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cp10-14-2008 cAGENDA REGULAR MEETING — HUTCHINSON CITY COUNCIL TUESDAY, OCTOBER 14, 2008 1. CALL TO ORDER-5:30 P.M. 2. INVOCATION — Rev. Greg Nelson, Bethlehem United Methodist Church 3. PLEDGE OF ALLEGIANCE READING OF PROCLAMATION DECLARING OCTOBER 2008 AS TOASTMASTERS MONTH IN THE CITY OF HUTCHINSON 4. PUBLIC COMMENTS 5. MINUTES (a) REGULAR MEETING OF SEPTEMBER 23, 2008 (b) BID OPENING MINUTES OF OCTOBER 7, 2008 (NORTHEAST TRUNK STORM SEWER PHASE 3) Action - Motion to approve as presented 6. CONSENT AGENDA (a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS . 1. FIRE DEPARTMENT MONTHLY REPORT FOR SEPTEMBER 2008 2. HUTCHINSON PUBLIC LIBRARY BOARD MINUTES FROM AUGUST 25, 2008 3. HUTCHINSON UTILITIES COMMISSION FINANCIAL REPORT FOR AUGUST 2008 (b) RESOLUTIONS AND ORDINANCES RESOLUTION NO. 13485 — RESOLUTION ESTABLISHING LOCATION FOR TRAFFIC CONTROL DEVICES 2. RESOLUTION NO. 13483 — RESOLUTION AUTHORIZING GARY D. PLOTZ, CITY ADMINISTRATOR, TO EXECUTE DOCUMENTS REQUIRED FOR REAL ESTATE PURCHASE (MAPLEWOOD ACADEMY TRANSACTION) 3. ORDINANCE NO. 08-0512 —AN ORDINANCE REGARDING CITY OF HUTCHINSON AIRPORT AND MCLEOD COUNTY FAIRGROUNDS PROPERTY TRANSACTION (SECOND READING AND ADOPTION) (c) CONSIDERATION FOR APPROVAL OF FEE AGREEMENT WITH GAVIN, OLSON & WINTERS LTD. FOR PROSECUTORIAL SERVICES (d) SUMMARY OF CLOSED MEETING PROCEEDINGS FOR THE CITY ADMINISTRATOR PERFORMANCE APPRAISAL HELD ON SEPTEMBER 23, 2008 (e) CONSIDERATION FOR APPROVAL OF CHANGE ORDER NO.4 — LETTING NO. 13, PROJECT NO. 06 -15 (WASTEWATER TREATMENT FACILITY ADMINISTRATION BUILDING EXPANSION) (0 CONSIDERATION FOR APPROVAL OF MASSAGE LICENSE FOR CATHERINE LIBOR LOCATED CITY COUNCIL AGENDA —OCTOBER 14, 2008 0 AT 3 MAIN STREET SOUTH (g) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS Action — Motion to approve consent agenda 7. PUBLIC HEARINGS — 6:00 P.M. - NONE 8. COMMUNICATIONS. REQUESTS AND PETITIONS (a) CONSIDERATION OF ORDINANCE NO. 08 -0511 — AN ORDINANCE STRIKING SECTION 30.34(G)(5) FROM THE HUTCHINSON CITY CODE (WAIVE FIRST READING AND SET SECOND READING AND ADOPTION FOR OCTOBER 28, 2008) Action — Motion to reject — Motion to approve 10. NEW BUSINESS (a) CONSIDERATION FOR APPROVAL OF AWARDING 2008 BONDS - RESOLUTION NO. 13485 — RESOLUTION AUTHORIZING SALE OF GENERAL OBLIGATION IMPROVEMENT BONDS - RESOLUTION NO. 13486 — RESOLUTION AUTHORIZING SALE OF GENERAL OBLIGATION STORMWATER REVENUE BONDS - RESOLUTION NO. 13487 — RESOLUTION AUTHORIZING SALE OF GENERAL OBLIGATION • WASTEWATER TREAtMENT REVENUE REFUNDING BONDS Action — Motion to reject`— Motion to approve (b) CONSIDERATION FOR APPROVAL OF FIVE -YEAR CAPITAL IMPROVEMENT PLAN Action — Motion to reject — Motion to approve (c) CONSIDERATION FOR APPROVAL OF ITEMS FOR NORTHEAST TRUNK STORM SEWER PHASE 3 PROJECT (LETTING NO. 3, PROJECT NO. 08 -03 & 08 -09) Action — Motion to reject — Motion to approve (d) CONSIDERATION FOR APPROVAL OF SETTING COUNCIL WORKSHOP TO DISCUSS ENTERPRISE FUNDS BUDGETS Action — Motion to reject — Motion to approve (e) DISCUSSION AND CONSIDERATION OF POLICY GOVERNANCE POLICIES Action — Motion to reject — Motion to approve 11. MISCELLANEOUS 12. ADJOURN • 2 Proclamation Whereas, the vision of the Toastmasters International organization is to empower people to achieve their full potential and realize their dreams; and, Whereas, Toastmasters International is the world's leading organization devoted to communication, public speaking and leadership skills, and has over 235,000 members in 92 countries; and, Whereas, since the Toastmasters organization began in 1924, more than three million men and women have benefited from its communication and leadership programs; and Whereas, members of Toastmasters benefit from improved communication skills, constructive evaluations, better meeting facilitation skills, leadership skills, and increased self - confidence as an added dividend; and, Whereas, the mission of a Toastmasters club is to provide a mutually supportive and positive learning environment in which every member has the opportunity to develop communication and leadership skills, which in turn foster self- confidence and personal growth; and, Whereas, the Hutchinson H Toastmaster's Club has aided leaders and citizens of our community to become better thinkers, listeners and speakers and has distinguished itself by receiving the Toastmaster's President's Distinguished Club award for the last three years, Now, Therefore, I, Mayor Steve Cook, Mayor of the City of Hutchinson, Minnesota, do hereby proclaim October 2008 as Toastmasters Month In the City of Hutchinson And call upon all citizens of this city to join us in celebrating the 84 anniversary of Toastmasters International. Dated this 14' day of October, 2008 Steven W. Cook, Mayor City of Hutchinson, Minnesota MINUTES REGULAR MEETING — HUTCHINSON CITY COUNCIL TUESDAY, SEPTEMBER 23, 2008 CALL TO ORDER — 5:30 P.M. Way oo ca e e meeting to order. Members present were Bill Arndt, Casey Stotts, and Jim Haugen. Member absent was Kay Peterson. Others present were Gary Plotz, City Administrator, Kent Exner, City Engineer, and Marc Sebora, City Attorney. 2. INVOCATION — Rev. Howard Anderson, Hunter's Ridge Community Church, delivered the invocation. 3. PLEDGE OF ALLEGIANCE 4. PUBLIC COMMENTS 5. MINUTES (a) BID OPENING MINUTES FROM SEPTEMBER 9, 2008 (SOUTH GRADE ROAD TRAIL AND CEMETERY ROADWAYS) (b) REGULAR MEETING OF SEPTEMBER 10, 2008 Mayor Cook noted he would like a few revisions made to the regular minutes of September 10, 2008. Under Item 10(b), he would like the wording in the action to read, "maximum yearly amount of $35,000 ". Also, Item under 10(d), he would like it noted that the percentage of the future levy be included on the Resolution that is approved. Under miscellaneous, he would like it noted that the hospital auxiliary has contributed $1.5 million as opposed to $1 million. • Motion by Arndt, second by Stotts, to approve the minutes as presented with the revisions noted above. Motion carried unanimously. 6. CONSENT AGENDA (a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS 1. PARKS, RECREATION & COMMUNITY EDUCATION BOARD MINUTES FROM JUNE 2, 2008 2. PLANNING, ZONING AND BUILDING DEPARTMENT MONTHLY REPORT FOR AUGUST 2008 3. HUTCHINSON HOUSING & REDEVELOPMENT BOARD AUTHORITY MINUTES FROM JULY 15, 2008, AND AUGUST 19, 2008 4. PLANNING COMMISSION MINUTES FROM AUGUST 19, 2008 5. JOINT PLANNING BOARD MINUTES FROM MAY 21, 2008 6. CITY OF HUTCHINSON FINANCIAL REPORT FOR AUGUST 2008 7. CITY OF HUTCHINSON INVESTMENT REPORT FOR AUGUST 2008 (b) RESOLUTIONS AND ORDINANCES 1. RESOLUTION NO. 13479 — RESOLUTION TO SELL AT AUCTION UNCLAIMED PROPERTY (BICYCLES) 2. RESOLUTION NO. 13482 — RESOLUTION FOR PURCHASE (ECO GUARD BAGS) 3. ORDINANCE NO. 08 -0510 —AN ORDINANCE ADOPTING REVISIONS TO SECTION 6.02, 6.03 AND CHAPTER 12 OF THE HUTCHINSON CITY CHARTER (SECOND READING AND ADOPTION) (c) PLANNING COMMISSION ITEMS 5 ca,�) CITY COUNCIL MINUTES — SEPTEMBER 23, 2008 i 1. CONSIDERATION OF PRELIMINARY AND FINAL PLAT OF COUNTY FAIR MARKETPLACE 5 ADDITION AND SITE PLAN TO CONSTRUCT A BEST BUY STORE AT 1350 HWY 15 SOUTH WITH FAVORABLE PLANNING COMMISSION RECOMMENDATION (ADOPT RESOLUTION NO. 13480) 2. CONSIDERATION OF CONDITIONAL USE PERMIT REQUESTED BY RANDY THODE, APPLICANT, TO ALLOW OUTDOOR DISPLAY OF FISH HOUSES IN THE FRONT YARD LOCATED AT 327 HWY 7 EAST IN THE LIGHT INDUSTRIAL DISTRICT WITH FAVORABLE PLANNING COMMISSION RECOMMENDATION (ADOPT RESOLUTION NO. 1348 1) (d) APPOINTMENT OF JULI NEUBARTH TO HUTCHINSON AIRPORT COMMISSION TO SEPTEMBER 2013 (e) CONSIDERATION FOR APPROVAL OF OUT OF STATE TRAVEL FOR DAN BROUCEK, CREEKSIDE COMPOST FACILITY, TO CHICAGO, ILLINOIS, NOVEMBER 9 — 13, 2008 (0 CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS Item 6(c)1 was pulled for separate discussion. Motion by Haugen , second by Stotts, to approve consent agenda with the exception of the item noted above. Motion carried unanimously. Item 6(c)1 had further discussion. Marc Sebora, City Attorney, presented before the Council. Mr. Sebora explained that one small change has occurred to the site plan, that being the banding color on the building. It was originally proposed to be a banding color of red, however the new proposal is to have the banding color • be a neutral /tan. Motion by Stotts, second by Arndt, to approve Item 6(c)l. Motion carried unanimously. A representative of Ryan Companies presented before the Council. The representative noted that the opportunity to work with city staff during the one - stop -shop was extremely helpful and Ryan Companies is very appreciative of all of their assistance. 7. PUBLIC HEARINGS — 6:00 P.M. - NONE 8. COMMUNICATIONS. REQUESTS AND PETITIONS 9. UNFINISHED BUSINESS (a) CONSIDERATION FOR APPROVAL OF REVISION TO POLICY NO. 1.11 — PURCHASING - PURCHASE ORDERS Gary Plotz, City Administrator, noted that this item is a follow -up from the last Council meeting. Mr. Plotz noted that the expenditure limits were revised to allow the Finance Director up to $15,000 authority along with a new item 12 which does not allow for contracts to be divided solely to avoid bidding or purchasing requirements. Motion by Stotts, second by Haugen, to approve revisions to Policy No. 1.11 — Purchase Orders. Motion carried unanimously. 10. NEW BUSINESS (a) CONSIDERATION FOR APPROVAL OF CITY OF HUTCHINSON AIRPORT AND MCLEOD COUNTY FAIRGROUNDS PROPERTY TRANSACTION (APPROVE DRAINAGE & UTILITY EASEMENT AND WAIVE FIRST READING OF ORDINANCE NO. 08 -0512 AND SET SECOND READING AND ADOPTION FOR OCTOBER 14, 2008) Gary Plotz, City Administrator, noted that county representatives met with City staff in reference to 2 s Caz.) CITY COUNCIL MINUTES — SEPTEMBER 23, 2008 • exchanggi�ng a parcel of land with them. The county owns a piece of land that is adjacent to the formerly - owned Sky Dive Hutchinson which would be beneficial to the City for ownership. The City owns a parcel of land that abuts the McLeod County Fairgrounds. A portion of the parcel currently owned by the City would be developed by the County as a storm drainage pond for the fairgrounds and some of the property is in the flight zone which is not developable. Some of the property that would be acquired by the county could be developed, subject to airport zoning restrictions. Marc Sebora noted that the deed could be notated that development of the parcel would be subject to airport regulations. Mayor Cook suggested adding language noting applicable airport zoning restrictions to the ordinance for the second reading. Motion by Arndt, second by Haugen, to approve a drainage and utility easement and waive first reading and set second reading and adoption of Ordinance No. 08 -0512 for October 14, 2008. Motion carved unanimously. (b) CONSIDERATION FOR APPROVAL OF PURCHASE AGREEMENT FOR THE NORTHEAST TRUNK STORM SEWER PHASE 3 PROJECT PROPERTY ACQUISITION Kent Exner, City Engineer, presented before the Council. Mr. Exner noted that a purchase agreement has been drafted which details the considerations of the arrangement. The total purchase price of the property is $176,200.00. As part of the transaction, the City will be removing TH 15 Roundabout project assessments in the amount of $25,032.34 for the dedication of two drainage & utility easements required to construct the pond project. The City will also provide "development planning" efforts to Maplewood Academy. Motion by Arndt, second by Stotts, to approve purchase agreement with Maplewood Academy for the northeast trunk storm sewer phase 3 project. Motion carried unanimously. (c) DISCUSSION OF INDUSTRIAL PARK IMPROVEMENTS Marc Sebora, City Attorney, explained that the discussion that was to take place tonight needs more details • worked out. He requested that the item be tabled. Motion by Arndt, second by Stotts, to table this item. Motion carried unanimously. (d) CONSIDERATION OF ORDINANCE NO. 08 -0511 — AN ORDINANCE STRIKING SECTION 30.34(G)(5) FROM THE HUTCHINSON CITY CODE (WAIVE FIRST READING AND SET SECOND READING AND ADOPTION FOR OCTOBER 14, 2008) Marc Sebora, City Attorney, presented before the Council. Mr. Sebora noted that during a policy governance session it was noted that this section was in conflict with one of the drafted policies. This revision will keep it in compliance with the new policy. Mayor Cook asked that the Council consider keeping this section in the ordinance to honor the ethical considerations of a council member. Motion by Stotts, second by Haugen, to table this item to October 14, 2008. Motion carried unanimously. (e) CONSIDERATION FOR APPROVAL OF RE- SETTING NOVEMBER 11, 2008, CITY COUNCIL MEETING DUE TO VETERANS' DAY HOLIDAY Motion by Arndt, second by Stotts, to approve re- setting November H, 2008, City Council meeting to November 12, 2008. Motion carried unanimously. 1 1. MISCELLANEOUS Bill Arndt — Mr. Arndt noted that Region 6E is searching for an individual with business development expertise to serve from McLeod County. Interested individuals should contact Bill Arndt. Kent Exner — Mr. Exner shared an article on the City's wastewater treatment plant that was published in the • Water & Wastes Digest. Mr. Exner also noted that the roundabout at Hwy 7 /County Road 25 is open. Mayor Cook — Mayor Cook spoke about a Hutchinson Leader poll conducted on City Council public hearings. Mayor Cook asked the public to let Council Members know how they can do better in communicating about public hearings and receiving public input. A phone line has been set up to call in and 5(�Z) CITY C'OUNC'IL MINUTES —SEPTEMBER 13, 2008 citizens can also respond via the City's web site. The mayor has written a letter to the editor that will include the contact information. Bill Arndt also suggested having a City Council agenda posted on HCVN. Mayor Cook suggested having the public hearings or "hot topics" posted on HCVN. Mayor Cook also noted that one of the new policies drafted will be that all agenda items to be placed on a Council agenda come from Gary Plotz or the mayor. Mayor Cook asked that in the interim until the policy is adopted that all council agenda items be run through Gary Plotz. He asked that that process start immediately. 12. ADJOURN Motion by Stotts, second by Arndt, to adjourn at 6:15 p.m. Motion carried unanimously. • S0z) LJ 9 0 BID OPENING Letting No. 3/Project No. 08 -03 & 08 -09 Maplewood Academy Project October 7, 2008, at 10:30 a.m. Present: Gary Plotz, City Administrator Kent Exner, City Engineer Melissa Starke, Recorder The Bid Opening was called to order at 10:30 a.m. by Gary Plotz. Mr. Plotz noted that the City Council reserves the right to reject all bids and to waive any informalities and irregularities. The reading of the Advertisement for Bids was waived and the following bids were opened and read aloud: Burski Excavating P.O. Box 130 Rice, MN 56367 Dobaszenski & Sons Ins. 9520 Co. Road 19 Loretto, MN 55357 Duininck Bros Inc. 4086 th Street P.O. Box 208 Prinsburg, MN 56281 -0208 Final Touch Excavating 18530 Ulysses St. NE East Bethel, MN 55011 Frattalone Companies 3205 Spruce Street St. Paul, MN 55117 Hjerpe Contracting Inc. 16246 Hwy 15 South P.O. Box 517 Hutchinson, MN 55350 Mathiowetz Construction Co. 30676 County Rd. 24 Sleepy Eye, MN 56085 Bid Amount: $650,773.39 Bid Amount: $602,521.68 Bid Amount: $631,863.84 Bid Amount: $570,054.43 Bid Amount: $713,442.31 Bid Amount: $505,912.55 Bid Amount: $481,381.65 i R & R Excavating 1149 Hwy 22 South Hutchinson, MN 55350 William Mueller & Sons 831 Park Ave. Hamburg, MN 55339 Machtemes P.O. Box 275 Waconia, MN 55387 Closed: 10:50 a.m. Steven W. Cook Mayor • Bid Amount: $463,359.32 Bid Amount: $602,687.47 Bid Amount: $567,569.35 ATTEST: Gary D. Plotz City Administrator 5 CIO) i Ta Mayor and City Council Members Fron Brad Emans, Fire Chief DM& 10/01/08 Ror Monthly Update on Activities of the Fire Department Fire Department Response: The fire department responded to 24 calls for service in the month of September. Fire Officer Only Response: A "fire officer only' responded to 4 calls in August, saving the Hutchinson Fire District the cost of a "generar alarm estimated at $672.00 and more importantly, it kept our firefighters on their full time job or at home with their families an additional 60 hoursl Response Time (First Emergency Vehicle Out of the Door: September -4 minutes 15 seconds • Example of a few of the calls: • • The FD responded to a two vehicle accident at a major intersection and had to use hydraulic tools to extricate the driver of one of the vehicles; • The FD responded to a car— truck accident and had to rescue a victim pinned under a vehicle, • The FD responded to two dumpster fires at two of our businesses, both were started by workers disposing their cigarettes improperly; • The FD responded to one of our apartment building when a resident had a grease fire on the stove. The resident was sent to the hospital for smoke injuries; • The FD responded to one of our apartment buildings when a resident fell asleep while smoking. The resident awoke to the smoke detector and put the couch cushion on the deck of the building after exfinguishing the fire. Two hours later the deck was burning filling the apartment with smoke again. Once again, the smoke detector activated; • The FD responded to a house fire in the northeast part of the city when lightning hit the house. The fire was contained to main floor laundry room and the basement bathroom. The house did however suffer sever smoke damage. (Qc�)� Breakdown of the Calls for the Month: • City: Residential 2 CommerciaNndustrial 8 Mufti- family 4 School 0 Carbon Monoxide 0 Hazardous Material 1 Vehicle 0 Rescue 1 Medical 3 Grass 0 Sky -Wam 0 Good Will 0 Mutual Aid 0 Rural: Structure Fires 3 Arson 0 Rescue 1 Grass Type 1 Medical 2 Residential 1 Farm Building 0 Hazardous Material 0 Carbon Monoxide 0 Vehicle 0 CommerciaVlndustrial 0 Good Will 0 Mutual Aid 0 Structure Fires 0 Anson 0 Training: • The FD started phase one of the annual firefighter competency testing; • Completed the annual driving test for competency and safety, Fire Prevention / Public Relations: • Conducted three classes on fire extinguishers and SCBA operations for the employees of Ohly Corporation, • • Partiapated in three educational opportunities for the 3M employees; • Conducted fire extinguisher and search & rescue training for all of the employees of the Aveyron Homes; • Conducted fire extinguisher training for the employees of the Regional Eye Center, • Held an Open House / Demonstration Day including the extinguishment of a car fire, the use of extrication tools in a rescue, and high level rescue for the citizens of the fire district. Other Information: • Rental Registration Update: We have 279 buildings registered, and over 1700 units inspected as of September 30; • To date we have 31 requests for education classes in October (fire prevention month); • We will be distributing smoke detector batteries again in October as part of the "Save -A- Life" campaign in memory of the three young lives that were lost in 2001; • Our firefighters have taken on the project of remodeling of the fire station control room to make it more 'user friendly, uncluttered, and updated. It should be noted that nothing has been done in the control room for 27 years! • • Page 2 VC )\ Hutchinson Public Library Board Minutes is Monday, August 25, 2008 4:30 pm Members Present: John Paulsen, Roger Vacek, Yvonne Johnson, Abby Dahlquist, Janet Vacek, and Mary Henke, Ex- Officio. Members Absent: Kay Peterson and Guy Stone. John Paulsen called the meeting to order. Roger moved to approve the minutes and the motion was seconded by Abby. Motion passed. Old Business: I . Appointment of Roger Vacek: John Paulsen welcomed Roger Vacek as the newest member of the Hutchinson Public Library Board. All members introduced themselves. 2. Library Proarammina for Seniors This is the first time we've aimed at providing programming specifically for seniors. Mary's looking at scheduling this first event in late September or early October. She is going to focus on gathering information at the first meeting. She'll give a tour, talk about what's new at the library, issue library cards, and over coffee and cookies, ask them to fill out an interest survey. She will try to make arrangements with Trail Blazer to stop at the various senior living facilities to pick up /drop off participants. 3. Fall Forum: The tentative date for the forum is October 21 or October 23, 2008. At the previous meeting we discussed various topics. As discussed previously, board members were most interested in the possibility of "150 Years of Minnesota Innovations" which was done at the Minneapolis Public Library. Mary checked with MPL and this was a display, • not a forum. They did have some speakers: Scott Olson -who invented roller blades and Susan Marks "Finding Betty Crocker" who talked about the history of General Mills and the popularity of Betty Crocker. Andie Wilhide who works at the Minneapolis Public Library coordinated the "Minnovation" project. She would be willing to come and gives a presentation focuses, generally, on inventing in Minnesota. Mary will check to see if Andie Wilhide and Scoff Olson could both present at the forum. New Business: 1. New Student Assistant Hired: Luke Jensen is the new student assistant. He goes to the New Century Charter School. For his Eagle Scout project, he organized the books at New Century Charter School into a database which became their library. 2. Updated Benchmarks for 20077 Last year Mayor Steve Cook asked for 3-4 benchmarks to use as ongoing measures. At that time we selected to compare: Total Circulation, Total # of Paid FTE Employees, # of Visits, # of Users of Electronic Resources per Year (PC Use), # of Intemet Terminals Used by the General Public, and Resources Use per Terminal with "like communities" to Hutchinson - New Ulm, Cloquet, and Fergus Falls. Mary is working on updating the data for 2008. 3. Other One donation was received in July. The next meeting will be Monday, September 22, 2008. The meeting was adjourned with a motion from Janet and seconded by Abby. • Respectfully submitted, Yvonne Johnson, Co-Secretary 4IiC'p�2--, C- �y is J W S 18/2008 HUTCHINSON UTILITIES SISSION BALANCE SHEET AUGUST 31, 2008 ASSETS UTILITY PLANT - AT COST_ LAND & LAND RIGHTS DEPRECIABLE UTILITY PLANT TOTAL UTILITY _.