Pledge of Allegiance. >> I pledge algiance to the flag of the United States of America and to the republic for which it stands. One nation under God, indivisible, with liberty and justice for all. >> Welcome and let the role reflect. We do have a full council and a quorum tonight. Next to me is our city administrator Dan Waticha who is in the building but he is just not sitting here. He's got a bit of a cold so he is zooming in from his office just to keep us safe. So with that approval of minutes council, are there any changes to the council meeting from November 17th and workshop? Okay. Cons uh comments from the audience. At this time, we will hear comments from the audience to be um presented to the council via Zoom or um live. And if you wish to speak to the council at this time, please step to the podium, state your name and address, and we will hear your comments. Anyone wish to speak to the council at this time? Anyone wish to speak to the council at this time? Anyone on Zoom? Doesn't look like it. All right, council. Any items to be considered? All right, council. I would accept a motion to approve the consent agenda. >> Council member Pemble. Council member House. Any discussion? Councel. All those in favor of the motion state by saying I. >> I opposed to that motion state by saying nay. And that motion prevails. Uh tonight under awarding of contracts, we do have a public hearing for truth and taxation in 2026 budget. And for this item, we will have an introduction introduction by finance manager Chris Idmiller, followed by a public hearing and several potential actions by the city council. Welcome, Chris. >> Good evening. Uh welcome to everyone. As the mayor mentioned, it's our annual truth and taxation meeting. And just at the outset here, the purpose of the meeting, dual purposes, is to present our budget to the public and to receive public comment. It is not to address any market valuations questions. That is something completed by the county in the spring. So, it is not something we can address this evening. Uh the council will be asked to adopt our final budgets, levy and capital plans if not tonight by the end of this month. So typically that would be done by the 15th at the latest. While we build this budget, we try to focus on our city's core values as well as uh budget principles. um we focus on providing basic city services and funding those uh services at adequate levels. This year we went uh a bit further that with everything going on this was intended to be a lights on budget and to maintain our service levels with minimal uh new initiatives. We every year will estimate our anticipated revenues as best we can at realistic le levels to avoid any uncertainty or surprises in the next year and we retain our adequate reserves to protect against financial uncertainty as well. We also work to provide strong stewardship of our infrastructure as well as plan for any repair or replacement necessary in a proactive manner. As I mentioned, the city's core values, uh, they focus on optimal service, communication, respect for resources, and enthusiasm. And we also have a number of strategic initiatives that the city council has uh, worked on over the years. Speaking of the strategic initiatives, we have a number of items in this year's proposed budget to uh, support those initiatives. Under operational effectiveness, we have a a number of of different types of equipment. One that is new that we've never had before is an electric vehicle fire suppression equipment that the fire department uh states they say they they need this because uh EVs just burn a long time and it's different than fighting your typical fire. Also for fire is some improved key security and a dosage calculator for the EMS branch of the department. Uh facilities is going to uh if approved put in a key fob system for city hall to provide better security and tracking of who is accessing the building at various hours whether it be regular business hours, weekends, evenings, what have you. Um, we also have some ballistic vest replacements scheduled for police and LED lighting for the vets baseball field. There are a few staff changes or additions to address service needs. We'll be getting to that a bit later. And we're continuing to phase in and move toward a 5-year replacement schedule of our fleet vehicles. Also, another big issue, of course, that we've been talking about for years now is improving water treatment. Uh we will begin construction of the eastern water treatment plant in 2026. This will include a connection to the vets home. This is the second of three water treatment plants that are needed. Uh we'd also begin design work for the final of those three plants on the western side of town. We have uh well number nine planned to be added to the system. This will help with capacity needs and also we hope will help uh make our case for additional funding from MPCA. And then as far as asset management, we want to continue addressing deferred maintenance of buildings. One of those, the biggest by far is a new roof for the public works building. And then we have a trail project within the park system that exact trail to be determined. uh we would hope to work toward ongoing funding for these types of projects. So the budget process begins in June every year. Uh we start staff starts with getting direction from council in work sessions that month. Then we would uh prepare the budget to address the goals and operational needs. And then throughout the course of the summer and early fall, we'll have budget discussions with the finance committee who meets with departments as well as uh city council workshops. And by the end of September, we adopt the preliminary budget and tax levy. After that, the county will send out notices of the estimated tax impact for all taxing bodies. So it'll be the county, the city, school district, etc. And then in December, here we are with the truth and taxation hearing. And again, we must adopt the budget and the levy this month. So what is in the budget for the revenue side of the ledger? Uh we have a 7.88% increase about a million580 in total. The proposed increase in September was 8.4%. So this has decreased from that to 7.88. Annual impact for a median valued home of $331,000 would be $153 annually or 12275 a month. About 44% of that was due tax capacity growth and the tax rate will stay almost flat, not quite go up about just under 1% from 59 157 to 60.104. Looking at some other revenues, uh, for the second year in a row, local government aid is essentially flat. We're getting a $6,600 increase. Uh, increased interest earnings though are better based on the last year, year and a half's worth of earnings on that. So, we increased that budget by $200,000. Uh, also reflecting a trend in the market. Building permit revenues are decreasing. So, we're dropping that by $64.5,000. We are staying in compliance with our fund balance policies, but we are utilizing some reserves for one-time revenue for one-time spending. A half million of that coming from the general fund, $45,000 from the aquatic center fund, and $100,000 from the vehicle and equipment fund. So, looking at our expenses, some key areas, looking at staff additions or changes. Uh, we're increasing an administrative assistant in public works to help with some work, take it off the plate of the uh city engineer. Uh, that person is already qualifying for uh benefits, so it's a $2,700 cost for that additional tenth of a position. Uh the aquatics manager position, we are looking to increase that by eight weeks. It's not a full-time position for the full year, but it's full-time during that uh season that it's needed. Uh by upping that position by this amount of time, it qualifies the position for benefits. So that would be at a cost of about 23,08. There's an adjustment in a human resources position, wage adjustment about $4,100. There is an administrative uh halftime administrative position in uh police for 37800 approximately. There is a 3 and 12% COLA cost of living adjustment, excuse me, for most employees. One difference in that is in uh the fire department. It's been uh determined recently that uh the firefighter positions are that we're our pay rates are lower than the market of peer cities. So in addition to that cola, we're planning a 4% additional market rate adjustment for firefighters and that is for three years, not for one. So that is a 12% increase over a period of three years. And finally under staff we have election judge pay increase along with some supplies and equipment for those judges. Other key areas we have uh as previously mentioned a $510,000 roof to replace on the public works building and that is far and away the biggest maintenance task of the year. And then there is the police uh building HVAC system. And the facilities department is proposing that we split this up over five years. So it' be about 20 to 22,000 a year each year. So to try to take out some of the peaks and valleys, so it'll be uh year one of five is $21,000. We also have a number of contracted services and IT maintenance contracts that have inflationary increases. So now turning to capital, we want to continue to emphasize public safety, infrastructure, and managing our capital assets. Some of the larger investments, uh, $300,000 for a new dump truck for the public works department, replacing 11 aging fleet vehicles, two of which are police squad cars. The grand total of those 11 vehicles, 693,000. Uh, facility maintenance and repairs beyond the roof of the public works buildings, 161,000. 