02-27-2002 HUCM
Regular Meeting
February 27, 2002
Members present: President David Wetterling; Vice President Craig Lenz;
Secretary Donald Walser; Commissioner Roger Gilmer; Commissioner Paul
Ackland; General Manager Clarence Kadrmas; Business Manager Patrick
Spethman and Attorney Marc Sebora
President Wetterling called the meeting or order at 3:00 p.m.
President Wetterling appointed Sue Winter as recording assistant secretary.
Secretary Walser made a motion to approve the minutes of January 30,2002.
Commissioner Gilmer seconded the motion and it passed unanimously.
Secretary Walser made a motion to ratify the payment of bills in the amount of
$2,246,204.39 (detailed listing is in payables book). Commissioner Ackland
seconded the motion and it passed unanimously.
Ron Traeger, Allied adjuster for League of Minnesota Cities (LMCIT), was
welcomed to the meeting. The suit against Hutchinson Utilities was discussed.
In a letter, LMCIT recommends settling the claim and would like direction from
Hutchinson Utilities whether to make legal settlement. The Commission asked
Mr. Traeger to work out a settlement and to keep Attorney Sebora informed.
Secretary Walser made a motion to approve the financial statement and budget
year-to-date. Commissioner Gilmer seconded the motion and it passed
unanimously.
Vice President Lenz made a motion to approve the bid for Hutchinson substation
circuit breakers to Electro Tech in the amount of $202,000. Commissioner
Ackland seconded the motion and it passed unanimously.
Commissioner Gilmer made a motion to Advertise for Bids for Plant #1 cooling
tower upgrade. Secretary Walser seconded the motion and it passed
unanimously.
Secretary Walser made a motion to approve Requisition #15286 to RESCO for
Hutchinson substation conductor. Commissioner Gilmer seconded the motion
and it passed unanimously.
Commissioner Ackland made a motion to approve Requisition #15254 to CC Day
Company for oil exhaust vent. Vice President Lenz seconded the motion and it
passed unanimously.
Commissioner Ackland made a motion to accept the proposal from Cincinnati
Insurance Company for boiler and machinery equipment insurance. Secretary
Walser seconded the motion and it passed unanimously.
Secretary Walser made a motion to approve Underground Piercing as the
directional boring contractor for 2002 construction season. Commissioner Gilmer
seconded the motion and it passed unanimously.
General Manager Kadrmas reported on the McLeod substation. Tie-in is still
scheduled for Easter weekend.
General Manager Kadrmas and Business Manager Spethman discussed the
natural gas pipeline (with Northern Natural Gas Company). There is an
administrative hearing in Saint Paul on Monday, March 4, 2002.
General Manager Kadrmas reported on labor negotiations. Union members will
meet on March 5, 2002, to vote on the contract.
Business Manager Spethman discussed the medical insurance $100,000
restricted fund. Vice President Lenz made a motion to disband the medical
insurance restricted fund and to transfer the $100,000 to Hutchinson Utilities
checking account. Commissioner Gilmer seconded the motion and it passed
unanimously.
The payment drop box at City Center was damaged and will be replaced.
General Manager Kadrmas and Business Manager Spethman discussed R & R
Contracting arrears in the amount of $9,678. There are also issues with amounts
for substation work. No action was taken. R & R Contracting should come to a
Commission meeting to discuss these amounts.
Attorney Sebora presented revisions to Hutchinson Utilities current policy
requesting the City of Hutchinson to require excavation contractors to acquire
licenses and be bonded. After discussion, Secretary Walser made a motion to
submit the policy with the proposed changes to Hutchinson City Council and that
General Manager Kadrmas be involved with setting the bond amount. Vice
President Lenz seconded the motion and it passed unanimously.
Business Manager Spethman presented budget payment policy update. Budgets
will be reviewed annually and Business Manager Spethman was given proxy to
increase/decrease budget amount if customer's balance is two or more times the
current budget.
General Manager Kadrmas salary was discussed. Commissioner Ackland made
a motion to approve a 3% increase for General Manager Kadrmas, contingent
upon acceptance of exemption filed with the State of Minnesota Vice President
Lenz seconded the motion and it passed unanimously. Commissioner Gilmer
made a motion to approve a 1 % merit increase for General Manager Kadrmas,
contingent upon acceptance of exemption filed with the State of Minnesota
Secretary Walser seconded the motion and it passed unanimously.
There being no further business, the meeting was adjourned.
Donald H. Walser, Secretary
ATTEST
David J. Wetterling, President
Regular Meeting
February 27, 2002
Members present: President David Wetterling; Vice President Craig Lenz;
Secretary Donald Walser; Commissioner Roger Gilmer; Commissioner
Paul Ackland; General Manager Clarence Kadrmas; Business Manager
Patrick Spethman and Attorney Marc Sebora.
President Wetterling called the meeting or order at 3:00 p.m.
President Wetterling appointed Sue Winter as recording assistant
secretary.
Secretary Walser made a motion to approve the minutes of January 30,
2002. Commissioner Gilmer seconded the motion and it passed
unanimously.
Secretary Walser made a motion to ratify the payment of bills in the
amount of $2,246,204.39 (detailed listing is in payables book).
Commissioner Ackland seconded the motion and it passed unanimously.
Ron Traeger, Allied adjuster for League of Minnesota Cities ( LMCIT), was
welcomed to the meeting. The suit against Hutchinson Utilities was
discussed. In a letter, LMCIT recommends settling the claim and would
like direction from Hutchinson Utilities whether to make legal settlement.
The Commission asked Mr. Traeger to work out a settlement and to keep
Attorney Sebora informed.
