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cp10-28-2014Workshop Enterprise Fund Budgets 4:00 p.m. AGENDA REGULAR MEETING — HUTCHINSON CITY COUNCIL TUESDAY, OCTOBER 28, 2014 1. CALL TO ORDER — 5:30 P.M. 2. INVOCATION — Faith Lutheran Church 3. PLEDGE OF ALLEGIANCE 4. RECOGNITION OF GIFTS, DONATIONS AND COMMUNITY SERVICE TO THE CITY 5. PUBLIC COMMENTS 6. MINUTES �a) SPECIAL MEETING OF OCTOBER 10, 2014 b) REGULAR MEETING OF OCTOBER 14, 2014 (c) SPECIAL MEETING OF OCTOBER 22, 2014 Action — Move to approve/reject the minutes of the regular meeting of September 9, 2014 7. CONSENT AGENDA (Purpose: only for items requiring Council approval by external entities that would otherwise have been delegated to the City Administrator. Traditionally, items are not discussed.) 5 min. (a) RESOLUTIONS AND ORDINANCES 1. RESOLUTION NO. 14341 - RESOLUTION AUTHORIZING EXECUTION OF GRANT AGREEMENT WITH THE MINNESOTA DEPARTMENT OF PUBLIC SAFETY FOR TRAFFIC SAFETY ENFORCEMENT PROJECTS 2. RESOLUTION NO. 14342 — RESOLUTION CERTIFYING SPECIAL ASSESSMENTS TO MCLEOD COUNTY 3. ORDINANCE NO. 14-734 — AN ORDINANCE AMENDING SECTION 112.056 OF THE HUTCHINSON CITY CODE PERTAINING TO RESTRICTIONS OF OPEN CONTAINERS (SECOND READING AND ADOPTION) 4. ORDINANCE NO. 14-735 —AN ORDINANCE AMENDING SECTION 112.025 OF THE HUTCHINSON CITY CODE PERTAINING TO LICENSED PREMISES (SECOND READING AND ADOPTION) (b) PLANNING COMMISSION ITEM CONSIDERATION OF PRELIMINARY AND FINAL PLAT OF MENARD THIRD ADDITION AND SITE PLAN APPROVAL FOR 1450 MONTREAL STREET SE, SUBMITTED BY VINCENT DRIESSEN, APPLICANT, WITH FAVORABLE PLANNING COMMISSION RECOMMENDATION (ADOPT RESOLUTION NO. 14336) (c) AMENDMENT TO SUBDIVISION AGREEMENT OF FAIRWAY ESTATES SECOND ADDITION CITY COUNCIL AGENDA OCTOBER 28, 2014 (d) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS — REGISTER A [Action] — Motion to approve/rej ect those items contained under the consent agenda. 7A. CONSENT AGENDA (a) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS — REGISTER B [Action] — Motion to approve/reject Council Check Register B 8. PUBLIC HEARINGS — 6:00 P.M. - NONE 9. COMMUNICATIONS RE UESTS AND PETITIONS (Purpose: to provide Council with information necessary to cra t wise policy. Always looking toward the Juture, not monitoring past) 5 min. (a) RECOGNITION OF MI T.G.I. FOR RECEIVING IMAGE AWARD No action required 5 min. (b) UPDATE BY LEE MILLER EDA DIRECTOR — DEPOT MARKETPLACE PROJECT SELECTED AS FINALIST FOR REDEVELOPMENT AWARD No action required 10. UNFINISHED BUSINESS 11. NEW BUSINESS 45 min. (a) REVIEW OF HUTCHINSON UTILITIES COMMISSION INDUSTRIAL RATES REVISIONS [Action] — 10 min. (b) CONSIDERATION FOR APPROVAL OF SMALL CITIES DEVELOPMENT PROGRAM PRELIMINARY PROPOSAL AND SUBMITTAL TO THE MINNESOTA DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENT [Action] — Motion to approve/rej ect proposal and submittal of Small Cities Development Program to Minnesota Department of Employment and Economic Development. 10 min. (c) CONSIDERATION FOR APPROVAL OF AMENDMENTS TO THE CITY OF HUTCHINSON SNOW & ICE REMOVAL POLICY [Action] — Motion to approve/rej ect amendments to City of Hutchinson snow and ice removal policy 10 min. (d) CONSIDERATION FOR APPROVAL OF AMENDMENTS TO THE MN/DOT AIRPORT GRANT AGREEMENT [Action] — Motion to approve/rej ect amendments to MnDOT airport grant agreement (e) CLOSED SESSION PURSUANT TO MINNESOTA STATUTE SECTION 13D.05 TO DISCUSS LITIGATION STRATEGY UNDER THE ATTORNEY-CLIENT PRIVILEGE RELATED TO STACIE ZIEMAN VS. CITY OF HUTCHINSON, MCLEOD COUNTY COURT FILE NO. CO - 14 -130 2 CITY COUNCIL AGENDA OCTOBER 28, 2014 [Action] — Motion to approve/deny going into closed session 12. GOVERNANCE (Purpose: to assess past organizational performance, develop policy that guides the organization and Council and manage the logistics of the Council. May include monitoring reports, policy development and governance process items.) (a) CITY OF HUTCHINSON FINANCIAL REPORT AND INVESTMENT REPORT FOR SEPTEMBER 2014 (b) PLANNING, ZONING, BUILDING DEPARTMENT MONTHLY REPORT FOR SEPTEMBER 2014 (c) PLANNING COMMISSION MINUTES FROM SEPTEMBER 16, 2014 (d) HUTCHINSON HOUSING & REDEVELOPMENT AUTHORITY BOARD MINUTES FROM SEPTEMBER 16, 2014 13. MISCELLANEOUS 14. ADJOURN MINUTES SPECIAL MEETING - HUTCHINSON CITY COUNCIL FRIDAY, OCTOBER 10, 2014 - 8:30 A.M. CALL TO ORDER — 8:30 A.M. Mayor Steve Cook called the meeting to order. Members present were Mary Christensen, GaryForcier, Chad Czmowski and Bill Arndt. Others present were Marc Sebora, Interim City Administrator, Brenda Ewing, Human Resources Director and Sharon Klumpp, Recruiter, Springsted Inc. 2. NEW BUSINESS (a) CONSIDERATION OF SELECTING FINALISTS FOR CITY ADMINISTRATOR POSITION Sharon Klumpp, Springsted Inc., presented before the Council. Ms. Klumpp stated that 52 applicants applied for the City Administrator position. Ms. Klumpp explained that 11 candidates had been identified as semi-finalists for the City Administrator position that have been forwarded to the Council. Ms. Klumpp explained that last week two other candidates came forward that she felt should be considered. Ms. Klumpp reminded the Council that the position is open until filled, therefore she feels these two candidates should be reviewed even though they were not included in the materials that were distributed last week. Ms. Klumpp reminded the Council that the information that they are reviewinu currently is private information and only the finalists information will become public. Ms. Klumpp distributed the two candidates materials that came in last week. The Council Members had identified their top five candidates and given their lists to the recruiter. The Council Members reviewed a spreadsheet of all the applicants and the recruiters impression of them. The spreadsheet was intended to provide the Council Members with a sense of what the candidate pool looks like. The Council then reviewed the candidates one by one. Candidate #1 — many Council Members had interested in this candidate. Ms. Klumpp noted that this candidate received a job offer this week and the candidate is considering the offer. Ms. Klumpp explained that she made contact with the candidate and informed the candidate that Hutchinson had interest in the candidate. The candidate indicated that timing may be an issue as to when the candidate has to make a decision and the Hutchinson interviews will take place. Candidate #2 — a couple Council Members had interest in this candidate. Ms. Klumpp explained that this candidate has been with the same city for many years. This candidate has very good economic development experience. The candidate has interest in seeking other employment due to a change in the Council of the candidate's current city. Ms. Klumpp explained that the candidate is solid and is looking for a community the size of Hutchinson. Council Member Christensen had concerns with the salary range that the candidate is currently in and Hutchinson not able to match it. Council Member Arndt had concerns with the number of years left in this candidate's career. Ms. Klumpp reminded the Council to keep in mind energy and leadership and accomplishment of certain goals. Mayor Cook has some of the same concerns, however he did feel that he has accomplished much in his career and may be a good candidate to interview. The candidate has indicated that he will move to the area if he would obtain the position. Candidate #3 — many Council Members had interest in this candidate. Ms. Klumpp explained that this candidate has not been in his current position for all that long, however he has been with two city governments and one county government. Council Member Christensen noted that this candidate does not have a master's degree, however it was not required of the position. Klumpp stated she could ask his plans for professional development. Czmowski liked the candidate because it seemed that Hutchinson is a natural progression for him Candidate #4 — no Council Members had interest in this candidate. Candidate #5 — many Council Members had interest in this candidate. Klumpp explained that this candidate has experience in smaller communities and has wood experience and good ideas for progression, however Klumpp has some concerns with leadership versus managing. Klumpp feels that this would be a big jump for the candidate. Mayor Cook noted that he feels the candidate appears to be very progressive and has begun many initiatives where he has been. The Council discussed comparisons between Candidate #3 and Candidate #5. Council Member Czmowski commented that he feels Hutchinson would also be a natural progression for this candidate. Candidate #6 — one Council Member had interest in this candidate. Ms. Klumpp explained that this candidate has doneggood work, but has had some issues with an economic development project. Czmowski commented that he felt there were too many red flags in this candidate's profile to include him as a finalist. Candidate #7 — one Council Member had interest in this candidate. Ms. Klumpp explained that this candidate has been working as an interim city administrator for various communities over the last few years. Klumpp had concerns with the candidate's innovation and progression. Council Member Czmowski had concerns with the candidate's salary requirements with the lack of experience. Christensen and Cook both had some concerns with the candidate's military background and felt the candidate may not be a good fit for Hutchinson. Candidate #8 — one Council Member had interest in this candidate. Ms. Klumpp explained that this candidate has had some interesting events happen in his career. Candidate #9 — one Council Member had interest in this candidate. Ms. Klumpp explained that this candidate will probably devote five years to the next community and did not commit to moving to Hutchinson. The candidate has had several events occur with the changing of Councils. Mayor Cook commented his preference is to have a candidate that will stay in the position long term. Candidate #10 — a few Council Members had interest in Candidate #10. Ms. Klumpp noted that the candidate is solid and has experience in economic development and may be able to devote five plus years to Hutchinson. Candidate #11 — many Council Members had interest in this candidate. This candidate is a finalist with another city currently and is going through the interview process. Ms. Klumpp explained that this candidate is intelligent, bright and has done a lot where she currently is. The candidate has a family that she would like to raise in a solid community. Ms. Klumpp noted that the salary would be on the top end based on her salary in her currentposition. Mayor Cook felt that this candidate is innovative and appears to have much foresite and hands-on. Her approach with staff seems very collaborative. Candidate #12 — recent candidate distributed today. Ms. Klumpp explained that this candidate may not have the experience in commercial and industrial development that Hutchinson is looking for. However, Ms. Klumpp feels that he works on the forefront of initiatives and seems very adaptable. Candidate #13 — recent candidate distributed today. Ms. Klumpp explained that this candidate has a very interesting career progression and is currently completing his PhD. The candidate has worked with a large number of communities. Ms. Klumpp reviewed with the Council how to determine the finalists to bring in for interviews. The Council then considered each candidate and if they wished to bring them in for interviews. Candidates 1, 3, 5, and 11 all had strong support to bring in for interviews. Candidate 13 was also agreed to bring in for an interview. Candidate 2 will be set aside for an interview in the event one of the other five candidates withdraw. Ms. Klumpp explained how she would communicate with the semi-finalists and finalists. Discussion was held as to when to hold interviews with the finalists. Ms. Klumpp explained the itinerary for the interview for the candidates. This would include a community tour, meeting with department heads, then Council interviews. Interviews with the Council will be held on October 22 starting at 8:00 a.m. Tours and meeting with department heads will be scheduled for the afternoon of October 21. Discussion was held on having a meet and greet with all the candidates, along with community leaders. Marc Sebora suggested against having such an event. Instead, perhaps community leaders could meet with the candidates separately. Council Members will ponder this. Council Member Arndt suggested bringing in John Lofdahl, Council Member -Elect, in on the interviews. If the finalists agree to interviews, their names will become public. If any Council Members are asked questions about the finalists, the questions should be directed to Marc Sebora. MISCELLANEOUS 4. ADJOURN The meeting was adjourned at 10:00 a.m. Steven W. Cook Mayor ATTEST: Marc A. Sebora Interim City Administrator MINUTES REGULAR MEETING — HUTCHINSON CITY COUNCIL TUESDAY, OCTOBER 14, 2014 1. CALL TO ORDER — 5:30 P.M. Mayor Steve Cook called the meeting to order. Members present were Gary Forcier, Mary Christensen, Bill Arndt and Chad Czmowski. Others present were Marc Sebora, Interim City Administrator, Kent Exner, City Engineer and Jody Winters, Attorney 2. INVOCATION — Pastor Dave Wollan, Faith Lutheran Church, delivered the invocation. 3. PLEDGE OF ALLEGIANCE 4. RECOGNITION OF GIFTS, DONATIONS AND COMMUNITY SERVICE TO THE CITY (a) RECOGNITION OF CASH DONATION FROM WALTER AND LYNNE CLAY TO HUTCHINSON POLICE DEPARTMENT Marc Sebora, Interim City Administrator, distributed Resolution No. 14340, for the Council to consider in formally accepting a $300 donation to the Hutchinson Police Department from Walter and Lynne Clay. Mr. Sebora explained that state law requires all cities to accept the donation via a Resolution. Andy Reid, Controller, explained that no specific use was designated for the funds. It was a general donation. Motion by Czmowski, second by Forcier, to approve Resolution No. 14340. Motion carried unanimously. 5. PUBLIC COMMENTS Marlin Torgerson, 1245 Rolling Oaks Lane NW, presented before the Council. Mr. Torgerson stated that he and some of his supporters are in attendance related to concerns for the City. Mr. Torgerson commented that it has been reported that 3M has considered generating its own power, thereby reducing its consumption of energy from the Hutchinson Utilities Commission. 3M has claimed that this is because of the high industrial rates. Mr. Torgerson provided statistics on area rates. Mr. Toruerson stated that he has a good friend who worked at corporate 3M and recently retired. This friend of his claims that 3M in noway intends to generate its own power, but was just using this as a ploy in an attempt to get the industrial rates reduced. Mr. Torgerson stated that he and his supporters feel the City is requiring more than necessary from the HUC in transfers. He stated that the City requires large transfers from all of its enterprise funds. Mr. Torgerson stated that if there are reduced transfers from the enterprise funds to the City's general fund, there will have to be rate increases to utility customers or taxes will need to be raised or staff will need to be reduced or something along those lines to make up the difference. Mr. Torgerson recognized that perhaps he and his supporters should make their concerns known to the Commissioners of the HUC regarding the proposed industrial rate reduction. However they are coming before the Council because they have the power to veto any rate changes. Tom Lyke, 1250 Carolina Avenue NW, presented before the Council. Mr. Lyke noted his concerns over how the rate reduction may impact the residential rate payers. If residential rates are increased, the people do not get a vote on it. He requested that the Council consider reducing the transfer requirement from HUC to the City so that it doesn't affect the rate payers. Paul Ackland, 167 Elk Drive, presented before the Council. Mr. Ackland stated that there is a state statute covering exactly what 3M is proposing to do. Mr. Ackland distributed a copy of the law. Mr. Ackland stated that the backbone of the statute is to protect cities from large companies. Mr. Ackland stated that if a company elects to generate their own power, they are still obligated to pay a certain rate to the city. CITY COUNCIL MINUTES OCTOBER 14, 2014 Robert Hantge, 1210 Lewis Avenue, presented before the Council. Mr. Hantge asked if with a reduction of the transfer to the City and the industrial rate reduction, what will the consequences be to the residents. Mayor Cook responded that the answer is unknown at this time and perhaps more information will be included in the Resolution that the HUC is to be providing to the City. Mayor Cook expressed that HUC most likely will be looking at other factors that will be considered with the industrial rate reduction consideration. Mr. Hantge asked that the Council know what the consequences will be to the residents if the industrial rates are in fact reduced. Mr. Hantge felt that a pro forma be presented or projections of potential increases, or the lack of potential increases. Marc Sebora, Interim City Administrator, commented that he is not aware of any discussions the HUC has had regarding raising other rates, such as commercial or residential. Mr. Sebora explained that the Resolution from the HUC was received in administration today, so the item most likely will be placed on the October 28th City Council agenda. Council Member Forcier commented that he is in agreement with Mr. Hantge in that there is $1 million that will have to be replaced if the transfer from HUC is reduced. He worries as well as to where that will be made up from. He raised concerns as both a resident and a business owner and understands residents wanting to know the impact to them. This should be answered before a rate reduction is considered. Glen Sladek, 15575 130th Street, presented before the Council. Mr. Sladek asked for clarification on the HUC considering no rate reductions. Mr. Sladek started to ask questions about 3M and HTI versus other companies, such as Stearnswood or other companies. Mr. Sladek also commented on how many Council Members work or use to work at HTI or 3M. Mr. Sebora spoke about conflicts of interest and how they would pertain to this situation. Mr. Sebora explained that a true conflict of interest only pertains to direct financial gains and not perceived conflicts. 6. MINUTES (a) REGULAR MEETING OF SEPTEMBER 23, 2014 Motion by Forcier, second by Christensen, to approve the minutes of the regular meeting of September 23, 2014. Motion carried unanimously. 7. CONSENT AGENDA (Purpose: only for items requiring Council approval by external entities that would otherwise have been delegated to the City Administrator. Traditionally, items are not discussed.) (a) RESOLUTIONS AND ORDINANCES 1. RESOLUTION NO. 14335 -RESOLUTION TO SELL AT AUCTION UNCLAIMED BICYCLES 2. RESOLUTION NO. 14337 — RESOLUTION SETTING INTEREST RATE FOR THE 2014 ADOPTED ASSESSMENT ROLLS (b) CONSIDERATION FOR APPROVAL OF REVISIONS TO ASSESSMENT ROLLS FOR WHITE HAWK VILLAGE DEVELOPMENT (c) CONSIDERATION FOR APPROVAL OF REVISIONS TO ASSESSMENT ROLL FOR JEFFERSON STREET SE RECONSTRUCTION PHASE 2 PROJECT (d) CONSIDERATION FOR APPROVAL OF ISSUING SHORT-TERM GAMBLING LICENSE TO HUTCH HOCKEY ASSOCIATION ON JANUARY 24, 2015 2 CITY COUNCIL MINUTES OCTOBER 14, 2014 (e) CONSIDERATION FOR APPROVAL OF CLOSING STREETS FOR LAW ENFORCEMENT PARK DEDICATION ON OCTOBER 20, 2014 (f) CONSIDERATION FOR APPROVAL OF BURICH ARENA REFRIGERATION REPLACMENT PROJECT CHANGE ORDER NO. 1 (g) CONSIDERATION FOR APPROVAL OF MODIFICATION TO CELLULAR EQUIPMENT ON PARK TOWERS BUILDING (h) APPOINTMENT OF ANNIE KOSEL TO TREE BOARD TO JANUARY 2018 (FILLING OF LAURA POSER'S REMAINING TERM) (i) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS — REGISTER A Motion by Christensen, second by Forcier, to approve those items contained under the consent agenda. Motion carried unanimously. 7A. CONSENT AGENDA (a) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS — REGISTER B Motion by Czmowski, second by Cook, with Forcier abstaining, to approve Council Check Register B. Motion carried unanimously. PUBLIC HEARINGS — 6:00 P.M. - NONE 9. COMMUNICATIONS, REQUESTS AND PETITIONS (Purpose: to provide Council with information necessary to craft wise policy. Always looking toward the future, not monitoring past) 10. UNFINISHED BUSINESS (a) CONSIDERATION FOR APPROVAL OF TERM SHEET FOR WASTEWATER TREATMENT FACILITY SOLAR PV INSTALLATION PROJECT (LETTING NO. 4, PROJECT NO. 15-04) Marc Sebora, Interim City Administrator, presented before the Council. Mr. Sebora explained that earlier this afternoon the Council held a workshop to review this project in more detail. Representatives from Ameresco were in attendance at the workshop and reviewed ways to use the Xcel Energy grant that has been awarded for this project. Mr. Sebora explained that before the Council for consideration is a term sheet. This is an agreement with Ameresco which authorizes the necessary additional design and due diligence to occur in order to continue to provide required documentation to Xcel Energy for the RDF grant. Motion by Christensen, second by Forcier, to approve/term sheet for wastewater treatment facility solar PV installation project. Motion carried unanimously. 11. NEW BUSINESS (a) CONSIDERATION FOR APPROVAL OF ORDINANCE REVISIONS RELATED TO LIQUOR REGULATIONS (FIRST READING, SET SECOND READING AND ADOPTION OF ORDINANCE NOS. 14-734 AND 14-735 FOR OCTOBER 28, 2014) CITY COUNCIL MINUTES OCTOBER 14, 2014 Marc Sebora, Interim City Administrator, presented before the Council. Mr. Sebora explained that the Council held a workshop in September in which it reviewed the liquor code and potential revisions that could be considered. At the last Council meeting, the Council reviewed and discussed the proposed ordinances presented now. Ordinance No. 14-734 is proposed to be changed to clarify how the City Council may grant permission for the consumption of alcoholic beverages in order to assist possible requests from individuals and businesses. Ordinance No. 14-735 eliminates the requirement for liquor to be served in a building or structure and adopts the language that is contained in state law that allows licensing of a "space" that is "compact and contiguous". Motion by Forcier, second by Arndt, to approve setting second reading and adoption of Ordinance Nos. 14-734 and 14-735 for October 28, 2014. Motion carried unanimously. (b) CONSIDERATION FOR APPROVAL OF CITY MEMBERSHIP IN SOUTHWEST CORRIDOR TRANSPORTATION COALITION Kent Exner, City Engineer, presented before the Council. Mr. Exner explained that City staff and others have been involved in discussions and activities pertaining to the further improvement and development of Highway 212. Southwest Corridor Transportation Coalition is the group leading this cause. Because Hwy 212 is Hutchinson's designated inter -regional corridor to the metro area/interstate highway system, staff feels it is advantageous for the City to be a partner in the improvement and development of this corridor. Motion by Forcier, second by Cook, to approve city membership into Southwest Corridor Transportation Coalition with a $500 annual contribution. Motion carried unanimously. (c) CONSIDERATION FOR APPROVAL OF RAILROAD TRESTLE BRIDGE REMOVAL FUNDING Kent Exner, City Engineer, presented before the Council. Mr. Exner explained that staff is requesting to utilize funds from the infrastructure maintenance fund for removal of the trestle bridge which is south of 5th Avenue SE. Mr. Exner explained that the main work is to remove the piers in the total amount of approximately $32,000. Mr. Exner noted that although the bridge is not a city facility and is owned by the Regional Rail Authority, it is a safety hazard and needs to be addressed. The Rail Authority has agreed to allow the City to remove it, however will not be contributing to the costs to do so. Motion by Arndt, second by Forcier, to approve using remaining infrastructure maintenance funds for railroad trestle bridge removal. Council Member Czmowski asked what the Rail Authority's position is on not contributing for the costs of removal. Mr. Exner explained that it is mainly due to lack of funding on their part. Council Member Forcier asked how far down the pylons will be needed. John Olson, Public Works Manager, explained the guidelines that will be used in removing the bridge. This work will be scheduled for late November/early December. This bridge ceased being used in 2004-2005. .19 CITY COUNCIL MINUTES OCTOBER 14, 2014 (d) CONSIDERATION FOR APPROVAL OF SETTING COUNCIL WORKSHOPS TO REVIEW ENTERPRISE FUND BUDGETS FOR 2015 Andy Reid, Controller, presented before the Council. Mr. Reid suggested October 28th and November 25th to set as the next enterprise fund budget workshops. Motion by Czmowski, second by Forcier, to approve setting Council workshops to review 2015 enterprise fund budgets for October 28, 2014, and November 25, 2014, at 4:00 p.m. Motion carried unanimously. 12. GOVERNANCE (Purpose: to assess past organizational performance, develop policy that guides the organization and Council and manage the logistics of the Council. May include monitoring reports, policy development and governance process items.) (a) HUTCHINSON HOUSING AND REDEVELOPMENT AUTHORITY BOARD MINUTES FROM AUGUST 19, 2014 (b) HUTCHINSON PUBLIC LIBRARY BOARD MINUTES FROM AUGUST 25 AND SEPTEMBER 22, 2014 (c) HUTCHINSON UTILITIES COMMISSION MINUTES FROM JUNE 25, JULY 30 AND AUGUST 27, 2014 (d) HUTCHINSON ECONOMIC & DEVELOPMENT AUTHORITY BOARD MINUTES FROM AUGUST 27, 2014 (e) LIQUOR HUTCH QUARTERLY REPORT (f) 2014 LOCAL OPTION SALES TAX REVENUE UPDATE 13. MISCELLANEOUS Mary Christensen— Council Member Christensen commented that the bandshell is being worked on currently in Library Square. Christensen also asked when the second layer of pavement will be installed on the remaining part of the Lynn Road project. Mr. Exner explained that the intention is to have it done by the end of the week if all goes well. Bill Arndt - Council Member Arndt asked if speakers will be mounted right on to the building as part of the bandshell renovation. Staff noted they will inquire on this. Council Member Arndt also asked if the Council had any feedback that they would like him to bring to the Joint Planning Board tomorrow regarding a variance request for a feedlot. Mayor Cook noted that the variance request is on a residential property, approximately 1/3 the separation between the feedlot and the residents. Mayor Cook asked that the Joint Power Board take a hard look at the request and the potential impact it may create. All other Council Members agreed. Gary Forcier — Council Member Forcier asked if it would be a good idea to have a public hearing on the proposed industrial rate reduction being proposed by HUC. Council Member Forcier suggested it might be a good way for the HUC to get information out to the public and residents on potential impacts. Council Member Czmowski thought even though people have concerns, a public hearing may not resolve anything. Council Member Czmowski commented that perhaps the worst case scenario could be presented but other than that there may not be other information because it isn't necessarily known. Council Member Forcier thought it be a good idea so the public is aware. Council Member Czmowski commented that the residential rates are the lowest in the state and industrial rates are on the high end. Mayor Cook noted that information will be put out to the public on this topic. Council Member Forcier also mentioned that a resident had asked him if across walk CITY COUNCIL MINUTES OCTOBER 14, 2014 could be placed across School Road from McDonald Drive to the sidewalk along the roadway. Mr. Exner noted that it will be reviewed and information will be provided to the Council. Marc Sebora — Mr. Sebora explained that last week finalists were identified to interview for the city administrator position. Since that time some candidates have dropped out from being considered and three finalists remain. Mr. Sebora asked the Council if they wish to proceed with the interviews or if they would prefer to re -advertise for the position. The Council's consensus was to proceed with the interviews that have been identified, but also keep the position open to see if there are other candidates that may be interested at this time. Mr. Sebora was aware of one candidate that contacted the recruiter who has shown interest in the position. The candidate was a finalist at another community and has now shown interest in the Hutchinson position. The Council was open to reviewing the individual's qualifications. Mr. Sebora stated he would make contact with the recruiter to see if the candidate is truly interested in submitting a resume to be officially considered. Mr. Sebora followed up with a question that was raised several months ago by Planning Commissioner John Lofdahl who inquired about consumption on golf courses. State law defines a licensed premise as "The premises described in the approved license application, subject to the provisions of section 340A.410, subdivision 7. In the case of a restaurant, club, or exclusive liquor store licensed for on -sales of alcoholic beverages and located on a golf course, "licensed premises" means the entire golf course except for areas where motor vehicles are regularly parked or operated." Mr. Sebora noted that staff will intend to put on the license holder's license document that the premise includes the golf course. Kent Exner—Mr. Exner provided an improvement projects update. Jefferson Street South paving is planned to occur this Saturday. Sodding of the entire project is scheduled for Monday/Tuesday of next week. The sod will be warrantied and maintained for 30 days. Hwy 15 service road is being worked on and will hopefully be paved next week. Mayor Cook — Mayor Cook mentioned that a dedication ceremony has been set for October 20 at 4:00 p.m. for the Law Enforcement Park and he suggested setting it as a public meeting so all council member may attend. Motion by Arndt, second by Christensen, to set Law Enforcement Park dedication as public meeting on October 20, 2014, at 4:00 p.m. Motion carried unanimously. Mayor Cook also noted that as he has been speaking with people some have brought up the idea of veterinarian clinics licensing animals in addition to the police department continuing with licensing. This was discussed when the Council revised the animal ordinance. Mr. Sebora noted he will check on the status of this project with the police chief. 14. ADJOURN Motion by Arndt, second by Cook, to adjourn at 6:55 p.m. Motion carried unanimously R MINUTES SPECIAL MEETING - HUTCHINSON CITY COUNCIL FRIDAY, OCTOBER 22, 2014 - 8:30 A.M. CALL TO ORDER — 9:00 A.M. Mayor Steve Cook called the meeting to order. Members present were Mary Christensen, GaryForcier, Chad Czmowski and Bill Arndt. Others present were Marc Sebora, Interim City Administrator, Brenda Ewing, Human Resources Director and Sharon Klumpp, Recruiter, Springsted Inc. via phone conference. 2. NEW BUSINESS (a) REVIEW OF APPLICANT MATERIALS FOR CITY ADMINISTRATOR POSITION The applicant's materials had been distributed to the Council Members prior to the meeting. Chad Czmowski noted he would like to bring the applicant in for an interview. Mary Christensen explained that she would also like to bring the applicant in for an interview. They both felt she was of similar caliber to the other candidates that have been selected for interviews. Mayor Cook noted he was in favor of bringing in the applicant for an interview as well. He was impressed that the applicant had listed the mayor of the City she currently works in as a reference. Bill Arndt liked the fact that the applicant wants to live in the city that she works for. Gary Forcier also was in favor of interviewing the applicant and liked that she wanted to be involved in the city she works for. Sharon Klumpp suggested the interviews be held on October 31 with tours being held on October 30. October 31 works for all council members to interview all four finalists that have been identified for interviews. Ms. Klumpp explained that the last 45 minutes on the 31st is slated for the Council to deliberate on the finalists. Options that may be considered are a final selection, a second round of interviews or to begin the process over. General discussion was held on how negotiations will be handled when a final candidate is identified to extend an offer to. General discussion was also held on how the advertised pay range fits into the negotiations. Options to consider were insurance benefits, car allowances, etc. It was suggested that Ms. Klumpp work as the intermediary for the negotiations and work in conjunction with Marc Sebora and Brenda Ewing who can then communicate with the Council. Council Member Christensen asked if any of the council members could speak to the mayor of the City where this fourth finalist is from. Ms. Klumpp informed the Council that she would be checking all references prior to the interviews on October 31st and will provide a written report to the Council. These references will include elected officials and references from the finalists previous/current emhployers. Ms. Klumpp intends to have the reference report to the Council by October 29t . Bill Arndt asked if the group could discuss what the Council Members guidelines will be as part of this interviewing/hiring process, especially when it comes to the salary range. Mayor Cook noted he does not feel that the City needs to go above the pay scale when hiring the city administrator. Another item mentioned was moving costs or temporary living costs. Ms. Klumpp explained that each scenario is different depending on the city and depending where the individual is coming from. Ms. Klumpp stated there are many variations on how moving expenses can be compensated to the individual. Mayor Cook noted he would be in favor of moving expenses, however he liked the idea of a clause stating if the individual leaves within a certain timeframe that expenses would need to be reimbursed. Motion by Christensen, second by Forcier, to invite Kandis Hanson in for an interview for the city administrator position. 