129,000 for information technology, replacing computers and other network equipment. And then the parks trail and the vets field baseball lighting, 150,000 for each of those projects. We have some bonding projects planned. Uh the annual street project, $4.2 million, same as this past year. 2.3 million of that would be funded through geo bonds and 1.9 through utility revenue bonds and that debt service in the utility funds was factored in in our most recent rate study. Then uh we are looking at the second of three water treatment plants. This one the eastern uh side of town that are required to treat POS and other contaminants per federal law. This plant would cost a total of about $22.3 million. Uh the city's continuing to pursue revenue sources beyond revenue bonds that are paid by our water customers. So in looking at other utility uh points of interest, we have currently a 10% rate increase planned for January of 2026. and we are hoping that we can get revenue that would mean we don't have to raise rates to cover this entire plant. So, we are going to try and get past the legislative session and other lobbying efforts and see if we can get to the final uh cost as well as funding split and then we may have additional rate increases later in the year. That remains to be seen how much, but uh we're like I say working to minimize that to the extent possible. other utilities, the sewer at four and a half percent and storm water at a 4% increase. Those match what was done for 2025 and just continuing uh the most recent rate study recommendations for those two. The uh utility capital items as mentioned before, we've got the neighborhood project and the well number nine and pump house. We've got sewer lining and mill and overlay and SCADA upgrade for water and sewer as we do each year. Also, we have the sewer lift station and pump controls and water quality improvement project. So, just a very high overview here. Uh 60.1% tax rate 095% increase uh from 2025. The tax levy total dollars would be about 21,630, which is an increase of 7.88. And we'd have about a $216,000 uh amount generated by 1% of the levy. This chart uh shows our levy, our tax rate, tax capacity. those bars graphs that you see in the I guess kind of tan color. Uh you'll see that uh that has been going up uh the most. We had pretty much a flat tax capacity from 24 to 25, but we are going up about 6% from 25 to 26. are uh you'll see the green line there is the tax levy and then the tax rate is that maroon bar that starts out the highest on the left and then comes in uh second highest on the far right. These next few slides, we've got some charts that are provided by Dakota County. Just trying to compare us with uh the rest of the county. And the map's too big to fit on this one slide. So, we just kind of get the northern part of the county here, but uh the uh this is residential average tax for and so uh Hastings at 549, Apple Valley almost identical there. You'll see some others that are a little bit less, a little bit more, but just kind of show that we're kind of in the middle for a lot of of the uh county. Now, showing commercial properties, same thing. Average total tax for commercial industrial properties, Hastings at 7.4%. And then this is uh comparing again the same part of the county as the other and it looks like we are one of the lower ones in that regard. Uh so you've got some that are at or above 10% and a few others that are around eight and a couple that are in the same ballpark as Hastings. And then uh this is market value and here it shows that all residential homestead properties uh 5.4 here for Hastings and and then some others a little bit less. Uh Burnsville at 2.6 being kind of on the lower end, Rosemount at six on the higher end. And uh just kind of just for comparison sake, we're including these our economic development component unit, HEDRA, uh we have a tax levy for that that is separate from the city's operating levy. Uh it is limited by law to a certain percentage of taxable market value and that amount for 26 is 548,904. Total spending budget for Hedra is 712,000. The difference between that levy and total spending would be uh hedra reserves. So to kind of give an overview, we uh again are making efforts to try to minimize the cost and accompanying tax increases from uh 25 to 26. Focusing again on a lights on budget. Uh we did reduce the tax levy from the prelim amount asset management. We are of the belief that these are going to save the city money in the long run. Uh the 5-year fleet replacement schedule as one example uh save a lot of money on repair and maintenance from just a few years ago. And then skimming, patching, and a mill and overlay are extending the life of the roads to delay reconstruction, which is quite a bit higher than either of these uh types of uh restoration. Also, we're trying to we're not trying we are continuing to address deferred maintenance in the various buildings. As touched upon briefly earlier, we're working possible to phase in costs to avoid any large sudden increases. the five-year process for facilities to upgrade the police department's HVAC system being one example. Another, the market rate adjustments for firefighters, uh having that divided up over three years. And then also as far as outside funding or cost management, where possible, you purchase with government contracts, get better rates on a number of things. and the water treatment plant funding. We are delaying uh the customer rate increase that we could if we were to factor in thinking we're going to need to have rate increases to fund the whole thing. We're trying to delay that while we have a little more time to pursue other types of funding. So, uh, tonight is truth and taxation and public hearing and then we would ask that the city council, uh, adopt when comfortable, either tonight or on the 15th, the budget and levies and utility rates. And then tonight is also the first hearing for our fee schedule that would include, among other things, our utility rate proposal. Uh, that needs two hearings. So, that would not be adopted before the 15th. I guess with that I'd entertain any questions. >> Thank you Chris. At this time I'll open the public hearing and then council we can discuss afterwards. So at this time I will open the public hearing for the truth and taxation. Anyone wish to speak to the council at this time? Anyone wish to speak to the council at this time? Anybody on Zoom? And no one is on Zoom. Sure, you may step up. Step to the podium, please. State your name and your address. >> Hi, my name is uh Les Helton and uh I live in 802 Court uh right across from Omar Park. Uh I'm here to discuss uh the tax rate increase and um I built my home 24 years ago and with the intention of retiring out of there. I am uh 72 now and still working in order to keep my home. And um it's not easy with these tax rate increases that you have. I don't know a lot of people don't understand that uh as you get older things happen. My wife passed away five years ago. She was an RN at Regina for 29 years. We built the home with attentions as I stated of staying there and retiring out of that home. But it's getting to the point now where just my single income uh social security and what I do work part-time just to keep the house. Uh, but it's getting to the point now with these tax increases that I don't know if I'll be able to stay in Hastings much longer. Uh, it's sad because I was raised here. I graduated here. Um, and with the unnecessary I see unnecessary wants, four TV screens in here. Spending that's not necessary. I mean, if person can't read one screen, that's pretty bad. But I see different things around town that's going on as far as unnecessary cost spending. And maybe a lot of you don't realize, maybe it's easy for you to uh get tax money from the public here. And it's kind of disappointing. I don't see more people here. And the people that are here, it's nice that the people come. I would like to see more people speak up. uh because uh with the intentions I had of staying in the