St. Francis City Council — Transcript

Tuesday, September 8, 2026

Preliminary Tax Levy and Budget Increases

Rum River Fire District 2027 Budget

Property Acquisition and Easement for Highway 47 Utility Project

Public Engagement and Revenue Generation

Votes (7)

Meeting Open to the Public (First Session)

No formal action taken, public comment period.

Dissent: Public speakers expressed strong dissatisfaction with current city financial trends and specific projects.

Public speakers raised concerns about the proposed budget increase, the management of the municipal liquor store, community input regarding Project 47 roundabouts, and the use of HA funding for property acquisition and commercial zoning. Issues of rising property taxes and the general affordability of living in the city were emphasized.

Fireboard Training Reimbursement (Item B)

5-0 Approved

Dissent: None

Moved by Councilman Robinson [0:20:55] · Seconded by Councilman Udvig [0:21:05]

The council sought clarification on how to distribute a $23,000 state funding allocation for fire training reimbursement between the city and the newly formed Rum River Fire District. Following a precedent set by a previous funding amount, the council decided to split the funds equally between the two entities.

Request for Anoka County HRA funds for easement and burn property (Item C)

5-0 Approved

Dissent: None

Moved by Councilman Fonis [0:32:00] · Seconded by Councilman Udvig [0:32:10]

The council approved a resolution to request HRA funds for the demolition of a property along Highway 47. This action is necessary to secure an easement for a state and federally funded utility line project, and the demolition will be carried out as a training burn for the fire department. The city is not buying the property but acquiring the necessary right-of-way.

Rum River Fire District 2027 Budget Approval (Item D)

4-1 Approved

Dissent: Councilwoman Amy voted against the budget due to concerns about escalating costs and insufficient justification for the increases.

Moved by Councilman Robinson [0:42:30] · Seconded by Councilman Udvig [0:42:40]

The council considered and approved St. Francis's share of the Rum River Fire District's 2027 budget, which came in at $1,046,200 after a $10,000 reduction. Debate centered on the substantial increase in the fire department budget over recent years, with one council member expressing strong opposition due to rising costs and stable call volumes, while others defended it as a necessary cost for critical public services and to meet public expectations.

2027 Preliminary Tax Levy and Adjustment to Debt Service Levies (Item E)

5-0 Approved (Resolution 2026-37)

Dissent: None

Moved by Councilman Robinson [1:09:50] · Seconded by Councilman Mulebower [1:10:00]

The council approved the preliminary tax levy for 2027, setting a maximum increase of 9.09% (down from 10.17% due to staff reductions). This levy supports various city funds, including the general fund, debt service for city buildings, and capital improvements for roads, parks, and stormwater. The actual city tax rate increase for residents was presented as a marginal 0.02% due to fiscal disparities. The public hearing date for the final budget and levy was set for December 7th, 2026.

2027 Preliminary Tax Levy Hearing Date (Part of Item E)

5-0 Approved (Resolution 2026-38)

Dissent: None

Moved by Councilman Fonis [1:11:00] · Seconded by Councilman Udvig [1:11:10]

Following the approval of the preliminary levy adjustments, the council passed a separate resolution to formally approve the preliminary levy and set the public hearing date for the Truth in Taxation meeting on December 7th, 2026, after 6:00 p.m. This step is a statutory requirement for the budget process.

Meeting Open to the Public (Second Session)

No formal action taken, public comment period.

Dissent: Public speakers continued to express significant dissatisfaction with the city's financial decisions and approach.

Public speakers reiterated concerns about the proposed tax levy increase, comparing it historically to the causes of the American Revolution and warning of potential public unrest. They urged the council to scrutinize the budget more closely, push back against unfunded state mandates, and explore innovative revenue generation methods rather than continuously increasing taxes on residents.

Notable Quotes (16)

we need to drive those costs down in some manner or form.

Joe [0:07:30]
Meeting Open to the Public (First Session)

if you ran your house like a government, you'd be broke in two days.

Joe [0:08:44]
Meeting Open to the Public (First Session)

It's become increasingly unaffordable. When I first moved in here, I bought my house, my my property tax has doubled. my house is doubled in value.

