supply the water demands of the distribution system. Providing a single line of responsibility for system installation, testing, start-up and performance greatly reduces the possibility of Contract Time and Price increases. Further, incorporating Alternates 1 & 2 in the project award allows for a reduction in engineering construction - related services. Our proposal includes $25,000.00 in labor and expenses to assist the City with coordinating the equipment contracts with the construction contract This cost can be deleted from our services if Alternates 1 & 2 are incorporated in the construction contract. With Alternates 1 & 2, the low bid was submitted by Gridor Constr., Inc. of Buffalo, Minnesota, in the . amount of $ 10,420,000.00. The second low bid was submitted by Rice Lake Construction Group of Deerwood, Minnesota, in the amount of $10,984,000.00. The Engineer's opinion of probable cost of construction for the Project was $10,550,000.00. The low base bid was 5.4% below this probable cost. Earth Tech reviewed the qualifications, staff and experience of Gridor Constr., Inc., as well as their list of proposed major sub - contractors and suppliers, all of which are attached. Gridorcompleted the expansion of the City's existing WTP in the 1980's and Earth Tech has had positive past experience also. 0 It is our opinion that the low Bidder, Ghdor Constr., Inc., submitted a responsive bid and is qualified and capable of performing the Work as specified. It is therefore recommended that a contract be awarded to Gridor Constr., Inc., with Alternates 1 & 2, in the amount of $ 10,420,000.00. I (d) EarthTech • - ATya IMe n6ml Ltd Company We respectfully present these recommendations for review and'consideration. We will be pleased to answer any questions concerning the recommendations. Enclosure: Tabulation of Bids Contractor's Qualifications, etaL L: \work\ hutch\ 83358\projmgt lAwardRecommendabon 20060204.doc u 0 John Rodeberg City of Hutchinson February 7, 2006 Page 3 of 3 q cc)i RESOLUTION NO. 12908 • RESOLUTION ACCEPTING BID AND AWARDING CONTRACT LETTING NO.2 PROJECT NO. 06-02 Whereas, pursuant to an advertisement for bids for the furnishing of all labor and material for the construction of new water treatment plant facilities, bids were received, opened and tabulated according to law, and the following bids were received complying with the advertisement: Bidder Amount Bid Alternate 1 Alternate 2 Alternate 3 Gridor Construction Inc $9, 985 ,000.00 $215,000.00 $220,000.00 - $25,000.00 Rice Lake Construction Group $10,784,000.00 $100,000.00 $100,000.00 - $25,000.00 Knutson Construction Services $11,151,000.00 $42,000.00 $51,000.00 - $25,000.00 Robert L Carr Co. $11, 220 ,000.00 $250,000.00 $300,000.00 - $15,000.00 Shaw Lundquist Associates Inc $11,353,000.00 $165,000.00 $82,500.00 - $29,000.00 Graham Penn -Co Construction Inc $11,453,684.00 $100,000.00 $100,000.00 - $29,453.00 Madsen - Johnson Corporation $11,579,600.00 $50,000.00 $50,000.00 - $30,000.00 Borson Construction Inc $11 ,658,000.00 $65,000.00 $85,000.00 - $29,600.00 and whereas, it appears that Gridor Construction Inc of Buffalo MN is the lowest responsible bidder. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA: 1. The mayor and city administrator are hereby authorized and directed to enter into a contract with Gridor Construction Inc of Buffalo MN, in the amount of $10,420,000.00 (Base Bid, Alternates 1 & 2) in the name of the City of Hutchinson, for the improvement contained herein, according to the plans and specifications therefore. • approved by the City Council and on file in the office of the Director of Engineering. 