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2026.1.20 Pine Island City Council

Pine IslandThursday, January 22, 2026
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making order. First order of business would be the pledge of allegiance. Please stand if you can. I pledge allegiance 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. I'd like to welcome everyone to our January 20th meeting. usually once the foldest meeting the year and the meeting will jump into consent agenda which includes our regular council meeting minutes for December 16, 2025 resolution 26-01 approving our 2026 boards and committees resolution 26-02 accepting donations to the city chamber of commerce prey rental request and request to approve Michael Edstrom's successful completion of probation. of the consent agenda. >> All second. >> Have a motion and a second on the consent agenda. Want to publicly congratulate Mr. Ethan for completing his probation who has been a great addition to the public works team and truly appreciate his work and is here. >> Hi >> Colton. Hi. >> Hi. >> Randy, hi. And David will move. we will jump into public input and I believe most of people on this list have spoken but just a general review of when we do our public inputs this is for every council meeting um when you approach the lectern in here make sure you introduce yourself and state your name and your address and we are just asking everybody to conduct themselves in a civil manner as we've asked before um just no tax or name calling This is a public input and we are just asking for people to be able to participate. Uh I am going to just be a reminder and asking everyone to show respect and avoid interrupting the speaker. Um we are asking you to avoid silent conversations. Last time we had some issues with that. I'm just asking you to avoid that. So people listening online can hear and avoid any positive or negative reactions which includes clapping or booing as this may discourage someone else from speaking. Just a friendly reminder on that. and um we will get going. So for tonight we have Brady. Are you Brady? Any brand correspondents? I didn't see any. We do not have any correspondence. All right. Brady, are you public input? Okay. Darcy, you are up to the right turn. We are doing two minutes. I'll do verbal 202 warnings. Welcome. >> My name is Darcy Simpson. I live at 2008 Street Southeast. Tonight, I ask once again that you pause this project. The PUD and application, the PUD application and cup are inadequate and should include stronger conditions that ensure public health and safety. The only reason to push this project through without ensuring safeguards is money. Corporations have always chosen profit over people. When I expressed my concerns regarding noise pollution to Ryan company representatives, their response was quote, "We're within the law." End of quote. While in the same breath, they agreed the law was not adequate. Then they provided an application for development that didn't include the safeguards they know exist. They are certainly following governing law but definitely not ethical law. The tech industry is well aware of the harms of hypers scale data centers to public health and safety and they are aware of the mitigations to ensure public health. But those mitigations cost money. So they choose not to protect us. It is the worst kind of greed. Only when the law finally catches up might they do something. But it's always after their harm. I have been a healthc care provider nearly my entire adult life. I work with children who have significant health conditions to help them recover from hospitalizations. It is unconscionable to me that our city council members would knowingly choose to put the health of children in our community at risk for the promise of money. You have the power to set the parameters that mitigate noise and air pollution as well as construction traffic risk into the pug and cup. All of the parameters have been provided to you in the article that I sent. You don't have to wait for the law to catch up. You just need to do the right thing now. >> Thank you, Mr. Lannard. You are next two minutes sir 18 islands for northeast the last city council meeting native we talked about beaches disrespecting you in the post open you cannot demand respect You must earn it is earned through actions, integrity, character and not force or position. Demanding is offensive. Fact is the city leadership is disrespecting finan residents. Residents were simply asking the city leadership to pause his data center project and until critical questions were answered such as electricity, generator, cooling, emissions, noise, etc. Why are you being so naive? City leadership is simply being taken advantage of and is being blinded by running companies propaganda of full-blown lies, lack of information, misleading information, and verbal promises. Just ran through truth. Proceeding without answering critical questions is disappointing, disrespectful, insensitive, and naive. You certainly have the cart before the horse. are really detest bullies and puppets and that is how I perceive city leadership acting right now. We deserve better. You should be accountable to the residents of Pine Island and not Ryan Company's interests. Answer the questions first instead of telling us that legally you do not have to answer our questions. What kind of democracy is this? Stop approving and get the critical questions answered first. What happened to the promise of no approvals until a lawsuit was settled with environmental advocacy? Or was that a lie too? Also, hypers scale data centers are not light industrial. They are heavy industrial scale data centers are new to Minnesota and simply not classified yet. And no, they do not have face the same regulations. As city administration pre previously stated heavy industrial 10 minutes exception has two minutes. >> Give me one second. Your reasoning for for class is light industrial is simply unjust and disgusty. >> Thank you. All right, >> Lauren Simpson, you're next, sir. >> Few minutes. >> Lauren Simpson, 2008 Street Southeast. Um, I stand here before you with the document that Darcy referenced. Each of you received this a week and a half ago. Um it's called key data center zoning ordinance component to gain data center benefits without harming area residents. It states um it is found the most effective data center strategy is to urge local elected fish officials to institute a moratorum while putting in place zoning ordinance amendments safeguarding residents from noise, air pollution and other impacts while ensuring economic benefits are maximized. It talks about incorporating the most effective and reliable measures for preventing um impacts. It says they'll likely become essential to the local economy. It would be unwise to depend upon enforcement alone to safeguard area residents. It goes on to state that it meets um it could possibly meet all the criteria presented um to satisfy light industrial if you follow what's in the document. Um it goes on to talk about noise. Um in this it gives details about a weighted decibb, c weighted decibb, octave bands. It talks about the noise of of backup generators. It talks about air pollution. It talks about public health. It talks about all of these items within here. It also talks about the economic benefits and how to go about making sure that we receive those economic benefits. It gives you the blueprint to do what is right. Um at last week's meeting, Elizabeth was asked about low frequency noise pollution. Your dad asked about that. uh she basically said that since the state hasn't addressed it, the town of Prine Island won't either. The problem with that approach is we know that data centers can be a huge source of low frequency noise and we know that that is harmful for humans. We also know that there are ways to limit and mitigate low frequency noise. You guys have the opportunity to do something about it. Be leaders. Don't be followers. Stand up. do what's right. >> Um, next we have Reverend Drift. >> Thank you, sir. Next, I live at 340 Brian, Minnesota. This evening, I just want to talk about the whole zone. the zoning for it to be quote as light zoning. Uh according to the league of Minnesota cities, I'm reading right off the bat web pages variances are generally for the dimensional standard such as setbacks or heightenments. They cannot allow use that is prohibited in particular zone district. Why is that your name? Well, a letter was written by Mr. Craig sent to Elizabeth on December 5th of last year and I'm quoting from this letter over uses. The coal permits a range of light industrial activities with an I2 but excludes heavy uses like waste treatment or high voltage transmission. That's 100 kilovol definition for high voltage. Even if we're just following the rules, this should not be zone like industrial according to those directions. But there's more. Just because something's legal doesn't mean it's ethical. There's something called the golden rule. The golden rule has been with us for thousands of years. Says, "Do unto others as you have done unto you." Can you sit there and say that you would like the concerns, legitimate concerns that are of your neighbors dismissed if you're in the same position as they are tonight? Would you want things to slow down so that they could hear the answers they so desperately need about this development? That's what the golden rule asks for. That's what it demands. even go by far to say something's legal. Let us say that's ethical. And I would just by say walk the walk. Don't just talk the talk. We're asking about transmission of energy and we know the number. Let us know the number or don't be surprised if you don't believe anything you say that being transparent. Thank you for sharing. Jason, sir, you have two minutes. >> Good evening, council members and mayor. My name is Jason at 106785th Street Northwest in Pine. I am a longtime Pine born and raised resident. I'm currently residing on a piece of land that five generation of Lindals have farmed. Um my heart is for this city, this town, this community. Um the lands in which we are stewards of and understand the uh difficult choices that this council faces. I do want to support the project Skyway with everything I have as a father, husband, grandson, and son. This is a an economic opportunity for our community. I do appreciate the the opportunity here. this