3. MISCELLANEOUS 4. ADJOURN Motion by Arndt, second by Cook, to adjourn at 9:30 a.m. Motion carried unanimously. Steven W. Cook Mayor ATTEST: Marc A. Sebora Interim City Administrator HUTCHINSON CITY COUNCIL aty¢fAa� Request for Board Action 7AL =-M Agenda Item: Resolution of Grant Agreement Department: Police LICENSE SECTION Meeting Date: 10/28/2014 Application Complete N/A Contact: Daniel T. Hatten Agenda Item Type: Presenter: Daniel T. Hatten Reviewed by Staff ✓❑ Consent Agenda Time Requested (Minutes): 2 License Contingency N/A Attachments: No BACKGROUND/EXPLANATION OF AGENDA ITEM: The Hutchinson Police Department is requesting authorization to enter into a grant agreement with the Minnesota Department of Public Safety. This grant is part of the 2015 Toward Zero Deaths Enforcement Grant which will be in effect from October 1, 2014 through September 30, 2015. This is an annual grant for dollars to fund additional enforcement efforts in target areas such as DUI enforcement and seatbelt compliance. This Hutchinson Police Department has participated in this program over the past decade in partnership with McLeod County Sheriffs Office, Brownton PD, Glencoe PD, Wnsted PD, and the Meeker County Sheriffs Office. BOARD ACTION REQUESTED: I Recommend approval Fiscal Impact: Funding Source: MN Dept of Public Safety FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: RESOLUTION AUTHORIZING EXECUTION OF AGREEMENT Resolution No. 14341 Be it resolved that the Hutchinson Police Department enters into a grant agreement with the Minnesota Department of Public Safety, for traffic safety enforcement projects during the period from October 1, 2014 through September 30, 2016. Police Chief Daniel Hatten of the Hutchinson Police Department is hereby authorized to execute such agreements and amendments as are necessary to implement the project on behalf of Hutchinson Police Department and to be the fiscal agent and administer the grant. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA. Adopted by the City Council this 28th day of October, 2014 Mayor City Administrator HUTCHINSON CITY COUNCIL City �f( "l Request for Board Action7AL Agenda Item: Resolution 14342 - Special Assessment Certification to the County Department: Finance LICENSE SECTION Meeting Date: 10/28/2014 Application Complete N/A Contact: Andy Reid Agenda Item Type: Presenter: Reviewed by Staff ❑ Consent Agenda Time Requested (Minutes): 1 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OF AGENDA ITEM: Attached is the annual certification of special assessments to be sent to McLeod County for collection in 2015. The list includes the current year of each assessment roll along with unpaid water, sewer utility bills and/or weed removal bills. BOARD ACTION REQUESTED: Approve resolution number 14342 for special assessments to be certified to the County. Fiscal Impact: $ 0.00 Funding Source: FTE Impact: 0.00 Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: 10th 10th 1 st 1 st 1 st 1 st 1 st 10th 1 st RESOLUTION 14342 ECIAL ASSESSMENTS CERTIFICATION E CITY OF HUTCHINSON TO THE COUNTY OF MCLEOD BE IT RESOLVED BY THE CITY COUNCIL OF HUTCHINSON, iat the following embraces unpaid assessments levied by the City Council Hutchinson, Minnesota, under Statutes Sec.429.011 to 429.111 for the mous assessments of the City of Hutchinson, to be levied and assessed upon e properties as listed for the following purposes for the current year, and that copy be sent to the County Auditor -Treasurer of said McLeod County, Minnesota: TERMAIN AND SANITARY SEWER allment of 10 yr assessment Roll#5088 allment of 9 yr assessment Roll#50708 I SEWER ent of 10 yr assessment ent of 10 yr assessment ent of 9 yr assessment ent of 10 yr assessment ent of 10 yr assessment ent of 10 yr assessment ent of 10 yr assessment STREET IMPROVEMENTS installment of 10 yr assessment installment of 9 yr assessment installment of a 6 yr assessment installment of 10 yr assessment Deferred Assessments installment of 10 yr assessment installment of 10 yr assessment Deferred Assessments installment of 10 yr assessment installment of 10 yr assessment installment of 10 yr assessment installment of 10 yr assessment installment of 10 yr assessment installment of 10 yr assessment installment of 10 yr assessment installment of 10 yr assessment installment of 10 yr assessment installment of 10 yr assessment installment of 10 yr assessment installment of 10 yr assessment installment of 10 yr assessment installment of 10 yr assessment NK SANITARY SEWER Ilment of 10 yr assessment Ilment of 10 yr assessment Ilment of 10 yr assessment Ilment of 10 yr assessment Rol I#5072 Rol I#5079 Roll#50798 Rol I#5087 Rol I#5089 Rol I#5059F Rol I#5090 Rol I#5074 Rol I#5080 Roll #5074A Rol I#5093 Rol I#5093A Rol I#5094 Rol I#5096 Rol I#5096A Rol I#5097 Rol I#5098 Rol I#5099 Roll#5101 Roll#5102 Roll#5103 Roll #5104 Roll #5105 Roll#5107 Roll#5108 Roll #5109 Roll #5110 Roll #5110A Roll #5110C Rol I#5075 Rol I#5082 Rol I#5092 Roll#50758 STREET PARKINGISIDEWALK lment of 9 yr assessment Roll#5076A lment of 10 yr assessment Roll#5100 lment of 10 yr assessment Roll#5106 lment of 10 yr assessment Rol l#5110B I WATER ent of 10 yr assessment Rol I#5085 08-01 Watermain, Sanitary Sewer 04-03 Let 3 04-04 Storm Sewer 06-01 Storm Sewer 06-01 Storm Sewer 08-02 Storm Sewer 08-05 Storm Sewer 02-18/02 Storm Sewer 09-03/3 Strom Sewer 05-04 & 05-05 Sidewalk & Street Lights 05-04/05-05 Concrete Side walk 05-04 & 05-05 Sidewalk & Street Lights 10-01 Adams St 10-01 Adams St 10-02 Sherwood St SE extension 11-04 Let 3 PMP James, Kouwe, Water 11-04 Let 3 PMP James, Kouwe, Water 11-01 Let 1 School Rd NW 11-02,03 Let 2 Industrial Blvd 11-05 Let 4 PMP Jackson, Roberts, Bradford, others 12-04 Let 3 PMP Ash, Oak, Maple, Northwoods 12-01 Let 1 5th Ave NW 12-09 Let 8 Les Kouba Parkway & Lind St 13-03 Let 3 PMP Grove, Brown, Glen, Franklin, Division 13-01 Let 1 Jefferson St 13-03 Let 3 Milwaukee & Miller 14-02 Let 2 Lynn Rd 14-01 Let 1 Jefferson St(Oakland to Century) 14-03 Let3 PMP Dale, Freemont, TH 15 Service Rd 14-03 Let 3 Reclaim/ML/OL 14-03 Let 3 Reclaim/ML/OL 05-10 Trunk & Lateral Storm Sewer 06-03 Lateral Storm & Sewer 09-04/4 Lateral Water Main 05-01 Trunk & Lateral Storm Sewer Plaza 15 parking lot 11-06 Let5 Plaza 15 parking lot 13-10 Let 10 Parking lots 14-03 Let 3 Parking Lot 08-04 SW project G:WSSESSMENTS\2014 Assess ments\2014 CERTIFICATION RESOLUTION DEFERRED ASSESSMENT ROLLS ACTIVATED FOR COLLECTION 10th installment of 10 yr assessment Roll#281 B 1992 Water Main 10th installment of 10 yr assessment Roll#293D 1994 Storm Sewer 10th installment of 10 yr assessment Roll#3038 1995 Storm Sewer 4th installment of 5 yr assessment Roll#5082A 06-03 Let 3 3rd installment of 10 yr assessment Roll#5059H 02-18 Let 9 Jefferson St 2nd installment of 5 yr assessment Roll#5087A 08-02 Let 2 Maple St BE IT FURTHER RESOLVED: ALL THESE UNPAID BILLS TO BE CERTIFIED TO 2015 TAXES COLLECTION IN 2015. Unpaid water, sewer bills, weed cutting, snow removal and tree removal services to be certified to taxes CITY PROPERTY ID # ADDRESS AMOUNT COUNTY PID # 06-116-29-05-0350 338 4TH AVE SW $ 83.28 23-050-4160 06-116-29-12-1050 746 BROWN ST SW $ 17.35 23-145-0650 31-117-29-14-0310 126 FRANKLIN ST NW $ 534.53 23-056-2880 06-116-29-11-0930 805 FRANKLIN ST SW $ 611.00 23-151-0040 06-116-29-12-0270 583 GROVE ST SW $ 98.65 23-143-0370 06-116-29-14-0332 902 HASSAN ST SE $ 109.04 23-154-0490 06-116-29-03-0080 25 JEFFERSON ST SE $ 51.60 23-050-0380 06-116-29-03-0980 234 JEFFERSON ST SE $ 246.19 23-050-2080 07-116-29-03-0460 1085 RANDALL RD SE $ 271.76 23-160-0290 01-116-30-01-0180 625 HARMONY LN SW $ 222.11 23-112-0090 01-116-30-16-0300 964 HWY 15 S $ 80.73 23-164-0040 10-116-30-08-0840 1844 ISLAND VIEW CIR SVA $ 51.60 23-454-0150 10-116-30-08-0850 1852 ISLAND VIEW CIR SVA $ 51.60 23-454-0160 01-116-30-15-0410 955 KEITH ST SW $ 379.88 23-394-0010 01-116-30-02-0440 849 LEWIS AVE SW $ 18.22 23-116-0170 01-116-30-07-0560 966 LEWIS AVE SW $ 51.60 23-172-0070 10-116-30-01-1040 1800 SCENIC HEIGHTS CT $ 51.60 23-435-0100 10-116-30-01-1030 1803 SCENIC HEIGHTS CT $ 51.60 23-435-0090 10-116-30-01-1020 1811 SCENIC HEIGHTS CT $ 51.60 23-435-0080 10-116-30-01-1010 1819 SCENIC HEIGHTS CT $ 51.60 23-435-0070 10-116-30-01-1070 1824 SCENIC HEIGHTS CT $ 51.60 23-435-0130 10-116-30-01-1000 1827 SCENIC HEIGHTS CT $ 51.60 23-435-0060 10-116-30-01-1080 1832 SCENIC HEIGHTS CT $ 51.60 23-435-0140 10-116-30-01-0990 1835 SCENIC HEIGHTS CT $ 51.60 23-435-0050 10-116-30-01-0980 1843 SCENIC HEIGHTS CT $ 51.60 23-435-0040 10-116-30-01-0970 1851 SCENIC HEIGHTS CT $ 51.60 23-435-0030 31-117-29-09-0620 205 5TH AVE NE $ 43.00 23-056-0240 31-117-29-02-0350 165 10TH AVE NE $ 341.46 23-106-0350 06-116-29-07-0720 542 ADAMS ST SE $ 25.58 23-050-4940 31-117-29-09-0020 617 BLUFF ST NE $ 368.20 23-096-0020 36-117-30-11-0200 486 CALIFORNIA ST NW $ 144.35 23-310-0110 36-117-30-06-0310 791 CALIFORNIA ST NW $ 139.35 23-300-0250 02-116-30-02-0011 1330 DELAWARE ST NW $ 129.60 23-002-0150 06-116-29-02-0460 206 ERIE ST SE $ 233.44 23-050-1780 06-116-29-07-0470 446 ERIE ST SE $ 600.15 23-050-3590 31-117-29-10-0330 531 MAIN ST N $ 15.95 23-063-0050 31-117-29-07-1160 99 MCLEOD AVE NE $ 507.99 23-088-0610 36-117-30-02-0270 900 N HIGH DR NW $ 1,589.38 23-309-0030 31-117-29-12-0370 455 WATER ST NW $ 51.60 23-056-1030 31-117-29-12-0360 465 WATER ST NW $ 311.60 23-056-0990 31-117-29-01-0070 1005 MAPLE ST NE $ 380.00 23-238-0014 Steven W. Cook, Mayor Marc A. Sebora, City Administrator Adopted by the City Council this 28th day of October, 2014 HUTCHINSON CITY COUNCIL City �f( "l Request for Board Action7AL Agenda Item: Consideration of Ordinance No. 14-734 - Amending Section 112.056 Department: Administration LICENSE SECTION Meeting Date: 10/28/2014 Application Complete N/A Contact: Marc Sebora Agenda Item Type: Presenter: Marc Sebora Reviewed by Staff ❑ Consent Agenda Time Requested (Minutes): 0 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OF AGENDA ITEM: At the last two City Council meetings, the Council has reviewed Ordinance No. 14-734, an ordinance amending Section 112.056 of the Hutchinson city code. The amendments to this ordinance allow for various ways for the City Council to grant permission for alcoholic beverages to be consumed or possessed. By amending the ordinance in this fashion, it may assist with requests made from individuals and businesses who wish to use public property for the service of liquor. BOARD ACTION REQUESTED: Approve second reading and adoption of Ordinance No. 14-734. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: ORDINANCE NO. 14-0734 AN ORDINANCE AMENDING SECTION 112.056 OF THE HUTCHINSON CITY CODE PERTAINING TO RESTRICTIONS OF OPEN CONTAINERS The City Council hereby ordains: § 112.056 OPEN CONTAINERS RESTRICTED. (A) Except when authorized through a liquor license, franchise or other permission granted by the City Council, it is unlawful for any person to consume, or possess in an unsealed container, any alcoholic beverage on or in any: (1) City park between the hours of 10:00 p.m. and 8:00 a.m.; (2) Street; (3) Public property; (4) Private parking lot to which the public has access; or (5) Any business not licensed to sell alcoholic beverages , &ieept en premises when and where per-missien has been speeifieally gr -anted er- lieensed by the Getineil. (B) Provided, that this section shall not apply to the possession of an unsealed container in a motor vehicle when the container is kept in the trunk of that vehicle if it is equipped with a trunk, or kept in some other area of the vehicle not normally occupied by the driver or passengers, if the motor vehicle is not equipped with a trunk. For the purpose of this section, a utility or glove compartment shall be deemed to be within the area occupied by the driver or passengers. ('89 Code, § 5.17) Penalty, see § 10.99 Adopted by the Hutchinson City Council this 28th day of October, 2014 ATTEST: Steven W. Cook, Mayor Marc A. Sebora, Interim City Administrator HUTCHINSON CITY COUNCIL City �f( "l Request for Board Action7AL Agenda Item: Consideration of Ordinance No. 14-735 - Amending Section 112.025 Department: Administration LICENSE SECTION Meeting Date: 10/28/2014 Application Complete N/A Contact: Marc Sebora Agenda Item Type: Presenter: Marc Sebora Reviewed by Staff ❑ Consent Agenda Time Requested (Minutes): 0 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OF AGENDA ITEM: At the last two City Council meetings, the Council has reviewed Ordinance No. 14-735, an ordinance amending Section 112.025 of the Hutchinson city code. Ordinance Number 14-0735 eliminates the requirement for liquor to be served in a building or structure and adopts the language that is contained in state law that allows licensing of a "space" that is "compact and contiguous". Again, this would allow more flexibility for the City Council in granting permission for the service and consumption of alcohol beverages. BOARD ACTION REQUESTED: Approve second reading and adoption of Ordinance No. 14-735. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: ORDINANCE NO. 14-073 5 AN ORDINANCE AMENDING SECTION 112.025 OF THE HUTCHINSON CITY CODE PERTAINING TO LICENSED PREMISES The City Council hereby ordains: § 112.025 PREMISES LICENSED Unless expressly stated therein, a license issued under the provisions of this chapter shall be valid only in the for a space that is compact and contiguous situated on the premises described in the license, and all transactions relating to a sale under the license must take place on the licensed premises. It is the responsibility of the license holder to advise the City Council of any substantial remodeling of the premises, including but not limited to any enlarging, alteration or extension of the premises. ('89 Code, § 5.07) (Am. Ord. 98-217, passed 2-10-98) Adopted by the Hutchinson City Council this 28th day of October, 2014. ATTEST: Steven W. Cook, Mayor Marc A. Sebora, Interim City Administrator HUTCHINSON CITY COUNCIL City �f( "l Request for Board Action7AL Agenda Item: Consideration of Preliminary/Final Plat and Site Plan Review 1450 Montreal St. Department: Planning LICENSE SECTION Meeting Date: 10/28/2014 Application Complete N/A Contact: Dan Jochum Agenda Item Type: Presenter: Dan Jochum Reviewed by Staff ❑ Consent Agenda Time Requested (Minutes): 5 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OF AGENDA ITEM: The applicant has submitted a preliminary and final plat on the property previously known as Menard Addition. The plat's name is proposed to be changed to Menard Third Addition. The preliminary and final plat consists of two lots. The proposed Menard Third Addition plat is a re-plat of a portion of the original Menard Plat. Lot 1 is 1.77 acres and is the planned site of the Goodwill Store. Lot 2 is reserved for future development and is 1.03 acres. The lots in the C-4 district are required to be at least 1 acre in size; both of these lots meet that requirement. Parkland contribution will be required at the time of building permit application. The preliminary and final plat as shown, appear to meet all of the City of Hutchinson Zoning Ordinance and Subdivision Ordinance Requirements. Utilities are stubbed into the easterly side yard of both proposed lots. This is due to the previous subdivision design. Storm sewer lines are in place and the drainage flows to the existing stormwater pond to the southwest. The proposed use on the northern lot will be a Goodwill retail store and donation center. The site plan appears to meet all applicable requirements. Staff recommends that 6 parking stalls be removed from the site to create more green space and that the size of the parking stalls on the perimeter are reduced to 8.5'x 18.5' to create more green space. Lastly, staff recommends a 2 foot berm and 2 rows of trees coniferous trees are added between the loading dock area and the drop off access aisle. The Planning Commission agreed with staff and added these items as conditions for project approval. Matt Popple, of Fendler Patterson Construction spoke on behalf of the developer and gave a general overview of the project to the Planning Commission. No other members of the public were in attendance or spoke at the public hearing. Please let me know if there are questions on this item. BOARD ACTION REQUESTED: Approval of preliminary and final plat and site plan. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: DIRECTORS REPORT - PLANNING DEPARTMENT To: Hutchinson Planning Commission From: Mike Schumann, Dolf Moon, Mike Babe, Dave Hunstad, Lee Miller, Jeff Page, Jean Ward, Judy Flemming, John Webster, John Olson, Lenny Rutledge, Kent Exner, John Paulson, Marc Sebora, Dan Hatten, Dan Jochum, Andrea Schwartz, and Kyle Dimler (Persons in attendance at Planning Staff Meeting in bold) Date: September 30, 2014, for October 21, 2014, Planning Commission Meeting Application: CONSIDERATION OF PRELIMNARY AND FINAL PLAT OF MENARD THIRD ADDITION. Applicant: VINCENT DRIESSEN C/O THE DRIESSEN GROUP, LLC, APPLICANT MENARD, INC., PROPERTY OWNER PRELIMINARY PLAT, FINAL PLAT, AND SITE PLAN REVIEW OF MENARD THIRD ADDITION Brief Description The applicant has submitted a preliminary and final plat on the property previously known as Menard Addition. The plat's name is proposed to be changed to Menard Third Addition. The preliminary and final plat consists of two lots. rj EDMONTON AVE S E Preliminary and Final Plat Menard Third Addition Planning Commission — 10-21-14 Page 2 Existing Zoning: Property Location: Lot Size: Existing Land Use: Adjacent Land Use And Zoning: Comprehensive Land Use Plan: Zoning History: Applicable Regulations: Transportation: Physical Characteristics: Preliminary and Final Plat: GENERAL INFORMATION C-4 (Fringe Commercial District) 1450 Montreal St. SE 2.80 Acres Vacant C-4 Zoning District lots C-2 (Automotive Service Commercial District) and C-4 (Fringe Commercial District) Commercial Land Use Originally platted as Ravenwood 11/16/1999 in the R-3 Zoning District City Code of Ordinances Sections 153.35 — 153.51 The property will be accessed off of Montreal St. SE. The subdivision had been previously developed for commercial land use and has not been built on. The current grading on the site will work well for the proposed development. The proposed Menard Third Addition plat is a re -plat of a portion of the original Menard Plat. Lot 1 is 1.77 acres and is the planned site of the Goodwill Store. Lot 2 is reserved for future development and is 1.03 acres. The lots in the C-4 district are required to be at least 1 acre in size; both of these lots meet that requirement. Parkland contribution will be required at the time of building permit application. The preliminary and final plat as shown, appear to meet all of the City of Hutchinson Zoning Ordinance and Subdivision Ordinance Requirements. Utilities are stubbed into the easterly side yard of both proposed lots. This is due to the previous subdivision design. Storm sewer lines are in place and the drainage flows to the existing stormwater pond to the southwest. Site Plan: The City Council deems it is necessary and appropriate to require site plan approval of developments in certain zoning districts to preserve and promote attractive, well-planned, stable urban conditions. The following is an overview of site plan considerations. Building: Preliminary and Final Plat Menard Third Addition Planning Commission — 10-21-14 Page 3 The building is proposed to be 17,497 square foot, one-story flat roof structure. The building will be one-story in height with a parapet wall extending above the flat roof approximately 5 feet to screen all rooftop equipment. Refer to attached building elevations for the draft building elevation. The building is proposed to have a donation center, which will allow patrons to donate goods to the store by entering an enclosed area on the south side of the building for waiting customers, along with a reliever route in case someone needs to exit prior to making a donation. The proposed building would meet all applicable setbacks as noted below, as well as all other Zoning Ordinance requirements. Parking/Access/Circulation 110 parking spaces are shown on the site plan. The zoning ordinance requires 5.5 spaces per 1,000 square feet of building which equates to 96 spaces being required. Staff believes there is an opportunity to eliminate some parking spaces to create more green space on the lot. Staff suggests eliminating 6 parking stalls (3 at NE corner and 3 at SE corner) to allow for more green space, which will also create less stormwater runoff from the lot. The parking spaces shown on the site plan are 8.5' x 20'. Staff suggests that the spaces along the perimeter of the lot be reduced to 8.5' x 18.5'. The reason for this is that the front of the cars can overhang into the grass area along the perimeter of the lot. The overhang allows for the same size vehicle to fit into the 18.5' parking space. There will be two access points off of Montreal Street SE for this project. The southerly access point is 24 feet wide and the northerly access point is 30 feet wide to accommodate tractor -trailer deliveries/pick up. Ingress and egress to the site appears very adequate. Circulation of the site appears to be generally acceptable. It should be noted that there is a loading dock and trash compactor area on the east side of the building. Staff understands there will be a semi -trailer at the loading dock continuously. The semi -trailer is needed for items donated that will be brought to other locations. There is extensive screening planned for this area. Landscaping and Lighting: The Zoning Ordinance requires tree planting at a rate of 1 tree per 800 sq. ft. of landscaped area. There is currently 14,487 square feet of landscaped area on the site. This equates to 18 trees required. There are 11 coniferous trees planned and 7 deciduous trees planned. The trees species are acceptable to staff at this point. As noted above, staff recommends reducing the parking stalls by 6 spaces and also reducing the size of parking stalls along the perimeter of the lot. This will increase the amount of green space on the lot. In addition, staff recommends that a small berm be built between the drop off access aisle and the building to further help screen the semi -trailer and trash compacter from view. In addition, to the berm staff recommends that two rows of coniferous trees be added to assist with screening. The City Arborists will review the final landscape plans and ensure proper soil amendments are completed. Staff reviewed a detailed photometric lighting plan and it appears to be acceptable. Per the Zoning Ordinance, lighting installed must be indirect and shall not produce glare on adjacent properties or public right of ways. Stormwater Management: Following the final construction plan submittal and City review the City Environmental Specialist will provide comments that need to be addressed prior to building permits being issued. Signage: Preliminary and Final Plat Menard Third Addition Planning Commission — 10-21-14 Page 4 Building signage would be as shown on the attached building elevation. In addition, a pylon sign is proposed for the northwest corner of the lot. The proposed signage appears to meet ordinance requirements; however each sign will be reviewed in detail when sign permits are applied for. Final Plat Review Criteria After the submittal of the final plat, the Planning Commission shall recommend approval or disapproval of the plat. Failure of the Planning Commission to act upon the final plat shall be deemed a recommendation of approval of the plat. If plat disapproval is recommended, the grounds for disapproval shall be stated in the records of the Planning Commission. A plat shall not be recommended for approval unless it: (a) Conforms to the preliminary plat; (b) Conforms to the design standards set forth in this chapter; (c) Conforms to the adopted Comprehensive Plan; and (d) Is in accordance with all requirements and laws of this state. Recommendation: Staff recommends approval of the preliminary and final plats subject to the following conditions. 1. The applicants shall record the final plat with McLeod County prior to any building permits being issued. 2. The proposed building and site improvements shall comply with the standards of the C-4 district and the Zoning Ordinance, as well as all other City regulations. 3. There must be emergency service access around the building. Fire hydrants must be located no farther than 400 feet from the building. 4. Exterior refuse collection area must be fully screened. 5. Each lot will require a separate utility service. 6. Moving or relocating utility services will be at the property owner's expense. 7. Applicant must coordinate with Hutchinson Utilities to ensure each lot can be properly served with gas and electric. If necessary, easement will need to be development to accommodate these utilities. 8. SAC/WAC charges will be due at the time building permits are issued. 9. A parkland contribution fee will be collected with the building permit. Fee amount will be determined by staff and listed in the Subdivision Agreement. 10. A subdivision/developers agreement will need to be developed between the City and the property owner prior to the City's execution of the Final Plat document. 11. Any past due assessments will be addressed in the subdivision agreement. 12. Applicant is to reduce total number of parking spaces by 6 to provide additional green space on the proposed site. 13. Applicant is to reduce the size of parking stalls around the perimeter of site to 8.5'x18.5'. The extra 1.5' is to be added green space. 14. Site runoff calculations must be submitted for approval by City Engineer prior to any building permits being issued for this site. 15. Applicant must provide for the installation of a berm and 2 rows of trees large enough to provide adequate screening of the loading dock area prior to issuing a Certificate of Occupancy on this site. 16. The City of Hutchinson must be notified 7 days prior to any roadway or utility work that is going to be done within the City right of way. If the proposed work impacts roadway traffic flow, a traffic plan must be submitted to the City Engineer for approval. All roadway work must be fully completed to City standards within 10 calendar days of the original disturbance. If the work isn't fully completed within Preliminary and Final Plat Menard Third Addition Planning Commission — 10-21-14 Page 5 10 calendar days, the City reserves the right to have the work completed and invoice/assess the property owner for all associated costs. e � z:� C..I +•-7 sm�. �r'A c Jif .'4 '] EA C 0 N S T FZ U C T 1 0 N Project Narrative Goodwill 1.78 Acre Site Hutchinson, Minnesota Site Plan, Preliminary Plat, and Final Plat Approval September 17, 2014 Introduction RECEIVED H!11 -1 J '! City of Hutch n,e Planning, Zoning & Building Departments On behalf of Goodwill Easter Seals of Vlinnesota,'Flie Dricsscn Group,.. LLC is submitting a site plan application, preliminary plat application, and final plat application for the proposed project Iocated northwest of the I Iontreal St. and Edmonton rive intersection, Goodwill leas 30 -i - locations around the Twin Cities such as, Woodbury, Maple Grove; Champlin, Minnetonka, St, Louis Park, Rogers, Lakeville, and Eacan to name a few. Goodwill has elected to pursue a location within the City of Hutchinson. Goodwill t L'ast.er Seals Viinnesota has been a strong contributor to the development of Minnesota's tivorkforce for more than 90 years. Goodwill f Easter Seals assist people with barriers to education, employment and independence in achieving their goals. The Goodwill comprehensive workforce development model helps clients: -Prepare for work -Maintain employment -Train for Employment -.advance in careers -Obtain Jobs -Connect to other community resources Project Narrative Goodwill, Hutchinson, IVIN September 17, 2014 Page 1 of 4 4839 Nest 12=41' Slreet SavageMN 55378 . Lic. h'B(A 11231. Tel. 952-K90-4364 Fax 952-890-2916 www.fandlerpatterson.com E From 30+ locations, Goodwill / Easter Seals 900 employees provide statewide services to Minnesotans with disabilities and disadvantages. Goodwill provides Maid worts experience in its retail stores and corporate headquarters. In addition to the career workforce development model, they offer English Language Learning, mathematics, parenting and life skills classes. Goodwill also hast discussion groups devoted to the specific needs of the individuals it serves, Goodwill / Easter Seals industry skills training programs, developed in partnership with Minnesota businesses, provide CurTiClIt rn-based, hands-on training. Current programs serve the automotive, banking i finance, call center. construction and retail industries. Participants acquire soft and technical skills to get jobs and advance in their careers. Goodwill / faster Seals long-term follow-up and support services help both participants and employers. Goodwill's community resources staff provides housing resources, retail vouchers for clothing, medical equipment loans and one-on-one assistance. In 2013, Goodwill / Easter Seals served 22,165 individuals, provided 35,391 services, made 880 job placements with 113 individuals advancing in their careers and generated over 17 million in taxable income by participants who gained employment, Use The tenant will utilize the facility for retailing purposes typically within the hours of operation being Monday -Friday from. 7:30 am. to .l 0:00 p.m. Saturday from 8:30 a.m. to 7:00 p.m. and Sunday from 10:00 a.m. to 7:00 p.rn. These are standard hours of operation and do not take into account various holiday hours which most retailers adjust slightly to better serve the community. Tile proposed tenant would employ up to 30 employees along with 8-12 mission participants which are engaging in career training programs. The donation center will allow patrons to donate goods to the store by entering an enclosed area on the south side of the building. Adequate stacking space for the vehicles is provided along the cast side of the building fol' waiting customers, along with a reliever route in case someone needs to exit prior to making a donation. `I"he donation process is handled within the structure, and in the rare event any articles are left on the premises after hours they will be removed first thing in the mornine. Project Narrative Goodwill, Hutchinson, MN September 17, 2014 Page 2 of 4 4839 West 1.24"" Sues t Savage, MN 55378 m Lie, AB.;Oli239 . Tel. 952-890-4364 Fax 952-490-2916 www . f end l e r p a t t e r s o n, c o m tv L M CONS TRUCT9ON Site The proposed prgject consists of constructing a 17,197 square foot retail facility on a 1.78 acre site that is being platted. The property is currently zoned as C-4 Fringe Commercial. The property is bordered by Montreal Street on the east and Trunk Highway IS on the west. Commercial pat -eels exist on the north and south sides. The site will have parking on the north, west, and south sides of the store. A donation drop off will area will be, located along the south side of the building that will be fully enclosed with garage doors and be part of the inain structure. A loading dock and trash compactor are located in the rear of the building, on the east side. City cede requires that 5.5 