2. The Director of Engineering is hereby authorized and directed to return forthwith to all bidders the deposits made with their bids, except that the deposits of the successful bidder and the next lowest bidder shall be retained until a contract has been signed, and the deposit of the successful bidder shall be retained until satisfactory completion of the contract. Adopted by the Hutchinson City Council this 14th day of February 2006. Mayor City Administrator g�d� C J Hutchinson City Center 111 Hzss n Sheet SE Hutdhmvon, hIN 55350.2522 320.587- 5151JFea 320-234 -4240 M E M G R A N D U M TO: Mayor and City Council FROM: John P. Rodeberg, Director of Public Works RE: Review of Crow River Dam Status DATE: February 8, 2006 There has been significant progress regarding the dam over the last month: 0 US Representative Collin Peterson's staff has noted that the Crow River Dam/Rapids (including the funding) is in the Water Resources Development Act (WRDA) of 2005. This has been signed by the House of Representatives, but has been held up in the Senate apparently due to issues in the wording of the bill. It is likely that the bill will be approved early in this session, and the project financing available soon after. 0 Barr Engineering has completed a draft of the Dam Replacement Report that outlines a new design, completely replacing the dam with rapids. This design has many improvements over the last proposal. E Staff has been meeting with Mn/DOT and the Department of Natural Resources (DNR) to resolve conflicts regarding the design and planning for the bridge and dam/rapids, coordinate efforts and establish schedules. This appears to be moving ahead well. I have e- mailed the full report to you, and will be presenting its findings, and going over these other issues, in greater detail. cc: Gary Plotz — City Administrator Kent Ermer — City Engineer John Olson — Public Works Superintendent Dolf Moon — Director of PRCE Printed m tecyckd paM - ^ (e) • i • Appendix A Cost Summary Table 1A. Hutchinson Dam Replacement Preliminary Cost Estimate Hem No. Bid Item Quantity Units Unit Cost Extension 1 Mobilization 1 LS $ 84100.00 84100.00 2 Water Control 1 LS 25 000.00 $ 25 000.00 3 Site Demolition 3.1 Demolish Existing Concrete Weir 1 LS $ 14,000.00 $ 14,000.00 3.2 Demolish Existing Concrete Wall 1 LS $ 11,000.00 $ 11,000.00 3.3 Remove & Dispose of Existing Steel Gates 1 LS $ 6 000.00 $ 6 000.00 3.4 Demolish Existing Gate Structure 1 LS 3 500.00 $ 3,500.00 3.5 Render Gates on Historic Structure Inoperable 1 LS 6 000.00 $ 6,000.00 3.6 Demolish Concrete Sidewalks 98 SY $ 50.00 $ 4 900.00 3.7 Remove & Dispose of Chain Link Fence 1 LS $ 1,400.00 $ 1 400.00 3.8 Remove & Salvage Park Equipment 1 LS 2,000.00 $ 2,000.00 4 Site Preparation 4.1 Tree Removal 14 EA $ 450.00 6,300.00 4.2 Stump Removal 14 EA $ 50.00 $ 700.00 4.3 Clearing & Grubbing 0.57 Acre $ 2,000.00 1 140.00 4.4 Topsoil Stri p & Stoclole 305 CY $ 5.00 1 525 00 4.5 Salvage Piprap & Place 80 CY $ 10.00 800.00 5 Utilities 5.1 Move & Re -route Underground Electric 1 LS 3250.00 $ 3250.00 5.2 Relocate Light Poles 1 EA $ 875.00 $ 675.00 5.3 Remove & Re -route Storm Drains 1 LS $ 14,500.00 $ 14,500.00 6 Spillway Constriction 6.1 Sheet Pile Furnish & Install 3100 SF $ 30.00 $ 93 D00.00 6.2 Rardom FYI 2290 CY $ 5.00 $ 11,450.00 6.3 Unclassified Excavation 3020 CY $ 5.00 15 100.00 6.4 Large Field Stone 4' + 2215 Tons $ 71.00 $ 157,265.00 6.5 Field Stone 1' -3' 7600 Tons 40.00 $ 304 000.00 6.6 Fieldstone - Cobble (1"-61 160 Tons $ 40.00 $ 6,400.00 6.7 Field Stone Bedding Material 2340 Tons $ 23.00 53 820.00 7 Park Layout 7.1 Unclassified Excavation 130 CY $ 7.00 $ 910.00 7.2 Fine Grading & Shaping 2760 SY 2 D $ 5,520.00 7.3 Concrete Sidewalk 350 SY $ 50.00 $ 17,500.00 7.4 Reinforced Concrete 54 CY $ 700.00 $ 37 800.00 7.5 Granular FYI 280 Tons 20.00 5 600.00 7.6 Engineered Fill 40 Tons 25.00 1,000.00 7.7 Railings 120 LF $ 75.00 $ 9,000.00 8 Establish Vegetation 8.1 Topsoil Placement 305 CY 2.00 $ 610.00 8.2 Seedin Mulchi Fertitizi 0.57 Acre $ 1,500.00 855.00 8.3 Tree Plantings 25 EA 