is uh proving to be a little harder to talk um in my own community and uh but it it just goes to show you that uh when your heart's in it uh nerves can have a little something to say to um Project Skyway represents meaningful meaningful investment in our local workforce. It will create construction jobs for skilled trades people who already live in this community and want to continue their careers soon. It does that by providing work close to home. The project reduces community burdens and allows workers to spend more time with their families. As an electrician who has traveled to support my family, I would appreciate that and I know my fellow workers would as well. Building locally benefits our community by supporting local businesses, household stability, and long-term growth. I am very proud of my town. I'm proud of the work my colleagues and I do. And I believe the project Skyway is a responsible and positive investment in our future of our community. Thank you for your time and consideration. >> Thank you, sir. Here's Mr. W. Welcome to Madison. I'm Windows Fort 8383 75th Avenue Northwest or no operated business on the north end of town the last 55 years. Mr. Mayor, council, staff. >> I've attended uh hearings and reviewed the information presented by the Ryan company and I find it logical and compelling. As you know, I'm an advocate of commerce and industry. have talked with the city engineer, the city staff, and they've answered the questions that I've had about the development. Therefore, I recommend a positive vote for this project. I look forward to the other business, the drying company will sponsor in the future in this development. Pine Island needs this for our future. Thank you, sir. You're next. from great part of you driving a peace. I stand again and before you asking that as my neighbors have asked that you pause to do your due diligence before continuing further. the zoning commission. We see the document that is already mentioned um that highlights exactly gives you that that framework of how to do this development well in a way that is ends up being a win-win situation where you get what you are supposedly claiming without residents becoming collateral damage in the process. You have received solid evidence from multiple sources multiple times from multiple community members throughout this process and the ask has been that you heed it so that we again don't become the collateral damage. You are supposed to be representing us and we have been trying to help you to do that in a way that is responsible and ethical. The zoning commission went on public record last week that they can be bought and sold by a billion dollar company and they don't care the cost. They don't care if their own town's residents are harmed in the process. When you have resources and the capacity to prevent harm, yet you actively choose to ignore those resources, you are intentionally choosing to cause harm instead of actively choosing to preserve and protect. What does that say about you as people? And what does it say about you as elected official? What are the values that you are proclaiming by intentionally choosing to cause harm and ignore all avenues that have been available to you that might have erased that harm in the first place? >> Thank you, Mr. Paul. >> Two minutes. Good evening. Jonathan Paul, 77 of 7 Wingard Court Northwest in Laureno. Bar that time. I spent 40 years in this town and I still own property in North Main Street. As a former resident council member, I'm here again tonight to hopefully show my support for project skyway. There's an old age-old adage used to describe towns that may be growing or you are dying. Project Skyway is truly an investment into the future of P Island and this is exactly the type of thing you should be looking for as elected officials. Developers have addressed construction traffic. They have addressed light pollution. They've addressed water usage. And they have addressed noise pollution. And in reading through the documents, every single one of it is below thresholds as set by the state of Minnesota. The 150,000galon daily water use is an estimated amount based on the develop completely built out, which is a 10 to 15 year endeavor. The developer has made commitments to both the city and the school to partner with them financially. The school specifically, they have committed $24 million paid directly to the school over 20 years. that is in addition to property tax dollars. I urge you to continue to proceed forward with project skylight. I also commend city staff and the council for the efforts that you truly have put forward to be transparent, including 12 public meetings, open houses, and workshops, as well as the online resources that both the city and developer have put forth. I also understand that you have finally begun to receive communication from people who are positive. This is not just something that is negative. People are finally stepping forward. They are finally emailing. They are finally letting their positive voices be heard as well. I will finish the same way I did last month. Having been a resident of this town for 40 years and watching it evolve over those 40 plus years. Change is scary, change is emotional, and change is still inevitable. Thank you for your time. You said no. Correct. >> Yeah. I may have a few things I'd like to kind of summarize a little bit from the last zone and just some general question stuff that's been going around. Um we've been at this project here for the last I' say project right now for at least 10 months. We've gone through the development urban area wide review um including many state agencies having input into the final design and drafts a plan follows Minnesota state parliamentary procedures for our meetings. We allow public input from both residents non-residents etc. Now the public debate time council members commissioners etc. take notes when people are speaking and assure the best we can that the information they are asking about is noted and quoted in the city's website with a project of this size. There are many phases of PCO development. Numerous government agencies and utilities are involved. The major cont contributors to this is like the Minnesota Pollution Control Agency, the Department of Transportation, the Department of Natural Resources, the Minnesota State Historic Preservation Office, the Minnesota Public Utilities Commission, the City of Panel, the Pine Township, the Vision County, Excel Energy, etc. There's a whole list of people that have had input into this process. I just I won't go into the details for each area. They've been noted in the preliminary and final draft plot drafts and the planned unit development. This is all contingent on a conditional use permit and how the land will be used. Most of the items company has met or exceeded what our city code requires. The 482 acres for project stageway do fall into our comprehensive plan for the city of P Island with underlying I2 light industrial district zoning as being requested. Couple of items I want to note here that were discussed at the planning and zoning meeting. Uh Craig Britain from our Lindsay can fill in more details on this when we get to that. The proponent 285,000 foot data center that in the project one phase one will have a closed loop cooling system. Upon initial filling, there will need to be a chemical flush to clear out impurities from the system. that water will need to be recaptured and disposed of properly in accordance with the MTCA regulations. Any violations will be subject to fines etc from the MTCA. There are 12 conditions for the prevision of the final flat as I will defer that as well and he can get into that. Um note that the city of P Island follows that Minnesota state guidelines for communities that's planning developments. They do have guidelines on high frequency noise. There have been some public input comments about low frequency noise. It is true at this time there is no state guidelines or recommendations on low frequency noise that I can find. Some say that the state is just trying to catch up with this development that is happening throughout the state of Minnesota. I would believe that to ensure future acceptance of PUD submissions to the city by wine companies that they would want this first phase to be a huge success not jeopardize any future development. Hence, I believe they will do their best in using acoustical noise dampering chambers or covers or whatever they can to mitigate this low frequency noise. In closing, the state of Minnesota changes or updates the PUB in the future. Any submissions made after those changes have been enacted will need to adhere to them as each submission by Ryan Cley must follow the state's POD guidelines at the time of submission. So thank you to um also want to publicly call out uh congratulate and thank our school board. We recently observed National School Board um day and want to publicly thank our school board for all the work that they do. We've been very fortunate to have great leadership up there as well as I think this week is National Terra Day or National Professional. >> Yes. And that is a that is a job. So been that for about a year. So I fully appreciate and want to commend our paras and our school district for the work that they do in supporting our teachers and their students. I publicly thank them as well. Uh let's jump into administration. We got our first item which is resolution 26-03 which is approving annexation quest. Who's taking? >> I can speak to this one Mr. Mayor. Um so the city received an application for annexation from Ryan Companies um requesting approximately 440 acres be annexing the city limits. Um this area was um recognized as part of a 2025 orderly annexation agreement that we have with Pine Island Township. Um both the town board and city council um jointly approved that orderly annexation agreement. It outlined um an area recognized for future annexation. Um the purpose of those early annexation agreements is to um a streamline the annexation process. Um since both bodies are agreeing um we can now annex land um by petition of the land owner followed by a resolution from council. Um the order of the annexation agreement also allows for the township to request a certain price um per acre for reimbursement for loss taxes. Um since that would be land gets moved into city limits. they start paying city taxes, the township loses