-PLANT LESS ACCUMULATED DEPRECIATION TOTAL AC.r- UMULATED_ DEPRECIATION CONSTRUCTION IN PROGRESS TOTAL CONSTRUCTION. IN PRDSDRESS TOTAL UTILITY PLANT DEPREC VALUE RESTRICTED FUNDS & ACCOUNTS FUTURE EXPANSION & DEVELOPMENT PAYMENT IN LIEU OF_TASES RATE STABILIZATION FUND - ELECTRIC RATE STABILIZATION FUND - GAS BOND &_ INTEREST3AYMENT_3G03.. CATASTROPHIC TOTAL RESTRICTED FUNDS & ACCOUNTS CURRENT & ACCRUED ASSETS CASH IN BANK ACCOUNTS RECEIVABLE_..___ INVENTORIES PREPAID INSURANCE PRE_PAID. MAINTENANCE_ AGREEMENT_ PREPAID GAS EXPENSE DEFERRED ENERGY COST - MISO PREPAID DENIAL INSURANCE PATRONAGE DIVIDEND RECEIVABLE CLEARING ACCOUNT SALES TAX RECEIVABLE.- TOTAL CURRENT & ACCRUED ASSETS DEFERRED .CHARGE._..__ BOND DISCOUNT 2003 TOTAL DEFERRED CHARGE TOTAL ASSETS PAGE 1 * _ a_ * u TOTAL* a, n • n a u 4,484,719 43 ' 105, 170, 078. 33,� 109, 654, 797.76 D (37, 513, 143. 43 ) ,o 513, 143. 43> T: 2, 484, 778. 28 2, 484, 778.28 74,626,432 61 is 259,772.46 ,_1. 311, 384 3_4_ 274,812.67 _- - - - -- — 259,474.23 1,_I24, 2R?, 97 500,000.00 3,729,666.27 4, 937, 831. 09 _4 093, 719. 95 1, 545, 691. 28 - -�_ -- -� 81,387 84 46,96 (2,601.55) (17,379.09) 7,006.91 6,981.00 37, 411. 71 115,895_42 10, 854, 910. 57 512,611.55 512,611.55 89,723,621.00 I 18/2008 HUTCHINSON UTILITIES &ISSION PAGE 2 • BALANCE SHEET AUGUST 31, 2008 TOTAL MUNICIPAL EQUITY & LIABILITIES ' MUNICIPAL EOILITV MUNICIPAL EQUITY 57,406,396.68 UNAPPROPRIATED RETAINED EARNINGS 1,480,434.13 ° TOTAL. MUN.LGIPAL_ SEQUITY ------ __— _ _. - -.- _ 58, 886, 830- 81 LONG TERM LIABILITIES -NET OF a 1 1 CURRENT MATURITIES 2003 BONDS 26,810,000.00 TOTAL LONG TERM LIABILITIES - 26,810,000.00 I' - CONSTR CONTRACTS & ACCTS PAY RETAIN ACCRUED EXPENSES - RETAINAGE 107,671.74 TOTAL CDNSTRUCTION & ACCTS PAY _ _ _... ._. _._ _ 107, 671.74 CURRENT & ACCRUED LIABILITIES z ACCOUNTS PAYABLE _ -, - _ -- -- _ --.._ -- , _ 2, a68. 430,, - 1,1 L . - -- -- . ACCOUNTS PAYABLE - MI50 435,547.60 INTEREST ACCRUED 280,010.87 z. ACCTS PAYABLE T0—CITY OF - HllTCHINS SIN -_- 193, 198.00_ ACCRUED PAYROLL (115.82) ACCRUED VACATION PAYABLE 251,956.73 ACCRUED REC PAYMENT _ _ _ _ _ _ _ 30, 568._67 ACCRUED SEVERANCE 10,304.45 + CUSTOMER DEPOSITS 258,008.51 OTHER. CURRENT 6 AG4RUED LIABILITIES _ (8,790.67_) ' TOTAL CURRENT & ACCRUED LIAB 3,919,118,45 r al v TOTAL MUNICIPAL EQUITY & LIAB 89,723,621.00 r it 6 I 'I J U`' OPERATING INCOME _ OTHER INCOME OTHER - NET INTEREST INCOME MISC INCOME ,__ GAIN ON DISPOSAL - ELECTRIC GAIN ON DISPOSAL - GAS TOTAL OTHER INCOME OTHER EXPENSES MISC EXPENSES 'o,[\ INTEREST EXPENSE_. °^ n TOTAL OTHER EXPENSES NOM- OPERATING INCOME__ `•/ °t oNET INCOME 2,413,049_03 67_ _ - -- ( - 1 - 94, - 976. STA(EMENT OF I ME & EXPENSES 61_ E4, 7Q3.. 12- —__ 51, 301 _ _....4Sz,-449 • AUGUR 2008 85,586.16 133,340.00 773,814.93 41,191.74 275.81 PREY I QVFi..._ _ GURj3_ENT __. BUDGET 13-Q,QCET _ .00 YEAR TO DATE YEAR TO DATE YEAR TO DATE DEVIATION INCOME STATEMENT 180,284.81 76,201.11 64,018.78 72,003,60 ' OPERATING REVENUE _ 745, 367. 44 _ 743 55 51 838,151.91 809,'386.22 815,558.11 SALES - ELECTRIC ENERGY 18, 965, 995. 77 19, 709, 745. 23 18,565,33&43 1,144,40B 80 SALES FOR RESALE 1,567,998.90 1,633,029.72 1,701,000,00 (67,970.28) " NET INCOME FR➢M_OTHER S OURCE 174. ^12 06 _._ 171,347 02 _ _ 1_33, 340. Qg _ _ „ _ SECURITY LIGHTS 7,560.00 . 7,391.00 10, 000.50 (2,609,50) " POLE RENTAL 1,666.50 565.29 21000.10 (1,434.65) ° SALES - GAS ___._ H, 8 10,748,294 16 _, 8 , 085,7 21_._89_ -_. 2,662,272.27_... NEW ULM TRANSPORTATION 473,106.54 478,887.50 466,690.00 12,197.50 TRANSPORTATION - ELECTRIC DIVISION 733,333.32 733,333.24 733,370.00 (36.76) TOTAL OPERATING REVENUE __34 , 773,h8434 41 _l�29.1t97,_ 9.58, 92 _..3,785,134.20 " OPERATING EXPENSES ' PRODUCTION OPERATION. _ 3,.162,38251 -. _ 2,687,333 74 _ 21882..282.30_. _ 194, - 948..16_ PRODUCTION MAINTENANCE 247,412.71 215,471.24 261,211.06 45,739.82 PURCHASED POWER 11,974,634 28 13,193,795.12 10,657,343.97 (2,536,451.15) " - OTHER POWER SUPPLY _ _ _. 212,65S. 8_ _ _ _ _ 161 B 18 4.R 176 ,qt& f)2 _ _ _ _ 1.4, 548, 42 TRANSMISSION OPERATION 461.62 76,542.37 72,201.61 (4,340.76) ° TRANSMISSION MAINTENANCE 2,000.73 6,708.03 10,194.51 3,486.48 ` .ELECTRIC DISTRIBUTION_1JPERATION.. _.. __ 2121373_49_ - -_ 232,075 81 ---- _ -2SLQQL_52_ _. _e 929. 71_ _ ELECTRIC DISTRIBUTION MAINTENANCE 192,674.22 204,137.79 160,006.00 (44.129.79) PURCHASED GAS EXPENSE 7, 160, 288. 23 9,294,692.19 6,754,047.30 (2,540,644.89) GAS TRANSMISSION_.QPERATIQN- _._._ _ _ 53,_44aL-33_ _ 71,641.87 67.436._71 (_4,205.16) GAS TRANSMISSION MAINTENANCE 3,904.88 630.21 22,334.45 _ 21,704.24 GAS DISTRIBUTION OPERATION 256,199.83 266,957.26 290,194.51 23,237.25 � GAS DISTRIBUTION_ MALNTENANCE_ - _._ _113, 734.93_ _. 77, 682 91 18 5, Q21. 27 CUSTOMER ACCOUNTING & COLLECTIONS 220,092.17 243,948.67 221,211.06 (22,737.61) .o SALES EXPENSE 205,508.40 193,915.56 236,678.50 42,762.94 [ _ADMINISTRATIVE & GENERAL. EXPENSES- 659 66 1,81 8.520_26 DEPRECIATION 1, 961, 207. 36 1, 910, 644. 00 1, 910, 739. 53 _ 95.53 , PAYMENT IN LIEU OF TAXES TO CITY 718,123.12 772,792.03 772,830.66 38.63 ROADWAY LLGHTING__ ___ _.b4,14fi._187 5 0 _... _._q$�945, 36. TOTAL OPERATING EXPENSES 28,360,635.41 31.376,902.36 26,748,056.31 _23,469_86__ (4,628.846.05) OPERATING INCOME _ OTHER INCOME OTHER - NET INTEREST INCOME MISC INCOME ,__ GAIN ON DISPOSAL - ELECTRIC GAIN ON DISPOSAL - GAS TOTAL OTHER INCOME OTHER EXPENSES MISC EXPENSES 'o,[\ INTEREST EXPENSE_. °^ n TOTAL OTHER EXPENSES NOM- OPERATING INCOME__ `•/ °t oNET INCOME 2,413,049_03 67_ _ - -- ( - 1 - 94, - 976. 2,105,690,76 _ 2, 949, 402. 61_ E4, 7Q3.. 12- —__ 51, 301 _ _....4Sz,-449 00 172,580.55 85,586.16 133,340.00 773,814.93 41,191.74 275.81 _____ -QO X176 IQ - - - - -. .00 _ .00 2, 874. 25 00 1,031,095.60 184,129.59 180,284.81 76,201.11 64,018.78 72,003,60 761, 9 BQ- __ _ 745, 367. 44 _ 743 55 51 838,151.91 809,'386.22 815,558.11 ___ 5219 69 (625,256 63) - - (62D 27 3.30)___ 2,605,995.72 1,480,434.13 2,314,129.31 (843,711,85) • __ ANNUAL__ BUDGET 27,709,4D7 36 21 100, 000, 00 200,_000_00 15, 000.60 31000.00 .12,.834_ 479 —ZI 700,000.00 11 100, 000. 00 44,661,936.57 3,920,g18._OQ 391,797,00 15,906.4e3.'34 264.537. 00 108,297,00 15, 291.00 395_489.00, 240,000.00 10,720,710 00 _101,150 33, 500.60 435,270.00 1;25,250. 00 331.800.00 355,000.00 2,727, 6 0 0 2, 865, 966, 00 1, 159, 188. 03 _ 140, 911. 99 40, 228, 301. 57 _4.4 4, 632.34 67_ _ - -- ( - 1 - 94, - 976. (47,753.64) 00: 40,915.93 3, 176. 10_ 2,874.25 3,844.78 70,000. 00 200,000.00 758,300.00 _.. _ 0 0_ .06 1, 0213, 300, 00 7, 984. 82 108,000 00 (1,B12.93) 1,_1 5, 2 76, 00 61 171. 89 - - - 1, 223, 276. 00 AN 67_ _ - -- ( - 1 - 94, - 976. 00: (833,695.18) 4,238.659.00 AN i C City of Hutchinson Public Works Department Operations & Maintenance 1400 Adams St SE Hutchinson, MN 55350 Phone (320) 234 -4219 Fax(320)234-6971 October 7, 2008 To: Honorable Mayor & City Council From: John Olson, Public Works Manager Subject: Request for Installation of "PROUD F.F.A. COMMUNITY" Signs Our office has received a request from members of the local Future Farmers of America (F.F.A.) chapter to allow installation of two "Proud F.F.A. Community" signs they provide. The signs are 24" square. The are gold on a blue background. The City is allowed to put two signs, one on each leg of the population signs located at each entrance to the City on Highways 7/22 and 15. Currently, the City has "JobZ" signs on the left . leg of all four population signs at the entrances. In addition, there are "Tree City USA" signs on the right leg of the two Highway 15 population signs. This leaves two potential spots for the "Proud F.F.A. Community" signs on the right legs of the population signs on both Highway 7/22 entrances. You will note the resolution indicates a maximum placement for these signs of 5 years, and they may be replaced at any time with any other sign by resolution of the City Council. If it is the City Council's desire to allow placement of these signs, the traffic resolution included will be sufficient. If not, the traffic resolution can still be passed by removing reference to the "Proud F.F.A. Community" signs. r1 LJ (0Cb)1 i RESOLUTION NO.13485 RESOLUTION ESTABLISHING LOCATION FOR TRAFFIC CONTROL DEVICES WHEREAS, the Police Chief, City Engineer and Public Works Manager agree that the following areas have traffic control concerns which warrant traffic control devices, and; WHEREAS, the Hutchinson City Council has the authority to establish locates as points where traffic control devices shall be erected, pursuant to Section 7.04, Subdivision I of the Hutchinson City Code; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON: That the Council hereby establishes the following traffic control devices shall be installed and enforced: 1. Sunset St SW (Neal Ave SW to Linden Ave SW) a. "NO PARKING" on east side of Sunset St SW between Neal Ave SW and Linden Ave SW. 2. Roberts Rd SW (School Rd SW to Kay St SW) a. "SCHOOL ZONE PEDESTRIAN WARNING" on south side of Roberts Rd SW east of School Rd SW and on north side of Roberts Rd SW west of Kay St SW. 3. Northwoods Park parking lot (north of intersection of Northwoods Ave NE and Maple St NE) a. "NO PARKING" on driveway to parking lot b. "NO PARKING 2 am to 6 am" in parking lot 4. 5" Ave SE (Michigan St SE to 150' east of Michigan St SE) a. "NO PARKING 7am to 3pm Monday- Friday" on south side of 5 Ave SE WHEREAS, the Hutchinson City Council has the authority to place two signs on each of the population signs located at each of the four entrances to the City on State Highways 7/22 and 15, and; WHEREAS, there are "JobZ" signs on all entrances to the City, and; WHEREAS, there are "Tree City USA" signs on the Highway 15 entrances, NOW, THEREFORE, BE IT FURTHER RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON: That the Council hereby establishes the following sign shall be installed: 1. Highway 7/22 (East Highway 7/22 population sign and West Highway 7/22 population sign) • a. "PROUD FFA COMMUNITY" signs on the population signs located at the west and east edge of the City on Highway 7/22. b. The signs will be placed for a period of no more than five years. c. The signs may be replaced at any time by another resolution of the City Council. (0 C6)) • Adopted by the City Council this 14th day of October, 2008. ATTEST: Gary D. Plotz City Administrator • s Steven Cook Mayor (,OwN Resolution No. 13483 A RESOLUTION AUTHORIZING GARY D. PLOTZ, CITY ADMINISTRATOR, TO EXECUTE DOCUMENTS REQUIRED FOR REAL ESTATE PURCHASE WHEREAS, the City Council of the City of Hutchinson authorized the property acquisition related to the NORTHEAST TRUNK STORM SEWER PHASE 3 PROJECT (900 Main Street North), property legally described as Exhibit A attached hereto; and, WHEREAS, all property owned by the City of Hutchinson or its various entities must be titled in the name of the City of Hutchinson; and, WHEREAS, the City Charter gives the City Administrator, or his designee, the ability to execute contracts on the City's behalf, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON That Gary D. Plotz, City Administrator, or his designee, is hereby empowered to execute any and all documents required to effectuate the purchase of the above - described property or at the real estate closing for the purchase of this parcel. • Adopted by the City Council this day of 2008. Steven W. Cook Mayor ATTEST: Gary D. Plotz City Administrator 0 RO 0 Ld September 9, 2008 City of Hutchinson Public Works Department Operations & Maintenance 1400 Adams St SE Hutchinson, MN 55350 Phone (320) 2344219 Fax (320) 234 -6971 To: Gary Plotz, City Administrator From: John Olson, Public Works Manager CC: Kent Exner, City Engineer Subject: Land Swap. McLeod County (Fairgrounds) and City of Hutchinson (Airport) On Thursday September 4, 2008, staff from McLeod County and the City of Hutchinson met to discuss a potential land swap between McLeod County and the City of Hutchinson. There was several staff from McLeod County along with Commissioners Nies and Knutson in attendance. Gary Plotz and John Olson attended from the City. The history of this potential land-swap began with the Airport Commission. The Airport Commission identified the parcel north of the former Skydive Hutchinson property as being beneficial. Near that time the County had also identified their desire to pave the parking lot at the fairgrounds. The County had identified the land just west of the south fairgrounds entrance as being beneficial for placement of a pond to serve a paved parking lot. As these issues were discussed between staff and elected officials from the County over a period of time, a land swap began to make more sense for both parties. The concept of the land swap is simple. McLeod County would own a parcel of land located between the west side of the south fairgrounds entrance, running west to a point just east of the, wetland area located in Zone A of the airport property. This parcel would be `squared' up to allow the area to be properly maintained. A portion of the land would be located within Airport Zone A could not be developed. A right -of -way over the current sewer line in the parcel would also be platted. Any future structures on land located in Airport Zone C would need to comply with current Airport Zoning standards. The parcel the City would take over would be the parcel located north of the former Skydive Hutchinson building. In addition, land currently farmed by the Two - Cylinder Club would be turned over to the City of Hutchinson. The City of Hutchinson would need to work with the current tenant farmer to address any issues necessary to have the parcel and adjacent area included in the Airport Agricultural Lease. I recommend the City Council approve the concept of the land swap, including approval of a utility easement that would allow McLeod County to construct a pond to serve a paved parking lot at the fairgrounds prior to the final closing on the land swap. � �b'3 ORDINANCE NO. 08-0512 PUBLICATION NO. AN ORDINANCE OF THE CITY OF HUTCHINSON, MINNESOTA, AUTHORIZING THE DISPOSAL OF MUNICIPALLY OWNED PROPERTY THE CITY OF HUTCHISON ORDAINS: Section 1. That the municipally owned real property legally described as follows: Shown as Parcel A on Exhibit A attached hereto for good and valuable consideration, is hereby conveyed to McLeod County, Minnesota, together with all hereditaments and appurtenances belonging thereto. Section 2. This conveyance of municipally owned real estate is authorized in exchange for a parcel of real property owned by McLeod County legally described as follows: Shown as Parcel B on Exhibit A attached hereto Section 3. City Code Chapter 10 entitled "General Provisions" and Section 10.99 entitled "General Penalty" are hereby adopted in their entirety, by reference, as though repeated verbatim herein. Section 4. This conveyance in no way changes the responsibility of the parties to adhere to the requirements of Hutchinson City Code Chapter 151 (Airspace Obstruction Zoning). Section 5. This ordinance shall take effect upon its adoption and publication. Section 6. Gary D. Plotz, City Administrator, or his designee, is hereby empowered to execute any and all documents required to effectuate the purchase of the above - described property or at the real estate closing for the purchase of this parcel. Adopted by the City Council this 14"' day of October, 2008. Steven W. Cook Mayor ATTEST: Gary D. Plotz City Administrator i t-,b)3 0 B! ocW. e I II RA'/FNWOOD II � 3 h 0 ti W lo re a SKETCH 8 DESCRIPTIONS FOR THE MCLEOD COUNTY HIGHWAY DEPARTMENT ✓'w C,BAH. NO. B cq, \ H Rc, \ \ �O \\ T IMMrMrri� .e •M.L Wlrrrw�Iw r_.I_Y/r•.r r w4 [r.in ]i6..r •IYVlliw_ � i.•�W WW: �I�rw�� rw [ r.r r�r r. • + ...�i %am Yn- YlriuiMr..�•u O._. �'•�r. .11r.1 wv,e w.r i. rr.n ._�i.�.. e. ai �lsirrwlrom w.r _.rrrrw...wir N CC V� M•MY_ � � BLOCK 2 �a u� mew _o 3 W r �± Q L' Q 1� h d : PMICL. A J ^TkF L7 re BLOCK I QI (� \ \ ✓'w C,BAH. NO. B cq, \ H Rc, \ \ �O \\ T IMMrMrri� .e •M.L Wlrrrw�Iw r_.I_Y/r•.r r w4 [r.in ]i6..r •IYVlliw_ � i.•�W WW: �I�rw�� rw [ r.r r�r r. • + ...�i %am Yn- YlriuiMr..�•u O._. �'•�r. .11r.1 wv,e w.r i. rr.n ._�i.�.. e. ai �lsirrwlrom w.r _.rrrrw...wir N CC V� M•MY_ � � BLOCK 2 �a u� mew 0 Gavin Olson Winters Ltd. GAVIN LAW BUILDING 1017 HENNEPIN AVENUE GLENCOE, MINNESOTA 55336 -2287 PHONE (320) 864 -5142 METRO LINE . (952) 467 -2994 FAX (320) 8645146 E -MAIL jwinters@goslawfirm.com WEBSITE www.goslawfirm.com JODY L. WINTERS Attorney at Law L September 29, 2008 Mr. Marc Sebora 1 I 1 Hassan Street SE Hutchinson, MN 553502522 E: 2009 Fee Proposal ear Marc: ur proposal for calendar year 2009 is that our rate would increase from $3,100.0 to $3,175.00 per month. If the hours exceed 40 hours, then the client w ould agree to pay $110.00 per hour for the services provided which exceed 40 ours. I have enclosed a copy of the fee agreement proposal per your request. S incerely, Winters W /jw E nclosure ra5eculianeWulrhlnean \1 Macbebps92X&.Pd (0 ��1 • FEE AGREEMENT This Agreement is made this 1st day of January, 2009, at Hutchinson, Minnesota between the City of Hutchinson, hereinafter called "Client" and Gavin, Olson, Winters & Twiss, Ltd., Attorneys at Law, hereinafter called "Attorneys." The Client has requested the Attorneys undertake legal prosecution services for criminal cases for the Client at the direction and discretion of the Hutchinson City Attorney which will include but is not limited to the following: A. Prosecution of gross misdemeanor, misdemeanor and petty misdemeanor cases including traffic violations, DWI cases, theft and code violations initiated by the Hutchinson Police Department. B. Prosecution of all gross misdemeanor, misdemeanor and petty misdemeanor cases that occur in Hutchinson and initiated by the Minnesota State Highway Patrol. C. Drafting complaints, representing the Client at court appearances which currently include an assignment of 2 -3 days per week plus jury trials. The court appearances include omnibus hearings, pretrial conferences, court and jury trials and post- conviction hearings. D. Preparation of regular reports of prosecution activities and staff activities. E. Being available to meet with the Chief of Police to review prosecution matters. F. Advise and consult with City inspection staff regarding abatement of nuisances and other city code violations. G. Being available for meetings as directed by the Client. The Attorneys have consented to accept this employment. Said services shall begin on January 1, 2009 and continue through December 31, 2009. It is agreed between the Client and Attorneys as follows: 1. The Attorneys agree to undertake the services rendered at a flat fee of $3,175.00 per month with the agreement that the hours of service will not exceed 40 hours per month. If said services exceed 40 hours, the Client agrees to pay $110.00 per hour for the services provided which exceed 40 hours. Compensation to be reviewed annually based upon workload. 2. Both the Attorneys and Client may terminate this agreement by 10 days written • notice, one to the other, of their intention to so terminate, except that the Client shall pay the Attorneys for all Attorneys' fees and costs rendered to the date of termination according to said LQCG:) • agreement and the Client shall provide a substitute attorney to handle the pending prosecution matters. IN WITNESS WHEREOF, we have signed our names the day and year first above written. CLIENT: CITY OF HUTCHINSON Mayor 0 is UAProsecut1onsWulch1nson \1 Misc \fee agreement 2009.1a City Administrator ATTORNEYS: GAVIN, OLSON, WINTERS & TWISS, LTD. Jody Winters (Q CL) • HUTCHINSON CITY COUNCIL SUMMARY OF CLOSED MEETING PROCEEDINGS CITY ADMINISTRATOR PERFORMANCE APPRAISAL September 23, 2008 On September 23, 2008, the Hutchinson City Council closed its meeting at 6:25 p.m. to conduct the annual performance appraisal for the City Administrator, Gary Plotz. Individuals present included the Hutchinson City Council (Mayor Steve Cook, Bill Arndt, Jim Haugen, and Casey Stotts), City Administrator Gary Plotz, City Attorney Marc Sebora, and Brenda Ewing, Human Resources Director. Mr. Plotz exercised his right to close the proceedings to the public. The Council reviewed with Mr. Plotz his performance for the period of September 2007 to present. Performance was reviewed in the following performance competencies applicable to the position: Communications, Cost Consciousness, Delegation, Job Knowledge, Judgment, Innovation, Leadership, Managing People, Teamwork, Planning & Organization, Problem Solving, Use of Technology, and Quality. The appraisal system allows an individual to be rated in each competency on the scale of ratings ranging including Unsatisfactory, Needs Improvement, Meets Job Requirements, Exceeds Job Requirements, and Outstanding. The consensus of the Council is that Mr. Plotz' performance for the review period was found to be exceeding job requirements or outstanding in all of the competency categories. Mr. Plotz presented to the Council specific achievements for the review period. The list of achievements included the following: • Policy Governance — Significant time and effort was spent on this program. The groundwork for this is almost finished and should be to the point of implementation in the next 3-4 months. • 2009 Budget Process — The budget process began early in the year, Mr. Plotz had increased involvement in the presentation of the budget at meetings and workshops, and. 5 -year budgeting was included. • Creek Side — Changes, including accounting process modification, continue to be implemented. • Debt Policy — Created a formalized debt policy for the City. • Hospital Related Charter Changes — Facilitated the Charter amendments related to the privatization of Hutchinson Area Health Care. • Developed 30 outcome measurements and establish benchmarks for departments and sub - departments. • Investigated the process and benefits of ISO 9000 standards. • Investigated the Malcolm Baldrige award for government. • Initiated an internal process for evaluating/justifying new or vacant position. • Established an award system to recognize individuals /departments who achieve in the ■ area of safety. Completed the Hutchinson Area Health Care Evaluation Process by June 31, 2008. . • Completed the climate control assessment and identified strategies to conserve City -wide. • Creek Side — Continue to work toward profitability in 2008. 