250.00 6 250.00 8.4 Native Flowers Shrubs and Vagetabon 1 LS 4,500.00 4 500.00 9 Erosion Control 1 LS 6,000.00 6 000.00 10 Miscellaneous 10.1 Park Benches 2 EA $ 900.00 $ 1,800.OD Subtotal $ 925,370.00 Engineering Detailed Desi n 70,000.00 Construction Su $ 30,000.00 Subtotal $ 100,000.00 Conti en 309/6 307,611.00 Total T1,332 ,981.00 A -] I ce� Appendix B Plan Drawings i�� 1 EMTING DAM AND SPILLWAY / �. i NORMAL POOj - �. -" WATER SURFACE,,,r s t •Flag Pale: r Pfh4 2—P5 1 NORVALL POOL WATER SURFACE EL.10 -30.30 I ' \ ` 0 6 4 20.0 �z Figure 1 B. Plan View of Existing Conditions v, j s�r'J" 2 NORVALL POOL WATER SURFACE EL.10 -30.30 I ' \ ` 0 6 4 20.0 �z Figure 1 B. Plan View of Existing Conditions v, j NORVALL POOL WATER SURFACE EL.10 -30.30 I ' \ ` 0 6 4 20.0 �z Figure 1 B. Plan View of Existing Conditions Figure 2B. Plan View of Conceptual Plan Im q?�J n U Memo TO: Mayor and City Council Frorre Jean Ward, HRA Executive Director 1'{" WG �- n - 2/9!2006 Re: Request to schedule joint meeting with HRA and City Council At the January HRA Board meeting, the HRA Board discussed setting a meeting date to review 2005 HRA accomplishments and 2006 objectives along with the opportunity for everyone to touch vase regarding input for future HRA program planning. The HRA Board respectfully requests consideration of meeting on March 21, 2006 at 8:30 A.M. in the City Center main conference room. • C� J bly i • U R55APPYRV CITY OF HUTCHINSON By Check Number AP Payment Register with Voids Check Date 02/01/2006 - Ck Date Type Check # Vendor Name Amount 02/01/2006 PK 134195 ` 122615 CENTRAL LAKES COLLEGE 60.00 02/01/2006 PK 134196 102530 HUTCHINSON CO-OP 17,180.52 02/01/2006 PK 134197 105515 HUTCHINSON UTILITIES 60,424.29 02/01/2006 PK 134198 102038 HUTCHINSON, CITY OF 173,825.59 02/01/2006 PK 134199 102573 MCLEOD COOP POWER 3,200.00 02/01/2006 PK 134200 122616 MINNESOTA CHIEFS OF POLICE 485.00 02/01/2006 PK 134201 104454 MINNESOTA'S BOOKSTORE 126.58 02101/2006 PK 134202 122617 MN FALLEN FIREFIGHTERS MEMORIA 180.00 02101/2006 PK 134203 104988 NAGEL, JOSEPH 65.00 02/01/2006 PK 134204 102167 PITNEY BOWES 126.00 02/01/2006 PK 134205 102052 QUALITY WINE & SPIRITS CO. 4,050.26 02/01/2006 PK 134206 104641 RADISSON 255.38 02JO112006 PK 134207 102606 SCHMELING OIL CO 15,782.03 02/01/2006 PK 134208 122618 SIGARMS ACADEMY 350.00 02/01/2006 PK 134209 110990 STARKE, MELISSA 101.10 276,211.75 Account Nu # 276,211.75 Joid Amou 0 :7 0 PAYROLL DATE: February 3, 2006 Period Ending Date: January 28, 2006 FOR COUNCIL LIST ONLY - ELECTRONIC TRANSFER TO STATE AND IRS DO NOT ISSUE CHECKS FOR THIS PAGE AMOUNT ACCT# $21,583.34 9995.2034 $11,495.58 9995.2240 $3,303.10 9995.2242 NAME DESCRIPTION WITH. TAX Employee Contribution - Federal Tax ACCOUNT Employee Contribution - Soc. Security Employee Contribution - Medicare $36,382.02 Sub -Total - Employee Contribution $11,495.58 9995.2240 Employer Contribution - Social Security $3,303.10 9995.2242 Employer Contribution - Medicare $14,798.68 Sub -Total - Employer Contribution $51,180.70 Grand Total - Withholding Tax Account $9,492.52 9995.2035 MN DEPT OF REVENUE $13,185.76 9995.2241 PERA Employee Contribution - Pension Plan $15,772.31 9995.2241 Employer Contribution - Pension Plan $28,958.07 Sub -Total - PERA $15.86 9995.2243 PERA -DCP Employee Contribution - Pension Plan $15.86 9995.2241 Employer Contribution - Pension Plan $31.72 Sub - Total - DCP $28,989.79 GRAND TOTAL - PERA Finance Director Approval Per Journal Entries Difference Fica $ 22,991.16 Medicare $ 6,606.20 Withholding $ 21,583.34 Total $ 51,180.70 $0.00 State Tax Pere DCP Total $ 9,492.52 $0.00 $ 28,973.93 $ 15.86 $ 28,989.79 $0.00 L CJ 0 r� LJ R55APPYRVI CITY OF HUTCHINSON By Check Number AP Payment Register with Voids Check Date 02/08/2006 - Ck Date Type Check # Vendor Name Amount 02/08/2006 PK 134210 ' 101919 AMERICAN FAMILY INS CO. 