out on that tax revenue. Um when there are not orderly annexation agreements, um they are subject to reimbursement set by state statute. Um those reimbursement levels are quite low. Um so as part of the um or the annexation agreement, the city will reimburse the township. Um I believe it's $495 an acre and then every year that we wait to annex um it goes up by 5%. So the total um tax is generated that the city owes the township is $226,975.32. That cost is then reimbured to the city from the developer. So again, the city is not out any money on that. Um that annexation reimbursement is paid from the developer to the city who passes it along to the township. So um the resolution in front of you is just approving the annexation of that 440 acres as depicted. the um there is a handout of the annexation resolution. Um there was one minor tweak um to the very last um line that reimbursement where again it talks about the city will reimburse the township. The um developer then reimbures the city. Um that way the city can kind of just control when that reimbursement goes out um and when that paperwork gets sent on to the state for annexation. So do you have any questions? Otherwise, that's what we're looking at for resolution 2603. >> Hey, Stephen, you mentioned that the range was 440. Is that because of the councils that were in the city already? >> Correct. Yep. So, later on when we talk about the PUD and whatnot, um that total area is 480 acres, right? >> Um there's already about 40 acres um that was part of the AU that is already in city limits. So, this is the remainder of that property. May there make a couple of highlevel comments about uh the annexation process. Uh and I'm going to be council I'm going to be repeating myself a little bit probably from things that I said when you considered back in 25 last year entering the orderly annexation agreement with uh Pine Island Township. You did that uh mid early last year. uh and I talked about it at the end, but we got a lot of people in the room and I sort of want to say the same thing again to give context uh to what's going on here. So, the background on annexations is this. Um there are several statutes in Minnesota that address uh the expansion of cities, organized cities like the city of Pine Island. Those statutes set out conditions, a variety of different conditions depending on which statutory provision you're looking at that give cities, frankly, I'm speaking bluntly here, give cities the ability to annex land that's in adjoining townships, whether the township agrees to that or not. Uh that understandably is the cause of a lot of friction between cities and townships. the fact that the legislature have given cities the ability under certain conditions, carefully prescribed conditions, but under certain conditions, cities have the ability to annex land and townships uh without the township board's agreement to that. Fair amount of friction uh historically for decades created by that framework. The other way annexations occur is this way by agreement between the town and the city. I will tell you that that has become a more common way that cities and townships are working out annexations. This city has used the statutory process in a couple of cases historically, but we have much more commonly had agreements with your surrounding townships and the the bottom line that as the kids say TLDR about um uh orderly annexation agreements is that cities and towns can sort of agree to whatever set of conditions they want to or the annexation of chunks of land in the township, chunks of land that then become part of the state. That's what's occurred here. We've reached an agreement with the the adjoining council with Pine Island Township about the conditions under which you're allowed to annex. And I guess the bottom line of what I wanted to say here is that the terms of that agreement, that agreement that we entered last year are identical or virtually identical to your other agreements that you had in the past with other townships around you and with Pine Island Township. Uh it's a very simple agreement candidly. Uh all of your agreements have been very simple and straightforward. The primary thing addressed is just what is driving it. Is there some development potential? Townships don't want to see cities taking land from them for speculation or for not planned developments. And so there is a condition that there be a real development proposal in front of you. And there is a provision for reimbursement to the township of taxes that it will lose when that land is no longer in the township. It is now part of the city. That is a very common it may be in every quarterly annexation agreement in the state I don't know but it's in the vast majority of them that there is some reimbursement to a township that is losing a chunk of land and thus losing that tax revenue. So I guess the bottom line is I want I want you to know that the agreement that you have with the township that you entered last year very very common among all cities and towns. It's exactly the same as your other agreements that you've had with surrounding towns including Pine Island Township and uh I think your staff has now reported to you and I would agree the conditions of that annexation agreement are met here and so it's appropriate if you want to uh to move forward with the annexation. >> Thank you. >> Resolution 263 approving the annexation request. I'll >> second a motion and a second. on 26-03 which is the annexation request. Um any other discussion like Alam said Bob stated you know we've gone through this process with neighboring townships and very thankful we have been working relation with our township boards around us. So otherwise Delena >> hi >> Colton. >> Hi >> Vernon. >> Hi >> Brandy. >> Hi >> David. >> I which brings us to resolution resolution 26-04 accepting a donation for $79,148.88 from the Pine Fire Relief Association. You taking this one Stephen? >> I am indeed. So um this is something that we're we're lucky enough to do um every year. Our Pen Island Fire Relief Association um through their charitable gambling um donates a portion of that money to the city every year. Um the city then accepts that in um to be used on expenses for the fire department throughout the year. Um so for auditing purposes, I know we do um a monthly resolution accepting donations that we kind of have trickle in. um just due to the size of this one. Um we have it split off in our own um resolution one just again for auditing purposes, it's easy to find um to pass along to make sure we're doing everything um correctly there. And then also just to kind of show our appreciation for that donation fund to the leaf association for use on our fire department. >> Does that donation go into the fire department pensioning fund thing that we support too or where they go? No, it's it yeah, general fund should just be used on on fire budgeted fire department expenses. >> Thank you. >> It's donations between governing bodies of the rural fire and the city. >> Okay, so donations from the final fire relief association. >> I'll second that. >> Motion in a second. Any discussion? I'd like to thank our relief association for their work. >> All right. Belina, >> I burn. >> Hi, >> Randy. >> Hi. >> And David, >> which brings us to resolution 26-05, which is counting of writing votes for municipal elections. We got elections coming up this year. >> We do indeed. And this is kind of just a housekeeping item um for the upcoming election. Um prior to um write in votes that came in on city elections um the city was required to count all votes um regardless of what is written in whether it is a real person or not. Um the federal election, state election, and county elections were all given the option to impose standards on writein candidates. Um, one of them that, um, staff is opting for or suggesting here is all right in candidates who intend to receive votes during the election must notify, um, the chief election um, officer at least 19 days prior to the election. Um, just so we know that there will bein candidates. We know who to look for when we're looking through writein um, options. So the state um passed legislation to expand that requirement um and give that power to municipalities as well. Um so now all levels of government have that option to adopt a resolution that lays out that framework. Um so that is what staff is recommending at this time um through resolution 2605 um that 19 days prior to an election um individual would have to notify um in this instance the city clerk um 19 days prior to the election that they intend to be a writing candidate and receive votes. So it should just make for a little more efficient counting of ballots on election day. We appreciate our election judges >> resolution 2605 count of writing vote for the municipal election. >> I'll second motion a second for resolution 26-05. This can help our election that any questions not Delena. >> Hi >> hi >> Randy. Hi, >> David. All right, moving to item B, which is you amend extensions to economic impact analysis that you I apologize. I was not I was going to try to pronounce your last name, but I didn't ask beforehand, so welcome, sir. >> Hello. Uh, my name is Aiden Opats. Um I am the community economics educator for southeastern Minnesota for the University of Minnesota. Um I have completed a at the request of the city uh economic impact analysis of the proposed data center. Um again this is purely an economic impact analysis. So I'll start with a few definitions. Um when I mean direct effect I mean the initial change indirect effect is business to business impacts induced defects is customer to business impacts and labor income is employee compensation plus proprietor income. So assumptions and limitations of my analysis these numbers measure the potential impact of construction and operation of the data center in a good economy. Um these numbers will vary depending on the potential employees who decide to live in Pine Island. This also goes for um construction workers, but at least limited the economic impact will be limited um by how many uh construction workers decide to live in Pine Island or currently live in Pine Island. Um these numbers uh will vary depending on what percentage of the budget is for mechanical, electrical and plumbing. Uh further referred to as MEP. These numbers will vary depending on the type of data center built. Construction