6 Co\) • Met with McLeod County officials to discuss assessing issues (property tax). ■ Continues to support EDA efforts to find tenants for Cub Foods and Office Max buildings/sub -lease options. ■ Explored regional projects (connector road, regional airport, wind energy) with McLeod County and others entities. ■ Highway 7 Corridor —The City adopted development standards. • Implemented a real time reporting system for the entire Council. ■ Revisited the priorities identified by the Council during a previous visioning session. ■ Increased presentation of agenda items at Council Meetings. ■ Formalized the communication process between Council and staff. The Council identified the following goals and priorities for the City Administrator for 2008/2009: • Continue with Policy Governance and assist in facilitating the implementation with Council and staff. • Measurements — Mr. Plotz will have approximately 30 completed and established by the end of calendar year 2007. Analysis of the measurements will take place in 2009. • Completion of the orientation process of the newly elected Council members. • With the large capital projects recently completed, look internally at City processes to identify and implement improvements. • Identify alternative revenue sources including Creek Side and energy and sustainability initiatives. • Expand the key performance indicator identification. The information that was provided • in 2007 regarding the Liquor Store operation that included an informative breakdown of industry standards versus the Liquor Hutch performance was useful. Establish benchmarks for other departments and update the information on a regular basis. • Continue working on the 2007 goals and objectives list. Review progress with the Council at year-end 2008. • ISO 9000 & Baldridge — Continue research that may require out -of -state travel for related training/conferences. • Continue being responsive to the public. • Bring ideas for goals to the Council for consideration as they arise. • Response to e-mail. Work on getting timely responses back to the Council. Sending a quick response to the Council when a message is initially received is requested. • Prepare a formal, written report on accomplishments for Council consideration during future review processes. Motion by Casey Stotts, second by Jim Haugen to assign a performance rating of 4.26 warranting a 3% performance /merit increase per the 2008 City of Hutchinson Compensation. The motion passed unanimously. Motion by Bill Arndt, second by Jim Haugen to reopen the meeting at 7:21 p.m. The motion carried unanimously. Motion by Bill Arndt, second by Casey Stotts to adjourn the meeting. The motion carried unanimously, and the meeting adjourned at 7:22 p.m. (X C <)\7 L 7i TO: Mayor & City Council FROM: Kent Exner, City Engineer Randy DeVries, Water/Wastewater Manager RE: Consideration of Improvement Project Change Orders DATE: October 14, 2008 As construction has proceeded on the below listed projects there have been additional work, project scope revisions, and construction staging revisions. All of these items have been identified and deemed necessary to satisfactorily complete the projects. The following Change Orders are proposed to address these items: Change Order No. 4 — Letting No. 13/Project No. 06 -15 — W WTF Administration Building Expansion Documentation necessary to address a contract time extension. This Change Order results in no additional costs. We recommend that the above Change Order be approved. cc: Cary PloM City Administrator • (0 Ce�) CHANGE ORDER NO. 4 • CHANGE ORDER COMMENCEMENT OF DATE OF ISSUANCE September 24 2008 CONTRACT TIME January 9.2007 OWNER City of Hutchinson Minnesota CONTRACTOR Electrical Installation & Maintenance PROJECT WWTP —SCADA System; Letting No 131 Contract 06-15 CONTRACT NO. 11114 ENGINEER Donohue & Associates Inc YOU ARE DIRECTED TO MAKE THE FOLLOWING CHANGES IN THE CONTRACT DOCUMENTS: • DESCRIPTION: 1. CHANGE FINAL COMPLETION DATE TO SEPTEMBER 16.2008. REASON FOR CHANGE ORDER: CONTRACT WORK REQURIES DATA TRANSFER FROM THE SCADA SYSTEM INTO THE CITY OWNED OPS JOB AND OPS SQL DATA MANAGEMENT SOFTWARE. DATA IMPORT REQUIRED THE CITY TO UPGRADE THE DATA MANAGEMENT SOFTWARE TO A NEWER VERSION, AND OBTAIN TECHNICAL SUPPORT FROM THE SOFTWARE VENDOR. ATTACHMENTS: NONE CHANGE IN CONTRACT PRICE Original Contract Price: $ 812,896-00 Net increase (decrease) from previous Change Orders: $ -24,623 Net increase (decrease) of this Change Order: $ no change Revised Contract Price: $ 788.272 75 CHANGE IN CONTRACT TIMES Original Contract Times: (days ordates) Substantial Completion: Phase II — October 30, 2007 Ready for Final Payment: Phase II — November 29, 2007 Net increase (decrease) from previous Change Orders: (days) Substantial Completion: 90 - January 28, 2008 Ready for Final Payment: 90 - February 27, 2001 Net increase (decrease) of this Change Order: (days) Substantial Completion: no change Ready for Final Payment: 202 — September 16, 2008 Revised Contract Titres: (daysordates) Substantial Completion: Phase H — January 28. 2008 Ready for Final Payment: Phase H — September 16. 2008 CONTRACTOR agrees that this Change Order includes any and all costs associated with or resulting from the change ordered herein, including all impacts, delays, and accelerated costs. Other than the dollar amount and time allowance listed above, there shall be no other dollar or time compensation as a result of this Change Order. THIS DOCUMENT SHALL BECOME AN AMENDMENT TO THE CONTRACT AND ALL STIPULATIONS AND COVENANTS OF THE CONTRACT SHALL APPLY HERETO. RECO = 10/ v B EN WEER (signature) Date: S �.I 29 2 APPROVED: By: OWNER (signamn) Date: ACCEPTE By: ems/ CONTRACTOR (sigrmm ) Date: Y/-z5/0 8 (n Cep Donohue & Associates, Inc. Project No. 11114 CHANGE ORDER CO -4 M3 L • MEMORANDUM POLICE / EMERGENCY MANAGEMENT SERVICES TO: Mayor & Council FROM: Chief Dan HafterA� DATE: October 13, 2008 RE: License Application and Investigation Catherine Libor A background check was conducted on Ms. Catherine Libor in reference to her obtaining a Massage License in the City of Hutchinson. Ms. Libor is planning on working at the Hair Lounge located at 3 Main Street. It would be my recommendation to grant Ms. Libor this license based on the information gathered during the Investigation. /Ikg 2008 -01 -0011 cS (.(:) I n l , u Hutchins City Center 111 Hassan Street SE Hutchinson, MN 55350-2522 320-587.5151/Fas 320-2344740 TO: Mayor & City Council FROM: Melissa Starke, Administrative Coordinator DATE: October 9, 2008 SUBJECT: Massage License Application— Catherine Libor Please find attached a massage license application completed by Catherine Libor requesting to operate a massage therapy facility at 3 Main Street North. Ms. Libor submitted the application to our office on October 8, 2008. • The application has been forwarded to the police department for a background investigation to be completed. The results of the investigation should be received prior to the start of the Council meeting and will be distributed to you accordingly. Should you have any questions regarding this, please let me know. • Printed on recycled paper' W `�� • culal 111 Hassan Street Southeazt Hutchinson, MN 55350 (320) 587- 51511Fm: (320) 2344240 City of Hutchinson Application for Massage Service License License Fee: 5175 Operating Year: O iness Name Phone Number 1� C4i� V�C-�1 .FpFaL50 Business Address City State zi Corporate Name Address is Phone Number State Zip Owner(s)/Corporate Officer(s) (list names and addresses of all persons have a beneficial interest in the business/corporation) Name: r ry V `1010 �� n (Jt �� P��C h _ 5- Address City State Zip Name: Address City State Zip *If nec essary , list additional owner(s) /corporate officer(s) on a separate sheet ofpaper Name' • Address City State Zip op erators list all individuals involved in giving massage services Name: ��Inl�fi ST 1 Address City State Zip Name: t Address City State Zip *If necessary, list additional operators on a sep arate sheet ofpaper (-O, City of Hutchinson Application for Massage Service Page 2 of 3 • Describe Nature of Massage Business and Massa e Offered Insurance Coverage Information (attach public liability insurance policy or certificate of insurance that meets or exceeds limits established in City Ordinance 6.4 Subsection 7) Agent's Name t t 1,\ -� 0 ) 8 =0 City Sr Zip • — y51 - o bW Phone Number Fax Background Statement Have you or any operators been convicted of any crime, misdemeanor, or violation of any municipal ordinance, other than traffic violations? ❑ YES NO If yes, state nature of offense and punishment or penalty therefore: Manager Information (Ordinance 6.43 subsection 6 requires that the manager of the establishment be "a natural e on who is a resident of the City". Please complete the following confrrmin compliance with this ordinance -r -} Manager Name Phone Number Gl - N�9 N U�L�1�5 AVI_� �vo Manager Address City State Zip Checklist all items must be checked "yes" in order for the application to be processed The following items need to be completed and/or attached in order for the application to be processed: Copy of insurance that meets or exceeds limits established in the ordinance: 10 yes ❑ no Application fee paid in full (check or money order): �d yes ❑ no Application completed in full and signed: j yes ❑ no r1 L -A (D(-f� City of Hutchinson Application for Massage Service Page 3 of • I hereby certify that I have completely filled out the entire above application, together and that the application is true, correct, and accurate. I fully understand that any person who violates any provision of the Massage Services Ordinance No. 6.43 is guilty of a misdemeanor and upon conviction thereof shall be punished by a fine not exceeding $500 or by imprisonment for a enod n t exceeding 90 days or, oth, plus, in either case, the costs of prosecution. 7 O Si nature of Applicant Date Print Name Title NOTE. No application will be forwarded to the City Council unless received one week prior to the regular Council meeting, filled out in completion, andfee payment is attached. Building: ❑ approved Fire ❑ approved ❑ denied ❑ Notes: Notes: Police ❑ approved ❑ denied Notes: City Council ❑ approved ❑ denied Notes: • x- .riun,drovraaow asMp dw • V -0 . ORDINANCE NO. 08 -0511 PUBLICATION NO. AN ORDINANCE AMENDING SECTION 30.34 OF THE HUTCHINSON CITY CODE ELIMINATING SECTION (G)(5) THEREFROM THE CITY OF HUTCHINSON ORDAINS: That Section 30.34 of the Hutchinson City Code shall be amended to read as attached as Exhibit A hereto. Adopted by the City Council this 28 day of October, 2008. Steven W. Cook Mayor • ATTEST: Gary D. Plotz City Administrator • q > Exhibit A § 30.34 CODE OF ETHICS. (A) Purpose. (1) It is imperative that all persons acting in the public service not only maintain the highest possible standards of ethical conduct in the transaction of public business but that those standards be clearly defined and known to the public as well as the person acting in public service. (2) The proper operation of democratic government requires that elected officials be independent, impartial and responsible to the people; that governmental decisions and policy be made in the proper channels of the government structure; that public office not be used for personal gain; and that the public have confidence in the integrity of its government. In recognition of these goals, there is hereby established a code of ethics for all elected officials whether elected or appointed. The purpose of the code of ethics is to establish ethical standards of conduct for all elected officials by setting forth those types of activities that are incompatible with the best interests of the city. (B) Responsibilities of public office. Elected officials are agents of public purpose and hold office for the benefit of the public. They are bound to uphold the Constitution of the United States and the Constitution of this state and to carry out impartially the laws of the nation, state and the municipality and thus to foster respect for all government. They are bound to observe in their official acts the highest standards of • morality and to discharge faithfully the duties of their offices. (C) Dedicated service. (1) All officials of the city shall be dedicated to fulfilling their responsibilities of office described herein. They shall be dedicated to the public purpose and all programs developed by them shall be in the community interest. (2) Elected officials shall not exceed their authority or breach the law or ask others to do so and they shall work in full cooperation with other public officials unless prohibited from so doing by law or by officially recognized confidentiality of their work. (D) Avoidance of conflict of interest and appearance of impropriety. No person covered by this code of ethics shall use his or her office or position or otherwise act in any manner which would give the appearance of or result in any impropriety or conflict of interest. (E) Scope. The provisions of this code of ethics shall be applicable to the members of the City Council. (F) Definitions. For the purpose of this section, the following definitions shall apply unless the context clearly indicates or requires diffe an i . o f a matter in CONFLICT OF INTERES atment INTEREST., Any Y an which the official has an interest, whether the interest does or does not result in a direct or indirect benefit to the official. DIRECT SUBSIDY. Any and only direct financial support by the city, any grant or gift by the city, any taxation benefits granted by the city including tax increment financing or forgiveness of taxes, special assessments, interest or penalties. � J Exhibit A • INTEREST. Having a personal or financial relationship to a matter, including but not limited to association in any capacity, other than as a customer, with a person, partnership, firm or corporation or other entity doing business with the city. MATTER. Anything upon which an elected official of the city, individually or in concert with other elected officials, is empowered to act. OFFICIAL or ELECTED OFFICIAL. Any person who has been elected to the City Council and is authorized to vote or take other official action. (G) Prohibited conduct. (1) No person covered by this code of ethics may use public funds, public work time, personnel, facilities or equipment for private gain or for political campaign activities unless that use is authorized or required by law. (2) No person covered by this code of ethics shall request or permit the use of city owned vehicles, equipment, machinery or property for personal convenience or profit, except when those services are available to the public generally or are provided as municipal policy for the use of those persons in the conduct of official business. (3) No person covered by this code of ethics shall directly or indirectly solicit, accept or receive any compensation, gift, reward or gratuity with a fair market value of $50 or more, whether in the form of money, services, loan, travel, entertainment, hospitality, promise or any other form in connection with any matter or proceeding connected with or related to the duties of his or her office, except as may otherwise be provided by law. (4) No person covered by this code of ethics who is not seeking re- election or otherwise intends to leave his or her elected office, shall seek reimbursement for travel and transportation expenses from t(}e,city, regardless of whether the expenses are directly or indirectly related to official city business. Failure to comply with appropriate deadlines for election filings or failure to win re- election, shall create a rebuttable presumption that a person is not seeking re- election or otherwise intends to leave his or her elected office. Owner of any buriness, fifm or- organization whiah business, fifffl or- 8r-9aRiWtkffl has Ceuneil: (H) (5) No person covered by this code of ethics, within one year of his or her service as a Council member, shall contract to provide goods or services to the city. This prohibition shall extend to any business, firm or organization in which the former Council member holds at least a 50% ownership interest. This prohibition shall not extend, however, to any contract competitively bid pursuant to M.S. §§ 471.345(1) - 471.345(3), 1988 edition, as it may be amended from time to time, or its successor statute and further shall not apply to any contract which the city, by its actions, mandates will be subject to the provisions of M.S. § 471.345, as it may be amended from time to time. (14) Violations. (1) Upon the written complaint of any person alleging violation of division (G) above, the City Council may hold a hearing at which hearing the person who q�a� Exhibit A • is alleged to have violated division (G) shall have the opportunity to respond to the allegations. If, after hearing and after stating on the record the reasons for action, the City Council may take any lawful action it deems appropriate, including but not limited to, referring the matter for criminal prosecution. No City Council member alleged to have violated division (G) of this section shall participate in the deliberation or voting of the City Council. (2) Any person who shall violate the provisions of division (G) of this section shall be guilty of a misdemeanor. Only violations of division (G) of this section shall be considered misdemeanors. ('89 Code, § 2.13) (Ord. 89 -15, passed 1- 23 -90) Penalty, see § 10.99 �0.> • BID TABULATION $2,200,000 General Obligation Improvement Bonds, Series 2008A CITY OF HUTCHINSON, MINNESOTA SALE: October 14, 2008 AWARD: PIPER JAFFRAY & CO. RATING: FSA Insured (Moody's Investors Service, Inc. 'Aaa')' BBI: 5.47% UNDERLYING RATING: Moody's Investors Service, Inc. - A2' NET TRUE NAME OF BIDDER MATURITY RATE REOFFERING PRICE INTEREST INTEREST (February 1) YIELD COST RATE PIPER JAFFRAY & CO. Leawood, Kansas I� SILVERTON BANK, N.A. Atlanta, Georgia 'FSA insurance purchased by Piper Jaff ray & Co. 2009 2010 2011 2012 2013 2014 2015 2016" 2017" 2018 "' 2019•" 2020 "' 2021"" 2022 "" 2023 "" 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 4.000% 4.000% 4.000% 4.000% 4.000% 4.000% 4.000% 4.250% 4.250% 4.500% 4.500% 4.500% 4.750% 4.750% 4.750% 4.000% 4.000% 4.000% 4.000% 4.000% 4.000% 4.000% 4.500% 4.500% 4.500% 4.500% 4.500% 4.500% 4.750% 4.750% "$340,000 Term Bond due 2017 with mandatory redemption in 2016 '" 80,000 Term Bond due 2020 with mandatory redemption in 2018 -2019 345,000 Term Bond due 2023 with mandatory redemption in 2021 -2022 EHLERS LEADERS IN PUBLIC FINANCE 2.600% $2,181,284.00 $665,491.52 3.000% .. _ 3.300% 3.500% 3.700% 3.850% 4.000% 4.300% 4.300% 4.500% 4.500% 4.500% 4.750% 4.750% 4.750% $2,172,500.00 $677,486.28 4.5466% 4.6457% www.ehlers -Inc. com Minnesota phone 651- 697 -8500 3060 Centre Pointe Drive Offices also in Wisconsin and Illinois fax 651- 697 -6555 Roseville, MN 55113-1122 Competitive Sales October 6 - 14, 2008 Sale Date Issuer State Par Amt Issue Rating Credit Enhanced Rating TIC Principal # of Bidders Winning Bidder 10/6/2008 Dover - E ota Sch Dist MN 540K GO Alternative Facilities Bds Baal Aa2 3.545% 2010-14 4 Wells Fargo 1016/2008 Dover - E ota Sch Dist MN 305K GO Capital Facilities Bds Baa Aa2 4.150% 2010- 18 3 Wells Fargo 10/612008 Dubu ue IA 1.195M Water Revenue Bds Al Aaa 4.700% 2010-23 2 Ruan Securities 101612008 Dubu ue IA 3.885M GO Stonnwater Bds Aa2 4.570% 2009-28 3 Piper Jaffra 10/612008 Dubu ue IA 3.29M GO Urban Renewal Bds Aa2 4.233% 2009 - 23 5 BMO Ca ital Markets =- 107612008 Dubu ue 1,A " � 2:4 M= s= TiLx bleGO Urban Renewal Bds: - � Aa2 =_ . 4.439% 5:537 % = '2009- 18. ; 3 � - sBMD-6a 't�kMa: ats 1016/2008 Ea le Lake MN 27 GO Ce Pita] Improvement Plan Bds AA- 2009-30 4.741% 2010 -29 2 Stile] 101612008 Hu - .< MN - I 1.395M ITaxable GO TIF Refunding Bds "' : _, Ai /NR .5:943% . 