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cp06-24-2003 cAGENDA REGULAR MEETING - HUTCHINSON CITY COUNCIL TUESDAY, diJNE 24, 2003 1. CALL TO ORDER -- 5:30 P.M. 2. INVOCATION -- Rcv. Howard Anderson, Hunter's Ridge Community Church 3. PLF,DGE OF ALLEGIANCE. 4. MINUTES (a) REGULAR MEETING OF JUNE 10, 2003 Aclion -Motion to approve as prescntcd 5. CONSENT AGENDA (a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS 1. PIONEERLAND LIBRARY SYSTEM BOARD MIN[JTES FROM APRIL 24, 2003 2. CITY OF HUTCHINSON FINANCIAL REPORT FOR MAY 2003 3. CITY OF HUTCHINSON INVESTMENT REPORT FOR MAY 2003 4. WATER/SEWER/COMPOST FINANCIAL REPORT FOR MAY 2003 5. PLANNING COMMISSION MINUTES FROM MAY 20, 2003 6. HUTCHINSON HOUSING & REDEVELOPMENT AUTHORITY BOARD MINUTES FROM MAY 20, 2003 7. HUTCFIINSON AREA HEALTH CARE BOARD MINU'T'ES FROM MAY 20, 2003 (b) RESOLUTIONS AND ORDINANCES 1. ORDINANCE N0.03-343 - AN ORDINANCE QUIT CLAIMIfVG ANY INTEREST THE CITY OF HUTCHINSON MAY HAVE IN REAL ESTATE LOCATED AT 964 JEFFERSDN STREET SE IN THE CITY OF HUTCHINSON (SF.C~ND READING AND ADpPTION) (c) PLANNING COMMISSION ITEMS ] . CONSIDERATION OF A CONDITIONAL USE PERMIT REQUESTED BY BRIAN PONATH TO CONSTRUCT A THREE-PLEX DWELLING LOCATED AT 446 PROSPECT STREET NE WITH STAFF RECOMMENDATION AND FAVORABLE RECOMMENDATION (ADOPT RESOLUTION NO. 12202) 2. CONSIDERATION OF A VARIANCE REQUESTED $Y KERRY KRUEGER TO REDUCE DRIVEWAY SETBACK TO 0 FEET FR M THE LOT LINE LOCATED AT 545 ERIE STREET SE WITH STAFF RECOMMENDATION AND FAVORABLE RECOMMENDATON (ADOPT RESOLUTION ND. 12203) 3. CONSIDERATION OF A VARIANCE REQUESTED $Y CARSON BUILDERS TO REDUCE SHORELAND SETBACK FROM 50 FEET TO 40 FEET TO REMOVE EXISTING NON- CONFORMING DECK AND REPLACE W1TII ATHREE-SEASON PORCI3 LOCATED AT CITY COUNCIL AGENDA -JUNE 24, 2003 326 SCHOOL ROAD SW WITH STAFF RECOMMENDATION AND FAVORABLE RECOMMENDATION (ADOPT RESOLUTION NO. 12204) 4. CONSIDERATION OF VACATION OF EASEMENTS REQUESTED BY BRUCE NAUSTDAL TO VACATE DRAINAGE AND UTILITY EASEMENTS LOCATED ALONG THE SOUTHERLY PROPERTY LINE OF LOT 10, BLOCK 2, FIl25T ADDITION TO RAVENWOOD WITII STAFF RECOMMENDATION AND FAVORABLE RECOMMENDATION (WAIVE FIRST READING AND SET SECOND READING AND ADOPTION pF pRDINANCE ND. 03-345 Tp JULY 8, 1003) 5. CONSIDERATION OF VACATION OF EASEMENTS REQUESTED BY JEFF BULAU TO REDUCE A TEN FOOT EASEMENT TO SiX FEET ALONG THE EASTERLY PROPERTY LINE OF LOT 3, BLOCK 1, FOURTH ADDITION TO LAKEWOOD TERRACE WITH STAFF RECOMMENDATION AND FAVORABLE RECOMMENDATION (WAIVEFIRST READING AND SET SECOND READING AND ADOPTION pF ORDINANCE NU. 03-346 Tp .IULY 8, 2003) (d) LETTING NO. 5, PROJECT NOS. 03-12, 03-19 (EDMONTON AVENUE SE/TH 7 FRONTAGE ROAD -- WENDY'S) -APPROVING PLANS AND SPECIFICATIONS AND ORDERING ADVERTISEMENT FOR BLDS (e) LETTING NO. 13, PROJECT NDS. 03-15, 03-23 (ROLLING MEADOWS POND/GROVE STREET DRAINAGE) -ORDERING PREPARATION QF REPORT ON TMFROVEMENT AND RECENING REPORT AND CALLING HEARING ON IMPROVEMENT (f) CONSIDERATION FOR APPROVAL OF~~ZEQUESTS FROM THE HUTCHINSON AREA CHAMBER OF COMMERCE FOR THE 29 ANNUAL ARTS AND CRAFTS FESTNAL TO BE HELD ON SEPTEMBER 12 - 13, 2003 (g) WALKING FLOOR TRAII ERSOFOR COOMPOSTORIZINGRDVERTISEMENT FOR BIAS FOR (h) CONSIDERATION FOR APPROVAL OF VFW POST 906 STATE GAMBLING PREMISES PERMIT RENEWAL APPLICATION (i) CONSIDERATION FOR APPROVAL OFSHORT-T'ERMNON-INTOXICATING MALT LIQUOR LICENSE FOR RC PROMOTIONS AT MCLEDD COUNTY FAIRGROUNDS ON 7ULY 19, 2003 (j) CONSIDERATION FOR APPROVAL OF OUT-OF-STATE TRAVEL FOR FOUR CITY STAFF MEMBERS AND TWO COUNCILMEMBERS TO CHELSEA, MICHIGAN, TO TOUR WATER TREATMENT PLANTS ON JULY 23, 2003 Aciion -Motion to apprgve conscnt agenda 6. PUBLIC HEARINGS - 6:00 P.M. 7. COMMUNICATIONS RE VESTS ANb PETITIONS 8. UNFINISHEA BU51NE55 9. NEW BUSINESS (a) REVIEW OF 2002 ANNUAL FINANCIAL REPORT BY ADBO, EICK & MYERS No action 2 CITY COUNCIL AGENDA -- TUNE 24, 2003 (h) CONSIDERATION FOR APPROVAL OF REQUESTS BY HUTCHINSON AREA HEALTH CARE -TWO CAPTI'AL EXPENDITURES - CHANGES TO MEMBER CONTROL AGREEMENT BETWEEN HAHC AND HMC - AUTHORITY TO PROCEED WITH A PARTNERSHIP RELATIONSHIP WITH PRESBYTERIAN HOMES FOR SEN10R CARE SERVICF,S Action -Motion to reject - Molion to approve 10. MISCELLANEOiiS (a) COMMUNICATIONS 11. CLAIMS, APPROPRIATIONS. AND CONTRACT PAYMENTS (a) VERIFIED CLAIMS A Aclion -Motion to approve and authorize payment of Verified Claims A from appropriate funds 12. AD.IDURN MINUTES REGULAR MEETING - HUTCHINSON CITY COUNCIL TUESDAY, NNE 10, 2003 1. CALL TO ORDER - 5:30 P.M. Mayor ar m Torgerson ca c e meeting to order. Members present were Jim Haugen ,Kay Peterson, Bill Arndt and Duane Hoversten. Others present were Gary Plotz, City Administrator, Marc Sebora, Crty Attorney and john Rodeberg, Director of EnginecringfPublic Works. 2. INVOCATION -Rev. Howard Anderson, Iiunter's Ridge Community Church, delivered the invocation. 3. PLEDGE OF ALLEGIANCE 4. MINUTES (a) REGULAR MEETING OF MAY 27, 2003 (b) SID OPENING FROM MAY 23, 2003 (c) SPECIAL MEETING FROM MAY 29, 2003 Minutes were approved as presented. 5. CONSENT AGENDA (a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS • 1. HUTCHINSON FIRE DEPARTMENT MONTHLY REPORT FOR MAY 2003 2. BUILDING DEPARTMENT MONTHLY REPORT FOR MAY 2D03 3. HUTCHINSON AREA HEALTH CARE FINANCIAL REPORTS FOR FEBRUARY, MARCH AND APRIL, 2003 4. fIUTCHINSON UTILTIES COMMIS510N FINANCIAL REPORTS FOR FEBRUARY, MARCH AND APRIL 2003 (b) RESOLUTIONS AND ORDINANCES 1. ORDNANCE NO.03-339 - AN ORDINANCE AM1;NDiNG THE OFFICIAL ZDNING MAP OF THE CITY OF HUTCH]NSON FOR A PROPERTY TO BE REZONED FROM R] AND C2 TO R2 LOCATED AT UUTL01' A, RAVENWOOD (SECaND READINGANI7ADOPTION) 2, RESOLUTION NO. 12195 -RESOLUTION APPROVING WASTE WISE INTERNSHIP POSITION AT CREEKSIDE COMPOST FACLLITY 3. RESOLUTION NO. I219fi -- RESOLUTION AUTHORIZING THE HUTCHINSON COMMUNITY DEVELOPMENT COMMISSION TO WAIVE.. DEVELOPER'S FEE (c) CONSIDERATION FOR APPROVAL OF C1iANGE ORDER NO. 1 FOR LETTING Np. 2, PROJECT NO. 02-03 (d) CONSIDERATION FUR APPROVAL OF EMPLOYMENT AGREEMENT DOCUMENT FOR EIIA INTERIM DIILECTOR POSTTION (c) CONSIDERATION FOR APPROVAL OF AMENDING RF'SOLUTION NO. 11527, SUPPORTING ~~ ~0.~ CITY COUNCIL MINUTES - IUNE 10, 2003 THE HRA TO BECOME AN ORGINATING LENDER FOR THE FD{-UP FUND LOAN PROGRAM, AND REQUEST FOR APPROVAL OF REVISED HOUSING REHABILITATION REVOLVING LOAN FUND GUIDELINES AND REQUEST FOR APPROVAL OF AMENDING RESOLUTION 10581 RELATED TO THE AUTHORIZATION TO ADMINISTER CITY HOUSING FUNDS (f) CONSIDERATION FOR APPROVAL OF CITY PARTICIPATION IN THE ROLLING MEADOWS EAST DEVELOPMENT Item 5(b)2 was pulled for further discussion. Kay Peterson noted that at the McLeod County Solid Waste Advisory Committee meeting it was clarified that this is not an internship position. Gary Plotz stated that the State of Minnesota has a program to employ individuals to research waste programs. Mr. Plotz verified chat this is not an internship program, however Ed Homan, Solid Waste Director, had requested that this resolution be drafted to start the process. The resolution will be rewarded to appropriately identify the position and will be presented to S WAC. Motion by Peterson, second by Haugen, to approve consent agenda. Motion carried unanimously. 6. PUBLIC HEARINGS - 6:00 P.M. (a) UPDATING $USINESS SUBSIDIES CRITERIA POLICY Miles Seppelt, EDA Director, presented before the Council. Mr. Seppclt explained that State . Legislature has required that Cities adopt criteria in which they award subsidies to businesses. The State also requues that cities have specific cniena with quantifiable numbers included. Mr. Seppelt explained the criteria establi shed for the City of Hutchinson providing assistance to businesses. The policy includes retaining flexibility for providing assistance. Motion by Haugen, second by Peterson, to close public hearing. Motion carried unanimously. Motion by Haugen, second by Hoversten, to approve business subsidies criteria policy. Motion carried unanimously. 7. COMMUNICATIONS RF. UESTS AND PETITIONS (a) Tom Kloss, Information Technologgy Director, demonstrated features of the new City of Hutchinson web site. The web site has been rehudt to be more efficient and customer-friendly. 8. UNFINISHED BUSINESS (a) CONSIDERATION FOR APPROVAI. OF ESTABLISHING LOCATION FOR TRAFFIC CONTROL DEVICES .Tohn Rodeberg noted that at the last Council meeting this item was deferred so that notification could be given to the residents in the effected areas. A revased resolution has been submitted to remove the items that may be controversial. "Those traffic control devices will be presented For approval when communication has been able to be distributed. Motion byHoversten, second by Peterson, to approve Resolution No. 12183 establishing location Cor traffic control devices. Motion carried unanimously. (b) CONSIDERATION FOR APPROVAL OF TEMPORARY SIGN REQUEST BY HUTCHINSON ~~~0.~ CITY COUNCIL MINUTES -JUNE 10, 2003 AREA UNITED WAY Marc Sebora, City Attorney, informed the Counci] that he had reviewed the request from the United Way. Mr. Sebora suggested that a franchise agreement be entered into for this temporary sign proj ect. Mr. Sebora recommended that this item be deferred to the next meeting as to allow him time to discuss with United Way and draft a franchise agreement. Motion by Amdt, second by Haugcn, to defer this item to the June 24, 2003, Council meeting. Motion carried unanimously. (c) CONSIDERATION FOR APPROVAL OF ARCHTTECT SERVICES CONTRACT FOR LIQUOR STORE Miles Seppelt, EDA Director, explained that this agreement was presented at the last Council meeting however the City Attorney had not had an opportunity to review A. Changes have been made to the contract and one other piece that needs to be added is a not to exceed level. Mr. Seppelt requested that this item be deferred to the June 24, 2003, Council meeting to include this language. Motion by Arndt, second by Haugcn, to table this item to the .tune 24, 2003, Council meeting. Motion carried unanimously. ). NEW BUSINESS (a) UPDATE ON CONCEAL AND CARRY LAW Marc Sebora, City Attorney, reviewed the Conceal and Carry Law that was approved by Minnesota Legislature. Mr. Sebora stated that this law effects city employees by restricting their ability to cant' guns during their employment. Mr. Sebora recommended that a policy be drafted to address this issue. The other way rt effects the Crty is allowing guns on city pproperty. City entities do not have the ability • to ban gams from city property, which may also include the crty-owned hospital. This raises a serious issue for Hutchinson. Marlin Torgerson noted that he would like to schedule a meeting with Police Commission members, Lt. Erlandson and Marc Sebora to discuss challenging the law which prohibits cities from not being able to ban guns from certain city-owned buildings. (b) UPDATE ON CITY OF IIUTCHINSON 2003 BUDGET Ken Merrill, Finance Director, presented before the Council. Mr. Merrill explained that city staffhas revised the 2003 budget in response to the State budget reductions. The City of Hutchinson's reduction from the stale will total approximately $641,000 for FY 2003 and FY 2004, which is lower than initially brought forth by the Governor's office. The City's plan in response to the State's budget deficit included freezing employee wagges, freezing capital expenditures, not hirng new employees and downsizing staff levels. Mr. Merrill continued to explain that a new LGA formula has been established for 2004. Mr. Merrill explained the State's allowance of le limits. Mr. Merrill reviewed the departments that have reduced their budgets and how they have done so. The annualized total reduction for 2004 is approximately $1.1 mtllron. The revised City plan that Directors developed includes removing the freeze on performance pay, capital expenditures and removing the freeze of hiring new employees for 2003 as $774,000 has been reduced from the 2003 general fund budget. Severance and retirement employee payments in 2003 will come from the general fund balance. (c) CONSIDERATION FOR APPROVAL OF SE'T'TING 2002 AUDIT REVIEW INFORMATIONAL MEETING Ken Merrill, Finance Director, explained that the City's auditors will have a completed report by June 24, 2003, and would like to review the audit with the City Council. 3 ~~ ~~~ C1T'Y COUNCIL MINUTES - J[ THE l0, 2003 Motion by Peterson, second by Hoversten, to approve setting 2002 audit review informational meeting for June 24, 2003, at 4:00 p.nr. Motion carried unanimously. 10. MISCF.LLANEOT.TS (a) COMMUNICATIONS 1. DISCUSSION ON EXTENSION OF BAR/RESTAURANT CLOSING HOURS Marc Sebora, Cily Attorney, noted that the State Legislature has passed a law to extend bar hours to 2:D0 a.m. and gives the City the authority to extend the hours locally as well. Ivlr. Sebora noted that the change in the law takes effect July 1, 2003. Mr. Sebora wanted to bung it to the Council's attention. Mr. Sebora also informed the Council that back in 1954 an individual deeded some properly on Jefferson Street to the City of Hutchinson for a street easement. The City has not found a need for services on this property, therefore the City would like to dispose of the land. City Charter requires that this type of procedure be passed by ordinance. Motion by Peterson, second by Arndt, to set second reading of Ordinance 03-343 for June 24, 2003. Motion carried unanimously. Gary Plotx -- Mr. Plotz asked Ken Merrill to present afour-month report on the compost site sales activity. Sales have been very good at the comppost site for the first four months of the year. Mr. Merrill noted that approximately $130,000 has keen received in sales at the compost site. Mr. Plotz also noted that a fire occurred while the horizontal grinder was being operated. The grinder is insured and the fire is being investigated by the League ofMinnesota Cities. The grinder has been . replaced by the City's insurance coverage. Mr. Plotz also informed the Council that the City of Hutchinson was awarded afive-year contract to haul the City of Minneapolis's organic material, or leaves specifically. The City of Hutchinson will be paid a maximum of $750,000 per year to haul this material. livwever, a large portion of this payment will be going to the hauling of the material and the storing of the material. In add~t~on, Wright County has a facility available that the City of Hutchinson may cable to process the material in. Mr. Plots also informed the Council that Norm Coleman's office will be in the City tomorrow morning, and will be holding a meet and greet in the Council Chambers at 8:30 a.m. 11~Iarlin Tvrgerson - Mayor Torgerson commended Mr. Plotz on his hard work in achieving the goals of the compost site. John Rodeberg - Mr. Rodeberg noted that the Dale/2ndAvenue project is going very well and is on schedule. Mr. Rodeberg noted that the Ieffersvn Street project is progressing and gravel should be placed next week. Mr. Rodeberg stated chat drainage rn the Northwoods neighborhood is being addressed. 1 ] .CLA1M5 APPROPRIATIONS AND CONTRACT PAY1VIElVTS (a) VERTI'fED CLAIMS A Motion by Peterson, second by Haugen, with I3oversten abstaining, to approve and authorize payment of Verified Claims A from appropriate funds (b) VERIFIED CLAIM B Motion by Peterson, second by Hoversten, to approve and authorise payment of Verified Claims A from appropriate funds 4 `~+ ~~~ CITY COuNCll, MINiJTES -JUNE 10, 2003 12. ADJOURN With no further business to discuss, the meeting adjourned at 6:50 p.m. 5 ~~ ~ ~~ IV. PIONEERLAND LIBRARY SYSTIaM Ok'FTCIAL PROCEEDINGS MINUTES OF THE BOARD MEETING THURSDAY, APRII, 24, 2003 AT 7:30 P_M. Pursuant to due call and notice thereof, a regular meeting of the Pimeerland Library System Board was called to order at 7:20 p.m. by Chair john Baker on Thursday, April 24, 2003 at the Farmer's Daughter, 915 E. US Highway l2, Willmar, MN. Roll call was taken and a quorum was announced by the Secretary. Chair Baker opened the meeting with a welcome to members and thew guests at the annual "Hall ofFame" awards ceremony and meeting. Chou Baker requested approval of the agenda subject to additions/deletions: Board members made naadditions/deletions. Ueland motioned approval of the agenda as presented, seconded by Brathe. Motion carried. Board member Vanderharr moved for the approval of ffie March Z0, 2003 minutes, seconded by Lopez Motion carried. Finance Committee Chair Weiberg presented for the Fiaance Committee. Weiberg motioned to accept the March 2003 Financial Report, seconded by Clouse. Motion carried. A motion was made by Weiberg to accept the Bills and Check Register as presented, seconded by Reigstad. Motion caasied. Chair Baker and Director Houlahan discussed the revised Pioneerlattd Library System Budget far 2003. They explained the rationale for requesting an "Amendment" to reflect the actual library system operatingrequirements- Weiberg moved to adopt a revised 2(1(13 Pioneerland Library System Budges "Amendment", seconded by Clouse. Masan carried. Chair Baker followed with a request to approve the Pi~eerland Library System Audit for 2002. A motion was made by Weiberg, seconded by Reckdahl to accept the audit. Motion carried. Chair Baker called on Finance Committce Member Halt to explain the question frmn the previous March 211, 2003 regular meeting on "compensated absences" as a reserve item. Hale explained that compensated absences (vacation sick leave) had been n reserve item for many years. After further discussion by the Finance Committee nn April 24, 2003, the Library Director, Library Bookkeeper and Independent Auditor, it was recommended that effoctive to January 1°, 2003 the compensated absence items be moved within the balannt sheet and booked as a liability with a formal removal of the item as a reserve. Chair Baker requested input from the board, Hale moved [o unreserve and undesignated fiords established for "compensated absences" and reclassify them as pan of the "liability" section of the balance sheet with a title similar to "compensated absences", seconded by Weiberg. Motion carried Hale went on to further Hate that changes would be forth wming with the Haw 'Generally Accepted Accounting Standards Board Reporting' requirttnents as established in `Statements 34 & 35' so the committee was taking apro-active approach. He also stated the Finance Committee would be preparing "Request For Proposals" for "independent Auditors" for 2003 with the Board seeing a draft by August 2003. Personnel Committee. Ivey Vonderharr reported. She requested a motion for a new employee. Moved by Vonderharr to approve the hiring of Theresa Wachter of Raymond, seconded by Rotunda. Motion carried Chav Baker noted that Lead Negotiator Deland of the Negotiation Committee informed hurt that a settlement for the new "proposed" Labor Agreement with the "Head Librarians" would be forth coming for one year 2003. The Ad Hoc Committee on Financial Future/Strategic Plannigg Committee included a comprehensive write up of their activities. Chair Baker asked if anyone had comments. Wearing none, he moved to the next item. The Grant Committee had included a write up of theu activities and Chair Baker asked if any one had questions. Hearing none, he moved on. Old Business. Director Houlahan reported oo the current stems of bills affecting the library system and informed the board the committees were keeping track of thew activities. The director also informed the Board the State of Minnesota Department of Employee Relations had approved the Pioneerland Library System "Pay Equity Report" with the next reporting period being due on January 2005. _`~ ~ ~~ 1 PIONEERLAND LIBRARY SYSTEM BOARD MEETING Apri124, 2D03 C~ 1Vumber of signatories with appointed representatives: 27 Quorum of signatories: 14 Signatories present: 20 Present Jeffrey Lopez Chippewa County Stacy Grothem Kandiyohi County Ivey Vonderharr Lac qui Parle County Stacey Schuette McLeod County Amy Wilde Meeker County loan Reckdahl Meeker County John Baker Swift County Gary Johnson Yellow Medicine County Allen Gislason Yellow Medicine County Herb Rotunda Appleton Neva Kamrath Canby Vern Silvernale Dawson Clyde Bratlie Fairfax Lowell Ueland Glencoe Art Abel Graceville Julie Jury Granite Falls Sarah Groves-Speece Hector Herman Hannemann Hutchinson Pam Dille Litchfield Garrison Hale Madison AI Clouse Olivia Eric Weiberg Willmar Dan Reigstad Willmar Absent Al Maas* Jack Johnson" Dean Shuck* Diane Beck* Barb Borth* Paul Setzepfandt Dr. Les Potas* Karen Roker* Jack Sandberg* Lowell Broberg* Allen Hooser* Jim Schueller* Ramona Berg-Perry* Mary Huesing* Big Stone County Chippewa County Kandiyohi County Kandiyohi County Kandiyohi County Renville County Benson Bird Island Hutchinson Kerkhoven Ortonville Renville Willmar Willmar x(0.)1 • ~~ 2 0 03 CITY OF HUTC WINSON FINAN CIAL REPORT __ __ May 2002 2009 2003 2009 E P ORT-G REVENUER ENERAL May _ May YEAR TO __ ADOPTED BALANCE ERCENTAGE ___ _ _ MONTH ___ MONTH ATE ACTUAL ~9UDGET REMAINING USED 500, ~ 2,973,032.00 2,9fi6,667.56 0.21% - - LI ENSES ~ 260.00 i 5554.67 32,637.8 38,700.D0 6,062.82 84.33% PERMITS AND FEES _ 25,856.03 79,809.64 152,530.98 __ 181,000.DO 38,469.02 79.86°~ INTERGOVERNMENTA LREVENUE 1,591.29 6,973.68 63,979.42 3,062,375.00 _2,998385.58 2.09°h CHARGES FOR SERVI _____ CES 82,402.51 104,830.71 __ 387,099.40 1,352,609.00 965,509.80 28.62% FINES & FORFEITS 10,321.06 13,355.32 26,343.76 68,000.00 41 656 24 38.74% INTEREST _ 716.22 138.49 5,860.68 -- 32,000.00 - 26,139.32 - 18.31% REIMBURSEMENTS 35,080.07 77,010.81 157,413.75 315,138.00 157,724.25 49.85% TRANSFERS , 5,000.00 1,486.64 228,751.64 1,405,OOD.00 1,178,248.36 16.14% SURCHARGES-BLDG PERMITS ,,,„„__,__66370._ _.___ 2,304.71 _._.v,_3~531,39.. ...._____ 0.00 __......