home when my wife passed away [snorts] uh she had been sick and I had to refinance probably two maybe I think it was two times otherwise my house would have been paid off so I'm still paying on my home to stay in that home she got sick and then she passed away and um a lot of people don't realize with one income It's not that easy. Um, I have a a nice home and I built a nice home with intentions of staying there. I general contracted myself years years ago and um I don't want to leave Hastings, but it's getting to the point of being forced out of my home. It's sad. Real sad. And a lot of you people don't understand that you're younger. you haven't reached that age yet to where there's people like myself and some of you I can see shaking your head. It's getting to the point it's getting very tough to stay in this town and I know Mary uh I vote for you and a lot of you people here and I hope you understand that and I hope you back us up as individuals. Um, the other thing is the water bills. Between that, the taxes and the water bills, the rate increases. Well, we've been informed that we shouldn't drink the water. Is that correct? >> Well, we would suggest you talk to your doctor, your medical people to see if >> Okay. But if the case is from all I've seen that it says should not drink the water. Well, but yet we're paying these huge increases for uh to correct that problem. In the meantime, we can't drink the water. Well, how about some reimbursement to us, the public, to pay for the water that we have to purchase that's safe to drink. We don't hear nothing about that. You know, it's frustrating um with all the things going on. And uh I just wanted to voice my opinion and let the public know and people of Hastings uh especially younger people that are working nowadays they probably got uh two incomes coming in and it's easy for the and I shouldn't say easy nothing's easy anymore with the cost of living the way things have gone up in gas and groceries and uh to try to afford to stay in your home and I feel sorry for families that have children in school that are paying tuitions for private schools. Uh truthfully, I don't know how they can make it. Um if I had to do it all over again, it would be real tough. I've been with the company 40 years that I work for. And I'll tell you, I'm fortunate that they've let me stay on because I wouldn't be able to stay in my home otherwise. It's that's really sad. So, how would you feel if you had your house, you built your home, you wanted to stay in that home until you retired, okay? And then all of a sudden you keep getting these tax increases every year. The city, the county, the school referendums. Um, it gets to a point to where you can't afford to do it. I barely keep up. And, um, I'll tell you, it's not easy for me. I love this town. I I can see the necessary items that are costs that have to be done and I understand that and but every every year this budget the city budget keeps going up and up and last year the city budget went higher than the county and went higher than the school district and it's very frustrating when I see this happening and I hope that more people understand this and that there are people watching on the cable vision And uh I hope that more people come to the future meetings and start understanding and learn to speak up to the to the council because you are the people that decide and make what happens to us the public uh if we can afford to stay in our homes or not. So and what do you do? Do you sell your house? Do you downsize? Do you go into an apartment? That's the other thing. I I do have a question. All these new large apartment complexes going up in town or here in these senior homes, how do they affect our taxes? Do they bring the tax down? And my other question is what is the tax levy per thousand? What what is the amount? Can you tell me that? >> And the tax levy keeps going up and up and up and people don't understand your taxes go up but you raise the levy along with it. I don't know what to compare that to anything else. >> Okay, there's a good example right there. >> Okay. Well, uh, I'm not afraid to speak up. That's why I'm here. And, uh, just want to let you know it's it's not an easy thing. And, uh, I hope that you consider this before you do pass this budget and realize and look at deeply what we need and what we don't need. And are we buying something for just a because uh superintendent of streets or the head of the fire department says we need this and uh do we really need it? Consider that. Um because uh how many new squad cars are in the proposal? Two. Was it last year? 11. >> No. No. We replace two annually except every fourth or fifth year we do three. We never do more than three. Okay. >> Okay. So, we don't have any >> and you also discuss the increase for the firefighters. Okay. Um, well, I'll tell you what. I got a notice for social security. My social security went up $185 a year. Okay. A year. Okay. Well, it went up and you talk about time. Yeah. Well, I'm going to take my time. That was a lot. I'll be finished. But, uh, $185 a year. Then I get another letter from Medicare. My Medicare, the $185 increase is being made up by the Medicare cost increase. Gone. So, it breaks even. And the amount that these taxes are going up, you mentioned a $300 and some thousand house, $162 a year increase. 152. Yeah. Okay. He mentioned the increase. Well, my income and my taxes, my social security, uh my social security, my income does not increase near the value what the tax rate increase has been going up here. So, you figure that out and figure out for the retired person how how can they make it? They have to work part-time working at Walmart. Uh some of these people are 80 some I'm approaching that 80 year old age, you know, and it's not easy. So, but thank you and I appreciate you taking the time to listen to me. Okay. >> Thank you for your comments. [applause] >> Absolutely. Everything is way too high now and it's not stopping. Just saying. >> Please step to the podium and state your name and address. >> I've only been in Hastings a couple years. My name is John Larson. I live at 113 Rivers, but everything is going up. I mean, the rent's going up, your taxes are going up, insurance is going up, the grocery store is going up, and then there's all these little projects. And I understand a roof. $510,000 to do the roof. How many bids do we have? I mean, several. I mean, that's insane. I'm just saying, you know, so there has to be a way. And there's a big crash coming. People don't think there is, but there's a big crash coming and all these taxes are going to these houses are going to start losing value and people are going to start having to move because people can't afford things. And I'm just saying you got to reduce it. and I don't know how to do it. That's what you guys are all about. And I know you got to go up to to Congress and you gotta give them your spill. But like he said, he's barely affording his house. And I'm sure half the people here are too. And it's getting ugly. And and I watch a lot of YouTube, unfortunately, and all this financial stuff. I'm just saying. God bless you all. Do the best you can. >> Thank you. >> [applause] >> Kelvin Lawrence live at 411 19th Street. Um I don't know what um how they've come up with this as far as property taxes. My property taxes are supposed to go up 14.7%. My my uh bill for the city is going up over 17%. I'm like, where, how, who gets that kind of an increase in one year. It's It's just I don't know anybody that does. I really don't. I don't know anybody in the world that gets over a 17% increase in one year. And like I said, my property taxes are almost 15%. In one year, what's next year going to be? I mean, I don't No, this is not sustainable. I I I I I don't believe that we can sustain increases like this. I I I don't know what else to say. I don't I don't know what can be done, but it's just No. 17% in one year from the city. That's it's where do you get numbers like that? Where does anybody get numbers like that? I don't get it. I don't get it. You know, I mean, when people ask for a 4% increase or a 7% increase, I mean, I I just I don't get it. Okay. I don't get it. I I something needs to be done. Evidently, something needs to be done here. That's all I got to say. >> Thank you. [applause] Anyone else wish to speak to councel? Still no one on Zoom. Okay, one more time. Anyone else wish to speak to the council about the levy? At this time, I'll close the public hearing and council discussion. I will say council, we do have four items and I think we should do it separately because there are four different motions to be needed. Okay, Council Member Pemble, >> first off, Chris, there's a mistake in your presentation on the picture of what the uh road rebuild pro program