parking stalls be provided per 1,000 SF of building. This equates to 96 required parking stalls. The proposed site provides 110 parking stalls, which meets City Code. Storm water will be collected through catch basins located within the curb line, a roof drain, and a trench drain.. and will be connected to an 18 -inch RCP storm sewer stub located east of the building oft Montreal St. The storm water is then conveyed to a regional pond located cast of the site, which wiii be used for treatment. The water service will be brought into the building via. a 6 - inch DIP water line, with an internal split for fire and domestic. The water line will connect to an 8 -inch water stub located east of the building and a reducer will be utilized at the connection. An existing; fire hydrant located on the northeast corner of the site will be relocated to the nearest green space area provided. A 6 -inch sanitary sewer service will also connect to an existing stub located east of the building. Landscapin City code requires that I tree be planted per 800 SF of landscaping area. This equates to 18 trees required. The landscape plan provides 1 1 deciduous trees and 7 coniferous trees, totaling 18 trees that meet the City requirement. Per conversations with the City Arborist, only recommended tree species were used with this landscape plan. Lighting Site lighting is in accordance with Chapter 154 of the City{ ode. LEU fixtures are proposed on the building and metal haloid Fixtures are proposed in the parking lot. All pole mounted lights are on 20 -foot poles with 3 -foot lyases to for a maximum height of 23 -feet. All fixtures are Full cutoff' in accordance with the lighting code. Project Narrative Goodwill, Hutchinson, MN September 17, 2014 Page 3 of 4 4839 Wcst 12411, Street Savage, MN 55378 a t...ie. i'BCW 1239. Fel, 952-890-4364 Fax 952-890-291. (i w w w. f e n d I e r p a t t e r s o n. c o m Pa 4ir-4o i CONSTRUCTION Arebitecture The proposed design for the Goodwill Store incorporates architectural elements and finishes from a typical Goodwill prototype building. I'he ne-w building's exterior is proposed to be a combination of a face brick, EIFS (Exterior Insulation Finish System), and colored single score CNMU fields and accent elements. Columns with decorative EIFS cornices are used to define the main entry to the facility. The proposed finishes are believed to meet the standards applicable to all commercial districts v thin the City of 11tltchinson. All TIVAC units oil the facility are proposed to be screened by the Structures parapets. Parapets are designed high enough to screen all equipment. siana2 Under the current terms of the proposed lease, signage is the responsibility of the "fenant. A pylon sign is currently proposed to be located at the NW corner of the site, and will provide good visibility from Highway 15 and the retail buildings north of the site. The signage will meet the requirements listed for signs in Chapter 154 of the Hutchinson City Code. Closure The applicant respectfully requests the City of Hutchinson to support the request for the proposed Goodwill project. Goodwill looks forward to joining your co►rtrnunity with a Goodwill stare and assisting residents evith Its mission, Project Narrative Goodwill, Hutchinson, MN-�- September 17, 2014 Page 4 of 4 1539 West 124" Stroct Savage, MN 55378 � Lie, X'BC011239 .. � Tel. 953-890-4364 Fax 952-890-2916 w w w. f e n d d e r p a t t e r s o n, c 0 m 1 FdC7 Cl NAYmm 3 souTH �L�vArlarl SIGNAGE BY TENANT PREFINISHED FLUSH SEAN METAL PANEL CANOPY WEST ELEVATION City of Hutchinson illainfi�Zartmen ;suVVding 17eC PREFINISHED METAL CAP FLASHING EIFS COLOR 1 EIFS DETAIL - COLOR 2 SINGLE SCORED BURNISHED BLOCK - COLOR 2 UTILITY FACE BRICK COLOR T 1 " INSU LATER ALUMINUM GLAZING "LEGEND a,...., = DEVEt.Dametrr sumawutr =DEVELOPMENT NOTES =P(E1' NOTES ,w.,uo..w.moou v bald( �asw w �irNeO°es$�,.r Client THE QRIESSEN GROUP, LLC & I"rendler APatterson Project GOODWILL Location MN HnwwU��T�CHINSON, .1�Wlf'IAGt 3TFffi• foenpnpN. gvENNE Certification Summary w...... .ate ..w.... w<. ... r w. Revision History Hn wv e. �erriR«�� Sheet Title SITE PLAN Sheet No. Revision C3.01 Project No. PEN20162 �z.wr.c armors � rE'F WrE$ tttraw=uwYp uAos V' X1+2. mx Mcrw. mwaswre.e —CITY LANDSCAPE CODE rr �A.e �.Me.r.. =�.erara a-xlw au,. wn �e>s=. w r..rxrora. . Lr... e..eoosr. er l+�Mry•aArn' rrn.n s.wo.a �-�• I lOiAL rRdWfmuwO}fvE'WrS: * r r.w/r _wM M�. iln Ory, wryorN . ..:• t, e,k5wbatgk rex=reeeromw ruirrb ass:aara Client THE DRIESSEN GROUP, LLC & M.' Project GOODWILL Location HUTCHINSON, MN -M 6 EOMONTM AVF E Certification -A Summary Revision Fistaryr. , Sheet Title LANDSCAPE PLAN Sheet No. Revision L1.01 EDMONTON AVENUE SE 5 q 1 Z MENARD THIRD ADDITION PRELIMINARY PLAT Lal I. rhd 4, Yn.W #QWMm , aeewara w IN laaueea pet �wreR. €urpl aw ara�n iy3,�i lap al >YC L.' 1, Iliwd Uoa , Ywwaow TOTAL AREA • 121661 Square Fa.r IOMY Lar RppMMRlNIB 2.80 Acca. OW ER. NKOd, Yrc, SURA£€OR, ,la}r Rgno OEAiELOMI Th. BrN.ran a nup P.IMnm Land Svmv lnp, IM. 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CSurvy Rend.+, eleR..d Luny, Mkm.Saeµ rr ,� 4� J o LS, y«.s �y M•.ei ni00'�r'dK C gNA'1 ALL. Ff114pK8 87 MSC FAMMS: T 0—,L" kr o M.—e[reer ", foe — d Ib. fdk,Nep wenToO 4+a.e.y SAMMM in M,. CauMY M IIcL.ad, St d Mnmwta, b NL I. p k Z MCNMp ADMOK wwOm M LM r.crrd.d c,w khmO. Cuegt tRS SavlX 15].11 h t d WA Sol 1. S w Ca my Y.an c.waa tln xn•• k •e IMnbRd k �pk1q • uff3uRD TRi4 AOO,IpK. mW don Mrabl bRm1e b MRS [+Ark Sx 4u14 ue. wR.v Vw e41enAS,t. fa d•N^aP wk WRl' Mme as epa.n an iM ebS ks rlbnn Nnrwl .p8 lawrd. Nc„ a w.am..n ruraar.upn, IeS ee.ne Non e/S.v,b to M NryW b/ to CrA wren !hh _, dry a 20-- .�. h� A' R. STATC d =a CF TR. io• Mh, ++14 t •e km.l.d•H WM r Th do M 2._ 4Y a l+w ccrawaklx. - M Mrrierd. Fie.. 4 rMmv.e .oreeraww, m b~ sq a ,S Nem• ftha Raey vou., cewy. Irl Ce•NM.i4n .nPln. I. JSffrry R. Aeu.[Si do Rer.Pl c.rnlp ,kal rya. ppq .'el eav4r.a nY rt•. w uMn dry dFolL neoru4'an: inl! am a wy L'-[+m.a conn 6e.S.ypr In exe Rete a Wne.nta; ,Art HM1h Pl.e h e rem[, [apeenfaSi'wn d YN 6dn/ory yrmY• W, <ii ,nefRrmoercul dNa aid hn.la ve eomx;Ly ea%melH m ryM. AkRL uwe N eigwurrtSan d.eeCW aw IIi. •kt Ivrl peSn, er y,n M w•re[ny nt •RS{n aa. erar, RKK al rat« b.[� a end roe WSl w!'wi M, .tR,.n.gG 5n4Mo. Seel:m 540.01, Subd. ], .. d ure aa.. of ,n'R [oq�e:[e!e ar. Me.rt 4M knehd m Uin pe4 and a� pwke ,rqy en aro..e ane bYN.O m enlS pa, uf.rl MS, Rvu.cn, tk.nS.d L.rA Awry ngae Li.nw N.. T14t4. 5TA' Ci'e.p1 FA M v �m • •.•ww.w lru.uwwl r.r i +mrum.nt .w «ino.ryg-db .+uo .. lRi..� mY of 1lF— nl J.fMY R. Rau.rai O A..M. 1/I •a Fo 1a Fr it IY..1 M.ry S. R.u.,n ..M. a •'- -- Re aau• M1en..ao- � Mi cw..n*ahn mvre. amwn ar, Odra APPn w N Pk—earn• Wm a W Col a wt4h;—, rhm...W. M a m oM,l Vinef, m tN. d ' ar I � TtlS yie! .oe 4Pora+Sd 9ry Ny Cq Cavil a 1Wl� Nb—.WW I wf of-- 2tf ene no+Hl ia.rorn ntii. p.e h ra ao,.pFeri..RR vl rapubem,.M. a. M rau.. lr ua. S,v,uen. seen 50G41 sans i ok, 1 M.W. W. II Ir MI �y A««n.r, u[Iw.d te„nl.. w.e.Ma4 J L---_ r~i.�r ia, 4.io rM .wMr, .,.[ bR, ✓ r.r n..nY aerfly ,Rd te•n eTeMS k.: fpr. Mow fx ab d«[ e.a en ,na oad. 4w N Ards ,Rnmurr, YeLead (.Mt). wM w -- 1 RVS4Y dAry IMI 1M1. 4t4t of MAMA] Mage AOCsigp ru IWd h N. MAw a w C,ayrvp Reow•Sr rm nau6 [,i qti, dry d 2tL� tt _ w[Iwsl �Y, w WnaRae,rl ka. CSurvy Rend.+, eleR..d Luny, Mkm.Saeµ CITY OF HUTCHINSON MCLEOD COUNTY, MINNESOTA RESOLUTION NO. 14336 RESOLUTION ADOPTING FINDINGS OF FACT AND REASONS FOR APPROVAL OF MENARD THIRD ADDITION PRELIMINARY AND FINAL PLATS AND SITE PLAN FOR 1450 MONTREAL ST. SE. FACTS 1. Vincent Driessen, C/O The Driessen Group, LLC, developer, has submitted a preliminary and final plat of Menard Third Addition Preliminary and Final Plat. 2. Menard, Inc. is the current landowner. 3. The subject property is legally described as: Lot 1, Block 2 MENARD ADDITION EXCEPT THE SOUTH 153.71 FEET OF SAID Lot 1, McLeod County, Minnesota. 4. The developer has applied to the City for a 2 lot preliminary and final plat to be known as Menard Third Addition. 5. The Planning Commission met on October 21, 2014 and held a public hearing on the request and considered the effects of the proposal on the health, safety, and welfare of the occupants of the surrounding lands, existing and anticipated traffic conditions, and the effect on values of properties in the surrounding area and consistency with the Comprehensive Plan, and hereby recommends approval of the request subject to the following findings and conditions: a. The applicants shall record the final plat with McLeod County prior to any building permits being issued. b. The proposed building and site improvements shall comply with the standards of the C-4 district and the Zoning Ordinance, as well as all other City regulations. c. There must be emergency service access around the building. Fire hydrants must be located no farther than 400 feet from the building. d. Exterior refuse collection area must be fully screened. e. Each lot will require a separate utility service. f. Moving or relocating utility services will be at the property owner's expense. g. Applicant must coordinate with Hutchinson Utilities to ensure each lot can be properly served with gas and electric. If necessary, easement will need to be development to accommodate these utilities. h. SAC/WAC charges will be due at the time building permits are issued. i. A parkland contribution fee will be collected with the building permit. Fee amount will be determined by staff and listed in the Subdivision Agreement. j. A subdivision/developers agreement will need to be developed between the City and the property owner prior to the City's execution of the Final Plat document. k. Any past due assessments will be addressed in the subdivision agreement. 1. Applicant is to reduce total number of parking spaces by 6 to provide additional green space on the proposed site. m. Applicant is to reduce the size of parking stalls around the perimeter of site to 8.5'x18.5'. The extra 1.5' is to be added green space. Findings of Fact — Resolution # 14336 Preliminary and Final plat Menard Third Addition October 21, 2014 Page 2 n. Site runoff calculations must be submitted for approval by City Engineer prior to any building permits being issued for this site. o. Applicant must provide for the installation of a 2 to 3 foot berm and 2 rows of trees large enough to provide adequate screening of the loading dock area prior to issuing a Certificate of Occupancy on this site. At least 7 coniferous trees are required for this area. p. The City of Hutchinson must be notified 7 days prior to any roadway or utility work that is going to be done within the City right of way. If the proposed work impacts roadway traffic flow, a traffic plan must be submitted to the City Engineer for approval. All roadway work must be fully completed to City standards within 10 calendar days of the original disturbance. If the work isn't fully completed within 10 calendar days, the City reserves the right to have the work completed and invoice/assess the property owner for all associated costs. q. The curb on the site should be reduced from b6 to b4 or b5 based on the developers engineers review. This is to make sure cars can overhang the curb. 6. The City Council of the City of Hutchinson reviewed the request at its meeting on October 28, 2014, and has considered the recommendation and findings of the Planning Commission and hereby does recommend approval of the preliminary and final plat of Menard Third Addition subject to the following findings and conditions: a. The applicants shall record the final plat with McLeod County prior to any building permits being issued. b. The proposed building and site improvements shall comply with the standards of the C-4 district and the Zoning Ordinance, as well as all other City regulations. c. There must be emergency service access around the building. Fire hydrants must be located no farther than 400 feet from the building. d. Exterior refuse collection area must be fully screened. e. Each lot will require a separate utility service. f. Moving or relocating utility services will be at the property owner's expense. g. Applicant must coordinate with Hutchinson Utilities to ensure each lot can be properly served with gas and electric. If necessary, easement will need to be development to accommodate these utilities. h. SAC/WAC charges will be due at the time building permits are issued. i. A parkland contribution fee will be collected with the building permit. Fee amount will be determined by staff and listed in the Subdivision Agreement. j. A subdivision/developers agreement will need to be developed between the City and the property owner prior to the City's execution of the Final Plat document. k. Any past due assessments will be addressed in the subdivision agreement. 1. Applicant is to reduce total number of parking spaces by 6 to provide additional green space on the proposed site. m. Applicant is to reduce the size of parking stalls around the perimeter of site to 8.5'x18.5'. The extra 1.5' is to be added green space. n. Site runoff calculations must be submitted for approval by City Engineer prior to any building permits being issued for this site. o. Applicant must provide for the installation of a 2 to 3 foot berm and 2 rows of trees large enough to provide adequate screening of the loading dock area prior to issuing a Certificate of Occupancy on this site. At least 7 coniferous trees are required for this area. Findings of Fact — Resolution # 14336 Preliminary and Final plat Menard Third Addition October 21, 2014 Page 3 p. The City of Hutchinson must be notified 7 days prior to any roadway or utility work that is going to be done within the City right of way. If the proposed work impacts roadway traffic flow, a traffic plan must be submitted to the City Engineer for approval. All roadway work must be fully completed to City standards within 10 calendar days of the original disturbance. If the work isn't fully completed within 10 calendar days, the City reserves the right to have the work completed and invoice/assess the property owner for all associated costs. q. The curb on the site should be reduced from b6 to b4 or b5 based on the developers engineers review. This is to make sure cars can overhang the curb. APPLICABLE LAW 7. The preliminary and final plat request meets the following standards as required in Sections 153.35 — 153.39 and 153.50 — 153.51 of the City of Hutchinson Municipal Code. CONCLUSIONS OF THE LAW 8. The requested plat is consistent with the comprehensive plan and applicable ordinances. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hutchinson, Minnesota, that the application to issue a two lot preliminary and final plat of Menard Third Addition and site plan is hereby approved. Adopted by the City Council this 28th day of October, 2014. ATTEST: Marc Sebora Steven W. Cook City Administrator Mayor HUTCHINSON CITY COUNCIL City �f( "l Request for Board Action7AL Agenda Item: Amendment to the Fairway Estates Second Addition Subdivision Agreement Department: Legal/Engineering LICENSE SECTION Meeting Date: 10/28/2014 Application Complete N/A Contact: Marc Sebora/Kent Exner Agenda Item Type: Presenter: Marc Sebora/Kent Exner Reviewed by Staff ❑ New Business Time Requested (Minutes): 10 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OF AGENDA ITEM: Per recent discussions with representatives of The Greens development's homeowners association, City Legal and Engineering Departments have drafted an amendment to the Fairway Estates Second Addition Subdivision Agreement to address specific property owner concerns. Please see the attached proposed amendment document for specifics. Also, attached for your information is recent correspondence between this association and City staff. As described and shown within the attachments, what is being proposed has been carefully examined and formulated by City staff with input and timely feedback from this association. Also, please note that the City's approach to this issue and potential circumstances were reviewed by the Resource Allocation Committee. City staff will be available at the City Council meeting to provide further explanation and answer any questions. BOARD ACTION REQUESTED: Approval of Amendment to the Fairway Estates Second Addition Subdivision Agreement Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: $ 0.00 Total City Cost: $ 0.00 Funding Source: Remaining Cost: $ 0.00 Funding Source: 7he QvIele"s" 5omeow"er/s c4ssociAtion 1175 Oakwood Court Hutchinson, MN 55350 September 15, 2014 Marc: We held our Greens' Board of Director's meeting with all seven voting members in attendance, plus our recording secretary and two guest members on Thursday, September 2014. Along with other agenda items, "Results of meetings with City staff and Council members on long-term maintenance concerns" received prominent discussion at the meeting. We led a detailed informational session with the aid of a PowerPoint presentation using the title, The Greens'— Financial Planning Options. The outline was: 1 -Golf Course Road Improvement 2 -Amend City Subdivision Agreement 3 -Road Right -of -Way Plat 4 -Housing Improvement Area (HIA) legislation I will respond to Golf Course Road Improvement in a separate letter regarding the assessment preference to individual property owners, but the discussion was positive and the feeling conveyed was two -fold. First, the road is in need of replacement. Second, the City has tried to be fair in the assessment calculation of footage exposure of the Greens. By formal motion, with no nay votes, the Board passed a resolution to proceed with the development of an amendment to Fairway Estates, Second Addition Subdivision Agreement with the assistance of the City Administrator/City Attorney. The document will reflect what we mutually have agreed to in regard to changes. Before recommendation to the City Council, The President will call a special meeting of the Greens' Board for final approval of the proposed amendment. We are also calling a total membership meeting in October to update homeowners on the potential Golf Course Road Improvement and the progress associated with our meetings with the City of Hutchinson. The third item, Road Right -of Way Plat, received a "thumbs down." It was perceived as a dead end because of all the imposed ordinances and the likelihood of anything positive happening from this expensive and time- consuming process. I feel it only fair to say that there was frustration generated resulting in the resurrection of the original discussion of equity and fairness. At our November Board meeting we always approve the preliminary budget for the next fiscal year, April 1, 2015 – March 31, 2016. We will discuss resolution of these fiscal issues at that time. Although the Board feels good about the cooperation and understanding from City staff to formulate the changes in the Sub -division Agreement, the really big hardship still lingers. The HIA was presented as information. The relevancy is not immediate, but was seen as positive legislation to protect a struggling Association. Marc, please respond to me so I know how you want to proceed with the wording of the amendment. Dick Lennes C July 9, 2014 Dick Lennes & Everett Hantge The Greens' Homeowners Association RE: Development Infrastructure/Services Responsibilities Dear Mr. Lennes & Mr. Hantge: Hutchinson City Center 111 Hassan street SE Hutchinson, MN 55350-2522 320-587-5151/Fax 320-234-4240 This correspondence is in response to your request that the City of Hutchinson review your concerns regarding the responsibilities of the The Greens' Homeowners Association as outlined within the Subdivision Agreement relative to the Fairway Estates Second Addition plat. Following several discussions with you regarding this topic (summarized within the attached `The Greens Association Items Review' document dated March 27, 2014) and the review of your Association meeting informational sheet (attached `The Greens' Homeowners Association' document) by the City's Resource Allocation Committee, the City offers the following feedback regarding your request: • Current and future maintenance/replacement of the roadways, parking areas and driveways within The Greens development appears to clearly be the responsibility of the Subdivider and/or Association per the following statement within the adopted Subdivision Agreement, `It is understood and agreed that all street construction, potential future reconstruction, and maintenance outside of rights-of-way, including snow removal, shall be the responsibility of the Subdivider and/or Association.'. Thus, the items listed on your informational sheet relative to roadway infrastructure should not be addressed by the City. • Contrary to what is noted within the Subdivision Agreement, the City would potentially accept the responsibility of restoring roadway and boulevard areas that are disturbed due to the repair/replacement of underground municipal utilities (sanitary sewer, water main and storm sewer facilities as defined within the Subdivision Agreement). However, until the Subdivision Agreement is formally amended/revised, this approach would be at the discretion of a future City Council. • Any items relative to electrical installations and streetlights should be discussed directly within Hutchinson Utilities Commission representatives to determine if a maintenance/replacement arrangement can be developed. • Contrary to what is noted within your document (`Storm Sewer Drainage' & `Dredging Ponds' items), the City is responsible for storm sewer lines greater than 12" in diameter and the existing ponds (vegetation maintenance, outlet/inlet pipe cleanings, dredging, etc.) located within the established drainage/utility easement areas. • Please note that the City is willing to review the feasibility of administering specific services (leaf vacuuming, mosquito control and potentially others) as City policies/resources allow and subject to the limitations of the existing private roadway geometries. If you have any questions or concerns regarding this matter, please feel free to contact Kent Exner at 320.234.4212 or kexner(cr�,ci.hutchinson.mn.us . Sincerely, Marc Sebora City Attorney (interim City Administrator) Cc: Mayor & City Council Members - Printed on recycled paper Kent Exner DPW/City Engineer The Greens Association March 27, 2014 Items Review 3:00 PM Hutchinson City Center Attendees: Dick Lennes, Everett Hantge, Kent Exner Meeting Agenda 1. Maintenance of Underground Utilities - Per the Fairway Estates Second Addition Subdivision Agreement, it is stated that sanitary sewer and water mains 8" or greater in diameter and storm sewer lines greater than 12" in diameter located within easement areas shall be considered a portion of the municipal system. Thus, the independent sanitary sewer and water services and any secondary drainage lines or drain tiles are the responsibility of the development and/or property owners. Development representatives should consult directly with Hutchinson Utilities Commission to determine ownership/maintenance responsibilities associated with the natural gas and electrical facilities. 2. Maintenance and Improvements of Street/Parking Areas Per the Fairway Estates Second Addition Subdivision Agreement, it is stated that all street construction, potential future reconstruction and maintenance outside of rights-of-way, including snow removal, shall be the responsibility of the subdivider and/or association. As previously discussed, City staff is willing to be a resource in reviewing potential maintenance measures and informing you of the timing Of City street maintenance work so that development representatives could possibly coordinate similar efforts on the developments street/parking areas. In regards to more substantial construction improvements of pavement surfaces, the City could again inform development representatives of similar work occurring within the City. However, due to the definition of a public improvement as interpreted from Minnesota State Statute, the City would not be willing to administer a project and associated special assessments (against the association and/or property owners). 3. Street Lighting & Underground Electrical Conduits Maintenance/Replacement - Development representatives should consult directly with Hutchinson Utilities Commission to determine ownership/maintenance responsibilities and potentially develop a maintenance/replacement arrangement per HUC's acceptance. 4. Installation of Private Well and/or Discounted City Water Billings - Per City Ordinance, the installation of private property wells is restricted. In regards to water use costs, Development representatives should implement irrigation water conservation measures and review specific water billing issues with the City Utility Billing Department, S. City Street Snow Removal City crews currently do not administer any snow removal operations on roadways that are established to be in a private status. Due to the complex geometries of the developments street/parking areas, City staff would have to invest significant resources to accomplish a quality snow removal operation within this development. 6. City Leaf Vacuuming - City Public Works crews currently do not administer any leaf vacuuming operations on roadways that are established to be in a private status. At this time, City crews currently picks up leaves along Golf Course Road immediately adjacent to the development. Per the leaf vacuuming service guidelines and similar to other areas of the City, crews typically leaf vacuum roadway edges the weekday following garbage collection. Thus, ifthe private property owners within the development have individual garbage accounts, the City may be willing to administer leaf vacuuming within the development as roadway geometries and City equipment abilities allow. 7. City Mosquito Control City Public Works crews currently do not administer any mosquito control operations on roadways that are established to be in a private status. However, City crews currently spray for mosquitos along Golf Course Road immediately adjacent to the development. At this point, City staff is reviewing the additional cost to implement mosquito control applications on all private streets and will present that information to the City Administrator and/or City Council for their approval. The Greens' Homeowners Association The Greens' Annual Membership Meeting: Authorized the Board of Directors to pursue collaboration with the City of Hutchinson to resolve perceived inequities and possible long-term negative financial impact imposed by the Development Agreement recorded for The Greens' Fairway Estates, Second Addition and to call a special membership meeting if need arises. Issue Services by Responsibility of Cost to residents The City The Greens of the Greens Road and Boulevard: 1 -Maintenance of under -the -roadway sanitary sewer, water, and gas infrastructure 2 -Repair of road surface if City Excavation is necessary 3 -Electrical Infrastructure 4 -Electrical service from transformer 5 -City bonding and amortization 6 -Street crack repair 7 -Street patching 8 -Street sealcoat 9 -Curb repair 10 -Street light bulb replacement 11 -Storm sewer drainage Routine Services: 12 -Water for irrigation 13 -Leaf pickup 14 -Appliance pickup 15 -Insect control 16 -Street sweeping 17 -Boulevard Pruning 18 -Dredging ponds 19 -Snow Removal Yes No No Yes No No No No No No No No No Yes No Yes Yes No No No No Yes Yes Not practical! Yes Yes Yes Yes Yes Yes No option for well Yes No No Yes Yes Yes Yes Taxed by City Taxed by City Taxed by City Taxed by City Taxed by City Taxed by City Taxed by City Taxed by City Taxed by City Taxed by City Charged by City Expensive Taxed by City Taxed by City Charged/Taxed? Taxed by City Taxed by City Taxed by City Taxed by City (reserved for recording information) Amendment to Development Agreement of Fairway Estates Second Addition This agreement is entered into this of 2014, by and between the City of Hutchinson ("the City") and the Greens Homeowners Association ("the Association") for the purposes of clarifying the obligations of the parties hereto pursuant to the original subdivision agreement of April 13, 1999, and recorded in the office of the McLeod County Recorder as Document Number 296219 on June 22, 1999. The parties hereto agree that the above-mentioned subdivision agreement shall be modified as follows: 1. The City shall be responsible for the maintenance for all storm sewer lines greater than 12 inches in diameter and maintenance of storm water ponds as well as vegetation maintenance, outlet/inlet pipe cleanings, dredging and other maintenance activities located within the established drainage/utility easement areas of the Fairway Estates Second Addition Development. The City shall manage storm water drainage of the Greens' development as part of the City comprehensive storm sewer plan and design. 2. The City shall be responsible for the restoration of any roadways, parking areas and boulevard areas which are disturbed or damaged due to replacement/repair of underground municipal utilities including sanitary sewer, water main, gas and storm sewer facilities. As described within the original Subdivision Agreernent, sanitary sewer or water mains less than 8" in diameter and storm sewer lines less than 12" in diatnetcr will not be considered as part of the respective municipal systems. 3. The City will undertake leaf vacuuming, street sweeping, and mosquito control activities to the development in the same manner as it conducts the services throughout the remainder of the City as City resources may allow. In order that these services be provided to the Association, the Association does grant on behalf of itself and all of its members the right of the City to enter and occupy all areas of the development so that those services enumerated 1- 3 above may be accomplished to the satisfaction of the City. The Association, on behalf of itself and all of its members, does hereby agree to waive any and all claims against the City and to defend and hold the City harmless for any claims for damages arising out of the provision of these services. Except as contained above, all other portions of the Development Agreement of Fairway Estates Second Addition and the Declaration of Covenants, Conditions and Restrictions Fairway Estates Second Edition, Inset A, Phase II of Fairway Estates Second Addition, dated May 15, 1999, and recorded in the office of the McLeod County Recorder as Document Number 296220 on June 22, 1999, shall be binding upon, and the responsibility of, the Association. The City of Hutchinson Steven W. Cook, Mayor Attest: The Greens Homeowners Association Its President Attest: Marc A. Sebora, Interim City Administrator Its Secretary (reserved for recording information) Amendment to Development Agreement of Fairway Estates Second Addition This agreement is entered into this of 2014, by and between the City of Hutchinson ("the City") and the Greens Homeowners Association ("the Association") for the purposes of clarifying the obligations of the parties hereto pursuant to the original subdivision agreement of April 13, 1999, and recorded in the office of the McLeod County Recorder as Document Number 296219 on June 22, 1999. The parties hereto agree that the above-mentioned subdivision agreement shall be modified as follows: 1. The City shall be responsible for the maintenance for all storm sewer lines greater than 12 inches in diameter and maintenance of storm water ponds as well as vegetation maintenance, outlet/inlet pipe cleanings, dredging and other maintenance activities located within the established drainage/utility easement areas of the Fairway Estates Second Addition Development. The City shall manage storm water drainage of the Greens' development as part of the City comprehensive storm sewer plan and design. 2. The City shall be responsible for the restoration of any roadways, parking areas and boulevard areas which are disturbed or damaged due to replacement/repair of underground municipal utilities including sanitary sewer, water main, gas utilities, and storm sewer facilities. 