07-13-1982 CCM (2)MINUTES
SPECIAL MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, JULY 13, 1982
Mayor DeMeyer called the special meeting to order at 3:15 P.M. at the Hutchinson
Community Hospital Conference Room. Present were: Alderman John Mlinar, Alderman
Mike Carls, Alderman Kenneth Gruenhagen, Alderman Ted Beatty and Mayor James G.
DeMeyer. Also present: City Administrator Gary D. Plotz, City Engineer Marlow V.
Priebe, City Accountant Kenneth B. Merrill, Maintenance Operations Director Ralph
Neumann, Personnel Coordinator Hazel Sitz, and City Attorney James Schaefer.
The Mayor explained the purpose of the meeting was to review the status of tax in-
crement in the City of Hutchinson and items, relating to it. He then introduced At-
torney Robert Stoneburner, who was representing the Mayor.
Attorney Stoneburner pointed out that he only had a couple of days to review the
situation, and furthermore, that he was not an authority in the area of tax incre-
ment financing. He commented that professionals should be listened to in this area.
It was his opinion, however, that there should be a re -hearing on the tax increment
amendment for the S&L project.
City Attorney Schaefer remarked that he also was not a tax increment expert and
that the City Council would have to hire one that was an expert. The Dorsey law
firm had, in fact, been paid for legal counsel in this area, and the City was look-
ing to them for answers to questions.
Mr. Bob Stearns inquired if the Mayor would be paying Attorney Stoneburner's fees
out of his own funds. The Mayor responded that the League of Minnesota Cities had
information for matters of this type.
Mr. Gayle Wick commented the Council did not have a proper Resolution with "findings"
to amend the tax increment district. He questioned whether the fourth district was
ever legal inasmuch as it was not "redevelopment" (Hutchinson Mall area).
It was the consensus of the Council members that any further discussion should be
deferred until the Regular City Council meeting scheduled for this evening when
the Dorsey law firm would be represented.to answer questions.
Attorney Stoneburner stated the best way to proceed is the legal way. He further
suggested putting into writing questions raised by the two attorneys and present
them to the Dorsey firm at the Council meeting tonight. He would not, however, be
able to attend due to a conflict.
Mr. Pat Mikulecky commented on Area No. 4 being the problem and felt the findings
could not be substantiated. The buildings were listed as sub -standard and blighted.
He suggested putting $127,000.00 back into taxes for the City instead of into the
tax increment district.
In closing, Attorney Schaefer stated that at some time the questions will have to
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COUNCIL MINUTES
JULY 13, 1982
be answered and either proceed with or drop the S&L project. Whenver the Council
takes action that is political or controversial in nature, there will always be
someone opposed to it with legitimate arguments. It is up to the City Council to
consider the evidence, weigh the arguments and make a decision within the law.
The Mayor stated he was in favor of the S&L project and wanted to see it progress.
Alderman Carls moved to adjourn the meeting at 5:10 P.M. Seconded by Alderman
Beatty, the motion unanimously carried.
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