^(3~531.39~ ,_,,, ,_0.00% TOTAL 661,691.88 1 297,829.11 1,062,512.64 9,437,854,00 8,375,341.36 11.2fi°~ 1 - "-- --.... ~--- - ... _._ .. . General Govt. 109,079.15 ' 108,668.36 582,668.93 1,676,647.00 1,113,978A7 33.56% Public Safety 181516.77' 247,555.D4 1,298868.59 3,485,904.OD 2,166035.41 37.5D% _ Streets&Alle s ___ _ 92,011.38 81,443.08 473,400.25 1,235588.00 762,187,75 38.31% Parks & Recreation _____ 133 323.95 140,771.92 657 001.85 1,928,117.00 ~ 1,271 115.15 34.07% Miscellaneous 28,148.11 19,898.44 255,975x57 .1,131,598.001 675,622.43 22.82% TOTAL 544,p77.36 598,356.84 3,248,915.19 9,437,854.001 6,188,938.81 34:42% 5~~~~ C~ 2003 ~ CITY OF HUTC HINSON FINAN CIAL REPORT ~~ 2003 hAav _ 2002 2003 2003 2003 2003 May ... REVENUE REPORT ~-GENERAL _. Ma Mey YEAR TO ADOPTED BALANCE ERCENTAGE _ MONTH MDNTH ATE ACTUAL BUDGET REMAINING USED TAXES 500,000.40 6,364.44' 6,364,44 2,973,032.00 2,968,687.58 0.21% LICENSES ~ 261.00 5,554.67 ! 32,637.18 38,700.00 -- 6062.82 84.33°k -- PERMITS AND FEES 25,656.03 79809.64_ _ 152,530.98 } 191,000.00 38,489.02 79.86° _ INTERGOVERNMENTAL REVENUE _ 1,581.28 fi,e73.68 83,979.42 3,062,375.00 2,998,395.58 2.09% CHARGES FOR SERVICES 82,402.51 104,83 0.71 387,089.40 1,352,609.00 965,509.60 28.62% FINE$ & FORFEITS 10,321.06 _ 13,355.32 28,343.78 68,000.00 41,656.24 38.74% INTEREST _ __ 716.22 138.49 5,860.66 32,000.00 26,139.32 18.31% REIMBURSEMENTS _ i 35,080.07 _... ~ 77,010.87 ~ 157,413.75 ~315138.D0 157,724.25 49.95% TRAN$FER$ _ 5,000.00 1,486.64 226,751.64 7,405,000.00 1178248.36 76.14% SURCHARGES -BLDG PERMITS 883.70 2,304.71 3,531.39 0.00 _ _j3 531.39) _ _ 0:00% TOTAL 661,897.88 297,829.71 1 062,512 64 9,437,854.00 8,375,347.36 71.26% ~ ..... ---- I -~- ~- I - .... . 2002 CITY OF H UTC HINSON FINAN CIAL REPORTI 2002 Ma _ 2002 _ 2003 2003 2003 8003 May EXPENSE _ _ A L REPORT - GENER _ Ma May _ YEAR TO ADOPTED BALANCE ERCENTAGE ~~ _ _ __ ~ ~ _ MONTH MONTH ATE ACTUAL _ BUDGET REMAINING USED 001 MAYOR & CITY COUNCIL 3,873.58 5,260.22 78,832.74 57,568.00 __ 38,75626 _ 32.70% ~ 002 CITY ADMINISTRATOR 17,898.98 18,235.77 97,409.45 245,108.00 153,698.55 37.29% 003 ELECTIONS 0.00 0.00 70.57 _ 11125.00 17,054.43 0.63% _ 004 FINANCE DEPARTMENT 35,246.00 35,493.38 166,224.33 480 558,00 294,333.67 36.08% 005 MOTpR VEHICLE 73,617.37 12,001.20 66,906.93 782,528.00 115,821.07 36.66% DOB ASSESSING O.DO O.oo o.DO 41,000.00 41,000.00 D.OD% _ ~ ~ 007 LEGAL .. _. 9,506.74 11 150.48 . 49,769.30 112 864.00 63,094.70 _ 44.10y _ 008 PLANNING 12392.61 70,865.05 _ 57,590.81 148,043.00 90,452.09 --.. 38.90% _ . - 009 INFORMATION SERVICES 7,045.45 7,237.91 34.843.38 768,580.00 133736.62 _____ 20.67% 110 POLICE DEPARTMENT 147,782.43 187 642.38 948,708.23 2,42_3 242.00 1,474,533.77 39.15% 115 EMERGENCY MANAGEMENT 3,717.78 9.92 206.06 18,000.00 _ 17 793.94 1.14% 720 FIRE DEPARTMENT 17,089.00 15,140.29 _ 703,605.79 366,275.00 262,669.27 28.29°k 130 PRp7ECTIVEINSPE CTIONS _ 12,947.56 13447.15 70,527.56 778,878.00 108,350.44 __ 39.43°h _ 150 ENGINEERING ~~ 34,858.10 37,375.30 176.820.95 479,509.00 302688.05 -- 36.88% _ 152 STREETS&ALLEY$ 57,053.28 63,118.42 T 350,460.15 - 882,043.00 541,582:85_ 39.29% __ __ 160 CITY HALL BUILDING 9,498.47 6,866.84 58,634.58 151,636.00 93,007.44 __ _ 38.67% 201 PARK/REGREATIONADMINISTR{ __ 4 12,605.92 __ 11,35672 6A,305.54 791,909,00 127,603.46 33.51% 202 RECREATION ~ 16,611.04 7,444.34 77,021.32 I 249,252.00 _ 172 230.68 30.90% 8,09275 203 SENIOR CITIZEN CENTER 5,413.92 _ 34,406.32 77,546.00 _ 43,139,88 44.37°k _ _ ~ 17,470.85 204 GIVICARENA 10,9 06.81 105,274.65 272,3 51.00 167,076.15 38.65°h 78.46 RKDEPARTMEN~ 205 PA I . fi8,121.37 _ 287,403.13 _ . 838,Sfi6.00 551,182.87 34.27% __ _ _ _ 5,947.99 206 RECREATION BUILDING & PODt! 4,574.51 _ 34,176.51 120.043.00 ___ 85,8fi6.49 28.47°h __ 207 EVENT$GENTER ~ 70,257.18 _.. _. 35427.27 79,705.46 154,824.00 75,118.54 51.48% 208 EVERGREEN BUILDING 0.00 27.25 _ 3,371.88 30,686.00 27 314.02 10.99°k 250 LIBRARY 1,773.43 2,037.45 66,207.89 139,408.00 73,201.31 47.49% 301 CEMETERY 9,692.35 14,263.34 46,455,91 133,643.00 87187.08 ----- 34.76% 370 DEBT SERVICE _ ____ 0.00 0.00 O.DO 161,049.00 161,049.00 0.00% ~ ~ 320 AIRPORT _ ~ 4,634.06 6,252.37 fi2,005.6D __241,098.00 178,092.40 25.72% 350 UN,4LLOCATEDGE N ERALEXPE 13,679.70 73,646.07 -- - 193,869.97 890500.00 _696,530.03 21,78% _ _ _ TOTAL ~ _ 534 385.01 596,356.84 µ3,248,9l5.18 _.9,437 854.00 6,188 938.81 34.42°k 5(~ti~ ~, . 20-Jun-03 Institution escription nterest Rate CITY OF HUTCHINSON CERTIFICATES pF DEPOSIT May 31, 2003 Date bate Of Of Purchase _ Maturity mount US BANK Money Market 1.435'° 10/31/02 11!5!02 386,446.76 Smith Barney FHLB C 5.00% 7!18!02 7/30/09 300,000.00 Smith Bamey FHLB C 4.00% 9/27/02 10!10/07 300,000.00 Smith Barney FHLB C 4.375 % 9119/01 4/11105 750,000.00 Smith Bamey FHLB C 4.180% 9125/01 4!19/05 270,000.00 Prudential pool 338914 7.226% 12 31 86 02 01 2028 17,798.42 Expected Ilfe 6.2 years Smith Bamey FHLM-C 4.fi50% 11/21/01 5!21/07 300,375.00 Prudentail pool 336399 7.270% 12 31 96 02 01 2026 20,861.81 Expected life 4.1 years Smith Bamey Money Market Varies 3!20/03 6/20/03 791,463.61 Prudential Money Market varies 1/2/02 Open 533,545.00 Prudential FHLB 5.00°k 5/22/03 5/22113 300,000.00 Prudential FHLB 4.00% 3/4/03 3/4/13 200,000.00 Prudential FHLB 3.15% 3/20/03 12/20/08 200,000.00 . Marquette 1231'305 3.110% 5/31/02 06!02/03 400,000.00 Citizens Bank 3.150% 06/27/02 06/30103 500,000.00 Citizens Bank 1.600% .02/14103 2116/04 200,000.00 First Minnesota 2.650°k 08/02/02 08!01/03 400,000.00 Wells Fargo 1.550% 02/13/03 08/14/03 750,000.00 Citizen Bank 1,400% 03/13/03 10/76/03 750,000.00 Firsttederal 1.800°h 04/10!03 04/15/04 750,000.00 First Minnesota 1.250°k 05/15!03 08/19/03 750,000.00 $8,870,588.80 S (~~~3 CITY OF HUTCHINSON R5509FIN1 __ _ .WATER & SEWER DEPARTMENT By Co, Dept [pb}, Object Monthly Finanaal Report __ ' 31-May-03 _ ._ 2003 5f31103~ 2003 Budget 2002 Annual Current YTD Actual Balance 'Per Cent U ~ ~ Same Period Descriplion _ Bud et Period YTD Expense -- - i 406 WATER _ 4001 REVENUES 4250 TOTAL CHARGES FOR SERVICES (11,000.00] {1,000.OD] (5,000.00] {6,400.00] 45.451 [ {3,000.OD] 4450 TOTAL SALES {9,227,000.00] 129,029.91] (478,302.06] [748,697.94] 38.98 ~ [441,319.67) ' 4620 TOTAL INTEREST ON kNVESTMENTS {40,000.04} (40,OOD.OOJ ~~_ 4700 TOTAL REIMSURS;=MENTS ' _ • {731.31] {85L31]' 851.31 (856.93] 4001 REVENUES (1,278,000.00] ' {130,7fi1.22]~ {484,153.37} {793,846.63] 37.88 ~ (445,176.60] 6001 EXPENDITURES ~ 6705 TOTAL SALARIES & FRINGE BENEFI 320,621.00 22,723.79 115,449.24 205,111.76 36.01 ~ 294,196.00 111,956.71 8200 TOTAL SUPPLIES, REP A I R S & MAIN 92,250.00 7,538.83 24,773.93 67,476.07 ' 26.86 4 96,000.00 , 30,87322 _ _ _ _ _ 8300 TOTAL CONSULTING I _ 219,500.04 47,969.73 69,402.64 15Q,497.36 31.62 1{ 165,OD0.00 ' 21,258.49 6306 TOTAL OTHER SERVICES 8 CHARGES; 243,800.00 ~ 5,568.65 64,847.93 939,152.07 31.72 ' 181,280.40 ~ 62,990.72 _ 6600 TOTAL DEBT SERVICE 54,745.00 ~ 146.37 ~ 7,478.87 ~ 47,266.93 13.66 56,705.00 8,421.06 6700 TOTAL TRANSFERS OUT 55,000.DO 55,000.00 ~ 53,OOO.DO 8900 TOTAL MISCELLANEOUS 247 ,950.00 218.00 , 836.00 247,114.04 0.34 ~ 232,454.00 _ 5,370.85 _ _ _7000 TOTAL CAPITAL OUTLAYS _ _ 332,250.00 457.93 3,718.04 _ _ 326,531.96 1.12 _ 541,740.00 3,000.57 6001 EXPENDITURES 1,526,498.04 84,603.10 286,266.65 1,239,749.35 18.76 1,620,331.00 243,079.62 NET INCOME [LOSS} -WATER 248,01&.00 [46,158.12] (197,886.72] 445,902.72 -79.79 ~ 1,620,331.00 (202,944.98} - ._ _ -_~_ ~ ~ - r T d v~ • T ~^ .~ VI \/ ~ CITY OF HUTCHINSON _ __ R5509FIN1 WATER 8 SEWER DEPARTMENT By Co, Dept {p6], Ohjecl Monthly Financial Report __ 31-Ma -03 2003 3_ 513110 2003 Budget ~ 2002 Annual ( _ Current YTD Actual Balance Per Cen[ ~ ~ Same Period Description Budget Period YTD E~ense 407 WASTEWATER ' I 4001 REVENUES TOTAL CHARGES FOR SERVICES 4250 ~ _ _ [720.00] 720.00 ~ _ [675.00] _ 4450 TOTAL SALES {2,626,500.00 [283,333.46] [953,792.21] {1,672,707.79) 36.31 i [990,832.18} 4620 TOTAL INTEREST ON kNVESTMENTS [40,000.OOJ {d0,000.00] ~ 4700 TOTAL REIMBURSEMENTS ~ [451.31}, [921.55] 921.55 ~ __ _ _ _ [212_86} 4001 REVENUES {zsss.5aa.0D} [283,784.77] {955,433.76} [1,711,06624J~ 35.83 {991,720.14y 6001 EXPENDITURES 6105 TOTAL SALARIES 8 FRINGE BENEFI 493,348.00 26,165.57 156,397.41 336,950.59 31.7 506,819.00 177,657.24 6200 TOTAL SUPPLIES, REPAIRS & MAIN 173,500.00 _ 8,580.89 76,343.46 97,756.54 44 ~ 169,300.00 69,763.34 6300 TOTAL CONSULTING _ 362,7DD.00 __ _ _ _ 7,863.57 ; 73,265.16 _289,434.84 20.2' 171,000.OD ~-~- 93,732.28 6346 TOTAL OTHER SERVICES & CHARGES 425,220.00 10,960.68 171,810.82 253,409.18 40.41 ~ 422,615.00 171,683.04 6600 TOTAL DEBT SERVICE 902,772.00 , 106.37 201,293.87 701,478.13 ; 22.3 874,243.00 163,393.57 6700 TOTAL TRANSFERS OUT 55,000.00 _ 55,000.00 _ 53,000.00 6900 TOTAL MISCELLANEOUS 743,600.00 ! , 242.90 7,538.61 736,064.39 ~ 1.01 ~ 723,600.00 fi,06D.6fi 7000 TOTAL CAPITAL OiJTLAYS 1,618,800.00 13,631.26 31,574.64 1,587,329.36 1.95 ~ 1,930,740.00 . 738,447.35 6001 EXPENDITURES _ ~ 4,775,040A0 67,551.25 ~ 718,219.97 4,056,820.03 15.04 ~ i 4,854,317.OD 820,627.48 NET INCOME LOSS -WASTEWATER 2,10B,54D.00 218,233.52 237,213.79 2,345,753.79 -11.25 ~ 4,851,347.00 _ 171,092.66 u~ • s ~ i CJ A B C D E F G H 1 CITY OF NUTCHINSON 2 _ __ INCOME STATEMENT __ 3 _ WATER SEWER REFUSE FUND -May 20P3 -- -- 4 0 6/24/03 _._ Compost & refuse p. u _ __ 5 . _ Other _ re clin .u TOTAL 6 OPERATIN EVENUES 7 CHARGES FOR SERVICES 298,394 296,394 8 _ _ REFUSE SURCHARGE 24,137 24,137 9 Rec clip credits 30,328 30,328 10 COMPOST SALES 104,012 104,012 71 WOOD CHIP SALES 1,082 1,082 12 Com ost & ba Sales alr 143,293 0 143,293 13 MISCELLANEOUS 489 489 14 _ --- TOTAL OPERATING REVENUE 248,388 29D,892 539,078 15 16 OPERATING EXPENSES 17 PERSONAL SERVICES 28,272 58,877 68,148 18 Office Supplies 631 831 1,283 19 O eratin Su lies 40,284 0 40,264 20 ____ Fuel ___ 4,884 0 4,984 21 Clothin 395 395 789 22 ___ Safe Su lies 98 88 185 23 Com ost Bags _ _ 28,823 28,823 24 . _ _ _ _ _ ___ R & M Su ___ 5,038 _ 0 5,038 25 __ _ Equipment Parts -- 3,828 0 3,828 28 __ _ ____ Small tools _ __ 57 0 57 27 Professional Service __ 5,763 0 _ 5,783 28 Other Contract 40,353 0 - --- 40,353 - 29 Inventory variance Adjustment _ 64,478 0 84,478 3D __ __ _ _ Communications & Posta a 50/ __ ___ SD 1,095 1,085 2,180 31 Travel School 3,991 0 3,991 32 Print Adva Gen insurance 11,886 _..._. 0 11,888 33 Utilities 25% / 75°k 5,944 17,831 23,775 34 __ _ _ Refuse -landfill, hauling,_rec cli n _ _ 226,447 226,44.7 35 Contract R & M 6,164 _ __ 0 _ 64 8,1 36 Rentals __ 3,500 D 3,5D0 37 Central Gars a 24,339 __ 0 24,339 38 Dues 2,278 0 _ 2_,276 38 Misc _ 369 D 389 40 __ __ Frei ht 47,463 47,463 41 DEPRECIATION _ 30,415 74,390 104,805 - 42 ---- - ----- ----- --- 43 _ _ _ TOTAL OP_ERA_T_IN G EXPENSES 203,646 408,587_ 612,233 44 TOTAL OPERATING INCOME 44,74 1 ...(1.17,896 .__ ,155 73 45 . _ 46 NONOPERATING REVENUES (EXPENSE$ _.__. 47 SCORE FUNDING _ 0 47,362 47,362 46 __-- -_°° - ----- 49 TOTAL NONOPERATING REVENUES EXPENSES) D _ 47,362 47,382 50 NET INCOM E 44,741 (70,534) (25,793) sC~~y • MINUTES HUTCHINSON PLANNING COMMISSION Tuesday, May 20, 2003 Hutchinson City Council Chambers CALL TO ORDER 5:30 P.M. The meeting was called to order by Chairman Dean Kirchoff at 5:3D p.m. with the following members present: Brandon Fraser, Jim Haugen, Lynn Ottesgn, Mike Flaata, Farid Currimbhoy, Robert Hantge and Chairman Kirchoff. Absent: None Also present: Marc Sebora, City Attorney, Bonnie Baumetz, Planning Coordinator and Jake Wegner, EDA Intern 2. APPROVAL OF MINUTES a) Consideration of Minutes dated April 15, 20D3 Mr. Haugen moved to approve the minutes of April 15, 2003 as submitted. Seconded by Mr. Currimbhoy. The motion carried unanimously. . 3. PUBLIC HEARINGS a) CONSIDERATION OF PRELIMINARY PLAT TO BE KNOWN AS RAVENWOOD WEST AND REZONING THE AREA TO R2 SUBMETTED BY ROGER DERRICK Chairman Kirchoff reopened the hearing at 5:35 p.m. with the reading o1 publication #7020 as published in the Hutchinson Leader on April 3, 2003. Ms. Baumetz presented Mr. Roger Derrick's narrative of the plat. All city requirements have been met. John Rodeberg and Roger Derrick have agreed that there should be no building permits to be granted until city services can be made available with the exception of a model home. Motion was made by Ms. Dtteson to act to rezone the specified area to R2 (Single and Two Family Residential). Seconded by Mr. Haugen. The item will go to the City Council next week. Mr. Haugen made a motion to close the hearing. Seconded by Ms. Dtteson. The hearing closed at 5'43 p.m. Mr. Fraser made a motion to recommend approval of the request with staff recommendations adding no building permits will be granted until services are available with the exception of one model home. Seconded by Mr. Hantge. The motion carried unanimously. Ms. Baumetz stated this item will 6e placed on the City Council Consent agenda at their meeting held May 27, 2003 in the Council Chambers at 5:30 p.m. 5c ~~.~ Minutes Planning Commission -May 20, 2003 Page 2 • b) CONSIDERATION OF CONDITIONAL USE PERMIT REQUESTED 8Y L&P SUPPLY LOCATED AT 1470 SOUTH GRADE RD Chairman Kirchoff reopened the hearing at 5:45 p.m. with the reading of publication #7021 as published in the Hutchinson Leader on April 3, 2003. Ms. Baumetz explained L&P was originally an R1 zoned area and have been rezoned to C2. They are requesting to put up a sign which initiates the need for a conditional use permit for the outdoor display area. Hutchinson City Attorney Mark Sebora, stated that he has contacted the McLeod County Engineer and they have approved planting in the right of way. The staff recommends plantings at the NE side of the property and eventually across the North side of the property to the West line. L&P indicated that they would eventually like to construct a security fence on the premises. This permit would allow for landscaping. Mr. Currimbhoy made a motion to close the hearing. Seconded by Mr. Flaata. The hearing closed at 5:55 p.m. Ms. Otteson made a motion to recommend approval of the request with staff recommendatiens. Seconded by Mr. Hantge. The motion carried unanimously. Ms. 8aumetz stated this item will be placed on the City Council Consent agenda at their meeting held May 27, 2D03 in the Council Chambers at 5:3D p.m. c) CONSIDERATION OF CONDITIONAL USE PERMIT REQUESTED BY THE CITY OF HUTCHINSON PARKS DEPARTMENT TO RESTORE LAND IN THE FLOOD WAY AND FLOOD PLAIN Chairman Kirchoff opened the hearing at 5:56 p.m. with the reading of publication #7041 as published in the Hutchinson Leader on May 8, 2003. The request already has approval but needs a conditional use permit that allows for rerouting the commercial trail alpng 2"d Ave., which includes the reshaping of the banks and other measures. It was stated by Mr. Rodeberg that the goal is a more habitat-friendly and aesthetically- pleasing river. Staff recommends approval for the request. Deane Dietel of 845 2"' Ave. spoke at the meeting and voiced his concern about his property, specifically the riverbank. He stated that he has lost four trees since owning the property to the river and the riverbank collapsing. Mr. Rodeberg suggested rip-wrapping the area, although admitting that this may collect debris and some garbage in the river. • Dean Kirchoff suggested that someone contact Mr. Dietel and keep him informed as to when possible improvements can be made. 5(~:Js Minutes Planning Commission -May 20, 2003 Page 3 • Ms. Otteson made a motion to close the hearing. Seconded by Mr. Plaata. The hearing closed at fi:D5 p.m. Mr. Fraser made a motion to recommend approval of the request with staff recommendations. Seconded by Mr. Haugen. The motion carried unanimously. Ms. Baumetz stated this item will be placed on the City Council Consent agenda at their meeting held May 27, 2003 in the Council Chambers at 5:30 p. m. ~, NEW BUSINESS a) CONSIDERATION OF FINAL PLAT TO BE KNOWN AS WENDY'S ADDITION There was discussion about vegetation on land and it was determined that putlot A is to belong to Wendy's. Bruce VanRoekel, the construction manager of Wendy's spoke about he time frame for construction and stated that he is confident that construction can 6e completed by the middle of September, provided that good weather is a given. • Mr. Haugen made a motion to recommend approval of the request with staff recommendations. Seconded by Mr. Fraser. The motion carried unanimously. Ms. Baumetz stated this item will be placed on the Gity Council Consent agenda at their meeting held May 27, 20D3 in the Gouncil Chambers at 5:30 p. m. b) PRESENTATION BY JOHN RODEBERG ON "ROUNDABOUTS" Mr. Rodeberg gave an interactive PowerPoint presentation simulating the ease of traffic flow by means of implementing roundabouts. He then proposed that there be one at the intersection of Washington Ave. and Adams Street. and another at the west side of Modern Mazda connecting to Goff Course Road. Mr. Rodeberg backed up his belief in roundabouts by citing statistics such as: --A 35-65% decrease in traffic accidents --A 9D% drop in fatalities --Environmentally-friendly due to less stops and starts He ended his presentation by giving a timeline of possible implementation • being only 1 -2 years. ~ C a Minutes Planning Commission -May 20, 2003 Page 4 . 5. OLD BUSINESS a) DISCUSSION OF DOG KENNEL RESEARCW Bonnie introduced the topic and Mr. Fraser explained his concerns with the distance from property lines residential dog kennels are now placed. There are City Gode regulations regarding noise and odor however kennels could be placed right on a property line. It is the consensus of the Planning commission for staff to draft an ordinance and bring it back to the Commissioners next month. 6. COMMUNICATION FROM STAFF a) UPDATE ON PLATH ANNEXATION Ms. Baumetz updated the Planning Commission on the progress of the request to annex approximately 80 acres owned by Frederick Plath. She stated the City Council has tabled the request to their May 27~" meeting. City Engineer Jahn Rodeberg will draft an agreement stating there will be no services to the property for a number of years. The agreement is to be signed by the owners before the annexation process may proceed. 7. AQJOURNMENT There being no further the meeting adjourned at 7:05 p.m. CJ c] ~~`\ Hutchinson Housing & Redevelopment Authority • Regular Board Meeting -May 20, 2003 Minutes CALL TO ORDER: Chairman 7oe1 Kraft called the meeting to order at 7:30 a.m. Members Present: Duane Hoversten, Ian McDonald, and John Houle. Staff Present: Jean Ward, and Judy Flemming. 2. MINUTES OF HRA BOARD MEETING ON APR1L 15, 2003 $c MINUTES OF SPECIAL HRA BOARD MEETING ON MAX 1, 2003 John Houle moved to approve. Duane Hoversten seconded and the motion carried unanimously. 3. FINANCIAL REPORTS Duane Hoversten moved to approve the Financials. John Houle seconded and the motion carried unanimously. PARK TOWERS UPDATE Jean Ward updated the HRA Board on the completion of the apartment renovation project at Aark Towers. John Houle moved to approve the Final Change Order. Ian Mcbonald seconded and the motion carried unanimously. Jean updated the Board on the proposed changes to the PHAS Rule. She also reviewed a draft • comment letter in response to the proposed changes. Duane Hoversten felt that the letter should be signed, the HRA Board. Ian McDonald moved to approve the Comment Letter. John Houle seconded and the motion carried unanimously. 5. SUBORDINATION POLICIES 8c LOAN REVIEW COMMITTEE RESOLUTION Jean presented to the Board the revised subordination policies for Rehab Loans and New Construction Bquity Oap Loans. John Houle moved to approve the revised subordination polices. Duane Hoversten seconded and the motion carried. Ian McDonald asked that the newly subordination policies be sent out to the lenders in community. Jean reviewed the open meeting laws explained to herby Marc Sabora, the City Attorney. Duane Hoversten moved to approve the Resolution for the Loan Review Committee to Review and Make Recommendations to the HRA Board. Ian Mcbonald seconded and the motion tamed unanimously. 6. CONSIDERATION OF FRANKLIN-GROVE NEIGHBORHOOD SCDP LOAN #8680-02 7udy Flemming presented the recommendation for approval from the Loan Review Committee. Duane Hoversten moved to appmve SCDP Loan 8680-02. Tan McDonald seconded and the motion carried unanimously. 7. CONSIDERATION OF RECOMMENDATION FOR CITX COUNCJL APPROVAL OF REVISED HOUSING REHABILTTATJON REVOLVING LOAN FUND PROCEDURAL GUIDELINES Jean presented to the Board the proposed changes to the Housing Rehabilitation Revolving Loan Fund Procedural Guide. The Board agreed with the changes. ]an McDonald moved to 5(~~ c~ recommend for the City Council to approve the revised Housing Rehabilitation Revolving Loan Fund Procedural Guidelines. john Houle seconded and the motion carried unanimously. . In addition the HRA will be brainstorming in the near future for ideas on how to use the funds fox the Revolving New Construction Equity Gap Loan. CONSIDERATION OF IIRA FEE SCHEDULE Duane Ioversten moved to approve the HRA Fee Schedule. John Houle seconded and the motion carried unanimously. 9. CONSIDERATJON OF APPROVAL TO EXECUTE 2003 MHFA HOME RENTAL REHAB AGREEMENT john Houle moved to execute the 2003 MHFA Home Renta] Rehab Agreement. Ian McDonald seconded and the motion carried unanimously. l0. HUTCHINSON 2003/2004 SCHOOL CONSTRUCTION PROGRAM UPDATE Judy presented to the Board four options of homes for the 2003/2004 School construction program. Ian McDonald moved to approve the Candlelight floor plan (Option B). Duane Hoversten seconded and the motion carried unanimously. Jean also informed the Board that a second purchase agreement for the asking price was issued with no contingencies. A notice of removal of contingency was issued fox the first purchase agreement. The new closing date will be June 20, 2003. l 1. CONSIDERATION OF DRAFT AUDIT Jean presented to the $oard the draft audit prepared by Babcock, Langbein and Company. John Houle moved to approve the audit. Ian McDonald seconded and the motion carried unanimously. 