is for 2026. You have the 2025 picture in there right now. >> So, the proposal is Pleasant and Fourth, >> correct? Yes. >> Okay. Council member Campbell, >> I guess I will comment on some of the things that I heard this evening is that no matter how you look at it, I don't know any place else in the county that you're going to be or even in the metro area where somebody is going to move and have a better tax evaluation. I know that it's difficult and when the county comes and they look at what the property price value is and it's based on the previous year's sales in the area that you live. So if a lot of houses in your area sold for a lot more money than probably what people think, that drives up that cost and you're looking and saying, "Well, how did how did my cost go up? I mean, I'm looking at my own home and it's we've been there 45 years and I think I paid like $83,000 for it 45 years ago and now the estimated value is like 235 245 some or 34 no 445 excuse me 40 445 so yep but that's been 45 years in the ing and wages go up, costs of, you know, like fleet vehicles keep going up. You can't you can't say that you're going to go buy a truck for I don't think you can buy a dump truck for 100,000 anymore. It's three or 400,000 just to buy a truck. Well, everybody wants their roads plowed in the wintertime. And that's what those trucks do. you put a blade on them and and a sidewing and they're digging in and they're doing the the city's work to maintain the property. We've got like 110,000 uh miles of street or 110 uh miles of street in the city limits and I I don't know how many miles of sewer and water that has to be maintained and we continue still having breaks because some of it is 50 plus years of age and that clay tile that it was put in with breaks and we have to keep up after that And so, yes, it feels very inconvenient. I think part of looking at the overall county estimates, we're not as bad as some other places in the county. Now, it wasn't too many years ago that Hastings was like at the top because we had a bunch of property sales that raised up our property value. Well, they're over someplace else in the county raising property tax values. So, we're probably not, and it shows in some of these uh displays that Chris had put up here that, you know, we're not at the top. We're more at the bottom of overall the county in these different areas. Yes, it's expensive. I hate that, but we cannot go without services in this county or in the city. And that's part of the big problem when you look at it. Yes. that that overall cost bites the person, the property owner in their wallet, but we need to provide those services for the people that live in this community and that makes it very difficult and I'll get off my horse and be quiet for a while. >> Thank you, Council Member Pebble. Council member Vera, thank you, your honor. Uh, thank you to those of you that came out tonight and thank you for speaking. You know, um we've joked a little bit before that these are not often well-attended meetings. And so we want to hear from our neighbors and a reminder that we are your neighbors. We live in your neighborhood. I live just down the street from here in Cow Town where a house recently sold for over a million dollars. Is that something that probably a lot of folks in Hastings thought that they would ever see? A house in Cow Town going for a million dollars admittedly on the river. But I promise you as somebody that sits on the finance committee as part of this group that these are decisions and conversations that we have for months and hours and hours and hours and we go back and forth with staff making recommendations and where can we make cuts and what makes the most sense in terms of being good stewards of our community and making sure that you get all of the services that you've come to rely on in this community, growing up here, living here, retiring here, like Les was talking about. I mean, I hear you, John. I hear you, Calvin. I We understand like we like I said, we are your neighbors. Um, I'm thankful that you all came tonight. I'm I'm thankful for your input. I don't want to speak for others, but I know this group pretty well. And I would say that there's not a person up here that wouldn't love to talk with you after this meeting that wouldn't love to meet you for coffee or a beer or something and talk more about this so that we can have a better understanding. I get it. It's expensive. We hear you. Thank you for being here tonight. Um, can I completely switch gears, mayor, and ask Chris something? Since we're talking about the point that even smaller amounts in a much larger budget can have, um, can you remind me building permit revenue forecast to decrease by $64,000? What was that about? >> Less building. >> Thank you, >> council member. Uh, it's just slowdown in the market. Less building going on, fewer permits being issued. Simple as that. Would could I then also deduce that less building going on, less permits being issued means less people moving to town, more people then having to carry a higher tax burden? >> I don't know. I mean, we've got some of those apartment buildings going up. There could be people moving in there. Uh we did reduce a vacant building uh inspector position this year to try to keep cost down. So, that is one step we took for the building department in particular. So, >> can I make one more comment, Mayor? You may. >> Thank you, Chris. I know that you and your team puts an enormous amount of work and energy into this. I know that this isn't easy. I know that there's a lot of cuts and a lot of back and forth and hearing from department heads and the fire chief and the police chief and yourself and and folks saying this is what we must have this year to continue to provide, you know, safety and resources for for our neighbors. So, thank you. I know there's a lot of work that goes into this. >> Thank you, your honor. Thank you, Council Member Veriche. Council member Lefel. >> Thanks, Honor. Uh, first, I you've all heard me say many, many times, this isn't my day job. I manage a bank. So, when we sit here and we go to our finance committee meetings and we sit in on our workshops and we talk about the budget or really anything for that matter about the city, we're sitting here like you are. We're just residents. Um, I don't have a MBA in political science. I'm not a city administrator. I'm a resident of Hastings. I was born and raised here. I've lived here for 57 years. There is nothing about raising taxes that makes me happy. I won't speak for anyone else, but there's nothing about this that makes me feel good. I have said before I am a single homeowner, very proud of the fact that I'm a homeowner. Is it easy? Absolutely not. And this isn't going to make it any easier for me. I put in two egress windows with myself and some friends this summer. Pulled a couple permits, so you're welcome. That helped revenue. Um, and I put in two egress windows in my unfinished basement in the hope that I might have to get a roommate. I'm 57 years old. There is no point in my life where I thought I'd be getting a roommate. We aren't making these choices to, you know, build big extravagant things. Would we love to build a new police station? Absolutely. Do we need to build a new fire station? Absolutely. These are things we need to do and we're putting them on the on the side because right now this is really that term keeping the lights on. That's what this is. When the fire happens in your neighborhood, we need the infrastructure under the roads to run the water so the fire trucks can get there. We need the fire trucks to run. when it snows, we need the plows to run to get to your house so that if you have a medical emergency, EMS can get to you. These are things that we're proposing for taxes. And when I hear one less, I am so sorry for your loss. We, you know, that is obviously something nobody plans for, right? This wasn't in the cards, him and his beautiful bride, right? they were going to retire in that home and probably travel and spend time with grandkids and what have you. These are the things that are happening. And when we look at rent increases, taxes increases, insurance increasing, groceries increasing, it's all increasing. It's all inflation, right? Those are the things that happen. Council member Pemble talking about paying what 80ome for a home that's worth 400 some thousand. I can tell you he didn't add in any gold, you know, inlay anywhere. So that is inflation. It also means he could sell his house for that. But where is he going to move >> someplace that cost >> right now? That's just it. I could make money on my home, but where am I going to go, right? Unless I want to rent. So, I want all of you to really look at all of us and I wa I read the Facebook comments and