2010 - -18 . ';3 1 .... M o r gan " K eagart : - 10/6/2008 IBloomington I MN I 9.605M IGO Perm Imp Rev Fnd Bds AAA, Aaa 4.462% 2010-29 6 1 RBC Capital Markets 101712008 Eden Prairie MN 3.12M GO Equipment Certs Aaa 1 3.772% 1 2009-18 6 Morgan Keegan 10/712008 Eden Prairie MN 1.845M GO Perm Imp Rev Fund Bds Aaa I AAA 4,228% 2009-23 4 Wells Fargo 10/7/2008 Fountaindale Pub Llb Dist. IL 10M GO Library Buildinq Bds AA AAA 4.664% 2020-28 9 Vining Sparks 1 0/712 0 0 8 Madison WI 58M GO Promissory Notes Aaa Aaa 3.824% 2009-18 8 Hutchinson Shocke 10!7/2008 Redwood Falls MN 655K GO Perm Imp Rev Fund Bds A3 4.808% 2013-25 3 Cronin 10!7!2008 St, Louis County MN 3.62M GO Cap Equip Notes Aa3 3.161% 2009-13 4 Hutchinson Shocke 10/7/2008 St. Louis County MN 11.3M GO Cap Improvement Plan Bds Aaa 4.439% 2009-23 5 Hutchinson Shocke 10/7/2008 Topeka KS 24.57M GO Imp & Refunding Bds Aa3 5.2912 2009-30 5 Morgan Keegan 10/82008 !Hennepin County MN 1 15M IGO Capital Notes I Aaa, AAA 3,728% 2009 - 17 5 Piper Jaffra 10/82008 Lewiston I MN I 1.63M IGO Perm Imp Rev Fund Bds I Not Rated j AAA 4.698% 2011 - 25 1 Northland 10/92008 INorth Branch Sch Dist I MN I 7.97M IGO Refunding Bonds I A3 I Aa2 1 3.259% 1 2010 .13 1 6 1 UBS 10/1312008 MARKETS CLOSED - COLUMBUS DAY 10/142008 jDodga County I MN 1 1.57M GO Cap Imp Plan Bds AA- 1 1 3.941% 1 2010 - 16 2 UMB Bank 10/14/2008 JlNlorwood Young America I MN I 2.718M i lGOV&RevBds Af I AAA 4.702% 1 2012 - 29 7 Silverton Bank 10/14/2008 Hutchinson I MN I 2.20M IGO Im rov Bds A2 Aaa 4.547% 2009 - 23 4 Piper Jaffra 10/142006 lHutchinton I MN I 1.315M GO Stonnwaler Rev Bds A2 Aaa 4.442% 2010 - 19 3 Piper Jaffra 19 EHLERS �c.oaea w rwut nuaca 11 C ' J 0 ma 11.00 10.00 9.00 c v 8.00 L Q 7.00 6.00 5.00 4.00 0 October 2008 Bond Buyer Index 5.47% TWENTY -YEAR BOND BUYER INDEX 0 9 90 0 7 09 0 0 9 9 X9 99j 90 09 0 0 7 O 0 0 O V 0 6 , 06, 0 0 1988-2008 Prepared by Ehlers Associates, Inc. Bondstats.XLW BID TABULATION $1,315,000 General Obligation Stormwater Revenue Bonds, Series 20088 • CITY OF HUTCHINSON, MINNESOTA SALE: October 14, 2008 AWARD: PIPER JAFFRAY & CO. RATING: FSA Insured ( Moody's Investors Service, Inc. "Aaa ")" BBI: 5.47% UNDERLYING RATING: Moody's Investors Service, Inc. "A2" NET TRUE NAME OF BIDDER MATURITY RATE REOFFERING PRICE INTEREST INTEREST (February 1) YIELD COST RATE PIPER JAFFRAY & CO. Leawood, Kansas CRONIN & COMPANY, INC. neapolis, Minnesota LS FARGO BROKERAGE SERVICES, LLC Minneapolis, Minnesota NORTHLAND SECURITIES, INC. Minneapolis, Minnesota "FSA insurance purchased by Piper Jaf Tay & Co. 2010 4.300% 3.000% $1,310,024.80 $356,117.49 4.4418% 2011 4.300% 3.300% 2012 4.300% 3.500% 2013 4.300% 3.700% 2014 4.300% 3.850% 2015 4.300% 4.000% 2016' 4.300% 4.300% 2017' 4.300% 4.300% 2018" 4.500% 4.500% 2019" 4.500% 4.500% 2010 4.000% $1,304,386.10 $387,251.23 4.8278% 2011 4.000% 2012 4.000% 2013 4.000% 2014 4.250% 2015 4.500% 2016 4.750% 2017 5.000% 2018 5.000% 2019 5.000% 2010 3.750% $1,301,521.25 $390,634.76 4.8818% 2011 4.000% 2012 4.200% 2013 4.350% 2014 4.500% 2015 4.600% 2016 4.700% 2017 4.800% 2018 4.900% 2019 5.000% 000 Term Bond due 2017 with mandatory redemption in 2016 0,000 Term Bond due 2019 with mandatory redemption in 2018 ERS LEADERS FINANCE www.ehlers- Inc.com Minnesota phone 651- 697 -8500 3060 Centre Pointe Drive Offices also in Wisconsin and Illinois fax 651- 697 -8555 Roseville, MN 55113 1122 CITY OF HUTCHINSON MEMO Finance Department October 9, 2008 TO: MAYOR 6 CITY COUNCIL FROM: KEN MERRILL, FINANCE DIRECTOR SUBJECT: 2008 BOND Bids for the 2008 Bonds for the City of Hutchinson will be opened Tuesday, October 14. Bruce Kummel, Ehlers Financial Advisor, will be in attendance to review the bids for the bonds, with a recommendation for the winning bid. • Attached is the first pages and end page of the bond resolutions to be approved along with a draft of the Moody's rating for this year's bond issues which retains the City of Hutchinson's A -2 rating. H: \DoC \City council memo l.doc C WC ) • CERTIFICATION OF MINUTES RELATING TO $2,200,000 GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 2008A Issuer: City of Hutchinson, Minnesota Governing Body: City Council Kind, date, time and place of meeting: A regular meeting, held on October 14, 2008, at 5:30 o'clock p.m., in the Council Chambers at the Hutchinson City Center. Councilmembers present: Councilmembers absent: Documents Attached: Minutes of said meeting (pages): 1 through 21 RESOLUTION NO. 13485 RESOLUTION RELATING TO $2,200,000 GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 2008A; AUTHORIZING THE • ISSUANCE, AWARDING THE SALE, FIXING THE FORM AND DETAILS, PROVIDING FOR THE EXECUTION AND DELIVERY THEREOF AND THE SECURITY THEREFOR AND LEVYING AD VALOREM TAXES FOR THE PAYMENT THEREOF I, the undersigned, being the duly qualified and acting recording officer of the public corporation issuing the obligations referred to in the title of this certificate, certify that the documents attached hereto, as described above, have been carefully compared with the original records of said corporation in my legal custody, from which they have been transcribed; that said documents are a correct and complete transcript of the minutes of a meeting of the governing body of said corporation, and correct and complete copies of all resolutions and other actions taken and of all documents approved by the governing body at said meeting, so far as they relate to said obligations; and that said meeting was duly held by the governing body at the time and place and was attended throughout by the members indicated above, pursuant to call and notice of such meeting given as required by law. WITNESS my hand officially as such recording officer this day of October, 2008. • (SEAL) Gary D. Plotz City Administrator IOCc�) 0 The City Administrator reported that C-) proposals had been received by the City prior to 11:00 A.M., Central Daylight Time today for the purchase of the Bonds in accordance with the Terms of Proposal for the $2,200,000 General Obligation Improvement Bonds, Series 2008A of the City as previously approved by a resolution of the City Council. The bids have been read and tabulated, and the terms of each have been determined to be as follows: Name of Bidder Bid for Interest Principal Rates (See Attached) • Total Interest Cost -Net Average Rate 11D &° ) • Councilmember _ introduced the following resolution and RESOLUTION NO. 13485 RESOLUTION RELATING TO $2,200,000 GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 2008A; AUTHORIZING THE ISSUANCE, AWARDING THE SALE, FIXING THE FORM AND DETAILS, PROVIDING FOR THE EXECUTION AND DELIVERY THEREOF AND THE SECURITY THEREFOR AND LEVYING AD VALOREM TAXES FOR THE PAYMENT THEREOF moved its adoption, the reading of which was dispensed with by unanimous consent: BE IT RESOLVED by the City Council of the City of Hutchinson, Minnesota (the City), as follows: Section 1. Recitals CI 1.01. Authorization This Council has heretofore ordered various local improvement projects, including the City's 2007 pavement management program (together, the Improvements), to be constructed within the City under and pursuant to Minnesota Statutes, Chapter 429. The present estimated total cost of the Improvements is as follows: Project Costs $2,151,056 Contingency 944 Discount Allowance 27,500 Cost of Issuance 20.500 TOTAL °"" u This Council has previously determined to issue and sell $2,200,000 principal amount of General Obligation Improvement Bonds, Series 2008A, of the City (the Bonds) to defray a portion of the expense incurred and estimated to be incurred by the City in making the Improvements, including every item of cost of the kinds authorized in Minnesota Statutes, Section 475.65, and $27,500 representing interest as provided in Minnesota Statutes, Section 475.56. The remaining costs of the Improvements will be paid from City funds and from interest earnings on proceeds of the Bonds. 1.02. Sale of Bonds The City has retained Ehlers & Associates, Inc., an independent financial advisor, to assist the City in connection with the sale of the Bonds. The Bonds are being sold pursuant to Minnesota Statutes, Section 475.60, Subdivision 2, paragraph (9), without meeting the requirements for public sale under Minnesota Statutes, Section 475.60, Subdivision 1. Pursuant to the Terms and Conditions of Sale for the Bonds, (—) sealed bids for the purchase of the Bonds were received at or before the time specified for receipt of bids. The bids have been opened and publicly read and considered, and the purchase price, interest rates and net interest cost under the terms of each bid have been determined. The most favorable proposal received is that of , of , (the Purchaser), to purchase the Bonds at a price of $ , the Bonds to bear interest 10c`� 0 at the rates set forth in Section 3.01. The proposal is hereby accepted, and the Mayor and the City Administrator are hereby authorized and directed to execute a contract on the part of the City for the sale of the Bonds with the Purchaser. The good faith checks of the unsuccessful bidders shall be returned forthwith. 1.03. Issuance of Bonds All acts, conditions and things required by the Constitution and laws of the State of Minnesota to be done, to exist, to happen and to be performed prior to the issuance of the Bonds have been done, do exist, have happened, and have been performed, wherefore it is now necessary for this Council to establish the form and terms of the Bonds, to provide for the security thereof, and to issue the Bonds forthwith. 1.04. Maturities This Council fords and determines that the maturities of the Bonds, as set forth in Section 3.01 hereof, are warranted by the anticipated collection of the assessments and ad valorem taxes to be levied for the cost of the Improvements. 1.05. Consolidation of Improvements Pursuant to Minnesota Statutes, Section 435.56, the Improvements are hereby consolidated and joined as one project. Section 2. Form of Bonds The Bonds shall be prepared in substantially the following • form: UNITED STATES OF AMERICA STATE OF MINNESOTA COUNTY OF McLEOD CITY OF HUTCHINSON GENERAL OBLIGATION IMPROVEMENT BOND, SERIES 2008A No. R- Rate Maturi Date of Original Issue CUSIP February 1, _ November 6, 2008 REGISTERED OWNER: CEDE & CO. PRINCIPAL AMOUNT: DOLLARS THE CITY OF HUTCHINSON, McLeod County, Minnesota (the "City"), acknowledges itself to be indebted and, for value received, hereby promises to pay to the registered owner above named, the principal amount indicated above, on the maturity date specified above, with interest thereon from the date of original hereof specified above at the annual rate specified above computed on the basis of a 360 -day year consisting of twelve 30 -day months, payable on February 1 and August 1 in each year, commencing February 1, 2009, to the person in whose name this Bond is registered at the close of business on the 15th day (whether or not a business IoC= • day) of the immediately preceding month, all subject to the provisions referred to herein with respect to the redemption of the principal of this Bond before maturity. The interest hereon and, upon presentation and surrender hereof, the principal hereof, are payable in lawful money of the United States of America by check or draft of ' in , Minnesota, as Bond Registrar, Transfer Agent and Paying Agent (the "Bond Registrar "), or its successor designated under the Resolution described herein. This Bond is one of an issue in the aggregate principal amount of $2,200,000 (the `Bonds "), all of like date and tenor except as to serial number, interest rate, redemption privilege and maturity date, issued pursuant to a resolution adopted by the City Council on October 14, 2008 (the "Resolution ") to pay the cost of construction of local improvements in the City (the "Improvements "), and is issued pursuant to and in full conformity with the provisions of the Constitution and laws of the State of Minnesota thereunto enabling, including Minnesota Statutes, Chapters 429 and 475. This Bond is payable primarily from the 2008 Improvement Bond Fund (the "Fund") of the City, but the City is required by law to pay maturing principal hereof and interest thereon out of any funds in the treasury if moneys on hand in the Fund are insufficient therefor. The Bonds are issuable only as fully registered bonds, in denominations of $5,000 or any integral multiple thereof, of single maturities. Bonds maturing in the years 2009 through 2015 are payable on their respective stated maturity dates without option of prior payment, but Bonds having stated maturity dates in the • years 2016 and thereafter are each subject to redemption and prepayment, at the option of the City and in whole or in part and if in part, in the maturities selected by the City and by lot, assigned in proportion to their principal amount, within any maturity, on February 1, 2015 and on any date thereafter, at a price equal to the principal amount thereof to be redeemed plus interest accrued to the date of redemption. [Bonds maturing on February 1, 20_ are subject to mandatory redemption, at a redemption price equal to their principal amount plus interest accrued thereon to the redemption date, without premium, on February 1 in each of the years shown below, in an amount equal to the following principal amounts: Sinking Fund Aggregate Payment Date Principal Amount 20 20_ (maturity) ] At least thirty days prior to the date set for redemption of any Bond, notice of the call for redemption will be mailed to the Bond Registrar and to the registered owner of each Bond to be redeemed at his address appearing in the Bond Register, but no defect in or failure to give such mailed notice of redemption shall affect the validity of proceedings for the redemption of any Bond, not affected by such defect or failure. Official notice of redemption having been given as aforesaid, the Bonds or portions of Bonds so to be redeemed shall, on the redemption date, • become due and payable at the redemption price herein specified and from and after such date (unless the City shall default in the payment of the redemption price) such Bond or portions of Bonds shall cease to bear interest. Upon the partial redemption of any Bond, a new Bond or to Cc�) • primary offering; and (iii) such amendment or supplement does not materially impair the interests of the Bondowners under the Rule. If the Disclosure Information is so amended, the City agrees to provide, contemporaneously with the effectiveness of such amendment, an explanation of the reasons for the amendment and the effect, if any, of the change in the type of financial information or operating data being provided hereunder. (3) This Section 7 is entered into to comply with the continuing disclosure provisions of the Rule and should be construed so as to satisfy the requirements of paragraph (b)(5) of the Rule. Section 8. Authorization of PayMent of Certain Costs of Issuance of the Bonds. The City authorizes the Purchaser to forward the amount of Bond proceeds allocable to the payment of issuance expenses to Resource Bank & Trust Company, Minneapolis, Minnesota, on the closing date for further distribution as directed by the City's financial advisor, Ehlers & Associates, Inc. Mayor 0 Attest: City Administrator The motion for the adoption of the foregoing resolution was duly seconded by Councilmember , and upon vote being taken thereon, the following Councilmembers voted in favor thereof: and the following Councilmembers voted against the same: • whereupon said resolution was declared duly passed and adopted, and was signed by the Mayor, which was attested by the City Administrator. 21 • CERTIFICATION OF MINUTES RELATING TO $1,315,000 GENERAL OBLIGATION STORMWATER REVENUE BONDS, SERIES 2008B Issuer: City of Hutchinson, Minnesota Governing Body: City Council Kind, date, time and place of meeting: A regular meeting held on October 14, 2008, at 5:30 o'clock P.M., in the Council Chambers at the Hutchinson City Center. Councilmembers present: Councilmembers absent: Documents attached: Minutes of said meeting including (pages): 1 through 20 RESOLUTION NO. 13486 RESOLUTION RELATING TO $1,315,000 GENERAL OBLIGATION STORMWATER REVENUE BONDS, SERIES 200813; AWARDING • THE SALE, FIXING THE FORM AND DETAILS AND PROVIDING FOR THE EXECUTION AND DELIVERY THEREOF AND SECURITY THEREFOR I, the undersigned, being the duly qualified and acting recording officer of the public corporation issuing the obligations referred to in the title of this certificate, certify that the documents attached hereto, as described above, have been carefully compared with the original records of the corporation in my legal custody, from which they have been transcribed; that the documents are a correct and complete transcript of the minutes of a meeting of the governing body of the corporation, and correct and complete copies of all resolutions and other actions taken and of all documents approved by the governing body at the meeting, insofar as they relate to the obligations; and that the meeting was duly held by the governing to call e a n d p lace and was attended throughout by the members indicated above, p given as required by law. WITNESS my hand officially as such recording officer this _ day of October, 2008. Gary D. Plotz City Administrator r 1 U kocr� • The City Administrator reported that eight (8) proposals had been received by the City prior to 11:00 A.M., Central Time today for the purchase of the Bonds in accordance with the Terms of Proposal for the $1,315,000 General Obligation Stormwater Revenue Bonds, Series 2008B of the City as previously approved by a resolution of the City Council. The bids have been read and tabulated, and the terms of each have been determined to be as follows: Total Interest Bid for Interest Cost -Net Average Name of Bidder Principal Rates Rate [See attached] • • 1Occ�) • Councilmember then introduced the following resolution and moved its adoption: RESOLUTION NO. 13486 RESOLUTION RELATING TO $1,315,000 GENERAL OBLIGATION STORMWATER REVENUE BONDS, SERIES 200813; AWARDING THE SALE, FIXING THE FORM AND DETAILS AND PROVIDING FOR THE EXECUTION AND DELIVERY THEREOF AND SECURITY THEREFOR BE IT RESOLVED by the City Council (the "Council') of the City of Hutchinson, Minnesota (the "City "), as follows: Section 1. Recitals Authorization and Sale of Bonds. 1.01. Authorization The City owns and operates a stormwater system (the "System "). This Council has heretofore ordered construction of improvements to the System. This Council hereby determines to issue and sell $1,315,000 principal amount of General Obligation Stormwater Revenue Bonds, Series 2008B, of the City (the "Bonds ") to defray the expense incurred and estimated to be incurred by the City in making the improvements, including every • item of cost of the kinds authorized in Minnesota Statutes, Section 475.65, and $16,438 representing interest as provided in Minnesota Statutes, Section 475.56. 1.02. Sale of Bonds The City has retained Ehlers & Associates, Inc., an independent financial advisor, to assist the City in connection with the sale of the Bonds. The Bonds are being sold pursuant to Minnesota Statutes, Section 475.60, Subdivision 2, paragraph (9), without meeting the requirements for public sale under Minnesota Statutes, Section 475.60, Subdivision 1. Pursuant to the Terms and Conditions of Sale for the Bonds, (--) sealed bids for the purchase of the Bonds were received at or before the time specified for receipt of bids. The bids have been opened and publicly read and considered, and the purchase price, interest rates and net interest cost under the terms of each bid have been determined. The most favorable proposal received is that of , of , (the Purchaser), to purchase the Bonds at a price of $ , the Bonds to bear interest at the rates set forth in Section 3.01. The proposal is hereby accepted, and the Mayor and the City Administrator are hereby authorized and directed to execute a contract on the part of the City for the sale of the Bonds with the Purchaser. The good faith checks of the unsuccessful bidders shall be returned forthwith. 1.03. Performance of Requirements The City is authorized by Minnesota Statutes, Section 444.075, to issue and sell the Bonds to pay the costs of the Improvements, and to pledge to the payment of the Bonds net revenues to be derived from charges for the service, use and availability of the System. The City presently has certain outstanding obligations which • constitute a lien on the net revenues of the System and the pledge of net revenues of the System pursuant to Section 4.03 to pay the Bonds shall be on a parity with the pledge of net revenues of the System to pay such outstanding obligations. Such obligations permit further pledges and ioCc�) • appropriations of net revenues of the System to be made superior or subordinate to or on a parity with the pledge and appropriation of net revenues of the System to pay such obligations. All acts, conditions and things which are required by the Constitution and laws of the State of Minnesota to be done, to exist, to happen and to be performed precedent to and in the valid issuance of the Bonds having been done, existing, having happened and having been performed, it is now necessary for this Council to establish the form and terms of the Bonds, to provide security therefor and to issue the Bonds forthwith. Section 2. Form of Bonds The Bonds shall be prepared in substantially the following form: UNITED STATES OF AMERICA STATE OF MINNESOTA COUNTY OF MCLEOD CITY OF HUTCHINSON GENERAL OBLIGATION STORMWATER REVENUE BOND, SERIES 2008B No. R- $— • Date of Interest Rate Maturi Oricinal Issue CUSIP % February 1, _ November 6, 2008 REGISTERED OWNER: CEDE & CO. PRINCIPAL AMOUNT: DOLLARS THE CITY OF HUTCHINSON, McLeod County, Minnesota (the "City"), acknowledges itself to be indebted and, for value received, hereby promises to pay to the registered owner named above, or registered assigns, the principal amount specified above, on the maturity date specified above, with interest thereon from the date of original issue specified above, or from the most recent interest payment date to which interest has been paid or duly provided for, at the annual rate specified above. Interest hereon is payable on February 1 and August I in each year, commencing August 1, 2009, to the person in whose name this Bond is registered at the close of business on the 15th day (whether or not a business day) of the immediately preceding month, all subject to the provisions referred to herein with respect to the redemption of the principal of this Bond before maturity. The interest hereon and, upon presentation and surrender hereof, the principal hereof, are payable in lawful money of the United States of America by check or draft of , in Minnesota, as Bond Registrar, Transfer Agent and Paying Agent (the "Bond Registrar "), or its successor designated under the Resolution described herein. • This Bond is one of an issue in the aggregate principal amount of $1,315,000 (the "Bonds ") all of like date and tenor except as to serial number, interest rate, redemption privilege 1 oCg • and maturity date, issued pursuant to a resolution adopted by the City Council on October 14, 2008 (the "Resolution"), for the purpose of financing the costs of improvements to the System of the City and is issued pursuant to and in full conformity with the provisions of the Constitution and laws of the State of Minnesota thereunto enabling, including Minnesota Statutes, Section 444.075 and Chapter 475. For the full and prompt payment of the principal and interest on the Bonds as the same become due, the full faith, credit and taxing power of the City have been and are hereby irrevocably pledged. The Bonds are issuable only as fully registered bonds in denominations of $5,000 or any multiple thereof, of single maturities. Bonds maturing in the years 2009 through 2015 are payable on their respective stated maturity dates without option of prior payment, but Bonds having stated maturity dates in the years 2016 and thereafter are each subject to redemption and prepayment, at the option of the City and in whole or in part, and if in part, in the maturities selected by the City and, within any maturity, in $5,000 principal amounts selected by lot, on February 1, 2015 and on any date thereafter, at a price equal to the principal amount thereof to be redeemed plus accrued interest to the date of redemption. [Bonds maturing in the years 20_ and 20_ (the "Tetra Bonds ") shall be subject to mandatory redemption, at a redemption price equal to their principal amount plus interest accrued thereon to the redemption date, without premium, on February 1 in each of the years shown below, in an amount equal to the following principal amounts: • Term Bonds Maturing in 20 Term Bonds Maturing in 20 Sinking Fund Aggregate Sinking Fund Aggregate Payment Date Principal Amount Payment Date Principal Amount *Final Maturity *Final Maturity] At least thirty days prior to the date set for redemption of any Bond, notice of the call for redemption will be mailed to the Bond Registrar and to the registered owner of each Bond to be redeemed at his address appearing in the Bond Register, but no defect in or failure to give such mailed notice of redemption shall affect the validity of the proceedings for the redemption of any Bond not affected by such defect or failure. Official notice of redemption having been given as