166.55 02/08/2006 PK 134211 119212 BLOCK FARMS & TRUCKING 6,076.00 02/0812006 PK 134212 101872 H.R.L.A.P.R. 313.25 02/08/2006 PK 134213 122645 HAGERSTOWN METAL FABRICATORS 1,338.80 02/08/2006 PK 134214 102961 HRA 2,300.00 02108/2006 PK 134215 102541 HUTCHINSON TELEPHONE CO 8,314.78 02/08/2006 PK 134216 102633 HUTCHINSON, CITY OF 7,998.49 02/08/2006 PK 134217 102635 HUTCHINSON, CITY OF 722.02 02/08/2006 PK 134218 101873 ICMA RETIREMENT TRUST 3,916.53 02/0812006 PK 134219 101876 ING LIFE & ANN CO. 1,160.00 02/08/2006 PK 134220 122584 MEEDS, SHARON 822.40 02/08/2006 PK 134221 102449 MINNESOTA CHILD SUPPORT PAYMEN 257.03 02108/2006 PK 134222 101947 MINNESOTA DEPT OF LABOR & INDU 1,130.00 02/08/2006 PK 134223 103504 MINNESOTA RURAL WATER ASSC. 250.00 0210812006 PK 134224 102649 MPCA 32.00 02108/2006 PK 134225 102649 MPCA 32.00 02/08/2006 PK 134226 101914 NCPERS LIFE INS. 524.00 02/08/2006 PK 134227 101875 ORCHARD TRUST COMPANY, LLC 300.00 02/08/2006 PK 134228 102445 POSTMASTER 1,260.00 02/08/2006 PK 134229 102096 PRUDENTIAL MUTUAL FUNDS 30.00 02/08/2006 PK 134230 102052 QUALITY WINE & SPIRITS CO. 4,930.79 02108/2006 PK 134231 121176 REINER ENTERPRISES, INC 2,011.40 02/08/2006 PK 134232 103967 SPECIAL OPERATIONS TRAINING AS 1,240.00 02/08/2006 PK 134233 121601 TRI -CAP CONSTRUCTION 1,800.00 46,926.04 Account Nui # 46,926.04 Void Amou 0 0 .9 R55APPYRV CITY OF HUTCHINSON By Check Number AP Payment Register with Voids Check Date 02/14/2006 Ck Date Typ Check # Vendor Name 02/14/2006 PK 134234 102759 AARP 02/14/2006 PK 134235 103789 ABELN, BONNIE 02/14/2006 PK 134236 102126 ACE HARDWARE 02/14/2006 PK 134237 122724 ALLEN, RITA 02/14/2006 PK 134238 101867 AMERICAN WATER WORKS ASSN 02/14/2006 PK 134239 101867 AMERICAN WATER WORKS ASSN 02/14/2006 PK 134240 122653 AMERICAN WATER WORKS ASSOC. 02/14/2006 PK 134241 102430 AMERIPRIDE LINEN & APPAREL 02/14/2006 PK 134242 122661 ANDERSON, BRENT 02/14/2006 PK 134243 105204 ARCTIC GLACIER PREMIUM ICE INC 02/14/2006 PK 134244 111041 ARROW TERMINAL LLC 02/14/2006 PK 134245 102260 ASHBROOK SIMON HARTLEY OPERATI 02/14/2006 PK 134246 121787 B & H PHOTO - VIDEO -PRO AUDIO 02/14/2006 PK 134247 122638 BALLARD, JACOB 02/14/2006 PK 134248 101926 BARR ENGINEERING CO 02/14/2006 PK 134249 101925 BECKER ARENA PRODUCTS 02/14/2006 PK 134250 101916 BERNICK COMPANIES, THE 02/14/2006 PK 134251 117097 BERSCHEID BUILDERS 02/14/2006 PK 134252 120738 BERTELSON'S 02/14/2006 PK 134253 122662 BINSFELD, MELISSA 02/14/2006 PK 134254 122642 BIOCYCLE 02/14/2006 PK 134255 121591 BLADE PHOTO IMAGING & PORTRAIT 02/14/2006 PK 134256 119212 BLOCK FARMS & TRUCKING 02/14/2006 PK 134257 101987 BRANDON TIRE CO 02/14/2006 PK 134258 103349 BRANDT GARMET LETTERING 02/14/2006 PK 134259 102752 BRAUN INTERTEC CORP 02/14/2006 PK 134260 122737 BRENTRICK, INC 02/14/2006 PK 134261 102680 BRUNNER, DOLORES 02/14/2006 PK 134262 102470 BUFFALO CREEK ENTERPRISES 02/14/2006 PK 134263 102888 BURICH, HARRIET 02/14/2006 PK 134264 122639 BURICH, JORDAN 02/14/2006 PK 134265 121089 BUSHMAN, RAQUEL 02/14/2006 PK 134266 102136 BUSINESSWARE SOLUTIONS 02/14/2006 PK 134267 102456 C & L DISTRIBUTING 02/14/2006 PK 134268 104512 CALIFORNIA CONTRACTORS SUPPLIE 02/14/2006 PK 134269 102117 CARQUEST AUTO PARTS 02/14/2006 PK 134270 104391 CENTRAL HYDRAULICS 02/14/2006 PK 134271 102253 CENTRAL MCGOWAN 02/14/2006 PK 134272 121469 CENTRAL MINNESOTA GARAGE DOOR, 02/14/2006 PK 134273 104163 CHIEF SUPPLY CORP 02/14/2006 PK 134274 110865 CHOICEPOINT SERVICES INC 02/14/2006 PK 134275 105423 CINDY'S HOUSE OF FLORAL DESIGN 02/14/2006 PK 134276 121036 CNH CAPITAL AMERICA LLC 02/14/2006 PK 134277 102741 COBORN'S INCORPORATED 02/14/2006 PK 134278 102213 COMMISSIONER OF TRANSPORTATION 02/14/2006 PK 134279 122740 COMPAR, INC 02/14/2006 PK 134280 114585 COPYMED INC 02/14/2006 PK 134281 121750 CORNERSTONE CONTRACTING Amount Void Amou 190.00 122.00 1,137.83 104.00 