12. UPDATE ON ROLLING MEADOWS EAST There is a question regarding the ability of the City to Bond for the project. Duane Hoversten said that we would have to wait until the state legislature makes a decision if cities are allowed to bond. 13. CDNSIDERATION OF CHANGE OF DATE FOR THE JUNE BOARD MEETING The Board agreed to change the date of the Tune Board meeting to Thursday, June 19, 2003. Duane Hoversten reminded staff to change the date on the City Calendar too. 14. FXJ Jean Ward informed the Board that MHFA has new rates for the first time homebuyers funds. 15. ADJOURNMENT There being no other business, Chairman Joel Kraft declared the meeting adjourned. Recorded by Jeatr,iWard, HRA Executive Director John 5(0.~c~ BOARD OF DIRECTORS MEETING -May 20, 2003 hospital -Conference Room AB Members present were: Chairperson, Steve Snapp; Vice President; Wayne Fortuna Secretary, john Houle; Pastor Randy Chrissis, Trustee; Sherry Ristau, Trustee; Duane Hoversten, Trustee; and Dr. Cate McGinnis, Chief of Staff Others present were: Philip Graves, President; Pam Larson, Finance, Information, and Material Services Division Director; Robyn Erickson, Care and Program Support Services Division Director; Jane Lien, Acute Care Programs and Services Division Director; Dr. Steven Mulder, Director of Medics] Affairs; Elaine Schermann, Quality Representative; Linda Remucal, Chairperson of the Birchwood Committee; Doug Hanneman, Hutchinson Leader; and Corrinne Schlueter, Recorder. The meeting began at 5:33 PM, with a report by Linda Remucal on the current status of the Birchwood Hospice House project. Remucal showed floor plans of the exterior and interior of the house and also the bricked-faced front. She reported that a Hutchinson Contractor, Richard Larson Builders, has been selected for the project. The price for the project has increased to $900,D00 since last summer, when the estimate was $800,000. Additional costs such as construction insurance, an oxygen system, outdoor lighting and furnishings for the home will push the total price to an estimated $1.1 million. Of that amount, $800,000 has already been committed by Hutchinson resident, Mary Burich. Another $150,000 has been raised from other sources. Additional support has also been promised from a local business', including a landscaper who has offered to donate a great deal of landscaping. The home, named Birchwood, the Mary Burich House, will house up to eight people with terminal illnesses who can't stay at home for any number of reasons. It will be a place where people can die in a tranquil, homelike setting and be close to family members and friends. The home is not designed to take business away from nursing homes, but it will be an alternative for people who don't want to die in a nursing home or hospital. It will be operated by Connect Care, a nonprofit home health and hospice agency founded by Hutchinson Area Health Care and Glencoe Regional Health Services. Connect Care will have offices in the building's lower level. The home has received apre-approval far licensure by the State of Minnesota. Remucal said, "We ran our plans by them so we wouldn't be surprised by anything else they wanted included." The building will be inspected by a Health Department inspector before opening so it can receive its license as a supervised living facility. The home will be staffed 24 hours per day with one licensed practical nurse caring for as many as four patients. One registered nurse will be on call at all times. Volunteers will help operate the facility, and will assist with housekeeping, meal preparation, grocery shopping, running errands and providing other services. 5 ~ ~~7 Board of Directors May 20, 2003 Page two Operating costs for the first year will be approximately $250,000 according to Remucal. "It is assumed we'll have three to four patients the first year, that we won't be fully occupied and that it will take time for word to get around", she said. Remucal stated this is never going to be a break-even project. We anticipate there's always going to be some fund_raising. i. Minutes of Last Meetin . The minutes of the April 15, 2003, were presented and discussed. • Following discussion, Chrissis made a motion, seconded by Hoversten, to approve the minutes of the April 15, 2003, meeting. All were in favor, Motion carried. 11. Medical Staff Meeting Minutes and Credentialine. Dr. McGinnis provided a report on the recent Medical Executive Committee Meeting. The following practitioners were recommended for membership to the Medical Staff. Initial A ointment. Francis Hopson, MD Active Otolaryngology Eugenio Sirano, MD Active General Surgery Rich Nissen, MD Active Otolaryngology Kelly Schmidt, PA-C Allied Ilealth Dep. Physician Assistant John Springer, MD Active Orthopedics Reannointments. Marty $erg, CRNA John Lesser, MD Jay Traverse, MD Peter Ydstie, CRNA Allied Health Ind. Courtesy Courtesy Allied I~Iealth Ind. Anesthesia Cardiology Internal Medicine Anesthesia Mlscellaneous. Joseph Mayland, DO - completing a one-month residency with Dr. Remucal during May. Resignation. Joseph Kliek, CRNA Additional Procedure. Teri McNelis, MD - Essure procedure • Following discussion, McGinnis made a motion, seconded by Chrissis, to . grant membership and privilege to the above listed practitioners as ~c0.J/ • Board of Directors May 20, 2003 Page three recommended by the Medical Executive Committee, All were in favor. Motion carried. III. New Business. A. Safety Report. Graves presented the safety committee report. It was noted the report was abbreviated since the last report. Following discussion, Ristau made a motion, seconded by Forlun, to approve the Safety Report as presented. All were in Favor, Motion carried. B. Furniture Budget for Mental Health Outpatient. Graves reported on the furnishings request for the Mental I~ealth Outpatient Service in the Plaza 15 expansion project. An attached listing of furniture was provided for consideration. The items can be acquired through Corporate Express from the Hospital group purchasing organization, VHA, or potentially the State of Minnesota government group purchasing contracts. . • Following discussion, Fortun made a motion, seconded by Chrissis, to request authority from the City Council to purchase the office equipment for Outpatient Mental Health, per the attached, at a cost of not to exceed $87,500. All were in favor. Motion carried. C. Allina Re Tonal Board Retreat dialo e. Board members and staff gave a report on the Allina Educational Retreat provided by the Advisory Board. The conference was held at the Radisson Plymouth in Minneapolis. N. Organizational Reports. A, President. Nothing further to report. B. Acute Care. Lien reported on the now graduates in her service area. She also gave thanks to the organization and Ridgewater College for the Nursing Grant Money. C. Care and Proeram Su~ort. Erickson reported the Pharmacy is in the process of work re-design around patient safety. She also reported on changes with insulin pump therapy and a new children's program provided by Merrilea Kyllo, our Certified Diabetic Educator. • J~a~~~ Board of Directors May 20, 2003 Page four p. Communit~Care Programs & Services. Nothing further to report. E. Finance Information & Material Services. Larson reported they have filled two of the three management positions in her Divison. David Peralez will be the Material Services Manager and Kay Borgstahl is the new IS Manager. The position of Health Information Services Manager is still open. F. Senior Care. Krentz shared with us information regarding one of the volunteers at Bums Manor. Bemie Telecky has volunteered at Burns Manor for 38 years and has been selected as one of the Eleven Who Care winners for 2003. G. Medical Director Report. Nothing further to report. Patient Safety and Improvement Committee. Schermann presented information regarding components, which are fundamental to patient safety. She also commented on the inclusion of these indicators into the balanced scorecard. Allina Management Report. Nothing further to report. Accounts Pa able. The accounts payable and cash disbursements for April 2003 were presented for payment. Following discussion, Chrissis made a motion, seconded by Houle, to approve the accounts payable and cash disbursements as listed in the amount of $3,845,357.76. Five were in favor. Hoversten abstained. Motion carried. Statistical Report. Graves presented the statistical report for the month of Apri12003. Financial Report. Larson provided the financials for the month of Apri12003, which showed a net income of $111,290 compared to a budget of $188,404. Following discussion, Fortun made a motion, seconded by Hoversten, to approve the financial report as presented. All were in favor. Motion carried. Auxiliary Meeting Minutes. The Hospital Auxiliary Meeting Minutes were presented. Nn unusual comments were made. C~ 5(~~7 . Board of Directors May 20, 2003 Page five A_dloumment. There being no firrther business, Fortun made a motion, seconded by Ristau, to adjourn the meeting. All were in favor. Motion carried. The meeting was adjourned at G:45 PM. Following adjournment board members toured the Mental Health Outpatient construction project at the Plaza 15. Respectfully submitted, Corrinne Schlueter John Houle Recorder Secretary L.J .S(~~`7 Ordinance No. 03-344 Publication No. AN ORDINANCE QUIT CLAIMING ANY INTRREST THE CITY OF HUTCIIINSON MAY HAVE 1N REAL ESTATE LOCATED AT 964 JEFFERSON STREET' SE IN TIIF CITY OF HUTCHINSON THE CITY' OF HiJTCIIINSON DOES ORDAIN: SECTION 1. That on June 8, 1953, William Selchow, for reasons unknown, conveyed the following described property to the City of Hutchinson: Beginning at a point on the West line of Jefferson Street, said point being also the Easterly line of Lot 7, Auditor's Plat of the West lialf of Section b, "Township 1 1(i North, Range 29 West, which said point is 399 feet Southerly from the Northeast comer of Lot 1 of said Auditor's Plat of the South Half of Section G, Township 11G North, Range 29 West; thence Westerly on a line parallel with the North line of said Lot 1 a distance of 132; thence Southerly on a line parallel with the East line of said Lot 7 a distance of 49 feet 5 inches; thence Easterly on a line parallel with the North line of said Lot 1 a distance of 132 feet to a point on the East line of said Lot 7; and thence Northerly along the East line of said Lot 7 a distance of 49 feet 5 inches to the point of commencement, according to the U.S. Government Survey thereof. SECTION 2. That the City never took possession of the land about-described nor has the City developed it or placed any City services or utilities upon said premises. That said premises has been continually occupied since that time by private parties and, in fact, contains an apartment building and parking area currently owned by Merrill L. Johnson and/or the Merrill L. Johnson Trust. SECTION 3. The aforementioned deed From William Selchow to the City of Hutchinson has effected the marketability of title to the property at 964 Jefferson Street SE and it is in the best interest for the landowner to clear title to the property and does not effect any interest the City of Hutchinson may have. SECTION 4. Upon passage of this ordinance the Mayor and City Administrator shall be directed to execute any quit claim deeds necessary to clear title to this land reserving to the City of Hutchinson an interest in any utility easements on the parcel. Adopted by the City Council this 24Th day of Tune, 2003. Marlin Torgerson, Mayor Gary D. Plotz, City Administrator ~] ~ ~~ RESOLUTION NO. 12202 RESOLUTION Al'I'ROViNC A CONDITIONAL USE PERMIT • BE IT RESOLVED BY THE CITY COiTNCIL OF THE Cl'I'Y OF HLITCIIINSON, MN: FINDINGS 1. Brian Ponath, property owner, has applied for a conditional use permit to construct a 3-plex dwelling located at 446 Prospect Street N.E. LEGAI. DESCRIPTION: The North 129.50 feet of Lot 12, Block 13, North Half of Hutchinson, according to the recorded plat thereof. Also, the East Half of i.ot 11, of said Block 13, except the South 132.00 feet thereof, Also except the East 2.00 feet o£the Northerly 68.50 feet ofthe South 200.50 feet of said Lot 11. Subject to an easement fox drainage and utility purposes over and under and across the northerly 12.00 feet of said Lot 12. Also, subject to a 20 foot easement for driveway purposes over and across part of said lot 12. The southerly line of said easement is described as follows: Beginning a[ the southwesterly corner of said North 129.SU fee[ of Lot 12; thence easterly along the south -ine of said North 129.50 feet of Lot 12 to a point 40.00 feet westtrcly, as measured along said south line, westerly ofthe southeasterly comer of said North 129.50 feet of Lot 12; thence northeasterly, to a point on the east line of said Lot 12 a distance of 40.00 feet northerly, as measured along said east lint, of the southeasterly comer of said North 129.50 feet of Lot 12 and said line there terminating. The easterly and westerly lints of said easement being the cast and west lines of said Lot 12. 2. The City Council has considered the recommendation of the Planning Commission and the etfect of the proposed use on the health, safety, and welfare nfthe occupants ofthe surrounding lands, existing and anticipated traffic conditions, and the effect on values of properties in the surrounding area and the effect of the use nn the Comprehensive Plan. 3. The Council has detemrincd that the proposed use is in harmony with the general purpose and intent of the Zoning Ordinance and the Comprehensive Plan, if the conditions, as outlined below azc met. CONCi.LJSION The City Council hereby approves the conditional use permit with the following conditions: 1. Parking must be bardsurfaced before new building is occupied. 2. There must be a 20 foot minimum hazdsurfaced driveway to the 4 - plex on the property for emergency access. Nn Parking will be allowed on the driveway to the 4-plex. 3. Verify water and sewer service location. 4. Relocation of natural gas or electric services will be at owner's expanse. 5. Verify electric loads needed. Adopted by the City Council this 24'" day of Tune, 2003. ATTEST: Gary D. Plots City Administrator Marlin D. Tnrgerson Mayor .~~~ 1 C DATE: TO: FROM: June 18, 2003 Hutchinson City Council Hutchinsoq Cit Center ]tl Hasxan Street SE Hutchinson, MN 55350.2522 320.587d151/Fax 320.7,344240 MEMORANDUM Hutchinson Planning Comrrlissicn SUB7ECT: CONSIDERATION OF CONDITIONAL USE FERMI"1' REQUESTED BY }IRIAN PONATH, PROPERTY OWNER, TO CONSTRUCT A 3-FLEX DWELLING LOCATED AT 446 PROSPECT STREET N.E. Pursuant to Section 8.06 of Zoning Ordinance No. 464, the Hutchinson Planning Comtrvssion is hereby subniltting its findings of fact and recommendation with respect to the aforementioned request for a conditional use permit. HISTORY Mr. Ponath, property owner, is requesting a Conditional Use Permit to construct a 3-plex dwelling unit on property located at 446 Prospect St. NE which is zoned R3. Dwelling units of 3 and over require a Conditional Use Permit in a R3 district. New housing garage requirements state no less than 400 sq. [[. garage apace per unit. Anything less requires a Conditional Use Permit. This building will not meet the garage requirement. The property was rezoned from C2/R2 to R3 in 1997 for the construction of up to 7 dwelling units. A Conditional [Jse Permit was granted for the existing 4-plex August, 1997. FINDIN S FACT I. The required application was submitted and fees were submitted. 2. Notices were mailed to the surrounding property owners as well as published in the Hutchinson Leader on June 5, 2003 3. Parking required for the 7 touts will be I8 spaces on the site. 4. There were no neighboring property owners present who objected to the request. RECD M NDATI N The Planning Commission voted unanimously to recommend approval of the conditional use permit with the fallowing conditions: 1. Parking trwst be hardsurfaced before new building is occupied. 2. There must be a 20 foot minimum hardsurfaced driveway to the 4 - plex on the property for emergency access. Nv Parking will be allowed on the driveway to the 4-plex. 3. Verify water and sewer service location. 4. Relocation of natural gas or electric services will be at owner's expense. 5. Verify electric loads needed. spectfully s bmitte can Kirchvfl; Chairman Hutchinson Planning Cvrruttission cc: Brian Ponath, 446 Prospect St. NE #1 Fhinled on rccyged paper - 51.~~1 CITY OF HUTCHINSON PLANNING -STAFF REPORT ~J To: Hutchinson Planning Commission Prepared By: Planning Staff: Brad Emans, Dolf Moou, Don Nelson, Miles Seppelt, Jake Wegner, Jean Ward, John Rodeberg, P.E., John Webster, John Olson, Lenny Rutledge, Barry Greive, Mark Schnobrich, Marc Sebora, Gary Plotz, Ken Merrill, Jim Popp, Dave Erlandson, Dick Nagy, Julie Wischuack, AICP, and Bonnie Baumetz Date: June 2, 2003 -Meeting Date: June 17, 2003 Applicant: Brian Ponath, property owner CONDITIONAL USE PERMIT Brief Description: The property owner is requesting a Conditional Use Permit to construct a 3-plex on property located at 446 Prospect St. NE which is zoned R3. Dwelling units of 3 and over require a Conditional Use Permit in a R3 district. New housing garage requirements state no less than 400 sq. ft. garage per unit. Anything less requires a Conditional Use Permit. This building will not meet the 400 sq. ft. garage requirement. We have granted Conditional Use Permits for a similar request in the Ravenwood plat. GENERAL INFORMATION Existing Zoning: R3 (Medium tensity Residential) Property Location: 446 Prospect St. NE Lot Size: .73 acres Existing Land Use: Multiple family AdJacent Land Use And Zoning: C2 (Automotive Service) to the South R2 (Low density - 1 and 2 family residential) on other sides of the lot Comprehensive Land Use Plan: Traditional Residential Neighborhood Zoning History: The property was rezoned from C2/R2 to R3 in 1997 For the construction of up to 7 dwelling units. A Conditional Use Permit was granted for the existing 4-plex August, 1997. Applicable Regulations: Section 8.06 of the Zoning Ordinance SPECIAL INFORMATION Transportation: Prospect Street NE SC~~ Conditional Use Permit Brian Ponath - 446 Prospect St. NE Planning Commission-June 17, 2003 Page 2 Parking; 2.5 spaces per dwelling unit ~- 18 required for this property Parking area for the entire development must be hardsurfaced before the new building is accnpird. Analysts and Recommendation: The plan meets the setback requirements and open space requirements of the R3 district. There is concern regarding the area on the east side of the building labeled gravel surface. This area must be a grassy area after the building is constructed. There is no parking allowed in that area. A driveway permit will be required if the entrance is to be changed. Planning Staff recommends approval of the request with the following conditions: 1. Parking must be hardsurfaced before new building is occupied. 2, There must be a 20 foot minimum hardsurfaced driveway to the 4 - plex on the property for emergency access. No Parking will be allowed on the driveway to the 4-plex. 3. Verify water and sewer service location. 4. Relocation of natural gas or electric services will be at owner's expense. 5. Verify electric load requirement. Cc: Brian Ponath, 44G Prospect St. NE 5 (~~ 1 C~ • C~ BUILpING PERMIT SURVEY FOR BRIAN PaNATH DESCRIPTION PMCEL A Lat IY. Blvek 17. NrpITH HALF DF HUTCHWSON, eccardine fo - ~ n T~`C ne r~prped pl a i fMTeef. ~ '0 Ee 1 a w f y ~Ar ar 2.00 het ol thv NorUherr 6!.'A hel vi iM Sau ~E00.3D nel al •D~ the a .Q~ dd Lot M 2 Ne/ oa3 $YONpI to an emsmenr fm drolnoge and uflllry purpmei aver ono uMer ono apraee fhe nwrherly pux,.~ ~vyp 'n 12,001ast of aold Lar 12. _Z ~.i se plea. aublecr ro a s0 Mpf vowmenf Ipr dryewar papana aver end ocreff pen al fdd Lar 1$. The Tne ivuthxlr IIM of add ememenr la daanlbed oa hlbwa: Bavlnnllp at rM eemh.esterly corner al aeM Nor• IQg,yp }arf of Lot IP: tMnve .mnnr. elenq fM aeuth XM of wld HaTIN 129.00 Iwl of Lef I2 to a pabt 00.00 her wsaterlr, w memueee elenq sold avulh IIM. weilwh of \M iwtMatlxlr earner al sold NarrN 17!9.30 letl of Lar I$: Ihence rlaphavilerly, tv v pvlnl an Me eeet pne el fdd Lal IP a dhfence 0 13 _ _ 60 of dgOp bal MrlMrly, ea meeapred donq aoW eoa Yne, vl the fvufhew4rry earMr al avld Harlh IP9.9D fear el Lef I2 eIM tent Iine there Ixmina9nq, The emfe.lr entl Wnixlr f pe I e 1 n / n t IMaa of fold eaaemanl pelnq IM coal w0 Nul MMa al geld Lar IP. • DeMrea ten monumanl taunt CST / o t 2 ermfea en mvnMMro eel D B / .sBM / n D n I 1M l ° B /, ~ p x e i iF a y e eYOlen ~~s 1dl 141 / e~' ti~ o` i \ O~ \ 7 __ /y a ~~~ rse T9 L !PI .~ /~ ~~ axe "era / x0.. 1D.:1 / eve. laP a-Re 'aladeaM y / 'ear dep. ¢/ x l ~0ae COr~./ ~r i I.. -- ~ ~ 2.00 / $ Irma .w.ee '4 ~ ~ l e] e ~ .Q / el.l / C.W / <.6s.6J ~.r , Ib„q KY eilp"1 p`S. ~ ,/ WESTERLY UNIT PRgppgED 1oP OF' FWNOATIOH - IDe 1.3 PROP05E0 OARAOE FLOOR - 1081.0 INe Baplnenl) EASTERLY UNIT PROpOSEO TOP DF FWNOATNH! - 10]8.3 PROPOSED GARAGE FLOOR IOTB,O PROPOSED LOWEST FLOOR - 10'/4.3 PELLINEH LAND SUHVEYINO ~8 moo' / // BEHCHMPRK ////ryry Tap ai Iran pqe of Iwnhwel namer at Lof L 8bet 13. 