Joe [0:09:50]
Meeting Open to the Public (First Session)

I moved out here four years ago and my taxes have doubled.

Lisa Zuk [0:10:59]
Meeting Open to the Public (First Session)

It doesn't It doesn't matter for the accounting side which way it goes. if it falls into the it's already sitting in the general fund for the city right now. Um so it would either be a full transfer or a partial transfer over to the district.

Finance Director Natalie [0:16:11]
Fireboard Training Reimbursement (Item B)

We're not buying the property. We're not we're not gaining anything but the easement for our utility line project that was funded by the state and feds.

City Administrator Kate [0:23:42]
Request for Anoka County HRA funds for easement and burn property (Item C)

The county collects those funds on the behalf of 13 various cities within the county that do not have their own HR EDA. So with those funds, they get set aside for us for eligible projects.

City Administrator Kate [0:24:49]
Request for Anoka County HRA funds for easement and burn property (Item C)

We were able to shift some of our requests for capital funds next year over to our operational side to offset those expenditures. And we're still coming in at an overall $10,000 decrease at a million46200 for the year of 2027.

Fire Chief Dave [0:33:04]
Rum River Fire District 2027 Budget Approval (Item D)

I just can't wrap my head around the fact that the budget in 2021 was $426,000 for the fire department and in 2022 it was $47,000... now it's at 1,ion46,000.

Councilwoman Amy [0:35:05]
Rum River Fire District 2027 Budget Approval (Item D)

The fire district was never going to save us money... Hopefully, it reduces the increases.

Councilman Kevin [0:39:41]
Rum River Fire District 2027 Budget Approval (Item D)

We've been able to lower the proposed levy increase to 9.09%, which is the updated figure being presented to you this evening.

Finance Director Natalie [0:44:00]
2027 Preliminary Tax Levy and Adjustment to Debt Service Levies (Item E)

The city tax rate for 2026 was set at 59.563% and the proposed tax rate for 2027 is 59.265% an increase of 02% increase over last year.

Finance Director Natalie [0:48:47]
2027 Preliminary Tax Levy and Adjustment to Debt Service Levies (Item E)

Our tax rate is the second highest in the county by significantly... but other other cities when they got to redo their street in front of them, they're they're assessed at varying rates... So, it's not something tang.

Mayor Vogle [0:53:52]
2027 Preliminary Tax Levy and Adjustment to Debt Service Levies (Item E)

My suggestion... is push back on the state mandates. You know, you tell me that we're independent. Well, looks to me like we're not independent. Looks to me like the state's cramming stuff down our throat and you're going to do exactly what we say it or else.

Joe [1:00:23]
Meeting Open to the Public (Second Session)

I know we need to plan for the future, but um some of the dollar amounts are staggering to me and I know that we need it, but can we get by without building the Taj Mahal all the time?

Lisa Zuk [1:02:44]
Meeting Open to the Public (Second Session)

When the hell are we going to start creating revenue? We can't cut anymore... It's time we change our thinking in this town and start creating revenue.

Public Speaker Mike [1:05:43]
Meeting Open to the Public (Second Session)

Ordinances & Resolutions (9)

Project 47Plan

A project involving roundabouts that a public speaker believes went against community input.

Resolution 2026-36Resolution

Requesting funds from Anoka County HRA for the demolition of property along Highway 47 for an easement.

Rum River Fire District 2027 budgetOther

The proposed budget for the Rum River Fire District, with St. Francis's share approved by the council.

Resolution 2026-37Resolution

Adjusting the debt service levy for 2027, lowering original proposed amounts due to enterprise fund allocations.

Resolution 2026-38Resolution

Approving the proposed 2027 preliminary tax levy and setting the public hearing date for the Truth in Taxation meeting.

2050 Comprehensive PlanningPlan

Subject of an upcoming joint work session with various city commissions and council.

Preliminary Tax Levy 2027Other

The city's proposed tax levy for the year 2027, subject to public hearing and final adoption.

NixleOther

An alert service for citizens that is being discontinued and replaced by a new county-wide service.

2016 Economic ReportOther

A document mentioned by a public speaker, questioning if council members had read it for revenue generation ideas.

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St. Francis City Council - St Francis Recorder