135.00 135.00 137.00 351.04 89.20 53.56 115.04 72,542.87 18,351.00 81.25 44,728.29 1,432.17 415.90 100.00 856.81 19.27 69.00 12.69 1,960.00 1,737.79 566.04 532.00 79.00 91.00 59.52 94.25 81.25 490.00 613.84 28,192.25 149.40 86.92 1,953.20 133.43 515.19 194.03 174.00 46.50 14,768.12 680.25 26.02 12,513.75 20.45 27,601.30 0 0 0 0 02/14/2006 PK 134282 117879 CORNWELLTOOLS 57.71 02/14/2006 PK 134283 102484 CORPORATE EXPRESS 7,157.44 02/14/2006 PK 134284 103123 CRONATRON WELDING SYSTEMS INC 854.31 02/14/2006 PK 134285 102050 CROW RIVER AUTO 261.28 02/14/2006 PK 134286 102289 CROW RIVER GLASS 200.00 02/14/2006 PK 134287 102220 CROW RIVER PRESS INC 235.72 02/14/2006 PK 134288 104884 CULLIGAN 30.00 02/14/2006 PK 134289 102186 CULLIGAN WATER COND 37.28 02/14/2006 PK 134290 103791 CUMMINS NPOWER, LLC 1,250.25 02/14/2006 PK 134291 122738 CUSTOM DOOR SALES, INC 3,447.42 02/14/2006 PK 134292 102678 DAGGETT, DORIS 94.25 02/1412006 PK 134293 102488 DAY DISTRIBUTING 3,319.65 02/14/2006 PK 134294 119437 DEHN, PETER 60.00 02/14/2006 PK 134295 104571 DELACORE RESOURCES 3,156.25 02/1412006 PK 134296 122647 DEPPERSCHMIDT, BRAD 45.00 02/14/2006 PK 134297 122633 DEPT OF EMPLOYMENT & ECONOMIC 2,030.10 02/14/2006 PK 134298 102698 DEVRIES, RANDY 331.44 02/14/2006 PK 134299 102710 DOMINO'S PIZZA 61.12 02/14/2006 PIK 134300 102393 DON HUME 352.36 02/14/2006 PK 134301 104084 DONOHUE & ASSOC 7,999.50 02/14/2006 PK 134302 122663 DORWEILER, PEGGY 44.08 02/14/2006 PK 134303 102450 DOSTAL ELECTRONIC'S CENTER 1,410.11 02/14/2006 PK 134304 122591 DOUBLE L INC. 487.50 02/14/2006 PK 134305 103024 DRIVERS LICENSE GUIDE CO 26.95 02/14/2006 PK 134306 113181 DROP -N -GO SHIPPING, INC 38.70 02/14/2006 PK 134307 102236 DUININCK BROS INC. 121,637.52 •02/14/2006 PK 134308 102236 DUININCK BROS INC. 13,363.23 02/14/2006 PK 134309 102236 DUININCK BROS INC. 26,472.43 02/14/2006 PK 134310 102647 DYNA SYSTEMS 574.11 02/14/2006 PK 134311 104415 EARTH TECH 94,389.50 02/14/2006 PK 134312 102726 ECOLAB PEST ELIM 51.12 02/14/2006 PK 134313 102354 ECONO FOODS 232.27 02/14/2006 PK 134314 105555 EHLERS & ASSOC 175.00 02/14/2006 PK 134315 102326 ELECTRIC MOTOR CO 70.00 02/14/2006 PK 134316 102356 ELECTRO WATCHMAN 274.77 02/14/2006 PK 134317 102184 ELECTRONIC SERVICING 129.12 02/14/2006 PK 134318 119796 ELLEFSON, TIM 96.00 02/14/2006 PK 134319 117838 ENGWALL, MAXINE 91.00 02/14/2006 PK 134320 122594 EW INGS, BRIAN 80.00 02/14/2006 PK 134321 102223 FARM -RITE EQUIPMENT 2,662.50 02/14/2006 PK 134322 104137 FASTENAL COMPANY 342.33 02/14/2006 PK 134323 105371 FENSKE, BRUCE 60.00 02/14/2006 PK 134324 112383 FIELD, THERESA 52.00 02/14/2006 PK 134325 121017 FIRE MARSHALS ASSOC. OF MN 35.00 02/14/2006 PK 134326 102417 FLEX COMPENSATION INC. 883.00 02/14/2006 PK 134327 113201 FLORIDA GARDEN PRODUCTS, INC 6,691.25 02/14/2006 PK 134328 102443 FRONTLINE PLUS FIRE & RESCUE 149.95 02/14/2006 PK 134329 102526 G & K SERVICES 1,493.43 02/14/2006 PK 134330 101945 GALL'S INC 100.25 02/14/2006 PK 134331 120284 GAVIN, OLSON & WINTERS, LTD 3,000.00 02/14/2006 PK 134332 103340 GEB ELECTRICAL INC 375.00 • 02/14/2006 PK 134333 105021 GENERAL TRADING CO 32.93 0 0 0 02/14/2006 PK 134334 122726 GENESIS ON -SITE RECYCLING, INC 990.00 02/14/2006 PK 134335 122548 GFOA 743.75 02/14/2006 PK 134336 122648 GLASS APPLE & ROD PORTELE ELEC 1,095.00 02/14/2006 PK 134337 102861 GLOBAL EQUIP CO. 444.05 02114/2006 PK 134338 102524 GOVERNMENT TRAINING SERVICE 240.00 02/14/2006 PK 134339 101874 GRIGGS & COOPER & CO 16,650.90 02/14/2006 PK 134340 101888 GRINA, LISA 29.99 02/14/2006 PK 134341 102025 H &L MESABI 1,996.34 02/14/2006 PK 134342 115234 HAAS, ANNELLA 91.00 02/14/2006 PK 134343 115231 HAAS, ROMAN 91.00 02/14/2006 PK 134344 122664 HAMMOND, MICHELLE 68.92 02/14/2006 PK 134345 103179 HANSEN DEMOLITION LANDFILL 16.00 02/14/2006 PK 134346 102451 HANSEN DIST OF SLEEPY EYE 1,720.00 02/14/2006 PK 134347 