3. The City will undertake leaf vacuuming, street sweeping, and mosquito control activities to the development in the same manner as it conducts the services throughout the remainder of the City as City resources may allow. In order that these services be provided to the Association, the Association does grant on behalf of itself and all of its members the right of the City to enter and occupy all areas of the development so that those services enumerated 1- 3 above may be accomplished to the satisfaction of the City. The Association, on behalf of itself and all of its members, does hereby agree to waive any and all claims against the City and to defend and hold the City harmless for any claims for damages arising out of the provision of these services. Except as contained above, all other portions of the Development Agreement of Fairway Estates Second Addition and the Declaration of Covenants, Conditions and Restrictions Fairway Estates Second Edition, Inset A, Phase II of Fairway Estates Second Addition, dated May 15, 1999, and recorded in the office of the McLeod County Recorder as Document Number 296220 on June 22, 1999, shall be binding upon, and the responsibility of, the Association. The City of Hutchinson Steven W. Cook, Mayor Attest: Marc A. Sebora, Interim City Administrator The Greens Homeowners Association Its President Attest: Its Secretary CITY OF HUTCHINSON Council Check Register-1 10/22/2014 Check Issue Dates: 10/15/2014 - 10/28/2014 Check Number Check Date Amount Vendor Account Description 183043 10/15/2014 3,110.71 HAWKINS INC Chemicals & Chemical Products 183044 10/15/2014 1,401.09 HILLYARD / HUTCHINSON Cleaning Supplies 183045 10/15/2014 3,087.60 HJERPE CONTRACTING Contractual R&M 183046 10/15/2014 300.00 JUU L CONTRACTING CO Contractual R&M 183047 10/15/2014 400.00 MCLEOD COUNTY COURT ADMINISTRATOR Reimb County for Bail received 183048 10/15/2014 400.00 MCLEOD COUNTY COURT ADMINISTRATOR Reimb County for Bail received 183049 10/15/2014 300.00 MCLEOD COUNTY COURT ADMINISTRATOR Reimb County for Bail received 183050 10/15/2014 7.00 MCLEOD COUNTY COURT ADMINISTRATOR Filing Fee 183051 10/15/2014 1,095.00 UW MADISON Travel/Conference Expense 183052 10/15/2014 18,503.25 WM MUELLER & SONS Street Maintenance Materials 183056 10/28/2014 515.00 AARP Other Professional Services 183057 10/28/2014 220.61 ABETECH Operating Supplies 183058 10/28/2014 376.27 ACE HARDWARE Repair & Maintenance Supplies 183059 10/28/2014 249.66 AMERICAN BOTTLING CO Cost of Sales - Miscellaneous 183060 10/28/2014 10,857.00 AMERICAN LEGAL PUBLISHING CORP Other Professional Services 183061 10/28/2014 20.10 AMERICAN WELDING & GAS Automotive R&M 183062 10/28/2014 81.33 AMERIPRIDE SERVICES Contractual R&M 183063 10/28/2014 724.00 ANIMAL MEDICAL CENTER ON CROW RIVER Other Professional Services 183064 10/28/2014 207.85 ARCTIC GLACIER USA INC. Cost of Sales - Miscellaneous 183065 10/28/2014 57.56 ARROW TERMINAL LLC Equipment Parts 183066 10/28/2014 128.47 ARROWHEAD SCIENTIFIC INC Operating Supplies 183067 10/28/2014 10,544.00 ARTHUR GALLAGHER RISK General Liability Insur 183068 10/28/2014 482.85 ARTISAN BEER COMPANY Cost of Sales - Beer 183069 10/28/2014 7,605.02 ASSURANT EMPLOYEE BENEFITS Dental Claims 183070 10/28/2014 12.98 AUTO VALUE - GLENCOE Equipment Parts 183071 10/28/2014 65.00 B. W. WELDING Contractual R&M 183072 10/28/2014 298.40 BERNICK'S Cost of Sales - Miscellaneous 183073 10/28/2014 23.70 BIEHN, JESSICA Refund 183074 10/28/2014 241.25 BNO SHEET METAL INC Contractual R&M 183075 10/28/2014 100.00 BOTZET, LARRY Safety Supplies 183076 10/28/2014 124.10 BRANDON TIRE CO Automotive R&M 183077 10/28/2014 390.00 BUREAU OF CRIM. APPREHENSION Communication Maintenance 183078 10/28/2014 202.26 BUSHMAN, RAQUEL Concession Supplies 183079 10/28/2014 470.00 BUSINESSWARE SOLUTIONS Small Tools & Minor Equipment 183080 10/28/2014 20,208.20 C & L DISTRIBUTING Cost of Sales - Beer 183081 10/28/2014 457.05 CARSON PATROL SHOP LLC Automotive R&M 183082 10/28/2014 9.61 CENTRAL HYDRAULICS Equipment Parts 183083 10/28/2014 178,600.00 COMMERCIAL REFRIGERATIONS SYSTEMS INC Machinery & Equipment 183084 10/28/2014 29.02 CROW RIVER AUTO & TRUCK REPAIR Automotive R&M 183087 10/28/2014 1,194.60 CROW RIVER WINERY Cost of Sales - Wine 183088 10/28/2014 2,000.00 DANA'S DOG SPA & CROW RIVER SIGNS Sign & Awning Grant 183089 10/28/2014 2,210.00 DAVE'S PALLET SERVICE Inventory - Process Material 183090 10/28/2014 5,355.15 DAY DISTRIBUTING Cost of Sales - Beer 183091 10/28/2014 95,517.91 DIRECT PLASTICS GROUP Inventory- Process Material 183092 10/28/2014 1,275.18 DPC INDUSTRIES INC Chemicals & Chemical Products 183093 10/28/2014 1,936.69 E2 ELECTRICAL SERVICES INC Contractual R&M 183094 10/28/2014 58.25 ECOLAB PEST ELIMINATION Contractual R&M 183095 10/28/2014 5,961.45 EMERGENCY APPARATUS MAINT Contractual R&M 183096 10/28/2014 348.25 EXTREME BEVERAGE LLC Cost of Sales - Miscellaneous 183097 10/28/2014 334.42 FARMER BROTHERS COFFEE Concession Supplies CITY OF HUTCHINSON Council Check Register -1 10/22/2014 Check Issue Dates: 10/15/2014 - 10/28/2014 Check Number Check Date Amount Vendor Account Description 183098 10/28/2014 150.00 FARM -RITE EQUIPMENT Equipment Rental 183099 10/28/2014 239.23 FASTENAL COMPANY Equipment Parts 183100 10/28/2014 240.00 FIRE INSTRUCTORS & TRAINING Dues & Subscriptions 183101 10/28/2014 113.07 G & K SERVICES Operating Supplies 183102 10/28/2014 7,233.80 GARICK CORPORATION Inventory - Process Material 183103 10/28/2014 2,870.00 GEB ELECTRICAL INC Machinery & Equipment 183104 10/28/2014 390.00 H. MULLERTRUCKING INC Freight- Bagged 183105 10/28/2014 316.30 HANSEN TRUCK SERVICE Contractual R&M 183106 10/28/2014 2,760.00 HANSON & VASEK CONSTRUCTION Contractual R&M 183107 10/28/2014 363.74 HANTGE, CHRISTIE Travel/Conference Expense 183108 10/28/2014 1,318.00 HAWKINS INC Chemicals & Chemical Products 183109 10/28/2014 560.00 HILLYARD / HUTCHINSON Repair & Maintenance Supplies 183110 10/28/2014 2,566.00 HJERPE CONTRACTING Contractual R&M 183111 10/28/2014 34.00 HOFF, RANDY Employee Flowers 183112 10/28/2014 11.93 HOLT MOTORS INC Equipment Parts 183113 10/28/2014 625.00 HOLTTOUR AND CHARTER INC. Operating Supplies 183114 10/28/2014 6,440.00 HUB INTERNATIONAL INC. Inventory - Process Material 183115 10/28/2014 90.00 HUTCH CAFE Operating Supplies 183116 10/28/2014 3,024.56 HUTCHFIELD SERVICES INC Contractual R&M 183117 10/28/2014 1,682.00 HUTCHINSON AREA HEALTH CARE Common Area Maintenance 183118 10/28/2014 6,258.16 HUTCHINSON CO-OP Street Maintenance Materials 183119 10/28/2014 129.00 HUTCHINSON HEALTH Other Professional Services 183120 10/28/2014 1,091.34 HUTCHINSON WHOLESALE Operating Supplies 183121 10/28/2014 4,959.27 HUTCHINSON, CITY OF Utilities 183122 10/28/2014 225.38 INFILCO DEGREMONT Equipment Parts 183123 10/28/2014 1,611.97 INTERSTATE POWER COMPANIES INC Equipment Parts 183124 10/28/2014 591.75 INTERSTATE BATTERY SYSTEM MINNEAPOLIS Equipment Parts 183125 10/28/2014 346.68 JACK'S UNIFORMS & EQUIPMENT Uniforms & Personal Equip 183126 10/28/2014 787.42 A TAYLOR DIST OF MN Cost of Sales - Liquor 183127 10/28/2014 350.04 JOCHUM, DANIEL Travel/Conference Expense 183128 10/28/2014 14,629.78 JOHNSON BROTHERS LIQUOR CO. Cost of Sales - Liquor 183129 10/28/2014 730.00 KAHL, DENNIS Other Professional Services 183130 10/28/2014 306.37 KNIFE RIVER Equipment Parts 183131 10/28/2014 1,690.00 KOHLS SWEEPING SERVICE Contractual R&M 183132 10/28/2014 85.90 KRANZ LAWN & POWER Equipment Parts 183133 10/28/2014 2,851.77 LANDSCAPE CONCEPTS INC Contractual R&M 183134 10/28/2014 21,379.45 LOCHER BROTHERS INC Cost of Sales - Beer 183135 10/28/2014 8,058.00 LOGIS Other Professional Services 183136 10/28/2014 83,276.78 LUBE TECH ESI Machinery & Equipment 183137 10/28/2014 358.44 MADDEN GALANTER HANSEN LLP Other Professional Services 183138 10/28/2014 133.04 MAIN STREET SPORTS BAR Youth Football 183139 10/28/2014 316.78 MAYTAG LAUNDRY & CAR WASH Other Professional Services 183140 10/28/2014 488.00 MCLEOD COUNTY AUDITOR -TREASURER Inventory- Process Material 183141 10/28/2014 1,231.00 MCLEOD COUNTY AUDITOR -TREASURER Licenses & Taxes 183142 10/28/2014 2,694.00 MCLEOD COUNTY AUDITOR -TREASURER Licenses & Taxes 183143 10/28/2014 2,782.00 MCLEOD COUNTY AUDITOR -TREASURER Licenses & Taxes 183144 10/28/2014 151.00 MCLEOD COUNTY AUDITOR -TREASURER Licenses & Taxes 183145 10/28/2014 305.00 MCLEOD COUNTY AUDITOR -TREASURER Licenses & Taxes 183146 10/28/2014 549.00 MCLEOD COUNTY AUDITOR -TREASURER Licenses & Taxes 183147 10/28/2014 290.00 MCLEOD COUNTY COURT ADMINISTRATOR Bail CITY OF HUTCHINSON Council Check Register -1 10/22/2014 Check Issue Dates: 10/15/2014 - 10/28/2014 Check Number Check Date Amount Vendor Account Description 183148 10/28/2014 300.00 MCLEOD COUNTY COURT ADMINISTRATOR Bail 183149 10/28/2014 418.46 MCLEOD COUNTY RECORDER Printing & Publishing 183150 10/28/2014 344.77 MCRAITH, JOHN Operating Supplies 183151 10/28/2014 102,939.93 MEDICA Insurance 183152 10/28/2014 46.12 MEEKER COUNTY SHERIFF'S OFFICE Other Professional Services 183153 10/28/2014 364.01 MENARDS HUTCHINSON Sign Repair Materials 183154 10/28/2014 13,600.00 MIDWEST MACHINERY CO Motor Fuels & Lubricants 183155 10/28/2014 468.48 MILLNER HERITAGE VINEYARD & WINERY Cost of Sales - Wine 183156 10/28/2014 2,548.00 MILLWOOD INCORPORATED Inventory- Process Material 183157 10/28/2014 3,310.91 MN DEPT OF LABOR & INDUSTRY/CODE Building Permit Surcharges 183158 10/28/2014 40.00 NELSON, STEPHANIE Recreation Activity Fees 183159 10/28/2014 263.00 NEOPOST GREAT PLAINS Office Supplies 183160 10/28/2014 100.00 NEWCOMB, LUCY Operating Supplies 183161 10/28/2014 100.00 NORTHERN GREEN EXPO Travel/Conference Expense 183162 10/28/2014 342.00 OENOPHILIA Cost of Sales - Miscellaneous 183163 10/28/2014 300.91 OFFICE DEPOT Office Supplies 183164 10/28/2014 96.29 OFFICE OF MN IT SERVICES Phone Services 183165 10/28/2014 133.36 O'REILLY AUTO PARTS Automotive R&M 183166 10/28/2014 21,997.07 PHILLIPS WINE & SPIRITS Cost of Sales - Wine 183167 10/28/2014 1,600.00 POSTMASTER Postage 183168 10/28/2014 5,369.00 PROFESSIONAL WATER TECHNOLOGIES INC Chemicals & Chemical Products 183169 10/28/2014 78.48 PROMAXX TRUCK PARTS Equipment Parts 183170 10/28/2014 69.95 QUADE ELECTRIC Contractual R&M 183171 10/28/2014 104.95 QUILL CORP Office Supplies 183172 10/28/2014 1,029.68 RBSCOTT EQUIPMENT Equipment Parts 183173 10/28/2014 407.79 REFLECTIVE APPAREL FACTORY INC Safety Supplies 183174 10/28/2014 8,445.24 REINER ENTERPRISES INC Freight -in 183175 10/28/2014 826.28 RITE INC Advertising 183176 10/28/2014 184.24 ROIGER-KRAMER, JENNIFER Rentals -Building 183177 10/28/2014 460.41 ROYALTIRE Automotive R&M 183178 10/28/2014 51.52 SCHWARTZ, ANDREA Travel/Conference Expense 183179 10/28/2014 100.80 SEBORA, MARC Travel/Conference Expense 183180 10/28/2014 25.00 SERVATY, KATHY Refund-PRCE 183181 10/28/2014 95.44 SHRED -IT USA INC Refuse - Recycling 183182 10/28/2014 60.43 SIMONSON LUMBER HUTCHINSON Repair & Maintenance Supplies 183183 10/28/2014 7,658.00 SMSC ENTERPRISES Inventory - Bulk Product 183184 10/28/2014 15.00 SORENSEN'S SALES & RENTALS Equipment Parts 183185 10/28/2014 10,219.19 SOUTHERN WINE & SPIRITS OF MN Cost of Sales - Wine 183186 10/28/2014 335.10 SOVEREIGN ESTATE WINE Cost of Sales - Wine 183187 10/28/2014 10,383.72 SPARTAN STAFFING Other Professional Services 183188 10/28/2014 89.00 SPS COMMERCE Dues & Subscriptions 183189 10/28/2014 3,896.94 SR. ADVISORY BOARD Sr Center -Trip Revenue 183190 10/28/2014 120.00 STANDARD PRINTING Printing & Publishing 183191 10/28/2014 806.18 STAPLES ADVANTAGE Office Supplies 183192 10/28/2014 62.50 STARKE, MARK OR LEAH Operating Supplies 183193 10/28/2014 43,412.00 STEPP MFG CO INC Machinery & Equipment 183194 10/28/2014 790.12 STRATEGIC EQUIPMENT AND SUPPLY Cost of Sales - Miscellaneous 183195 10/28/2014 2,880.00 STREICH TRUCKING Freight - Bulk 183196 10/28/2014 152.70 TASC Admin Fees - HSA/Flex 183197 10/28/2014 1 666.00 1 ITKO WINES Cost of Sales - Wine CITY OF HUTCHINSON Council Check Register -1 10/22/2014 Check Issue Dates: 10/15/2014 - 10/28/2014 Check Number Check Date Amount Vendor Account Description 183198 10/28/2014 800.00 TOUCH OF GRACE DANCE STUDIO Sign & Awning Grant 183199 10/28/2014 13,800.00 TOWN & COUNTRY FENCE Improv other than Buildings 183200 10/28/2014 49,593.24 TREBELHORN & ASSOC Motor Fuels & Lubricants 183201 10/28/2014 336.03 TRI COUNTY WATER Operating Supplies 183202 10/28/2014 237.35 TRI -POINT PRODUCTS INC Office Supplies 183203 10/28/2014 32.85 TWO WAY COMMUNICATIONS INC Operating Supplies 183204 10/28/2014 1,295.00 UHLCOMPANY Building Repair Supplies 183205 10/28/2014 3,624.00 ULTRAMAX Operating Supplies 183206 10/28/2014 69.95 VERTECH SOLUTIONS & SERVICES Contractual R&M 183207 10/28/2014 5,163.71 VIKING BEER Cost of Sales - Beer 183208 10/28/2014 630.65 VIKING COCA COLA Concession Supplies 183209 10/28/2014 1,249.88 VINOCOPIA INC Cost of Sales - Wine 183210 10/28/2014 315.00 VISION TRANSPORTATION Other Professional Services 183211 10/28/2014 554.51 WASTE MANAGEMENT OF WI -MN Refuse - Disposal 183212 10/28/2014 12,540.38 WASTE MANAGEMENT OF WI -MN Refuse - Disposal 183213 10/28/2014 9,955.07 WASTE MANAGEMENT OF WI -MN Refuse - Disposal 183214 10/28/2014 531.82 WEST CENTRAL SANITATION INC. Utilities 183215 10/28/2014 2,460.30 WINE COMPANY, THE Cost of Sales - Wine 183216 10/28/2014 624.00 WINE MERCHANTS INC Cost of Sales - Wine 183217 10/28/2014 18,100.20 WIRTZ BEVERAGE MINNESOTA Cost of Sales - Wine 183218 10/28/2014 1,277.18 WONDERLIC Operating Supplies 183219 10/28/2014 432.22 ZEP SALES AND SERVICE Equipment Parts Grand Totals: 939,515.10 ELECTRONIC FUNDS TRANSFERS 10/28/2014 TAX FUND PAYABLE TO AMOUNT FUEL HATS MN DEPT OF REV $1,326.03 SALES TAX LIQUOR MN DEPT OF REV $41,734.00 SALES TAX PRCE CIVIC ARENA MN DEPT OF REV $1,554.00 SALES & USE TAX WATER SEWER CREEKSIDE MN DEPT OF REV $13,156.00 $57,770.03 CITY OF HUTCHINSON Check Register - Council Check Register Page: 1 Report Dates: 9/28/2014-10/11/2014 Oct 15, 2014 09:54AM Report Criteria: Transmittal checks included Pay Period Journal Check Check Date Code Issue Date Number Payee Amount 10/11/2014 CDPT 10/14/2014 183053 Assurant Employees Benefits 893.95- 10/11/2014 CDPT 10/14/2014 183054 HART 583.70- 10/11/2014 CDPT 10/14/2014 183055 MNPEA 468.00- 10/11/2014 CDPT 10/14/2014 1014140 AFLAC 111.31- 10/11/2014 CDPT 10/14/2014 1014140 EFTPS 13,280.07- 10/11/2014 CDPT 10/14/2014 1014140 EFTPS 13,280.07- 10/11/2014 CDPT 10/14/2014 1014140 EFTPS 3,908.93- 10/11/2014 CDPT 10/14/2014 1014140 EFTPS 3,908.93- 10/11/2014 CDPT 10/14/2014 1014140 EFTPS 26,315.82- 10/11/2014 CDPT 10/14/2014 1014140 ICMA 1,505.00- 10/11/2014 CDPT 10/14/2014 1014140 ING 975.00- 10/11/2014 CDPT 10/14/2014 1014140 Minnesota Dept. of Revenue 11,539.47- 10/11/2014 CDPT 10/14/2014 1014140 MN Child Support System 958.68- 10/11/2014 CDPT 10/14/2014 1014140 MNDCP 250.00- 10/11/2014 CDPT 10/14/2014 1014140 PERA 11,882.30- 10/11/2014 CDPT 10/14/2014 1014140 PERA 11,882.30- 10/11/2014 CDPT 10/14/2014 1014140 PERA 5,774.05- 10/11/2014 CDPT 10/14/2014 1014140 PERA 8,661.08- 10/11/2014 CDPT 10/14/2014 1014140 PERA 36.16- 10/11/2014 CDPT 10/14/2014 1014140 PERA 36.16- 10/11/2014 CDPT 10/14/2014 1014140 PERA 1,901.13- 10/11/2014 CDPT 10/14/2014 1014140 TASC-Flex 225.00- 10/11/2014 CDPT 10/14/2014 1014140 TASC-Flex 1,322.25- 10/11/2014 CDPT 10/14/2014 1014141 TASC-HSA 4,253.09- 10/11/2014 CDPT 10/14/2014 1014141 TASC-HSA 3,553.44- 10/11/2014 CDPT 10/14/2014 1014141 TASC-HSA 1,008.44- 10/11/2014 CDPT 10/14/2014 1014141 TASC-HSA 592.24- 10/11/2014 CDPT 10/14/2014 1014141 TASC-HSA 849.22 - Grand Totals: 28 129,955.79- CITY OF HUTCHINSON Council Check Register -2 10/22/2014 Check Issue Dates: 10/15/2014 - 10/28/2014 Check Number Check Date Amount Vendor Account Description 183085 10/28/2014 236.00 CROW RIVER GLASS Operating Supplies 183086 10/28/2014 200.00 CROW RIVER SIGNS Printing & Publishing Grand Totals: 436.00 HUTCHINSON CITY COUNCIL City �f( "l Request for Board Action7AL Agenda Item: Recognition of M.I.T.G.I. for receiving Image Award Department: EDA LICENSE SECTION Meeting Date: 10/28/2014 Application Complete N/A Contact: Lee Miller Agenda Item Type: Presenter: Eric Lipke & Sheila Murhpa Reviewed by Staff F1 Communications, Requests Time Requested (Minutes): License Contingency N/A Attachments: No BACKGROUND/EXPLANATION OF AGENDA ITEM: Midwest Industrial Tool and Grinding, Inc. (MITGI) was recently awarded the 2014 Image Award, one of eleven Manufacturing Awards presented by Minnesota Business Magazine. A first time finalist for the award, MITGI was honored to be recognized for their efforts to improve the industry's image and the appeal of careers in manufacturing. Committed to community and education, MITGI encourages and supports the steady flow of young men and women entering into manufacturing-related programs. Through participation in advisory boards, scholarships, paid internships, on-site tours, and classroom visits, MITGI strives to inspire students to explore careers in the industry. MITGI manufactures and markets standard and custom cutting tools. Combining innovation with quality and repeatability, MITGI tools have become the product of choice in many R&D departments and manufacturing facilities that serve the medical, automotive, computer, and aerospace industries. MITGI also participated in the Made In McLeod Manufacturing Tours that were held on Oct. 15th. The Made In McLeod Tours were part of a program between the EDA, Chamber, and ISD 423 to highlight the opportunities in local trade jobs. MITGI has also hosted several tours during the past year for the EDA in an effort to highlight local manufacturing capabilities for business recruitment efforts and general promotion of the community. BOARD ACTION REQUESTED: -none- Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: HUTCHINSON CITY COUNCIL City �f( "l Request for Board Action7AL Agenda Item: Depot Marketplace Project selected as finalist for a redevelopment award Department: EDA LICENSE SECTION Meeting Date: 10/28/2014 Application Complete N/A Contact: Lee Miller Agenda Item Type: Presenter: Lee Miller Reviewed by Staff ❑ Communications, Requests Time Requested (Minutes): 5 License Contingency N/A Attachments: No BACKGROUND/EXPLANATION OF AGENDA ITEM: The Depot Marketplace project was selected by Minnesota Brownfields as one of three finalists for a ReScape Award under the Small City category. A team of independent judges serve on a panel for each of the four award categories — environmental, economic, community, and small city impact — and will select the winners. Judges are comprised of leaders in government, environmental, business and academic professions. Applications were evaluated by the judges based on measurable results of beneficial impact, use of innovative solutions, and incorporation of sustainability. The two other communities selected as finalists include Fairmont and Hibbing. BOARD ACTION REQUESTED: Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: HUTCHINSON CITY COUNCIL City �f( "l Request for Board Action7AL Agenda Item: Review of Hutchinson Utilities Commission Industrial Rates Revisions Department: Administration LICENSE SECTION Meeting Date: 10/28/2014 Application Complete N/A Contact: Marc Sebora Agenda Item Type: Presenter: Marc Sebora Reviewed by Staff ❑ New Business Time Requested (Minutes): 45 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OF AGENDA ITEM: For quite some time, Hutchinson Utilities has been considering reducing rates for members of its electrical industrial rate class, 3M and Hutchinson technology Inc. The Utilities Commission took action to initiate a rate reduction at its September meeting and on October 14, 2014, the City officially received notice of the proposed rate reduction in the form of a signed Resolution from the Commission which was accompanied by a cover letter by general manager Jeremy Carter explaining the different scenarios that the Hutchinson Utilities Commission considered in making its decision. I anticipate Jeremy Carter and one or more of the commissioners to be present at the City Council meeting to explain their reasoning for the rate reduction request. As I talked about before, there is set out in the Hutchinson City Charter the procedure to be considered upon receiving notice of rate changes by the Hutchinson Utilities Commission. The language is as follows: SECTION 11.04. POWERS OF THE COMMISSION. The commission shall have full, absolute and exclusive control of power over the City Electric Plant, the City Electric Plant distribution system, the City Gas Plant and the City Gas distribution system. The commission shall buy all materials, supplies and fuel in accordance with the charter provisions for purchases and contracts. It may enter into contracts subject to the same limitations imposed on the city council, and may sue and be sued in its own name. It shall regulate the distribution, use and sale of electricity and gas within and without the city limits, collect for services, and shall fix the rates for all such sales and services for public and private use, subject to right of the council to veto any proposed charge and rate by a four-fifths vote. Such veto power shall be exercised, if at all, within 30 days after the council has received notice of any proposed change in charge and rate. The commission shall have power and authority to extend, add to, change or modify the electric system and the gas system, and to do any and all things it may deem necessary and proper for operation except as by this chapter otherwise restricted or qualified. Therefore as stated in the Charter language, there is no requirement that the City Council take any action to affirm the decision of the Utilities Commission. It is only if the City Council desires to block the proposed change that action need be taken. That action would be in the form of a motion to veto the proposed industrial rate changes as set forth by the Utilities Commission. BOARD ACTION REQUESTED: Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: Hutchinson Utilities Commission 225 Michigan Street SE Hutchinson, Minnesota 55350-1905 Anthony Hanson President Monty Morrow Vice President Mark Girard Secretary Donna Luhring Commissioner Dwight Bordson Commissioner Jeremy Carter General Manager Tel 320-587-4746 Fax 320-587-4721 October 14, 2014 Honorable Mayor Cook and Council Members 111 Hassan Street SE Hutchinson, MN 55350 Dear City Council, The purpose of this letter is to provide notice to the City of Hutchinson that on Thursday October "a, 2014 the Hutchinson Utilities Commission unanimously approved changing the industrial class electric rate. Pursuant to the City of Hutchinson Charter section 11.04, such veto power shall be exercised, if at all, within 30 days after the council has received notice of any proposed change in charge and rate. At the October 2"d Commission meeting, seven (7) various financial impact scenarios were presented and discussed ranging from the best case scenario (scenario 41) to the worst case scenario (scenario #7) and various scenarios in between each having varying degrees of financial impact to HUC. What was also discussed is that there are other various dynamics and assumptions qualitative and quantitative based on the future economic climate that could have a different impact on these scenarios and the financial impacts illustrated. Below is a brief overview of each scenario based on a 10—year timefrarne: Scenario #1- (NPU: $8,998,589): In this scenario, a rate reduction is not approved and energy consumption at the current levels by HUC's industrial class customers continues into the foreseeable future. Scenario #2 - (NPV: $8,998,589): In this scenario, a rate reduction is approved, under the assumption HUC can renegotiate the 25 Megawatt base load contract with MRES and/or HUC can sell additional energy at a comparable rate to cover the short -fall in revenues lost from a rate reduction. Because, MRES at this time is not in a position to renegotiate or open the contract to make modifications to the existing contract language agreed upon by both entities HUC would need to cover the revenue shortfall by increasing consumption with new or existing customers at comparable rates. Scenario #3 - (NPV: $3,040,462): In this scenario, a rate reduction is not approved and self - generation by a customer(s) in the industrial class takes place. In this instance, HUC investigated whether HUC could sell back excess power to MRES or renegotiate the existing MIRES contract, which would also cause HUC to potentially lose capacity sales. As part of this scenario, it was assumed HUC would have the ability to renegotiate the existing contract. However, MIRES is not in a position to renegotiate or open the contract or in a position to buy back power previously sold to HUC. H UC would be responsible for finding alternative options to sell the excess power not consumed by HUC's customers either through a business contract with another party or selling the power onto the MISO market. A back-up charge was added to this scenario because of self - generation and some potential revenue added on the gas division side because of the intentions of how the self -generation would be used. Keeping a larger portion of HUC's overall energy needs, outside of the base load contract, fluid versus locked into a contact allows HUC to buy that portion of power off the MISO market when prices are favorable or self -generate when market prices are unfavorable. This allows HUC the ability to hedge down the overall blended cost of power. Scenario #4 - (NPV: -$3211.68); In this scenario, a rate reduction is not approved and self -generation by a customer(s) in the industrial class takes place. In this scenario, the procurement of power is considered a sunk cost. Under that assumption, all excess power would be sold at a price point that would roughly provide a break-even impact based on NPV (net present value) over ten years. In addition, a back-up charge was added along with additional revenue on the gas division side because of the intentions of how the self -generation would be used. Selling 6 Megawatts of power around the clock for $40 a MW would provide roughly a NPV break-even scenario based on the parameters of the scenario. To create a financial impact equivalent to scenario #5, power would need to be sold around the clock at roughly $43 per hour. In today's market climate that would not be possible at many times of the day, especially during off peak hours. In this scenario, in order to maintain adequate hedging opportunities, all excess power would be sold versus the majority of it consumed by HUC's customers. Scenario #S - (NPV: $974,630): In this scenario, a 3 -year phased in electrical industrial rate reduction by roughly 10% was reviewed. Under this scenario, no self -generation takes place in the next 10 years and a phased -in rate reduction approach would allow HUC more time to come up with strategies and opportunities to help mitigate the loss in revenue overtime, creating less of a significant immediate impact as scenario #6 illustrates. Scenario #6 - (NPV: $0): In this scenario, a 10% industrial rate reduction is put into place in 2015 and there is no immediate self -generation that happens within the next 10 years. Because there is no phase-in period the net impact to HUC starting in 2015 would be roughly a $1 million dollar net impact. This scenario does not allow for a more gradual phase in of reduced rates, creating more of an immediate challenge for HUC to come up with strategies and opportunities in the short-term to mitigate the revenue loss based on the current economic climate. Scenario #7 - (NPV: -$3,681,526): In this scenario, a rate reduction is not approved, self -generation occurs and HUC can't renegotiate the MRES contract and/or is unable to find alternative options to sell the excess energy. As part of this scenario, a Lack -up charge was added along with some additional revenue on the gas division side. However, in this scenario, there will always be the ability to sell excess power onto the MISO market, albeit times at a loss and times at a gain. But if the assumption is the base load power purchased is a sunk cost then sales on the MISO market will help reduce the overall net impact in purchasing the power. The Hutchinson Utilities Commission approved a resolution on October 2"' based on scenario #5, a 3 -year phase in industrial energy rate reduction. This determination was based on many factors but a few major factors were prevalent: 1) Lack of a current contract or sure way to sell the excess power that would make up the entire net loss financial impact if an industrial customer self -generates or creates an equivalent effect to scenario #5, 2) The greater potential financial impact to HUC losing a large retail portion of power sales currently supplied to a customer(s) versus phasing in a reduced rate, 3) The uncertainly on market prices and whether they will remain soft into the foreseeable future, and 4) HUC's current base load contract is competitive and searching for another base load contract would most likely not be beneficial because of the potential greater expense in doing so. In conclusion, this topic was discussed and reviewed at length over the past year and while various financial scenarios were discussed there were also other conversation points that played a role in the final decision. It is also worth noting, that research has shown a customer in the industrial rate class is already self -generating in another community and continues to take advantage of opportunities that are beneficial to the company's business model and strategic planning. Please give the industrial rate topic due review and know that the decision was not made lightly and is in the best interest of the city. Sincerely, C/, Jeremy J. Carter General Manager Hutchinson Utilities Commission Resolution No. 131.3, A RESOLUTION CHANGING THE HUTCHINSON UTILITIES COMMISSION INDUSTRIAL CLASS ELECTRIC RATE Be It Resolved by the Hutchinson Utilities Commission: That the current electric rate of .0675 cents per kWh paid by customers of the Hutchinson Utilities Commission industrial class be changed as follows: 1. Effective January 1, 2015, customers in the industrial class shall pay an electric rate of .0653 cents per kWh. 2. Effective January 1, 2016, customers in the industrial class shall pay an electric rate of .0631 cents per kWh. 3. Effective January 1, 2017, customers in the industrial class shall pay an electric rate of .0610 cents per kWh. AND BE IT FURTHER RESOLVED, that the General Manager of the Hutchinson Utilities Commission, Jeremy J Carter, shall provide notice of these rate changes to the City Council of the City of Hutchinson. Adopted by the Hutchinson Utilities Commission this "' day of A�fa1L , 2014 Hutchinson Utilities Commission Anthony Hanson, President Attest: Mark Girard, Secretary HUTCHINSON CITY COUNCIL City �f( "l Request for Board Action7AL Agenda Item: Small Cities Development Program Rental Rehab Preliminary Proposal Department: HRA LICENSE SECTION Meeting Date: 10/28/2014 Application Complete N/A Contact: Jean Ward Agenda Item Type: Presenter: Jean Ward Reviewed by Staff ❑ New Business Time Requested (Minutes): 10 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OF AGENDA ITEM: The Hutchinson HRA has prepared a SCDP rental rehab pre-application for the downtown area on behalf of the City of Hutchinson. The Hutchinson HRA Board has approved the application and recommends that the City Council approves execution of the Small Cities Development Program Preliminary Proposal and submit to DEED. The Hutchinson HRA sent out letters to rental property owners in the downtown area to determine interest in a rental rehab program, finalized the target area, and worked with Southwest Minnesota Housing Partnership to prepare the pre-application. The SCDP Amount Requested $548,044 The Amount of Other Funds $187,857 SCDP Program Income $ 20,000 Estimated Total Project Cost $755,901 35 rental units in the downtown area are expected to be rehabilitated. BOARD ACTION REQUESTED: Approval to execute Small Cities Development Program Preliminary Proposal and submit to DEED Fiscal Impact: Funding Source: DEED SCDP Program and Owner Matches FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: $ 0.00 Total City Cost: $ 0.00 Funding Source: Remaining Cost: $ 0.00 Funding Source: PROPOSED SCDP RENTAL REHAB PROGRAM • +� Rental Rehabilitation Grant Pre - Application to the Department of a Employment and Economic • Development • October 21, 2014 s SCDP HUTCHINSON City of Hutohinsen SCDP Grant Areae History 416 S :aa History of SCDP Funding npied Retal llffozdabiliry GaP dal Neigbbozbood Comme�rcz er $2]6,591 $]1,039 e$401r549 Downmwn $56],210 Adams Spee[ $592,800 R011ing M..d. , & 1,1-d Vi - 100 12in Grove $335, panded Franklin Grove $339, elghborhood .12 $175,252 panded NE re[urned$148.46 Sub -ental $2,293,453 $71,039 $592,800 $401,549 o Funds $2,95],292 unds $401,549 oral SCDP Fundinuan da $S9 Doesnot Indude leve%fund, su dr as CIN Revolving funds, MHFA -g—, i 10/22/2014 1 Citizen Participation i The HRA conducted a survey for rental s rehab in the downtown area during the spring & summer of 2014. Thirty two (32) rental properties ranging from one to eleven units returned the survey for a total of • eighty-nine (89) units. i Final Proposed Target Area [8Both sides of Main Street from the River to �► Oakland Ave Se and both sides of Franklin to both sides of Monroe and the