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City seeks to increase water rate with Poet plant

The Mitchell City Council will gather today to consider a short-term agreement to continue allowing Poet to draw water from Lake Mitchell.

The council will meet at 6 p.m. today at Mitchell City Hall for its regular meeting, located at 612 N. Main St. At hand is a resolution that would increase the city's expected revenue from its water use agreement with the ethanol plant located five miles north of Mitchell in Loomis.

City leaders are proposing a 26-cent increase per 1,000 gallons used, up to $1.39/per 1,000 gallons from $1.13/per 1,000 gallons. That increase would generate an estimated $250,000, which would be put towards lake improvements in the 2019 budget.

A long-term plan to finalize an agreement between the city of Mitchell and Poet has not been reached, but the city currently has the ability to set the rates at its discretion, City Attorney Justin Johnson said. So for 2019, the increase is expected to be 26 cents, if approved via resolution today.

"As the city and Poet were not able to mutually agree on a long term rate plan, the city is opting for an increase sufficient to cover the amount budgeted on this line item for next year," Johnson said in the agenda item.

Zoning changes

Two zoning changes will be before the city council for the first time today. Notably, the council will take up the issue of rezoning the area around West Eighth Avenue and Minnesota Street, as requested by Bechen Electric and Mitchell Concrete.

Dave Bechen has plans for a new building for his Bechen Electric business, which would be constructed near Mitchell Middle School and next to a power substation for NorthWestern Energy. The land would be rezoned from a single-family residential district to a transportation, warehousing and commercial district. A number of area residents dissented to the possible change during an Oct. 22 meeting of the Mitchell Planning Commission. The vote to approve the rezoning ultimately failed 3-2 with one abstention and one absent.

A separate proposal calls for rezoning a few blocks of properties on North Wisconsin Street near West Ninth Avenue, also near the middle school. The zoning change would move the properties from a Transportation, Warehousing and Commercial district to a high-density residential district. The proposal had a mixed reaction from neighbors, based on submitted responses to the city of Mitchell.

Consent agenda

The following items will be before the council during its meeting Monday and will be scheduled to be approved at once:

• Approve minutes from the Oct. 15 meeting and the Oct. 29 work session.

• Approve committee meeting minutes from Planning Commission on Oct. 9, Traffic Commission and Sidewalk Committee on Oct. 15.

• Approve raffle permits from: John Paul II Elementary School with six drawings in January and February; and Heart and Sole Cancer Organization on Jan. 23, 2019.

• Appoint Bonnie Scott to the Community Services Board representing the Mitchell Volunteer Program through January 2019, and Steve Morgan to the Corn Palace Events and Entertainment Board through January 2020.

• Approve taxicab license of Jesse Parker, doing business as Lyft.

• Set date for Nov. 19 hearing for a Corn Palace Shrine Club special event liquor license at the Masonic Lodge for a Dec. 1 wedding.

• Set date and time for 1:30 p.m., Nov. 20 for bid opening on surplus 1991 Cat D5 bulldozer.

• Automatic supplement to the Parks and Recreation capital improvements budget line for an ADA hockey sled from a $885 donation from the Mitchell Advisory Council for People with Disabilities.

• Request to accept South Dakota Department of Transportation transit funds for facility, hardware, radios, security cameras, shop equipment and tires.

• Approve gas and fuel quotations, pay estimates, bills, payroll, salary adjustments and new employee hires.

Other business

• Hear citizens input.

• Meeting as the Board Adjustment, set the Nov. 19 date for the following hearings: Bill and Barbara Goldammer are requesting a conditional use permit to operate a retail and trades business at 2020 and 2040 E. Eighth Ave. The property is zoned UD Urban Development District; Rosewood Court Assisted Living at 2101 N. Sanborn Blvd., is requesting a backyard variance of 8 feet, 8.5 inches compared to 25 feet as required and a sideyard variance of 4 feet, 7 inches compared to 5 feet as required for construction of an addition. The property is zoned R4 High Density Residential District.; Alex Hartman and Alexandria Gerriets are applying for a conditional use permit to operate a family residential child care center in their home at 1513 W. Hanson Ave. The property is zoned R3 Medium Density Residential District.

• Hold Board of Adjustment hearings on the following applications: John and Lisa Mentele have applied for a conditional use permit/massage business/home occupation at their home located at 1206 W Hanson Ave. The property is zoned R3 Medium Density Residential District; Bill and Pamela Wittstruck have requested a variance of a frontyard variance of 0 feet compared to 35 feet to construct an unenclosed carport at their home at 316 Hackberry Ave. The property is zoned HB Highway Oriented Business District.

• First reading on Ordinance No. 2018-15 for supplemental appropriations: $5,136.27 to cover additional costs incurred in 2018 to complete Veterans Park; a total of $267,568 from certificates of participation and interest, which will be paid from the indoor swimming pool debt service fund; and $15,600 for Kustom Cycles construction, which will come from the capital project fund.

• Consider action to approve notice of acceptability for Phase I of the Sanborn Boulevard utility and street improvements. The contractor BX Civil Construction and engineering consultant Schmucker, Paul, Nohr and Associates have signed the notice stating the work is furnished and acceptable.

• Consider action to approve a plat for lots 7-A and 7-B in John Lawler's Second Addition to the city of Mitchell.

• Award bid for cemetery hayland lease for three years to high bidder Paul Stevenson in the amount of $3,210 per year.

• Consider approval of Resolutions R2018-60 and R2018-61, provided by bond counsel as steps to secure State Revolving Fund loans to finance the improvements in Phase II and Phase III of Sanborn Boulevard construction.

• Review and approve employee insurance plans for 2019. Open enrollment for city employees is scheduled for Dec. 4-6.

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