102089 HANSEN GRAVEL 280.00 02/14/2006 PK 134348 104797 HANTGE- SCHMIT, MARSHA 340.00 02/14/2006 PK 134349 105459 HASSINGER, JOHN 94.25 02/14/2006 PK 134350 122654 HEINTZ INC. 665.63 02/14/2006 PK 134351 103240 HEMMAH, KATHY 22.75 02/14/2006 PK 134352 103059 HEMMAH, LLOYD 132.00 02/14/2006 PK 134353 102701 HENRY'S WATERWORKS INC 3,732.85 02/14/2006 PK 134354 102531 HENRYS FOODS INC 897.56 02/14/2006 PK 134355 102518 HILLYARD FLOOR CARE/HUTCHINSON 427.30 02/14/2006 PK 134356 122725 HOLIDAY INN SELECT & SUITES 99.88 02/14/2006 PK 134357 102770 HUTCH SEW & VAC 14.86 02/14/2006 PK " 134358 102363 HUTCH SPORT SHOP 574.85 02/14/2006 PK 134359 102139 HUTCHINSON AREA CHAMBER OF COM 90.00 02/14/2006 PK 134360 102319 HUTCHINSON AREA HEALTH CARE 1,821.00 02/14/2006 PK 134361 102530 HUTCHINSON CO -OP 2,548.30 02/1412006 PK 134362 102533 HUTCHINSON CONVENTION & VISITO 4,777.53 02/14/2006 PK 134363 115652 HUTCHINSON EVENT CENTER 32.25 02/14/2006 PK. 134364 102537 HUTCHINSON LEADER 2,458.10 02/14/2006 PK 134365 102538 HUTCHINSON MEDICAL CENTER 749.00 02/14/2006 PK 134366 102540 HUTCHINSON PLUMBING & HEATING 1,062.13 02/14/2006 PK 134367 102541 HUTCHINSON TELEPHONE CO 542.19 02/14/2006 PK _ 134368 105161 HUTCHINSON UTILITIES 106,002.50 02/14/2006 PK 134369 105515 HUTCHINSON UTILITIES 2,751.30 02/14/2006 PK 134370 102038 HUTCHINSON, CITY OF 165,000.00 02/14/2006 PK 134371 102072 HUTCHINSON, CITY OF 29,661.00 02114/2006 PK 134372 102633 HUTCHINSON, CITY OF 70,864.50 02/14 /2006 PK 134373 102635 HUTCHINSON, CITY OF 6,448.44 02/14/2006 PK 134374 103099 HUTCHINSON, CITY OF 798.69 02/14/2006 PK 134375 103246 HUTCHINSON, CITY OF 8,050.78 02/14/2006 PK 134376 105160 HUTCHINSON, CITY OF 11,400.32 02/14/2006 PK 134377 103079 ICE SKATING INSTITUTE OF AMERI 25.00 02/14/2006 PK 134378 122655 INTERNATIONAL CITY /COUNTY MANA 1,200.00 02/14/2006 PK 134379 103520 INTERSTATE BATTERY SYSTEMS OF 143.67 02/14/2006 PK 134380 102062 JACK'S UNIFORMS & EQUIPMENT 237.74 02/14/2006 PK 134381 121990 JAY'MALONE MOTORS 263.45 02/14/2006 PK 134382 115855 JEFF MEEHAN SALES INC. 539.38 02/14/2006 PK 134383 102208 JEFF'S ELECTRIC 6,419.90 02/14/2006 PK 134384 102154 JENSEN, ROXANNE 91.00 • 02/14/2006 PK 134385 102554 JERABEK MACHINE SERV 200.46 02/14/2006 PK 02/14/2006 PK 134386 134387 102556 JOES SPORT SHOP 101938 JOHNSON BROTHERS LIQUOR CO. 242.82 8,905.96 02/14/2006 PK 134388 105325 JOHNSON, DORIS 105.13 02/14/2006 PK 134389 102045 JOHNSON, DOUGLAS 1,255.15 02/14/2006 PK 134390 122640 JOHNSON, RALPH 148.00 02/14/2006 PK 134391 122641 JULIUS, MASON 91.00 02/14/2006 PK 134392 102555 JUUL CONTRACTING CO 2,301.50 02/14/2006 PK 134393 122656 KABLE, CONNIE 20.00 02/14/2006 PK 134394 105116 KHC CONSTRUCTION 17,556.90 02/14/2006 PK 134395 102466 KKLN 1,000.00 02/14/2006 PK 134396 103114 KLOSS, TOM 57.53 02/14/2006 PK 134397 102679 KNIGGE, DARLEEN 105.13 02/14/2006 PK 134398 103930 KNOWLEDGE POINT 2,603.50 02/14/2006 PK 134399 122649 KOEPP, JUDI 25.00 02/14/2006 PK 134400 120122 KOSEK, JEFF 228.00 02/14/2006 PK 134401 105697 KQIC -Q102 396.25 02/14/2006 PK 134402 104413 KRIS ENGINEERING 2,183.25 02/14/2006 PK 134403 102561 L & P SUPPLY CO 4,104.74 02/14/2006 PK 134404 122665 LAKE, NATHAN 65.32 02/14/2006 PK 134405 105525 LANO EQUIPMENT OF NORWOOD 653.01 02/14/2006 PK 134406 102563 LEAGUE OF MN CITIES 190.00 02/14/2006 PK 134407 122172 LEE, JEREMY 288.00 02/14/2006 PK 134408 120903 LEXISNEXIS 110.00 02/14/2006 PK 134409 109797 LINDER, PAUL 28.00 02/14/2006 PK 134410 120947 LINKO DATA SYSTEMS, INC 650.00 .02/14/2006 PK 134411 101984 LOCHER BROTHERS INC 17,344.60 .02/14/2006 PK 134412 121463 LYNDE & MCLEOD INC 3,234.00 02/14/2006 PK 134413 102145 M -R SIGN 28.73 02/14/2006 PK 134414 120802 M. AMUNDSON LLP 195.21 02/14/2006 PK 134415 102571 MACQUEEN EQUIP INC 2,086.78 02/14/2006 PK 134416 120127 MANEY INTERNATIONAL INC 171.86 02/14/2006 PK 134417 102093 MANKATO