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TI..R l a 'A~ 4V n °~ro. . e~~ r ^ _J4. ie e ~p . eaTf 5(~~1 RESOLUTION NO. 12203 VARIANCE REQUESTED BY KERRY KRUECER, PROPERTY DWNER, TO REDUCE DRIVEWAY SETBACK TO 0 FEET FROM THE LOT LINK LOCATED AT 545 ERI.F, STREET S.E. I3E TT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MN: FINDINGS Kerry Krueger, property owner, has applied for a variance to reduce driveway setback from 3 feet to 0 feet to replace existing nan-conforming gravel driveway with a hardsurfaced driveway area with the following legal description Le;~al Description: Lot I0, Black 63, Tuwnsite afl`lutchinsun South half. 2. The City Council has considered the recommendation of the Planning Conmiission and the effect of the proposed use on the health, safety, and welfare of the occuparrts of the surrounding lands, existing and anticipated traffic conditions, and the effect on values ofproperties m the surrounding area and the effect of the use vn the Comprehensive Plan. 3. The Council has determined that the proposed use is in harmony with the general purpose and intent of the Zoning Ordinance and the Comprehensive Plan. CONCLUSION The Ciiy Council hereby approves the variance based on the hardship the house was cvnstrucied before the zoning regulations were in place and it is too close to the property line to allow the appropriate setback For the hardsurfaced driveway, but approves the variance with the following conditions: 1. Verify drainage does not increase to the property on the north. 2. Verify location of water standpipe ifplaccd in driveway. 3. Verify exact property line location. (This may require a survey of the properly.) 4. Snow must not be placed on neighboring property. Adopted by the City Council this 24"' day of.Iune, 2003. ATTEST: Gary D. Plotz . City Administrator Marlin D. Torgerson Mayor 5(~J~- r~ ~~ C DATE: June 18, 2003 I~utetlinson City Center MEMORANDUM 111 Hassan Street 5E HutcNnson, MN 55350.2522 320.587.5r51/Fax 320-234-42411 TO: Hutchinson City Council FROM: Hutchinaon Planning Camntission SUBJECT: VARIANCE 12EQUESTED BX KERRY KRUEGER, PROPERTX OWNER, TO REDUCE DRIVEWAY SETBACK TO 0 PEET PROM TIDE LOT LINE LOCATED AT 545 ERIE STREET SE Pursuant to Section 6.04 and 8.04 of Zoning Ordinance No. 464, the Hutchinson Planning Commission is hereby submitting its fmdings of fact and recommendation with respect to the aforementioned request for a variance. IiISTORY The applicant is requesting a variance to replace the present nonconforming gravel driveway with a hardsurfaced driveway up to the property lint located at 545 Erie St. SE. The applicant states the hardship as the house was constructed 12 feet from the north property line with a 3 to 4 foot entrance addition leaving 8 to 9 feet to the property line. The curb cut is located approximately 2 feet from the propcriy line and the driveway will angle to the north property line. FINDINGS OF FACT 1. The required application was submitted and the appropriate fee paid. 2. Notices were mailed to the surrounding property owners as well as published in the Hutchinson Leaderon June 5, 2003. 3. At the public hearing held, nv neighbors were present to object nor had staff received any written objections. 4. The hardship is the location of the house being too close to the property line to allow the appropriate setback for the hardsurfaced driveway. The Planning Commission, on Tune 17, 2003, voted unanimously to recommend approval of the variance with the following conditions: 1. Verify drainage does not vncrease to the property on the north. 2. Verify location of water standpipe if placed in driveway. 3. Verify exact property line location. (This may require a survey of the property.) 4. Snow must not be placed on neighboring property. spectfully sub~trtitted, „ can Kirchoff, Chaixrnatt Hutchinson Planning Commission cc: Kerry and Rita Krueger, 924 Keith St SW Printed on recyclet Pape. - ~(.~~a ', CITY OF HUTCH~NSON PLANNING STAFF REPORT . To: Hutchinson Planning Commission Prepared By: Planning Staff: Brad Emans, Dolf Moon, Don Nelson, Miles Seppelt, Jake Wegner, Jean Ward, John Rodeberg, P.E., John Webster, John 171son, Lenny Rutledge, Barry Greive, Mark Schnobrlch, Marc Sebora, Gary Plptz, Ken Merrill, Jim Popp, Dave Erlandson, Dick Nagy, Julie Wischnack, AICP, and Bonnie Baumetz Date: Jixne 2, 2003 --Meeting Date: June 17, 2003 Applicant: Kerry Krueger, property owner VARIANCE Brief Aescription: The applicant is requesting a Variance to replace the present non-conforming grave] driveway with a hardsurfaced driveway up to the property line located at 545 Erie St. SE. The applicant states the hardship as the house was constructed 12 feet from the north property line with a 3 to 4 foot entrance addition leaving 8 to 9 feet to the property line. The curb cut is located approximately 2 feet from the property line and the driveway will angle to the north property line. GENERAL INPl7RMATIDN Existing Zoning: R2 (Law to Medium density residential) Property Location: 545 Erie St. SE Lot Size: 66' X ] 32' Existing Land Use: Single Family Residential Adjacent Land Use And Zoning: R2 (Low to Medium l]ensity Residential) and Il (Limited Industrial Park) Comprehensive Land Use Plan: Traditional Residential Neighborhood Zonfng History: N/A Applicable Regulations: Sections 8.04 and 6.04 SPECLAL INF4RMATIQN Transportation: Erie Sheet SE Parking: N/A ~(c)~. Variance Kerry Krueger - 545 Erie St. SE Planning Commission--dune 17, 2002 Page 2 Analysis and Ltecommendation: Staff discussed the possible drainage issues to the north property. There was also discussion on snow removal and the placement of the snow. 'T'he property owner must provide the exact location of the property line to assure the hardsurfaced driveway is not placed on the adjoining property. 'there is an alley to the rear of the property and the garage door is on that side. 'T'he area proposed to be hardsurfaced does not extend beyond the house to the garage. The driveway area will be approximately 12' X 44' along the north side of the house. Planning Staff recommends approval of the request with the following recommendations: 1. Verify drainage does not increase to the property on the north. 2. Verify location of water standpipe if placed in driveway. 3. Verify exact property line.location. (This may require a survey of the property) 4. Snow must not be placed on neighboring property. Cc: Kerry and Rita Krueger, 924 Keith St. SW 5~~~~. ,~~~~ ~i • i rti~orse. ~rN4 wa f C ._`~ SyS E~-~ e ..S -r S ~ l~ufC,b, rnSeh~ fZnfV ~ ~~0 2 i ~ ,~~C.~ RESOLUTION NO. 12204 VARIANCE REQUESTED BY I.ARSUN BUILDERS, APPLICANT, TO REDUCE SHORELANA SETBACK FROM SO FEET' TO 40 FEET 'CO REPLACE ANON-CONFORMING DECK WITII A 3-SEASON PORCFI LOCATED AT 326 SCHUOL ROAD S.W. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MN: FIlVDINGS Larson Builders, applicant, has applied for a variance to reduce shoreland setback 10 feet to replace existing non-conforming deck with a 3-season porch located at 32G School Road S.W. with the Following legal description Legal Description: Lot 4, Black 1, Miller Townharrse Addition 2. The City Council has considered the recommendation of the Planning Commission and the effect of the proposed use on the health, safety, and welfare of the occupants of the surrounding lands, existing and anhc~pated traffic conditions, and the effect on values of properties m the surrounding area and the effect of the use on the Comprehensive Plan. 3. The Council has determined that the proposed use is in harmony with the general purpose and intent of the Zoning Ordinance and the Comprehensive Plan. CONCLUSION The City Council hereby approves the variance based on the hardship the units were constructed before the shoreland ordinance was adopted, but approves the variance with the Following conditions: 1. The deck and porch must be constructed as provided in the plans dated May 1, 2003. 2. No vegetation may be removed along the shoreline. 3. This variance does not commit the City to issuing other variances in the area for similar purposes. Adopted by the City Council this 24"' day of Tune, 2003. ATTEST: Gary D. Plotz City Administrator Marlin D. Torgerson Mayor St~~3 Hutchinson Cit Cy enter • DATg; June 18, 2003 171 Hassan Street 5E Hulchinvnn, MN 55350-2522 320-587.5151/Fax 320.234.41A0 MEMORANDUM TO: Hutchinson City Council FROM: Ilutchinson Plannine Commission SUBJECT: VARIANCE REQUESTED HY CARSON BUILDERS, APPLICANT, TO REDUCE SHORELAND SETBACK FROM 50 FEET TO 40 FEET TO REMOVE EXISTING NON-CONFORMING DECK AND REPLACE WITH A 3 SEASON PORCH LOCATED AT 326 SCHOOL RD SW Pursuant to Section 6.04 and Ordinance 92-56 of the CityCode, the Hutchinson Planning Comrxrission is hereby submitting its findings of fact and recommendation with respect to the aforementioned request For a variance. HISTORY The applicant is requesting a variance to replace an existing non-conforming deck with a 3-season porch40 feet from the Ordinary High Water Level located at 326 School Rd SW. The ordinance requires a 50 foot setback. There was a variance granted to a neighboring property iri October, 2002. The pcmtit was issued For the same type o£project. T'he lakcshore in this area is heavily buffered by intense vegetation and this project will not detrimentally affect the lakeshorc. S[aff researched the remaining properties in the area and noted there are three remaining homes with the same setback to the lakeshore. The hardship o£this property would be the units were constructed in 1977 be£orc the Shoreland Ordinance was in place. FINDINGS OF FACT 1. The required application was submitted and the appropriate fee paid. 2. Notices were mailed to the surrounding property owners as well as published in the FIutc~n Leader on June 5, 2003. 3. At the public hearing held, no neighbors were present to object nor had staff received any written objections. 4. The hardship is the units were constructed before the Ordinance was in effect. 5. The Area Hydrologist reviewed the request and recommends denial of the variance. (June 11, 2D03) RECOMM ATI~N The Planning Commission, on Juue 17, 2003, voted unanimously to recommend approval of the variance with the following conditions: 1. The deck and porch must be constructed as provided in the plans dated May 1, 2003. 2. No vegetation maybe removed along the shoreline. 3. This variance does not commit the City to issuing other variances in the area £ox similar purposes. ectfully s bmitte , Dean Kirchoff, Chairman Hutchinson Planning Commission 1 _J cc: Doug Kephart, Larson Builders, 640 Adams St. S Laurie Ktawitter, 326 School Rd SW Printed rm rxyelcd paper 5(~.~3 CITY OF HUTCHINSON PLANNING STAFF REPORT To; Hutchinson Planning Commission Prepared By: Planning Staff: Brad Emans, Dolf Moon, Don Nelsen, Miles Seppelt, Jake Wegner, Jean Ward, John Rodeberg, P.E., John Webster, John Olson, Lenny Rutledge, Barry Greive, Mark Schnobrich, Marc Sebora, Gary Plotz, Ken Merrill, Jim Popp, Dave F,rlandsou, Dick Nagy, Julie Wischnack, AICP, and Bonnie Baumetz Date: June 2, 2003 _ Meeting Date: June I7, 2003 Applicant: Larson Builders, applicant Laurie I{lawitter, property owner VARIANCE Brief Description: The applicant is requesting a Variance to reduce shoreland setback from 50 feet to 40 feet to remove anon-conforming deck and install a 3-season porch located at 326 School Ad SW. This is a similar request as the variance approved at 346 School Rd SW, October 22, 2002. The property is part of a townhome grouping on School Road. • GENERAL INFORMATION Existing Zoning: R4 (High Density Residential) Property Location: 326 School Rd SW Lot Size: 24' X 53' Existing Land Use: Multi-Family Residential Adjacent Land Use And Zoning: Single Family Residential - Zoned R1 Comprehensive Land Use Plan: Traditional Residential Neighborhood Zoning History: N/A Applicable Regulations: Ordinance 92-56 - Sections3.31 and 5.2, Hutchinson City Code SPECIAL INFORMATION . Transportation: School Road SW Parking: N/A 5L~~3 Variance Larson Builders/Laurie Klawitter -- 326 School Rd SW Planning Commission- June 17, 2002 . Page 2 Analysis and Recommendation: The Shoreland Regulations, which were adopted in 1992, were placed into effect to protect the shores of lakes from intense development and visual intrusions. Those units were constructed in 1977 and predated the new zoning law. However, new structures are required to meet the minimum setbacks that are established by the ordinance, except as provrded by the variance process. The City Cvde provides the following when considering variances: "A variance may not circumvent the general purposes and intent of this ordinance. Na variance may be granted that would adlow any use that is prohibited in the zoning district in which the subject property is located. Conditions may be imposed in the granting of a variance to ensure compliance and tv protect adjacent properties and the public interest. !n considering a variance request, the Planning Commission and City Council must also consider whether the property owner has reasonable use of the land without the v¢riance, whether the property is used seasonally oryear-round, whether the variance is being requested solely on the basis of economic consider¢tivns ¢nd the characteristics of development on adjacent properties. " There was a variance granted to a neighboring property in October, 2002. The permit was issued for essentially the same project. The lakeshore in this area is heavily buffered by intense vegetation and this project will not detrimentally affect the lakeshore. Staff does recommend the association extend vegetation 10' closer than existing vegetation as a buffer from the Shoreland to compensate for the 10' reduction of setback. Staff would recommend approval based on the fact that the units predate the Shoreland zoning ordinance and the project will not expand further into the lakeshore setback than the existing deck. Staff researched all the properties in the development. There are a total of three additional properties which do not meet the 50 foot Shoreland requirements and will require variances when the deck must be replaced. The recommendations would be with the following conditions: l . The deck and porch must be constructed as provided in the plans dated May 1, 2003. 2. No vegetation may be rertroved along the shoreline and an additional 10 feet of vegetation is required to compensate for the reduction of the setback required. 3. This variance does not commit the City to issuing other variances in the area for similar purposes. Ce: Doug 1{ephart, Larson Builders, 640 Adams St. S Laurie Klawittcr, 326 School Rd SW )C c.~3 20596eHIGHWAY 7t~liTl'CI-IIN80N rMN 55350 rtes (320) 234-2560 RE~F~Ea Tune 11, 2003 '~Ul~ z z zoos Julie Wischctack CkY of yo 111 Hassan Street SB ~t ofp ~ mso,t Hutchinson, MN 55350 ~ $. Dear Ms. Wischnack: Re: Laurie Klawitter Variance Request Please consider the following comments in the variance application for Laurie Klawitter. The townhome development on School Road should be considered part of a Planned Unit Development (PLl'D) since the densities are far greater than what is allowed under conventional single-family residential development. Consideration for allowing greater densities under the PLTD provisions is given because of other mitigating factors in the design of the PUD. Mitigating factors of PiJD's include increased setbacks (125% to 150%), vegetative screening from the lake, dedicated open space, and many other tradeoffs, which are not found in this development. The variance should not be granted for many reasons, including the development is already nonconforming to the shoreland ordinance, the property can be putto a reasonable use with out the variance, the difficulty in conforming to the ordinance is not unique to the property, and no hardship exists for a sunroom or three season porch. 'Phis development is squeezed between School Road and South Fork of the Crow River. If a variance is granted, mitigation should be required as a condition. Mitigation could include placing rock riprap (on'~inr~ ensexists), creating a naturalized buffer strip, managing storm water, or increasing screening of the structure by p $ O• Please also recall Shoreland standards limit impervious area to 25 percent coverage. Thank you for your consideration of my comments. Sincerely, ],~~ Robert Collett Area Hydrologist bNR Infonnation:651-296-6157 1-888-646-6367 TTY: 651-296.5484 1-800-657-3929 QY~ Printed un Recycled Paper Containing a An pgnn~ Opportumry Employer ~~ Minimum of 109&+ Poxt-Consumer waste Whn Valves D~~er5lty r ~' m ~ 1 `. O)~ ~~ x F • 'A m. ~~ _ ~ h' ~0~~ Cry - ~ ~ , ~,°• ~\ J ~ .y9:-`,gym /Y, •ro ~ '~~,\~~,\ / `b ~ ~ ~ s ••~ ` ~ \\ Y TO ,, ~ ~ ''fig /% ., 9.33 ~'/T ~~~ \ / • <~ ~ = ~; r ~o ~~, ~~ it qp '~ ~ ~ ~: ~'. _ ~' ~~ ~~,~ '-~~ _~' _ ~ R i o ~ a .> (c~3 ~~ ~ ~z l )~~- PUBLICATION NO. ORDINANCE NQ 03-345 AN ORDINANCE OF THF. Cl'1'Y OF HLiTCHIrvSON, MINNF,SO'I'A VACATING A POR'170N OF THF. UTILI'T'Y AND DRAINAGE EASEMF.NT'$ LOCATED ON TIIE SOLiTHF.RLY PROPERTY l.irvE OF LOT 10, BLOCI{ 2, FIRST ADDITION TO RAVF.NWOOD 'T'HE CITY COUNCII.OF THE CITY OF HLJTCHINSON, MINNESOTA ORDAINS: Section 1. Notice of hearing was duty given and publication of said hearing was duly tnade and was made to appear to the satisfaction of the City Council that it would be in the best interests of the City to vacate a portion of the utility and drainage easements located on the southerly property line of Lot 10, Rlnck 2, First Addition to Ravenwnnd for the purpose of constructing a window wi113 feet into the present easement area. Section 2. 'T'hat the utility and drainage easements to be vacated are described as follows: Vacate that part of the drainage and utility easement over, under and across the North 3.00 feet of"the south 6.00 feet of i.ut 10, IIlock 2, FIRST ADDITION TO RAVENWOOD, according to the recorded plat thereof, except the east 6.00 feet and the west 10.00 feet of said Lot 10. Section 3. This ordinance shall take effect from and afro passage and publication. Adopted by the City Council this 8'~ day of July, 2003. Marlyn Tnrgcrson Mayor CJ ATTEST: Gary ll. Plob.. Cily Administrator C -~ ~:~~~ Hutchinsgn Ct_'ty Center ~~ ~~~~ C~ 111 Hassan Street SN: HuMhinson, MN 55350.2522 3y0.587-S 151/Fax 3211.234.4240 MEMORANDUM DATE: .r,me i X, ~nnz 'f0: Hutchinson City Council FROM: Hutchinson Planning Commission SUBJECT: Consideration of Vacation of Drainage and Utility Easements located along the southerly property line of Lot 1D, Block 2, First Addition to Ravenwoad, 1187 Blackhawk Dr- SW Pursuant to Subdivision Ordinance No. 466, the Hutchinson Planning Commission is hereby submitting its findings of fact and recommendation with respect to the aforementioned request. HISTORY: The applicant is requesting a vacation of drainage and utility casements to reduce the 6 foot easement to 3 feet along the southern property line to allow for constnlction of a window well located at 11$7 Blackhawk Dr- $W FINDINGS OF FACT: . 1. Notices were mailed to the surrounding property owners as well as published in the J-lutcllinson Leader on 'Thursday, June 5, 2003 and'Iltesday, June 10, 20D3. 2- There were no neighboring property owners present objectitlg to the request- 3. It was noted the window well has been constmeted into the present easement- RECOMMENDATION: Planning Commission recommended approval of the request fox the vacation of easements. apectfully ubrru Dean Kirchoff, Chairman Hutchinson Planning Commission cc: Bruce Naustdal, 525 Harvest St. SW ~1 Prmrci un recycled pepcr - SC~~~ CITY OF HUTCHINSON PLANNING STAFF REPORT • To_ Hutchinson Planning Commission Prepared >3y: Planning Staff: Brad Emans, Dolf Moon, Dan Nelson, Miles Seppeit, Jake Wegner, dean Ward, Johq Rodeberg, P.E., John Webster, John Olson, Lenny Rutledge, Barry Greive, Mark Schnobrich, Marc Sebora, Gary Plotz, Ken Merrill, Jim Popp, Dave Erlandson, Dick Nagy, Julie Wischnack, ATOP, and Bonnie Baumetz Date: June 2, 2003 -Meeting bate: June 17, 2003 Applicant: Bruce Naustdal, property owner VACATION OF EASEMENTS Brief Description: The applicant is requesting a vacation of easements to reduce the 6' easement to 3' along the southern property line to allow for construction of a window well located at 1187131ack hawk Dr. SW in First Addition to Ravenwood. GENERAL INFORMATION Existing Toning: R3-PDD Property Location: 1187 Blackhawk Dr. SW Lot Size: 64.03' X 114.89' Existing Land Use: Single Family Residential Adjacent Land Use And Zoning: Single and Multi -family Residential Comprehensive Iaand Use Plan: Traditional Residential Neighborhood Zoning History: The property was zoned to a PDD in May, 2002. The PDD setbacks were approved at 6 feet for the side yards. Applicable Regulations: Section 12, Chapter 12, Hutchinson City Charter SPECIAL INFORMATION Transportation: Blackhawk Dr. SW Parking: N/A s~~~~~ Vacation Bruce Naustdal - l l87 Blachawlc br. SW Planning Commission-June 17, 2003 Page 2 Analysis and Recommendation: Staff was divided on granting the easement. There arc no services in the easement presently. Planning Staff recommends approval of the reduction of utility easement to three feet for the construction of a window well on the south side of the property. Cc: Burce Naustdal, 525 Harvest St. SW ~(~~~1 BUILDING PERN!!T SURVEY F4R BRUCE NAUSTDAL LOT i 0, BLOCK 2, FIRST ADDITION TO RAVENWOOD ~ 57.9: [ v I BM yB.Q Ls.] ~' Q Y r` 1, Q V' _ Y -~' a m e N 57.99 PROPOSED TOP OF FOUNDATION ~ 1061.6 PROPOSED GARAGE F{.OOR IO6i.3 PROPOSED BASEMENT F100R 1053.9 x s 3 y&e 9.1 _60.1 CQO°aSR'['1a"Ill I f R Ezlstlnq Hause 6a.q 60. X0.4 26.631 I I ~I ~I ~M I I II ~yXx58.5 1 •onr p 38. >~ to ~.~_ `° • Denotes iron monument found O Denotes Iron monument set I " Denares existing elevation ^ ( ) Denotes proposed elevation ~ PELLINEN LAND SURVEYING ~. n <a ~ PROPOSED 59' a HOUSE yg, 9 m 58. ,~, zo Garage SBfVIC83 58.6 I I The IRIBi Gra • 58.6 Inv.• y3.° 7--->< 59.3 ~ ~ 6a.7 D - n 6 -~ o B = 9. 3 60.0 : x m c 0 N P - I -^-~ g O J o Z ._ Y 2 58.0 TI[B Inlet ~ ~ 9s17 ~ ~+~ Inv.