aforesaid, the Bonds or portions of the Bonds so to be redeemed shall, on the redemption date, become due and payable at the redemption price herein specified and from and after such date (unless the City shall default in the payment of the redemption price) such Bond or portions of Bonds shall cease to bear interest. Upon the partial redemption of any Bond, a new Bond or Bonds will be delivered to the registered owner without charge, representing the remaining principal amount outstanding. The Bonds have been designated by the City as "qualified tax- exempt obligations" is pursuant to Section 265(b) of the Internal Revenue Code of 1986, as amended. • Securities Exchange Act of 1934, as amended, or any statutes or laws successory thereto or amendatory thereof. (2) This Section 7 (and the form and requirements of the Disclosure Information) may be amended or supplemented by the City from time to time, without notice to (except as provided in paragraph (c)(3) hereof) or the consent of the Owners of any Bonds, by a resolution of the City Council filed in the office of the City Administrator of the City accompanied by an opinion of Bond Counsel, who may rely on certificates of the City and others and the opinion may be subject to customary qualifications, to the effect that: (i) such amendment or supplement (a) is made in connection with a change in circumstances that arises from a change in law or regulation or a change in the identity, nature or status of the City or the type of operations conducted by the City, or (b) is required by, or better complies with, the provisions of paragraph (b)(5) of the Rule; (ii) this Section 7 as so amended or supplemented would have complied with the requirements of paragraph (b)(5) of the Rule at the time of the primary offering of the Bonds, giving effect to any change in circumstances applicable under clause (i)(a) and assuming that the Rule as in effect and interpreted at the time of the amendment or supplement was in effect at the time of the primary offering; and (iii) such amendment or supplement does not materially impair the interests of the Bondowners under the Rule. If the Disclosure Information is so amended, the City agrees to provide, contemporaneously with the effectiveness of such amendment, an explanation of the reasons for • the amendment and the effect, if any, of the change in the type of financial information or operating data being provided hereunder. (3) This Section 7 is entered into to comply with the continuing disclosure provisions of the Rule and should be construed so as to satisfy the requirements of paragraph (b)(5) of the Rule. Section 8. Authorization of Payment of Certain Costs of Issuance of the Bonds. The City authorizes the Purchaser to forward the amount of Bond proceeds allocable to the payment of issuance expenses to Resource Bank & Trust Company, Minneapolis, Minnesota, on the closing date for further distribution as directed by the City's financial advisor, Ehlers & Associates, Inc. Mayor Attest: City Administrator • 19 10 Cc) • CERTIFICATION OF MINUTES RELATING TO $1,625,000 GENERAL OBLIGATION WASTEWATER TREATMENT REVENUE REFUNDING BONDS, SERIES 2008C Issuer: City of Hutchinson, Minnesota Governing Body: City Council Kind, date, time and place of meeting: A regular meeting held on October 14, 2008, at 5:30 o'clock P.M., in the Council Chambers at the Hutchinson City Center. Councilmembers present: Councilmembers absent: Documents attached: Minutes of said meeting including (pages): I through 19 RESOLUTION NO. 1148 RESOLUTION RELATING TO $1,625,000 GENERAL OBLIGATION • WASTEWATER TREATMENT REVENUE REFUNDING BONDS, SERIES 2008C; AWARDING THE SALE, FIXING THE FORM AND DETAILS AND PROVIDING FOR THE EXECUTION AND DELIVERY THEREOF AND SECURITY THEREFOR I, the undersigned, being the duly qualified and acting recording officer of the public corporation issuing the obligations referred to in the title of this certificate, certify that the documents attached hereto, as described above, have been carefully compared with the original records of the corporation in my legal custody, from which they have been transcribed; that the documents are a correct and complete transcript of the minutes of a meeting of the governing body of the corporation, and correct and complete copies of all resolutions and other actions taken and of all documents approved by the governing body at the meeting, insofar as they relate to the obligations; and that the meeting was duly held by the governing body at the time and place and was attended throughout by the members indicated above, pursuant to call and notice given as required by law. WITNESS my hand officially as such recording officer this day of October, 2008. Gary D. Plotz, City Administrator 9 4bCr� s n LJ C� The City Administrator reported that proposals had been received by the City prior to 11:00 A.M., Central Time today for the purchase of the Bonds in accordance with the Terms of Proposal for the $1,625,000 General Obligation Wastewater Treatment Revenue Refunding Bonds, Series 2008C of the City as previously approved by a resolution of the City Council. The bids have been read and tabulated, and the terms of each have been determined to be as follows Total Interest Bid for Interest Cost -Net Average Name of Bidder Principal Rates Rate [See attached] ` /1( Ca. • Councilmember then introduced the following resolution and moved its adoption: RESOLUTION NO. 134A7 RESOLUTION RELATING TO $1,625,000 GENERAL OBLIGATION WASTEWATER TREATMENT REVENUE REFUNDING BONDS, SERIES 2008C; AWARDING THE SALE, FIXING THE FORM AND DETAILS AND PROVIDING FOR THE EXECUTION AND DELIVERY THEREOF AND SECURITY THEREFOR BE IT RESOLVED by the City Council (the "Council ") of the City of Hutchinson, Minnesota (the "City"), as follows: Section 1. Recitals Authorization and Sale of Bonds. 1.01. Authorization The City owns and operates a waterworks plant and system and sewage treatment plant, and sanitary sewer system (together, the "Water and Sewer System "). It is necessary and expedient for the City to issue at this time its General Obligation Wastewater Treatment Revenue Refunding Bonds, Series 2008C in the principal amount of $1,625,000 (the "Bonds "), upon the terms and conditions hereinafter set forth, to currently refund the City's General Obligation Wastewater Treatment Revenue Bonds, Series 2000 dated February 1, 2000 maturing in the years 2010 through 2016 in the aggregate principal amount of $1,590,000 (the "Refunded Bonds "). The Refunded Bonds will be redeemed on February 1, 2009 (the "Redemption Date "). 1.02. Sale of Bonds The City has retained Ehlers & Associates, Inc., an independent financial advisor, to assist the City in connection with the sale of the Bonds. The Bonds are being sold pursuant to Minnesota Statutes, Section 475.60, Subdivision 2, paragraph (9), without meeting the requirements for public sale under Minnesota Statutes, Section 475 -60, Subdivision I. Pursuant to the Terms and Conditions of Sale for the Bonds, sealed bids for the purchase of the Bonds were received at or before the time specified for receipt of bids. The bids have been opened and publicly read and considered, and the purchase price, interest rates and net interest cost under the terms of each bid have been determined. The most favorable proposal received is that of , of (the Purchaser), to purchase the Bonds at a price of $., the Bonds to bear interest at the rates set forth in Section 3.01. The proposal is hereby accepted, an d the Mayor and the City Administrator are hereby authorized and directed to execute a contract on the part of the City for the sale of the Bonds with the Purchaser. The good faith checks of the unsuccessful bidders shall be returned forthwith. 1.03. Performance of Requirements The City is authorized by Minnesota Statutes, Section 444.075, to issue and sell the Bonds to refund the Refunded Bonds, and to • pledge to the payment of the Bonds net revenues to be derived from charges for the service, use and availability of the Water and Sewer System. The City presently has certain outstanding obligations which constitute a lien on the net revenues of the Water and Sewer System and the `DCa> • pledge of net revenues of the Water and Sewer System pursuant to Section 4.03 to pay the Bonds shall be on a panty with the pledge of net revenues of the Water and Sewer System to pay such outstanding obligations. Such obligations permit further pledges and appropriations of net revenues of the Water and Sewer System to be made superior or subordinate to or on a parity with the pledge and appropriation of net revenues of the Water and Sewer System to pay such obligations. All acts, conditions and things which are required by the Constitution and laws of the State of Minnesota to be done, to exist, to happen and to be performed precedent to and in the valid issuance of the Bonds having been done, existing, having happened and having been performed, it is now necessary for this Council to establish the form and terms of the Bonds, to provide security therefor and to issue the Bonds forthwith. Section 2. Form of Bonds The Bonds shall be prepared in substantially the following form: UNITED STATES OF AMERICA STATE OF MINNESOTA COUNTY OF MCLEOD CITY OF HUTCHINSON • GENERAL OBLIGATION WASTEWATER TREATMENT REVENUE REFUNDING BOND, SERIES 2008C No. R- Date of Interest Rate Maturi Original Issue CUSIP % February 1, 20_ November 6, 2008 • REGISTERED OWNER: CEDE & CO. PRINCIPAL AMOUNT: DOLLARS THE CITY OF HUTCHINSON, McLeod County, Minnesota (the "City"), acknowledges itself to be indebted and, for value received, hereby promises to pay to the registered owner named above, or registered assigns, the principal amount specified above, on the maturity date specified above, with interest thereon from the date of original issue specified above, or from the most recent interest payment date to which interest has been paid or duly provided for, at the annual rate specified above. Interest hereon is payable on February 1 and August 1 in each year, commencing August 1, 2009, to the person in whose name this Bond is registered at the close of business on the 15th day (whether or not a business day) of the immediately preceding month, all subject to the provisions referred to herein with respect to the redemption of the principal of this Bond before maturity. The interest hereon and, upon presentation and surrender hereof, the principal hereof, are payable in lawful money of the United States of America by check or draft of ^ in locc:�) 9 , Minnesota, as Bond Registrar, Transfer Agent and Paying Agent (the "Bond Registrar "), or its successor designated under the Resolution described herein. This Bond is one of an issue in the aggregate principal amount of $1,625,000 (the "Bonds ") all of like date and tenor except as to serial number, interest rate, redemption privilege and maturity date, issued pursuant to a resolution adopted by the City Council on October 14, 2008 (the "Resolution "), refund certain of the City's outstanding wastewater treatment revenue bonds. This Bond is issued pursuant to and in full conformity with the provisions of the Constitution and laws of the State of Minnesota thereunto enabling, including Minnesota Statutes, Section 444.075 and Chapter 475. For the full and prompt payment of the principal and interest on the Bonds as the same become due, the full faith, credit and taxing power of the City have been and are hereby irrevocably pledged. The Bonds are issuable only as fully registered bonds in denominations of $5,000 or any multiple thereof, of single maturities. [Bonds maturing on February 1, 20_ are subject to mandatory redemption, at a redemption price equal to their principal amount plus interest accrued thereon to the redemption date, without premium, on February 1 in each of the years shown below, in an amount equal to the following principal amounts: Sinking Fund Aggregate Payment Date Principal Amount 20_ 20_ (maturity) [At least thirty days prior to the date set for redemption of any Bond, notice of the call for redemption will be mailed to the Bond Registrar and to the registered owner of each Bond to be redeemed at his address appearing in the Bond Register, but no defect in or failure to give such mailed notice of redemption shall affect the validity of the proceedings for the redemption of any Bond not affected by such defect or failure. Official notice of redemption having been given as aforesaid, the Bonds or portions of the Bonds so to be redeemed shall, on the redemption date, become due and payable at the redemption price herein specified and from and after such date (unless the City shall default in the payment of the redemption price) such Bond or portions of Bonds shall cease to bear interest. Upon the partial redemption of any Bond, a new Bond or Bonds will be delivered to the registered owner without charge, representing the remaining principal amount outstanding.] The Bonds have been designated by the City as "qualified tax- exempt obligations" pursuant to Section 265(b) of the Internal Revenue Code of 1986, as amended. As provided in the Resolution and subject to certain limitations set forth therein, this Bond is transferable upon the books of the City at the principal office of the Bond Registrar, by the registered owner hereof in person or by his attorney duly authorized in writing upon surrender hereof together with a written instrument of transfer satisfactory to the Bond Registrar, duly executed by the registered owner or his attorney; and may also be surrendered in exchange Is for Bonds of other authorized denominations. Upon such transfer or exchange, the City will 1oC�� • primary offering; and (iii) such amendment or supplement does not materially impair the interests of the Bondowners under the Rule. If the Disclosure Information is so amended, the City agrees to provide, contemporaneously with the effectiveness of such amendment, an explanation of the reasons for the amendment and the effect, if any, of the change in the type of financial information or operating data being provided hereunder. (3) This Section 7 is entered into to comply with the continuing disclosure provisions of the Rule and should be construed so as to satisfy the requirements of paragraph (b)(5) of the Rule. Section 8. Redemption of Refunded Bonds The City Finance Director is hereby directed, as paying agent for the Refunded Bonds, to call the Refunded Bonds for redemption and prepayment on the Redemption Date and to give thirty days mailed Notice of Redemption in substantially the form attached hereto, all in accordance with the provisions of the resolution authorizing the issuance of the Refunded Bonds. Section 9. Authorization of Payment of Certain Costs of Issuance of the Bonds The City authorizes the Purchaser to forward the amount of Bond proceeds allocable to the payment of issuance expenses to Resource Bank & Trust Company, Minneapolis, Minnesota, on the closing date for further distribution as directed by the City's financial advisor, Ehlers & • Associates, Inc. Mayor Attest: City Administrator The motion for the adoption of the foregoing resolution was duly seconded by Councilmember , and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted, and was signed by the Mayor which signature was attested by the City Administrator. 0 19 • MOODY'S ASSIGNS A2 RATING TO THE CITY OF HUTCHINSON'S (MN) $2.2 MILLION GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 2008A4 11.318 MILLION GENERAL OBLIGATION STORMWATER REVENUE BONDS, SERIES 20088 AND 11.83 MILLION GENERAL OBLIGATION WASTEWATER TREATMENT REVENUE REFUNDING BONDS A2 RATING AFFECTS $78.2 MILLION OF OUTSTANDING GOULT DEBT, INCLUDING CURRENT OFFERING Moody's Investors Service has assigned an A2 rating to the City of Hutchinson's (MN) $2.2 million General Obligation Improvement Bonds, Series 2008A, $1.318 million General Obligation Storrnwater Revenue Bonds, Series 20088 and $1.83 million General Obligation Wastewater Treabnent Revenue Ref Bonds, Series 2008C. The bonds will be repaid from a combination of special assessme and serlp 2108A revenues and are ultimately secured by the ctys general obligation unlimited tax pledge. The bonds will finance various improvements within the city, the series 21088 bonds will finance varkxw stomrwater Improvements and the series 2008C bonds wIY refinance t City's $arise 21010 bonds for not present value savings. CorKurrenty, Moody's has affirmed the A2 rating on the city s outstanding $75.2 million of outstanding general obligation debt, inciuding the currant loitering. The A2 rating reflects the city$ steady tax base growth due to ongoing cwnmerclal and industrial development, strong financial operations evidenced by healthy reserves, and manageable debt burden that Is partially supported by non4evy sources. MODERATELY -SIZED TAX BASE WITH CONTINUED GROWTH IN INDUSTRIAL AND COMMERCIAL SECTORS Moody's expects the city's tax base growth to remain strong, despite slowed raetdential growth trends, due to the cltys avaiWilty of land for industrial park developrnaM, and access to major highvray networks. • Located approximately 50 miles from the Twin Cities MebopoNtan area Wong State H 7 and 15, the City benefits from a diverse tax bees, whop is currently valued at $102 valuation) remake the largest , Inc. (HTI), the city s second largest taxpayer (comprising employer (2,300 employees), and reports stable operations. Tax base growth continues to remain strong, averaging 7.9% annually for die past flue years. Officials expect commercial an Industrial growth In the near term as the city recently completed Infrastructure and transportation network Improvements to approximately 80 saes of land. In addition, downtown redevelopment efforts continue, and era expected to improve the retell and commerc presence within the city. Resident wealth levels are slighty below stale averages with per capita and median family Income at 88% and 95% of stets levels, respectively. WELL- MAINTAINED FINANCIAL POSITION WITH HEALTHY RESERVE LEVELS Moody's anticipates the city will maintain satbfadory financial operations given its history of conservative budgeting practices and the support of healthy reserve Nvels. The city ended it" 2007 with an operating surplus of $82,000 In the General Fund, ending with a balance of 14.8 million, or a hem" 44.7% of General Fund revenues. City officials re slightly challenged operations in fiscal 2108, but hope to mitigate the effect by reducing staffing expenditures for the near tarn. The city's primary revenue sources are property taxes at 34.2% of core operMing revenues and Intergovernmental sources at 28.5%. Ongoing transfers from the self- supporting enterprse funds also continue to provide significant support for General Fund operations In the amount of approximately 31 .6 million In fiscal 2007, or 14.4% of revenues. General Fund operations have histodcaly received similar levels of support from various enterprise funds, such as the Public UtlBtles Commisslon and the city municipal Nquor fund - a practice that is expected to continue indefinitely. Given the conservative budgeting practices demonstrated by city management, as IrKkalad by healthy surpluses over recant focal years In the General Fund, Moody's expects to sea healthy financial operations Into the near term with stable reserve levels while maintaining sufficient liquidity. ABOVE AVERAGE DEBT BURDEN MITIGATED BY SIGNIFICANT NON -LEVY SUPPORT Moody's believes the c tys debt burden will remain manageable due largely to the continued strong performance of the dry enterprise systems end the kxxaesed use of special assessment revenues 10 service debt. Given the We growth trends and Capacity reeds, the city's direct d ebt bur den remains above- average at 3.5 %. Much of the cltys general obl nts debt �osp Viral as historically debt, the ully eel supported by hospital revenues. After adiustrte lczCa • debt burden Is a more manageable, at 2.7% direct. Principal amortization is slightly below average at 88.8% repaid In ten years. The city plans to issue additional bonds over the near tart for ongoing infrastructure and road improvement needs as outlined In the city s captlal improvement Plan. KEY STATISTICS: 2000 Population: 13,080 2008 Full value: $1.02 billion 2008 Estimated full value Par cap": $73,125 2000 Median family income (as % of state): 94.6% 2000 Per capita income (as % of state): 88.1 % Overall debt burden: 4.2% (3.5% direct) Adjusted direct debt burden: 2.7% Principal amortization (10 years): 88.8% Fiscal 2007 General Fund balance: $4.9 million (44.7% of General Fund reverses) . Post -sale general obligation debt outstanding: $75.2 million. Including current offering 0 1�D Cc�) CITY OF HUTCHINSON MEMO Finance Department October 9, 2009 TO: MAYOR 6 CITY COUNCIL FROM pCEN MERRILL FINANCE DIRECTOR SUBJECT: 5 -YEAR CAPITAL PLAN Attached is the 2009 to 20013 Capital Plan. This lays out the plan capital expenditures over $10,000 for the City over the next 5 years. It is meant as a guide for the city but does not give authorization for the projects until formally approved by the City • Council. Subject to City Council review and questions we would ask acceptance of the plan by the Mayor and City Council. H1 \O0C \City council memo 2.doc 0 Ibcb) City of Hutchinson, MN • CITY OF HUTCHINSON - CAPITAL PLAN 2009 t h m 2013 PROJECTS & FUNDING SOURCES BY DEPARTMENT Pose I to Cb) Project# Priority 2009 2010 2011 2012 2013 Total 11apartment ' Airport - - 400,000 CanpOOCI Tlietpar AIR-08 2 400,000 74w wvsa A&W Caaa Fund #4111 Gm* -Felt 3 200,000 200,000 Apmn Turd Lane AIR -100 Am 14w AkW Canw dlw Frd 1M,w "4w arms -mod 100,000 100,000 EACm n*W R"M AIR -110 4 Am 4w AkW Cwwadke Fwd 14w Man Gm* - p+rd 150,000 150,000 Land AcgmftA AIR -115 4 14w 14M AiPrl Cm - wax Fwd 13AM0 134M1 &aob - filral 4M,000 200,000 100,000 150AM 158,000 Airport Total • ( Cemetery _ - - - - 2 7,500 7,500 7,500 7.500 7.500 37,500 can*% ry Fenckg CEM-01 7,701 ),MO /,7M 7,M1 7, SM ]7,7M PrwYrl Can FNW 100,000 overlay Cemetery Roach CEM-02 3 50.000 $AM0 50,000 stow 1"M P"WW Can Fred 57,9# 57,5# 7AM 7,5M TAX 137A00 Cemetery Total Central Garage 25,000 PARK430 -TK3 CG-05007 3 25,000 Aw 2.,0 Coved "W Foal 3 2.500 2.500 2,500 2,500 2,500 12.500 )OCO( -)=ZM CG-081104 001 ;710 2.30 2.w tAM 14M CwYd QwW Fwd 00,000 00,000 CEMT- 344-TRC CGCerrW 2 Kw 141M coved Draw Feud 37,000 CFJAT- 233 -TK1 CGCem04 3 37.000 37.W Jim owed araw real 25,000 25,000 ENGA- 780 -TK5 CG -En002 3 Aw AM CwwdGwW Feud 25,000 FIREM5 -" CGfM01 1 25,000 7442. 