Crow River to both sides of 41h Avenue [021 properties with 67 total rental units in the • final proposed target area showed interest: 6 units single family, 6 units duplex, 26 units above downtown commercial, 10 units of 3-7 unit projects, and 19 units of Multi- family 8+ units Final Proposed Target Area Windshield Survey Results [OThe windshield survey identified 36 rental a properties needing rehab out of a total 93 owner occupied and rental properties • needing rehab in the proposed target area i 10/22/2014 2 SCDP Requirements i 51% of the units (50% in the case of a s duplex) must be occupied by an income qualified household who rents at or below +r the fair market rent rate for McLeod County. Rents cannot be increased for low and moderate (LMI) tenants paying 30% or more of their income for rent and tenant - 0 paid utilities for the term of the SCDP loan • 2014 McLeod County Income Limits s • $40,950 * $46,800 $52,650 $58,500 • $63,200 $67,900 $72,550 $77,250 i ' 2015 HUD Fair Market Rent Limits 1 Bedroom $517/month s [02 Bedroom $679/month [03 Bedroom $935/month • + 04 Bedroom $1000/month s s • 10/22/2014 3 '_' SCDP Deferred Loan Structure i Rental property owners may be eligible for a deferred loan of up to 70% of the rehab • costs, on the rental units with a maximum SCDP loan of: s [PUp to $10,000/Unitfor apartments above downtown business (additional funds may s be available through the EDA) [PUp to $15,000/Unitfor 2-8+ unit buildings -----_aUp to $24,999/single family rental house Single Family Rental House Rehab Financing Terms • [00% SCDP deferred rehab loan for 70% s of the repair costs ($12,600). - The loan will be forgiven after five years w[8 Owner match or other funding for the remaining 30% of repair costs ($5,400). — Cash, bank loans, or other sources can make s up the remaining. i 10/22/2014 n Single Family Rental House # Rehab Example Roof repair $ 8,000 s Insulation $2,000 * Smoke detectors $ 300 a Gutters $1,500 • Electrical $ 200 s Heating System $6,000 Total $18,000 • t Single Family Rental House Rehab Financing Terms • [00% SCDP deferred rehab loan for 70% s of the repair costs ($12,600). - The loan will be forgiven after five years w[8 Owner match or other funding for the remaining 30% of repair costs ($5,400). — Cash, bank loans, or other sources can make s up the remaining. i 10/22/2014 n Proposed Budget to Rehab 35 Rental Units in the Target Area SCDP Amount Requested $548,044 [0The Amount of Other Funds $187,857 • [0SCDP Program Income $ 20,000 gEstimated Total Project Cost $755,901 • Budget for rehab of (3) Single family units, (4) duplex units, (28) 3+ and commercial units a 35 Total rental units Request for Approval to Submit SCDP Preliminary Proposal [PRequest City Council authorization to a execute the pre -application and submit to * DEED. a s s s a • t ; Notification of Pre -Application Selection s [UPre-Application due November 13, 2014 s [8 Selection for submission of full application s in February 2015 • 10/22/2014 5 Small Cities Development Program Preliminary Proposal City/County Applicant: City of Hutchinson Application Author: Southwest Minnesota Housing Partnership SCDP Amount Requested $548,044 Amount of Other Funds $187,857 SCDP Program Income $_20,000 Estimated Total Project Cost $755,901 Applicant governing board (city council, county board, township board) has approved the submission of this proposal. All secondary communities' (if applicable) governing boards have approved participation in the proposed project. Applicant's (i.e., city/county official) Signature Date By signing above, the Applicant certifies to the best of their knowledge that the data and information provided in the Preliminary Proposal is true and correct. Please provide a 1,000 character or less narrative of your (and other related parties) professional experience with the activity(s) you are proposing. The Hutchinson HRA has over 25 years experience in administering property improvements in the community. Since 1988, the City has successfully administered several SCDP grants which have been targeted to high -need and high -impact areas. The HRA also administers other rehabilitation programs, including: MN Housing Impact Fund, Rehab Loan Program, and Fix -up Fund/Community Fix Up Fund loans; MN Dept of Health Lead grants; and Greater MN Housing Foreclosure Remediation and Rehabilitation funds. In those programs, the HRA has compentently managed application processing, marketing, inspections, reporting, environmental reviews, and other duties. The City is committing $20,000 of its program income toward the activities in this proposal. The remaining portion has been dedicated to continuing owner -occupied rehab projects, and MIF funds are being dedicated to commercial investments that support the community's Imagine Hutchinson downtown revitalization plan. Include experience on federal projects and Davis Bacon if applicable. The Hutchinson HRA has administered several SCDP projects and other federally -funded construction rehabilitation projects which required application of Davis Bacon requirements. HOME Rental Rehab projects include Fremont Apartments, Valley View Apartments, Clinton House Apartments, and Evergreen Apartments. The HRA also recently completed rehabilitation of the Park Towers highrise (101 -unit public housing project). HRA staff have managed all facets of administration, including environmental reviews, scope development, inspection oversight, marketing, and application processing. HRA staff regularly attend application and implementation meetings regarding SCDP and other funding sources to stay current on regulations. 4 Please list the activities you plan to apply for. Please separate administration costs from the activity. Activity # of Units SCDP Cost Total SCDP Total Source of Total Costs area per Unit SCDP funds in the target area Leveraged Leveraged Funds - % Administration target area % SCDP funds —installment % Sources use "c" after SCDP % loan(if applicable) If tiered explain in narrative mths source if % of SCDP funds — % SCDP Loan Term mths committed Rental Rehab - SF 3 $24,999 $74,997 $32,142 Owner cash, $107,139 Hutchinson program income (c) RR - SF Admin $3,249 $9,747 $ $9,747 Rental Rehab - $15,000 $60,000 $25,715 Owner cash, $85,715 Duplex Hutchinson program income (c) RR - Duplex Admin 4 $1,950 $7,800 $ $7,800 Rental Rehab - MF 28 $12,500 $350,000 $150,000 Owner equity, $500,000 Hutchinson program income (c) RRDL RR- MF Admin 28 $1,625 $45,500 $ $45,500 Totals 35 $ $548,044 $207,857 $755,901 Please fill out the information for the activities you are proposing. Leave blank if you are not proposing that activity. For Public Facilities you must list the specific activity, Wastewater treatment facility is not acceptable as an activity. Main water line, ponds, sanitary sewer lines are some good examples. For rental rehab list each activity separately such as single family, multifamily, duplex and provide separate budgets for each. Owner Occupied Housing Rehabilitation Need 4 of substandard homes in target area Average age of homes in target area $ % of substandard home in target area 4 of LMI substandard homes in target area $ Median household income of target area $ Impact 4 of homes in target area $ Square blocks in target area $ 4 of LMUSS households interested in the target 4 of homes proposed for rehab with area % SCDP funds in the target area % % of total LMI/SS homes proposed for rehab in % Administration target area % SCDP funds —installment % Cost Effectiveness Max SCDP Loan Amount $ Average SCDP $ Loan Amount SCDP % of total rehab % SCDP % costs Administration % SCDP funds —installment % SCDP Loan Term SCDP % loan(if applicable) If tiered explain in narrative mths Loan Rate % of SCDP funds — % SCDP Loan Term mths forgivable In 1,000 characters or less describe: • Unique needs/target area needs • How target area is impacted by this and other activities. Rental Housing Rehabilitation: (51% of the units must be occupied by low to moderate households(80% of the area median income) and rent requirements must be met. If you are applying for Minnesota Housing funds in conjunction with DEED funds complete this section. For 8 or more units Federal Davis -Bacon wages will apply. Type of units: ® Single Family Rental ❑ Duplex (2 units) ❑ Multi -Family (3 or more units) For all rentals, if more than one type of building is being proposed please complete this section for each type of building. You may need to make copies of this page. Need 4 of similar rental units in community 23 4 of substandard similar rental units in 15 4 of units proposed for rehab 3 SCDP % of rehab costs community SCDP Administration % of substandard similar rental units in 65% Median household income of community $49,481 community Interest Rate % SCDP funds —forgivable°% Avg. age of similar rental homes in 80 yrs Number of bedrooms in units to be 1 BR community rehabilitated 2BR 33BR % of rental homes of all homes in target Rental vacancy rate in the community area Impact 4 of rental buildings interested 6 4 property owners interested 16 4 of units in interested buildings 6 % of total rental homes rehabbed/community % 4 of units proposed for rehab 3 Cost Effectiveness SCDP Max Loan Amount per unit $24,999 SCDP Average Loan Amount $24,999 SCDP % of rehab costs 70% SCDP Administration 13% % SCDP funds —installment loan % SCDP Loan Term mths Interest Rate % SCDP funds —forgivable°% SCDP Loan Term 60 mths In 1,000 characters or less describe: • Unique needs/target area needs • How target area is impacted by this and other activities. • How activity is cost effective. While Hutchinson has addressed owner -occupied rehab in past SCDP grants, the need has shifted from owner occupied to rental rehabilitation. The city experienced many foreclosures in recent years, with properties near downtown converting to rentals and exhibiting deferred maintenance. Foreclosures also boosted rental demand, resulting in a very low vacancy rate. The single-family rental repairs proposed will respond to needs identied in the recent Imagine Hutchinson Downtown study and support larger community improvement efforts, including purchase+rehab/demo projects, a new Farmers Market pavilion, downtown street work, and the Park Towers public housing rehabilitation. The last SCDP grant targeting non -owner -occupied units in this target area M was an award in 1988 (almost thirty years ago). Costs per unit are consistent with recent single-family rehabs administered by the HRA in the target area. DEED funds in conjunction with Minnesota Housing Funds (any type): Rental Housing Rehabilitation: (51% of the units must be occupied by low to moderate households(80% of the area median income) and rent requirements must be met. If you are applying for Minnesota Housing funds in conjunction with DEED funds complete this section. For 8 or more units Federal Davis -Bacon wages will apply. Type of units: ❑ Single Family Rental ® Duplex (2 units) ❑ Multi -Family (3 or more units) For all rentals, if more than one type of building is being proposed please complete this section for each type of building. You may need to make copies of this page. Need 4 of similar rental units in community 9 bldgs 4 of substandard similar rental units in 6 bldgs (12 4 of units proposed for rehab 4 (18 units) community units) % of substandard similar rental units in 67% Median household income of community $49,481 community Interest Rate % SCDP funds —forgivable % Avg. age of similar rental homes in 65 yrs Number of bedrooms in units to be 1 BR community rehabilitated 4 2BR 3 BR % of rental homes of all homes in target 51% Rental vacancy rate in the community 2% area Impact 4 of rental buildings interested 3 4 property owners interested $15000 4 of units in interested buildings 6 % of total rental homes rehabbed/community % 4 of units proposed for rehab 4 Cost Effectiveness SCDP Max Loan Amount per unit $15000 SCDP Average Loan Amount $15000 SCDP % of rehab costs 70% SCDP Administration 13% % SCDP funds —installment loan % SCDP Loan Term mths Interest Rate % SCDP funds —forgivable % SCDP Loan Term 60 mths In 1,000 characters or less describe: • Unique needs/target area needs • How target area is impacted by this and other activities. • How activity is cost effective. While Hutchinson has addressed owner -occupied rehab in past SCDP grants, the need has shifted from owner occupied to rental rehabilitation. The city experienced many foreclosures in recent years, with properties near downtown converting to rentals and exhibiting deferred maintenance. Foreclosures also boosted rental demand, resulting in a very low vacancy rate. The duplex rental repairs proposed will respond to needs identied in the recent Imagine Hutchinson Downtown study and support larger community improvement efforts, including purchase+rehab/demo projects, a new Farmers Market pavilion, downtown street work, and the Park Towers public housing rehabilitation. The last SCDP grant targeting non -owner -occupied units in this target area was an M award in 1988 (almost thirty years ago). Costs per unit are consistent with recent duplex rehabs administered by the HRA in the target area. Rental Housing Rehabilitation: (51% of the units must be occupied by low to moderate households(80% of the area median income) and rent requirements must be met. If you are applying for Minnesota Housing funds in conjunction with DEED funds complete this section. For 8 or more units Federal Davis -Bacon wages will apply. Type of units: ❑ Single Family Rental ❑ Duplex (2 units) ® Multi -Family (3 or more units) For all rentals, if more than one type of building is being proposed please complete this section for each type of building. You may need to make copies of this page. Need 4 of similar rental units in community 41 bldgs 4 of substandard similar rental units in 25 bldgs (90 (153 units) community units) % of substandard similar rental units in 59% Median household income of community $49,481 community Interest Rate % SCDP funds —forgivable 100% Avg. age of similar rental homes in 80+ yrs Number of bedrooms in units to be 11 1 BR community (DT rehabilitated mixed); 40 12 2BR yrs (MF stand- 5 3 BR alone) % of rental homes of all homes in target 51 % Rental vacancy rate in the community 2% area Impact 4 of rental buildings interested 12 4 property owners interested 12 4 of units in interested buildings 55 % of total rental homes rehabbed/community 18% 4 of units proposed for rehab 28 Cost Effectiveness SCDP Max Loan Amount per unit $15,000 SCDP Average Loan Amount $12,500 SCDP % of rehab costs 70% SCDP Administration 13% % SCDP funds —installment loan % SCDP Loan Term nAhs Interest Rate % SCDP funds —forgivable 100% SCDP Loan Term mths In 1,000 characters or less describe: • Unique needs/target area needs • How target area is impacted by this and other activities. • How activity is cost effective. Hutchinson has addressed owner -occupied rehab in past SCDP grants, but the need has shifted from owner occupied to rental rehabilitation. Based on a recent housing study, the 2014 Imagine Hutchinson downtown plan recommended rehabilitating apartments above retail to revitalize the downtown area and relieve rental market pressures. Foreclosures have boosted demand for rental housing, but conditions have deteriorated in investor owned properties. Rehab of multifamily and downtown mixed use rentals have the potential to reset the rental market and play a pivotal in larger community improvement efforts, including purchase+rehab/demo projects, a new Farmers Market pavilion, downtown street work, and the Park Towers public housing rehab. The last SCDP M grant targeting non -owner -occupied units in this target area was in 1988 (almost thirty years ago), resulting in pent-up demand for the program. Name of Applicant: City of Hutchinson L Applicant Information (citv/countv/township) Authorized Official & Environmental Certifying Applicant Author Information Officer Information (Mayor or Board Chair whichever is ------------------------------------------------------------------ applicable) Name: Jennifer Prins --------------------------------------------------------------- Title: Director of Community Development Name: Steve Cook Address: 2401 Broadway Avenue, Suite 4, Slayton, MN 56172 Title: Mayor of Hutchinson Phone #: 507-836-1622 Address: 111 Hassan Street SE, Hutchinson, MN 55350 Fax #: Phone #: 320-234-4662 Email: 507-836-8866 Fax #: 320-234-4240 jenniferp@swmhp.org Email: msebora@ci.hutchinson.mn.us Applicant ------------------------------------------------------------------ Name: Financial Officer Information Andrew Reid, City of Hutchinson ----------------------------------- 41-6005253 Federal ID #: State ID #: 8022935 Title: Controller State Vendor #: 0000194621 Address: 111 Hassan Street SE, Hutchinson, MN 55350 Applicant DUNS #: 068169515 Phone #: 320-234-4244 Fax #: 320-234-4240 Email: areid@ci.hutchinson.mn.us Administrator/Implementing Agency Information Individual Signing SCDP Payment Request Form --------------------------------------------------------------- (Applicant or Program Name: Jean Ward, Hutchinson HRA Administrator) Title: Executive Director ------------------------------------------------------------------- Address: 111 Hassan Street SE, Hutchinson, MN 55350 Name: Judy Flemming, Hutchinson HRA Phone #: 320-234-4235 Title: Program Coordinator Fax #: 320-234-4240 Address: 111 Hassan Street SE, Hutchinson, MN 55350 Email: jward@ci.hutchinson.mn.us Phone #: 320-234-4451 Administrators DUNS 4 196892004 Fax #: 320-234-4240 Email: flemmin ci.hutchinson. mn.us Environmental Coordinator Fair Housing/Equal Opportunity Coordinator --------------------------------------------------------------- Name: Judy Flemming, Hutchinson HRA ------------------------------------------------------------------ Name: Judy Flemming, Hutchinson HRA Title: Program Coordinator Title: Program Coordinator Address: 111 Hassan Street SE, Hutchinson, MN 55350 Address: 111 Hassan Street SE, Hutchinson, MN 55350 Phone #: 320-234-4451 Phone #: 320-234-4451 Fax #: 320-234-4240 Fax #: 320-234-4240 Email: jflemming@ci.hutchinson.mn.us Email: jflemmin ci.hutchinson. mn.us Rehabilitation Coordinator Labor Standards Coordinator (when applicable) --------------------------------------------------------------- Name: Judy Flemming, Hutchinson HRA ------------------------------------------------------------------ Name: Judy Flemming, Hutchinson HRA Title: Program Coordinator Title: Program Coordinator Address: 111 Hassan Street SE, Hutchinson, MN 55350 Address: 111 Hassan Street SE, Hutchinson, MN 55350 Phone #: 320-234-4451 Phone #: 320-234-4451 Fax #: 320-234-4240 Fax #: 320-234-4240 Email: jflemming@ci.hutchinson.mn.us Email: jflemming@ci.hutchinson.mn.us 10 Inspector's Info: City of Hutchinson Income Verification Info: Hutchinson HRA --------------- Name: -------------------------------- Lenny Rutledge ---------------------------------------------------------------- Name: Judy Flemming Title: Building Official Title: Program Coordinator Address: 111 Hassan Street SE, Hutchinson, MN 55350 Address: 111 Hassan Street SE, Hutchinson, MN 55350 Phone #: 320-234-4210 Phone #: 320-234-4451 Fax #: 320-234-4240 Fax #: 320-234-4240 Email: Irutledge@ci.hutchinson.mn.us Email: jflemming@ci.hutchinson.mn.us IL Co -Funder Contact Information: If one of the proposed activities within your Application is also requesting funding from Agencies such as MN Housing /Greater MN Housing (rental new development); Public Facility Authority and/or Rural Development (public facility projects) to the make the project financially feasible, please provide the following information for each respective funding partner. Agency: ------------------------------------------------------------- Agency: ---------------------------------------------------------------- Name: Name: Title: Title: Address: Address: Phone #: Phone #: Fax #: Fax #: Email: Email: III. Author of Application (Complete only if different from information previously provided above) Agency: ---------------------------------------------------------- Name: (same as previously provided above) Title: Address: Phone #: Fax #: Email: IV. Legislative District Information (Provide the following information for the geographical district(s) the SCDP funded activities are taking place in.) House District: 18A & 18B Congressional District 7 11 HUTCHINSON CITY COUNCIL City �f( "l Request for Board Action7AL Agenda Item: Consideration of Amendments to the City's Snow & Ice Policy Department: PW/Eng LICENSE SECTION Meeting Date: 10/28/2014 Application Complete N/A Contact: John Olson Agenda Item Type: Presenter: John Olson Reviewed by Staff ❑ New Business Time Requested (Minutes): 10 License Contingency N/A Attachments: No BACKGROUND/EXPLANATION OF AGENDA ITEM: The City has had a Snow & Ice Policy in place for many years. Prior to last year's season, the Public Works Manager attended a workshop hosted by the American Public Works Association (APWA). At the workshop, staff learned of some language additions that should be made to municipal snow and ice policy documents to clarify responsibilities. Specific recommended changes included: 1) Clarify that drivers are responsible for operating vehicles in a reasonable, prudent, and cautious manner. 2) Clarify language that recognizes the entire department as responsible, not just to one individual. 3) Provide adequate room within the policy for operational adjustments, as no two snow events are the same. 3) Address standard cul-de-sac plowing procedures and procedures used for plowing bridges. 4) Identify operating policies that the City may have that are associated specifically with this policy. 5) Specifically identify repair of mailboxes, as this is a recurring issue in municipal snow removal. 6) Ensure the governing body is the sole authority to amend the policy. In addition to these recommended changes, staff included some updated language to clarify the meaning of sentences, and to address any minor changes since the last amendment. Public Works staff recommends adopting the proposed amendments. These amendments will not likely result in any additional costs in the provision of snow removal services. If approved, policy provisions would be enforced from the date of the adoption of the amendments. BOARD ACTION REQUESTED: Approve proposed amendments to the City's Snow & Ice Policy Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: $ 0.00 Total City Cost: $ 0.00 Funding Source: Remaining Cost: $ 0.00 Funding Source: RESOLUTION NO. 14344 A RESOLUTION ADOPTING THE CITY'S SNOW REMOVAL AND ICE CONTROL POLICY WHEREAS, Minnesota Statutes, Section 412.221 and the City Charter authorizes the City to maintain City streets; and WHEREAS, the City Council finds that it is in the best interest of the residents, businesses and industries for the City to assume basic responsibility for control of snow and ice on City streets; and WHEREAS, The City Council finds that the City would be best served to have a policy addressing snow removal and ice control; and WHEREAS, a Snow Removal and Ice Control Policy has been developed and recommended by City staff; and WHEREAS, the City Council finds that adoption of said policy is in the best interest of the City, NOW THEREFORE BE IT RESOLVED by the City Council of the City of Hutchinson, Minnesota that said Snow Removal and Ice Control Policy is hereby approved and adopted. Adopted by the Hutchinson City Council this 28th day of October, 2014. Steven W. Cook Mayor Attest: Marc A. Sebora City Attorney/Interim City Administrator C City of Hutchinson Snow Removal and Ice Control Policy City of Hutchinson Snow Removal and Ice Control Policy Purpose of this Policy The City of Hutchinson recognizes that assuming basic responsibility for snow removal and ice control on City streets is in the best interest of the residents, businesses and industries of Hutchinson. Providing reasonable snow removal and ice control is necessary for emergency, commercial, and personal travel. The City strives to provide this service in a timely, safe, and cost-effective manner; keeping in mind safety, budget, personnel, equipment and environmental concerns. The City will primarily use its own personnel and equipment to provide this service, but may also, when necessary or beneficial, use private contractors. This policy does not relieve the operators of private vehicles, pedestrians, property owners, residents and all others that may be using public streets or that may be otherwise affected by snow removal operations, of their responsibility to act in a reasonable, prudent and cautious manner, given the prevailing weather and street conditions. This language addition corresponds to APWA recommendations) Responsibility and Authority for this Policy The ft x (throughout this document the preceding change in title is made as indicated) is charged with the primary responsibility for executing snow removal and ice control operations and for exercising the appropriate levels of authority to ensure maintenance and compliance with this policy. (In this document the title Public Works Department alse includes a the qualified Public Works employee designated by the Director/City Engineer Director to oversee snow removal and ice control operations. This position is typically assigned to a senior operations manacer. but may from time to time be assioned to another experienced Public Works employee in the absence of a senior operations manager) The Public Works Department is responsible for coordinating equipment and personnel, assigning them work based on the need for snow removal and ice control within the City. The Public Works Department retains the authority to alter assignments based on weather conditions, equipment and personnel availability, and other conditions related to snow removal/ice control. In extreme cases, the Assistant PubliG Werks DireGter Public Works Department can declare a snow emergency for the purposes of ' enlisting the assistance of City employees or equipment not usually assigned to snow removal responsibilities and to hire contractors to provide snow removal services. In cooperation with emergency services 4ii i0 lig .>,. the Appendix ,-• Declaration of Snow Emergency; Parking Prohibited City Code § 72.15 DECLARATION OF SNOW EMERGENCY; PARKING PROHIBITED. (A) The City Administrator or other designated official may declare a snow emergency in the city. The emergency shall be declared by 4:00 p.m. and shall take effect later that same evening at 12:00 midnight. The snow emergency shall continue to be in effect for 24 hours. (B) Notice of the declaration of a snow emergency shall be given by notifying the local news media; however the notification shall be a service right only and not a duty on the part of city officials. (C) During a declared snow emergency, no motor vehicle shall be parked on any street or alleyway in the city between the hours of midnight and 7:00 a.m. except as otherwise posted. (D) During a declared snow emergency, any police officer is authorized to have a motor vehicle which is parked in violation of this section removed at the owners' expense. (Ord. 09-0536, passed 12-22-09) To comply with the intent of the ordinance, it is the intent of Public Works to follow the procedure outlined below when declaring a snow emergency: 1. Prior to 4:00 p.m. each day, a decision would be made in accordance with the existing Snow/Ice Policy and Ordinances as to whether notification of parking restrictions for upcoming snow/ice maintenance activities was necessary. 2. If weather conditions warrant, notification would be sent, via email, to: a. KDUZ/KARP b. HCVN Cable Channel 7 & 10 c. Hutchinson Leader Website d. City of Hutchinson Website e. Designated City staff In addition, Public Works staff would provide these additional notifications: f. Notification of personnel involved in snow removal g. Updating a message on a dedicated telephone message line h. Updating/initiating any other current or future notification systems that may be implemented Once notifications are made, the ordinance indicates parking restrictions would begin at 12:00 a.m. and be in effect for the following 24-hour period, with parking being restricted between the hours of 12:00 a.m. and 7:00 a.m. If necessary, notifications may be made on successive days, prior to the end of the previously announced 24-hour period. Each time a notification is made, the 24-hour period would begin again. Parking will be restricted on City streets between the hours of midnight and 7:00 a.m. Existing parking regulations, where posted, will also be enforced. Issues identified by City staff engaged in snow removal operations shall be reported to the senior Public Works employee who shall report said issue to the Police Department. The intent is to use the notification procedure judiciously, taking into account weather conditions, precipitation type/accumulation, and planned maintenance activities. Generally, a snow emergency will be declared after 4" of snow, periods of severe drifting, or for the necessity of treating roadways for severe slippery conditions. Appendix B Operation of Road Maintenance Equipment The goal of all road maintenance operations is effectiveness and safety. Minnesota statutes give considerable leeway to equipment operators engaged in road maintenance. State Statutes recognize the unique circumstances equipment operators encounter while performing road maintenance. When engaged in snow and ice control or flood control work, equipment is exempt from standard size and weight restrictions. Operators are never exempt from statutes regulating driving under the influence or operations around school busses and in school zones. Minnesota Statute §169.035 Subdivision 1. Working on highway. (a) The provisions of this chapter shall not apply to persons, motor vehicles, and other equipment while actually engaged in work upon the highway, except as provided in paragraphs (b) and (c). (b) This chapter shall apply to those persons and vehicles when traveling to or from such work, except that persons operating equipment owned, rented or hired by road authorities shall be exempt from the width, height and length provisions of sections 169.80 and 169.81 and shall be exempt from the weight limitations of this chapter while engaged in snow or ice removal and while engaged in flood control operations on behalf of the state or a local governmental unit. (c) Chapter 169A and section 169.444 apply to persons while actually engaged in work upon the highway. The City has established the following guidelines that affect operation of maintenance equipment. The City does recognize that, while performing road maintenance, there will be times when it is not feasible to comply with standard traffic control regulations. In those cases, operators are expected to perform operations with caution and proceed only after consideration is given to the safety of that operation. Unless specifically stated below, all trucks hauling snow during snow removal operations shall comply with all State traffic regulations. a) All standard safety devices on the vehicles shall be functional prior to operating, and shall be used during operations. b) When actively being loaded with snow, contract snow haulers shall perform functions under the direction of the snow blower operator loading the truck. c) Snow haulers, when actively engaged in hauling snow whether full or empty, may stop at red traffic signals and proceed with caution if there is no oncoming traffic. When moving from one work site to another, such as from downtown to the Civic Arena, operators shall comply with all Minnesota Traffic Statutes. d) When actively engaged in removing snow while crossing Main Street, contract snow haulers may engage in blocking maneuvers that allow the snow blower and other trucks to cross Main Street safely. e) Any action determined to be necessary by the operator to avoid an accident or to mitigate damage or injury that may result. Contractors are covered by this Minnesota State statute and City of Hutchinson policy only when actively engaged in work for the City of Hutchinson. City of Hutchinson Snow Removal and Ice Control Policy Purpose of this Policy The City of Hutchinson recognizes that assuming basic responsibility for snow removal and ice control on City streets is in the best interest of the residents, businesses and industries of Hutchinson. Providing reasonable snow removal and ice control is necessary for emergency, commercial, and personal travel. The City strives to provide this service in a timely, safe, and cost-effective manner; keeping in mind safety, budget, personnel, equipment°1 and environmental concerns. The City will primarily use its own personnel and equipment to provide this service, but may also, when necessary or beneficial, use private contractors. This policy does not relieve the operators of private vehicles, pedestrians, property owners, residents and all others that may be using public streets or that may be otherwise affected by snow removal operations, of their responsibility to act in a reasonable, prudent and cautious manner, given the prevailing weather and street conditions. (This language addition corresponds to APWA recommendations) Responsibility and Authority for this Policy The ,public Works Department (throughout this document the preceding change in title is made as indicated) is charged with the primary responsibility for executing snow removal and ice control operations and for exercising the appropriate levels of authority to ensure maintenance and compliance with this policy. (In this document the title Public Works Department alss includes a the qualified Public Works employee designated by the Director/City Engineer Dixer-tex to oversee snow removal and ice control operations. This position is typically assigned to a senior operations manager, but may from time to time be assigned to another experienced Public Works employee in the absence of a senior operations manager.) The nooio+_n+ Di ihlin 1A/r_r14o fliron4r_r Public Works Department is responsible for coordinating equipment and personnel, assigning them work based on the need for snow removal and ice control within the City. The nooio+-an+ Publi,. WA-FLo liiron+„r Public Works Department retains the authority to alter assignments based on weather conditions, equipment and personnel availability, and other conditions related to snow removal/ice control. In extreme cases, the Occicior,i 1A1A_*6 flironinr Public Works Department can declare a snow emergency for the purposes of enlisting the assistance of City employees or equipment not usually assigned to snow removal responsibilities and to hire contractors to provide snow removal services. In cooperation with emergency services personnel the 4c6;0ctont Di ihlin WerLc rlironinr Public Works Department continuously monitors weather conditions to determine appropriate action. Priorities for Service Snow removal and ice control services will be generally provided using these priorities: 1 st priority: Priority routes and central business district areas with tno boulevard 2nd priority: Other business districts, truck routes and the airport 3rd priority: Through streets and specifically identified public properties 4th priority: Cul-de-sacs, dead-end streets, and alleys 5th priority: Specifically identified sidewalks, trails, and walkways last priority: Other public property and maintenance activities. The 4ccicioni Di ihlin WA-rLc Dironinr Public Works Department has the authority to deviate from these priorities, should conditions warrant. These priorities, however, will apply to nearly every snow removal and ice control operation. Policy Provisions 1) Initiating Operations: Commencement of snow removal and ice control operations depends upon immediate and anticipated conditions. The nooio+-an+ WA -1:146 Dorpr-tA Public Works Department generally initiates snow removal and ice control operations when: a) weather conditions do not endanger the safety of employees, contractors, or equipment. b) when operations will be effective. c) there are at least two inches of snow accumulation. d) significant blowing and drifting of snow into traveled portions of major roadways and intersections has occurred. e) rainstorms, ice storms, and/or periods of light snow create slippery conditions. Efforts during these situations will be concentrated on major roadways, bridges, steep grades, and heavily traveled intersections. Operations may be initiated any time the operations are deemed to be beneficial. 