I know what people say and it's easy to say things when you're sitting behind a keyboard. None of this is easy for us. Nobody up here has it out for you. We're all dealing with the exact same things. Could I make some cuts in my own budget? Yep, I could. Instead, I have three jobs. Am I probably going to work till the day I die? probably. So, I just want you to understand though that we're real people, the six of us. We do live in your neighborhoods. We are your neighbors. We're your friends. We're your family. This is not an easy decision. So, I appreciate hearing everybody's comments, but I need you to understand that this affects all of us. And right now, this affects me and it's big and I'm going to have to vote for it because we need to keep the lights on. We can't let things, you know, the expression, whatever you want to call it, kick the can, right? We can't keep kicking the can down the road while our infrastructure crumbles around us. So, please just understand that this it it's hard when people sit stand up here. It's so hard to not respond when people are talking, right? Because I want to answer you. I'm glad we got this opportunity to speak because I feel like we sit here like this. Yep. Yep. We're not cold, heartless monsters, right? We have to do these things. And if we knew, if I had a crystal ball or a wishing well, obviously we would make it all go away. But we can't. So, please just remember, we are human, too. And this is affecting us just as just the same as it's affecting you. And some of us it affects more than others. We get that. I get that. So, thank you for coming tonight and speaking. and know that this is not something we're taking lightly. Thank you, your honor, for the time. >> Thank you, Council Member Leel. Council member House. >> Thank you, your honor. I just want to say I appreciate all that finance committee has done, Chris's team on finance, and I want to congratulate um or appreciate everyone who's came out and spoken today. Um it's not easy to come out um and talk to your um your council and speak up. And so, I appreciate it. And I am sorry to hear about your loss as well. Um, like council member uh Lifel was saying, we are people. I have lived in this town my entire life. And since the day I turned 17, I've worked a minimum of two to three jobs every day since. And I'm 28 now and I still do. And that's the real realistic life for a lot of us in this town and throughout Minnesota and in the US. Some things that we can't control is we can't control what Dakota County sets their levies at or their taxes at. We can't control that. We can't control Medicare or Medure. We can't control those increases on insurance. We can't control roofs that cost 500,000 plus dollars. But we also can't control >> um yeah, we can't control water treatment or 3M with our water. We can't control any of that that has happened to us. But what we can control is fixing that building that needs a roof. So that way we can continue doing the road maintenance. That way we can continue the hard work that we're trying to um push forward so that we don't kick the can down the road overall. Um I think it's really important that we don't continue to kick the can because that has happened for such a long time for so many years that I was on council prior to even council member Lifel being on council where we didn't raise taxes. we didn't raise, we didn't raise. And that built us a giant hole of where we're at now. Um, and so that's why we're trying to just maintain. And I'm grateful that we were able to look at the budget within the last few weeks and bring it down from 8 8.33 or 38 to 7.88. It's minimal, but I mean, every percentage helps as we all know. Um, I thank everyone again for coming out here today. Um, again, it's not an easy vote. It affects us and it's going to affect me greatly and my family greatly too. And you know, it's it's how it is. And I wish there was more that we can do as a society to do better and change these things. But again, some of this is out of our control within the city limits. Um so reach out to your legislators, talk to them as well because Dakota County, they said um their tax levies in spring every year. So talk to your Dakota County commissioners as well. So, thank you again. >> Thank you, Council Member House. I'm not going to say the same thing that everyone else is saying, but along the same lines, this council is very mindful of this budget. It is tough times, but they are like they've all said, it's lights on. This committee of council, the finance committee, our finance team, every department has worked diligently to listen to what their true needs are. Not wants. It's not fluffy. It's nothing fun that you're going to be able to say, "Oh, we got a new this, we got a new that." No, these are things that we have to keep this city running and try to being as fiscally responsible as we can. Yes, it's hard. I'm I'm probably never going to retire, but I don't want to think about that. I just want you to know that we are listening. We appreciate you coming here. We they are hard times, but we have to try to keep our buildings running and our businesses open. So, as much as you can continue to support us and continue to choose Hastings for your shopping so we do have these businesses that we can continue to support and have them in our community. They help with our tax base. So, we we do appreciate all of you being here. We don't know what's going to happen at the end until we start voting, but um please know that if you have any questions afterward, you can come up and talk to us again. Thank you. Okay. At this time then, council, um as I said before, we'll have four different motions. And first off, I would accept a motion to adopt the resolution to adopt the final 2026 city property tax levy and final budget. >> So moved, your honor, >> council member life and a second with council member Verichoff. Any new discussion? Councel. All those in favor of the motion state by saying I. >> I opposed to that motion state by saying nay. And that motion prevails. Council, I would accept a motion to adopt a resolution approving a final 2026 Hedra H special levy. >> Council member Pemble. Second. >> Council member Lawrence. Any discussion? Councel. All those in favor of that motion state by saying I. >> I. Opposed to that motion state by saying nay. And that motion prevails. Council. So I would accept a motion to adopt a resolution to the 2026 to the 2030 capital investment plan CIP and capital Equipment Plan C. >> Council member Lifefeld and a council member House discussion council. All those in favor of the motion state by saying I. >> I opposed to that motion state by saying nay. And that motion prevails. Council, I would accept a motion to conduct the first reading to consider an ordinance of the city of Hastings, Minnesota, amending chapter 34 of the Hastings City Code pertaining to fees for municipal services. >> Council member Lifeel second. >> And a council member Pemble with a second. Any discussion, councel? All those in favor of the motion state by saying I. >> I. >> I. Opposed to that motion state by saying nay. And that motion prevails. Thank you, councel. Okay. Emerging I'm sorry. Energizing services for property for Kimy Horn for this item. Um Dan is on he is on Zoom and he will present this for us tonight. Welcome Dan. >> I didn't hear him. Sorry. on volume. >> Um, >> there are two contracts proposed on the board tonight with Kimley Ford and these come about because of uh unexpected staffing change. Uh we had um earlier not this month, I guess it was November, uh mid mid November, our city engineer Cody Mat uh resigned, took a new position with Kim Horn. Um quite simply a better fit for him and his um interests, his passions, his skills. Uh wish him the best. Uh we're really losing a great employee uh and good for them. Uh but it puts us in a position um uh a tight spot from two standpoints. One, we have our annual neighborhood infrastructure project. Uh unfortunately, you didn't see the map of it earlier this this evening, but it's um West Fourth Street and uh Pleasant between 4th and Highway 55. Uh it is an area that is uh experiencing uh increasing numbers of uh utility breaks, water mane particularly. Uh so really wanting to get that fixed uh and and not uh delayed. Uh also some of the worst condition road and wanting to make sure that we're every year picking up and doing some road projects and uh not falling behind on street maintenance. It's important. Uh, also the other factor on this project is um it will not be an official uh uh detour when the highway 61 project comes in a couple of years, but we know that locals will probably be using it as an unofficial detour and a way to avoid some of the traffic jams. Uh so we'd rather get it fixed uh ahead