74w CwH Grew Fml 25,000 25,000 FIRE- 78&TK5 CG -FW02 1 2&w ]qaM cowl aar.w Fmd 22A00 INFO-083SUV CG- Infe01 3 22.000 nw ow" Oanw Fmd not 32.000 32,000 PARK-371 -TK3 CG -PARK 371 3 osw osw Crwd aanw Fwd Pose I to Cb) Department Projec Priority 2009 2010 2011 2012 2013 Total RK- 289-TK1 CG -PMc11 2 32,000 32,9W JzM Cw1al Maw Fled >;ow PMK�42 -TKt CG4Pwk12 1 37,000 37,000 37 Coved Maw Fed 27 00 , PARK - 309 -TK1 CO-PaAc13 1 3 37,0 27,00 Cd Oraw Fad w 27,00 AM PARK - 700( -TRL - CG- Paik15 3 5,000 5,ODO 5,000 5,000 5,ODD 25000 4M 41M 400 40" 400 24M CwYd ah-W Fed PARK- 420SUV CG4)wk18 2 22,000 22,OW tt Cwlral G~ Feud z%M PARK- 554-TK4 CG4 3 20 20 7400 Cwlal Geraw fwd 24000 PARK -400 -M CG-PaA18 3 18,000 19,000 f41M /400 CaaN Ma00 Fiaad POLC- 795SUV CG-P 1 3 21,000 2/,M 21,000 H,0" Cored awW Fwd POLCSOD-CAR CG4 1 27,000 27,000 27,000 27,000 27,000 135,000 n, M 27,00 n, M n, M a,M IMAM Co"SwuwFed CG4 S 1 27,000 27,000 27,ODO 27,000 27.000 134WO POLC-SOD -CAR 27,= 27, 77, 27, AM 174000 CwH OrM fwd POLC -148 -CAR CG-Poke08 1 21,ODO 21,000 !600 card a..w And 27, 00 POLC- 894SUV CG-P k 1 35,000 3Q000 77AM CauOal Maw Fwd >4M STRT-029 -UTL CGS§MW 3 25,000 24000 24100 • Cw dGrave Fwd 24M STRT -14DAM CGSh1eM4O 3 35,000 2;M 35,000 34M . Cwed Grew Fnd Pwk. 792 -TK4 (&w" from *"Q CGSheatl8 3 2 2 atom 2400 CwNI Grow Fwd 74000 WM STRT -MTK7 CGSYeel18 2 50.000 50,000 x Cwed Oraw Fwd 000 35, 3 5,000 70,000 STRT409 -PEO CG SbW9 2 35, 00 3400 2400 00 Coved Maw Fod STRT-421 -Ed CGShae120 2 30,000 30,ODO 30,000 30,000 30,000 150,000 0, 34M 34000 34M 7400 7400 '14 Cwld Omw Fwd STRT477 -HTK CGSU"77 3 85,000 040" 85,000 44M Cu" Maw Fwd STRT-673 -LM CG -ShW73 3 28,000 7400 28,000 00000 Cored Oraw Fwd POLC-9424M FSEMY 1 21,000 21,000 260" Coved Grow Fwd 71,00 CEMT-046-TK3 FSES1 2 32.000 32,000 3 ;M CwN1 GrM Fad stow STRT- 15ETK1 FSES2 2 37,000 37,000 n,Ma Co" Grave Fed n, M STRT -1154M FSES4 2 140,000 140,000 /1400 CrN01 Grave Fwd 1N" AIRP- 742 -TRC FSES5 2 60,000 00 44M CwW Orpa IPmd M M STRT- 207-DR FSOT1 3 32,000 32,000 32,ODO 32.000 AM 32.080 stow 160,000 104M Cwhal Grave Fwd 3400 AM 3tM Pap 2 W Cv;) Department ProjectN Priority 2009 2010 2011 2012 2013 Total X20 -TRC FSOT2 3 35,000 tsar wwhr* FOW 35,000 Ow" Garogw Aw CA-10 CdrlwlFrwlseb Fwd .t CW Aram WrIg replaw wrt am Central Garap Total COM3-29 nest Arena door 2M 500 312,500 418,500 377AN 357,510 1 Araw bteedare CA-13 CwP41AgNcb Fwd Citv Center 1 CA -14 c+aad Prgwob Fmd COMP-32 Cmpae Aed CARPET REPLACEMNT CcIf4ul 3 55,000 taw 54000 caw CWM Pfd Fwd taw tow Coy Center Per" Lot CfTY CTR-06 4 88,000 88,000 taw Cep6lPrgsa Fwd µtot 3 t4,18w 10,000 Coy Carter reroof 8 kauWon Cr Y CTR -07 3 100,000 100,000 1400 1 20,000 "Am WON ca wd Fr4lwets Awed 20,000 34M City Center Total Civic Arena Ckt Arena sterol tar CA-07 CgkW projects Fwd COMP-25 CWAran RwMw Oanoeb Wgreda CAM aF1rFr4K Fwd COMP -28 CW Aram Dacha boards CA-09 tsar wwhr* FOW COW-27 West Aram law E sang CA-10 CdrlwlFrwlseb Fwd COW -28 CW Aram WrIg replaw wrt CA -11 CawdPrgwoe Fmw COM3-29 nest Arena door CA-12 CMPNWA*m AM COMP-30 Araw bteedare CA-13 CwP41AgNcb Fwd COMP-31 LodwoorrMaOaoom vendetlon CA -14 c+aad Prgwob Fmd COMP-32 Civic Arena Total Compost 1 Tumor COMP-25 Ca4ost Fmd Mon Soma Separated Bobcat COMP -28 Cm/wstFmrd Loaders COW-27 Cam" FWW PWM Sock Appkalor COW -28 Cwwrpat Fmt Mw Flow Boy Bulk TWK COM3-29 Compost Fwd Bbndng Ya 8 Pad andosure COMP-30 CaeF WAwd SS tae pod COMP-31 CwWd find +z18t Premier Tenn Pddw Upgrade COMP-32 Cmpae Aed TrwzW cawyor system COMPJ3 Pa@c3 \00b7 55AN p,000 100000 Mon 3 10,000 10,000 law Mw 3 12,000 12,000 uw +z18t 3 25,000 25,000 taw taw 1 40,000 40,000 44M µtot 3 10,000 10,000 aw 1400 1 20,000 20,000 34M atom 5 10,000 10,000 14,018 14,w 2 12,000 12,000 lzw 1 ;w 87 224101 40000 10001 13%M 4 400,000 400.000 4WOSS 4mm 4 40,000 40,000 44,= 4Aw 1 80,000 80,000 taw 14,118 2 25.000 25,000 ra8" ra18w 2 88,000 69,000 wa8" 0"" 4 200,000 200,000 at4,w MRSO 4 150.000 150,000 I%m 154,w 3 45,000 44000 448" 4w 5 400,000 400.000 Pa@c3 \00b7 Department Project# Priority 2009 2010 2011 2012 2013 Total Cspak Fad 44lM 44061 Upgrade b blending 1ne COOP -34 3 250,000 250,OW Caepa4 Awd 104x0 214M1 B K*P br Bag Sbrage She COMP -35 3 150,000 150,000 CarpwtAwd 1540" " Compost Total 199,000 401,01 240M 570,101 400,001 1,71,000 Economic Development IndiabW Park lnlraebxtae EDA-02 3 2,477,520 2,477,520 Carbrd/rr Owd- trdnty art 1,06#06 1,514/# QQato W Alaada M7 70 1 11 1 lerFund 254Ma 24106 Wad Farad 06400 Aq M Economic Development Total 2,477,871 4477,529 Engineering - - — CarpeheroNe Plan EN-01 3 90,000 90,000 Chad Ayw4Fwd 04M0 440# maw Engm wing Total 90 9 Firc - -- -- - —' Fire SWw EMerat Remwd FD-12 1 45,000 4000 CIAYAgw6 Fwd • Emergency Generabr FD-13 1 44M 30,000 44006 30,000 Coal PI And Was xMl Thermal Imaging Camera FD-15 1 12.000 12,000 coy P, FwM 14006 Well OW Megahertz Rack FD-17 1 132.500 132,500 CSOWArywa And 11;#0 "A,506 Command VaNde FD-19 3 30,000 30,000 Coy A41wa Fwd i4w xMl Re Slalon AddObn FD-22 3 2,500,000 2,500,000 Q Q Ives wsrd tdW 4S,M ;064 Fire Total 45M 311010 12,000 13$51 2,370,10 474410 I nfra tractare Improvemeata y Lk4an Avenue SW (Dab Start b Lynn Road) IMP-= 2 014,420 014,420 Auarrrab jam #474 Qo.e.F c ,IBar* 124067 mMA Owkod OabAld in" "Alas W.ftwelrFund x4M 3440 WWWFmd MOM 1400 2nd Ave SE (Adana Street to Bridge) IMP -025 2 517,310 517,310 Asramarb 21404 Was: Q Q alPossd 1rMl 04A74 204A74 aarawa And Am A40M aaar Fwd 34M0 JAM Crnbry Ave SE (Wadbrd St b Jdkw SL) Asswassands IMP -020 1 33,000 33,000 Q liprasrlerBards 14611 14011 Oder WSW 04b 011 5AA Pap 4 Department Project" Priority 2009 2010 2011 2012 2013 Total wMk+0 And f I 10WwFund IAw 1, 410 Gold Couras Rd NW School Rd NW to North Hlyh Dr NW IW - 031 3 415,400 413,400 A00rOwwk 141M M4f0 0. 0. 0rrporaltl Banda 41" 410 M~SkkAld T71,OM UfAU IIM1 I Fred 34101 M4" wW Fund 1 ;100 1 ;M/ EM St NE (Md.sod Ave. to North High Drtm) t61P-032 2 1,541,711 1,541,711 Assamonh 07,7O 4A.7M a 0. bp- - - Bonds 04751 N,JN Ia tOdBkkAfd 0 0 Skm WOkr Ulft 04000 04x0 wawmw rFond 117,200 117,700 at11n FWW 15440 1440 10th Avenue NE (11th Ave. to Meek SL) W-w 2 731,197 731,197 AMa0errar x40/0 2mm ao. 1 0 c - awfBand0 now 204720 San wmw 7117" 31.710 '11 1 lr Fred MAW 1410 aW Fwd 74120 14120 681 Ave. NElMrleod Ave. (TH 15 to Bluff St) IW-041 1 1,707,971 1,707,971 ArpOSeon6 a"" XZ014 G. 0. IF c rdBord0 10487 "4007 Mnkfpd UWAfd 0 0 9orm 1a wU0y 4201 410 Itarkeerr Fred 2K M 9440 Wider Fend 1470 f43M Drhe SW (500 and 600 Block) W-043 3 130,000 130,000 AOMaaamh 9,00 04010 a o. bwo,m"wBonda 400 487 Stnsm -- trwo, mu 1,107 tlar/wakr Farad 400 4710 aW Frnd ;MO Am Ash Street NE (CoMps Ave. to Nordwoods Ave.) W-066 3 324,999 324,999 Aaeumosa01 134I0 14010 a a bFro 9aad0 1479 14707 Sbn WNW USy 4747 47a 11 10eer Fond 1418 1418 WAw wd 47M 470 Jefferson Street SE (Cw" Ave to Oeklsnd Ave) W -072 2 1,767,949 1,787,949 Also n son01 40491 44151 GL a igrwwwf Bede 34101 341" Mdny0 SbOvAd 87,00 717,08 Slow wShr lady 417 $A= RIM&AuderFwd MAW 204010 WAWA d 17470 174M Mlsrsw Sheet SE (OaWand b 51h) A°"""k IMP -077 2 1,164,059 1,184,059 Ba k oveff el Bards a"" 74101 MM" 94151 � Side Aid 1400 Iftm Skrs I►W umv 4{110 4418 IKOkw - And 134M U4M0 wwwFund 11 ;110 11 4110 LyndW Avenue SW (Lynn Rd b Merry Sq IMP -078 2 85,001 85,001 Asoonnomb 340M 34010 G. aaIpns rdBand0 3418 347M SkrnlraferUlb 1,371 1.M 1Yrke I Au d 400 400 Pap 5 b0.;; Department Project# Priority 2009 2010 2011 2012 2013 Total NOW Fund 44M 44" Mlpb Smeet NE (CdbpeAve to Nor moods Ave) IMPM 2 200.000 20Q000 Anbbmmdb 84M 34fm1 a. 0. rgn.mr Bona. IM,774 M4774 Saaw wa r &w AM 2. no I bllae Fund "An 14M1 amlrfwd AM 4"e 51h Avenue NW St to Koure SQ IMP-091 2 1,794,511 1,794,511 Amman&* 41A1M 41tin G. a A "owmaw Bob J144M 111144" wacbd Sam AN MM 1M,1M Sbna WAr Uly 71,00 I1.M1 aMedrFwd 224 M 224M NmbrPod 171,M/ 1740" 111h Ave NE(M& St b Maple SQ IMP -11NE rda 197,000 197,000 ApMramb 7401 74JM 0.0.1ap Bode 342" 942" Sdw WWr UI/rr, 4M A2M amblbwpFmd 4J" 401 WaWFwa Am One 1st Ave NW IMP -1ST 3 37,026 37,026 Anabrarrb HAM 14" 6 0. I xP . -- Bob 1470 14JM Sbnwaml►UffM an 0A III I - Fund I ' m 1,710 Waft feed ti" 1,10 2nd Ave SE Bridge IMP -2ND We 7502W 750,200 Grimm -Sbb 77410 S741M -. -1.f 3wh Am 7141" 7741" 2nd Ave SW(FmnUn S1 b Main SQ IMP -2NDSW fie 65,001 66,001 Anna amb 24"1 29M o.0.Jafram.w BOdb 7;167 24M Spun * Uf•y too too Mmblraalr fwd A2M 42M WMWFad 1,00 AB" 3M Trunk Sanllery IMPJMS 3 241,453 241,453 ameb - Fwd 2H,4a7 244"7 517 Ave SW(Lynn Rd to Main SQ IMP-M Ne 188,000 186,000 Asm aaadb 742" 7420 0.0. 94M 947M Sbrw amp Uft AM2 AM WMbaelrFund 440 44M WsWAwa 4w Am ABeyft Lotrrmwslderaa IMP-APfS 2 30,000 30,000 30,000 30,000 30,000 150,000 0. 0. b9rnbaer Bomb JAMB 34M not a"* MAN 1541M CaNbmN St NW IMP-M 3 727,545 727,545 Aaanwnb 234112 24712 0.0. 1 p- -rd aced, MI,4211 7M,dJ Spun WSW Usav 11,170 N,17J alw/wbFad 347M 3420 amlr Fwld 24411 2440 Cadlele St 14EPoW End to BIh Ave) IMPLARL nt 72,001 72,001 Abbmmwefb 24"0 341M & 0. Yprcaae l oa d, 3470 34M1 • Jbrw Wilr Uiy WbbbaahrFmd 1,m Am 1,10 4w 410 41" Deb St SW(SUod Rd b Century Ave) IMPALE nla 287,001 287,001 1UCb--) Pop 6 Department Projectll Priority 2009 2010 2011 2012 2013 Total PaSc 7 b %: >. AMwunwdr now 3 1114525 a O. Sapsww W &wd, fuse 229,214 "A" AMM,weee Sbrw wan 1Ab 425s Off WasYalw Point 1 ;111 1401" WWFwd AM2 4617 113110 Fraena, Ave SE(TH 15 b Dead End) IMP-FREE We 180,000 180,000 Awrwerre 7;011 7A1M 3607 a 0. b"- we,wsond, IIY,bwW Fwd stay 14407 Sian wdwu r Art Ala W I Fed tea AM WNW Faed 1 4401 Ada PaSc 7 b %: >. Garden Rd NE IAPGAR 3 229,214 229,214 AMM,weee 14161 a31M 0. 0. - F - -, Sam* 113110 1fAMa Saw WW Ol# Art 3607 IIY,bwW Fwd 13MI itaw Older Fwd 1 7.250 Gene's Dr NE(Habp Dr W Dead End) 9.P -GENE rde 12,001 12,00! Auau°urh 41M AM Q. 0. 1 ipoweu,fBasis 7 7,211 Glen St SW(Lbdw Ave to 51h Ave) IMP-GLEN n1a 81,001 81,001 AMMU1rrb SA460 2A4" 0. 0. Ypwwrwk Rand, 44111 'Atli Saw War Mb 1,711 3111 teYdweaFed 417 AM WMWFeed ;450 Aps Hanson Dr SW(Deed End to Lyndab Ave) IMPa1ANS nta 37,000 37,000 Asses„" 14M 14Ms 0. a •penw,I Road, ?,an 7,251 saw wW 9wt7 My My WiebeaiwANW Am AM WSW Fred Am AM HNop Dr NE(PaWe Rd b GOM Dr) IW-HILT rde 150,000 150,000 Auuraene U l m 14011 a 0.la0 o I Rand, 7AM1 740M Saw W&W U11y 3610 40111 taelresa Fwd /,ant 7,5M Warm Ants 4SM Jw w St NW(TH 710 5th Ave) WJAME nla 80.000 80,000 A„eummtr 235H JAMS a 0.lsprowoalRanh 34742 24742 sow weer Ow•Y 1,211 1.210 WI Amd 3x71 Am WSW Fund 40511 AS" Jalleson St SE(5th Ave Se b Waehtgbn Ave) IMPJEF n1a 1,400,968 1,400,988 As,w,weW 2547" 1117M 1Larrp - Rand, 417,fw 47,110 1110I SMa Aid 224011 224011 San NYr to w M,sM StaO III Fwd MAIM "Am WW Fwd /SAM 15AOM Kaoea St NW IMP -KOU 3 122,760 122,760 AnUMMI, 441M AWN SL 0.1.payMe ISoLt 0411' SAO" Saw WI UON 1,111 1 1 011 . I1YI,reW Poet WOW And 480 AM 4111 3110 Linder Ave SW(Lynn Rd b Man ST) IMP -LIND Na 178,002 178,002 PaSc 7 b %: >. Depar Project# Priority 2009 2010 2011 2012 2013 Total A4K=wft 71,001 71,001 GL 0. faprara . sar k 1460 etm sbm WaWr 07002 2v1 ;2n Wur•.lrrmd Am Am WSIWFwd 4 70 47N Lee Kobe 6 Trunk sanbry IMP -LKS 3 412,077 411,077 M�Yea - Fund 41;077 41077 Lynn Road SW IMP -LYNN 3 707,545 707,E Asn"n as MIU3 007,07 G. 0. bMO 6 saad4 w},00p 76tm sbm Wrr Uwy 11,417 11,412 11rYwlr 7aed 342M 34M WAVFwd 2;tu 2;600 Mark Or NE(HIIRp Or NE b Undy Ln NE) WMARK rue 36,000 4000 Annowift 146M 14000 0.0. kW oward Bmtds 11,170 17,00 sbm www uwy 000 OM IWapaaHW Fwd 1 1,700 WYIW FWW 1,600 1,00/ MON Ave SW(Lynn Rd b Maln SQ IMP-WALL Ne 100,000 100,000 Aa4aaae" 14001 441M a 0. UP e" Band, W 0474 Sbm waw UwI 11617 MO i Fund 44M 4061 WWWFW,d Am ;600 Na6moods Ave NE(Main St Io Wainuf SQ IAP410RT n1a 33,000 33,000 Aatrtwanh 17,aM 1 4M 0. 0. bprowar "BOWS 1"n 14100 44orm W&W uMy 812 512 WaaYeaYr And tw 1,600 Wab fwd 600 10 Oa lend Are SE(Ja6er3at St Io Adarm SQ IMP -OAK 2 42,036 42,036 G.0 nm n,100 sbm Wabulwy m m IYabeNO fwd ;074 ;674 Wabfwd 470 /700 Oak St NE(Nathroods Ave b 9th Ave) IMP -0AK2012 rua 74,001 74,001 Asnaantaub 24001 24M 0. 0.7,eporaaael Bond' 71,017 77.007 Sk m Wab ulb tfai 1,fM W1mMebfond ;100 ;7M WWW hwd tm ;aM Pauls Rd NE(HBkp Or W Lktdy Ln) W -PAUL rue 67,000 61,000 Answtoa 2611 atm 0.0.aryror. weds 7;741 7 ;711 sbrm wow fib' tm I'm III I . 7aed "If Am Whbfmd ;100 2.100 Pa"nient MamparrWnt IMP~ 2 600,160 600,160 600,160 600,160 2,400,640 Aaaa72erlb 2m 27402 v4m 27402 1 a 0.f a0 - , B"k VZOIN 27;/M 27;100 27;6M tO00,02 soon WNW ls/y Am Am Am 4m 74721 MbYpYrAwd 24" 24M 24" 24t/M 114100 wwwFwd 1470 1470 1470 14700 77,40 Robes Rd SW IMP-2O6 3 442,531 44$631 AwM'manb 174007 174007 0. a Y*roneaaa son* • 21401 214= seam Wab Ulft 1,171 7,171 p w a \oCb7 Department Project# Priority 2009 2010 2011 2012 2013 Total • 1ra414aerr Fwd WklrFuad Schad Rd NW IMPSCH Aaanam" Q0. *"Bomb slam Wlflr Unity WMWWWFOW Wrtr Fund 14r7a SWACB Rd4(Hny 7 to fthbW Park Dr) AMMww* IMPSERV 0. 0. rpr I ead4 Shady Ridge Road AawaOMr IMP—SHADY Q 0. awo - NN sown Srrw wwv 0Mb Wawr..lrFwd Wetr Fad 41440 Spruw St NE Awmaerb IMPSPRU G.O. keF , I each Slam WSW t1may 124711 WMrrrr7wd Walt Fwd Trunk SWAN Sta w Unkg IMPSWL Slum W91r Umv 11,100 We414001w Ford Warr Toren paw IMP -TWR War, Fad OWashIngbn Ave E(Mekt St b Adsro SO 9,P-WAS 01,0" Amaaawaer 0. 0. , IF , d aada UwddpWft*Aar slaw Wow oat µ7Q W arra/4rFwad We4r Fvd Washkgbn Ave W Aaw0r0rda IMP -WASW 0. 0. lmparwaaf ea6 Sbrm Warr IUab N Fund 141" War Fad 14724 waler St NW IMP -WAT AsarawMr G. 0. b owwMlsad4 som War Unit/ WWrraWFamd 3 Wkrr Fad In$astructum Improvements Total ' Library Squmrc 500,724 Lbrary Sgtalra Parson Lb S4 .01 C4LwA eb Fund Library Square Total 704"0 • I Parlls - - - - _ - Par \ 1405 14r7a 3 1,066,301 1,086,301 4"dW 41440 124711 074711 17,1" 11,100 51,0" 01,0" 54M7 µ7Q rya 30,500 30,300 141" 14724 147" 141" 3 $00,724 500,724 704"0 7",870 7",747 7µ7Q 4870 457'5 747" 24M 141st 14102 3 218,352 214382 µ7w µ7A 1µ47t 1µQ7 41R 482! 14Ma 140" 40" 7,00 3 124,000 124,000 124,000 372,000 24000 240" 240M 745M 100,000 1µN0 1µM0 104000 3 325,000 325,000 850,000 7µa00 1µ5M 0400 2 1,737,440 1,737,440 8µ24t 0µ7M M7,1M W..1M 7µ0a0 804M0 17,m 17,m 17.µF Q,7M New MlM 3 491,778 491,778 WSW t04M4 2147" 04"2 1,072 7.Mt 24700 µ7M /4M4 14M1 3 111,800 117,800 ad" 471800 µM0 SAM 1,240 1,124 47M 47M 44M Alm 5,164,893 6,124,049 5,=,192 6,496,493 3,975,837 AstZ452 3 10,000 10,000 14M0 /4024 18,000 14800 Par \ Department ProJecd Priority 2009 2010 2011 2012 2013 Total • MBmdc West RW Shelby PARK -06 rde 17,154 17,154 CIJAW A%W11 Fwd 17,151 11,151 VkF Pr&V*Rkw stetRzallon PARK-07021 3 20,000 20,000 C04a11PrWsea Fwd 2400 2410 DddtelkrwS Park PARK -11 rda 44,768 44,766 CWW Prod4ca Fwd 447x1 4470 Perk Garage B Lot PARK -19 5 90,000 00 C4"Ar*e6 Fad 04010 0401 Bwkkop Replaostrerd PARK -20 3 60,000 60,000 GWWA*ra Fw1 stow Padwg Lot Dm* PARK -21 5 125,000 125,000 Capad A1dR6 Fwd 1 7400 174/1/ ReW Rdrerb Part PARK -22 1 320,000 320,000 CAWPrgkb Fwd 724104 724M Rehab Perk Mad Bldg PARK -23 1 105,000 14000 Caeft Pralwh Fwd 1040/ $KM Elk Perk pryground PARK -24 2 35,000 35,000 CAW Aglleb Fwd 24110 24041 %Ygrwnd=kh PARK -25 3 10,000 10,000 10,000 10,000 10,000 50,000 CWM A*rca Fwd 1401 140/ 140/ 1401 140/ R00 Outdoor AWedc Centr Owd OUPeoa 0x150 PARK -26 3 2,000,000 ZOM Z4141M ;x440 Bal Fields OwJ 060P0ee aad4 PARK -27 3 1,400,000 1,400,000 1140400 1,0400 Parka Total -- - Pollee - -- 203,610 70,100 3,875,000 71,872 43,000 4214127 Cake fumttum rapbONWA -4 arm y PD-19 3 20,000 CBPW Prr*eb And 2401 20,000 2440 Police Total 20,001 24000 ;Pool & Recreatiom Buildlr 1 PaftV Lot Drack Flip PR-08001 1 25,000 26,000 Cpal A%%Ctl Fad 24101 7401 ROP ConbolemH wbn PR-09 1 26,000 CWAN Prclab And 2440 26,000 2400 Rec Cenler dke anode! PR -12 4 15,000 14000 CWMPM)ub FrM 1410 1400 Pod Inprovenenb PR -13 1 80,000 80,000 C*dPP%W And 24 101 8480 Pool & Recreation Building Total 25,000 MOM "me 144000 !Pu W o rk s y Tm& So^d L"aft PW-05 3 850,000 86000 ShdFad 454010 154101 Tralk Irnpmwrw a PW -10 3 Siedrwd 225,000 225,000 n"w 7240N Rebinkq Wag PW -15 3 �oph" SOedArd 80,000 80,000 04x10 44150 Car" Ave SW PW -20 3 850.000 554000 ,O b7 Pete 10 Department Project# Priority 2009 2010 2011 2012 2013 Total seWFa 0 Mw Mttm %dmman Ave SW PW -25 3 1,53O,OOD 1,530,000 Seottiod tMw 1AMm UMw HWY 7 E PW30 3 1,300.000 1,300,000 $NOW Fvd irmw 1,maMe Merket$IsW PW35 3 750,000 750,000 S*IWFwd Me10 744O0 MidrwI CT NW PW40 3 150,000 150,000 SrWFwd 1SA M IsAm Monroe St SE PW45 3 350.000 350,000 SMtFd 3MM 79RMr HAHC WON PWSO 3 300,000 300,000 S&WFWW 7SMM 3MM sdrod Min PW-55 3 300,000 300,000 SNNFwd m4Md WOMI W10hkptan Ave E PW-60 3 255,000 254000 SYWAMd nAM 014M Public Worlm Total CUO 119' Senior Dining Evergreen Senior DWM Kkhen lmyaremwb Sr DIns 02 2 20,000 20,000 CwMFreMb Fwd 14m 1MM Dmrdwp 1400 14M Evergreen parkkp W Sr tune 03 1 50,000 50,000 GWWA Fwd M,m sun Senior Diming Total 2DA00 50 74M , Storm Water Lhden Storm serer STwr -10 3 250,000 250,000 saw aver UNY mom 204eM GreMrp d Desch Impmv STWT -15 2 15,000 15,000 Sara www Dal# 14M MAN S1ovn Sewer Unkp STWT -20 3 20,000 20,000 20,000 20,000 20,000 100,000 swMwarrLift X xm MAN tom X010 Nam Storm Water Total 21A00 20,000 20A1a 20,000 216,010 314010 Technology _ 1 ComgrbrMwftra IT -21 2 30,000 30,000 cM Ad Jaws dRm COWJWal wfts R -22 2 38,01111 30,WO C+OW AGMb Fwd xm Aw Salkvare rT -23 2 62,027 0$027 CAW A Awd M,M7 4107 SoFinare IT -21 2 62,027 02.027 CAW And 0R0r7 Aw NO &GfwhardraM IT -25 2 29,000 29,000 CW W PA4Meb Frard XMM AM IT -26 2 29.000 29,000 •P*40M&OdWLMdrwe Caput PMj" Fwd 0}000 1Rm PM1rbr 6 Cllr Hardnm IT -27 2 23,500 23,500 Page I I 1,, Q _;) Department Project# Priority 200g 2010 2011 2012 2013 Total COW Prol • WM p4M Software IT -28 2 75,000 75,000 cw" /rgMeb Fwd 74M RM brs 8 mwibrs - IT-29 2 38,000 CWM1�9hrb Fro/ 34000 xae Map Voice Oar IP IT -30 3 378,990 Cah 378,990 2KM qa/ 14M AM 44W3 379M Software 2011 IT-31 2 82,027 82,027 CiW Ar4reb Fiver QJn CorrPrI Norkm 2012 IT-32 2 J4W CwFa A Fwd 3 34M 38,000 xaJ xM Car9unraNbrYbn2013 fT-33 2 C*"Ags6 Fwrr 36,000 38,000 xM xM Prblere 8 Hardware 2012 IT-34 2 CNIUM ale Prrr 29,000 29,000 AM 24M Printers 8 Hardware 2013 IT -35 2 C4"Agecb Foul 29,000 29,000 MM xM Software 2012 IT -38 2 62,027 62,027 C4 W A %*O Fwd 4W7 J3W So@rara 2013 IT-37 2 CRAW AgYeb Amd 62,027 62,027 W,W7 e on Technology Total SM17 127,827 19e,527 127,827 137,027 1,077,SU Wastewater -- -- Replace Raw WW Straws WW -27 1 3 MAW • WierwwFwr 3 314M 1e4M p14M Bloea4de Hautrq Tmcbr WW31 - 2 150,000 W&MOwererFMd 150,000 ixM fxM LSVe f'Mw WW-32 1 15,000 MeelnnlwFwd i4M 15,000 14M EmW Elfldent Upgrades b OwsbDn Dftch WW-52 2 60,000 1 mtnvwFrtl KM 8000D xM Paled Dry WeN #X WW-61 3 30.000 WMfwrb Fwl xM 30,080 xaeo Bio o BldlYr WW-62 3 500,000 800,000 SIAM a4M Water lnigalbn Sy*M WW-63 3 40,000 RIMPM& Fund 40000 44M 44M MBR Membranes WW-64 2 min IN - I F16W 100,000 100,000 1e4ea fe401p Towav Carrararrrew 3 85,000 M7n1ewelwAnd 86,000 JAM J4M Hamgey Lane fB sMw upgrade WW-66 3 MWkWWrFwd 40,000 40,000 44M 4Jte Wastewater Total 105,000 775,000 306,001 40,000 100,000 1 ( Water Water Tower W-03 2 WWWAmd 750,000 750,000 Oub MAW 7J4M rnak MeW ReadN Sys*m W -16 2 720,000 IW/r Powr 720,000 7xM 724ae Pepe 12 �O''; Department Project# Priority 2009 2010 2011 2012 2013 Total Now Wall W -17 2 350.000 350,000 W&W Fund 359M Mw; Membrane mWacemerd W -20 2 325,000 325,000 WMWFwW 324M0 =No Water Main U*q W -21 3 150,000 150,000 Wtiv FWW 134M0 154960 Water Treatrnent Pond (Bass Pond) W -22 2 930,000 930 000 WWW Fwd 04Ma 10409e Water Tower Rehab W -23 3 350,000 350,000 700,000 WUVFUnd 34M MGM 1940M Water Total 2,000 350,000 975,000 900,000 b92S000 GRAND TOTAL 11,729,430 9,594,079 11,201,719 9,531,911 19,00700 54054019 • • Page 13 \)D C City of Hutchinson, MN • CITY OF HUTCHINSON - CAPITAL PLAN 2009 thru 2013 FUNDING SOURCE SUMMARY Source 2009 2010 2011 2012 2013 Total Airport Construction Fund 20,000 10,000 5,000 15,000 50,000 Assessments 1,535,557 1,739,067 1,493,485 1,710,885 1,579,533 8,058,527 Caplel Pro" Fund 648,027 370,027 811,527 341,449 397,027 2,568,057 Cash 204,261 42,564 43,295 44,047 44,823 378,990 CentrA Garage Fund 288,500 312,500 418,500 377,500 352,500 1,749,500 Compost Fund 199,000 400,000 240,000 550,000 400,000 1,789,000 Contract for Deed - Industrial Park 1,240,000 1,240,000 Donations 10,000 10,000 G. O. Improvement Bands 2,694,313 2,113,448 1,836,253 1,788,810 4,402,463 12,837,287 General Obligabon Bonds 3,400,000 3,400,000 Grants - Federal 380,000 190,000 95,000 135,000 800,000 Grants - Stalo 375,100 375,100 Munbloa1 Slats Ala 0 700,000 700,000 700,000 2,100,000 • Perpetual Care Fund 57,500 57,500 7,500 7,500 7,500 137,500 Sion WaterUdUt7 196,026 140,017 218,184 94,380 370,643 1,019,250 Street Fund 6,940,000 6,940,000 Wastewater Fund 1,157,843 1,601,913 954,994 356,286 384,929 4,455,965 Water Fund 2,943,674 974,604 1,119,276 133,004 1,023,285 6,193,843 GRAND TOTAL 11,574,701 8,651,640 11,245,014 6,578,961 16,052,703 54,103,019 • Page 1 koCb� 0 R TO: Mayor & City Council FROM: Kent Exner, City Engineer RE: Consideration of Items for NE Trunk Storm Sewer Phase 3 Project (Letting No. 3/Project No. 08 -03 & 08 -09) DATE: October 14, 2008 The City of Hutchinson received nine (9) bids for the NE Trunk Storm Sewer Phase 3 project letting that were is opened on Tuesday, October 7 (see attached Bid Tabulation). R & R Excavating Inc. of Hutchinson, MN, submitted the apparent low bid in the amount of $463,359.32. This bid is significantly lower than the $605,000 bonding program estimated construction cost of $605,000.00 for this project and appears to be responsive and complete. Appropriate funds for this project have been accounted for within the 2008 Stormwater Utility Fund and G.O. bonding. The necessary Resolution to proceed with this project is attached. Please note that the award of this project is contingent to the City receiving the appropriate Wetland Conservation Act permit and the property/easement acquisition process being completed. We recommend approving the attached Resolution Accepting Bids and Awarding Project. cc: Gary Plotz— City Administrator • voCG�) • RESOLUTION NO. 13484 RESOLUTION ACCEPTING BID AND AWARDING CONTRACT LETTING NO. 3 PROJECT NO. 08 -03 & 08 -09 Whereas, pursuant to an advertisement for bids for the furnishing of all labor and material for the improvement of: 08 -03: NE Trunk Storm Sewer— Phase 3: Construction of storm sewer improvement near the intersection of TH 15 and North High Drive (C.R. 12) by construction of grading, trunk and lateral storm sewer, landscaping, restoration and appurtenances, and 08 -09: Stonnwater Improvements — 5th Avenue NW Ponding Area by pond excavation, grading, storm sewer installation, landscaping, restoration and appurtenances, and bids were received, opened and tabulated according to law, and the following bids were received complying with the advertisement: Bidder Amount Bid R & R Excavating Inc of Hutchinson MN $463,359.32 Mathiowetz Construction of Sleepy Eye MN $481,381.65 Hjerpe Contracting Inc of Hutchinson MN $505,912.55 Final Touch Excavating of East Bethel MN $570,054.23 Wm Mueller & Sons of Hamburg MN $602,687.47 Doboszenski & Sons of Loretto MN $603,097.68 Duininck Bros Inc of Prinsburg MN $631,863.84 Burski Excavating of Rice MN $650,773.39 • Frattalone Companies of St Paul MN $713,442.31 and whereas, it appears that R & R Excavating Inc of Hutchinson MN is the lowest responsible bidder. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA: 1. The mayor and city administrator are hereby authorized and directed to enter into a contract with R & R Excavating Inc of Hutchinson MN in the amount of $463,359.32 in the name of the City of Hutchinson contingent upon the City receiving the appropriate Wetland Conservation Act permit and the property /easement acquisition process being completed, for the improvement contained herein, according to the plans and specifications therefor approved by the City Council and on file in the office of the City Engineer. 2. The City Engineer is hereby authorized and directed to return forthwith to all bidders the deposits made with their bids, except that the deposits of the successful bidder and the next lowest bidder shall be retained until a contract has been signed, and the deposit of the successful bidder shall be retained until satisfactory completion of the contract. Adopted by the Hutchinson City Council this 14th day of October 2008. Mayor LJ City Administrator to cc"�) 0 CITY OF HUTCHINSON 16 1 Ad�� Finance Department L J u October 9, 2008 TO: MAYOR 6 CITY COUNCIL FROM: KEN MERRILL, FINANCE DIRECTOR SUBJECT: 2009 ENTERPRISE FUND BUDGET WORKSHOP If the schedule of all City Council members permits, I would request a 2009 Enterprise Fund Workshop on Tuesday, October 28 with a start time as approved by the City Council. H. %Mc \clY 11.FPD 1(D (a1 Greetings Hutchinson City Council Membersl After a bit of a lull, it is time to kick into governance high gear Next Tuesday, I'll join you for your Council meeting. We'll take a bit of time to finish the small remaining handful of policies needing final confirmation and finalize the agenda template, then it Is up to the council to complete a final vote to formally approve all policies (including a temporary Ends Policy "plug') and go live on Tuesday, October 28 — your next Council meeting. The most current set of policies is included in your packet. We will also spend some time looking ahead. We need to discuss new member training and determine a strategy for getting citizen input on ends so you can get your Ends Policies completed. The timing of having your Executive Limitation, Governance, and Council City Administrator Delegation policies completed and "live' prior to new members joining the council is spot on. Their ability to hit the ground running with discussions about Ends is perfect way for them to get engaged in the work of the council. I'm excited) Starry Sjo -rew Out of the Woods Consulting Policies to complete: e 2.2 Treatment of Staff e 3.2 Accountability of the City Administrator e 4.5 Code of Conduct e 2.9 Environmental? e Other? IO Ce7 71 Hutchinson Policy Governance Transition "Short Term" Next Steps Thinking as of September 12, 2008 Action Step Lead Accountability Target Action Date Correct 4.5, 3.2, 2.2 /Stev ASAP 'Go live" With policies Counci Oct ? Complete first revision to Ends policy draft before inviting staff and community input Council in Work session? Oct 7 Staff starts work on monitarinrg report Interpretations and measurements. Stacy/Gary Plan and schedule owner input sessions on Ends Policies I owner input session on Ends Polldes Determine plan for eduaatirrg general community about transition Complete BoardalCommisslon assessment 8 plot out transition l0 Ce*�) Governing Policy (Excluding Ends Policies) Completion Check off List As of Sept 12, 2008 Ha"- n Policy # and Title Status Policy # and Title Status Policy # and Title Status 4.0 Global done 3.0 Global done 2.0 Global Executive done Governance Governance- Constraint Commitment Management Connection 4.1 Goveming Style done 3.1 Unity of Control done 2.1 Treatment of the done Public 4.2 Council Job done 3.2 Accountability of 2.2 Treatment of Staff Products the City Administrator 4.3 Agenda Planning done 3.3 Delegation to the done 2.3 Financial Condition done City Administrator and Activities 4.4 Mayor's Role done 3.4 Monitoring City done 2.4 Financial Budgeting done Administrator Performance 4.5 Council 2.5 Emergency City done Members' Code Administrator of Conduct Succession 4.6 Council Hold until 2.6 Asset Protection done Committee Jan. Principles 4.7 Council Hold until 2.7 Compensation and done Committee Jan. Benefits Structure 4.8 Governance Hold until 2.8 Communication and done Investment Oct. 08 Support to the Council 2.(9) Environmental Protection IS Q 0 i • Initial Ends Policy brainstorming generated by the Council during the April 24, 2008 retreat. City of Hutchinson exists so that citizens have a clean, green, beautiful city. • Sustainable environmental practices are (implemented and ?) promoted. • People have appropriate waste water services that (also ?) protect the crow river. • The local environment is protected. • (City, business and residential wastelgarbage is removed and disposed of efficiently /quickly /in a manner that does minimal harm to the environment ?) • The (benefits ?) of urban forestry are (realized). City of Hutchinson exists so that citizens have an opportunity to lead healthy lives. • Quality health care (exists) from "cradle to grave." • Citizen's health is professionally cared for. • People have clean, safe drinking water in adequate supply. • People of all ages can enjoy healthy, active lifestyles at all ages. • People (seniors ? ?) have meaningful social opportunities. City of Hutchinson exists so that citizens (feel? are ?) safe and protected in their community. • Residents and businesses have adequate fire protection that protects lives and property. • Property is protected (from theft, vandalism ?). • Residents, businesses and visitors have adequate police protection ( "police protection" is a means. What is the result of that police protection ?) • Children are safe. • Streets are safe to drive upon. • • Neighborhoods are kept safe. to Cep 0 City of Hutchinson exists so that citizens, visitors, and commerce move easily and safely throughout the city. • (Roadways and pedestrian paths) ensure adequate mobility in the city. • Roads are adequately maintained throughout the year. • Citizens have a variety of transportation. (Recreation) • Education Citizens of all ages are engaged in learning that prepares them for success. • Recreation Recreational opportunities are available for all age groups. • Heritage Honor our past and plan for the future to increase community pride. The community celebrates our successes. • Cultural Cultural activities that foster an appreciation of the arts are promoted. (City Planning? Government ?) • • Community growth is managed in a (controlled, planned, effective, efficient ?) manner. • Buildings and homes are (constructed safely ?). • (Interested citizens and stakeholders are consistently and actively engaged in activities that result in a community of which they are proud ?) • Citizens have reliable, high quality, affordable (city) services. The City of Hutchinson exists so the local economy thrives (and citizens prosper?) • Businesses want to call Hutchinson "home." New businesses have support (during start-up) • Existing businesses have (support that allows them to grow). • Utilities are reliable and competitively priced. • Utilities provided support business prosperity. • Hutchinson is considered as (a regional ?) destination (for retail, entertainment and tourism ?) loce�) r V Miscellaneous results: • "Fairness" • "Community standards" — live within the law • "Pride" • "Sense of community" Remaining statements that are probably not Ends: City of Hutchinson exists to be a recognized leader in local government. (Ends aren't about the organization) City of Hutchinson exists to treat employees respectfully, fairly, and in a manner that empowers them to grow as individuals and employees. (Means which is already addressed in Treatment of Staff Executive Limitation) City of Hutchinson exists to treat people respectfully, fairly and ethically. (Probably fits better as a means and may be already covered in Treatment of Customers Executive Limitation) II • loC�� n L� rI u Policy Type: Council- Management Delegation Policy Title: 3.0 Global Governance- Management Connection The Council's sole official connection to the operational organization, its achievements, and its conduct will be through a City Administrator. Date of Adoption Affirmation of official board action adopting this policy: 1ocgl, F • • Policy Type: Council - Management Delegation Policy Title: 3.1 Unity of Control Only officially passed motions of the Council are binding on the City Administrator. Accordingly: 3.1.1. Decisions or instructions of individual council members, officers, or committees are not binding on the City Administrator except in rare instances when the Council has specifically authorized such exercise of authority. 3.12. In the case of council members or committees requesting information or assistance without Council authorization, the City Administrator can refuse such requests that require, in the City Administrator's opinion, a material amount of staff time or funds or is disruptive. Date of Adoption Affirmation of official board action adopting this policy: LoCc'� 0 Policy Type: Council- Management Delegation Policy Title: 3 2 Acc of t C ity ArI mmis t rat or The City Administrator is the Council's only link to operational achievement and conduct, so that all authority and accountability of staff, as far as the Council is concerned, is considered the authority and accountability of the City Administrator. Accordingly: 3.2.1. The Council as a whole, or as individual members, will not give instructions to persons who report directly or indirectly to the City Administrator unless provided for emergency situations as referenced in state statute or city charter. 3.2.2. The Council will not evaluate, either formally or informally, any staff other than the City Administrator. 3.2.3. The Council will view City Administrator performance as identical to organizational performance so that organizational accomplishment of Council- stated ends and avoidance of Council- proscribed means will be viewed as successful City Administrator performance. • is Date of Adoption Affirmation of official board action adopting this policy: ko ICJ Policy Type: Council - Management Delegation Policy Title: 3.3 Delegation to the City Administrator The Council will instruct the City Administrator through written policies that prescribe the organizational ends to be achieved and describe organizational situations and actions to be avoided, allowing the City Administrator to use any reasonable interpretation of these policies. Accordingly: 3.3.1. The Council will develop policies instructing the City Administrator to achieve specified results for specified recipients at a specified cost. These policies will be developed systematically from the broadest, most general level to more defined levels and will be called Ends policies. All issues that are not ends issues as defined here are means issues. 3.3.2. The Council will develop policies that limit the latitude the City Administrator may exercise in choosing the organizational means. These policies will be developed systematically from the broadest, most general level to more defined levels, and they will be called Executive Limitations policies. The Council will never prescribe organizational means delegated to the City • Administrator. 3.3.3. As long as the City Administrator uses any reasonable interpretation of the Council's Ends and Executive Limitations policies, the City Administrator is authorized to establish all further policies, make all decisions, take all actions, establish all practices, and pursue all activities. Such decisions of the City Administrator shall have full force and authority as if decided by the Council. 3.3.4. The Council may change its Ends and Executive Limitations policies, thereby shifting the boundary between Council and City Administrator domains. By doing so, the Council changes the latitude of choice given to the City Administrator. But as long as any particular delegation is in place, the Council will respect and support the City Administrator's choices. �J Date of Adoption Affirmation of official board action adopting this policy: \O cep n �J Policy Type: Council - Management Delegation Policy Title: 3.4 Monitoring City Administrator Performance Systematic and rigorous monitoring of City Administrator job performance will be judged solely against the achievement of organizational ends and avoidance of unacceptable means as defined in Executive Limitations. Accordingly: 3.4.1. Monitoring is simply to determine the degree to which Council policies are being met. Information that does not do this will not be considered to be monitoring information. 3.4.2. The Council will acquire monitoring information by one or more of three methods: (a) by internal report, in which the City Administrator discloses interpretations and compliance information to the Council; (b) by external report, in which an external, disinterested third party selected by the Council assesses compliance with Council policies; or (c) by direct Council inspection, in which a designated member or members of • the Council assess compliance with the appropriate policy criteria. 3.4.3. In every case, the Council will judge (a) if the City Administrator's interpretation is reasonable and (b) whether data demonstrate accomplishment of the interpretation. 3.4.4. In every case, the standard for compliance shall be any reasonable City Administrator interpretation of the Council policy being monitored. The Council is the final arbiter of reasonableness but will always judge with a 'reasonable person" test rather than with interpretations favored by Council members or by the Council as a whole. 3.4.5. All policies that instruct the City Administrator will be monitored at a frequency and by a method chosen by the Council. The Council can monitor any policy at any time by any method but will ordinarily depend on a routine schedule. U Date of Adoption Affirmation of official board action adopting this policy: locc�') 1J Policy Monitoring Schedule Policy Method Frequency Month Ends Internal Annually Global Executive Internal Annually Constraint Treatment of the Public Internal Annually December Treatment of Staff Internal Annually February Financial Condition Internal Monthly July and Activities Financial Planning Internal Quarterly March, June, and Budgeting September, • December Emergency City Internal Annually March Administrator Succession Asset Protection Internal Annually January Compensation Internal Annually April and Benefits ° External Biannually February Communication and Direct Annually June Support inspection Governance Policies Direct Two each 4.114.2:March inspection quarter 4.314.4:June 4.514.6: Sept. (4.7/4.8: Dec.) 0 Date of Adoption Affirmation of official board action adopting this policy: • Policy Type: Governance Process Policy Title: 4.0 Global Governance Commitment The purpose of the Council, on behalf of the citizens of Hutchinson, is to see to it that the City of Hutchinson (a) achieves appropriate results for appropriate persons at an appropriate cost (as specified in Council Ends policies) and (b) avoids unacceptable actions and situations (as prohibited in Council Executive Limitations policies). • i AoCe') 0 0 0 .locc�) • Policy Type: Govemance Process Policy Title: 4.1 Governing Style The Council will govern lawfully, observing the principles of the Policy Governance model, with an emphasis on (a) outward vision rather than an internal preoccupation, (b) encouragement of diversity in viewpoints, (ic) strategic leadership more than administrative detail, (d) Gear distinction of Council and chief executive roles, (e) collective rather than individual decisions, (f) future rather than past or present, and (g) pro - activity rather than reactivity. Accordingly: 4.1.1. The Council will cultivate a sense of group responsibility. The Council, not the staff, will be responsible for excellence in governing. The Council will be the initiator of policy, not merely a reactor to staff initiatives. The Council will not use the expertise of individual members to substitute for the judgment of the Couincil, although the expertise of individual members may be used to enhance the understanding of the Council as a body. 4.1.2. The Council will direct, control, and inspire the organization through the careful establishment of Council written policies reflecting the Council's values and perspectives. The Council's major policy focus will be on the intended long- term impacts outside the staff organization, not on the administrative or programmatic means of attaining those effects. 4.1.3. The Council will enforce upon itself whatever discipline is needed to govern with excellence. Discipline will apply to matters such as attendance, preparation for meetings, policymaking principles, respect of roles, and ensuring the continuance of governance capability. Although the Council can change its Governance Process policies at any time, it will scrupulously observe those currently in force. 4.1.4. Continual Council development will include orientation of new Council members in the Council's Governance Process and periodic Council discussion of process improvement. 4.1.5. The Council will allow no officer, individual, or committee of the Council to hinder or serve as an excuse for not fulfilling group obligations. 4.1.6. The Council formally will monitor and discuss the Council's process and performance quarterly. Self- monitoring will include comparison of Council activity and discipline to policies in the Governance Process and Board - Management Delegation categories. • 10&_�) • Policy Type: Governance Process Policy Title: 4.2 Council Job Products Specific job outputs of the Council, as an informed agent of the ownership, are those that ensure appropriate organizational performance. Accordingly, the Council has direct responsibility to create: 4.2.1. The linkage between the ownership and the operational organization. 4.2.2. Written governing policies that realistically address the broadest levels of all organizational decisions and situations A. Ends: organizational products, impacts, benefits, outcomes, recipients, and their relative worth (what good for which recipients at what cost) B. Executive limitations: constraints on executive authority that establish the prudence and ethics boundaries within which all executive activity and decisions must take place C. Governance process: specification of how the Council conceives, carries out, and monitors its own task D. Council- management delegation: how power is delegated and its proper use; the City Administrator's role, authority, and accountability 4.2.3. Assurance of successful organizational performance on Ends and Executive Limitations. i 1 o Clt�) a Policy Type: Governance Process Policy Title: 4.3 Agenda Planning To accomplish its job products with a governance style consistent with Council policies, the Council will follow an annual agenda that (a) completes a re-exploration of Ends policies annually and (b) continually improves Council performance through Council education and enriched input and deliberation. 4.3.1. The cycle will conclude each year on the last day of December so that administrative planning and budgeting can be based on accomplishing a one - year segment of the Council's most recent statement of long -term ends. 4.3.2. The cycle will start with the Council's development of its agenda for the next year. A. Consultations with selected groups in the ownership, or other methods of gaining ownership input, will be determined and arranged in the first quarter, to be held during the balance of the year. B. Governance education and education related to ends determination (presentations by futurists, demographers, advocacy groups, staff, and so on) will be arranged in the first quarter, to be held during the balance of the year. 43.3 A Council member, staff, or member of the public may submit an item for Council discussion by submitting the item to the Mayor or its designee. Items should be submitted no later than five days before the Council meeting. 4.3.4. Throughout the year, the Council will attend to consent agenda items as expeditiously as possible. 4.3.5. City Administrator monitoring will be included on the agenda if monitoring reports show policy violations, if policy criteria are to be debated, or if the Council, for any reason, chooses to debate amending its monitoring schedule. 4.3.6. City Administrator remuneration will be decided after a review of monitoring reports received in the last year during the month of February. lb(e) 0 Policy Type: Governance Process Policy Title: 4.4 Mayor's Role The Mayor, a specially empowered member of the Council, ensures the integrity of the Council's process and, secondarily, occasionally represents the Council to outside parties. Accordingly: 4.4.1. The assigned result of the Mayor's job is that the Council behaves consistently with its own rules and those legitimately imposed on it from outside the organization. A. Meeting discussion content will consist solely of issues that clearly belong to the Council to decide or to monitor according to Council policy. B. Information that is for neither monitoring performance nor Council decisions will be avoided or minimized and always noted as such. C. Deliberation will be fair, open, and thorough but also timely, orderly, and kept to the point. 4.4.2. The authority of the Mayor consists in making decisions that fall within topics covered by City Charter and Council policies on Governance Process and Board - Management Delegation, with the exception of (a) employment or termination of a City Administrator and (b) areas where the Council specifically delegates portions of this authority to others. The Mayor is authorized to use any reasonable interpretation of the provisions in these policies. 