•532 ___X S89°55'08"W ! E 4.89 as,z ss.9 E\ O 15 3D 60 scale in feet BENCHMARK Paint spot an Tap of curb near the northwest corner of Lat 10, 91ock 2. Elevation - 1058A2 I I ya.y~ >ss.a ye.3~ 1 hereby certify that this Survey, Plan °r Report was prepared by me or under my direct supervlslon and that 1 am a duly licensed Land Surveyor under the laws of the State of Minnesota. Lic. No.®~'r+r~7, Date:~~• dL, ~M.3 HUTCHiN50N MN JOB N0. 03047 13K P-294 PG 67 DESCR~"tIUN POR PRUPUSID tit#SEA~TEN"T VACATION Lot 10, Block 2, FYRST ADDI'T1pN ro RAVk~VWOOD Vacate that part ofthe drainage and utility easement over, under and across the North 3.00 feet ofthe Saudi 6.00 feet ofLot 10, Block 2, FIRST ADDITIQN TO RAVE;NWOD~, acavrding to the recorded plat thereof, except the east 6.00 feet and the West 10.04 feet ofsaid Lot 10. r~ u ~~~~~~ PUBLICATION NO. ORDINANCE NO. D3-346 AN OKl)INANCE OF THE CITY OF HUTCHINSON, MINNESOTA VACATING A PORTION OF'1'HE UTILITX ANll DRAINAGE. EASEMENTS LOCATED ON TIIE EASTERLX PROPERTY LINE OF LO1' 3, BLOCK ], FOlIR'1'H ADDITION TO LAKEWOOD TERRACE THE CIIX COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA ORDAINS: Section 1. Notice of hearing was duly given and publication of said hearing was duly made and was made to appear to the satisfaction of the City Council that it would be ut the best interests of the City to vacate a portion of the utility and drainage casements located on the easterly property line of Lot 3, Dlock 1, Fourth Addition to Lakewood Terrace for the purpose of constructing a detached garage. Section 2. 'that the utility and drainage casements to be vacated are described as follows: The westerly 4 feet of the easterly 10 feet of the drainage and utility easement on i.nt 3, Black 1, Fourth Addition to Lakewood Terrace; excepting the southerly 10 feet and northerly 6 feet thereof. Section 3. This ordinance shall take effect From and after passage and publication. Adopted by the City Council this 8`s day of July, 2003. r ~. Marlin'1'orgerson Mayor ATTEST: Cary D. Plntz (:ity Adtninistra[or ~lC.r ~J Hutchinson Cit Center 117 Hessen Street yN: Hu[ehinsOn, MN 5535(1.2522 32p.587.5757/k'ax 320.2344240 C M~:MORaNnuM DATE: June 125, 1tx13 TO: Hutchinson Ciry Council FROM: Hutchinson Plann~nv Conunission SUB.IECT: Consideration of Vacation of Drainage and Utility Easements located along the Easterly property line located at 595 Roberts Rd SW Pursuant to Subdivision Ordinance No- 466, the Hutchinson Planning Commission is hereby submitting its findings of fact and recommendation with respect to the aforementioned request. HISTORY: The applicant is requesting a vacation of drainage and utility casements to reduce the 10 foot easement tv 6 feet along the eastern property line to allow for construction of a garage located at 595 Roberts Rd SW C~ FINDINGS OF FACT: 1. Notices were mailed tv the surrounding property owners as well as published in the Hutchinson Leader on Thursday, June 5, 2003 and Tuesday, Tune 10, 2003. 2. There were no neighboring property owners present objecting to the request. RECOMMENllATION: Planning Comtission recommended approval of the request for the vacation of easements. spectfully su tted, Ds~ finnan Hutchinson Planning Corttn7ission • Primed an recycled paper - ~(~_~ sorrvan~a~enan:..~amrN.i..nnrairr.~w.vw.caw.vw.a~suiwReRUUV.vamr.UU.a.w.uu !, CITY OF NUTCH.INSON PLANNING STAFF REPORT • To: Hutchinson Pianuing Commission Prepared By: Planning Staff: Brad Emans, Dolf Moon, Don Nelson, Miles Seppelt, Jake Wegner, Jean Ward, John 12odeberg, P.E., John Webster, John Olson, Lenny Rutledge, Barry Greive, Mark Schnobrich, Mare Sebora, Gary Plotz, Ken Merrill, Jim Popp, Dave Erlandson, Dick Nagy, Julie Wischnack, AICP, and Bonnie Baumetz Date: June 2, 2003 -Meeting Date: June 17, 2003 Applicant: Jeff Bulau, property owner VACATION OF EASEMENTS Brief Description: The applicant is requesting a vacation of easements to reduce the ]0' easement to b' along the easterly property line to allow for construction of a garage located at 595 Roberts St. S.W. It is uncertain why there was originally a 10' side yard easement. Most easements in residential districts are 6'. Existing Zoning: R2 GENERAL INFORMATION Property Location: 595 Roberts Rd SW Lot Size: 120' X 120' F,xisting Land Use: Single Family Residential Adjacent Land Use And Zoning: Single and Multi -family Residential Comprehensive Land Use Plan: Traditional Residential Neighborhocd Zoning History: N/A Applicable Regulations: Section 12, Chapter 12, Hutchinson City Charter SPECIAL INFORMATION Transportation: Roberts St. SW and McDonald Drive • Parking: N/A J C~~S Vacation Jeff Bulau - 595 Roberts St SW . Planning Commission-June 17, 2003 Page 2 Analysis and 12ecommendatlon: Since most side yard utility and drainage easements located in residential plats are six feet, Planning Staff recommends approval of the reduction of utility easement to cix feet fnr the rrmctnmtinn of a detached garage on the east side of the property. Ce: Jeff Bulau, 595 Roberts St. SW J~~~ ~. ~ ~ ~ ~, •, °ai:e ra ~~ 4 {a` ae S a~ ~ ° V ~ 26 •S4a V~ >^. ,n =o 0 ~.a, o .GJ .r,? ~ •a.a 63 ~ '~ 1 V`+ 'r \ ~Oen~'4° q ~ ~ y~ ' i ry ~° G rs~ ~, I~l~, f ~ ~ra.y ~e'a@ 'o~ t 2q ~ I/~]~ O [~ e e-a I V I %,ha ~~ o ` M~ ~ ~ ' B °°a,°, ~o '~., ~'Qo k eOg~9 Cf r !~ ~ ~O e ` • x. y ~,„a~ \ `j .' ` 1 v ~' ~ ~' `~z ~ Denotes existing zpot eMVOrien [ lpenoSes prapcsed eFeva Pion Certi}[FOt~ o} SurrcY for SL TER BUILDERS LOT 3, BLOCK I, FOURTk ADDITION 76 LAKE WDOD TERRACE . ~ never cert:h mue n:a nary .ns wrnurea ay r w wiser m. rrrer rvanr.B:.n ana s.er ~ am a awr L:[emre fury S.rrgx aaeer me i°.r a rue Sian at M.nneym, $W]! I ~ c 30 Beak P 50 PFCClNEN Lk NO SVRYF YING tr7110.•_antrlrll.._an 0E$~,_ Dare Sept, 3D, 1986 56179 nr:nafa P1H: nen LI[enae no. 9626. Ftl! Ne. frhg! 13 AbfCNfNSLM, MIwxF50le RESOLUTION NO. 12199 RESOLUTION APPROVING PLANS AND SPECIFICATIONS AND ORDERING ADVERTISEMENT FOR BIDS LETTING NO. 5 PROJECT NOS. 03-12 8~ D3-19 WHEREAS, the Director of Engineering has prepared plans and specifications for the improvement of: Project No. 03-12: Edmonton Ave SE from Montreal St SE to Jefferson St SE by construction of storm sewer, sanitary sewer & services, watemtain & services, grading, gravel base, bituminous base, bituminous surfacing, trail and appurtenances Project No. 03-19: TH 7 Frontage Road - East of School Road by construction of street relocation, trail and appurtenances. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA: 1. Such plans and specifications, acopy of which is attached hereto and made a part hereof, are hereby approved. 2. The Director of Engineering shall prepare and cause to be inserted in the official newspaper, an advertisement for bids upon the making of such improvements under such approved plans and specifications. The advertisement shall be published for three weeks, shall specify the work to be done, shall state that bids will be received by the City Administrator until 10:00 am on Friday, July 18th, 2003, at which time they will be publicly opened in the Council Chambers of the Hutchinson City Center by the City Administrator and/or Director of Engineering, will then be tabulated, and will be considered by the Council at 6:00 pm on Tuesday, July 22nd, 2003 in the Council Chambers of the Hutchinson Gity Center, Hutchinson, Minnesota. Any bidder whose responsibility is questioned during consideration of the bid will be given an opportunity to address the Council on the issue of responsibility. No bids will be considered unless sealed and filed with the Director of Engineering and accompanied by cash deposit, cashier's check, bid bond or certified check payable to the Gity of Hutchinson for 5 percent of the amount of such bid. Adopted by the Hutchinson City Council this 24th day of June, 2003 Mayor City Administrator ~~(d~ . RESOLUTION NO. 12200 RESOLUTION ORDERING PREPARATION OF REPORT ON IMPROVEMENT LETTING NO. 13 PROJEGT NOS. 03-15 & 03-23 WHEREAS, it is proposed to improve: Project No. 03-15: Rolling Meadows Pond Modifications: Construction of storm sewer, outlet and inlet structure modification, street restoration, landscaping and appurtenances to increase the capacity of the pond outlet to reduce the potential for pond overtopping; Project No. 03-23: Grove Street Drainage Improvements (5th Ave SW): Construction of storm sewer, landscaping and appurtenances to provide access for rear-yard drainage improvements to be completed by area property owners. WHEREAS, it is proposed to assess the beneFted property for all or a portion of the cost of the improvement, pursuant to Minnesota Statutes, Ghapter 429, NOW, THEREFDRE, BE IT RESOLVED BY 7HE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA: THAT, the proposed improvement be referred to the Director of Engineering for study and that he is instructed to report to the Council with all convenient speed advising the Council in a preliminary way as to whether the proposed improvement is feasible and as to whether it should best be made as proposed or in • connection with some other improvement, and the estimated cost of the improvement as recommended. Adopted by the Council this 24th day of June 2003. Mayor City Administrator ~(~] . RESOLUTION NO. 12201 RESOLUTION RECEIVING REPORT AND CALLING HEARING ON IMPROVEMENT LETTING NO. 13 PROJECT NOS. 03-15 & 03-23 WHEREAS, pursuant to a resolution of the Council adopted June 24th, 2003, the Director of Engineering has prepared a report with reference to the improvement of Project No. 03-15: Rolling Meadows Pond Modifications: Construction of storm sewer, outlet and inlet structure modification, street restoration, landscaping and appurtenances to increase the capacity of the pond outlet to reduce the potential for pond overtopping; Project No. 03-23: Grove Street Drainage Improvements (5th Ave SW ): Construction of storm sewer, landscaping and appurtenances to provide access for rear-yard drainage improvements to be completed by area property owners and said report was received by the Council on June 24th, 2D03. NOW, THEREFORE, l3E IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF . HUTCHINSDN, MINNESOTA: 1. The Council will consider the improvements of such streets in accordance with the reports and the assessment of benefited property for all or a portion of the cost of the improvement pursuant to Minnesota Statutes, Chapter429, at an estimated total cost of the improvement of $68,750.00. 2. A public hearing shall be held on such proposed improvements on the 8th day of July, 2003, in the Council Chambers of the Hutchinson City Center at 6:00 P.M., and the Clerk shall give mailed and published notice of such hearing and improvements as required by law. Adopted 6y the Hutchinson City Council this 24th day of June, 2D03. Mayor City Administrator r ~ LJ SC~~ HL)TCHINSON ENGINEERiNG~PLJBLIC WOitxs DFPAtt'1"MENT Hutchinson (:i1y Center / 11'I I lnssm Surd tit r. / I I W dw~son D1N SS3!i0-2522 / 720 234-4209 / Fnx 720 274 4240 ENGINET;RING RE:PC]RT TO: Mayor and City Council FROM' John P. Rodeberg, Director of EngineeringlPublic Works DATE' June 24, 2003 SU6JECT_ Letting No. 13/Project Nos. 03-151 D3-23 Rolling Meadows Pond Modification/Grove Street Drainage Improvements I have studied the following areas based on reports completed 6y city staff and SEH Consulting (see Project Memorandum) and find that the proposed project is feasible and recommend it be constructed. Project No. D3-15: Rolling Meadows Pond Modifications: Construction of storm sewer, outlet and inlet structure modification, street restoration, landscaping and appurtenances to increase the capacity of the pond outlet to reduce the potential for pond overtopping; Project No. D3-23: Grove Street Drainage Improvements (5th Ave SW): Construction of storm sewer, landscaping and appurtenances to provide access for rear-yard drainage improvements to be completed by area property owners. r~ U ESTIMATED COST 03-15 03-23 TOTAL Construction COSt $47,000.00 $8,000.00 $55,Og0.00 EngineeringfConsulting $7,520.00 $1,280.00 $8,800.00 Administration $2,820.00 $480.00 $3,300.00 Fiscal/Legalllnterest $1,410.00 $240.00 $1,650.00 ESTIMATED TOTAL. $58,750.00 $10,000.00 $fi8,750.00 ESTIMATED FUNDING 03-15 D3-23 TOTAL Assessable Cost $0.00 $0.00 $D.OD Deferred Assessable Cost $0.00 $0.00 $O.pO City Banded $58,750.00 $10,000.00 $68,750.00 Gity-Trunk Water $O.DO $0.00 $0.00 City-Trunk Sewer $0.00 $0.00 $0.00 Federal Aid $p.00 $0.00 $0.00 MSA $O.OD $0.00 $0.00 Mn/DOT $0.00 $O.OD $D.OD ESTIMATED TOTAL $58,750.00 $10,000.00 $68,750.00 cc: Gal Rice -Engineering Department file: Letting No 13/Project Nns. 03-15/03-23 ~~c~ ) • lone 17. 2003 HUTGHINSON AREIA CHAMBER OF GOMMFRCE 1 2 MAIN STREET SbUTH, 1-IUTCI.IINSC~N, MN 55350 PHONE:32O°587-5252 FAX:32O-587-1752 WEBSITI?: WWW.HUTCHIN5ONCHAMeER.COM EMAIL: HCHAMBER@HUTCHTEL.NET The Honorable Marlin Torgerson City of Hutchinson 111 Hassan Street Southeast Iutchinson, MN 55350 pear Mayor Torgerson, The 29th Annual Arts & Crafts Festival of the Hutchinson Area Chamber of Commerce will beheld Friday, September 12, 10 a.m. to 6:00 p.m., and Saturday, September 13, 9 a.m. to 4 p.m. Our Arts & Crafts Task Force would like to request the following: • Use of Library Square Park far arts & craft exhibitors. • Closing of 1" Ave SE between Main Street and Hassan Street Far Taste of Hutchinson. . For emergency purposes the alley behind 101 Park Place will be continued tv the south side of the park. No obstructions will be allowed in this area. • Closing of Hassan Strcet between Washington Ave E to 2~' Ave SE for arts & craft exhibitors, dumpsters and restrooms. • Closing of the following municipal parking lat Friday morning, September 12 through Saturday, September 13. 1) Comer of Hassan Strcet and 1"Ave SE for Taste of Hutchinson vendor parking. • Close parking on the East side of Main Street between 1•` Ave SE and Washington Avc and along on the South side of Washington Ave between Main Street and Hassan St., to be used for exhibitor unloading and loading only. All exhibitors receive a parking authorization card. This card identifies vehicles parked in the restricted lots and allows exhibitors to replenish their inventory during the event. If you would like additional information, please contact the Chamber at 587-5252, Thank you for your help in making the Festival an event of which our community can be proud. Sincerely, `.~ ~..~ Tina Vorlicek . Vice President ~Atllllil#I11efZ~ f4 e4/filJtlltt~ SII1C8 ~9¢b'.. . ~YtaP,cir>Ig. ,3futcPcinontt a ~ette~e ~P.ace tc+. ~iiue, Il(f4~ili, and da 6ueineaa! sc~~ Hutchinson City Center L.J 111 Ilassen Street sC Hutchinson, MN 55350-2522 32D•387•5151/Fax 320.234.4240 T0: Mayor & City C~co/unncil FROM: Crary Plotz „~.r• l~'= SUBJECT: Consideration of Advertisement for Bids of Walking Floor Trailers DATE: June 17, 2003 in preparation of servicing the Minneapolis organics contract by August 1, 2003, we request authorization to advertise for bids For up to tour new or nearly new walking floor trailers. The bids would be considered at the Council meeting on July 8, 2003. After the bid award, it takes approximately 45 days to produce a new trailer if a good used unit(s) is not available. Thank you for your consideration. Printed on rccyclyd paper - 5` 4PPR Printcd:3Y1/2003 License Number: A-00125-002 State of Minnesota Gambling Control Board Premises Permit Renewal Application Effective 17ate: 10/1/2001 For Beard Use_O~ Amt. Pd ___ Check k Date: 9/30/2003 Name of Organization: VFW Post 906 Gamblin Premises Information Name of the establishment where galnbling will be conducted VFW Yost 90C 247 1st Ave 5E Hutchinson, MN 55350 County: McLeod Address Lessor information Note: Our records indicate that the organizstion owns this premises Bingo Activity Our records indicate that Bingo is conducted on these premises. Please refer to the instructions far required at Store a lnformatinn 2471st Ave SE Hutchinson, MN 55350 Bank Information Citizens Bank & Trust Cu 102 Main St S Hutchinson, MN 553SU 1150 Fairway Ave NW On the lines provided below list the name, address and title of at least two persons authorized to sign checks and make deposits and withdrawals for the gambling account. The organization's treasurer may not handle gambling funds. Name netty Marie Strax David Lawrence Neubarth mutt7n --)C~r~ Son g44 Merrill St Note: Our r~xords show the premises is located within the city limits Gambling IIank Account Number: 068881 City, State, Zip Code Hutchinson, MN 553SU Hutchinxon, MN 553,50 ~ ~ 7 l~ew, a At-e sw ~ ~v~L-1'~In~C7Y~ , mfv Title F.[.. tX Csx- ~ Y\ I FY C~rY,~,r, ru mug, ~ ~ e~ 55~' G rc0 -~ (Be sure to complete the reverse sick of this application) This form will be made available in alternative Cormat (ie. large print, braille) upon request. Page 1 of 2 (Continued on Hack) ~ ~-~~ perm No. 29y-•.gkaim~ rnn aeuu ue..,. m sai x..,t.m.~ntlm Mdr 11ev. SHORT TERM--~I00.00 noveaxu[xr gi.iieW,uKi RETAIL "ON BALE" estate of ~Cinnegota, COUNTY Oar, .....McLeod..... ~ C1tX.........._..___......Oa~......., Hutchi.4.@RAL ................__.... To the............citx..copn~il ....................of the..........ctrx.......................at.H11eF.h~EaQn.................. ........................................................................ .. State o[ MLutcaota: hereby apPE 1ea...Jor a liranie /or Eha term of.,,,. ..I ..-4~. _..... ... ... .. ... 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Eo-vdtr............L ~C1..~~~............_.Cc~.~..n:.l:~i....._.. ~.0..i..r...~.rtz.~~.s14S_._...___... ~'rctctv~- P~~l aE whtah Aloes mtd aPA~na......operate......ihe bua(aen oJ....._......_......Rx. c_~.........~ A...L~...!Yl ~ ~`J .S~.S._..__ and im Eha! end nA•wanl..... aed adaie......aa JoZlawe- That mid appdiamnE ........................is..a..._................dEixen.........oJ Eha UnEkd SEmtN7 of pool moral aharvOEP' and rapwk; and ha.,..,.......attainad Ehe ape eJ $1 yuw; that...........~0.i..c4 ........................................propdatan.__..ol Wa eatabduhmervt for which !ha Zdcenr wild be Woad i/ lhia mppddemEicn 4 Qrantad, That no manuJaotnrsr of sash ~rdntaricatdnp maZ6 diqucra has any ownerehlp, do while ar lA para. in tatd bw{nen aJ sold mppddearrt......or any tnterrea Lharedn; That mid oppifoana.,....»eaZoa,.....thir mPpl+aatian pwrruant and nabjeW b aEi Ehe Zasoe aJ !ha REate aJ Minrvemta and Eha arddrvanear and repu(atdoraa o1 mid........._.GLSJG............-.._.. nPpd(cnbde Eherety, whkh era Hanby mods a parE hereof. and hereby apru....~to obarnq and, a5ey the emrna; rae....r amr ~ralns...r n .n..r beJ nirnllwt Recommend approval. Privet's licanae L0. required for purchase. Police Chief F,ach npplicant Jurthar states that Jre ie not rtaw the holder o% nor has ~e made applfaattvn/ag nor does ate intend to make application far a Federal Retail Ika/er'a Special tax stamp /or tht sale a/ inwxicatit~ liquor, •._ r, o. salt..t..___~t.~~a.~.:...1~'s1Y,~~k`xe.~.._.