Secretary Walser made a motion to approve the financial statement and
budget year -to -date. Commissioner Gilmer seconded the motion and it
passed unanimously.
Vice President Lenz made a motion to approve the bid for Hutchinson
substation circuit breakers to Electro Tech in the amount of $202,000.
Commissioner Ackland seconded the motion and it passed unanimously.
Commissioner Gilmer made a motion to Advertise for Bids for Plant #1
cooling tower upgrade. Secretary Walser seconded the motion and it
passed unanimously.
Secretary Walser made a motion to approve Requisition #15286 to
RESCO for Hutchinson substation conductor. Commissioner Gilmer
seconded the motion and it passed unanimously.
V
Commissioner Ackland made a motion to approve Requisition #15254 to
CC Day Company for oil exhaust vent. Vice President Lenz seconded the
motion and it passed unanimously.
Commissioner Ackland made a motion to accept the proposal from
Cincinnati Insurance Company for boiler and machinery equipment
insurance. Secretary Walser seconded the motion and it passed
unanimously.
Secretary Walser made a motion to approve Underground Piercing as the
directional boring contractor for 2002 construction season. Commissioner
Gilmer seconded the motion and it passed unanimously.
General Manager Kadrmas reported on the McLeod substation. Tie -in is
still scheduled for Easter weekend.
General Manager Kadrmas and Business Manager Spethman discussed
the natural gas pipeline (with Northern Natural Gas Company). There is
an administrative hearing in Saint Paul on Monday, March 4, 2002.
General Manager Kadrmas reported on labor negotiations. Union
members will meet on March 5, 2002, to vote on the contract.
Business Manager Spethman discussed the medical insurance $100,000
restricted fund. Vice President Lenz made a motion to disband the
medical insurance restricted fund and to transfer the $100,000 to
Hutchinson Utilities checking account. Commissioner Gilmer seconded
the motion and it passed unanimously.
The payment drop box at City Center was damaged and will be replaced.
General Manager Kadrmas and Business Manager Spethman discussed
R & R Contracting arrears in the amount of $9,678. There are also issues
with amounts for substation work. No action was taken. R & R
Contracting should come to a Commission meeting to discuss these
amounts.
Attorney Sebora presented revisions to Hutchinson Utilities current policy
requesting the City of Hutchinson to require excavation contractors to
acquire licenses and be bonded. After discussion, Secretary Walser
made a motion to submit the policy with the proposed changes to
Hutchinson City Council and that General Manager Kadrmas be involved
with setting the bond amount. Vice President Lenz seconded the motion
and it passed unanimously.
Q4
Business Manager Spellman presented budget payment policy update.
Budgets will be reviewed annually and Business Manager Spellman was
given proxy to increase /decrease budget amount if customer's balance is
two or more times the current budget.
General Manager Kadrmas salary was discussed. Commissioner Ackland
made a motion to approve a 3% increase for General Manager Kadrmas,
contingent upon acceptance of exemption filed with the State of
Minnesota. Vice President Lenz seconded the motion and it passed
unanimously. Commissioner Gilmer made a motion to approve a 1%
merit increase for General Manager Kadrmas, contingent upon
acceptance of exemption filed with the State of Minnesota. Secretary
Walser seconded the motion and it passed unanimously.
There being no further business, the meeting was adjourned.
Donald H. Walser, Secretary
ATTEST ZZ-
I
Da id 4Mefterling, President
Ll
Advertisement for Bids
For
" PLANT #1 COOLING TOWER UPGRADE "
Hutchinson Utilities Commission
Hutchinson, Minnesota
Notice is hereby given that the Hutchinson Utilities Commission of the City of
Hutchinson, Hutchinson, Minnesota, hereinafter referred to as the Owner, will receive
sealed Bids at the Hutchinson Utilities office until 2 pm on the 19th day of March 2002,
and will publicly open and read aloud such Bids on the following work and equipment:
"PLANT #1 COOLING TOWER UPGRADE"
Proposals shall be properly endorsed and delivered in an envelope marked,
" Plant #1 Cooling Tower Upgrade " And shall be addressed to: Hutchinson Utilities
Commission of the City of Hutchinson, 225 Michigan Street SE, Hutchinson, Minnesota
55350.
All proposals shall be submitted in duplicate on the Bidder's own letterhead in
facsimile of the Proposal Form enclosed in the Specifications, or by utilizing the
Proposal Form enclosed with the Specifications by typing the official name of the Bidder
at the top of the form.
Each proposal should be accompanied by a Bid Bond, made payable to the
Hutchinson Utilities Commission of the City of Hutchinson, Hutchinson, Minnesota, in
the amount of five per cent (5 %) of the Bid, as a guarantee that the Bidder will enter
into the proposed Contract and provide a Performance Bond after his Bid shall have
been accepted.
The successful Bidder shall furnish a Performance Bond in an amount equal to
one hundred per cent (100 %) of the Contract price to the Owner prior to the approval of
the Contract.
No Bidder may withdraw his Bid or Proposal for a Period of thirty (30) days after
date of opening of Bids.
At the aforementioned time and place, or at such later time and Place as the
Owner then may fix, the Owner will act upon Proposals received and with its sole
discretion may award Contract(s) for the furnishing of said equipment.
The work shall be started within ten (10) days after award of Contract(s).
Specifications and Plans are available at the Office of the Hutchinson Utilities,
225 Michigan Street, Hutchinson, Minnesota 55350.
The Hutchinson Utilities Commission of the City of Hutchinson, Hutchinson,
Minns to reserves the right to reject any and all bids, or bid irregularities.
II
Wetterling, President
Date
ATTEST AD
By
Donald H. Walser, Secretary
Date JA '2 ---
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