4.4.2.1. The Mayor is empowered to chair Council meetings with all the commonly accepted powers of that position, such as ruling and recognizing. 4.4.2.2. The Mayor has no authority to make decisions about policies created by the Council within Ends and Executive Limitationsdpol the areas. Therefore, the Mayor has no authority supervise City Administrator. 4.4.2.3. The Mayor may represent the Council to outside parties in announcing Council- stated positions and in stating chair decisions and interpretations within the area delegated to her or him. 4.4.2.4. The Mayor may delegate this authority but remains accountable for its use. E bce� Pollc T Governance Process Y YPe• (`,nn!!LIfL I hTLt rCn Llhle h1 P. fln� Policy Title: 4 5 �rn.mril Mern.: A.4' f nd. fi �hi5 -_ne 7.ccU2ttber and The Council commits itself and its members to ethical, b ad' mg as Council f l conduct, including proper use of authority and appropriate members. 4.5.1. Members must demonstrate loyalty to the ownership, unconflicted by loyalties to staff, other organizations, or any personal interests as consumers. 4.5.2. Members must avoid conflict of interest with respect to their fiduciary responsibility. 4.5.2.1. There will be no self- dealing or business by a member with the organization. Members will annually disclose their involvements with other organizations or with vendors and any associations that might be reasonably seen as representing a conflict of interest. 4.5.2.2. When the Council is to decide on an issue about which a member • has an unavoidable conflict of interest, that member shall absent herself or himself without comment not only from the vote but also from the deliberation. 4.5.2.3. Council members will not use their Council position to obtain employment in the organization for themsel for e mploy me nt members, or close associates. A Council member who app ' P resign from the Council. 4.5.3. Council members may not attempt to exercise individual authority over the organization. recognize th k i nte r action a vested n individuals l except when explicitly authorized by the Council. 4.5.3.2. Members' interactions with the public, the press, or other entities must recognize the same limitation and the inability of any Council member to speak for the Council except to repeat explicitly stated Council decisions. 4.5.3.3. Except for participation in Council deliberation about whether the City Administrator has achieved any reasonable interpretation of Council policy, members will not express individual judgments of performance of employees or the City Administrator. 4.5.4. Members will respect the confidentiality appropriate to issues of a sensitive nature. bCe') 0 4.5.5. Members will be properly prepared for Council deliberation. 4.5.6. Members ounc on the will a yo matter, rrespective of the member pe ti t personal position on the issue. i . Members will treat each other with respect. If an issue arises between council members they will first try to talk through it privately amongst themselves or with the help of the city administrator, keeping in mind any applicable laws or regulations such as the open meeting law. 2. Members will try to keep each other informed on issues with the help of the city administrator, while being cognizant of any applicable laws or policies including the open meeting law. 3 Shall expect that innovation and continuous improvement is an ongoing philosophy of the city and in the process encourage responsible risk taking and toleration of mistakes provided they are done in good faith. The council will model a similar philosophy in its own endeavors and responsibilities, • Hold Until January 2009 Policy Type: Govemance Process Policy Title: 1.6 (�n a , n�i! r+`mmitlne � ^nom + ^!"s Council committees, when used, will be assigned so as to reinforce the wholeness of the Council's job and so as never to interfere with delegation from Council to City Administrator. Accordingly: i(- Cf -) S 4.6.1. Council committees are to help the Council do its job, not to help or advise the staff. Committees ordinarily will assist the Council by preparing policy alternatives and implications for Council deliberation. In keeping with the Council's broader focus, Council committees will normally not have direct dealings with current staff operations. 4.6.2. Council committees may not speak or act for the Council except when formally given such authority for specific and time - limited purposes. Expectations and authority will be carefully stated in order not to conflict with authority delegated to the City Administrator. 4.6.3. Council committees cannot exercise authority over staff. Because the City Administrator works for the full Council, he or she will not be required to obtain the approval of a Council committee before an executive action. 4.6.5. Committees will be used sparingly and ordinarily in an ad hoc capacity. 4.6.6. This policy applies to any group that is formed by Council action, whether or not it is called a committee and regardless of whether the group includes Council members. It does not apply to committees formed under the authority of the City Administrator. Hold Until January 2009 Policy Type: Governance Process o Str +,ct Policy Title: A committee is a Council committee only if its existence and charge come from the Council, regardless of whether Council members sit on the committee. The only Council committees are those that are set forth in this policy. Unless otherwise stated, a committee ceases to exist as soon as its task is complete. • Note: This is not a list of suggested committees but rather an illustration of how legitimate Council committees should be described. 1. Ownership Linkages Committee IOC(!:) A. product. Options and implications for Council consideration with respect to the ends decisions to be made by the Council regarding the needs of disabled persons —by no later than_(date)_ B. Authority: To incur costs of no more than $ in direct charges and no more than fifty hours of staff time. 2. Legislative Change Advisory Committee legislative or regulatory effects to be achieved by the consideration ncil --by no later than September 30, 200X. B. Authority: To incur costs of no more than $ in direct charges and no more than seventy hours of staff time. 3. Nominating Committee A. product: Properly screened potential Council members —by no later than May 20 of each year. in direct charges and no more B. Authority: To incur costs of no more than $ g than twenty hours of staff time per annum. 40 4. Audit Committee A. product. Specification of scope of audit prior to outside audit —by no later than January 10 of each year. B. Authority: To incur no more than $ in direct charges and use of no more than fifty person -hours of staff time per annum. Hold until October 2008 Policy Type: Governance Process Policy Title: 4 R (3oknrnin , 7e lnwAstrner't The Council will invest in its governance capacity. Accordingly: 4.8.1. Council skills, methods, and supports will be sufficient to ensure governing with excellence. • 4.8.1.1. Opportunities for training will be used to orient new members and candidates for membership, as well as to maintain and increase existing member skills and understandings. IUCe� i 4.8.1.2. Outside monitoring assistance may be arranged so that the Council can exercise confident control over organizational performance. This includes, but is not limited to, financial audits. 4.8.1.3. Outreach mechanisms will be used as needed to ensure the Council's ability to listen to owner viewpoints and values. 4 8 2 f osts will be prudently incurred !he- not at the expense of endangenng the de ;eloprnent and maintenance of supericr capability. 48_ I Up to$ in fiscal year for training including attendance at conferences and :vofhshops- 4 8 2 2 Up to $ in fiscal year for sur ✓eys focus groups, op ;nicn analyses. and meeting costs. Staff Please provide some historical perspective on costs for these board expenses Irclude information on ^urgent budget for fiscal 4.8.3. The Council will establish its initial cos o f governance wed b udg et December. year during the month of February. Budge 9 Ioce-�) i Policy Type: Executive Limitations Policy Title: 2.0 Global Executive Constraint The City Administrator shall not cause or allow any practice, activity, decision, or organizational circumstance that is unlawful, imprudent, or in violation of commonly accepted business and professional ethics and practices. 0 • Date of Adoption Affirmation of official board action adopting this policy: lc4e 0 Policy Type: Executive Limitations Policy Title: 2.1 Treatment of the Public With respect to interactions with the public, the City Administrator shall not cause or allow conditions, procedures, or decisions that are unsafe, untimely, undignified, or unnecessarily intrusive. Further, without limiting the scope of the foregoing by this enumeration, the City Administrator shall not: 2.1.1. Elicit information for which there is no clear necessity. 2.1.2. Use methods of collecting, reviewing, transmitting, or storing client information that fail to protect against improper access to the material elicited. 2.1.3. Fail to operate facilities with appropriate accessibility and privacy. 2.1.4. Fail to establish with the public a clear understanding of what may be expected and what may not be expected from the service offered. • 2.1.5. Fail to inform the public of this policy or to provide a way to be heard for persons who believe they have not been accorded a reasonable interpretation of their protections under this policy. 2.1.6. Shall not fail to provide budget documents for public review that are easily understood. 2.1.7. Shall not fail to have an ethics policy in place that provides all employees with direction in dealing with the public fairly and professionally. 2.1.8. Shall not ask the council to approve significant new initiatives or ordinances without first seeking input from the public and a representative group of affected stakeholders during the development process. iL I Date of Adoption Affirmation of official board action adopting this policy: 1e � Policy Type: Executive Limitations Policy Title: a -2 Treatrne�n` ^f Sfaff With respect to the treatment of paid and volunteer staff, the City Administrator shall not cause or allow conditions that are unfair, undignified, disrespectful, disorganized, or unclear. Further, without limiting the scope of the foregoing by this enumeration, the City Administrator shall not: 2.2.1. operate without written personnel rules that (a) clarify rules for staff, (b) provide for effective handling of grievances, and (c) protect against wrongful conditions and grossly preferential treatment for personal reasons. 2.2.2. Discriminate against any staff member for nondisruptive expression of dissent. 2.2.3. Fail to acquaint staff with the City Administator's interpretation of their protections under this policy. 2.2.4. Allow staff to be unprepared to deal with emergency situations. 3. Shall not allow hiring practices that allow an employee's spouse or direct relative to work in the same department (or under the employees direct supervision). 4. Shall not allow hiring practices that allow the spouse or direct relative of a council to be hired for city employment while the council member serves. S. Shall not hire any council members as a consultant or contract worker while serving on the council or until at least one year has elapsed following their term of service. Shall not hire ex city employees as a consultant or contract worker until at least one year has elapsed following their employment, except in the case that they clearly possess unique knowledge and /or skill that would benefit the city. Shall not fail to implement regular, comprehensive performance reviews for all employees. Shall not fail to periodically, but regularly, survey city employees on employment and job related issues and concerns. 3. Shall not fail to create a work environment that fosters innovation, encourages responsible risk taking and tolerates mistakes provided they are done in good faith. a Fail to establish a culture of continuous improvement that can be measured by data against targets which are aligned to council adopted Ends Policies Date of Adoption Affirmation of official board action adopting this policy:e J 5, Fail to create an environment that empowers employees to grow and individuals and professionals and provides appropriate involvement in the decision making process 6. Fail to provide a succession plan for key employee positions, 7. Fail to ensure that important job related information and procedures are documented for employees doing that job or task - S. Fail to complete periodic, but regular, in -depth reviews of each department to identify best practices and /or possible areas of improvement. 9. Fail to meet annually with the staff from each department to discuss the latest survey and discuss work related issues. LO_ Fail to provide safe working conditions for the job. • Date of Adoption Affirmation of official board action adopting this policy: C • Policy Type: Executive Limitations Policy Title: 2.3 Financial Condition and Activities W i th respect to the actual, ongoing financial condition and activities, the City Administrator shall not cause or allow the development of financial jeopardy or material deviation of actual expenditures ofuthe established in ErWs policies. the City Administrator shall limiting the l note 2.3.1. Expend more total Government Funds (everything but Enterprise) than have been received in the fiscal year, unless the debt guideline (as follows) is met. 2.3.4. Conduct interfund shifting in amounts greater than can be restored in a fiscal year. 2.3.5. Fail to settle payroll and debts in a timely manner. 2.3.8. Allow tax payments or other govemment- ordered paymerrts or filings to be overdue or inaccurately filed. 2.37. Make a single purchase or commitment of greater than $50,000.00. Splitting orders to avoid this limit is not acceptable. 2.3.8. Acquire, encumber, or dispose of real property. 2.3.9. Fail to aggressively pursue receivables after a reasonable grace period. 2.3.10 Create financial conditions that adversely effect the City's current bond rating. 2.3.11 Recommend budget actions that would reduce fund balances below Council policy levels. 2.3.12 Fail to hold consultants and contract workers to appropriate performance and ethical standards. 2.3.13 Fail to have a bonding plan in place as adopted by the Council. Date of Adoption Affirmation of official board action adopting this policy: —Jue l • Policy Type: Executive Limitations Policy Title: 2.4 Financial Budgeting The City Administrator shall not cause or allow budgeting for any fiscal year or the remaining part of any fiscal year to deviate materially from the Council's Ends priorities, risk financial jeopardy, or fail to be derived from a five year an with appropriate assumptions, unless additional expenditures are a ed by Council. Further, without limiting the scope of the foregoing by this enumeration, there will be no financial plans that: 2.4.1 When in their annual budget form, fail to be formally adopted by the Council. 2.4.1. Risk incurring those situations or conditions described as unacceptable in the board policy "Financial Condition and Activities." 2.4.2. Omit credible projection of revenues and expenses, separation of capital and operational items, cash flow, and disclosure of planning assumptions. 2.4.3. Provide less for Council prerogatives during the year than is set forth in the • Governance Investment Policy. 2.4.4. Use reserve funds, enterprise funds or fund balances to balance the budget without Council authorization. 2.4.5. Use one -time money for on-going operational expenses without Council approval. 2.4.6. Fill a vacant position or create a new position without first considering if the position really needs to be filled, if there are other ways to address that job function, and the impact on future budgets while also considering relevant financial and economic forecasts. 2.4.7. Fail to utilize cost accounting at an appropriate level that provides the information needed to understand the true cost of a program or service when making priority and budget decisions and making realistic comparisons with possible alternatives. Date of Adoption Affirmation of official board action adopting this policy: 0 • 17J Policy Type: Executive Limitations Policy Title: 2.5 Emergency City Administrator Succession To protect the Council from sudden loss of City Administrator services, the City Administrator shall not permit there to be fewer than two other executives sufficiently familiar with Council and City Administrator issues and processes to enable either to take over with reasonable proficiency as an interim successor. on adopting this policy. I Date of Adoption Affirmation of officiat board acti > • Policy Type: Executive Limitations Policy Title: 2.6 Asset Protection The City Administrator shall not cause or allow City assets to be unprotected, inadequately maintained, unaccounted for, or unnecessarily risked. Further, without Amidng the scope of the foregoing by this enumeration, the City Administrator shall not 2.8.1. Fall to insure against theft and casualty losses to at least 80 percent of replacement value (when available and not cost prohibitive) and against liability losses to Council members, staff, and the organization itself In an amount greater than the average for comparable cities. 2.8.2. Allow unbonded personnel access to material amounts of funds. 2.8.3. Subject facilities and equipment to improper wear and tear or insufficient maintenance. 2.8.4. Unnecessarily expose the City, its Council, or its staff to claims of liability. 2.8.5. Make any purchase (a) wherein normally prudent protection has not been given against conflict of interest; (b) of over $25,000 without having obtained comparative prices and quality except as • provided by state statute. 28.8. Fail to protect intellectual property, information, and files from loss or significant damage. 2.8.7. Receive, process, or disburse funds under controls that are Insuffic4ent to meet the Council - appointed auditor's standards. 2.8.8. Compromise the Independence of the Council's au d it or Council as consultants toad Ior advice, e such as by engaging pa Y by t 2.8.9. Invest or hold operating capital in insecure instruments. Including uninsured checking accounts and bonds of less than AAA rating at any time, or in non- interest bearing accounts except where necessary to facilitate ease in operational transactions. Reference MN state statute 118.8. 2.8.10. Endanger the CUy's pudic Image, its credibility, or its ability to accomplish ends. 2.8.11 Fail to prepare and sbmft to the Council a recommended 5 year capital impovement program no later than June 1 each year. (CharterSectlon 7.05) • Date of Adoption Affirmation of official board action adopting this policy: -L' • Policy Type: Executive Limltations Policy Title: 2.7 Compensation and Benefits With respect to employment, compensation, and benefits to employees, consultants, contract workers and volunteers, the City Administrator shall not cause or allow jeopardy to financial integrity or to public image. Further, without limiting the scope of the foregoing by this enumeration, the City Administrator shall not: 2.7.1. Promise or imply permanent or guaranteed employment. 2.7.2. Establish current compensation and benefits that deviate materially from the geographical or professional market for the skills employed. 2.7.3. Create obligations over a longer term than revenues can be reasonably projected, in no event longer than prudent and in all events subject to losses in revenue. 2.7.4. Fail to annually present to the Council a performance pay plan for approval. • • Date of Adoption Affirmation of official board action adopting this policy: b cc ) i Policy Type: Executive Limitations Policy Title: 2.8 Communication and Support to the Council The City Administrator shall not cause or allow the Council of be uninformed foregoing y this enuumperration in ,the City Administrator hallriot limiting the scope 2.8.1. Neglect to submit monitoring data required by the Council (see policy 3.4 on monitoring City Administrator performance) in a timely, accurate, and understandable fashion, directly addressing the provisions of Council policies being monitored. 2.8.2. Fail to report in a timely manner any actual or anticipated noncompliance with any policy of the Council. 2.8.3. Neglect to submit unbiased decision information required periodically by the Council or let the Council be unaware of relevant trends. • 2.8.4. Let the Council be unaware of any significant incidental information it requires, including anticipated media coverage, threatened or pending lawsuits, advancing community concerns, and material internal and external changes. 2.8.5. Fail to advise the Council if, in the City Administrator's opinion, the Council is not in compliance with its own policies on Governance Process and Council - Management Delegation, particularly in the case of Council behavior that is detrimental to the work relationship between the Council and the City Administrator. 2.8.6. Present information in unnecessarily complex or lengthy form or in a form that fails to differentiate among information of three types: monitoring, decision preparation, and "other.' 2.8.7. Fail to provide a workable mechanism for official Council, officer, or committee communications. 2.8.8. Fail, when addressing official business, to deal with the Council as a whole except when (a) fulling individual requests for information or • (b) responding to officers or committees duty charged by the Councill. Date of Adoption Affirmation of official board action adopting this policy: nce 2.8.9. Fail to supply for the Council's consent agenda, along with applicable monitoring information, all decisions delegated to the City Administrator yet required by law, regulation, or contract to be Council- approved. 2.8.10. Fail to ensure that new council members have an appropriate orientation about the organization in a timely manner. • • Date of Adoption Affirmation of official board action adopting this policy: Policy Type: Executive Limitations Policy Title: ?_9 Fnvir- nn±en Protect i Date of Adoption Affirmation of official board action adopting this policy: bG )