costs um this is has actually been updated. Um the construction cost will be 700 million over two years. um and projected maximum of 100 permanent employees. So I'm going to start with important questions to consider and ask when looking through this data and there is a report that goes along with this presentation. What type of data center is being proposed? What does the developer already have? Um does the developer already have occupant an occupant or occupants in mind? Um how many employees would business need? Where will they work? Where will they live? So the types of data centers enterprise data centers a dedicated facility um that a single large organization owns or leases to house its critical IT infrastructure collocation data centers. many independent companies all releasing from one data center. Uh cloud computing data centers a whole of enterprise data centers that focus on infrastructure related to cloud services than ISP data centers. Um enterprise data centers tend to have uh more people uh working in the location or required to work physically in a location. um but tend to be slightly lower paying jobs. A lot of computing data centers are the AI what people tend to think of when they think of AI data centers and these tend to be higher paying jobs but more of an ability to not live where they work. Um so construction again these are maximum totals um and will be heavily dependent on where the workers actually live because what we have found is that people spend the money their money where they live not necessarily where they work. So um in scenario one when the MEP is 70% there will be a maximum full-time equivalent employment of 750550 workers 755 workers um with ranges of the nearly 700 or 77 million um and this goes when MEP is 80% so this range of 70 to 80% is what professionals usually um and experts in this industry usually find the ME budget to be um but with MAC worth 80% MEP um the employment will be 640 uh with nearly $66 million worth of wages but again this is heavily impacted by where people live. Um and this is that is the direct uh impact. So this is directly the employees that will be hired to construct the data center. In the table two it is the total. So this includes indirect and induced as well. So in order to build a data center materials will have to be purchased. Um and then people who have wages will spend those wages and those will impact local jobs. So, um, you see a maximum of 100 1,120 uh full-time equivalent equivalent jobs impacted with nearly $100 million worth of wages. And this is um the other end of this range. Again, maximum is 990 uh jobs impacted with $87 million worth of wages. these impacts. So the uh indirect and induced impacts will be seen most likely in food service and drinking places, the restaurants and bars, professional, scientific and technical services. This includes lawyers and then merchant wholes wholesalers durable goods. Again, this is where buying building materials will come into play. So more importantly the long-term impacts which is the operation of the data center. Um so I have uh created a range of if 100% of the projected maximum 100 employees were to live and work in Pine Island what that would be and then down to if 25% of the employees would live or work um in Pine Island what the impact of that would be. I used um median income as well as wage statistics for data centers in Minnesota to determine how this would break break out. And we see a range of uh about the total impact of $16 million worth of labor impact per year to down to uh $2 million worth of labor impact per year. uh with the direct impact being under 10 million to um just above 1 and a half million of labor income. Again, the jobs that'll be d uh indirectly um and in the due effect will be administrative and support services. So, this would be people helping uh file taxes or file work with the city if people are going to be moving here. Um again, restaurants and bars and then real estate. If people do end up working or living here, um they will need to find a home. And so, if you have any questions, um feel free to reach out to me. Again, I work for all of southeastern Minnesota. So this I can be contacted by both city and residents. Um I will also state that it is important to consider what the current housing stock availability is and vacancy rate. If it is under 5% already, then you do have um what is considered a housing shortage and therefore the projected number of people who are able to live here um will be significantly smaller as they won't be able to find a home to live. That is all >> question. Are you are you're with are you out of Rochester since you do southeast Minnesota or >> Yes, I'm based out of Rochester. >> Um council, I just want to make one comment also. Um I'm not sure if Aiden covered it in there, but um all of the economic impact is based off of the figures for phase one. So this is not full buildout. Um this is just a based off of um the information we have for the proposed phase one. >> Let's see Mr. Ford's on the city website. >> Yep. So this uh sorry um the slideshow will be on the website as well as he had mentioned um he has like the full technical report that gets a little more in detail. Um both of which will be available. Can you pull back even from the U construction right there in scenario two where you got a decreasing there in the contribution in the wages and stuff and employment is that because you know from 70 to 80% it's getting completed or no um so what that means is uh if a high percentage of the budget is goes towards mechanical Electrical plumbing means those that industry tends to be higher more specialized and therefore um there will be fewer laborers. Um but if you I believe if you divide the actual wages by number of laborers um it still stays relatively same. >> Okay. Thanks. Thank you. Good morning. Anything else for? Thank you. >> All right, Mitch. >> All right. So, up next, we have the the property valuations and tax estimates for projects. Um, and I'll wait till Stephen has the slide to pull up so everyone can see. Perfect. Uh, so first I want to just go over how property taxes in Minnesota are calculated. Um, so the very first thing that is determined is the taxable market value. This is determined by the county assessor's office. Um and then we use this uh number that they provide to calculate the net tax capacity and that is a formula provided by the state of Minnesota which essentially is the taxable market value times the classification rate. Um and then that rate will eventually go to determining property taxes. So I have a couple different things laid out for you that are the most common. Uh so the net tax capacity for local tax is on class 3A property whether that's Merkel industrial that's above project sky would be uh so how those are how that net tax capacity is calculated is the first $150,000 of taxable market value is at 1.5% and then everything over is at 2%. Uh and then the next one there is the taxes on class A which is residential homestead that's just where you live typically. Uh, so the first $500,000 of actual market value is at 1% and everything over is 1.25%. So then in order to actually calculate how much property taxes you have to pay, you take that net tax capacity number multiply by the tax rate uh for the uh given tax authority. So here we're focusing solely on city taxes. Um, so for example, uh, that I have there is if a residential and commercial property were both valued at $500,000. And how that gets broken down, as you can see, the residential, uh, property would be $4,100 in uh, city taxes. That's assuming an 82% rate, which was the tax rate for Pine Island in 2025. Um, that number can fluctuate, so just as we continue moving forward, keep that in mind. And then the commercial, as you can see, is 7,585. Um, so it's nearly double the amount of city taxes for commercial versus residential, which is why it's so important that we continue to grow commercially, not just residentially because if you grow too much residential versus commercial, that tax uh the taxes the tax burden is pushed off onto the residents rather than the commercial bid. So on to the next slide. So, I want to preface this one with their all just estimations and projections. We won't know any final data until a building is constructed and the county assessor has given an exact value. Um, but what we do have is an estimated value from good counties assessor's office based on information that the developer was able to provide to the sensory. Um, so with that, they have an approximate value of about $45 million. And to put that in perspective, the current taxable market value for all existing commercial and industrial property in 2025 of Pine Island was $47,640,200. Um, so the taxable market value would nearly double for commercial industrial the first phase that's being proposed. Um, so again, what does this mean for property taxes? That net tax capacity based on the formulas that we just talked about would be $899,250 and the city property taxes as you can see would be 737 thou 737,385 annually. Again, that assumes that is valued at 45 million and the city tax rate is 82%. Both of those numbers could change. We won't know for sure until everything is built and assessed. >> In your estimate, the land is for the whole project Skyway. >> Yep. So, um just the phase that's being proposed, the one day center office and the land is one. Oh, the land's not for the 482 acres. >> Uh no, the 45 million that's including I think it's the 85 acres. Yeah. Okay. And the one building and the Okay. Y uh so potential future investment. Um I just have listed out what was listed in the Away R about what could potentially be built. Um so we've all seen that number before. I won't go into that in too much detail. Uh but going down to what would be taxable market value of future uh buildings um of equal size. So, if they were all the same size as what's being proposed, the taxable market value of just the building would be approximately $37 million. That would not include any land that it sits on because we don't know how much land it would sit on. If that's 10 acres, 20 acres, 30 acres, we don't know. Um, so then the difference between those two, the 37 billion and that 45 million comes down to it having the one data center building, the office building, and that land. That's why there's that difference in values there. I'd be happy