2) Suspension of Operations: The Works Dironinr Public Works Department may suspend operations at any time if temperatures, winds, visibility, and/or the rate of accumulation make operations unsafe, ineffective, or unnecessary. 3) Staffing Operations: Snow removal and ice control operations may occur during assigned work shifts or, in some situations, on a call -out of workers. The ;Assia„i Di ihlin Works Diron+nr Public Works Department has the discretion to recall workers or wait until the next assigned work shift to respond to specific snow removal or ice control service requests. For safety reasons, operators of snow removal and ice control equipment will generally not be scheduled to work more than 12 hours in any 24-hour period with less than nine hours off between work shifts. 4) Response to Emergencies: Emergency services officers may contact the Public Works Department to dispatch workers and equipment to provide services for emergency vehicles (i.e., police, fire, ambulance, electrical outages, gas leaks, etc.) responding to emergencies within the City. 5) Routes: Each year the Occict—apt Public WerLc Direr --ter Public Works Department prepares a map of the street system serviced by the City. A map of the sidewalk/trail system and public properties serviced by the City is also prepared. These systems are divided into route areas that identify personnel, equipment, and if necessary, the private contractors used to provide the services. Route areas are periodically revised to correspond with budget, equipment, personnel, and other resources available to the City. Priority routes are identified within each route area. Hazards are also identified in each route area. These route areas are generally assigned to individuals and are used for planning and executing routine snow plowing and ice control operations. 6) Methods: Snow is generally plowed in a way that reduces traffic obstructions and the affect of future snowfalls. Generally, snow will be plowed from the center of the street outward toward the curb line so the snow discharges onto the boulevard. Some streets may be plowed from one side of the street to the other. Snow may also be moved to the center or side of the street to be hauled away later. Cul-de-sacs and dead-end streets will generally be plowed to the outside. When plowing on bridges, operators will adjust their speed to reduce or eliminate the snow from going over the side of the bridge. As necessitated by available resources now is plowed to the edge of the street without regard for sidewalks, driveways and other structures located in the right-of-way. The City recognizes the inconvenience that comes from accumulations on rights-of-way, sidewalks and driveways, but the City is not responsible for removing snow from rights-of-way, private driveways, most sidewalks, or from around private structures located in the right-of- way. Snow is removed only from sidewalks specifically identified on maps and from other areas only at the direction of the Occicior,i WArLc Dironinr Public Works Department. The City recognizes that snowplow operators are exempt from traffic regulations set forth in Minnesota Statutes, Chapter 169 while actually engaged in work on streets, except for regulations related to driving while impaired and the safety of school children. Pursuant to this authority, snowplow operators have discretion to disregard traffic laws, when, in their judgment, it is safe to disregard such laws and such action complies with Public Works policy entitled "Operation of Road Maintenance Equipment". (Related policy. Language added to clarify previous questions from law enforcement personnel) 7) Expected Minimum Levels of Service: The following represents the minimum levels of services that can be expected. The City strives to achieve better results whenever possible: 1) It is the City's intent to keep designated priority routes open to traffic, if possible, during a storm or have them open as soon as possible after snow accumulation has subsided. 'Open to traffic' means there is a lane available for cars to travel on; the term does not necessarily mean the street is plowed from curb to curb. 11) As many routes as possible that serve business areas and densely populated residential areas are to be open to traffic within 12 hours after snow accumulation subsides. III) Through streets are to be open to traffic within 36 hours after snow accumulation subsides. All public streets are to be open to traffic within 48 hours, unless snow accumulation is of such depth as to require removal. Every public street, alley, and parking lot is to be opened to normal, functional traffic patterns within four days after snow accumulation subsides. IV) Where space does not allow for snow to be moved from traffic lanes to storage on the adjacent boulevard, the City may pile snow and haul it away. Snow may be stored in strategic locations for a time before the snow is hauled away. V) Significant accumulations of snow on bridges will be removed. Removal of snow from bridges will begin only after all City streets, alleys and parking areas have been serviced, and normal, functional traffic patterns have been restored. Because of safety considerations, this task will normally be done during daylight hours. VI) Snow may be removed from selected critical intersections, away from fire hydrants, and from other utility appurtenances requiring access. These services will begin only after all City streets, alleys, parking areas, and bridges have been serviced. Snow may also be removed from boulevards and along curbs. Because of safety considerations, these tasks will generally commence during daylight hours. Priority Snow Removal Routes: The following are designated priority routes: Name of Street From: To: (street names have been rearranged to alphabetical order; new streets added, as necessary) 2ndSeGGnd Ave SW/SE 5 Fift Ave NE/NW 5 F €ift Ave SW/SE California St NW Century Ave SW/SE Dale St SW Echo Dr SW F-dmonton Ave SW/SE Elm St NE Freemont Ave SW Golf Course Rd NW aefferson SE Lynn Rd SW/TH 15 Service Rd McDonald Dr SW McLeod Ave NE/6th Ave NE Michigan St SE/NE Oakland Ave SE/TH 15 Service Rd Roberts St/Rd SW School Rd SW/NW Shady Ridge Rd NW Sherwood St SE South Grade Rd SW Sunset St SW Washington Ave W Sand and Salt Dale St SW Montana Kauwe St NW Lynn Rd SW T.H. 7 Dale St SW School Rd SW (Co Rd 7) Freemont Ave SW McLeod Ave NE T.H. 15 North High Dr NW Airport Rd South Grade Rd SW Lakewood Dr SW T.H. 15 5th Ave SE Freemont Ave SW McDonald Dr SW South Grade Rd SW T.H. 7 Airport Rd School Rd SW Century Ave SW Lynn Rd SW Michigan St SE Bluff #ig# St NE T.H. 22 School Rd NW Jefferson St SE 2nd Ave SW T.H. 15 Jefferson St SE North High Dr NE Dead-end Montana Keuwe St NW Washington Ave E Washington Ave W School Rd SW Bluff St NE T.H. 7 Adams St SE Dale St SW North High Dr NW (Co Rd 12) 7th Ave NW 0410 Century Ave SE T.H. 15 South Grade Rd SW Main St The City does not have a bare pavement policy. Falling snow and gGeneral snow pack Fm�aininq on City streets will not normally be removed. Sanding operations are initiated to provide some temporary relief from skidding. Salt is applied to melt ice on streets. Application of sand is generally limited to intersections, hazardous areas, and isolated slippery areas. Sand will be applied at times and at rates that maximize effectiveness. Salt, while used to melt snow, is also mixed with sand to prevent the sand from freezing. The AcciSt—ant Public WerLc rlirontnr Public Works Department may order use of additional salt if pavement or air temperatures and precipitation type warrant use of additional salt for melting ice and snow. The °cin Di blip \AIArLo Qiron+er Public Works Department may also order use of salt brine to provide additional ice and snow melting capabilities. The Accicioni Di ihlin \A/nrLc Dironinr Public Works Department may use other minerals, chemicals and mixtures to assist in ice control, provided they are deemed to have fewer or the same 42ffect on the environment as sand and salt mixtures and are economically feasible. Snow Removal on Sidewalks, Trails & Walkways It is the responsibility of the adjacent property owner, using due diligence, to keep sidewalks, trails and walkways clear for pedestrian travel. There are certain sidewalks, trails, and walkways, identified by the City, which may receive some snow removal services from City staff and equipment. These services are provided at the City's discretion, on a priority basis, and do not relieve property owners of their responsibilities. Snow remaining on sidewalks 24 hours after snow has stopped falling, including snow that was plowed from public streets onto the sidewalk, is a public nuisance. Property owners will be notified that their property is in violation. Beginning12 hours after notification, City crews may clean sidewalks, trails, and walkways and bill adjacent property owners for that service. Unpaid bills will be certified to the following years' property taxes. Snow Disposal Site The City of Hutchinson provides a snow disposal site located on City property north of the Hutchinson Armory, 1200 Adams St SE. Private parties may use the snow disposal site free of charge. The City will provide no services at this site, so close cooperation between parties is encouraged to ensure snow is dumped in an orderly fashion. This site is the only City snow disposal site that private parties shall use. Snow Removal on Private Properties It is a violation of statutes and ordinances to move snow from private properties onto or across public roadways. Property owners engaging in or allowing these activities are subject to the consequences of the statutes and ordinances. Private Contractors Providing Snow Removal Services Permits for private snow removal contractors are required by ordinance. The City, however, does not require private contractors to obtain a written permit from the City, but their activities are still considered to be permitted. If a private contractor violates statutes, ordinances or policies related to snow removal, the City Council can suspend their privilege of conducting snow removal business within the City. Damage to Property Snow removal and ice control operations can cause damage to property, even under the best circumstances and care by equipment operators. Most often, damage occurs to property improvements in the right-of-way, which generally extends 10 to 15 feet beyond the edge of street pavement. The City is not responsible for damage to vegetation caused by plowing or the application of sand and salt mixtures. The City will not make repairs to nor compensate residents for damaged vegetation. In certain cases, the City may clean up dead sod, and over -seed or sod areas on private property. Generally, sod will not be used on public rights-of-way. Residents are encouraged to remove excess sand, dispose of the sand properly, and thoroughly flush areas that may be affected by sand and salt mixtures. Only allowable and properly installed properties that are damaged by actual, physical contact with City equipment will be considered for repair at City expense. Personal property in the City's right-of-way damaged by snow being deposited from an accumulation on the blade of a snowplow will not be considered for compensation. The City Council has the authority to set reasonable maximum compensation limits for specific types of personal property placed in the right-of-way. When disagreement about the responsibility for the damage occurs, the OcciSt-ant D. ih�in We:) 46 fliFeGtGr Public Works Department will investigate and decide responsibility. In certain cases, where there is significant damage, the Police Department may be called to assist with the investigation. As always, property owners may bring their concerns to the City Council. Equipment operators and contractors are directed to immediately contact the Police Department and the nooio+-an+ Di blinWA-FLo Diron4r-r Public Works Department whenever an incident involves damage to vehicles, significant structures, or involves any injury to a person. Equipment operators and contractors also report existing damage they observe +t;e 4ccictont Di ihlin WerLc Dorontnr to avoid any potential future claim the damage was caused by snow removal or ice control operations. ILTAF111•MM Coming into contact with a mailbox is a common obstacle snowplow operators face. If mailboxes are damaged, the City may install a temporary replacement until weather conditions are conducive to repair. The City will conduct a review of each mailbox incident to determine whether the City will repair, replace or provide reimbursement for the mailbox. Only mailboxes actually hit by a snowplow will be the responsibility of the City. The City will not be responsible for damage to mailboxes or support posts caused by snow or ice coming in contact with the mailbox. The City will replace damaged mailboxes with a standard size, non -decorative metal or plastic mailbox and replace the support post, as necessary, with a 4"x4" decay resistant wood support or standard galvanized post/tube support installed by the City. If the owner desires a mailbox configuration other than the City's standard, the City will reimburse the mailbox owner at a rate identified in the City's Fee Schedule for the replacement of the mailbox and post. (This lanpuape addition corresponds to APWA recommendations) Other Entities Certain streets within the City are maintained by other governmental entities. The Minnesota Department of Transportation and the McLeod County Highway Department maintain separate maintenance policies for streets within the City maintained by them. From time to time, entities may contract with each other to perform snow removal services. The ultimate responsibility for snow removal services rests with the controlling entity. Others maintain these streets: Name of Street From: To: Entity: TH 15 S/Main St S/Main St N South city limit North city limit Mn/DOT TH 7 W/4th Ave NW/ 4th Ave NE /TH 7 E West city limit East city limit Mn/DOT Adams Street South city limit TH 7 McLeod Co Bluff St NE TH 7 North city limit McLeod Co North High Dr NW/NE West city limit East city limit McLeod Co South Grade Rd SW West city limit School Rd SW McLeod Co Emergency Services The City of Hutchinson has several relationships with surrounding areas concerning emergency services. For that reason, emergency services dispatchers and officers are responsible for making requests for snow removal and ice control services from the appropriate jurisdiction. Service to Private Property City personnel and personnel contracted by the City do not provide snow removal and ice control services to private properties. Services may, however, be provided with the permission of property owners in situations where City operations directly benefit from operations on private property. Snow removal operations may be conducted on any private property when emergency vehicles responding to a call for service require access to private property. Any operations on or services provided to private property are authorized by the 1AInrLc Dironinr Public Works Department, or are provided at the request of an emergency services officer responding to a call. Requests for Services and Complaints Requests for service and complaints regarding snow removal and ice control operations will be taken during normal working hours. Questions not able to be answered by administrative staff will be forwarded to the Public Works Department. Requests for service and other problems are handled in priority order, in keeping with personnel, equipment, and materials available. Services are prioritized and provided at the discretion of the Assistant PubliG WeFks DiFeGtGr Public Works Department. Review of this Policy This policy will be reviewed periodically. Comments and complaints regarding this policy received since the last review will be considered during each review. Input from City employees and contractors, members of the public, and other affected parties will be considered. Final revisions to the policy are at the discretion of the Cit Coun (This lanpuape change corresponds to APWA recommendations) HUTCHINSON CITY COUNCIL City �f( "l Request for Board Action7AL Agenda Item: Consideration of Amendments to the MnDOT Airport Grant Agreement Department: PW/Eng LICENSE SECTION Meeting Date: 10/28/2014 Application Complete N/A Contact: John Olson Agenda Item Type: Presenter: John Olson Reviewed by Staff ❑ New Business Time Requested (Minutes): 10 License Contingency N/A Attachments: No BACKGROUND/EXPLANATION OF AGENDA ITEM: The City made a request to have additional work done adjacent to Hangars #2 and #3 to improve drainage. In both cases, in the spring, the hangars are negatively affected by water that runs back toward the building, sometimes causing the hangar doors to freeze down to the ground. In the case of Hangar #2, the project is to remove existing bituminous, install drainage tile and restore the bituminous to grade. For Hangar #3, the project is to remove existing bituminous, and replace it, making sure the final grade drains to the cross-gutter. In addition to these two projects, another project is being planned for parking between Hangar #1720 (the former Life Link III hangar, now occupied by ASI Jet) and the Civil Air Patrol building. This improvement will add 16 parking stalls, which will be near to the number recommended by MnDOT's State Aviation System Plan. These projects will be funded 80% by the State and 20% locally. City staff secured price quotations and budgeted costs and revenues are as follows: Hangar #2 Storm sewer tile $ 1,071; R/R bituminous $ 9,760 = $10,831 Hangar #3 R/R bituminous $15,720 Parking area (CAP) Add bituminous $10,525 Total project costs $37,076 State of MN = $29,661 City of Hutchinson = $7,415, The budgeted amount of $7,415 is budgeted for in Contractual Repair/Maint in the General Fund for 2015. Public Works staff recommends approving the Grant amendment. The amendment will address three issues at the airport with no negative affect on the Airport budget. The amount budgeted for pavement maintenance on an annual basis is $11,000. Because of the reclaim project at the airport that will take place in 2015, no other pavement maintenance will be required. BOARD ACTION REQUESTED: Approve MnDOT grant agreement amendments for Hangar 1720 Parking Area, Hangar 2 Drainage Improvement, and Hangar 3 Drainage Improvement Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: $ 37,076.00 Total City Cost: $ 7,415.00 Funding Source: Airport Operating Budget Remaining Cost: $ 29,661.00 Funding Source: MnDOT Aeronautics Grant Rev. 1/07 RESOLUTION NO. 14343 AUTHORIZATION TO EXECUTE MINNESOTA DEPARTMENT OF TRANSPORTATION GRANT AGREEMENT FOR AIRPORT IMPROVEMENT EXCLUDING LAND ACQUISITION It is resolved by the City of Hutchinson as follows: 1. That the state of Minnesota Agreement No. 06813, "Grant Agreement for Airport Improvement Excluding Land Acquisition", for State Project No. A4304-32 at the Hutchinson Municipal (Butler Field) Airport is accepted. 2. That the Mayor and City Administrator are authorized to execute this Agreement and any amendments on behalf of the City of Hutchinson. Adopted by the Hutchinson City Council on the 28th day of October, 2014. Mayor, Steven W. Cook City Administrator, Marc A. Sebora CERTIFICATION STATE OF MINNESOTA COUNTY OF MCLEOD I certify that the above Resolution is a true and correct copy of the Resolution adopted by the City of Hutchinson at an authorized meeting held on the 28th day of October, 2014, as shown by the minutes of the meeting in my possession. CORPORATE SEAL Signature: Marc A. Sebora, City Administrator NOTARY PUBLIC My Commission Expires: Rev. #1, 7/06 Mn/DOT Agreement No. 06813 State Project No. A4304-32 GRANT AGREEMENT FOR AIRPORT IMPROVEMENT EXCLUDING LAND ACQUISITION This Agreement is by and between the State of Minnesota acting through its Commissioner of Transportation ("State"), and the Citv of Hutchinson ("Recipient"). WHEREAS, the Recipient desires the financial assistance of the State for an airport improvement project ("Project") as described in Article 2 below; and WHEREAS, the State is authorized by Minnesota Statutes Sections 360.015 (subdivisions 13 & 14) and 360.305 to provide financial assistance to eligible airport sponsors for the acquisition, construction, improvement, or maintenance of airports and other air navigation facilities; and WHEREAS, the Recipient has provided the State with the plans, specifications, and a detailed description of the airport improvement Project. NOW, THEREFORE, it is agreed as follows: 1. This Agreement is effective upon execution by the Recipient and the State, and will remain in effect until 9/30/2017. 2. The following table provides a description of the Project and shows a cost participation breakdown for each item of work: Item Description Reclamation Deign for Runway 15/33, Taxi 'A' & Apron Hangar 1720 Parking Area Hangar 2 Drainage Improvement Hangar 3 Drainage Improvement Federal Share State Share Local Share 90% 5% 5% 0% 80% 20% 0% 80% 20% 0% 80% 20% The Project costs will not exceed $234,851.00. The proportionate shares of the Project costs are: Federal: Committed $177977.00, Multi -Year Amount: $0.00; State: $39,549.80, and Recipient: $17,304.20. This project is not estimated to be completed this fiscal year and the federal multiyear amount is an estimate only. These additional funds are not committed by the state and are only available after being made so by the U.S. government. Federal funds for the Project will be received and disbursed by the State. In the event federal reimbursement becomes available or is increased for this Project, the State will be entitled to recover from such federal funds an amount not to exceed the state funds advanced for this Project. No funds are committed under this Agreement until they are encumbered by the State. No more than 95% of the amount due under this Agreement will be paid by the State until the State determines that the Recipient has complied with all terms of this Agreement, and furnished all necessary records. 4. The Recipient will designate a registered engineer (the "Project Engineer") to oversee the Project work. If, with the State's approval, the Recipient elects not to have such services performed by a registered engineer, then the Recipient will designate another responsible person to oversee such work, and any references herein to the "Project Engineer" will apply to such responsible person. 5. The Recipient will complete the Project in accordance with the plans, specifications, and detailed description of the Project, which are on file with the State's Office of Aeronautics and are incorporated into this Agreement by reference. Any changes in the plans or specifications of the Project after the date of this Agreement will be valid only if made by written change order signed by the Recipient, the Project Engineer, and the contractor. Change orders must be submitted to the State. Subject to the availability of funds the State may prepare an amendment to this Agreement to reimburse the Recipient for the allowable costs of qualifying change orders. 6. The Recipient will make payments to its contractor on a work -progress basis. The Recipient will submit requests for reimbursement of certified costs to the State on state -approved forms. The State will reimburse the Recipient for the state and federal shares of the approved Project costs. a. At regular intervals, the Recipient or the Project Engineer will prepare a partial estimate in accordance with the terms of the contract, special provisions, and standard specifications for the Project(s). Partial estimates must be completed no Page 1 of 4 later than one month after the work covered by the estimate is completed. The Project Engineer and the contractor must certify that each partial estimate is true and correct, and that the costs have not been included on a previous estimate. b. Following certification of the partial estimate, the Recipient will make partial payments to the contractor in accordance with the terms of the contract, special provisions, and standard specifications for the Project(s). c. Following certification of the partial estimate, the Recipient may request reimbursement from the State for costs eligible for federal and state participation. A copy of the partial estimate must be included with the Recipient's request for payment. Reimbursement requests and partial estimates should not be submitted if they cover a period in which there was no progress on the Project. d. Upon completion of the Project(s), the Recipient will prepare a final estimate in accordance with the terms of the contract, special provisions, and standard specifications for the Project(s). The final estimate must be certified by the Recipient, Project Engineer and the contractor. e. Following certification of the final estimate, the Recipient will make final payment to the contractor in accordance with the terms of the contract, special provisions, and standard specifications for the Project(s). f. Following certification of the final estimate, the Recipient may request reimbursement from the State for costs eligible for federal and state participation. A request for final payment must be submitted to the State along with those project records required by the State. 7. For a Project which involves the purchase of equipment, the Recipient will be reimbursed by the State in one lump sum after the Recipient: (1) has acquired both possession and unencumbered title to the equipment; and (2) has presented proof of payment to the State, and (3) a certificate that the equipment is not defective and is in good working order. The Recipient will keep such equipment, properly stored, in good repair, and will not use the equipment for any purpose other than airport operations. 8. If the Project involves force -account work or project donations, the Recipient must obtain the written approval of the State and Federal Aviation Administration (FAA). Force -account work performed or project donations received without written approval by the State will not be reimbursed under this Agreement. Force -account work must be done in accordance with the schedule of prices and terms established by the Recipient and approved by the State. Pursuant to Minnesota Statutes Section 360.305, subdivision 4 (g) (1), the Recipient will operate its airport as a licensed, municipally -owned public airport at all times of the year for a period of 20 years from the date the Recipient receives final reimbursement under this Agreement. The Airport must be maintained in a safe, serviceable manner for public aeronautical purposes only. The Recipient will not transfer, convey, encumber, assign, or abandon its interest in the airport or in any real or personal property, which is purchased or improved with State aid funds without prior written approval from the State. If the State approves such transfer or change in use, the Recipient must comply with such conditions and restrictions as the State may place on such approval. The obligations imposed by this clause survive the expiration or termination of this Agreement. 10. This Agreement may be terminated by the Recipient or State at any time, with or without cause, upon ninety (90) days written notice to the other party. Such termination will not remove any unfulfilled financial obligations of the Recipient as set forth in this Agreement. In the event of such a termination, the Recipient will be entitled to reimbursement for eligible expenses incurred for work satisfactorily performed on the Project up to the date of termination. The State may immediately terminate this Agreement if it does not receive sufficient funding from the Minnesota Legislature or other funding source, or such funding is not provided at a level sufficient to allow for the continuation of the work covered by this Agreement. In the event of such termination, the Recipient will be reimbursed for work satisfactorily performed up to the effective date of such termination to the extent that funds are available. In the event of any complete or partial state government shutdown due to a failure to have a budget approved at the required time, the State may suspend this Agreement, upon notice to the Recipient, until such government shutdown ends, and the Recipient assumes the risk of non-payment for work performed during such shutdown. 11. Pursuant to Minnesota Rules 8800.2500, the Recipient certifies that (1) it presently has available sufficient unencumbered funds to pay its share of the Project; (2) the Project will be completed without undue delay; and (3) the Recipient has the legal authority to engage in the Project as proposed. 12. Pursuant to Minnesota Statutes Section 16C.05, subdivision 5, the Recipient will maintain such records and provide such information, at the request of the State, so as to permit the Department of Transportation, the Legislative Auditor, or the State Page 2 of 4 Auditor to examine those books, records, and accounting procedures and practices of the Recipient relevant to this Agreement for a minimum of six years after the expiration of this Agreement. 