MACK SALES 1,627.58 02/14/2006 PK 134418 102572 MANKATO MOBILE RADIO 1,367.82 02/14/2006 PK 134419 117000 MARIPOSA PUBLISHING 109.32 02/14/2006 PK 134420 122666 MAUNU, JOHN 55.32 02/14/2006 PK 134421 122599 MAURER, MOLLY 39.00 02/14/2006 PK 134422 122729 MBPTA 50.00 02/14/2006 PK 134423 104789 MCGRAW -HILL CONSTRUCTION 49.00 02/14/2006 PK 134424 120468 MCLEOD COUNTY CHIEFS ASSOC 100.00 02/14/2006 PK 134425 116417 MCLEOD COUNTY HISTORICAL SOCIE 75.12 02/14/2006 PK 134426 103046 MCLEOD COUNTY RECORDER 100.00 02/14/2006 PK 134427 113893 MCLEOD COUNTY TREASURER 93.60 02/14/2006 PK 134428 118072 MCLEOD COUNTY TREASURER 2,300.00 02/14/2006 PK 134429 120535 MCPA 40.00 02/14/2006 PK 134430 104297 MCRAITH, CALLEIGH 108.50 02/1412006 PK 134431 122584 MEEDS, SHARON 225.00 02/14/2006 PK 134432 112400 MENARDS - HUTCHINSON 1,169.82 02/14/2006 PK 134433 119912 MIELKE, AARON 332.00 02/14/2006 PK 134434 119858 MINNEAPOLIS, CITY OF 279.13 02/14/2006 PK 134435 119345 MINNESOTA CHAMBER BUSINESS SER 1,062.16 02/14/2006 PK 134436 102668 MINNESOTA CHAPTER IAAI 195.00 • 02/14/2006 PK 134437 114439 MINNESOTA COUNTY ATTORNEY ASSN 37.28 02/14/2006 PK 134438 101992 MINNESOTA DEPT OF HEALTH 32.00 02/14/2006 PK 134439 101992 MINNESOTA DEPT OF HEALTH 32.00 02/14/2006 PK 134440 101947 MINNESOTA DEPT OF LABOR & INDU 20.00 02/14/2006 PK 134441 101947 MINNESOTA DEPT OF LABOR & INDU 122.85 02114/2006 PK 134442 101947 MINNESOTA DEPT OF LABOR & INDU 193.38 02/14/2006 PK 134443 101947 MINNESOTA DEPT OF LABOR & INDU 10.00 02/14/2006 PK 134444 101947 MINNESOTA DEPT OF LABOR & INDU 10.00 02/14/2006 PK 134445 101947 MINNESOTA DEPT OF LABOR & INDU 20.00 02/14/2006 PK 134446 101826 MINNESOTA DEPT OF NATURAL RESO 361.00 02/14/2006 PK 134447 102582 MINNESOTA ELEVATOR INC 99.63 02/14/2006 PK 134448 121937 MINNESOTA OFFICE OF ENTERPRISE 37.00 02/14/2006 PK 134449 105157 MINNESOTA SHREDDING 55.95 02/14/2006 PK 134450 122634 MINNESOTA SOCIETY OF ARBORICUL 99.00 02/14/2006 PK 134451 102583 MINNESOTA VALLEY TESTING LAB 780.75 02/14/2006 PK 134452 110499 MINNESOTA WEIGHTS & MEASURES 230.00 02/14/2006 PK 134453 104454 MINNESOTA'S BOOKSTORE 34.03 02/14/2006 PK 134454 102840 MN TRANSPORTATION ALLIANCE 240.00 02/14/2006 PK 134455 102655. MODERN MAZDA 110.00 02/14/2006 PK 134456 102649 MPCA 270.00 02/14/2006 PK 134457 102649 MPCA 302.00 02/14/2006 PK 134458 102649 MPCA 270.00 02/14/2006 PK 134459 102590 NALCO CHEMICAL CO. 7,147.95 02/14/2006 PK 134460 118643 NAPA AUTO PARTS 49.39 02/14/2006 PK 134461 122667 NEMITZ, CAROL 25.78 02/1412006 PK 134462 103014 NORTHERN BUSINESS PRODUCTS 430.82 02/14/2006 PK 134463 102591 NORTHERN STATES SUPPLY INC 389.35 02/14/2006 PK 134464 119452 NORTHLAND CHEMICAL CORP 501.95 02/14/2006 PK 134465 122214 O'REILLY AUTO PARTS 382.98 02/14/2006 PK 134466 119358 OFFICE OF ENTERPRISE TECHNOLOG 172.28 02/14/2006 PK 134467 122-668 OLMSCHEID, NIKI 58.12 02/14/2006 PK 134468 102155 OLSEN CHAIN & CABLE CO. 684.88 02/14/2006 PK 134469 102592 OLSON'S LOCKSMITH 930.30 02/14/2006 PK 134470 120790 ONE CALL CONCEPTS, INC 41.85 02/14/2006 PK 134471 102483 OTTO ASSOCIATES 152.50 02114/2006 PK 134472 108859 PARTS ASSOCIATES INC 251.56 02/14/2006 PK 134473 101932 PELLINEN LAND SURVEYING 958.40 02/14/2006 PK 134474 122672 PET WASH 40.66 02/1412006 PK 134475 101853 PHILLIPS WINE & SPIRITS 5,879.85 02/14/2006 PK 134476 122739 PINE GROVE SOFTWARE 69.95 02/14/2006 PK 134477 102593 PLOTZ, GARY D. 191.97 02/14/2006 PK 134478 120550 PRELLW ITZ, CATHY 91.00 02/14/2006 PK 134479 102899 PRIEVE LANDSCAPING 51.06 02/14/2006 PK 134480 122657 PRIORITY 1 LIFE SAFETY 424.50 02/14/2006 PK 134481 114391 PRO AUTO & TRANSMISSION REPAIR 462.92 02/14/2006 PK 134482 122741 PUBLIC STRATEGIES GROUP, THE 2,000.00 02/14/2006 PK 134483 102598 QUADE ELECTRIC 334.96 02/14/2006 PK 134484 102052 QUALITY WINE & SPIRITS CO. 6,413.45 02/14/2006 PK 134485 104357 QUINLAN PUBLISHING 156.81 