to pick any questions if anyone has any any questions for the number else on that one. And like he said, a lot of he's not. So yeah, I appreciate that. Thank you, >> M. Let's go to planning commission 181, which is including the B bill. Who's taking this one? Stephen, I can kind of start on here. Um, so before you um is a request for a zoning amendment. Um, just kind of some background on zoning amendments before we get to the actual proposal. Um, city code 11.61 govern zoning amendments. Um, so this outlines kind of the timeline, what's included in applications as well as um the public hearing process and things like that. Um, this petition for zoning amendment is subject to Minnesota statute 1599. That is the one that lays out um the 60day timeline for a council decision. Um we received these final applications in um mid December. Uh the 60 days would fall before the February council meeting. So that is why it is here before you in January. Um the planning commission um is tasked with holding the public hearing for any zoning amendments. Um the planning commission did hold that public hearing on the 13th. Um following that they issued a recommendation of approval of the zoning amendment um 50. Um, in here I just kind of briefly list um I touch on it much more in depth in the actual memo in your council packet, but these are the factors um council should consider um when thinking of zoning amendments. Um they are consistent consistency with the city's comprehensive plan compatibility with current and future land uses uh conformity to code standards accommodating um or being able to be accommodated by existing public services and then traffic generation u being handled by streets serving the property. Um like I said, I uh we lay out findings for each of those um in the staff report as well as the reszone ordinance in front of you. Um ordinance 181. Um so that is what you look at when it comes to um zoning amendments on a whole. Uh moving into the application that we've received, um we received the petition for annexation which brings land into uh city limits. all newly annexed land um annex into city limits is designated as agriculture um just by default. So the reszone application is requesting um a reszone from agricultural to light industrial. Um the light industrial also includes a PUD overlay. Um we'll get to that later on here, but essentially um I2 or light industrial is the base zoning district and then the PUD would allow for um revisions to that. If it is not addressed in that PUD, it reverts back to that light industrial designation. Um so when you're looking at light industrial according to our city code, um there's the definition in 1151. Um the purpose of light industrial district is to provide for an area for industrial light manufacturing and office uses that are generally non-intrusive and which they serve as a transition between intensive sites and residential and business land uses. Um the city finds that this is consistent with um the city staff finds that this is consistent with the proposal before you. Um the AU lists out again those manufacturing um land use possibilities as well as um office use. Um when you look at the definition of heavy industrial within our city code um the definition itself is very similar. However, the proposed uses or the permitted uses um have a much more um heavy transportation footprint. Um it accounts for um distribution centers, transportation hubs, um areas that would have um large traffic counts, um large trucking footprints, um and then also large amounts of discharge, whether it's wastewater or other pollutants. Um that's not the case with this. Um based on the traffic study done in the AU um the traffic footprint of the proposed uh development scenarios here are much lighter than what is considered and found in uh your traditional heavy industrial. Um beyond that we also look to the state for further um guidance when it comes to the definitions of um certain facilities. So um according to the Minnesota administrative rules, the environmental quality board defines a light industrial facility is a category of industrial land use with a primary function other than manufacturing and that has less than 500 employees. Um the primary function again here is not um manufacturing at this time. Um it is um more office space warehousing and then it would fall under that 500 employees. So that is where we sit as it comes to definitions within our code. And then just for a reference um some of these standards for approval um speak to the consistency with the comprehensive plan. Um and on the screen you can see this is the future land use um map for the city of Pine Island. Um and the area that we are looking at reszoning has a future land use designation of industrial. Um we went back to the 2011 comprehensive plan as well as they did like a mid mid decade comprehensive plan in '05. Um and both the 2005 and 2011 had this area designated as industrial and or commercial. Um so it has always as far back as as we could find um has always been slotted for this type of development. Um we spoke with some members of the planning commission and council members who were on future planning um committee in the 90s and they they had similar things to say. Um so that is uh the consistency that we're looking with the comprehensive plan. So um I can answer any questions you may have or like I said um there's a lot more detail on uh the findings of those conditions in in the memo and the ordinance. question is for Stephen. So by first right Stevens that means back then they were thinking of another section of um being like industrial or commercial in that area. Is that right? >> Um the maps back then were a little less technical. Um they were they were they were handdrawn essentially. Um so the the line in which they um >> we got 195th in our comprehensive plan, >> right? So everything um in all the prior ones everything from 195th uh >> to the east or to the west to 52 was all um industrial and then everything north of 500th was not addressed in those comprehensive plans. Um we hadn't moved that far north at that time. Um, so it it wasn't designated at all >> for residential or otherwise. >> Mayor, >> yes sir. I made a sort of one comment slash maybe question to Stephen. Uh, I know I've heard that public comment tonight and then public comment at the last meeting and I suspect uh the same comments were made at planning commission maybe twice now. uh that um this proposed use or the two alternative uses laid out in the AU are not a perfect fit for what your I2 district is described as in your code. Uh and of course that's true. Uh it is true that it is not a perfect fit. That is the reason for item C on the agenda tonight. Right. EBD approval that's being requested is to make some modifications to the underlying I2 to accommodate the differences or the discrepancies between what's being proposed and your I2. So it is true that it is not a perfect fit. I think and this is I guess the question Stephen my understanding is that uh this the staff inclusion that's now supported by unanimous vote of the planning commission is that in effect the IQ district is the closest and most compatible district for the uses that are being proposed here and I will just tell you based on what you see in your pack of the overarching language about what the purpose for your I2 zone is I think that's absolutely correct right your I2 zone um is intended for light industrial which your code then describes in a couple of ways. This set of these two proposed alternative um scenarios fit quite comfortably within those descriptions of what the purpose for your I2 zone is. There are again some discrepancy in terms of height of buildings and things like that, but the basic purpose for your I2 district matches quite comfortably uh the alternatives uh that you have in front of you. So, I just want to spell that out because that's a comment that I think you've heard now already. You probably heard it outside of public comment and public hearings probably heard it yourselves individually in other ways. And so, um I mean that just has to be recognized. that is the purpose for a PUB in a city's code and that's the reason there is a request here for a PUB more questions council >> we'll see an action table Yeah, mayor mayor before you take the vote just so I this is just for efficiency sake um because I would make this comment on each of the ABC items here by Stephen's presentation assistant administrator's presentation points out the uh deadline the timeline for action with the legislature on this I will tell you as a lawyer for a bunch of cities I'm sympathetic to the uh request the argument that you should pause I think that's been immediately turned by a number of revenues you should pause the process I'm sympathetic to that I mean I I've faced many situations as a consultant lawyer to cities where it would be nice be able to pause things. You can't um the legislature has said that once an application is made of this type. There are deadlines for action. And just to be clear, I know you know this, but to be clear, it's not as though a city that fails to meet those deadlines is just acting outside the law and might be sued over it. It's that the law says if you fail to act, the approval is granted. So, it's not as though you can just ignore that and pause things and then sort of hope that you don't get sued over it. That's not how it works. The approval is granted if you don't act. So, it's it's it's not there isn't there isn't budget. I wish as a lawyer for the cities that there there would be frankly, but there isn't. Thank you. >> Would you second? Okay. Um, anything else? >> Thank you, Bob. >> Elena, >> Iton, >> I Vernon, >> I >> Brandy, and David will be I. Thank you, Bob. Brings us to item B, resolution 26-06, which is including a final flat. But before, want to take two tape in that? >> Yep. I'll start out and then I'll kind of pass it on to Craig um as we get going here. So um again just a little bit of background on um the platting process. The platting process is governed by um city code section 12 or chapter 12. It's considered a subdivision code. Platting is essentially subdividing land with multiple smaller parcels. Um flat submissions undergo both a preliminary and final review and approval by both the planning commission and city council. Um the planning commission again is tasked with um holding public