~. -- 3zo -$l~~i-4 5cd 5 c~,~ M Memorandum To: Mayan / Council CC: Fran: Randy DeVries pate: 6/20/2003 Re: Onl Of slalC (ravel We arc rCqucsling out of state travel for city staff and two council. tncmba s for travel to Chelsea, Michigan, fox the purpose of touring two reverse osmosis water trcauncnt plants on 7/23/03. Staff members included in the travel are Randy DeVries, Dick Nagy, john Rodeberg, and Gary Plotz. This is a budgeted itccu. ~~>> Hutchinson Area Health Care ,hlutchtnson Cammurrity Hosptlal Bums Mrruur Nursru~~; Hun7<~ /Jasul Medical Cculcr 1U9711ighway 15 South Hutchinson, MN 5530 (i2U1 23i-000 June 19, 2003 The iIonorable Mayor Marlin Torgerson and Members of the City Council Hutchinson City Ccntcr 1 I 1 Hassan Street SE Hutchinson, MN 55350 Dear Mayor Torgerson and City Council Members: The Board of Directors of the Hutchinson Area Health Care (HAHC), as part of their regular meeting on June 17, 2003, considered the purchase of two capital expenditures, which need your authority. Additionally, the board adopted resolutions regarding certain changes to the member control agreement between I-IAHC and the Hutchinson Medical Center for the purpose of providing joint MItI services (see attachments). We are also requesting your authority to proceed with a partnership relationship with Presbyterian Homes for the purpose of providing Senior Care Services in Hutchinson. The following arc excerpts from the minutes (draft) of the meeting. Ultrasound Purchase. The Board reviewed a capital expenditure request for the purchase of two (2) Philips High Density Imaging 5000 SonoCTT"' Systems. HAHC currently owns two Philips ATL Ultrasound systems. The oldest is 7 years and out of date. There arc numerous technical factors, which limit the type of examinations that can be performed. This requires significant schedule manipulation to ensure that patients are scanned on the appropriate machine. The newest machine, which is approximately 3 years old, while better than the other, is not state-of--the-art. Currently an offer is being made that would replace both tnachines with state-of--the art technology for $175,100. An amount of $275,000 was planned in the 2003 budgeted for the replacement of a single machine. These new units would be identical and provide much better images through improved harmonics, 3D imaging, and better penetration for larger patients as well as provide improved ergonomics for our technologists. This equipment will be purchased through VHA, the group purchasing organization for the hospital. r1 LJ ~~ ~,~~ The Honorable Mayor Marlin Torgerson and Members of the City Council Yage two Tune 19.2003 Following discussion, Fortun made a motion, seconded by McGinnis, to request authority from the City Council to replace two (2) existing diagnostic imaging ultrasound units with two (2) Philips High Density Imaging 5000 SonoCTT"" Systems at a cost of $175,100. All were in favor. Motion carried. The second capital item for your consideration is a request for purchase of three Zoll MultiPro Plus 12-lead cardiac monitor/defibrillators for use in each ambulance. The following is an excerpt from the minutes: Purchase of Cardiac Monitor/ Defibrillators. The Board reviewed a capital expenditure request for purchase of three Zoll MultiPro Plus 12-lead cardiac monitor/defibrillators. These EKG machines would be used in each amhulanec to assist in early diagnosis of a heart attack so that a transfer can be expedited to Abbott-Northwestern Hospital's Level I Heart Program. The ability to obtain a 12-lead EKG in the field would substantially reduce the time of treatment for a patient. The proposed Novation (VHA) contract price is $68,956.35. The • Hospital Auxiliary will provide funds for the purchase of this equipment. • Following discussion, McGinnis made a motion, seconded by Ristau, to request authority from the City Council to purchase three Zoll MultiPro Plus 12-lead cardiac monitor/defibrillators at a cost of $68,956.35. The Hospital Auxiliary will fund the purchase. All were in savor. Motion carried. Senior Care Planning Patty McCullough, Partner, Health Planning & Management Resources Ina (HP&MR), was present at the meeting to report the findings of market and consumer research to the Scnior Care Task Force. The survey assignment was recently completed by the HP&MR lirm (see attached summary). Some of the facts reported by McCullough were: • Location of regular family physician -- 53.3% said the location was the Hutchinson Medical Center • Length of time with family physician - 59% were patients For more than 10 years. • Respondents were asked what were the top three things that would be a desired feature in a nursing home? (Private rooms did not rate as high as anticipated.) • Results were: . ^ Receive good care - 16.4% • Good food - 15.8% ~ ~~~ The Honorable Mayor Marlin Torgerson and Members of the City Council Yage three June 19, 2003 Friendly staff- 10.3% • Respondents were asked about the importance of a continuing care campus? • Replies show residents attach a very important factor to this type of campus arrangement. • Senior citizens shop for a nursing home by the levels of care available. Respondents were asked about the cost to be in a nursing home today? • 70 per cent said they thought the cost was $3,000/ month or greater. • They indicated they felt the price of assisted living is comparable with the price of a nursing home- McCullough commented that these were key points addressed in the telephone survey. A document was circulated to the members present that provided additional information. She further stated it would be unwise to proceed with the next research step, focus groups, until we develop cost information to reside in the facility and pictures of proposed living arrangements. She indicated potential residents would want to see more . of a finished product. McCullough stated to the board "At this stage, you have identified three potential partners. They are Presbyterian Homes who have offered 50 per cent, or more, of the needed equity; Board of Social Ministry who have offered ownership in The Oaks as their equity contribution, and St. Francis IIealth Carc, from Morris, who would propose to remodel the current home rather than to build a new facility and are unable to define the vision without additional research"- McCullough restated the vision that was articulated by the board when the Senior Services Campus development committee was first founded. Members of the Board of HAHC contemplated the differences among the potential partners and were aligned on a shared vision with Presbyterian Homes. Some comments by those in attendance were: Foundation Board Member Jim Mills reported Presbyterian is very reputable, if you need to acquire more property it would be a fantastic development for this area. Hoversten acknowledged the campus approach is great. Fortun agreed that we need to move on and that Presbyterian is hands down the best and is one we can trust. Iioule said he was impressed with the Presbyterian homes he had seen at Stillwater and Minnetonka. Snapp agreed Presbyterian was the strongest of the three. Board members contemplated next steps in the process and will recommend to the city . council the development of a letter of intent between Presbyterian Homes and IIAHC to proceed with a partnership relationship. ~~~~ "fhe Honorable Mayor Marlin Torgerson and Members of the City Council Page four .lune 19, 2003 There being no further discussion Fortun made a motion, seconded by Houle, to adopt a resolution authorizing HAHC and its Chief Executive Office to negotiate a letter of intent with Presbyterian Homes to jointly develop a senior care campus. Al] were in favor. Motion carried. Hutchinson Diaenostic Center Resolutions Tom Schroeder, HAl-IC's legal counsel from Faegre & Benson LLP, was in attendance and presented some proposed resolutions relating to Hutchinson Diagnostic Center (HDC). Schroeder said that there were two proposed resolutions before the Board: The first, authorizing our amendment of the Member Control Agreement between HAHC, 1-Iutchinson Medical Center (HMC) and HDC; and the second, directing the establishment of a comp]iance program for HDC. As background i'or these amendments, at its September 17, 2002 meeting the Board authorized the establishment oFHDC as a limited liability company whose purpose was the operation of a new MRC imaging center. The Board, together with HMC's board, had determined that the hospital's MRl capabilities were not adequate for its patients' needs, . and that a new arrangement was required to provide a broader range of diagnostic modalities including neurological and cardiac imaging, as well as to increase the hours of services available. Schroeder reminded the Board that any joint venture that includes referring physicians inevitably implicates the Medicare Antikickback Act. This is the case with HDC, even though HMG's physicians will not have a direct ownership interest in IIDC, but only in their practice as a whole. While federal regulations have created certain "safe harbors" describing arrangements that are essentially immune from prosecution, HDC does not fall squarely within any safe harbor- Nevertheless, Schroeder said that because we met a majority of the elements of the "medically underserved area" safe harbor and because HDC incorporates several safeguards against abusive referral practices, the parties had felt that we may be able to obtain a favorable written advisory opinion from the federal agency overseeing the Antikickback Act -the United States Department of Health and Human Services, Office of Inspector General (OIG). Schroeder noted that one of the safeguards included in the HDC arrangement was the allocation of all revenues attributable to public payor reimbursement to HAHC. Legal counsel for both HAHC and HMC had thought that this special allocation might effectively remove the Antikickback Act from consideration, since the Act only applies with respect to federal program reimbursements. . Schroeder said that in March of this year the OIG finally responded to our request for a written advisory opinion. The attorney representing the agency, Darlene Hampton, said C-~~ . The Honorable Mayor Marlin Torgerson and Members of the City Council Page five June 19, 2003 that they would not be able to issue a favorable written opinion due to the involvement of referring physicians in the joint venture. Ms. Hampton emphasized the fact that the joint venture fell outside any existing safe harbor -- a fact which the parties were already well aware of. Ms. IIampton was concerned about the possibility that referrals to HDC might be influenced by the physicians' indirect investment interest in HDC as shareholders and/or employees of I3MC. Morcover, the special allocation of federal program revenues to the hospital did not remove Ms. Hampton's concems. In fact, she was troubled by the possibility that HDC's distributions to its members may not be proportionate to those members' initial capital investments (i.e. 50/50). Schroeder said that both he and legal counsel for HMC disagreed strenuously with Ms. Iampton's conclusions, and that they were particularly frustrated by the lack of analysis supporting those conclusions. Morcover, Ms. Hampton was unwilling to discuss modifications to thejoint venture's structure which would alleviate OIG's concerns. In summarizing our current position, Schroeder said we are essentially where we were on November 1, 2002 when we first established HDC. The one difference is, we have a better understanding of OIG's position on issuing written guidance with respect to these kinds of joint ventures. It is clear that OIG is unwilling to provide any assurances with respect to the arrangement's compliance with the Antikickback Act, but there is no legal requirement that we obtain such assurances so long as we are not behaving illegally - i.e., with wrongful or illegal intent. Schroeder stressed that it would be desirable in light of OIC's expressed concerns to modify the transaction to delete the special allocation, since we now know that it serves no purpose and indeed causes the OIG concerns. Schroeder also said that it would be helpful to demonstrate our proper intent and dedication to compliance if both members and I•iDC were to establish a rigorous and comprehensive compliance program far HDC tailored to its MRI operations. Specifically, he recommended that this program include, at the very least: (1) a notice to patients concerning HMC's (and indirectly, the individual physicians') ownership interest in HDC; (2) notice to patients of alternative facilities for MRI services in the region; and (3) an ongoing mechanism for evaluating the utilization and medical necessity of services at HDC, including the use of industry benchmarks to detect any aberrations in utilization or physician referral activity. Schroeder asked if there were any questions or concerns. Hoversten asked "what our risks really were." Schroder said that from a pragmatic standpoint, perhaps HAHC's (and therefore the City of Hutchinson's) greatest risk was from whistleblowers who might misperceive or distort the intent of the arrangement and file a false claims act lawsuit or include such a claim in a wrongful termination suit. While Schroeder believed such a lawsuit would be dismissed, even early dismissal comes with a price. Hoversten then asked what the ultimate penalties were under the Antikickback Act in the event of conviction. Schroeder said $25,000+ fines, imprisonment, civil penalties and probable exclusion from Medicare. ~(b~ The Honorable Mayor Marlin Torgerson and Members of the City Council Page six ,tune 19, 2003 Foram asked whether the physicians couldn't do this arrangement on their own. Graves responded that they could and in fact have considered this. The unfortunate outcome of that, however, would be the construction of two separate MRi facilities in Hutchinson, which wouldn't serve either party's interest, much less those of the patients HAHC serves. We are better off joint venturing to provide consolidated and superior services. Sclrroeder added that there is a safe harbor applicable to physicians investing in their own group practices, and that this safe harbor would potentially apply to aHMC-awned MRI facility. The irony is, that if the physicians went it alone they would capture 100% of their referral revenues, which logically should be even more troubling to the government. Graves asked the Board if there were any further questions. He stated that the City Attorney had been informed of these resolutions and had requested that the Board's minutes be forwarded to the Council, but otherwise the City Attorney said that the decision was ultimately within the authority of this Board. Phil also pointed out that in the future IIAC will likely be expanded to include other services such as a sleep center. • There being no further discussion I-Ioule made a motion, seconded by Fortun • to approve the resolutions as drafted. Four were in favor; McGinnis abstained due to her ownership interest in HMC. The motion carried. Thank you in advance, for consideration of these requests. lluane Hoversten will be present For your regular meeting on Tuesday and will answer questions you may have regarding these items. Sincerely, ,~ ~ / ._-~ Philip G- Graves President /cs J q ~ h~ . HU7`CI~INSON AREA HEALT)FI CARE Resolution of Board of Governors BACKGROUND On November 1, 2002, Hutchinson Area Ilealth Care, an operating division of the City of Hutchinson, Minnesota ("HAHC") and Hutchinson Medical Center, a Minnesota professional corporation ("HMC") formed Hutchinson Diagnostic Center, LLC ("HDC") for the purpose of operating a new imaging center. HAHC and HMC mutually determined that the HAHC's previous MRI capabilities were inadequate to meet the needs of the service area and that new capabilities were needed to provide a broader range of diagnostic modalities (e.g., neurological and cardiac imaging), improved quality through enhanced imaging technology, improved patient care (e.g., anesthesia services for special needs patients), and round-the-clock availability. HDC was established on the principle that HMC and HAHC would have equal ownership and control. The parties recognized at the time, and remain cognizant of the fact today, that the HDC arrangement potentially implicates the so-called Medicare Antikickback Act (42 U.S.C. § 1320a-7b) because of the fact that HMC physicians refer patients to HDC. The parties also recognize that the arrangement does not satisfy the requirements of any . available Antikickback Act "safe harbor" found in the federal regulations. Notably, the arrangement meets nearly all the requirements of the safe harbor for underserved areas, but Hutchinson and the HDC service area are not cwrently designated as a medically underserved areas ("MUA") or a medically underserved populations ("MUP"), and while HAHC is pursuing such designation, it is doubtful chat it will be achieved. Under these circumstances, and with the intent of obtaining maximum clarification of this uncertain area of the law and its application to the HDC arrangement, the parties decided to seek a written advisory opinion from the United States Department of Health and Human Services, Office of Inspector General ("OIG"). While the advisory opinion request to OIG was pending, the parties attempted to structure HDC so that HMC would not receive any distributions attributable to referrals by HMC physicians for government program beneficiaries (i.e., Medicare and Medicaid). Therefore, the HDC Member Control Agreement provides for the segregation of HDC income and losses attributable to state and federal health care programs ("Government Items") from income and losses attributable to private payors and all other sources ("Non- government Items"). This segregation is accomplished through application of special allocation conventions that are commonly employed in partnership and LLC accounting. Non-government Items are allocated on a 50/50 basis, in proportion io HDC ownership, while Government Items are allocated and distributed solely to HAHC. The OIG has recently informed the parties and their attorneys that it is unable to issue a favorable written advisory opinion for HDC. In the process of informal conversations between the parties' attorneys and the attorney representing pIG, one of the concerns raised by OIG related to the special allocation of net income and losses attributable to c~c~~ Governmental Items. The parties have now withdrawn their request for a written advisory opinion, but in response to the concerns raised by the OIG, and in order to ensure that any net income or loss attributable to federal or state health care programs, as well as any distributions associated with such income or loss, are allocated appropriately between the members in proportion to their ownership interest in HDC, the parties have determined that the special allocation rules reflected in the Member Control Agreement should be eliminated. The purpose of these resolutions is to provide that future allocations and distributions shall be equal between HAHC and HMC for both Government Items and Non-government Items. The primary concern raised by OIG in the course of the parties' informal conversations was the perception that referrals to HDC might be influenced by the physicians' indirect investment interest in HDC as shareholders and/or employees of HMC. While such influence is certainly not the intention or purpose of the joint venture, and while the joint venture already incorporates several safeguards against this concern, the parties are nevertheless determined to take additional measures to demonstrate both their bona fide intent and full compliance with the law. Accordingly, these resolutions instruct that HMC, HAHC and HDC work together to develop and implement a comprehensive compliance program for HDC that evaluates the utilization of services, medical necessity, service quality, and compliance with federal and state laws regarding referrals for services. RESOLUTIONS The Board of Governors of Hutchinson Area Health Care, exercising the authority conferred upon it by Minnesota Statutes section 144.581, subdivision 1, and by its own Governing Board $ylaws, hereby adopts the following resolutions: WHEREAS, at its September 17, 2002 meeting, the Board determined that the formation of a new, provider-based joint venture entity with Hutchinson Medical Center, P.A. for the provision of high quality, cost effective M1tI scanning services was consistent with the hospital's health care mission and was in the best interests of the patients and community it serves; WIIEREAS, effective November 1, 2002, Hutchinson Diagnostic Center, LLC was created by the execution of a Member Control Agreement and certain other agreements by and among HDC and its members, HMC and HAHC; and WHEREAS, Section 6.1 of the Member Control Agreement slates that income or loss attributable to federal and state healthcare programs shall be specially allocated solely to IIAHC and not allocated among the Members in proportion to their ownership interests in HDC, and Section b.3 states that distributions to HAHC shall be increased or decreased to reflect such income or loss specially allocated to HAHC; and WHEREAS, as a consequence of communications with government authorities and additional analysis undertaken in connection with the parties' request to the OIG for an advisory opinion, which request is now been withdrawn, the parties have determined that It is in their best interests and will further the compliance interests of HDC and its Members io ~, ~~h~ amend the Member Control Agreement to provide that all net income, loss and any distributions shall be allocated among the Members in proportion to their ownership in HDC, without regard to whether such income, loss or associated distributions are attributable to a federal or state health care program; and WHEREAS, HAHC wishes to work with HMC to promote HDC's establishment of a rigorous compliance program to ensure continuing compliance with all applicable laws and regulations; NOW, THEREFORE, IT I5 HEREBY RESOLVED, that the Board of Governors of }IAHC hereby approves the Amended and Restated Member Control Agreement attached hereto, and that HAHC's Chief Executive officer, with the assistance of other appropriate officers, employees, and legal counsel, is hereby authorized to execute such Agreement on HAHC's behalf. RESOLVED, FURTHER, that HAHC shall work with HMC and HDC in the development and implementation of a comprehensive compliance program for HDC in order to ensure the parties' compliance with all applicable laws and regulations. The compliance program should include, without limitation, mechanisms for evaluating the utilization of services, medical necessity of services, quality assessment procedures, procedures for ordering and performing services, and compliance with federal and state laws and regulations • regarding referrals for services. These mechanisms should include measurement of I-IDC's performance against external, independently-established benchmarks and appropriate certifications or assurances that HMC's physician compensation program continues to comply with standards to insure that there are no unlawful inducements or rewards for making referrals to HDC. Mi:~ouxiys.u~ r~ ~~ ~~-h~ Secretary's Certtficate The undersigned, ,does hereby certify as follows: (i) s/he is duly elected, qualified, and acting Secretary of Hutchinson Area Health Care; and (ii) the Resolution attached tv this Secretary's Certificate was duly adopted by a majority vote of the Board of Governors of Hutchinson Area Health Care at a duly held meeting of the Board convened at on June 17, 2003 at which a quorum of the Board was in attendance. Name: Signature: Date: M19W2195A1 ~/ • t~JJ~EI!II?!JD AND RESTATED MEMBER CONTRDL AGREEMENT or HUTCHINSON DIAGNOSTIC CENTER, I.I.C THIS AGREEMENT (the "Agreement") is made effective as of TTY 2AA2; .2003. by and among Hutchinson Diagnostic Center, LLC, a Minnesota limited liability company (the "Company") and Hutchinson Area Health Care, an operating division of the City of Hutchinson, Minnesota ("HAHC"), and Hutchinson Medical Center, F.A., a Minnesota professional cnrporation ("HMG"). RECITALS: A. IL4HC and HMC are all of the members (individually a "Member" and collectively the "Members") of the Company. B. This Agreement is a member control agreement under Minnesota Statutes, Section 322B.37. C. The parties jointly dedicate themselves, through the establishment of the Company, to the provision of high-quality, efficient and cost-effective imaging services to patients in need of such services within their service area, and to that end, they mutually desire to make certain agreements relating to the (i) admission and termination of Company Members, (ii) allocation of income, losses and distributions among the Members, and (iii) circumstances and terms upon which the Company will redeem the units of ownership of the Members (the "Units"). AGREEMENTS: NOW, THEREFORE, in consideration of the mutual promises and agreements contained in this Ayneement and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: ARTICLE 1. PURPOSES AND FOWERS 1.1) Purposes. The Members believe that providing services in the manner described in this Agreement will beneft the communities they serve in a variety of ways, such as by providing more convenient, easily accessible, higher quality services, and allowing the Members to better coordinate the provision of services. Furthermore, HAI3C is an operating division of a municipality and, in support of HAHC's public and charitable purposes, the parties agree to: (a) Operate the Company at all times for public and charitable purposes, within the meaning of the Constitution and laws of the State of Minnesota, including the q~_~~ Charter of the City of IIutchinson, as may be amended from time to time, including the purpose of promoting health in a manner beneficial to the community; (b) Provide medical care to Medicare and Medicaid beneficiaries without discrimination; and (c) Adopt a charity care policy or support the charity care policy of FLAIIC. Notwithstanding any other law, rule or agreement to the contrary, the parties agree that these purposes override any duty that the Members, Board of Governors, or the Company's managers may otherwise have to operate the Company for the financial benefit of any individual or entity, including the parties. 