of uh ahead of that additional traffic flow. Uh, typically our engineering department does that design work over the winter and then we can go in to bid in the spring and and construction over the summer. With our city engineer leaving, it puts us in a tough position to do that work over the winter. Um uh and uh realistically if wanting to keep the project on schedule which is our recommendation it means hiring out and bringing in some assistance and uh realistically I think there are two options for that. Um one would be to work with WSB uh who we do a number of uh consulting engineering work with. know they're the ones that were uh doing most of the engineering on the PAS uh project for example and this is the one that we're recommending um uh Cody Mat uh has started our design work as we went into winter so maybe we're at the 30% point on uh the design for this year's project recommends sticking with Cody essentially to carry it through so that we can put it out to bid uh carry it into the assessment process, answer questions of the public uh about the project, decisions that were made on it. uh some limited uh uh oversight of the construction. Basically just sort of verifying the quantities and making sure that they're uh you know pulling together the um the pay requests appropriately. Not not construction management that's on the administration on on the project. Um but really that's a point of recommending hiring Kimley Horn to uh help us keep this important project on schedule. Uh otherwise we'd be looking at uh uh delaying it uh to a future year and uh seeing uh increased water grade breaks and and difficulties with that uh as well as um not maintaining uh a road project every year. Uh the second uh and that the cost estimate on that is uh $254,000. Um that is a not to exceed number. So if the actual hours come in less, I think they probably will with some familiarity with the project and what typically would be needed. I think it's probably coming in under that, but it's not to exceed number. Um the actual cost would be based on uh out build hours. Um the second uh Kim court proposal is uh also to work with uh Mr. Mat um estimated as 8 10 hours uh a week um some weeks, some weeks going to be higher uh 15 16. Um but essentially it's a matter of uh until we get a new city engineer probably advertising it here in mid December. uh it takes some time to hire that individual on and until that individual is um up to speed. Uh there'll be things that come up that uh well, we're short staffed, we need a little bit of help. Uh maybe it's uh something related to a crosswalk or a culvert. And if Cody's been involved in the the development uh that that crosswalk is adjacent to, we can probably turn to him and get it answered or figured out or a little bit of engineering on it in two or three hours where if we work with uh uh an outside consultant that isn't familiar with the project, had the experience with it, it may be two days instead of two hours. said uh just a matter of unfamiliarity, needing to get up to speed. Uh so really believe that this as needed consulting work over the next few months um is a cost-effective approach to the transition. Um obviously our intent is to get the position filled, but in the meantime, we still have to make sure that we're um addressing our engineering needs for the department. With that overview, I can take your questions. Thank you. Thank you, Dan. Council, any questions? >> Okay, council member Veriche. >> Thank you, your honor. So, Dan, I support this completely. I I I agree. I don't want these projects to be delayed any further. And since um [clears throat] an engineer, Cody, that's that's incredibly familiar with them. I love this idea. But just so that I'm clear, if the city was to hire Cody's replacement for that engineer position, what would then happen to this contract? Does that make sense? >> We would continue working with Kimley Horn and Cody Mat on the uh design for the neighborhood project. um uh that would allow the new person um uh the the ramp up speed in order to to get into the department. It also is a matter of uh although this is a big part of the job duties uh particularly in the winter, it's not the only job duties of the position. So, uh, we would have other work for, uh, the new city engineer as well as others on our engineering staff to to continue going forward. >> Thank you for clarifying. Thank you, your honor. >> Thank you, Council Member Veroff. Any other questions, council? All right, then I would accept a motion to approve the proposal. I'm sorry. Yes. To approve the proposal for feasibility study, preliminary design and final design service for the 2026 neighborhood infrastructure improvements and proposal for city engineering transition services. Council member Verichoff with this and a second from council member Lawrence. Any discussion council? All those in favor of the motion state by saying I. I oppose that motion. State by saying nay. And that motion prevails. Thank you, Dan. Under community development tonight, we have a second reading to adopt the ordinance for city code amendment lower potency hemp edibles. And with us, we have an introduction from John Hinsman. Welcome, John. >> Thank you, mayor, city council members. Before us tonight is a second reading of an ordinance amendment for lower potency hemp edibles. And I know we've had a lot of discussion over the last year or so pertaining to cannabis and hemp edibles. Want to clarify tonight we're looking at hemp edibles only where cannabis discussion is not part of the ordinance amendment. Background on this is back in December of last year we adopted an ordinance in which we set standards for cannabis and lower potency hemp edibles. some of the information included within the staff report at that time wasn't put into the code that we adopted and there was some instances there where there was some things that could be better clarified. So, we're doing that tonight with this ordinance amendment. Uh some of the items in there in which lower can lower potency hemp cannabis was in a chart in the packet approved in some districts, we're putting that in the ordinance now. So really, we look at this as more of a cleanup more than anything else on this. Planning Commission did review this amendment at their December 2nd meeting, excuse me, and that was last year, November 10th meeting, [laughter] and they did vote 6 to recommend approval of this as it sits right now. So I can stand for any questions. Again, we're looking for an ordinance amendment adoption tonight by the council. >> Great. Thank you. >> Thank you, John. Council member Lifeel. >> Thanks, Shor. So, John, is this just sort of um housekeeping while we wait to find out what's happening with the federal hemp limits? >> Interesting enough, council member, this started before the the surprise of the hemp the hemp bill at the uh the federal level. So, I am uncertain what will happen at the federal level, if there'll be any changes or not, if it stands as it sits right now, and these are going to be termed uh not to be able to occur in a year. Well, then we'll have to abide by that. >> Thank you, John. Thank you, Council Member Leo. Any other questions, council? Nope. Council member House. >> Thank you, Honor. It looks here, um, while I appreciate that uh, plan commission looked this over and voted 6 to recommend approval. Um, it looks like they also discussed on and off um, sale liquor licenses pertaining. Um, was there any discretion uh, discrepancies within that as well, >> council member? Yes, there was some discussion at the planning commission pertaining to I think some of distances on uh setbacks for operation of different facilities. Uh better clarify that within the the the ordinance amendment that we have before you tonight. >> Perfect. Thank you so much. And I'd like to make a motion to approve that. >> Thank you, Council Member House. And a second with Council Member Lifeel. Any new discussion, Council? All those in favor of the motion state by saying I. I oppose that motion. State by saying nay. And that motion prevails. Thanks, John. We also have a resolution for a special use permit for m manufacturer of lower potency hemp edibles for Spyro Brewery 1112nd Street East. You may continue, John. >> Thank you, Mayor. Special use permit request is from Spiral Manufacturing, Spiral Brewery in downtown. What they're proposing to do is to manufacture hemp edibles. What that means in English is these could be beverages. These could possibly be uh be gummies or edibles. The they would also be looking at selling those on the site as well. The sale of those does not require any zoning action. It's a permitted use within the zoning district. However, the manufacturing of low potency hemp edibles does require a special use