hearings for um matters that come through the subdivision code. Uh the planning commission had a public hearing on the 13th of January and issued a 50 recommendation of approval. Um final plat submissions um come along with the official plat document. Um it outlines um what the subdivision of those parcels looks like. Um it incorporates uh recommendations that were made during the preliminary process. Um along with that, it is submitted with grading, development, and erosion plans. Again, those are things that come in during the preliminary. Um staff provides feedback um as well as multiple state and county agencies. And then um the final submission incorporates those. Um when it comes to grading and the erosion plan um that was uh linked to you um the final grading plan was um amended and had some updates made to it. Um I can kind of pass it over to Craig here and we can talk about those changes that were made and kind of some of the comments that were incorporated and what we need to still incorporate going forward. >> Mayor and council. So, uh, yes, I'll run through the, uh, the conditions. So, as council member Paul had mentioned, uh, there were 12 conditions that were placed on the, uh, on the final plat. Um, and those were recommended to the planning commission and, uh, ultimately recommended for approval uh, unanimous unanimously to the council. Um the reason that we have 11 uh conditions that are shown um basically the first condition that we had for the uh preliminary plat to the planning commission was that they the developer show include all the appropriate approvals and signature blocks on the um on the title page for the final plat. Uh that condition was met so that we removed that condition um as a condition of approval. So, um the uh the other items we did, u reword some of the language there, but um with the other 11, I can re you run through those if you'd like. Um but like Stephen mentioned, we did uh touch on the storm water management plan and review as well. Um so the first item is u that the PL would be subject to uh the PL opinion by the city attorney boss. So he looks it over and uh just make sure that the PL is in compliance with state statutes and city's requirements. So uh that's one thing that um that Bob will be reviewing. Uh the storm water uh treatment um again we did review the storm water management plan that has been um um reviewed. We did provide comments to the developer. They provided uh responses to those. Uh so the uh storm water management plan shows that uh they are meeting u the uh storm water requirements um in in place by the MPCA and uh and so we're um um also recommending that pond maintenance agreement be entered into. So uh there are two proposed public ponds uh that that collect uh the runoff from uh proposed rightway and those would be maintained by the city. um the rest of the ponds within the development would be um would be maintained by the developer. The um another um condition is that the developer issue a title policy included the city on. So this protects the city in the event that there's any defect in title. Uh so it shows that the developer um or the proposer has bigger title to the property. Um the construction plans uh specifications and uh drainage report. Um so uh we do have a final development plan but there are also construction plans that are provided by the developer uh both for the off-site improvements. So the infrastructure that has uh extended out to the property and then also within the property. Uh so um staff reviews those and then provides uh review comments to the developer uh to address um items five and six deal with public easements. So there's a proposed water need uh that's that's going to be extended um along 500 street. So when the final alignment is determined then we ask that that is provided in the public fees for in favor of the city. Um and also item six that there um like I mentioned there are proposed um public ponds and those would be storm water and those would be you would need to have those in a in a drainage easement so the city could access that for uh for maintenance. Um item seven is a um the development agreement. So that's um in front of me here tonight as well for review. Um and uh item and so that's a condition that the developer entered into that development agreement with the city. Um item eight uh deals with other agencies. So MDOT um we'll also look at the um access requirements and also the um any work within the right of way requires MIDOT approval. Um um and item nine is um an access permit. So um any sort of access on to highway 52 will require an access per. So um they have also reviewed the plat and provided any shortcomings to us. Um item 10 the final plat um shall incorporate any revisions by MDOT the county surveyor and county recorder. So, uh those documents were sent over for their review. Um and we just ask that they incorporate um any uh required revisions uh that that are um that are stated and then um and then finally that the final flag be recorded by closing of the acquisition of a property. So, um those are the 11 conditions and um happy to answer any any questions that you might have. >> I have a couple for you, Greg. Um in regards to say the uh number five here with a public facility easement, do we have to specify under there the uh provisions with a loop coming back to county 11 and a rightway easement for that or >> Yep. So any um any sort of um public infrastructure that would be outside of public rightway would require these things. Yes. or should not included on number five as well because it only says about 195th and 500 street to 52. >> Yeah. >> From 52 then also back on the west side back down the county level. >> Yeah. So we're unsure if that's going to need an easement there. Um so that's that's the only reason that we wouldn't have that as a condition. Okay. Okay. But yes, any any sort of um public infrastructure that is outside of a right way would even be met. Yes. >> I was just making sure that that's covered, you know, through the land of ros and or however that's going to be done with with men and everything involved. >> No. And that's right. We we could add that to um just and we could state it as that if if we added to item five that any public infrastructure outside of the rightway would be required. Um >> things I would continue to have with me here so that you've got that loop system covered there are issues that arise from that. >> Sure. >> Put that on that would be great. >> Yeah. Mayor, yes, if I may, I think the easiest way to address that. Good point. The council member would be I think you you probably fix that with one word. Um, you could add the word including between public water main and then along. So, in other words, public utility favor shall be required for the public water main including along 500 street. So, we know we know one place where we're going to need these, but there may be another place where we need additional adjustments and by putting the word including in there that would cover that. >> I just want to get the the west half of the coverage too. >> Sure. Yep. Good points. >> And I do have a question on the drainage ponds that we will be responsible for. Um, Mr. Robinson, there any issues that you see with the plan or anything from a public works? how I deal with them now. I mean, it's it's something that happens all the developments. >> I mean, is that will these ponds be like what we have on say out there at the end of number three here where there's a drainage pond and is that the type of pond that we're talking about? Yeah, the the detail on the ponds, we'll we'll be getting a little more detail on those as well, but uh but yes, either in um infiltration or excuse me, filtration basins or um or wet sedimentation basins. So, the wet set basins do hold water, but the filtration basins uh draw down because there's a sand under layer and then a subdrain that discharges. >> And these are the Yeah, these are specified as drainage. So I would assume they're the draw down ones. >> Yep. There there are some reasons. Yeah. >> Yeah. Mayor Council, the the predictable concern uh the city would have there is that uh we don't want to enter an arrangement where we're required to do maintenance of a facility like that that we can't do or would have a difficult time doing. Uh and that's intended, as I understand, to be covered by, as you see in this condition, a public drainage easement in favor of the city shall be established to address this. So to be clear, that easement, an easement is an agreement. That agreement will address the city's maintenance requirements and we aren't going to enter, we aren't going to propose to you that document. You'll have to come back to you. Uh we aren't going to propose to you any conditions that uh public works and and Craig indicate would be infeasible for us to do, right? they will need access and that's where the season comes in. So yeah, you wanted to add that or you know familiar out of course I can't say no. Um uh the first condition of a plat opinion um you will have seen plat opinions from my office in the past. They're usually kind of boilerplate looking little things. This is not going to be that. I guess maybe I'm saying this for Ryan's benefit, but um uh anytime you've got an assemblage of a number of different parcels, uh in this case, I think quite quite a number 7 8 10 11 something like that. Um with all with different ownership arrangements that the purpose for the plat opinion, the basic purpose for the plat opinion is to make sure that all parties that have interest in the land being platted consent to the plat. They agree to the plat. Okay? Because the plat is impacting their property rights in that property. So they have to consent to it. So the key thing that the plat opinion does is identify all of those interests, easements, mortgages, other types of interests that folks may have in addition to outright ownership of the property. And that that will all have to be satisfied. And I'll tell you, it's going to be I think quite a few easement andor mortgage or ownership interests here that are going to have to be addressed. So there'll be some work for Ryan to do on that after we get the plat opinion out and I'm assert that they've already looked this themselves and are starting to work on that. But there will be quite a few quite a few folks that will need to sign off on this to to make