1.2) Powers. The Company shall have the powers set forth in Section 322B.20 of the Act, subject to any limitations provided in any other Minnesota statute, in the Company's Articles of Organization, Bylaws, or this A~eemenl. ARTICLE 2. ADMISSION OF MEMBERS 2.l) Initial Members. The Members of the Company and the munber of Units initially issued to each Member are listed on Schedule A. Such Members are all of the members of the Company as of the date of this Agreement. 2.2) Subsequent Members. No other person or entity shall become a member of the Company, unless such admission has been approved by all of the Members, and such new member has executed a counterpart of this Agreement and is listed on Schedule A. 2.3) No Voluntary Withdrawal. No Member shall withdraw from the Company without the approval of all of the Members. ARTICLE, 3. UNITS OF OWNERSI3IP 3.1) Units of Ownership. Ownership in the Company shall be composed of units of interest ("Units'. Each Unit shall be identical to every other Unit with respect to financial rights and governance rights. The number of Units issued and outstanding from time to time shall be those Units issued by the Company, less any Units the Company has redeemed or repurchased. 3.2) Acceutance of Contributions; Issuance of Units. Subject to the approval of all of the Mernbers, the Board of Governors is authorized from time to time on the Company's behalf to accept contributions from such persons, at such times, in such amounts, in such fotms and upon such other terms and conditions as the Board of Governors shall determine. In connection _2_ ~«~ with the acceptance of each contribution to the Company, the Board of C'rovernors shall determine the price per Unit and the number of Units to attribute to the contribution. 3.3) Redemption or Repurchase of [Jnits. Subject to the approval of all of the Members, the Company may redeem or repurchase from time to time one or more of a Member's Units for such purchase price, and on such other terms and conditions, as the Company and the Member may agree. ARTICLE 4. RELATION TO ARTICLES OF ORGANIZATION AND BXLAWS 4.1) Conflict with Articles of Or anization. Subject to the provisions of Chapter 322B of the Minnesota Statutes, in the event of a conflict between the Articles of Organization and this Agreement, this Agreement shall be controlling. 4.2) Conflict with B laws. Subject to the provisions of Chapter 322B of the Minnesota Statutes, in the event of a conflict between the Bylaws and this Agreement, this Agreement shall be controlling. ARTICLE 5. CAPITAL CONTRIBUTIONS 5.l) Capital Accounts. A capital account shall be maintained for each Member. Each Member's capital account shall consist of its initial capital contribution to the Company and shall be (i) increased by such Member's additional capital contributions, if any; (ii) decreased by such Member's share of distributions from the Company; and (iii) otherwise adjusted in accordance with this Article and Article 6. 5.2) No Additional Capital Contributions. No Member shall be required to make any contribution to the capital of the Company after the Member's initial contribution other than as agreed upon by all of the Members, 5.3) No Rieht of Withdrawal or Return of Capital. No Member shall have a right to withdrawal or return of capital. 5.4) No Interest on Capital Accounts. No Member shall be entitled to interest on any capital contribution. ARTICLE 6. ALLOCATIONS AND DISTRIBUTIONS 6.1) Allocation of Net Income and Net Losses. Items of income, gain, receipt, loss, deduction and credit for the Company for cach fiscal year shall be segregatedallocated between 3- C1 C ~a) {a)-the porticn3-attributabk~tc~r,.,,^ .,.,.a r ,,.,.,,, ,..,.,,.>,,..,,.~ ~_ ............. <«r_... ^,-.....~,.., u....,..,,~ ...,,, .~ .. E :............e.,« T.~.......,...n ~e ..,,.,...,,ea ,_~..,.ee.. «,.e Members in proportion~~their ownership of Units-- errneL-a uwy ,..~;s..to~~~o.,..~.~-~-=,a ...,ferral~f^.. r_^,,,,,,,,,,,,,,,, r..,,,,~ X11-E~overnmen~ltdmr,--~1-~~ a - alloea 6.2) Allocation Provisions. The following provisions shall apply with respect to the allocation of Company items: (a) Contributed Property with Fair Market Value Different. than Basis. if property contributed to the Company has a fair market value different than its federal income tax basis to the contributing Member at the time of contribution, tax items subsequently arising with respect to such property shall be allocated in accordance with the requirements of Internal Revenue Code (the "Code") Section 704(c). (b) Section 754, Any election by the Company under Section 754 of the Code to adjust the basis of assets pursuant to Section 734 and Section 743 shall be made in the discretion of the Board of Governors. If such election is made, allocation of items of Company income, gain, loss and deduction shall be made in a manner consistent with such allocation of basis in accordance with Section 734 and/or Section 743 of the Code, as the case may be, notwithstanding any other provision of this Agreement. b.3) Operating, and Liquidating Distributions. All distributions shall be made in the discretion of the Board of Governors and shall be distributed among the Members based on their ownership of Unit... .._,,..:ae., ,,,...e. e_ a.... r _ e..,.,, r......, ...,,_ ,.,;.,, ,.^n~^^. +^ „~.:.,~. Govertxnent--Itex~s--Have--been-specially--allocated--to--Hal~~srra•~,~te~eetre~ ti~-o-z--t~.~ ~,;r,..:,,.:^.....^.... ,^ use ur ..w^n ,.., :., .,a .,...a.,...^.,....,, ,...,,o.,^. +he•eorr~s r **C. The Board of Governors shall annually use its best efforts to cause the amount of cash to be distributed to the Members pursuant to this Section 6.3 to be sufficient to cover each Member's estimated tax liability with respect to Company operations. ARTICLE 7. MEMBER VOTING AND APPROVAL 7.1) Matters for Membership Approval. Members shall vote on those matters requiring a Member vote under this Agreement or the Articles of Organization, including, without limitation, the following: (a) Admission of new Members, issuance of a new class or series of Llnits and . approval of the terms and conditions of such issuance, as described in Sections 2.2, 3.1, and 3.2; 4 ~ ~h~ (b) Repurchase of Units from Members, as described in Section 3.3; (c) A capital call, as described in Section 5.2; (d) A merger of this Company into or with one or more other limited liability companies or corporations, an exchange of the ownership interests in this Company for ownership interests of one or more other organizations, a sale, lease, transfer or other disposal of all or substantially all of the Company's property and assets, including its goodwill, which shall require the affirmative vote of 100% of all issued and outstanding voting Units of the Members; (e) Dissolution of this Company, which shall require the affirmative vote of 100% of all issued and outstanding voting Units of the Members, except as provided in Section 12.3; (t) Restrictions on the assignment of Membership Units as described in Sections 9.1 and 9.2; (g) Amendment of the Articles of Organization or Bylaws of the Company, which shall require the affirmative vote of 100% of all issued and outstanding voting Units of the Members; and (h) Appointment of members of the Board of Governors as described in Section 82. 7.2) Ouorum and Votin fg or Members. The holders of 100% of the voting power of the Members entitled to vote at a meeting, represented either in person or by proxy, shall constitute a quomm for the transaction of business at any regular or special meeting of the Members. ARTICLE 8. BOARD OF GOVERNORS DEC151ON MAKING 8.1) Board of Governors. Except as otherwise provided in this Agreement, the business and affairs of the Company shall be managed by or under the direction of the Board of Governors, including the following: (a) Approval of annual budget, including plans to purchase new equipment and decisions to borrow funds; (b) Approval of strategic and business plans; . (c) Retention and election of the Chief Manager/Chief Executive Officer; -5 ~Ch~ (d) Approval and termination ol'any outside management contract, billing and collection agreement or professional services agreement; (e) Termination or removal of the Chief Manager/Chief Executive Officer; (f) Approval oi'third-party payor contracts to which the Company is a party; (g) Approval of leases; (h) Establishment of committees, if any, and appointment of committee members; and (i) Decisions whether to exercise a purchase option under Article 10. 8.2) Number. Term and Qualifications. The Board of Governors shall consist of six (6) persons. Except with respect to the first Board of Governors, who shall be appointed by the organizer, the Board of Governors shall be appointed by the Members as follows: (a) HAHC shall appoint three (3) members of the Board of Govemors. (b) HMC shall appoint three (3) members of the Board of Governors. (c) Each Member may remove (with or without cause) any of its govemors and appoint his or her successor and shall appoint a representative to ill any vacancy in its governors. Each Member shall designate its governors in a writing signed by an officer of that Member. Each of its governors shall serve until his or her successor is appointed. The Company and the other Members shall be entitled to rely upon such writing. The governors appointed by the Member shall cease to be governors on the date that the appointing Member is no longer a Member. 8.3) Term. Govemurs shall serve terms of two (2) years each or until his or her successor is elected and qualified, or until his or her earlier death, resignation, disqualification or removal. A Member may reappoint a Governor to serve for a term regardless of the number of prior terms served. 8.4) uorum and Votin for Board of Governors. A majority of the governors currently holding office shall constitute a quorum for the transaction of business. The governors shall take action at a meeting at which a quorum is present by a vote of four (4) of the total number of govemors present at such meeting. CJ -6- ~c5~ . ARTICLE 9. RESTRICTIONS ON TRANSFERS OF UNIT'S 9.1) Financial or Governance Ri hts Not Se orate] Transferable. Members' financial or govemanec rights shall not he separately transferable except as approved by all of the Members. 9.2) Restrictions on Transfer of Units. No Member shall sell, transfer, assign, give or otherwise dispose of or encumber such Member's Units or any part thereof whether voluntarily, by operation of law, yr otherwise without consent of all of the Members. ARTICLE 10. DISSOLUTION, WINDING UP, ANll SETTLEMENT 10.1) Events Causing Dissolution. The Company shall be dissolved, and wound up and terminated in accordance with this Article only upon the occurrence of any of the following events: (a) Consent of Members. The Members agree, by a vote of all of the issued and outstanding Units held 6y the Members, to dissolve and wind up and terminate the Company. • (b) Judicial Dissolution. The entry of a decree of judicial dissolution, (c) Deadlock. In the event that neither Member will purchase the Units of the other Member, as described in Section 12.4. 10.2) Liquidation and Winding Un. Upon any event of dissolution, the Company shall be liquidated and shall wind up its affairs. The Chef Manager winding up the affairs of the Company shall promptly proceed to a liquidation of the Company and, in settling the accounts of the Company, the Company's assets shall be distributed in the following order of priority; (a) To creditors (including any Member, governor, or managers, if they are creditors) to the extent otherwise permitted by law, in satisfaction of the liabilities of the Company (whether by payment or the making of reasonable provision for payment thereof) other than (i) liabilities for which reasonable provision for payment has been made, and (ii) liabilities for distributions to Members. (b) To the Members, in proportion to and to the extent of the positive balances in their respective Capital Accounts. (c) The balance, if any, to the Members in proportion to their ownership of Units. C~ - ~- a~h~ • 10.3) Rieht of Offset. Should any Member owe the Company any sums, the Company is authorized to make an offsetting credit from any amounts otherwise payable to such Member by the Cornpany. ARTICI,Ir 11. PURCHASE OF A MEMBER'S UNITS 11.1) Events Resultine in Purchase Option. The following shall be referred to as "Events:" (a) a Member files a voluntary petition for bankniptcy or has filed against it an involuntary petition for bankruptcy which is not dismissed within thirty (30) days of filing, admits in writing its inability to pay its debts as they become due or makes a general assignment for the benefit of creditors; (b) any or all of a Member's [Inits arc subject to a judgment on which execution is levied; (c) any or all of a Member's Units are foreclosed upon (whether pursuant to UCC, Sections 9-504 or 9-505 or otherwise) or are sold or retained pursuant to any collateral agreement or otherwise; or • (d) the dissolution of a Member. (e) a Member receives a written notice or opinion from the United States Department of Health and Human Services (including its Oftce of Inspector General and its agents), the United States Departrent of Justice (including the United States Attorney for the District of Minnesota and his or her agents), and/or the Office of the Minnesota Attorney Gcncral that the Company and/or one or both Members' interests or activities in relation to the Company potentially violate the Medicare Fraud and Abuse Law codified at 42 U.S.C. section 1320a-7b(b), the sa-called Stark Law codified at 42 U.S.C. section ]395nn, Minnesota Statutes 62J.23, or any regulations promulgated pursuant to these laws. The Member with respect to which an Event occurs shall give prompt written notice to the Company and the other Members of such Event. 11.2) Company Option tq Purchase. In case of the occurrence of any of the Events specified in Section 11.1 above, the Company shall have, for a period beginning on the date of the occurrence of such Event and ending 1 SO days after the date on which Company receives the written notice required to be given by the Member by Section 11.1, the option to purchase all (but not part) of the Units owned by the Member (or, in the case of an Event described in Section 11,1(e), owned by IIMC) at a price and upon the terms determined under Section 11.3 and Section 11.4. C'ompany's option shall be exercised if Company so elects, by delivering written • notice of its election to exercise the same to the Member. In the event any such option is, for any - g- ~~h~ . reason, submitted to a vote of the Board of Governors while a director appointed by the Member is serving as a director, the Member agrees that its director will vote as a director upon the said question in the stone rnanner as a majority of the other directors vote upon the question. 11.3) Purchase Price. The purchase price of the selling Member's Units shall be determined based on the adjusted book value of the Company as of the last day of the month preceding the closing date, determined on an accrual basis of accounting by the certified public accountants regularly retained from time to time by the Company and based on the customary accounting practices and procedures employed in preparation of the financial statements of the Company. The following adjustments shall be made in determining the book value of the Company: (a) Goodwill shall not be treated as an asset in computing the book value. (h) Accounts receivable relating to amounts billed but not yet collected by the Company shall be treated as an asset, after adjustment for discounts, refunds and collection experience. (c) If, on the valuation date, the Company owns any securities of other corporations, the book value of such securities shall be equal to the book value per share of such corporation, determined in the same manner as book value is being determined for the Company; provided that any marketable securities shall be valued at their fair • market value. (d) With respect to items of annual expense, not readily allocable on a monthly basis, the total expense for the year in which the valuation date occurs shall be deemed to accrue at the rate of I/365 on each day of the year. (e) With respect to land, buildings, equipment and furniture, the value of such assets shall be the fair market value of those assets as determined by independent appraisal. If the parties to such purchase and sale cannot agree on the selection of an appraiser, then the selling Member and the purchasing party shall each designate one appraiser and the value of the equipment and furniture shall then be the average of the two appraisals. The selling Member and purchasing party shall divide 50/50 the fees and expenses of the appraisal(s). The value per Unit shall be determined by dividing the value of all outstanding Units of the Company, as determined above, by the total number of Units legally issued and outstanding on the closing date. The purchase price shall be determined by multiplying the per Unit value by the number of Units purchased. 11.a) Payment of Purchase Price. The purchase price for a Member's Units shall be paid in equal monthly installments, over the greater of sixty (60) months or the number of months remaining under the equipment lease or promissory note with respect to the Company's acquisition of the MRI unit. Interest shall accrue on the unpaid principal balance at the rate of two percent (2%) over the "Prime Rate" charged by U.S. Hank, from the date the initial payment is due, for ninety (90) day commercial Inans to borrowers of the highest credit ratings; provided . that such rate shall not exceed the maximum allowed by law. The first such payment shall be made on the first day of the calendar month following the closing date. The Company or Member purchasing the Units shall have the night to prepay the obligation in full at any time during the period of the obligations without prepayment penalty. Upon the closing date, the lJnits held by the Member shall be considered cancelled or transferred, as the case may be, to the Company or the Member purchasing such Units. 11.5) Right of Offset. Notwithstanding the foregoing provisions in this Agreement, if any Member owes the Company any sums, including unpaid capital contributions, the Company is authorized to make an offsetting charge against any amounts otherwise payable to such Member by the Company. ARTICLE 12. DISPUTE RESOLUTION 12.1) Dispute Resolution in General. In the event of a dispute between the Members arising under this Agreement or relating to the Company being formed hereunder, the parties agree to resolve the dispute under the provisions of this Article 12. 12.2) Ne otg iation. Following written notice of a dispute provided by one Member to the other, the Members shall first attempt to resolve the dispute through good faith negotiations . between their representatives. Such negotiations will be conducted between the President of IIAIIC and President of IIMC. Such representatives shall negotiate in good faith to resolve the matter for a thirty (30) day period following the date that they first meet to commence negotiations. 12.3) Arbitration. Tf the dispute is not resolved through negotiation under Section 12.2 and primarily involves issues of contract interpretation, breach of contract, breach of fiduciary duty, corporate opportunity or other business torts, either Member may, upon written notice to the other, require that the dispute be submitted to binding arbitration. Such arbitration shall be conducted in accordance with the commercial arbitration rules of the American Arbitration Association then in effect. For this purpose, the dispute shall be referred to a single arbitrator if the Members agree on the selection of a single arbitrator, or if not, then to a panel of three (3) arbitrators of which one (1) arbitrator shall be selected by each of the Members, with the third arbitrator selected by the two (2) arbitrators chosen by the parties. All arbitration proceedings shall be held in Hutchinson, Minnesota, or such other location as the parties may agree upon. Minnesota law shall govern all arbitration proceedings. The decision of the arbitrator, or the panel of arbitrators, as the case may be, shall be conclusive and binding upon the parties. Judgment so rendered may be entered in any court having competent jurisdiction thereof. 