cp06-30-1981 cAGENDA
SPECIAL MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, JUNE 30, 1981
1. Call to Order - 2 :00 P.M.
2. Unfinished Business
(a) Consideration of Awarding Lighting Bid for Phase I Development of
McDonald's Park (DEFERRED JUNE 23, 1981)
(b) Opening of Bids for 1981 Bond.Issues
Action - Motion to reject - Motion to award bid - Motion to adopt
Resolution(s)
(c) Consideration of Adoption of 1981 Assessment Rolls (DEFERRED JUNE 15, 1981)
Action - Motion to reject - Motion to adopt Rolls and Resolutions
3. New Business
(a) Consideration of Advertising for Group Life Insurance
Action - Motion to reject - Motion to authorize advertising for bids for
July 28, 1981 at 2:00 P.M.
/ / / (612) 879 -2311
CITY OF HUTCHINSON
HUTCHINSON, MINN. EST
55350
TO: Mayor b City Council
FROM: Bruce Ericson
DATE: June 30, 1981
SUBJECT: Lighting at McDonald's Park
The bids for the lighting at McDonald's Park have been received,
and Quade's proposal was the low bid. Quade's, Sounders, Thalden,
Associates, and myself met and discussed the following changes in
specifications.
It is my recommendation that we accept Quade's bid with the fol-
lowing adds and deducts:
-use double wall housing fixtures plus in line housing fixtures,
add $800.
- increase service for concession operator, add $800. (These costs
can be charged later to the concession operator.
-use contactors to switch field lights instead of disconnectors,
add $2,000.
This brings Quade's total bid to $46,922. - Their alternate bid
for a deduction if only two fields are lighted is $23,250. This
means that the cost of lighting two fields 1-9-$23,672.
NOTE: Our original grant included only two lighted fields, however,
- it is the recommendation of the architects, and the staff that
if we plan on lighting -all four fields, it would save a con-
siderable amount of dollars to light them at this time. This
could be done by differing payment for two fields until 1982
with money budgeted for that purpose. If this can be worked
out through the budget and with Quade's, I recommend we accept
the bid for all four fields. If this in not possible, it
would be my recommendation to accept their bid for two fields.
�7i
(612) 879 -2311
CITY OF HUTCHINSON
37 WASHINGTON AVENUE WEST
HUTCHINSON, MINN. 55350
M E M O R A N D U M
DATE: _ _ June 30. 19 81
TO: Mayor and City Council
FROM: Kenneth B. Merrill, City Accountant
SUBJECT: Interest Rate of Special Assessment Bonds
Gary Plotz and I have discussed the matter of interest rate and would recbmmend
the following:
The special assessment to property owners should be approximately
12 over the average rate paid on City bonds. (We would like to
set a rate at either a point or 1/2 point for ease of computation.)
The rate would be used to help cover administration and protection against
future losses. • = .
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June 26, 1981
Mayor and Members of the City Council
City of Hutchinson
37 Washington Avenue West
Hutchinson, MN 55350
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FOR YOUR INFORMATIOP
RE: HUTCHINSON WASTEWATER TREATMENT CONSTRUCTION GRANT
PROJECT STATUS
RCM FILE NO. 791401
The purpose of this letter is twofold. First, we would like
to summarize the progress of the Hutchinson Wastewater Treatment
Improvement Program and how it has been impacted by recent state
and federal actions. Second, RCM proposes to hold a follow -up
meeting with interested City personnel to discuss possible courses
of action open to the City. Such actions may be desirable due to
occasional operational difficulties experienced at the existing
wastewater treatment plant and the apparent slowdown of the
Construction Grants Program.
rieke
The City of Hutchinson and RCM signed an agreement on July 24, 1979
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under which RCM was to provide the City with engineering services
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required to prepare a wastewater treatment facilities-plan. The
architects
City of Hutchinson 'has final effluent requirements in its future
engineers
discharge permit which are among the most stringent in the State
land anners surveyors
planners
of Minnesota (e. 5 m /l biochemical oxygen demand, 5 mg /l total
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suspended solids, 1 mg /l ammonia), resulting in the need for 'an
advanced wastewater treatment system. In November, 1979 RCM
presented the City with a report entitled "Infiltration and Inflow
Analysis Report for Hutchinson, Minnesota ". This report concluded
that the Hutchinson sanitary sewer system is subject to potentially
excessive direct inflow, and recommended a sewer system evaluation
survey (SSES) be performed as required by federal regulations. A
SSES grant amendment request dated January 9, 1980, which included
a proposed contract between RCM and the City, was submitted to MPCA.