happen. >> Thank you. >> Anything else? Um I do just have one more point that is it's repeat information but just for the sake of um saying it um on the screen you have uh a picture of the south portion of that property again um so the Pine Island Industrial Plat that's the name Pine Island Industrial um is proposing again just the platting of lot one block one um it's the 80 or so acres abudding Highway 52 um the rest of the area um on the southern portion as well as on the northern portion um will just be divided into out lots of A, B, and C. Um so they're they are proposing subdividing into at this time four lots. Um if there is future development planned for outlots A, B, and C. Um again, it would have to be replatted to do so. >> Thank you, Stephen. else otherwise this could be an action item. >> I'll leave for approval of the 247 to assist >> second a motion and a second on the floor for resolution 26.06. Any other questions or comments? Thanks for clarification. Not Delena. >> Hi, >> Colton. I Vernon I Brandy I Which brings us to resolution 267 approving the final development of planning condition and use. Who's taking this? I will I will start out again here. Um so in the packet um you received the um Pine Island Industrial POD narrative document. That's their uh developer final um development plan submission. Um it outlines again the um the ways in which the proposed development uh varies from code. That's why we're using um the PUD um to set additional standards or tweak um current light industrial standards um to address this specific development. Again, uh the PUD is approved via a conditional use permit. Um so there are in city code a list of standards that um the development must meet for PUD as well as a list of standards for a standard conditional use permit. Um so there are in your uh resolution before you 2607 a whole laundry list of um findings again goes much further into depth than I will go um in this presentation but uh there are findings for each of those standards laid out in the C conditional use permit um authorization and the plan unit development authorization um and then as well as a list in the um findings of that resolution that lists again all of the areas in which the planned unit development strays from light industrial code. If it is not mentioned in there, it defaults back to that underlying district of light industrial. Um so again, this came before you um last month as a preliminary development plan. Um the planning commission and city council um proposed changes and updates to be made with the submission of the final plan, the preliminary plan. Um since most of those standards um exceed current code standards, there were not um too many recommended amendments. Um, one that I do want to touch on uh here and on the next slide is the original development plan had an exemption from the noise standards for um emergency power generation generation testing maintenance um so generator testing things like that um and maintenance on the facility that has been removed. Um there would be no exception for that. Uh those um testing and maintenance would occur during normal business hours as laid out in the resolution and would comply with uh those noise standards. So, um, noise again has been kind of the big, um, I would say the topic that we've received the most feedback on. Um, again, looking to, uh, the NPCA, state noise standards is more restrictive than current noise standards within our city code. Um, so by adopting the MPCA standards for this project, um, we're actually cutting down on the allowable noise from what we were to if our city code, um, stayed in place. Um so again uh as we kind of continue on with this another amendment that the city pushed back on was um any future phase will meet MPCA standards at the time of building permit. Um so they the current MPCA standards that are approved now would not oftent times whatever is approved at the beginning of the development would continue on with the property um be grandfathered in as we go. um that was not our intention. Um and we wanted to make sure that those standards were were continuously updated. Um so every time there is a building permit applied for whatever the current MPCA state noise standard is um that would apply. So if it continues to become more restrictive um those more restrictive standards would apply. Um I also just want to make uh a quick point of Minnesota statute uh 116.07 07 um lays out powers described to the Minnesota Pollution Control Agency. Um and it does not allow for local governing units like municipalities to set uh standards that set maximum noise level more stringent than the MPCA. Um this goes for uh air quality restrictions as well. um the city cannot go above and beyond um MPCA guidelines for noise and u and uh sound and air quality. Um so going forward um whatever those MPCA standards are is what would apply to this development and then um kind of in that same vein any air permitting um that would be needed through the MPCA would again meet those standards because we would not be able to describe something more strict. Um, I have listed here just other code considerations that the PUD touches on. Um, we address each of these in the presentation we gave last month. Um, if you have questions or need reminders on what some of them are, we can certainly dig into that just for um, you know, the sake of time having the same presentation three or four times. Um, we just wanted to list what those were and and give you an opportunity to ask questions. Um but again each of them are mentioned in that PUD narrative that is in the packet. I don't know if maybe Bob wants to touch on how our code is written when it comes to the authorization of a PUB via a conditional use permit >> and just kind of explain >> why it is the way that it is. >> Yeah. Um, >> yes. Use that. Um, yeah. I'm trying to think the the easiest way to describe that. So, uh, I heard again when I at a prior meeting, um, a reference to the city granting some variances here. Uh, and I think I understand one of those comments because that's right. or the city is granting some modifications to what would otherwise apply in the I2 district. They've now resone this property too. Uh and so I understand why some would refer to that as variances, but technically what's going on here isn't a variance request. A variance in Minnesota uh has to meet certain specified legal standards. This is by state law. Uh and um I think the person making this comment previously and tonight said and you can't grant uses that the zoning district doesn't otherwise allow by variance. You can't give a variance in a district that doesn't allow uh a uh processing plant. You can't grant a variance that allows a processing plant in that district. That's not the way variances can be used. Um uh PUDS are distinct from variances. PUBs are much more akin to in fact I would say that they are really the same as a resoning. It is the creation of a unique zoning district for a particular proposed use in a part of the city. That unique zoning district has to be consistent with the common plan. You've already heard about how that is the case here and you heard about how what is being proposed here really involves relatively minor modifications to the otherwise applicable I2 zoning. So that's all in the way of background. What's unique about the way uh we do it here in Pine Island is that it's very common in many cities, many of the cities I represent for a city to create a PUD, a plan development district literally via a zoning ordinance. In other words, cities will often literally make the PUB a unique zoning district. All right? By zoning ordinance, it is lawful to and what Pine Island does is we grant the PUB by conditional use permit. You have got in conditional use permit requirements. You'll have to be met and the staff has laid out the reasons why they're met here. Uh but you you do your PUDS by granting a C. That's what's a little bit unique is maybe an overstatement. It's not unique. There are plenty of cities that do it that way. I think the predominant approach is to literally do it by reszoning, but it is legal to do it by C and that's the way you do it. And so that's the somewhat unique is the right word, but out of out of the like the majority uh way of doing uh PEDs. So that was a lot of words. That was more than two minutes. But if you have qu that may not have made sense. So if that didn't make sense after I can talk for another 10 minutes about it questions for Bob on that one covered by the PD resolution 2607 approving the final development planning conditional use permit. I'll second a second on the resolution. Any other comments, questions? >> I do have one final comment. Um yes, sir. The copy of the resolution 2607 that you have as a handout um does differ from the one in the packet just in the so this one includes exhibit A1 and A2 which are the two um property legal descriptions um of what the property is as it stands now and then what the property description will be um once that plat is imported. So that is what changed from what's in the packet to now is just the inclusion of those three. Thanks for clarifying. That's Stephen. Um we have a motion to second. Correct. Yes. Um anything else hearing? None. Delana Colton. >> Hi. >> Vernon. >> Hi. >> Brandy. >> Hi. >> Be I thank you for your work on that one. Brings us to public works and engineering which is item a request approved panel industrial development agreement. That was a >> Yep. So, um, as you heard Craig touch on, one of the conditions of that final plat is that the city enter into, um, a development agreement. Uh, this one is quite lengthy, um, in comparison to some of our others just with the size and the assurities that the the city wants to make. Um so some of the main things that are outlined in a development agreement between a developer and a city is um mainly the construction of infrastructure improvements um that they've laid out um when it comes to public utilities as well as roadways. Um the development agreement includes an estimation of costs um that Craig has reviewed um the estimated cost of about $16 million for those infrastructure um improvements as well as financial uh securities that are provided to the city. Um in the event that those are not completed by the developer um they provide us with financial securities that it can be completed. Um, in that instance, I know our financial