13. The Recipient will save, defend, and hold the State harmless from any claims, liabilities, or damages including, but not limited to, its costs and attorneys' fees arising out of the Project which is the subject of this Agreement. 14. The Recipient will not utilize any state or federal financial assistance received pursuant to this Agreement to compensate, either directly or indirectly, any contractor, corporation, partnership, or business, however organized, which is disqualified or debarred from entering into or receiving a State contract. This restriction applies regardless of whether the disqualified or debarred party acts in the capacity of a general contractor, a subcontractor, or as an equipment or material supplier. This restriction does not prevent the Recipient from utilizing these funds to pay any party who might be disqualified or debarred after the Recipient's contract award on this Project. 15. All contracts for materials, supplies, or construction performed under this Agreement will comply with the equal employment opportunity requirements of Minnesota Statutes Section 181.59. 16. The amount of this Agreement is limited to the dollar amounts as defined in Article 3 above. Any cost incurred above the amount obligated by the State is done without any guarantee that these costs will be reimbursed in any way. A change to this Agreement will be effective only if it is reduced to writing and is executed by the same parties who executed this Agreement, or their successors in office. 17. For projects that include consultant services, the Recipient and its consultant will conduct the services in accordance with the work plan indicated in the Recipient's contract for consultant services, which shall be on file with the State's Office of Aeronautics. The work plan is incorporated into this Agreement by reference. The Recipient will confer on a regular basis with the State to coordinate the design and development of the services. 18. The parties must comply with the Minnesota Government Data Practices Act, as it relates to all data provided to or by a party pursuant to this Agreement. 19. Minnesota law, without regard to its choice-of-law provisions, governs this Agreement. Venue for all legal proceedings arising out of this Agreement, or its breach, must be in the appropriate state or federal court with competent jurisdiction in Ramsey County, Minnesota. 20. For projects including federal funding, the Recipient must comply with applicable regulations, including, but not limited to, Title 14 Code of Federal Regulations, subchapter I, part 151; and Minnesota Rules Chapter 8800. The Catalog of Federal Domestic Assistance (CFDA) number for the federal Airport Improvement Program is 20.106. 21. For all projects, the Recipient must comply, and require its contractors and consultants to comply, with all federal and state laws, rules, and regulations applicable to the work. The Recipient must advertise, let, and award any contracts for the project in accordance with applicable laws. The State may withhold payment for services performed in violation of applicable laws. 22. Under this Agreement, the State is only responsible for receiving and disbursing federal and state funds. Nothing in this Agreement will be construed to make the State a principal, co-principal, partner, or joint venturer with respect to the Project(s) covered herein. The State may provide technical advice and assistance as requested by the Recipient, however, the Recipient will remain responsible for providing direction to its contractors and consultants and for administering its contracts with such entities. The Recipient's consultants and contractors are not intended to be third party beneficiaries of this Agreement. Page 3 of 4 State Encumbrance Verification Individual certifies that funds have been encumbered as required by Minn. Stat §§ 16A.15 and 16C.05. 12 Date SWIFT Purchase Order: Recipient Recipient certifies that the appropriate person(s) have executed the Agreement on behalf of the Recipient as required by applicable resolutions, charter provisions or ordinances. By: Steven W. Cook Title: Mayor Date: 10/28/2014 By: Marc A. Sebora Title: City Administrator Date: 10/28/2014 Commissioner, Minnesota Department of Transportation By: Director, Office of Aeronautics Date: Mn/DOT Contract Management as to form & execution 12 Date Page 4 of 4 HUTCHINSON CITY COUNCIL City �f( Request for Board Action7AL "l Agenda Item: September 2014 Financial and Investment Reports Department: Finance LICENSE SECTION Meeting Date: 10/28/2014 Application Complete N/A Contact: Andy Reid Agenda Item Type: Presenter: Reviewed by Staff ❑ Governance Time Requested (Minutes): 0 License Contingency N/A Attachments: Yes BACKGROUND/EXPLANATION OF AGENDA ITEM: For Council review, attached are the September Financial Reports for the general fund and enterprise funds. Also attached is the September Investment Report. Feel free to contact me with any questions. Thank you. BOARD ACTION REQUESTED: Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: REVENUES: Taxes Other Taxes Licenses & Permits Intergovernmental Revenue Charges for Services Fines & Forfeitures Miscellaneous Revenues Transfers -In Capital Contributions TOTAL REVENUES EXPENDITURES: Wages & Benefits Supplies Services & Charges Miscellaneous Expenses Transfers -Out Capital Outlay TOTAL EXPENDITURES TOTAL REVENUE OVER (UNDER) EXPENDITURES Summary Income Statement General Fund September 30, 2014 Month of YTD Actual 2014 Budget YTD Actual September 2014 September 2014 2014 Budget Balance % Used September 2013 2013 Budget % Used - 2,295,387.29 4,491,446.00 (2,196,058.71) 51.1% 2,280,855.16 4,491,446.00 50.8% 54,870.37 155,514.05 245,000.00 (89,485.95) 63.5% 100,330.59 140,000.00 71.7% 21,836.25 206,159.46 240,000.00 (33,840.54) 85.9% 221,376.55 222,775.00 99.4% 9,017.99 856,951.05 1,094,270.00 (237,318.95) 78.3% 850,982.79 1,099,265.00 77.4% 103,661.01 1,136,389.58 2,045,923.00 (909,533.42) 55.5% 1,164,852.25 2,056,731.00 56.6% 4,043.97 43,792.43 50,000.00 (6,207.57) 87.6% 46,912.69 45,000.00 104.3% 28,705.28 366,217.24 646,500.00 (280,282.76) 56.6% 259,722.17 325,625.00 79.8% - 713,758.00 2,066,653.00 (1,352,895.00) 34.5% 768,204.08 2,108,846.00 36.4% - 0.0% - 6,250.00 0.0% 222,134.87 5,774,169.10 10,879,792.00 (5,105,622.90) 53.1% 5,693,236.28 10,495,938.00 54.2 504,314.20 4,995,107.89 7,009,709.00 2,014,601.11 71.3% 4,937,834.77 6,778,616.00 72.8% 73,329.64 569,841.62 781,887.00 212,045.38 72.9% 519,103.49 783,840.00 66.2% 332,605.17 1,829,603.52 2,262,536.00 432,932.48 80.9% 1,745,511.31 2,393,441.00 72.9% 62,558.88 263,428.93 533,068.00 269,639.07 49.4% 193,313.37 446,805.00 43.3% 47,015.00 94,030.00 96,000.00 1,970.00 97.9% 93,236.00 93,236.00 100.0% 3,406.00 5,497.52 - (5,497.52) 100.0% 7,404.80 - 100.0% 1,023,228.89 7,757,509.48 10,683,200.00 2,925,690.52 72.6% 7,496,403.74 10,495,938.00 71.4 (801,094.02) (1,983,340.38) 196,592.00 (2,179,932.38) (1,803,167.46) General Fund Revenues by Department Department Month of YTD Actual 2014 Budget YTD Actual September 2014 September 2014 2014 Budqet Balance % Used September 2013 2013 Budqet % Used Mayor & City Council - - - 0.0% - - 0.0% City Administrator 24,806.25 48,075.00 23,268.75 51.6% 37,053.00 48,075.00 Passport application revenue was budgeted at $15K for 2014 but the program was discontinued in December 2013. 77.1% Elections - 100.00 (100.00) 100.0% - - 0.0% Finance Department 163.78 2,699.09 - (2,699.09) 100.0% 994.87 - 100.0% Motor Vehicle 27,284.42 281,411.03 310,500.00 29,088.97 90.6% 261,990.40 ATM revenue is higher than expected but is offset by higher expense as well. 288,500.00 90.8% Assessing - - - - 0.0% - - 0.0% Legal 350.00 58,652.50 98,162.00 39,509.50 59.8% 58,498.17 105,151.00 55.6% Planning 6,469.89 32,040.86 14,300.00 (17,740.86) 224.1% 20,992.27 10,775.00 194.8% Information Services 2,000.00 89,889.00 119,852.00 29,963.00 75.0% 89,839.50 114,352.00 78.6% City Hall Building 460.00 1,660.00 7,200.00 5,540.00 23.1% 1,250.00 7,200.00 17.4% Police Department 16,791.90 329,267.05 668,530.00 339,262.95 49.3% 217,743.26 371,648.00 58.6% Emergency Management - - - - 0.0% - - 0.0% Safety Committee - - - 0.0% - - 0.0% Fire Department - 7,071.25 72,500.00 65,428.75 9.8% 27,899.29 66,000.00 42.3% Protective Inspections 15,416.36 149,870.37 171,100.00 21,229.63 87.6% 161,496.40 162,900.00 99.1% Engineering (10.99) 1,015.13 468,720.00 467,704.87 0.2% 7,213.87 Annual engineering fees related to the street projects are recorded at year-end. 465,756.00 1.5% Streets & Alleys 3,866.91 143,274.70 222,000.00 78,725.30 64.5% 143,193.54 217,000.00 66.0% Park/RecreationAdministration 1,775.00 38,248.58 73,455.00 35,206.42 52.1% 37,486.08 71,000.00 52.8% Recreation 15,585.55 178,128.74 211,000.00 32,871.26 84.4% 185,961.66 220,000.00 84.5% Senior Citizen Center 10,661.84 53,300.16 57,500.00 4,199.84 92.7% 54,966.90 57,500.00 95.6% Civic Arena 3,145.09 88,266.48 233,000.00 144,733.52 37.9% 112,436.11 233,000.00 Due to the refrigeration project, no summer ice programs were offered. Expenses are lower as well. 48.3% Park Department 29,333.63 115,773.30 154,000.00 38,226.70 75.2% 97,804.90 154,000.00 63.5% Recreation Building & Pool 10,905.42 105,875.84 111,000.00 5,124.16 95.4% 112,330.30 111,000.00 101.2% Events Center 8,087.23 73,821.38 115,000.00 41,178.62 64.2% 78,889.96 115,000.00 68.6% Evergreen Building 427.00 4,102.00 5,533.00 1,431.00 74.1% 7,130.05 9,900.00 72.0% Library - 500.00 1,000.00 500.00 50.0% 1,000.00 - 100.0% Cemetery 11,315.05 78,845.45 85,100.00 6,254.55 92.7% 73,608.41 100,075.00 73.6% Airport 2,193.70 65,560.12 94,500.00 28,939.88 69.4% 48,978.52 90,600.00 54.1% Revenue Department 55,913.09 3,849,449.82 7,459,407.00 3,609,957.18 51.6% 3,837,728.35 7,399,653.00 51.9% Unallocated General Expense - 540.00 78,358.00 77,818.00 0.7% 16,750.47 76,853.00 21.8% TOTAL REVENUES 222 134.87 5,774,169.10 10 879 792.00 5,105,622.90 53.1 % 5,693,236.28 10 495 938.00 54.2% General Fund Expenditures by Department Department Month of YTD Actual 2014 Budget YTD Actual September 2014 September 2014 2014 Budqet Balance % Used September 2013 2013 Budqet % Used Mayor & City Council 5,208.89 32,618.91 48,823.00 16,204.09 66.8% 32,796.17 52,016.00 63.1% City Administrator 19,788.11 272,904.36 412,884.00 139,979.64 66.1% 296,891.79 387,401.00 76.6% Elections 431.17 8,722.53 15,962.00 7,239.47 54.6% 1,179.34 10,000.00 11.8% Finance Department 17,926.67 214,639.91 295,894.00 81,254.09 72.5% 270,212.02 371,863.00 72.7% Motor Vehicle 15,293.43 210,578.86 254,100.00 43,521.14 82.9% 226,390.14 275,413.00 Higher than budget due to ATM expense which is offset by higher ATM revenue as well. All other expenses are under budget. 82.2% Assessing 60,963.00 60,963.00 60,963.00 - 100.0% 61,005.00 61,911.00 98.5% Legal 19,403.13 177,132.96 256,142.00 79,009.04 69.2% 176,571.84 252,067.00 70.0% Planning 11,864.02 96,754.40 135,012.00 38,257.60 71.7% 106,749.27 123,210.00 86.6% Information Services 26,760.50 288,512.64 427,012.00 138,499.36 67.6% 359,177.41 499,332.00 71.9% City Hall Building 7,809.84 65,871.53 83,494.00 17,622.47 78.9% 64,797.29 121,096.00 53.5% Police Department 261,129.48 2,279,663.14 3,197,339.00 917,675.86 71.3% 2,080,197.88 2,889,291.00 72.0% Emergency Management 297.95 5,571.32 14,839.00 9,267.68 37.5% 16,940.81 13,000.00 130.3% Safety Committee - 7,937.32 13,276.00 5,338.68 59.8% 7,970.49 13,450.00 59.3% Fire Department 16,019.81 183,988.85 273,924.00 89,935.15 67.2% 224,881.54 309,187.00 72.7% Protective Inspections 16,677.66 138,120.15 178,407.00 40,286.85 77.4% 140,172.31 208,350.00 67.3% Engineering 31,613.60 299,774.81 424,543.00 124,768.19 70.6% 388,855.80 465,756.00 83.5% Streets & Alleys 154,067.09 1,204,647.32 1,374,733.00 170,085.68 87.6% 1,007,546.59 1,369,738.00 Extreme winter adversely affected budget. Dept is holding line on expenses the rest of the year. 73.6% Park/Recreation Administration 15,750.12 159,452.90 218,929.00 59,476.10 72.8% 158,460.06 213,127.00 74.4% Recreation 31,884.53 175,566.22 218,072.00 42,505.78 80.5% 176,686.08 217,610.00 81.2% Senior Citizen Center 8,382.51 58,220.55 68,620.00 10,399.45 84.8% 59,642.79 69,749.00 Higher expenses related to the number of senior events offerred which is offset by higher reimbursements from the seniors. 85.5% Civic Arena 15,392.43 205,903.66 309,957.00 104,053.34 66.4% 235,108.35 No summer ice resulted in lower expenses, but lower revenue as well. 331,469.00 70.9% Park Department 56,839.27 620,960.90 794,003.00 173,042.10 78.2% 602,478.37 757,260.00 79.6% Recreation Building & Pool 8,599.98 160,843.54 190,756.00 29,912.46 84.3% 146,299.14 Higher expenses incurred in getting the wading pool operational for the summer. 185,885.00 78.7% Events Center 21,741.52 161,635.02 219,027.00 57,391.98 73.8% 144,529.98 213,650.00 67.6% Evergreen Building 1,167.08 10,084.72 17,393.00 7,308.28 58.0% 11,959.91 11,880.00 100.7% Library 43,034.54 144,216.80 190,606.00 46,389.20 75.7% 141,715.99 190,937.00 74.2% Cemetery 6,867.66 75,298.45 107,072.00 31,773.55 70.3% 59,725.93 109,104.00 54.7% Airport 4,213.03 62,762.26 99,776.00 37,013.74 62.9% 53,845.66 99,700.00 54.0% Revenue Department - - - - 0.0% - - 0.0% Unallocated General Expense 144,101.87 374,162.45 781,642.00 407,479.55 47.9% 243,615.79 672,486.00 36.2% TOTAL EXPENDITURES 1,023,228.89 7 757 509.48 10 683 200.00 2,925,690.52 72.6 % 7,496,403.74 10 495 938.00 71.4% Summary Income Statement Liquor Fund September 30, 2014 TOTAL REVENUES 427,086.07 4,062,860.08 5,398,000.00 (1,335,139.92) 75.3% 3,911,005.75 5,428,550.00 72.0 Gross Margin % 23.2% 24.5% 25.0% 24.6% 24.1% EXPENDITURES Cost of Sales Month of YTD Actual 4,045,650.00 2014 Budget 75.8% YTD Actual 4,115,697.00 71.6% Wages & Benefits September 2014 September 2014 2014 Budget Balance % Used September 2013 2013 Budget % Used REVENUES: Supplies 1,080.23 13,574.52 15,600.00 2,025.48 87.0% 12,129.16 16,600.00 Sales - Liquor 141,740.23 1,345,208.50 1,811,000.00 (465,791.50) 74.3% 1,276,839.68 1,803,150.00 70.8% Sales - Wine 62,258.46 607,615.78 951,000.00 (343,384.22) 63.9% 629,345.43 898,430.00 70.0% Sales - Beer 215,555.55 2,068,438.33 2,631,000.00 (562,561.67) 78.6% 1,998,384.36 2,709,500.00 73.8% Sales - Other 7,379.61 38,989.71 2,000.00 36,989.71 1949.5% 2,175.83 14,470.00 15.0% Other Revenues 152.22 2,607.76 3,000.00 (392.24) 86.9% 4,260.45 3,000.00 142.0 TOTAL REVENUES 427,086.07 4,062,860.08 5,398,000.00 (1,335,139.92) 75.3% 3,911,005.75 5,428,550.00 72.0 Gross Margin % 23.2% 24.5% 25.0% 24.6% 24.1% EXPENDITURES Cost of Sales 328,004.60 3,064,921.11 4,045,650.00 980,728.89 75.8% 2,946,644.90 4,115,697.00 71.6% Wages & Benefits 37,325.07 380,498.40 502,400.00 121,901.60 75.7% 358,754.65 488,190.00 73.5% Supplies 1,080.23 13,574.52 15,600.00 2,025.48 87.0% 12,129.16 16,600.00 73.1 Services & Charges 25,600.68 133,616.10 186,264.00 52,647.90 71.7% 144,748.13 196,750.00 73.6% Miscellaneous Expenses - 3,551.99 5,500.00 1,948.01 64.6% 4,869.21 3,650.00 133.4 Depreciation Expense - 73,600.00 73,600.00 0.0% - 70,940.00 0.0% Capital Outlay 31,578.62 27,000.00 (4,578.62) 117.0% 14,098.05 31,000.00 45.5% Debt Service - 128,385.00 128,385.00 0.0% - 128,295.00 0.0% Transfers -Out - - 450,000.00 450,000.00 0.0% - 435,000.00 0.0% TOTAL EXPENDITURES 392,010.58 3,627,740.74 5,434,399.00 1,806,658.26 66.8% 3,481,244.10 5,486,122.00 63.5 TOTAL REVENUE OVER (UNDER) EXPENDITURES 35,075.49 435,119.34 (36,399.00) 471,518.34 429,761.65 (57,572.00) Comments REVENUES: Year to Date Sales YTD Customer Count 167,361 164,233 1.9 Average Sale per Customer $24.26 $23.79 2.0 2014 2013 Change Liquor 1,345,209 1,276,840 5.4% Wine 607,616 629,345 -3.5% Beer 2,068,438 1,998,384 3.5% Other 38,990 2,176 1691.9 Total Sales 4,060,252 3,906,745 3.9% YTD Customer Count 167,361 164,233 1.9 Average Sale per Customer $24.26 $23.79 2.0 18,178 17,182 5.8% $23.49 $22.80 3.0 With the new cash register system and software, discounts are being recorded as reductions in the specific sales categories (Liquor, Wine & Beer). This is a change from the prior system that was able to record all discounts as a separate category that was included within the Sales -Other line item. Therefore, starting in July 2014 with the new system, the Other category will grow larger than the prior year while Liquor, Wine and Beer will be reduced due to the accounting for the discounts. The Other sales line includes all other sales items such as ice, soda, mixes, souvenirs, etc. Monthly Sales 2014 2013 Change 141,740 126,218 12.3 62,258 58,315 6.8% 215,556 205,719 4.8% 7,380 1,501 391.5 426,934 391,754 9.0% 18,178 17,182 5.8% $23.49 $22.80 3.0 With the new cash register system and software, discounts are being recorded as reductions in the specific sales categories (Liquor, Wine & Beer). This is a change from the prior system that was able to record all discounts as a separate category that was included within the Sales -Other line item. Therefore, starting in July 2014 with the new system, the Other category will grow larger than the prior year while Liquor, Wine and Beer will be reduced due to the accounting for the discounts. The Other sales line includes all other sales items such as ice, soda, mixes, souvenirs, etc. Summary Income Statement Water Fund September 30, 2014 Month of YTD Actual 2014 Budget YTD Actual September 2014 September 2014 2014 Budget Balance % Used September 2013 2013 Budget % Used REVENUES: Local Sales Tax 79,686.81 410,640.25 650,000.00 (239,359.75) 63.2% 331,144.39 420,000.00 78.8% Water Sales 241,354.41 1,752,169.80 2,381,500.00 (629,330.20) 73.6% 1,765,107.78 2,347,500.00 75.2% Charges for Services 1,995.65 42,654.11 42,500.00 154.11 100.4% 49,287.75 41,000.00 120.2% Investment Earnings - (28.73) 20,000.00 (20,028.73) -0.1% 2,928.15 20,000.00 14.6 Reimbursements 340.00 2,181.83 64,192.00 (62,010.17) 3.4% 3,760.14 64,148.00 5.9% Other Financing Sources - - - 250,000.00 0.0% - - 0.0 Fund Balance 1,043,720.15 1,229,916.00 186,195.85 0.0% 1,037,071.68 1,218,848.00 0.0 TOTAL REVENUES 323,376.87 2,207,617.26 3,158,192.00 (950,574.74) 69.9% 2,152,228.21 2,892,648.00 74.4 EXPENDITURES: Wages & Benefits 32,431.61 293,081.12 427,480.00 134,398.88 68.6% 318,903.85 465,623.00 68.5% Supplies 11,099.59 73,775.46 124,250.00 50,474.54 59.4% 80,195.94 128,825.00 62.3% Services & Charges 87,715.61 364,372.48 409,618.00 45,245.52 89.0% 320,918.54 440,470.00 72.9% Miscellaneous Expenses 268.39 9,488.61 22,000.00 12,511.39 43.1% 8,472.50 15,850.00 53.5 Depreciation Expense - - 1,105,500.00 1,105,500.00 0.0% - 1,057,860.00 0.0% Capital Outlay - 250,000.00 250,000.00 0.0% 313,090.31 250,000.00 125.2% Debt Service 1,043,720.15 1,229,916.00 186,195.85 84.9% 1,037,071.68 1,218,848.00 85.1 Transfers -Out 43,145.00 43,145.00 0.0% 43,145.00 0.0 TOTAL EXPENDITURES 131,515.20 1,784,437.82 3,611,909.00 1,827,471.18 49.4% 2,078,652.82 3,620,621.00 57.4 TOTAL REVENUE OVER (UNDER) EXPENDITURES 191,861.67 423,179.44 (453,717.00) 876,896.44 73,575.39 (727,973.00) Comments REVENUES: Water Sales YTD water usage is up 0.6%, driven by a 7.6% increase in Industrial usage. One Industrial user is up 30%, another is up 2% while the third is down 8%. The industrial user seeing the reduction has recently begun using well water in production rather than city water which could adversely impact revenue by $50K on an annualized basis. Residential is down 2% and Commercial is holding steady. WATER USAGE: YTD 2014 YTD 2013 Change Residential 206,342,000 210,667,000 (4,325,000) -2.1 Commercial 69,350,000 69,295,000 55,000 0.1 Industrial 90,843,000 84,401,000 6,442,000 7.6% Totals 366,535,000 364,363,000 2,172,000 0.6% Summary Income Statement Sewer Fund September 30, 2014 Comments REVENUES: Sewer Sales Total YTD sales are up 1.7% when compared to last year's sales without the Ethanol Plant 2013 billings of $128,214. Month of YTD Actual 2014 Budget YTD Actual September 2014 September 2014 2014 Budget Balance % Used September 2013 2013 Budget % Used REVENUES: Local Sales Tax 79,686.80 410,985.85 650,000.00 (239,014.15) 63.2% 457,141.83 580,000.00 78.8% Sewer Sales 266,338.24 2,431,690.14 3,132,000.00 (700,309.86) 77.6% 2,508,225.94 3,190,000.00 78.6% Permits - 6,700.00 7,000.00 (300.00) 95.7% 6,900.00 7,000.00 98.6 Charges for Services 5,119.00 7,000.00 (1,881.00) 73.1% 896.02 7,000.00 12.8% Investment Earnings - (805.48) 20,000.00 (20,805.48) -4.0% 4,025.07 20,000.00 20.1 Reimbursements 2,702.92 25,841.75 64,192.00 (38,350.25) 40.3% 17,602.64 64,148.00 27.4% Other Financing Sources - - - 0.0% - - 0.0 Fund Balance - 0.0% 0.0 TOTAL REVENUES 348,727.96 2,879,531.26 3,880,192.00 (1,000,660.74) 74.2% 2,994,791.50 3,868,148.00 77.4 EXPENDITURES: Wages & Benefits 47,610.61 444,212.04 608,184.00 163,971.96 73.0% 434,837.99 653,623.00 66.5% Supplies 25,812.46 156,742.57 249,810.00 93,067.43 62.7% 145,001.34 254,700.00 56.9% Services & Charges 115,344.32 573,116.26 743,765.00 170,648.74 77.1% 535,296.78 837,960.00 63.9% Miscellaneous Expenses 1,914.97 26,101.01 26,100.00 (1.01) 100.0% 16,160.87 27,000.00 59.9% Depreciation Expense - - 1,589,300.00 1,589,300.00 0.0% - 1,647,960.00 0.0% Capital Outlay - 350,000.00 350,000.00 0.0% 68,199.57 350,000.00 19.5% Debt Service 1,362,621.37 1,590,266.00 227,644.63 85.7% 1,354,760.01 1,528,394.00 88.6% Transfers -Out 43,145.00 43,145.00 0.0% 43,145.00 0.0 TOTAL EXPENDITURES 190,682.36 2,562,793.25 5,200,570.00 2,637,776.75 49.3% 2,554,256.56 5,342,782.00 47.8 TOTAL REVENUE OVER (UNDER) EXPENDITURES 158,045.60 316,738.01 (1,320,378.00) 1,637,116.01 440,534.94 (1,474,634.00) Comments REVENUES: Sewer Sales Total YTD sales are up 1.7% when compared to last year's sales without the Ethanol Plant 2013 billings of $128,214. REVENUES: Storm Water Sales Licenses & Permits Charges for Services Investment Earnings Reimbursements Fund Balance TOTAL REVENUES Summary Income Statement Stormwater Fund September 30, 2014 Month of YTD Actual 2014 Budget YTD Actual September 2014 September 2014 2014 Budget Balance % Used September 2013 2013 Budget % Used 61,172.30 545,551.87 719,500.00 (173,948.13) 75.8% 501,849.34 664,350.00 75.5% 35.00 810.00 - 810.00 100.0% 2,575.00 - 100.0 - - 1,000.00 (1,000.00) 0.0% - 1,000.00 0.0% (417.64) 1,000.00 (1,417.64) -41.8% 549.68 1,000.00 55.0% 2,918.00 250.00 2,668.00 1167.2% 3,641.14 - 100.0% - - - 0.0% - Capital Outlay 0.0 61,207.30 548,862.23 721,750.00 (172,887.77) 76.0% 508,615.16 666,350.00 76.3 EXPENDITURES: Wages & Benefits 7,979.16 77,036.45 208,737.00 131,700.55 36.9% 84,849.06 211,877.00 40.0% Supplies 1,137.24 14,497.84 33,150.00 18,652.16 43.7% 4,967.86 29,100.00 17.1% Services & Charges 34,415.81 103,438.89 146,450.00 43,011.11 70.6% 54,685.09 144,300.00 37.9% Miscellaneous Expenses 3,388.14 8,012.20 8,050.00 37.80 99.5% 7,204.74 2,200.00 327.5 Depreciation Expense - - 111,200.00 111,200.00 0.0% - 113,060.00 0.0% Capital Outlay - - 128,000.00 128,000.00 0.0% 16,302.55 120,000.00 13.6% Debt Service 450.00 146,994.30 193,932.00 46,937.70 75.8% 148,809.30 198,857.00 74.8% Transfers -Out - - - - 0.0% - - 0.0 TOTAL EXPENDITURES 47,370.35 349,979.68 829,519.00 479,539.32 42.2% 316,818.60 819,394.00 38.7 TOTAL REVENUE OVER (UNDER) EXPENDITURES 13,836.95 198,882.55 (107,769.00) 306,651.55 191,796.56 (153,044.00) Summary Income Statement HATS Fund September 30, 2014 TOTAL REVENUES 125,468.48 652,133.92 779,700.00 (127,566.08) 83.6% 595,943.85 767,632.00 77.6 EXPENDITURES Wages & Benefits Month of YTD Actual 52,235.00 2014 Budget 103.9% YTD Actual 52,665.00 96.8 Supplies September 2014 September 2014 2014 Budget Balance % Used September 2013 2013 Budget % Used REVENUES: Services & Charges 27,629.30 121,401.29 147,500.00 26,098.71 82.3% 106,716.04 150,080.00 Intergovernmental 43,397.50 128,987.50 147,070.00 (18,082.50) 87.7% 90,956.70 136,396.00 66.7% Charges for Services 35,055.98 412,019.83 535,000.00 (122,980.17) 77.0% 392,972.86 535,000.00 73.5% Investment Earnings - 142.59 1,100.00 (957.41) 13.0% 142.67 1,000.00 14.3% Reimbursements - 16,954.00 2,500.00 14,454.00 678.2% 18,635.62 2,000.00 931.8% Transfers -In 47,015.00 94,030.00 94,030.00 - 100.0% 93,236.00 93,236.00 100.0% TOTAL REVENUES 125,468.48 652,133.92 779,700.00 (127,566.08) 83.6% 595,943.85 767,632.00 77.6 EXPENDITURES Wages & Benefits 5,281.04 54,259.97 52,235.00 (2,024.97) 103.9% 50,995.35 52,665.00 96.8 Supplies 6,372.54 360,217.00 536,825.00 176,608.00 67.1% 395,742.00 535,000.00 74.0% Services & Charges 27,629.30 121,401.29 147,500.00 26,098.71 82.3% 106,716.04 150,080.00 71.1 Miscellaneous Expenses - - 5,100.00 5,100.00 0.0% 35.00 5,077.00 0.7% Depreciation Expense - - 0.0% - - 0.0 Capital Outlay 37,960.00 37,960.00 0.0% 20,500.00 0.0% Debt Service - - 0.0% - 0.0 Transfers -Out - - - - 0.0% - - 0.0 TOTAL EXPENDITURES 39,282.88 535,878.26 779,620.00 243,741.74 68.7% 553,488.39 763,322.00 72.5 TOTAL REVENUE OVER (UNDER) EXPENDITURES 86,185.60 116,255.66 80.00 116,175.66 42,455.46 4,310.00 Comments REVENUES: Charges for Services This income category consists of the fuel revenue from various governmental entities and City departments. EXPENSES: Supplies This expense category consists of the fuel purchased for use by various governmental entities and City departments. YTD 2014 expense is low due to a timing difference in paying fuel invoices. The September fuel invoice will be paid in October. Summary Income Statement Compost Fund September 30, 2014 Month of YTD Actual 2014 Budget YTD Actual September 2014 September 2014 2014 Budget Balance % Used September 2013 2013 Budget % Used REVENUES: Sales -Bagged Product 111,466.74 2,461,573.92 2,288,300.00 173,273.92 107.6% 2,248,573.54 1,982,500.00 113.4% Sales - Bulk Product 31,596.94 240,930.85 175,000.00 65,930.85 137.7% 188,060.39 200,000.00 94.0% Sales - Other 7,657.37 134,298.13 45,550.00 88,748.13 294.8% 99,036.54 52,250.00 189.5 Charges for Services 2,910.00 1,153.60 133,500.00 (132,346.40) 0.9% 75,818.96 129,000.00 58.8% Investment Earnings - (955.36) 5,000.00 (5,955.36) -19.1% (237.68) 2,500.00 -9.5% Reimbursements - 243.98 1,000.00 (756.02) 24.4% 533.38 1,000.00 53.3% Other Revenues 440.00 440.00 - 440.00 100.0% - - 0.0% TOTAL REVENUES 154,071.05 2,837,685.12 2,648,350.00 189,335.12 107.1% 2,611,785.13 2,367,250.00 110.3 EXPENDITURES: Cost of Sales 44,613.17 2,192,269.30 1,947,380.00 (244,889.30) 112.6% 1,927,857.62 1,467,050.00 131.4% Inventory Cost Adjustment (67,500.00) (868,238.90) (972,802.00) (104,563.10) 89.3% (858,460.48) (508,200.00) 168.9 Wages & Benefits 59,090.71 554,840.23 780,684.00 225,843.77 71.1% 556,240.38 706,935.00 78.7 Supplies 25,097.42 114,053.55 134,500.00 20,446.45 84.8% 143,497.48 128,500.00 111.7% Services & Charges 18,629.68 130,866.70 151,555.00 20,688.30 86.3% 160,423.92 158,500.00 101.2 Freight 25,239.94 144,227.68 180,000.00 35,772.32 80.1% 170,042.40 170,000.00 100.0% Miscellaneous Expenses 932.00 6,390.76 13,000.00 6,609.24 49.2% 6,657.87 14,340.00 46.4 Depreciation Expense - - 140,500.00 140,500.00 0.0% - 141,780.00 0.0% Capital Outlay 4,300.00 56,909.18 157,888.00 100,978.82 36.0% 112,443.76 10,833.00 1038.0% Transfers -Out - - 102,847.00 102,847.00 0.0% - 90,775.00 0.0% TOTAL EXPENDITURES 110,402.92 2,331,318.50 2,635,552.00 304,233.50 88.5% 2,218,702.95 2,380,513.00 93.2 TOTAL REVENUE OVER (UNDER) EXPENDITURES 43,668.13 506,366.62 12,798.00 493,568.62 393,082.18 (13,263.00) Summary Income Statement Refuse Fund September 30, 2014 Month of YTD Actual 2014 Budget YTD Actual September 2014 September 2014 2014 Budget Balance % Used September 2013 2013 Budget % Used REVENUES: Refuse Sales 95,868.78 852,794.22 1,138,287.00 (285,492.78) 74.9% 850,629.13 1,145,150.00 74.3% Intergovernmental - 5,857.88 12,500.00 (6,642.12) 46.9% 6,195.38 12,500.00 49.6% Investment Earnings - (334.40) 2,500.00 (2,834.40) -13.4% 909.43 2,500.00 36.4% Reimbursements 171.79 1,171.79 - 1,171.79 100.0% - - 0.0% Fund Balance - - - 0.0% - 0.0% TOTAL REVENUES 96,040.57 859,489.49 1,153,287.00 (293,797.51) 74.5% 857,733.94 1,160,150.00 73.9% EXPENDITURES: Wages & Benefits 13,346.40 124,903.65 153,350.00 28,446.35 81.5% 134,721.15 172,065.00 78.3% Supplies 7,861.09 44,533.25 68,500.00 23,966.75 65.0% 41,891.23 61,700.00 67.9% Services & Charges 97,452.06 505,227.42 720,873.00 215,645.58 70.1% 451,672.47 687,625.00 65.7% Miscellaneous Expenses 190.97 1,633.55 1,250.00 (383.55) 130.7% 109.50 - 100.0% Depreciation Expense - - 116,100.00 116,100.00 0.0% - 132,510.00 0.0% Capital Outlay - 110,000.00 110,000.00 0.0% 38,952.34 31,930.00 122.0% Debt Service 1,311.92 24,260.00 22,948.08 5.4% 1,808.80 24,261.00 7.5% Transfers -Out - - 55,000.00 55,000.00 0.0% - 55,000.00 0.0% TOTAL EXPENDITURES 118,850.52 677,609.79 1,249,333.00 571,723.21 54.2% 669,155.49 1,165,091.00 57.4% TOTAL REVENUE OVER (UNDER) EXPENDITURES (22,809.95) 181,879.70 (96,046.00) 277,925.70 188,578.45 (4,941.00) Report created on. October 01, 2014 Pagel of 3 Prepared for City Hutchinson U UBS tc RP 38446 •City of Hutchinson •Business Service Account Risk profile. Conservative Return Objective. Current Income Executive summary as of September 30, 2014 Asset allocation review Expected cash flow Value on % of $ Thousands 0913012014($) portfolio 36 A Cash 3,206,054.72 23.38 30 Cash 3,206,054.72 23.38 B Fixed Income 10,508,634.01 76.62 23 Us 10,059,538.14 73.35 1s International 449,095.87 C Equity 0.00 3.27A 0.00 12 D Commodities 0.00 0.00 6 - - - - - E Non -Traditional 0.00 F Other 0.00 0.00 0.00 a 0 Total Portfolio $13,714,688.73 100% Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep 2014 2015 2015 Balanced mutual funds are allocated In the 'Othercategory Taxable income Total taxable income: $137,232.55 Total expected cash flow: $137,232.55 Cash flows displayed account for known events such as maturities and mandatory puts. Equity sector analysis Credit quality of bond holdings Value on % of Effective credit rating Issues 0913012014($) port. A Aaa1AAA1AAA 4 3,465,476.00 32.96 Portfolio does not contain applicable holdings - exhibit B Aa/AA/AA 4 3,026,22288 28.76 F A intentionally left blank. C wwA 0 0.00 0.00 D Baa/BBB/BBB 0 0.00 0.00 E Non -investment grade 0 0.00 0.00 F Certificate of deposit 18 4,016,935.13 38.27 a G Not rated 0 0.00 0.00 Total 26 $10,508,634.01 100 Report created on. October 01, 2014 Pagel of 3 f Prepared for City of Hutchinson RP 38446 • City of Hutchinson • Business Service Account Risk profile. Conservative Return Objective. Current Income SU 1 1 1 1 1 1 a ry Includes all fixed-rate securities In the selected portollo. Average yields and durations exclude Structured Product, Pass -Through, Perpetual Preferred, and Foreign securities. as of September 30, 2014 Bond overview Investment type allocation Total quantity 10,432,000 Total market value $10,478,288.34 % of Total accrued interest $30,345.67 Tax exempt I bond Total market value plus accrued interest $10,508,634.01 Investment type Taxable ($) deferred ($) Total ($) port. Total estimated annual bond interest $141,952.25 Certificates of deposit 4,016,935.13 0.00 4,016,935.13 38.23 Average coupon 1.38% Municipals 1,530,594.54 0.00 1,5 30,594 54 14.57 Average current yield 1.35% U.S. federal agencies 4,961,104.34 0.00 4,961,104.34 47.21 Average yield to maturity 0.90 Average yield to worst 090% Total $10,508,634.01 $0.00 $10,508,634.01 100 Average modified duration 2.04 Average effective maturity 4.80 Credit quality of bond holdings Bond maturity schedule $ Millions Value on % of Effective credit rating Issues 0913012014($) port. A AaatAAAtAAA 4 3,465,476.00 32.96 3.5 2E.4 B Aa/AA/AA 4 3,026,222.88 28.76 F A 3.0 24.4% C AIAIA 0 0.00 0.00 2.5 D Baa/BBVBBB 0 0.00 0.00 20 E Non -investment grade 0 0.00 0.00 14.2% F Certificate of deposit 18 4,016,935.13 38.27 a 1.5 G Not rated 0 0.00 0.00 1.0 a.a% a.�% Total 26 $10,508,634.01 100% 0.5 z.s% 00%00%00%00% 0.0 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20252025+Other 0 Effective maturity schedule Cash, mutual funds and some preferred securities are not included. Report created on. October 01, 2014 Pagel of 2 2020 1 500,000 10,450.00 2.09% 2.05 % 2.05 % 5.20 499,995 970.00 504,506.3 Prepared for City Hutchinson UBS 4* U NA NA NA 2022 tc RP 38446 •City of Hutchinson •Business Service Account 15,000.00 101% NA NA NA 1,500,000 -8,205.00 1,495,628.3 2023 3 3,000,000 Risk profile. Conservative NA NA 3,000,000 -16,780.00 2,990,511.E 2024 0 0 NA Return Objective. Current Income SIncludes fixed-rate In NA durations NA all 0 securities the selected porfollo. Average yields and exclude Structured Product, Pass -Through, Perpetual Preferred, and Foreign securities. as of September 30, 2014 0 0 NA NA NA Summary of bond holdings 0 0 NA NA NA Maturity Est annual Current Yield to Yield to Modified Adjusted Unrealized Year Issues Quantity income ($) yield (%) maturity (%) worst (%) duration cost basis ($) gain/ loss ($) Mkt. value ($) % of bond portfolii 2014 1 249,000 1,992.00 0.80% 0.18 % 0.18 % 0.21 249,000 323.70 249,907.66238% Other 2015 11 2,550,000 20,884.00 0.82% 0.34 % 0.34 % 0.64 2,550,000 7,106.07 2,5 61,375 441 2441. 