MPCA and EPA stated that the City must-establish a Minority Business
Enterprise (MBE) goal for this grant amendment request. The develop-
ment of an acceptable MBE goal by the City took several months and
a revised SSES grant amendment request (dated September 23, 1980
and containing the required MBE subcontracts) was submitted to the
MPCA. As of the date of this letter, MPCA states that the Hutchinson
SSES grant amendment request has undergone "partial review" and is
not among the grants MPCA is currently processing. The facilities
plan cannot be completed without the flow information that would
result from the SSES report. Consequently, there has been virtually
1011 first street south
post office box 130
hopkins, minnesota 55343
612- 935 -6901
Page 2
no work performed by RCM on the facilities plan for the past year.
The Municipal Wastewater Treatment Construction Grants Program, under the
Clean Water Act of 1972, is one of the largest environmental public works
efforts in history. As such, when the new administration took office early
this year with new fiscal goals, the Wastewater Treatment Construction
Grants Program was a prime candidate for funding cuts. Proposed budget
proposals and revisions may cut the program severely for the next few years,
leaving the long term future of the program open to conjecture. Being in
only the early stages of the first of three steps in the construction of
wastewater treatment facilities, the future of Hutchinson in the Wastewater
Treatment Construction Grants Program is uncertain at best. Since there is
a real possibility that it will be at least four years before any construction
within the construction grants program could take place, the City may wish
to explore interim improvements that could be made at this time.
For the purpose of discussing the situation and exploring alternative courses
of action, RCM would like to invite all interested persons from Hutchinson
(Mayor, Council members, City Engineer, Director of Operation and Maintenance,
Wastewater Treatment Superintendent, etc.) to attend a meeting in Hopkins.
We would like to hold such a meeting in the next several weeks, and ask that
Marlow contact me to set up such a meeting. We appreciate your interest and
continuing cooperation in this area.
Very truly yours,
James M. Welday
RIEKE CARROLL MULL R ASSOCIATES, INC.
JWM /ck
cc: Marlow Priebe, City Engineer
Finley Mix, Wastewater Treatment Superintendent
Ralph Neumann, Director of Operation and Maintenance
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•
FIRST NATIONAL -SOO LINE CONCOURSE 507 MARQUETTE AVE
June 29, 1981
Mayor and City Council
City Hall
City of Hutchinson
Hutchinson, Minnesota
Re: Moody's Rating - A
EHLA AND ASSOCIATES, INC.
FINANCIAL SPECIALISTS
MINNEAPOLIS, MINNESOTA 55402 339 -8291 (AREA CODE 612)
Moody's Rating Service has assigned an A rating on the City's G. 0. Bonds
to be sold on June 30, 1981.
As you are aware, Ralph, Gary, Ken and.I were in New York on June 24th specifically
to present Hutchinson to the Moody's in an effort to secure an A -1 rating. In
the final analysis, the rating committee determined that the City was an unusually
strong community that was being supported by broad and sound economic resources.
The committee further found the City's per capita debt somewhat high for an A -1
rating. If the 1980 Census data regarding income per family, medium income and
other wealth data had been available, it could have been used to offset part of
the debt and the City would have received its A -1 rating. We spent 32 hours with
Moody's and did accomplish a.great deal. A normal visit with Moody's is generally
limited to 1 or 12 hours at the most.
In addition, we visited with Morgan Guaranty & Trust Co., and with Citibank which
had indicated an interest in bidding. As of today it would appear that neither
will bid.
Off the record, Moody's believes Hutchinson is an outstanding A rated City and with
1980 income data would be a good A -1 credit.
Yours truly,
EHLERS AND ASSOCIATES INC.
E. Fahey 4illiam y