12.4) Business Deadlock. The Members agree that Business Deadlocks, as defined in Section 12.4(a) below, shall not be subject to arbitration in Section 12.3; rather, if the Business Deadlock cannot be resolved through negotiation under Section 12.2, then the Members shall proceed in the manner described in ibis Section. - 10- ~ rho • (a) For purposes of this Agreement, a Business Deadlock occurs when: (i) there is a disagreement between the Members or their Board representatives primarily over a business matter and not a matter subject to arbitration in Section 12.3; (ii) the matter is material to the Company, including without limitation, disagreement aver a matter in Section 7.1 or Section 8.1 (so long as material); (iii) one Member's representatives to the Board of Governors unanimously vote in opposition to the unanimous votes east by the other Member's representatives to the Board at two (2) consecutive Board meetings; and (iv) the Members are unable to resolve the Business Deadlock through negotiation in Section 12.2. In the event of a dispute whether the matter is a Business Deadlock, the parties agree to submit that contract interpretation issue to the arbitrator and if the arbitrator finds that the matter is a Business Deadlock, then the Members may proceed with Section 12.4(b). (b) In the event the Members are unable to resolve the Business Deadlock through negotiation under Section 12.2, then the Members agree to proceed as follows: (i) At any lime during the ninety (90) day period following the cod of the negotiation period in Section 12,2, either Member may provide to the other a written offer at which the Member (the "interested Member") would be willing to buy all of the Units of the other Member (the "Receiving Member") or sell all of the Interested Member's Units to the Receiving Member. Such written offer (the "Notice of OtI'er") shall set forth a purchase price for the Units, made in good . faith by the lnterested Member with the advice of an independent appraiser selected by the lnterested Member, and other terms and conditions of purchase; provided, that the offer must provide for payment of the purchase price in a single lump sum payment at closing. (ii) The Receiving Member shall, within sixty (60) days o£ having been provided the Notice of Offer, deliver to the Interested Party a written notice (a "Notice of Election") specifying whether the Receiving Member will purchase the Units of the Interested Party or sell to the Interested Party the Receiving Member's Units in the Company, upon the price and other terms and conditions set forth in the Notice of Offer. If the Receiving Member fails to provide a Notice of Election by the end of such 60 day period, then it will be deemed to have consented to selling its Units to the Interested Party upon the terms set forth in the Notice of Offer. (iii) Tf both Members provide a Notice of Offer to the other, then the Notice of Offer that is first provided to the other Member will control for purposes of this Section 12.4(b). (c) If neither Member provides a Notice of Offer, then the Company shall dissolve in the manner described in Section 10.3. ~~~ 12.5) Fees. The fees of the arbitrator(s) shall be shared equally by the Members. Each Member shall pay its own attorney and appraisal fees and costs. ARTICLE 13. MISCELLANEOUS 13.1) Le islative or Re lato Chan es. This Agreement shall be construed to the fiillest extent possible to be in compliance with al] federal and state statutes, rules and regulations. In the event of a "Triggering Event" as defined herein, the parties agree to negotiate in good faith an amendment to this Agreement as necessary to comply. To the fullest extent possible, any such amendment shall preserve the responsibilities and duties of the parties and the underlying economic and financial arrangements among the parties with the least changes to the parties' expectations hereunder. For purposes of this Section, a "Triggering Event" means the effectiveness or interpretation by a government or law enforcement official or agency {whether or not such interpretation specifies the Company or its Members) of any statute, rule or regulation: (i) prohibiting a Member from referring directly or indirectly patients (whether Medicare, Medicaid or otherwise) to the Company; (ii) prohibiting the Company from submitting claims or receiving payment under the Medicare, Medicaid or any other third-party agreement or program for its services; or (iii) otherwise rendering illegal the relationship hereunder between the Company and its Members. 13.2) Notice. All notices, requests, demands, and other communications under this . Agreement, including without limitation, the Notice of Offer and Notice of Election in Section 12,4(b), shall be in writing and shall be deemed to have been provided or given on the date of service if served personally on the party to whom notice is to be given, or on the third day after mailing if mailed to the party to whom notice is to be given, by first class mail, registered or certified, postage prepaid, and properly addressed as follows: if to HAHC: Hutchinson Area Health Care 1095 Highway 15 South Hutchinson, MN 55350 Attention; President If to HMC: Hutchinson Medical Center, P.A. Three Century Avenue SE Hutchinson, MN 55350 Attention: President Any party may change its address for purposes of this paragraph by giving the other party written notice of the new address in the manner set forth above. _ 12_ q ~ ~~ 13.4) Amendment. This Agreement may be amended only upon the agreement of all of the Members. 13.5) Governin~_Lt~w. This Agreement is made in and shall be interpreted and enforced in accordance with the laws of the State of Minnesota, and each of the parties hereto irrevocably consents to personal jurisdiction in the District Courts or the Federal Courts in the State of Minnesota. 13.6) Invalid, Unenforceable Provisions. If any provision of this Agreement shall be finally judicially determined to be unlawful or unenforceable in whole or in part, such provision shall be given force to the fullest extent provided by law and the remainder of this Agreement shall be construed as if such illegal, invalid, unlawful, void, or unenforceable portion was not contained herein and this Agreement shall otherwise remain and continue in full force and effect. 13.7) Co orate Authorit . By signing below, each Member represents that the execution, delivery and performance of this Agreement has been duly authorized by all necessary corporate action on the part oi'such Members. This Agreement is a valid and binding obligation of such Member, enforceable against it in accordance with its terms, except as such enforcement may be limited by applicable bankruptcy, insolvency, moratorium and similar laws affecting creditors' rights generally and by general equitable principles. Neither the execution and delivery of this Agreement nor the performance of the obligations contemplated herein will: (a) conflict with or violate any provision of the articles of incorporation or bylaws of such Member . or any decree or order of any court or administrative or other governmental body that is either applicable to, binding upon or enforceable against such Member; (b) result in any breach of or default under any mortgage, contract, agreement, license, indenture, will, trust or other instrument that is either binding upott or enforceable against such Metnber or its assets. IN WITNESS WHEREOF, the parties hereto have executed this Agreement, effective as of the date first above written. IIUTCHINSON DIAGNOSTIC CENTER, LLC BY Its - 13- ~~~~ N267688511 HUTCHiNSON MEDICAL CENTER, l'.A. Its By HU'I'CH[NSUN AREA HEALTH CARE Its By - 14- q~~~ r~ ~J Community Survey Health Planning & Management Resources, inc. Prime Professional Center 4970 Lincoln Drive Edina, Minnesota 55436-1095 Te1:952-935-6077 Fax:952-935-7382 pmccullough @ hpmr.net REPORT TO BOARD OF DIRECTORS HUTCHIN5ON AREA HEALTH CARE SENIOR SERVICES DEVELOPMENT You will be provided with a complete survey report at the Board meeting. Some . highlights from that survey include the following: • 96.3% of the respondents plan to stay in the area in later years. • 54.8% of the respondents have their primary care physician in Hutchinson. This reflects that the survey sample is highly related to the previous market research. • 59.0% of the respondents have been with their current family physician for more than 10 years. This can present an advantage when we are trying to attract persons to Hutchinson from other communities in that they have significant stability with their primary care physicians in Hutchinson. • 77.8°/a of the 259 respondents who provided an answer had realistic expectations about what a nursing home would cost per month, e,g„ $3,000 or more. • The top ranking things that persons would desire in a nursing home if possible were: good care, private room, friendly staff, and good food, q~e~ • 29.5% of the respondents wnuld move to a nursing home in annther community that had such characteristics even if there were a nursing home in their nwn community. • Persons would consider moving to senior housing alternatives if they couldn't take care of their home, couldn't take care of themselves, and for convenience. These are very typical responses. • 63.0% said that having independent housing, assisted living and nursing home care all at the same location was "very important" and an additional 18.0% said that it was somewhat important. This is reflective of other market research done by the consultants. In many instances, it is even more important to the family to have all of the living arrangements at the same campus. For persons not living in Hutchinson, 39.4% would move to another community to live at a location that has a nursing home, independent housing and assisted living all together. This is a higher than expected percent of persons who would move. The more commonly accepted assumption is that approximately 20% would came Pram outside of the primary community. • 61.3% answered that they did not know when asked what would be a reasonable monthly fee for an independent senior apartment that had the features and amenities that they desired. An additional 13.9% indicated a "realistic" monthly fee of at least $800 or greater, with many well over $1,000. It is more desirable from a marketing perspective to have "don't know" answers to this question than have persons report unrealistically low figures for monthly fees. • When asked about a fully refundable entrance fee with a lower monthly fee versus a higher monthly fee with no entrance fee, 43.8% of the respondents indicated that they did not know, 41.0% indicated that they preferred an entrance fee with a lower monthly fee, and only 13.3% preferred the straight (and higher) monthly fee. This is a very positive response for planning purposes in that the entrance fee is a valuable mechanism for financing the project. • 60.8% answered that they did not know when asked what would be a reasonable monthly fee for an assisted living that would include three . meals a day, staff in the building to help 24 hours a day, housekeeping and laundry services. An additional 10.5% indicated a "realistic" monthly ~C.~~ fee of at least $2,ODD. A positive influence in the pricing of assisted living is the high percentage of persons who knew what nursing home care costs because assisted living is a "need driven" market, and the other alternative for most persons is the nursing home because they can no longer remain in an independent setting safely. • 50.3% of the persons viewed Hutchinson Area Health Care positively as a potential developer of a senior project, and 42.0% said that it didn't matter. 1i.8% viewed it negatively. • The age distribut(on of the respondents represented a very good cross section of the senior age categories. Thus, we got feedback from the younger and likely more independent seniors as well as older seniors with more frailties. The data, from the perspective of the researcher, reinforces our initial demand projections for the development. That included: • 120 bed skilled nursing facility • 30 - 40 units of intensive assisted living • 40 - 50 units of independent housing with services Significant detail from the survey and the focus groups, when they are done, will shape the final project, including size, amenities and other factors. The immediate factors from the survey that are positive to support this type of development include the following. A significant number of persons will move from their home communities if they don't live in Hutchinson to access a nursing home with the desired characteristics as well as accessing a continuing care campus. No one else in the area is planning to build a replacement nursing home with a private room model. • The feedback related to realistic pricing is good in that there are many who "don't know" and some who have very realistic expectations. Pricing will be a sensitive issue, however, in the development process. This can be further tested in the focus groups, and the focus group testing can explore what older . people feel is reasonable and what their family members feel is reasonable. ~~~ • The higher than expected interest in entrance fees with lower monthly fees presents a positive avenue for financing, having to borrow less money, and thus being able to keep fee structures somewhat lower. This is reflective of the times in that seniors can sell houses for substantially more than they anticipate because of the housing market, but they have anxiety about their monthly living expenses because of the economy. Where We Are Now in Our Vision and Selection pf a Partner The foilowing summarizes what the consultant discerns the vision of the Board to be: • You desire to build a new nursing home for the future rather than continue to invest in the existing "functionally obsolete" Burns Manor • You desire to have that new nursing home linked with the Hospital and Clinic at the same site ar near the same site in the Southern end of the City. + You desire to create a senior services campus that links the nursing home with assisted living and independent congregate housing to provide the only full continuum of care campus in the area. • You view the development of this campus as the opportunity to bring more older persons to Hutchinson who will in turn use all of the services of the Health Care Campus. • You desire a partner with senior services expertise far two reasons: first, to bring that expertise to the table in the development and management process, and second, to assist in the financial risk of developing the vision. We currently have three potential partners that have remained in discussions with us. At the last point of discussion with each of the partners, the following was the articulated vision. C, J ~~~ . Presb Brian Homes of Minnesota: Presbyterian Homes has articulated a vision for the development of a new nursing home for the future, and a senior services campus. They have advised against further investment in Burns Manor and see the Southern part of town, linked as closely as possible with the existing Health Care Campus as the most desirable scenario for the future. They have "come to the table" with the willingness to be at least a 50% partner contributing 50% of the needed equity to develop the project. They have also indicated a willingness to take a higher share if it is the desire of the Board. The Board of Social Ministry: The Board of Social Ministry also supported the development of a new nursing home on the South side of the City as the optimal route to take. They also were interested In a senior campus. The Board of Social Ministry initially withdrew from further consideration if there were expectations that there would be any substantial equity contribution to make the development happen. Management indicated that the Board had significant demand for capital with its own facilities and could not make any substantial investment. Subsequently, an alternative proposal was discussed for the Board of Social Ministry and Hutchinson Area Health Care (in whatever corporation was established) to jointly own The Oaks. That 50 percent ownership for Hutchinson Area Health Care would be the Board of Social Ministry's equity contribution to the campus development. 5t. Francis Health Services: St. Francis Health Services has made no gestures related to the actual financial relationship, They indicated that there would have to be significantly more discussion and analysis. They also, in their presentation, strongly made the point that though it is a "good idea" to develop a new nursing home rather than renovate existing nursing homes, ideas needed to be practical and achievable, and they did not feel that it was practical or necessary to do a replacement facility. Their presentation consisted primarily of common space renovations that they have done in nursing homes that they have acquired, using the moratorium exception process far financing. ~~~h~ • Next Steps 1. Based on the proposals presented to date, is there a proposal that most clearly fits with the vision of the Board, and if so, are you willing to recommend that you move forward with that partner to the City Council? 2. If not, what else needs to be done before you are ready to make a recommendation about moving forward in planning with a partner? 3. If you are ready to proceed, the first step would likely be a simple written agreement to move forward on two fronts: first, to continue with project design, further research and financial analysis, and second, and at the same time, structure "the deal" between the two organizations. 4. Presbyterian Homes recommended a competitive design process inviting three or four firms to present campus visions far both an "urban village" on the same campus, or a new campus. The assumptions would need to be further defined by the working team; however, Dan l_indh felt that the firms should be compensated enough to cover their basic costs ($5,000 - $7,000) to capture . the best ideas for the future. With the amount of market research that you have completed, you are ready for this step. The consultant recommends that the focus groups come after some design concepts are captured and some pricing analyzed and that these be directly tested in the focus groups. 5, NEXT STEP `~ C. b) C~ J Secretary's Certificate The undersigned, John Houle _, does hereby certify as follows: (i) s/he is duly elected, qualified, and acting Secretary of Hutchinson Area Health Care; and (ii) the Resolution attached to this Secretary's Certificate was duly adopted by a majority vote of the Board of Governors of Hutchinson Area Health Care at a duly held meeting of the Board convened at on June 17, 2003 at which a quorum of the Board was in attendance. Name: ,john Houl~e9 Signature: !` Date: G ~ -'j ~ 6'~ Mla W21'JS.Ul ~J • R55APPYRV CITY OF HUTCHINSGN B Check N umber AP Pa ment Re ister with Vcids Check Dat 6/19/2003 - Ck bate T pe Check # Vendor Name Amount 6/19/2003 PK 117215 ' 101876 AETNA VARIABLE LIFE ASS. 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CLOUD RESTAURANT SUPPLY 147.85 fi/24/2003 PK 117453 102747 ST. JOSEPH'S EQUIPMENT ING 356.19 6/24/2003 PK 117454 118175 STANCOMe, CRAIG 3D8.00 6/24/2003 PK 117455 102612 STANDARD PRINTING 117.15 6/24/2003 PK 117456 102744 STATE OF MINNESOTA 512.47 6/24/2003 PK 117457 115850 STEINHAUS, KEVIN 20.00 6/24/2003 PK 117458 105681 STORAGE CENTER 138.00 6/24/2003 PK 117459 118155 STUEBER, KATHRYN 186.65 fi/24/2003 PK 11746D 118067 SYNSTELIEN, STEVE 200.00 6/24/2003 PK 117461 105550 TARGET 54.15 6/24/2003 PK 117462 1D2659 TEK MECHANICAL 487.00 6/24/2003 PK 117463 118164 THURSTON, KEVIN 308.00 6/24/2003 PK 117464 103250 TILTON, DAVID 260.00 6/24/2003 PK 117465 105519 TORGERSON, MARLIN 19D.11 6/24/2003 PK 11746fi 11D968 TRENCWERSPLUS INC 20.25 6/24/2003 PK 117467 1D2620 TRI CO WATER 290.61 6/24/2003 PK 11746$ 1D9290 TURJA, JASEN 976.00 6/24/2003 PK 117469 102619 TWO WAY COMM INC 5D9.07 6/24/2003 PK 11747D 102058 U.S. CAVALRY 70.84 6/24/2003 PK 117471 105250 U.S. STRIPER CO 357.99 6/24/2003 PK 117472 11$166 UNIQUE TOOL INC 365.66 fi/24/2003 PK 117473 1D2624 UNITED BUILDING CENTERS 172.59 6/24/2003 PK 117474 102419 VALLEY SALES OF HUTCHINSON 92.10 6/24/2003 PK 117475 113695 VEODER, TYLER 56.00 6/24/2003 PK 117476 1D2132 VIKING COCAGOLA 355.40 6/24/2003 PK 117477 1D2631 VWR SCIENTIFIC INC 61.46 6/24/2003 PK 117478 105122 WASTE MANAGEMENT 167.73 6/24/2003 PK 117479 1D3228 WASTE; NEWS 39.00 6/24/2003 PK 117480 118D33 WEGNER,JAKE 45.26 6/24/2003 PK 117481 102165 WELCOME-NEIGHBOR 60.00 6/24/2003 PK 117482 118109 WESELOH, MICHAEL 60.D0 6/24/2D03 PK 117483 11$158 WIESS, CONNIE 26.D0 6/24/2003 PK 117484 102$95 W ILSONS NURSERY INC 170.40 6/24/2003 PK 117485 103452 WINE COMPANY, THE fi96.00 6/24/2D03 PK 117486 102640 WM MUELLER & SONS 88.66 6/24/2003 PK 117487 10520$ WOLD ARCHITECTS & ENGINEERS 843.43 6/24/2003 PK 11748$ 1 D2198 W W OA 40.00 6/24/2003 PK 117489 105342 YOST, JOANN 18.00 6/24/2003 PK 11749() 103980 ZARNOTH BRUSH WORKS 110.23 6/24/2003 PK 117491 1D5151 ZETAH, ELAINE 26.00 6/24/2003 PK 117492 1D2934 ZILLMER, RICK 112.00 365,952.54 Account N 365,952.54 r1 fLJ LJ