2016 1 145,000 1,812.50 1.24% 0.79 % 0.79 % 1.83 145,000 1,215.10 146,473.32111.4% 2017 6 1,748,000 44,348.75 2.45% 1.03 % 1.03 % 2.46 1,785,919.39 22,631.08 1,816,965.81 ��1726% 2018 1 240,000 3,240.00 1.37% 1.80 % 1.80 % 3.90 240,000 -4,212.00 236,018.7910225% 2019 1 500,000 11,725.00 2.32% 2.11 % 2.11 % 4.54 507,063.83 -1,738.83 507,246.60 4.82% 2020 1 500,000 10,450.00 2.09% 2.05 % 2.05 % 5.20 499,995 970.00 504,506.3 2021 0 0 NA NA NA 2022 1 1,500,000 15,000.00 101% NA NA NA 1,500,000 -8,205.00 1,495,628.3 2023 3 3,000,000 32,500.00 1.09% NA NA NA 3,000,000 -16,780.00 2,990,511.E 2024 0 0 NA NA NA 2027 0 0 NA NA NA 2028 0 0 NA NA NA 2029 0 0 NA NA NA 2030 0 0 NA NA NA 2031 0 0 NA NA NA 2034 0 0 NA NA NA 2035 0 0 NA NA NA 2036 0 0 NA NA NA 2037 0 0 NA NA NA 2038 0 0 NA NA NA 2039 0 0 NA NA NA 2040 0 0 NA NA NA 2041 0 0 NA NA NA 2042 0 0 NA NA NA 2043 0 0 NA NA NA 2043+ 0 0 NA NA NA Other 0 0 NA NA NA Total 26 10,432,000 $141,952.25 1.35% 0.90 % 0.90 % 2.04 $10,476,978.22 $1,310.12 $10,508,634.01 1424% - 28.47% Report created on. October 01, 2014 Pagel of 6 Bond holdings - as of September 30, 2014 (continued) Details of bond holdings Prepared for City of Hutchinson RP 38446 • City of Hutchinson • Business Service Account Risk profile. Conservative Return Objective. Current Income Report created on. October 01, 2014 Page 2 of 6 Effective rating/ Est annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM (%B Modified cost basis ($)/ Market Mkt value ($)/ bond (Mdy/Fitch/S&P) Quantity Coupon maturity Call price ($) Curr yield (%) YTW (%) duration Unreal. g/I ($) price ($) Accr interest ($) port. 10,432,000 1.38% 07/18/2019 NA $141,952.25 0.90% 2.04 $10,476,978.22 NA $10,478,288.34 100 Total Bond Portfolio 1.35% 0.90% $1,310.12 $30,345.67 $10,508,634.01 Effective rating/ Est. annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM (%B Modified cost basis ($)/ Market Mkt value ($)/ bond (Mdy/Fitch/S&P) Quantity Coupon maturity Call price ($) Curr yield (%) YTW (%) duration Unreal.g/I ($) price ($) Accr interest ($) port. Maturing 2014 HUNTINGTON NATL BK OH US RT CD 249,000 0.80% 12/15/2014 1,992.00 0.18% 0.21 249,000.00 100.130 249,323.70 2.38% 00.8000 % MAT 12/15/14 FIXED 080% 018% 323.70 583.96 RATE CD/OH Total 2014 249,000 0.80% 12/15/2014 $1,992.00 0.18% 0.21 $249,000.00 $249,323.70 2.38 0.80% 0.18% $323.70 $583.96 Effective rating/ Est annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM (%B Modified cost basis ($)/ Market Mkt value ($)/ bond (Mdy/Fitch/S&P) Quantity Coupon maturity Call price ($) Curr yield (%) YTW (%) duration Unreal. qll ($) price ($) Accr interest ($) port. Maturing 2015 ALLY BANK UT US RT 00.9500 % CD 248,000 095% 02/09/2015 2,356.00 007% 0.36 248,000.00 100.319 248,791 12 2.37 MAT 02/09/15 FIXED RATE CD 095% 007% 791.12 342.10 /UT GOLDMAN SACHS BANK NY US CD 248,000 1 05% 02/09/2015 2,604.00 047% 0.36 248,000.00 100.209 248,518.32 2.37 RT 01.0500 % MAT 02/09/15 1.05 % 047% 518.32 378.12 FIXED RATE CD /NY DORAL BANK PR RT 00.9500 % CD 248,000 095% 02/10/2015 2,356.00 007% 0.36 248,000.00 100.321 248,796.08 2.37 MAT 02/10/15 FIXED RATE CD 095% 007% 796.08 329.19 /PR GE CAP BK UT US RT 01.1000 % CD 115,000 1 10 % 06/08/2015 1,265 00 0.53 % 0.68 115,000.00 100.389 115,447.35 1.10 MAT 06/08/15 FIXED RATE CD 110% 053% 447.35 388.16 /UT BANK LEUMI NY US RT CD 249,000 0.80% 06/15/2015 1,992.00 0.13% 0.70 249,000.00 100.473 250,177.77 2.39% 00.8000% MAT 06/15/15 FIXED 0.80% 0.13% 1,177.77 583.96 RATE CD/NY DISCOVER BANK DE US RT CD 248,000 1.05 % 06/15/2015 2,604.00 0.38% 0.70 248,000.00 100.472 249,170.56 2.38% 01.0500% MAT 06/15/15 FIXED 1.05% 0.38% 1,170.56 777.63 RATE CD/DE Report created on. October 01, 2014 Page 2 of 6 Bond holdings - as of September 30, 2014 (continued) Prepared for City of Hutchinson RP 38446 • City of Hutchinson • Business Service Account Risk profile. Conservative Return Objective. Current Income Report created on. October 01, 2014 Page 3 of 6 Effective rating/ Est annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM (%B Modified cost basis ($)/ Market Mkt value ($)/ bond (Mdy/Fitch/S&P) Quantity Coupon maturity Call price ($) Curr yield (%) YTW (%) duration Unreal. all ($) price ($) Accr interest ($) port. Maturing 2015 BANK OF CHINA LTD US RT CD 249,000 0.30 % 06/18/2015 747.00 047% 0.71 249,000.00 99.875 248,688.75 2.37 00.3000% MAT 06/18/15 FIXED 0.30% 0.47% -311.25 212.84 RATE CD EVERBANKFIT USRT00.5000% KD 248,000 0.50% 06/19/2015 1,240.00 0.54% 0.72 248,000.00 99.972 247,930.56 2.37 MAT 06/19/15 FIXED RATE CD /FL 050% 0.54% -69.44 349.92 STATE BK US RT 00.5000% MAT CD 200,000 0.50% 06/26/2015 1,000.00 0.54% 0.73 200,000.00 99.967 199,934.00 1.91 06/26/15 FIXED RATE CD 050% 0.54% -66.00 260.27 SALLIE MAE BANK UT US RT :OA 248,000 1.10% 08/10/2015 2,728.00 0.49% 0.86 248,000.00 100.527 249,306.96 2.38% 01.1000% MAT 08/10/15 FIXED 1.09% 0.49% 1,306.96 396.12 RATE CD /UT SAFRA NATL BK NY US RT CD 249,000 080% 08/17/2015 1,992 00 0.19 % 0.88 249,000.00 100.540 250,344.60 2.39 00.8000% MAT 08/17/15 FIXED 0.80% 0.19% 1,344.60 251.05 RATE CD /NY Total 2015 2,550,000 0.82% 05/23/2015 $20,884.00 0.34% 0.64 $2,550,000.00 $2,557,106.07 24.40 0.82% 0.34% $7,106.07 $4,269.37 Effective rating/ Est annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM (%B Modified cost basis ($)/ Market Mkt value ($)/ bond (Mdy/Fitch/S&P) Quantity Coupon maturity Call price ($) Curr yield (%) YTW (%) duration Unreal. qll ($) price ($) Accr interest ($) port. Maturing 2016 AMERICAN EXPRESS C NY US RT CD 145,000 1 25% 08/09/2016 1 ,812.50 079% 1.83 145,000.00 100.838 146,215.10 1.40 01.2500% MAT 08/09/16 FIXED 1.24% 0.79% 1,215.10 258.22 RATE CD /NY Total 2016 145,000 1.25% 08/09/2016 $1,812.50 0.79% 1.83 $145,000.00 $146,215.10 1.40 1.24% 0.79% $1,215.10 $258.22 Effective rating/ Est annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM (%B Modified cost basis ($)/ Market Mkt. value ($)/ bond (Mdy/Fitch/S&P) Quantity Coupon maturity Call price ($) Curr yield (%) YTW (%) duration Unreal. qll ($) price ($) Accr interest ($) port. Maturing 2017 MASSACHUSETTS DEPT TRANS Aa3/AAINR 500,000 2.41% 01/01/2017 12,040.00 0.98% 2.18 511,917.00 103.173 515,865.00 4.92% TAX SRBRV BE/R/ 2.408 NWNWNR 2.33% 0.98% 3,948.00 2,976.56 010117 DTD 113011 /MA FED FARM CREDIT BANK 04.875 Aaa/AAA/AA+ 431,000 4.88% 01/17/2017 21,011.25 0.82% 2.18 457,002.39 109.212 470,703.72 4.49% DUE 011717 DTD 010907 FC NWNWNR 446% 082% 13,701.33 4,260.61 07172007 COMENITY BANK OF US RT CD 200,000 1.15% 06/19/2017 2,300.00 1.52% 2.67 200,000.00 99.012 198,024.00 1.89% 01.1500% MAT 06/19/17 FIXED 1.16% 1.52% -1,976.00 170.14 RATE JUMBO CD /DE Report created on. October 01, 2014 Page 3 of 6 Bond holdings - as of September 30, 2014 (continued) Prepared for City of Hutchinson RP 38446 • City of Hutchinson • Business Service Account Risk profile. Conservative Return Objective. Current Income Total 2019 Effective rating/ 500,000 2.35% 08/01/2019 Est annual 2.11% 4.54 Adjusted $505,325.00 4.82 % of Underlying rating Effective Call date/ income ($)I YTM (%)I Modified cost basis ($)I Market Mkt value ($)I bond (Mdy/Fitch/S&P) Quantity Coupon maturity Call price ($) Curr yield (%) YTW (%) duration Unreal. all ($) price ($) Accr interest ($) port. Maturing 2017 Effective Call date/ income ($)/ YTM (%)/ Modified cost basis ($)/ Market Mkt. value ($)/ bond (Mdy/Fitch/S&P) Quantity Coupon GE CAP BK UT US RT 01.7500 % CD 130,000 1 75% 08/03/2017 2,275.00 1.36 % 2.77 130,000.00 101.095 131,423.50 1.25 % MAT 08/03/17 FIXED RATE CD 1.73 % 1.36% 1,423.50 2.09% 162.05 10,450.00 /UT 499,995.00 100.193 500,965.00 4.78% B BE/R/ 2.090050120 DTD NWNWNR 2.09% 2.05% GE CAP RETAIL BK UT US RT CD 247,000 1 75% 08/03/2017 4,322.50 1.36 % 2.76 247,000.00 101.095 249,704.65 2.38 % 01 7500% MAT 08/03/17 FIXED Total 2020 500,000 1.73 % 1.36 % 2,704.65 2.05% 5.20 675.02 $500,965.00 RATE CD WT 2.09% 2.05% $970.00 $3,541.39 SUN NATL BK NJ US RT CD 240,000 1 00% 10/03/2017 2,400.00 060% 2.96 240,000.00 101.179 242,829.60 2.32 % 01 .0000% MAT 10/03/17 FIXED 0.99% 0.60% 2,829.60 170.96 RATE CD /NJ Total 2017 1,748,000 2.58% 04/16/2017 $44,348.75 1.03% 2.46 $1,785,919.39 $1,808,550.47 17.26 2.45% 1.03% $22,631.08 $8,415.34 Effective rating/ Est annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM (%)/ Modified cost basis ($)/ Market Mkt value ($)/ bond (Mdy/Fitch/S&P) Quantity Coupon maturity Call price ($) Curr yield (%) YTW (%) duration Unreal. qll ($) price ($) Accr interest ($) port. Maturing 2018 ENERBANK UT US RT 01.3500% CD 240,000 1 35% 10/04/2018 3,240.00 1.80% 3.90 240,000.00 98.245 235,788.00 2.25% MAT 10/04/18 FIXED RATE CD 1.37% 1.80% -4,212.00 230.79 /UT Total 2018 240,000 1.35% 10/04/2018 $3,240.00 1.80% 3.90 $240,000.00 $235,788.00 2.25 1.37% 1.80% $-4,212.00 $230.79 Effective rating/ Est annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM (%)/ Modified cost basis ($)/ Market Mkt value ($)/ bond (Mdy/Fitch/S&P) Quantity Coupon maturity Call price ($) Curr yield (%) YTW (%) duration Unreal. qll ($) price ($) Accr interest ($) port. Maturing 2019 RIVERSIDE CACMNTYCOLGE Aa2/NWAA 500,000 2.35% 08/01/2019 11,725.00 2.11% 4.54 507,063.83 101.065 505,325.00 4.82% TAX SRB BE/R/ 2.345 NWNWNR 2.32% 2.11% -1,738.83 1,921.60 080119 DTD 052914/CA Total 2019 500,000 2.35% 08/01/2019 $11,725.00 2.11% 4.54 $507,063.83 $505,325.00 4.82 2.32% 2.11% $-1,738.83 $1,921.60 Effective rating/ Est annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM (%)/ Modified cost basis ($)/ Market Mkt. value ($)/ bond (Mdy/Fitch/S&P) Quantity Coupon maturity Call price ($) Curr yield (%) YTW (%) duration Unreal. qll ($) price ($) Accr interest ($) port. Maturing 2020 MASS ST GO CONSOL W TAX SR Aal/AA+IAA+ 500,000 2.09% 05/01/2020 10,450.00 2.05% 5.20 499,995.00 100.193 500,965.00 4.78% B BE/R/ 2.090050120 DTD NWNWNR 2.09% 2.05% 970.00 3,541.39 052814 /MA Total 2020 500,000 2.09% 05/01/2020 $10,450.00 2.05% 5.20 $499,995.00 $500,965.00 4.78 2.09% 2.05% $970.00 $3,541.39 Report created on. October 01, 2014 Page 4 of 6 Bond holdings - as of September 30, 2014 (continued) Prepared for City of Hutchinson RP 38446 • City of Hutchinson • Business Service Account Risk profile. Conservative Return Objective. Current Income Effective rating/ Est. annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM (%B Modified cost basis ($)/ Market Mkt value ($)/ bond (MdylFitchlS&P) Quantity Coupon maturity Call price ($) Curr yield (%) YTW (%) duration Unreal. all ($) price ($) Accr interest ($) port. Maturing 2022 FHLB STEP UP CALL BOND 01 000 NWNWAA+ 1,500,000 1.00% 12/2812022 12/28/2014 15,000.00 NA NA 1,500,000.00 99.453 1,491,795.00 14.24% DUE 122822 DTD 122812 FC NWNWNR 100.00 101% NA -8,205.00 3,833.33 06282013 NA 1,000,000.00 99.254 992,540.00 9.47% DUE 013023 DTD 013013 FC NWNWNR Total 2022 1,500,000 1.00% 12/28/2022 $15,000.00 NA $1,500,000.00 $1,491,795.00 14.24 -7,460.00 1.01% NA $-8,205.00 $3,833.33 Effective rating/ Est. annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM (%B Modified cost basis ($)/ Market Mkt value ($)/ bond (MdylFitchlS&P) Quantity Coupon maturity Call price ($) Curr yield (%) YTW (%) duration Unreal. qll ($) price ($) Accr interest ($) port. Maturing 2023 FHLB STEP UP CALL BOND 01 000 Aaa/NWAA+ 1,000,000 1.00% 01/30/2023 10/30/2014 10,000.00 NA NA 1,000,000.00 99.254 992,540.00 9.47% DUE 013023 DTD 013013 FC NWNWNR 100.00 1.01 % NA -7,460.00 1,666.67 07302013 FHLB STEP UP CALL BOND 01 000 Aaa/NWAA+ 1,000,000 1.00% 01/30/2023 10/30/2014 10,000.00 NA NA 1,000,000.00 99.717 997,170.00 9.52% DUE 013023 DTD 013013 FC NWNWNR 100.00 1.00 % NA -2,830.00 1,66667 07302013 FHLB BOND STEP-UP 1.2500% Aaa/NWAA+ 1,000,000 1.25% 06/06/2023 12/06/2014 12,500.00 NA NA 1,000,000.00 99.351 993,510.00 9.48% DUE 060623 DTD 060613 FC NWNWNR 100.00 1.26 % NA -6,490.00 3,958.33 12062013 Total 2023 3,000,000 1.08% 03/14/2023 $32,500.00 NA $3,000,000.00 $2,983,220.00 28.47 1.09% NA $-16,780.00 $7,291.67 Effective rating/ Est. annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM (%B Modified cost basis ($)/ Market Mkt value ($)/ bond (MdylFitchlS&P) Quantity Coupon maturity Call price ($) Curr yield (%) YTW (%) duration Unreal. g/I ($) price ($) Accr interest ($) port. 10,432,000 1.38% 07/18/2019 NA Total Bond Portfolio $141,952.25 0.90% 2.04 $10,476,978.22 NA $10,478,288.34 100 1.35% 0.90% $1,310.12 $30,345.67 Report created on. October 01, 2014 Page 5 of 6 Planning and Zoning Monthly Activities MonthNear: September, 2014 Activity Number Additional Info. Number of Planning Applications Reviewed and 2 Preliminary and Final Plat of Menard Processed Third Addition Number of Joint Planning Board Applications 1 Variance to reduce the 1320 ft feedlot Reviewed and Processed setback to 820ft from a neighboring residential dwelling (Buss) Number of Planning Commission Meetings 1 Conditional Use Permit for Construction of Pole & Fabric type temp. storage; Conditional Use Permit to allow Recyclable Material Collection in an 1-1 Zoning Dist.; Conditional Use Permit for Multi -Family building at 875 Century Ave SW Number of Joint Planning Meetings 1 Conditional Use Permit for Feedlot (Buss); Conditional Use Permit for Feedlot Reiner/Scharfencam Number of Zoning Reviews for Building Permits 11 (Compliance with Zoning Code) Number of Land Use Permits Issued -(Fences, 11 small sheds, patios, driveways, detached decks, etc.) Number of Zoning Review for Sign Permits 3 Number of Predevelopment/Pre Application 6 Meetings Number of Misc. Planning Meetings 26 Management Team - 5 Resource Allocation City Council - 2 Planning Staff - 2 Century Court - 2 Greens Development Directors Meeting Southwlnd 2nd Blvd landscaping Tim Hacker Terry Davis John Hassinger 540 3rd Ave outside storage TIF Discussion Bandshell Rental - 2 Number of Zoning Enforcement Cases 2 Number of Walk -In Customers Served 318 Site Visits 6 Century Ct, NU -Crane Planning, Zoning and Building Dept. Monthly Report September 2014 Building Department Permit Activities A Commercial New B Commercial/Ind. Remodel C New Single Family 1065 5th Ave SE - scale McLeod Solid Waste $230,000; 555 3rd Ave NW -remodel $86,000; 701 1st Ave SW - remodel $70,000; 25 Michigan St SE - remodel $39,000 1174 Oakwood Ct NW - $249,000 Other Building Inspection Activities September 17th SW Chapter Mtg Redwood Falls; September 25th AMBO Mtg Blaine Evergreen Meals served in September Week of Hutchinson 09/2013 09/2014 2013 Year to Date 2014 Year to Date Total Number Inspections 9/1-9/6 162 129 36 1367 45 1477 % of Inspections done within 24 HRS 239 100.0% 100.00% 204 99.78% 69 99.80% Total Number Plan Review 166 22 15 43 157 9/21-9/27 174 % of Plan Reviews completed in 21 Days 47 100% 100% 65 100% 93 100% Building Permits Issued by Type Number of Permits & Valuation Number of Permits & Valuation Year to Date Number Permits & Valuation Year to Date Number Permits & Valuation Commercial (new) 2 $1,515,000.00 0 $0.00 A 4 $3,303,400.00 2 $504,000.00 Commercial ( additions/remodels) 10 $198,600.00 12 $476,800.00 B 66 $2,854,801.00 50 $1,507,900.00 Total Commercial 12 $1,713,600.00 12 $476,800.00 70 $6,158,201.00 52 $2,011,900.00 Industrial (new) 0 $0.00 0 1 $1,200,000.00 Industrial (additions/remodels) 0 $0.00 0 $0.00 1 $20,000.00 1 $156,000.00 Total Industrial 0 $0.00 0 $0.00 2 $1,220,000.00 1 $156,000.00 Fire Sprinkling 0 $0.00 0 $0.00 6 $64,785.00 2 $6,350.00 New Residential 3 $613,000.00 1 $249,000.00 8 $1,688,254.00 12 $2,530,068.00 Residential misc (additions/remodels) 7 $22,520.00 15 $51,970.00 113 $630,170.00 115 $1,355,126.00 Set Fee permits (reside, reroof, window) 61 56 416 373 HRA Permits 1 $0.00 0 $0.00 3 $154,000.00 4 $256,699.00 Waived Fees (started in march) 0 $0.00 14 $1,759,345.00 Subtotal Building Permits 84 $2,349,120.00 84 $777,770.00 618 $9,915,410.00 573 $8,075,488.00 Mechanical 17 $263,821.00 23 $129,440.00 120 $627,669.00 157 $11524,172.00 HRA Mechanical 2 0 4 1 Plumbing 14 4 58 58 HRA Plumbing 0 0 2 0 Signs 5 $0.00 3 $0.00 75 $679.00 48 $31.00 Total Valuation 11221 $2,612,941.00 114 $907,210.00 877 $10,543,758.00 837 $9,599,691.00 *Set fees not included in valuation A Commercial New B Commercial/Ind. Remodel C New Single Family 1065 5th Ave SE - scale McLeod Solid Waste $230,000; 555 3rd Ave NW -remodel $86,000; 701 1st Ave SW - remodel $70,000; 25 Michigan St SE - remodel $39,000 1174 Oakwood Ct NW - $249,000 Other Building Inspection Activities September 17th SW Chapter Mtg Redwood Falls; September 25th AMBO Mtg Blaine Evergreen Meals served in September Week of Hutchinson Park Towers Silver Lake Glencoe Brownton Stewart 9/1-9/6 195 98 36 98 45 47 9/7-9/13 239 119 84 204 90 69 9/14-9/201 500 166 51 130 43 81 9/21-9/27 251 95 47 114 45 65 9/28-9/30 93 44 23 53 10 22 Total 1278 522 241 599 233 284 Total Meals served in September 3157 Dates Closed September 1st Labor Day MINUTES HUTCHINSON PLANNING COMMISSION Tuesday, September 16, 2014 5:30 p.m. 1. CALL TO ORDER 5:30 P.M. Chair Hantge called the meeting to order at 5:30 pm. Members present were Chair Hantge, Commissioner Kirchoff, Commissioner Norton, Commissioner Fahey, and Commissioner Arndt. Absent were Commissioner Lofdahl and Commissioner Johnston. Also present were Dan Jochum, Director of Planning, Kent Exner, City Engineer, and Kyle Dimler, Planning and Building Specialist. 2. PLEDGE OF ALLEGIANCE 3. CONSENT AGENDA A. CONSIDERATION OF MINUTES DATED AUGUST 19, 2014 Chair Hantge introduced minutes dated August 19, 2014. Motion by Commissioner Norton and second by Commissioner Fahey to approve the minutes as presented. Motion passed unanimously. 4. PUBLIC HEARINGS A. CONSIDERATION OF CONDITIONAL USE PERMIT TO ALLOW THE CONSTRUCTION OF ONE TO TWO POLE & FABRIC TYPE TEMPORARY STORAGE STRUCTURES LOCATED AT 900 HWY 7 W. Commissioner Norton read the public hearing meeting rules aloud into the record. Dan Jochum, Director of Planning addressed the Commission. Mr. Jochum shared the proposed storage structures are anticipated to be in use for approximately 2 years, per a letter submitted by the applicant dated September 16, 2014. Mr. Jochum noted the property is within the River Overlay district, similar to a recent project located at 167 3rd Ave. NW, the D.A.V. facility. This proposed project is not in the main River Overlay corridor and the proposed buildings will be screened from view along Highway 7 W by the existing NuCrane building. Mr. Jochum shared that the River Overlay zoning ordinance is planned to be revised during the coming winter of 2014/2015. Mr. Jochum presented a number of photos indicating the limited visibility of the current site from adjacent properties. Mr. Jochum also noted this property is within the Shoreland District but no additional impervious lot coverage would be created through the erection of the proposed structures. Staff recommends approval of this request with the stipulation of a 2 year length of time per the statement made in the applicant's letter dated September 16, 2014. Minutes Hutchinson Planning Commission September 16, 2014 Page 2 Commissioner Arndt asked if the structure will be neutral colors. Mr. Jochum stated it was his understanding the structures would be neutral in color. Chair Hantge asked if items currently outside at the NuCrane site will be stored in the proposed structures. Mr. Jochum stated he was not familiar with the entirety of what is currently stored outside at the NuCrane facility but it is likely that some of the existing exterior storage would be within these proposed structures. Chair Hantge asked if "temporary" is defined in the zoning ordinance. Mr. Jochum shared his conversation with City Attorney Sebora indicating the Commission could add a condition limiting the C.U.P. to a maximum of 2 years as that is what the Applicant's e-mail dated 9/16/2014 is requesting. Steve Mann, Plant Manager of NuCrane 900 Hwy 7 W, addressed the Commission. Mr. Mann shared that the anticipated length of time the structures will be needed is about 2 years to store currently produced product. There are delays in shipping product off site and therefore NuCrane needs temporary storage on site. The structures are cold storage. Mr. Mann stated he anticipates the elimination of current shipping delays in approximately 2 years. Mr. Mann noted there are companies in the area making plans to construct more permanent storage within the next year. Chair Hantge noted Staff's proposal of adding the condition of a 2 year limit to the C.U.P. and asked Mr. Mann if this would be acceptable to the applicant. Mr. Mann stated that would be acceptable. Motion by Commissioner Fahey, second by Commissioner Arndt to close the public hearing at 5:49 pm. Motion by Commissioner Norton, second by Commissioner Fahey to approve with staff recommendations and the condition of 2 year maximum duration of C.U.P. per the applicant's letter of 9/16/2014. Motion passed unanimously, this item will be on the September 23, 20124 City Council consent agenda. Motion to close hearing — Motion to approve with staff recommendations — Motion to reject B. CONSIDERATION OF CONDITIONAL USE PERMIT TO ALLOW THE OPERATION OF A RECYCLEABLE MATERIAL COLLECTION CENTER IN AN I-1 ZONING DISTRICT. Minutes Hutchinson Planning Commission September 16, 2014 Page 3 Dan Jochum, Director of Planning, addressed the Commission. Mr. Jochum presented an aerial photo identifying the site of the proposed use and stated the proposed use is a conditionally permitted use in the I-1 zoning district. Mr. Jochum shared the approximate size, layout, and use of the building at the proposed site. Staff believes this is a relatively straightforward request. Mr. Jochum noted one of the conditions proposed by Staff is that there would be no outside storage permitted at this site. Mr. Jochum asked for the Commission's input on any requirements regarding hours of operation at the proposed site. Staff recommends approval with staff recommendations noted in the Resolution. Chair Hantge recommended establishing reasonable hours of operation as the proposed site is adjacent to a residential zoning district. Mr. Ed Homan Solid Waste Director McLeod Co. addressed the Commission. Mr. Homan stated the hours of operation at this site will be 8:00 am - 4:30 pm and there would be no outside storage on site. Mr. Homan shared about the nature of the business that would be conducted at this proposed site. Mr. Homan stated the building is well sprinkled and planned storage will not be high -pile due to the building's height and the product's limited stacking ability. Mr. Homan also noted that McLeod County's lease of the property is from November 2014 to November 2015. Commissioner Fahey asked if one rental cycle is the anticipated duration of this use at this facility Mr. Homan noted that determination would be based upon need and would be up to the Commission if the need arises after the initial lease period. Chair Hantge asked if residents would be able to drop recyclables at this site. Mr. Homan stated this would not be the case as resident drop-off would be limited to the McLeod County facility located at 1065 5th Ave. SE site. Motion by Commissioner Arndt, Second by Commissioner Kirchoff to close the public hearing at 6:00 pm. Motion by Commissioner Norton, Second by Commissioner Arndt to approve with staff recommendations 1-9. Motion unanimously approved. This item will appear on the consent agenda for City Council's September 23, 2014 meeting. Motion to close hearing — Motion to approve with staff recommendations — Motion to reject Minutes Hutchinson Planning Commission September 16, 2014 Page 4 C. CONSIDERATION OF CONDITIONAL USE PERMIT TO ALLOW CONSTRUCTION OF A MULTI -FAMILY BUILDING IN AN R-4 ZONING DISTRICT LOCATED AT 875 CENTURY AVE SW. Dan Jochum, Director of Planning, addressed the Commission. Mr. Jochum noted last month's rezoning and site plan review action by the Commission regarding this project and property. Mr. Jochum shared that this proposal is for 10 buildings of 12 unit construction. Mr. Jochum reviewed the project's site plan and building proposal that was discussed at last month's Commission meeting. Mr. Jochum noted that he met with a resident representative this past week who shared adjacent residents' concern and desire for the requirement for installation of natural screening between the existing residences and the proposed multi- family buildings. Staff recommends requiring the developer to install 8' tall evergreen along the north perimeter of the development site, continuing south, and then east to provide natural vegetative screening for the existing neighbors northeast of the development, rather than berms due to land space limitations. Staff also recommends requiring the City Arborist to sign off, in approval, on revised plans that would include the proposed screening requirements. Chair Hantge asked to verify the developer's intention of where on the site construction would begin and when the proposed screening would be required to be installed in relation to the construction project. City Engineer, Kent Exner recommended requiring installation of trees at the beginning of the development project to allow the trees to become established more quickly. Chair Hantge asked to clarify that the requirement would be to install trees prior to issuing a Certificate of Occupancy for the first building constructed in the project. Mr. Jochum affirmed this is the intent of the Staff recommendation. The rest of the proposal is fairly straightforward. Commissioner Kirchoff asked if Mr. Exner has been satisfied with the submitted site plans, grading, and drainage of site. Mr. Exner affirmed he is. Robert Krcil of 1120 Keith St. shared his concern with pedestrians already cutting through private property and the likely increase of this problem with increased population in the area. Mr. Krcil asked if there is a plan to install additional trails or public cross through areas in this part of town. Mr. Krcil asked if there is a plan to keep vehicle traffic from Keith St. going through this development. Minutes Hutchinson Planning Commission September 16, 2014 Page 5 Mr. Jochum stated that as the internal streets will be private streets, it will be up to the developer to regulate internal traffic on a private site and this has been communicated to the developer. Chair Hantge stated it isn't the role of the Commission to regulate pedestrian traffic across private property. Mr. Exner and Mr. Jochum noted there is a possibility of future corridor development near Cleveland Ave. SW and the Woodstone property but there is nothing definite due to the unknown timing of future development. Mr. Jochum noted that, in general, the City encourages citizens to use public property travel routes rather than private property. Tim Hacker of 905 Cleveland Ave. SW thanked Mr. Jochum for meeting with him to discuss screening needs as part of this development. Mr. Hacker shared his concern that if there isn't enough room for berms to be used for screening, is there enough room for snow removal and storage on site. Mr. Jochum noted the sizes of setbacks along the right of ways on this property are adequate for snow removal/storage. Mr. Hacker reiterated the need for screening between existing dwellings and the development due to the proximity to proposed new buildings. His understanding is this could be a 3-10 year project. Mr. Jochum noted the pace of construction will likely be driven by market demands. Mr. Hacker noted his concern for possible problems with increased traffic flow on South Grade Road with increased traffic due to sight line concerns. Motion by Commissioner Kirchoff and second by Commissioner Arndt to close the public hearing at 6:24 pm. Motion by Commissioner Kirchoff and second by Commissioner Norton to approve with the Staff recommended condition of requiring the planting of 8' evergreen screening trees along Cleveland Ave. SW and the west side of existing residence properties in the northeast corner adjacent to the development, to be approved by City Arborist, and require the installation of these trees before issuing a Certificate of Occupancy of the first building. Planting of the required screening trees along the east west internal road south of existing twin homes would be delayed until this street is constructed to alleviate root damage. Minutes Hutchinson Planning Commission September 16, 2014 Page 6 Motion to close hearing — Motion to approve with staff recommendations — Motion to reject 5. UNFINISHED BUSINESS Mr. Jochum noted Staff s intention to propose revisions to the River Overlay zoning district zoning ordinance during the winter of 2014/2015. 6. NEW BUSINESS Mr. Jochum noted he expects the need for a Planning Commission meeting in October to review a site plan and a preliminary and final plat for a proposed project north of the newly constructed Advanced Auto building. 7. COMMUNICATION FROM STAFF A. Upcoming Meetings None. 8. ADJOURNMENT Motion by Commissioner Fahey and second by Commissioner Arndt to adjourn at 6:29 pm. RA Hutchinson Housing & Redevelopment Authority Regular Board Meeting Tuesday, September 16, 2014, 7.00 AM Minutes CALL TO ORDER: Chairman LaVonne Hansen called the meeting to order. Members Present: Gary Fortier, LouAnn Holmquist, and Joel Kraft. Staff Present: Jean Ward and Judy Flemming. 2. CONSIDERATION OF MINUTES OF THE REGULAR BOARD MEETING ON AUGUST 19, 2014 Gary Forcier moved to approve the Minutes of the regular board meeting as written. LouAnn Holmquist seconded and the motion carried unanimously. 3. FINANCIAL REPORTS a. Joel Kraft moved to approve the City Center General Fund payments of $28,605.03 for checks 8518 to 852:9 & 8664, 8665. Gary Forcier seconded and the motion carried unanimously. b. Joel Kraft moved to approve the City Center August 31, 2014 Financial Reports. LouAnn Holmquist seconded and the motion carried unanimously. c. Gary Forcier moved to approve the Park Towers operating account payments of $32,856.39 for checks 12938 to 12968. LouAnn Holmquist seconded and the motion carried unanimously. d. Joel Kraft moved to approve the July 2014 Park Towers financial statements. LouAnn Holmquist seconded and the motion carried unanimously. 4. PARK TOWERS UPDATE Public Hearing and review of 2015 PHA .Annual & 5 Year Plan and 2015 CFP Annual and 5 Year Plan 7:30 A.M. a. Joel Kraft moved to approve Resolution #2014-5 to Adopt PHA Annual and 5 Year Plan and to Approve 2015 CFP Annual Plan and 5 Year Plan:, and 2015 Flat Rent. LouAnn Holmquist seconded and the notion carried unanimously. b. Joel Kraft moved to approve Resolution ##2014-6 Equal Opportunity. LouAnn Holmquist seconded and the motion carried unanimously. c. LouAnn Holmquist moved to approve Resolution #2014-7 the Revised ACOP, Resident Handbook, Lease, Schedule of Charges effective September 16, 2014 and 2015 Flat Rent effective January 1, 2015. Gary Forcier seconded and the motion carried unanimously. d. Jean Ward reviewed with the Board the September 1, 2014 Occupancy summary report: 99% occupancy. e. Joel Kraft moved to approve Resolution #2014-8 to approve 2015 Park Towers budget. LouAnn Holmquist seconded and the motion carried unanimously. f. LouAnn Holmquist moved to approve Resolution ##2014-9 adopting Passbook Savings Rate. Joel Kraft seconded and the motion carried unanimously. SCHOOL CONSTRUCTION PROGRAM a. 445 Adams Street — Judy Flenuning updated the Board on the; construction schedule. b. Jean Ward reviewed with the Board the 907 Lewis preliminary net income of $366.59 which does not include a partial insurance premium refund or the developer fee of $12,500. September ! b, 20t4 Minutes Page I of 2 6. SCM' Program a. Rental rehab application update: • October City Council meeting regarding preliminary application signature • Still fine tuning target area and eligible properties to show the most need and impact. b. Close-out of SCDP owner occupied grant: ■ Goal was to rehab 14 units and we actually did 12 units thanks to some program income received during the open grant. • Used all but $148.46 of the funding allocation. COMMUNICATIONS a. FYI: Demographic Report b. Addition to Century Court Apartments: The Board feels that tax increment financing should only be used if there will be non -market rate apartments in the development. c. FYI: Letter from Hometown Realty d. FYI: Star Tribune Article regarding public housing e. FYI: Hutchinson Leader Article regarding HRA energy efficient homes f. FYI: Apartment Guide update 1 Vacancy rate is about 2%. 8. ADJOURNMENT [:nary Forcier moved to adjourn and LouAnn Holmquist seconded. There being no other business, Chairman LaVonne Hansen declared the meeting; adjourned. Recorded by Jean Ward, HRA Executive Director Gary Forder, Secretary/Treasurer September 16, 2014 Minutes Page'2 oft