permit. So that is what's before you tonight. So, in talking to Spiral, it appears that this is something that they would be doing in addition to their brewing operations to supplement uh the lines that they offer. So, that's what they're proposing to do here. Part of what they're doing uh was ne necessitated the ordinance amendment that we just previously approved because some of the language there was a little uncertain. So, with [clears throat] the adoption of that ordinance amendment, we can look at adopting this. The approval of this resolution does require six of seven council members. The planning commission did review this on November 10th. They voted 6 to recommend approval of the special use permit. During the public hearing, no one spoke for against the item and we've had no public comments uh since we did send out notification on this. One item that I will note related to the special use permit. We have a situation here where we've got a brewery that sells alcohol and there would be beverages or edibles that have THC. State rules do mandate that the sale of you alcohol to someone consuming THC or vice versa has to be cannot be allowed. So there would need to be a way and a methodology that would be approved and uh by our police chief in order for them to do that. Essentially, they need to be able to prevent those that are buying one product from buying the other in the night. Uh we don't know exactly what that would be. If we discussed a few items uh with Spiral Brewery, but we do have a condition with the special use permit that they would need to implement that plan to the approval of the police chief. So, I can stand for any questions you have. >> Thank you, John. Any questions? Council member House, Council Member Lifeel. So, this just to me seems like a way for a business to make more business. I think it's great. They're a local business. Um, there's a lot of competition in that market. You can buy it in your liquor stores. You can buy it in tobacco shops. I mean, you can buy it all over the place. So, I think that's a great market. I think it's a smart move on the part of a local business to try and get in on that. I have no idea what it entails compared to the facility that they've already got, you know, with the process by which they make beer. So, I don't know because I remember when we were sitting here talking about them uh making seltzers just a few years back. So, to me, this is just a a great way to um include more people into a local business. And I would like to make a motion to um allow the zoning code for the lower potency hump edibles >> as council member Lefeld and a second by council member house. New discussion council. All those in favor of the motion state by saying I. >> I oppos that motion state by saying nay. And that motion prevails. Good luck Amy. Okay. Also, we have a resolution for a home occupancy permit for a taxiderermy at for Cano at 71413th Street West. >> Thank you, mayor. Putting up a map of we're looking at here, 71413th Street West. Home occupations within the city are regulated in two matters. One, most of home occupations are permitted as as a right. You don't need any special approvals by planning commissioner council. There are certain items in which a special use permit public hearing review is necessary. Uh one of those items is if you're operating that business within a garage or outside of the the main home itself, which is the case here with Mr. No. So 71413th Street West, he is proposing to operate taxiderermy. The taxiderermy would be operated within the garage itself. We did send a public hearing notice out on this one. Did not receive any comment back. Planning Commission also voted uh to recommend approval of this at the November 24th meeting. The operation itself, as I said, would be within the garage. This is a picture of the home here. This is a picture of the the driveway garage area towards the back of it. Hours of operation would be be pretty uh pretty common. 8 to 4 p.m. Monday through Friday. Usually, we're looking at having one customer at a time with a home occupation. during hunting season. There might be a little more than that. Uh but it it it's going to be a little more seasonal on it. But we do believe that the amount of traffic that would be generated by the home occupation is certainly uh amount would would be have adequate parking within the neighborhood to handle it. So we are recommending approval along with the planning commission. And I can stand for any questions. >> Thank you, Jack. >> Thanks, >> Council Member Lfield. Um, I love this for the Is it are these canals or nles? Canoles. These are canals. [clears throat] Never sure which one's which. Um, I can't imagine how many people around town are doing such things without having all of the proper things in place. So, this so this is fantastic that we've got a resident who wants to um do right and um register and get the proper permitting. So, I think this is exceptional and I would u make a motion to um approve this resolution as well. >> Okay. Thank you, Council Member Lifel. Council member Pebble, >> I'd second that motion with one question. We already do have a taxiderermy setup in town, right? Is that correct? >> They closed >> perhaps. I'm not sure. >> They closed now. F. Okay. So, this is So, this would be the one and only. Very good. >> He's taking >> Oh, that work. >> Yeah. I stand with a second and no other comment. >> All right. Thank you, Council Member House. Uh Pemble, any discussion? Council. >> Okay. All those Yes. Council member House. >> I do have one question actually. Um will uh all u tax meter work be done in the garage? I was asked by resident >> council member. That's my understanding is that uh that the business and the the process that would take place in the garage. >> Fantastic. Also, I would love to get in contact with you at some time. >> Okay, Council Member Beck, >> just a really quick clarifying question. That would be the garage that the business is in and not the one on the front of the house. >> That's a very good question. >> I saw two garages. >> It's the back garage. >> Uh, detached garage. The back garage. >> I highlighted that. Yes, detached garage. Thank you. >> Thank you, Council Member Beck and Council Member Lifeel. >> One other question. Is there any regulations for disposing of carcasses there? >> I do know. I'm sorry, council member. >> I I I guess I'm just curious as to I mean where do you It doesn't go in the garbage and right they have a separate >> there is a lensure I know that uh is required for for taxiderermy. I don't know if that has regulations pertaining to disposal of things are needed. >> Thank you, John. >> Okay. >> Okay. Thank you, Council Member Lyel. No other questions. And we do have a motion. All those in favor of the motion state by saying I. >> I oppose that motion state by saying nay. >> And that motion prevails. >> Thank you. >> Great for them. All right. We also first m our first meeting of the month. We do always have a PAS update. So with that, >> Dan should be rejoining us again for that. Welcome Dan. Thank you mayor and council. Um, as you noted, this is justformational. Uh, but I can certainly answer any questions you may have. Uh, however, there's no action uh recommended tonight. Um and and it's a matter of this is uh repeatedly we've said this is sort of the big topic in Hastings that dominates many of our discussions and just wanted to make sure that uh we're providing frequent updates and clarification understanding for our residents. Uh there's um transparency at the utmost. uh in the last month. Uh few of the highlight pieces uh uh in late October, early November, we had visits from the Senate and House capital investment committees uh regarding our uh request for state uh bodies uh state financial assistance for our land achievement project. Open meetings were uh well attended, engaged, wellreceived. Uh so I think it was positive but obviously it was just one step in a a lengthy advocacy process and um we will continue to meet with legislators during the coming session. Uh hopefully have uh additional chances at hearings in front of committees as we've had in the past. Uh typically uh any binding bill is uh a late uh decision uh in May by the legislature. So process um other piece which uh I should note that is not included in the memo uh because it's not really ours but uh uh the chance for additional advocacy. Um I know that the last two weeks our communications department's city hall update the email newsletter had a piece about uh Minnesota management and budget. M&M uh has a brief survey I think through uh Monday next week. I think the 8th is the last day, but it is a chance for uh residents throughout the state to uh comment uh and give some input to the governor's office about