advisor um, Mike Bubani with David Drs has um, reviewed this actually as part of the the PUD um, to make sure that the developer has adequate funding to complete these projects. And he did issue a letter to the city saying that he he has reviewed their finances and they do indeed have um, adequate uh, funds to to complete all of the improvements that they've uh, proposed. Um some other things that are included in here would be um some standard items like calculations of fees associated with uh utility access. So your water access fees, sewer access fees, storm water access fees. Um those are all fees that developers have to pay per acre um or per developable acre to connect to city infrastructure. um these are used um for the maintenance of that infrastructure and the the public extensions that go to um different developments. Um I can kind of hand it over to Craig because he kind of knows the ins and outs of the engineering side of the development agreement. >> Yep. Mayor and council. So uh like Stephen had mentioned the u the number of developable aes. So as part of this phase one uh so lot one block one there approximately 62 acres of developable land. So all of the city fees that Stephen had mentioned the sewer access, water access, storm water access. Um those all would be applied to that 62 acres. Um and the current rate for the uh for those city fees are $2,500 per acre. Um that's the the current rate. So um so those would be paid. The other thing um that uh the developer is responsible for because really the uh development agreement outlines um outlines the terms of the development. Um and then with that within that we have um the responsibilities um of the developer and also the city but uh um a lot of the um um a lot of this falls on the developer for um because the public infrastructure is being extended to the property. So, um, so all of the city fees, um, that's outlined in, um, section 3.4 and 3.8, um, all of the the city fees, so Bob's fees, the legal fees, um, engineering fees, any sort of construction observation, uh, those are all paid for by the developer, um, and those are those are paid for um, um, upfront. And, uh, um, so the city costs are covered on that. Um but other than that I um happy to answer any other questions that you have um on the on any sort of any of the sections outlined on the development agreement. >> Mayor. >> Yes sir. I can just two comments about the agreement. Obviously this agreement is near and dear to my heart. Craig and I and the staff have worked a fair amount on this with Ryan folks and their legal counsel and um and uh part of my job is occasionally have to say unpopular things. Uh and I'm going to say two of those unpopular things now. Uh, one is that what's unique, a little bit unique about this agreement is that um, most of the improvements that we're talking about, they're public improvements that this agreement addresses are offsite improvements, improvements that are not being made within the development property, but rather around it, uh, leading to it, getting utilities to it, getting a turn lane made, things like that that are offsite improvements. It is very very common for developers to resist or flat out refuse to enter agreements regarding improvement paying for improvements off the site of the development. Uh that is not the case here. Brian has agreed to I think essentially everything that we've asked for with respect to off-site improvements. The other thing I would say is that um your standard development agreement is standard. Um it is not unlike many cities development agreements. But because of the magnitude of this development, the relative size of this development, a number of the obligations that we have that are standard are going to be quite expensive for the developer. And understandably um in a number of cases they asked to relax those requirements or get rid of them altogether. And the answer has been essentially uniformly no. And here they are um agreeing to all of those requirements that again are going to increase the cost of this development. And so uh that's those are the facts. Um this is an agreement that we have not in any material way um given away anything that's you know not a legal term but we have we have not negotiated away anything of significance here. Um and there are costs that are being imposed um and developers agreeing to all that. Anything else? Appreciate clarification of that. >> Industrial development group. >> I'll second that. A motion to second it on four AL Steven that hearing none call Delena >> I >> Verna >> I >> Brandy I you brings us to item B overhead doors take mayor council. Uh for the year 2026, we budgeted three separate projects at the city shop. And this is one of the three um replacement overhead over larger just get our equipment in. We got three quotes or three separate codes. The one for construction put new header in and then the door costing the whole electrical and it comes with 17,83 but just looking for your approval to proceed with this project. This is for the building to the north. >> Like Todd had said, this was budgeted project. We knew it was coming. So it was included in the 2026 budget, but we just like to keep you a breast of things that are going on larger price. I hope so. >> When you show it is it needs to be a big overhead. >> Yeah, the door in there. 1985 buildings. Yeah, that's not good shape. >> I'll move to open the open my door. I'll second it. Motion in a second for the overhead door vote. We'll need the time frame for that. Uh, we want to start here. >> Yeah, >> I will be on that. Thank you. >> Have Sam get some. All right, Bob, we're talked enough. I think I don't have anything that you can report. >> Let's jump into >> one second. A second on Delena. >> Hi, >> I Vernon. >> Hi. >> Randy, >> hi. >> David will be which brings us to the administration. Are you taking a look at this before? >> I am not. I will let the report speak for itself. Rachel. >> Yes. >> Library. >> One town, one title. So, I've got a pack of audience here. Providing library programming is really important to me. And so, I'm just going to highlight a couple of things for you. One town, one title programming coming up next month. We're going to be reading Give a Girl Nice. It's a memoir from a northern motan who became a New York chef. and um just kind of her story in between both communities. Uh we've got a lot of different things going on with local um programs or local people who doing the programs for us including um Michelle Trust from the Whispering Trees and Honey Farm. >> Um she's the berry farm berry farmer in town here just outside of Pine Island. She's going to be doing life on a berry farm and also a jam making presentation for us. Uh Tessa Ludig, who is a co-owner of the Sun Brewing Company. She's going to be doing um she's actually a chef in real life and she's going to be kind of doing a talk about what life is like as a chef. Our book clubs will be talking about this on June 17th. That's our normal book club time. And then um we were able to get a legacy grant for a legacy artist who does things for us here in Soo uh the Southeastern Libraries Region. on wild rice. So, we're going to talk about wild rice, gathering the food that grows on the water. And that Drew is just coming down from that. She's from Northern Minnesota. So, we'll be starting book distribution hopefully if the books come in at Winterfest and then we'll have them available at the library, city hall, and the license bureau as they are available. So, that's pretty much what I have to highlight today. >> And mask is coming up end of this >> end of it's not this week of next week. 31st. Yeah, we'll also be having a book sale at the library for the 30th and the 31st here. So, come get the books. >> The call is welcome if you can hang around for a little bit. >> And if anyone would like my lovely little program things, I've got a couple up here, too. So, let me know. >> Thank you, Rachel. Works. It's been busy. I just uh say that we got the bar screening got going today after few months of fighting with contractor. So it is up and running. Nice. Thank you to you and your crew for tremendous job in our roads clear. Thank you. It's pretty interesting with the wrestling tournament. There's people from out of town in this in the city that was commenting them. So, thank you for board. Any updates on that a little bit? >> All right. EDA brand new year update. >> So, last Thursday we did have the first mural meeting. I thought it went really awesome. There's a lot of great ideas floating around. Um really excited to see where that goes. Uh our next meeting with that committee will be February 12th. Um after that we'll kind of consolidate ideas down a little bit and then February 19th meet the muralist again. Um with a goal of getting the drafts by mid March. Um then from there uh we will have those condensed down a little bit more to have a final draft in midappril to hopefully have the uh mural started to paint in the beginning of May. Kind of the goal of that timeline there so it's done before she says >> yes that's the goal. That's This is exciting. This is something fun. A really diverse group of people. Thank you. No problem. Chief was not able to be here tonight, but ended on a record year. So 516 calls his new record. So it was a busy busy year. And I'd like to probably thank the crew up there for what they do. So lad responding sheriff's office. Okay. You want to say anything? Sergeant mayor, how are you? Good. How are you guys? >> Mayor Councel Michael with Sheriff's Office. We don't have much. Um just first off public works great relationship as far as a lot of snow events this year already which didn't have much last year but very appreciative of all that communication we have back and forth I think ultimately helps the city we don't really have community issues with the city of very appreciative of that. Um as far as other things go there's not much really to pass on you guys have for us at all. >> Thank you. >> Yeah. No, I think we're very appreciative of uh citizens of Vij County. Um we get thanked all the time and that means a lot to us or we're thankful for you guys as well. So you guys have made that support. So thank you. Thank you very much. >> The good of the order otherwise hearing none >> close second. Thank you everybody for being here. Please stay warm, stay safe. on paper. So you probably seen that.