02/14/2006 PK 134486 102604 R & R SPECIALTIES INC 149.00 02/14/2006 PK 134487 102424 RADIO SHACK 44.89 02/14/2006 PK 134488 122601 RECIO, SHEILA 110.50 02/14/2006 PK 134489 122669 REILEIN, JAMIE 6.63 •02/14/2006 02/14/2006 PK PK 134490 134491 121176 REINER ENTERPRISES, INC 122670 REINER, HENRY 1,292.68 44.52 r� 02/14/2006 PK 134492 114011 REINER, LORETTA 49.00 02/14/2006 PK 134493 120595 REMPLE, MELANIE 50.00 02/14/2006 PK 134494 105266 RESERVE ACCOUNT 1,473.00 02/14/2006 PK 134495 104149 RIVER VALLEY TRUCK CENTERS 120.38 02/14/2006 PK 134496 121677 RUCKS, CAMERON D. 1,916.15 02/14/2006 PK 134497 119208 RUNKE, DOREEN 280.00 02/14/2006 PK 134498 102225 RUNNING'S SUPPLY 699.94 02/14/2006 PK 134499 105081 RUTLEDGE, LENNY 208.18 02/14/2006 PK 134500 120907 SALTMAN LLC 47.93 02/1412006 PK 134501 102436 SARA LEE COFFEE & TEA 293.06 02/14/2006 PK 134502 122671 SCHMANDT, HAZEL 27.11 02/14/2006 PK 134503 102606 SCHMELING OIL CO 102.32 02/14/2006 PK 134504 101940 SCHNOBRICH, MARK 80.00 02/14/2006 PK 134505 120546 SCHROEDER, DENNIS 94.25 02/14/2006 PK 134506 102858 SCHUMANN, CAROLYN A. 101.50 02/14/2006 PK 134507 109801 SCOTT'S WINDOW CLEANING SERVIC 63.90 02/14/2006 PK 134508 102682 SEALE, PEARL 94.25 02/14/2006 PK 134509 112355 SEBORA, MARC 533.87 02/14/2006 PK 134510 101892 SEH 5,038.62 02/14/2006 PK 134511 115821 SEPPELT, MILES 151.07 02/14/2006 PK 134512 102605 SEWING BASKET 23.70 02/14/2006 PK 134513 101910 SHARE CORP 367.25 02/14/2006 PK 134514 102719 SHAW, KAREN 80.00 S02/14/2006 02114/2006 PK PK 134515 134516 102609 SHOPKO 122650 SKROVE, THERESA 134.69 45.00 02/14/2006 PK 134517 102204 SOIL CONTROL LAB 300.00 02/14/2006 PK 134518 102747 ST. JOSEPH'S EQUIPMENT INC 344.68 02/14/2006 PK 134519 122404 STAN MORGAN & ASSOCIATES 664.51 02/14/2006 PK 134520 102612 STANDARD PRINTING 26.63 02/14/2006 PK 134521 102584 STAR TRIBUNE 27.95 02114/2006 PK 134522 122382 STAR TRIBUNE 110.70 02/14/2006 PK 134523 122730 STATE BANK OF COKATO 3,586.51 02/14/2006 PK 134524 118862 STRATEGIC EQUIPMENT 956.59 02/14/2006 PK 134525 103094 SUBWAY 100.88 02/14/2006 PK 134526 120795 SUPER GROUP PACKAGING & DISTRI 36,081.65 02/14/2006 PK 134527 103220 SWANSON, MARILYN M. 70.74 02/14/2006 PK 134528 119409 THODE, MANDY 61.32 02/14/2006 PK 134529 105540 TONY FORCIER TRUCKING 399.00 02/14/2006 PK 134530 102618 TOWN & COUNTRY TIRE 66.00 02/14/2006 PK 134531 120205 TRANSPORTATION SAFETY APPAREL 128.95 02/14/2006 PK 134532 102620 TRI CO WATER 241.92 02/14/2006 PK 134533 102447 TRICOUNTY ELECTRIC MOTOR SERVI 703.40 02/14/2006 PK 134534 102619 TWO WAY COMM INC 1,143.18 02/14/2006 PK 134535 102624 UNITED BUILDING CENTERS 725.02 02/14/2006 PK 134536 102625 UNITED LABORATORIES 251.00 02/1412006 PK 134537 120919 UNIVERSITY OF MINNESOTA 75.00 02/14/2006 PK 134538 120919 UNIVERSITY OF MINNESOTA 75.00 02/14/2006 PK 134539 119701 UNUM LIFE INS COMPANY OF AMERI 2,826.68 • 02/14/2006 PK 02/14/2006 PK 134540 134541 103210 USA BLUE BOOK 102069 VESSCO INC 722.40 185.71 02/14/2006 PK 134542 101974 VIKING BEER 7,904.50 02/14/2006 PK 134543 102132 VIKING COCA COLA 461.60 02/14/2006 PK 134544 101857 VIKING OFFICE PRODUCTS 63.93 02/14/2006 PK 134545 102630 VIKING SIGNS 69.23 02/14/2006 PK 134546 104709 VIVID IMAGE 125.00 02/14/2006 PK 134547 121147 VSS- VERTECH SOLUTIONS & SERVIC 63.85 02/14/2006 PK 134548 105064 WASTE MANAGEMENT- SPRUCE RIDGE 574.51 02/14/2006 PK 134549 120852 WASTE MANAGEMENT -TC WEST 1,215.26 02/14/2006 PK 134550 122287 WATCHGUARD VIDEO 10,479.60 02/14/2006 PK 134551 122651 WEGNER, WILLIAM 94.25 02/14/2006 PK 134552 102929 WEIS, MARK 168.00 02/14/2006 PK 134553 103870 WEST GROUP 676.53 02/14/2006 PK 134554 122652 WHOLESALE TIRE 117.31 02/14/2006 PK 134555 105208 WOLD ARCHITECTS & ENGINEERS 13,179.60 02/14/2006 PK 134556 102632 XEROX CORP 2,506.29 02/14/2006 PK 134557 111194 ZAJICEK, LORRAINE 11.00 1,205,603.18 Account Number 1,205,603.18 R