uh where they see priorities in uh a future bonding bill. So, uh, a chance for, uh, Hastings residents to say, uh, water is critical infrastructure. This is shovel ready. This shouldn't be borne by our our our local residents. Uh, it's, uh, time for the state to go to bed and help us out, but you can uh, you know, I want to say stuff the ballot box necessarily because it's just input. uh that here's a chance for uh people to tell the governor's office that Hastings's project uh is important and needs financial assistance. So encourage people to look for that link in the uh recent city hall updates. Um next update I give uh in mid November uh the state uh came out with its draft uh project priority list PPL rankings. Uh this is something that you have to apply for. Uh and um uh the state uh office scores the based off of a number of different factors including the fact that uh it's contamination. It's sort of a wants versus needs. Uh what's the degree of the need? Um anyways, we we submitted two projects uh our eastern and our western plants. And the Eastern Plant uh came in in the draft and we'll be finalized for another month here, but the draft rankings have the Eastern Plant ranked as the number one uh drinking water project in the state. Um that's a significant case and I I think is one of the pieces that we we we emphasize when we message the importance of state bonding dollars. This project is number one uh in the state's uh nonpartisan nonbiased uh review and ranking of the impact of the projects. Number one, uh our western plant uh does not have the same POS levels although it has PAS contamination. Uh it is tied at number 17 on the list. Uh so uh both are reportedly in the fundable range. uh which at minimum means low interest loan uh but hopefully also gets us into funable range of looking at any uh grants um in addition to other funding we've been looking at. So uh good news moving those forward. Um, also here, uh, we've had ongoing for the past couple of years, uh, a couple of different environmental investigations being done, and those are both scheduled to be completed here around the end of the year. Uh, looking at the potential, um, sources of, uh, PAS contaminants in our drinking water. uh and and some modeling of the the groundwater and hydro geology. Um I don't know what those will come up with. Uh it but um uh as they complete here later in the year, it could very much change some of the conver conversations that we've been having with the Minnesota Pollution Control Agency about uh direct connection between um uh one of the uh 3M disposal sites in uh Washington County and our drinking water. Uh so if you remember uh October a year ago uh we were determined to have connection on one of our wells and uh that helped with partial funding for the central treatment plant. Uh hopefully as these studies are coming completed we might have some additional uh determinations that would help us with funding. Um as noted earlier this evening uh our current budget uh proposal and I guess uh It's a little bit more than a proposal at this point. Uh is looking at continuing water rate increases. Uh it's unfortunate, but these are expensive treatment plants. The whole project between the three of them is over $70 million. Uh although we've already gotten a little over 23 million from the three states 3M settlement from several different grant sources. uh utilizing a low interest loan. Uh even with all that funding, we're still looking at over 150% increase in our water rates between 2024 and 2028 and completely recognize that's a budget buster for uh all of our residents um and our businesses. Um but it needs to be built. Uh, as it stands, we're trying to do a plant a year for three years and raise the rates each year as those plants come up. Right now for the eastern treatment plant, we would be looking at about a 29% rate increase. Uh, much more than we want to do. Uh so what we're doing and recommending and was in the peace catches voted earlier the first meeting earlier [clears throat] uh is a 10% increase January 1 and buys us some time uh so that hopefully these environmental studies come in with good news or state funding comes in with good news or other state financing or maybe we get some grants that help to reduce the expense. Uh but knowing that we're not going to go to construction till summer, let's wait until summer for a second rate increase. And maybe it's smaller or maybe it's not needed uh and potentially even a third increase uh late in the year. Uh so we're looking at a potential 10 10 and 10 increase. But the reason that it's pushed out like that is just trying to uh put off the uh the worst of the expense until it really uh has no other options because we're we're trying to find funding best we can. Um last piece of increase although it's a bit of a carryover from last month. Uh in late October uh we were served notice that uh Carbonies is suing us um over the acquisition of the property that they were leasing. Uh and really isn't a whole lot to say right now because it's early in a long legal process, but we dispute the substance of their claims. Uh we have been from the start following the requirements of the uniform relocation and real property acquisition policies act and continue to follow those requirements. Uh our insurer the league of Minnesota city's insurance trust is defending the city and has assigned off attorneys to handle the lawsuit. Um, in the meantime, I think the most important piece is we as a city still want to find a good home for Kabones Pizza. We want them to be a successful business here in town. We're still following the uh legal requirements for providing them with relocation benefits. uh and that process will continue uh while uh let's say completely in the background but over on the side uh here to here the the lawsuit piece will proceed and really it's just a process and it may take a couple months may take a couple years um uh but it really it's more of a procedural piece to to go through. I'm not that worked up over it. I know there's a lot of people that see drama around a lawsuit, but really it's more of a a process and and I note it, but um I'm not overly concerned about how it would have to play out. Uh with that, I can certainly take any questions council may have. Thank you. >> Thank you, Dan. Council, any questions? Okay. Thank you. Um, also on the agenda is the 2026 budget, but we addressed all of those earlier in the meeting. Council, any announcements? Okay, I do have a few. Dakota County is hosting an open house about the upcoming county road 42 project on Wednesday, December 4th at the YMCA and that starts at 5:00. We have a new mural at city at the civic arena. Thank you to the artists Lily Lennox and Nico Alexander and the Arts and Culture Commission. There is a ribbon cutting at 3:30 this Friday, December 5th. Enjoy the CPKC holiday train and free holiday concert by American Authors and Pink Beard on Friday, December 12th. Bring a food or monetary donation for Hastings Family Service. The train estimated arrival time is 8:30 p.m. The new city website is scheduled to go live next week, December 11th. It will provide a clear clearer userfriendly platform, excuse [clears throat] me, to reure reinssure relevant, timely and accurate information. It has been designed for easy navigation and it will be accessible on desktop, table or mobile devices for all types of users. City offices will be closed from 11:30 to 1:30 on Thursday, December 11th for the city employee holiday party and staff recognition. Hastings Prescott Art Council annual gala and silent auction is Sunday, December 14th. You can attend in person or online and recycle your old lights with the hence facility 92010th Street West during the holiday season from November 15th to January 31st. December 8th, Monday, December 8th, meetings, 7 pm, operations committee is meeting. The planning commission meeting has been cancelled. Wednesday, December 10th, 6 pm, arts and commission, art and culture commission. Thursday, December 11th, 6 p.m. Hedra. Monday, December 13th, 7 p.m., there is a city council meeting. With that, I would stand for a motion for adjourn. Council member Leel, Council Member, >> I'm sorry, sorry, your honor. Point of order. >> I'm so sorry. Um, just one quick note. I was just looking at all of the announcements and it seems like one was missed. Could I just bring it to light? Would that be permissible before we adjourn? Of >> course. >> It's happy birthday to Mayor Founder. >> Happy birthday. >> Another year older. With that, a first and a second. No discussion. All those in favor of the motion state by saying I. I opposed or I mean opposed to that motion state by saying that we are ajourned. >> Wisenheimer. >> Why would you even print it on there? >> Because