Call the meeting to order. First order of business will be the pledge of allegiance. 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. Like to welcome everybody to our September 16th regular council meeting. We have a few things on the agenda, so we are going to jump right in. Welcome to those of you that are visiting tonight. In set agenda, we have a few items. council August 19th, 2025 regular council meeting minutes. Our September 2nd council workshop meeting minutes. A request to approve the Millia contract. A request for after hours crearyy rental and to wave the rental fee. A request to approve the correction of the utilities. A request to approve a bingo permit for American Legion Post 184. A resolution 25-40 accepting our monthly donations. A request to approve the SEDA contract. A request to approve staffing changes at Van Horn Public Library. a request to approve fund at 280 um expedential for PIF masonary quotes and resolution 25-41 approving the Evergreen fund of transfer. >> I'll move the consent agenda. >> I'll second a motion to second on the consent agenda. Any discussion? Elena >> I. >> Holton I. >> Vernon >> I. >> Brandy I. and David Roby. Uh, and before we jump into public input, um, one thing I'd like to bring up to our, uh, council and our staff and our visitors tonight. One thing over the last week in talking to some other mayors, we had conversations regarding what took place last week in Utah. and a number of cities are having uh moments of silence regarding the um shooting that took place and some so some communities are doing that other communities are opting not to address it. Uh I chose as mayor that we would just address it and take the opportunity to uh reflect on what happened. With that being said, as mayor, our job is to lead our community through good things and through bad things and challenging times. And what I would like to challenge this community is to remember that we can be better. Just because your opinions are different does not make your neighbor your enemy. And one thing I would say over the last few years that I've been on council is we have seen some ugliness emerge in our own community, especially on social media. And it's absolutely appalling. And I've said it before and I'll say it again. when it comes to social media that's an absolute steward and we as a community can be better and that's my challenge to this community remember we are we are one community we might have differences of opinions but just because you might not think the same as me we can still we can still be civil we can still communicate we can talk and we can be friends so that is my challenge to you which leads to tonight we have a number of speakers that are going to be presenting Okay. And to those that are speaking, uh, just be mindful that we do have protocol for public speaking. Um, when you come to the lectern up here, I'm going to ask that you make sure you state your name, your address, and why you are speaking to council. We ask everybody in these council chambers, you are asked to be civil when we do this process. That goes for both staff, it goes for our council, and it goes for you in the galley. Please refrain from using personal tax or any name falling. That is one thing in the past we've had some problems with and you will be asked to leave if that takes place. So I am asking that everybody just be civil and refrain from personal attacks. We are giving our speakers tonight those that wish to speak to the council and our staff three minutes. We have a lovely new clock up here. So I appreciate that doing that. Um, when others are speaking, I'm asking for people to refrain from making comments from the seats out there. Um, avoid side conversations. That's one that the acoustics in this room are absolutely terrible. And when people are trying to have side conversations, not only does it affect the person speaking and those listening, but it um also gets picked up on our microphones. And we are also um asking those that are watching to please avoid um positive or negative reactions. um because this can discourage other people that have asked to speak. So, our council is here to conduct our city business and we ask that um for your cooperation as we move through this evening because one thing we do pride on ourselves as councils, we do run our meetings professionally and smoothly and we refrain from personal attacks. Uh, and as said before, uh, if you are warned because of conduct and you fail to listen, you are going to be asked to leave. Um, please don't make a scene. Uh, with that being said, just for everybody else that has come tonight, uh, the city will be scheduling a public uh, meeting in early October to hear concerns uh, from residents regarding the project Skyway. Uh this is going to be after the city's able to receive some more information regarding those development plans. Uh tonight's business is in regards to the UA or the AUR document which the city has been compiling and discussing since March. Um there are no formal development plans before the city this evening. We are discussing the AUR and as the AUR document is the planning tool for future developments. Uh, and I will apologize for the air conditioning that's been brought up. So, um, we do have water over on the side table for anybody that may get thirsty. And if you are starting to feel sick, please let somebody know so you don't fall out of your chair. With that being said, we will get started with our public input. And I think we have five speakers. >> Six. >> Okay. Um, so again, just to remind you when you come to the lecture, please introduce yourself, where you live, and your city business. And just to be mindful to those that have not been to council meetings during public input, do not take offense if the council does not engage in conversation with you. Typically, uh, public input like this is for us to be able to listen to you. You bring your concerns and, uh, we are here to listen to that. So, our first, uh, speaker tonight is Larry Paul. Good evening, sir. Evening. >> Larry Paul, owner of LP Pleasure Restoration at that north end of Pine Island on 12ount Road 11, Northwest Pine Island, Minnesota. Um, I had came in here in 23 to give a variance for adding an addition to my business, which I have the roof shingle at the same time. I wanted to get that, you know, additioned at the same time they're doing my roofing. The city council didn't want to give me the variance for the setback on my side because they're worried about me being me not purchasing additional land when it came due when Walters was finally paid off. Um I came up here shortly after Walters was paid off with one or two days after they were paid off. I addressed the city administrator to find out for sure, hey, you know, I'm still interested in buying that property from you guys. I and I have not been contacted since then when I brought that to that person. So, I just want to make sure you guys know what I was doing and I always kept following through to make sure Walters was they said they couldn't sell me property without being fully purchased. Totally got that. I came back here and it sounds like it's been plotted out a little bit, but I got map here showing my addition set back on my property line to get me in compliant plus being able to add on to my business. So, I wanted to get you guys a sheet, [Music] sir. Am I right here? But anyways, you can see back originally when I was talking about land purchase, I was talking maybe two to three acres. I re reduced it down to basically an acre of the property line behind me to shift back. Um, the problem is the front of my property get around the north end of my building right now. You can see my cars are probably almost parked in the rightway. It doesn't. I mean, everybody thinks I have a lot of land, but it's actually not mine. Um, so basically, I'm a pie shaped. It makes it narrow and very tough to get around the end of my building. For me to keep accessing the front of my building, I got to set back the new addition back that far to get my in there with semiis because this is going to be a 60x 60 addition. It's going to be for bigger trucks. And I got to get around the back of my building. And I've even considered putting a driveway on the west side of my building just to be able to make a semi because with more development going out there for back and trucks in and out of my driveway, it's going to be worse. So, I just figured now it's time to make sure I have enough property to do my addition and be able to bring a semi all the way around my building versus try to back out in the street and try it across. So that is the reason why I'm here is to understand why after land was purchased, why hasn't nobody been contacting me yet to find out how much property I need to do existing add-on and to make things functional before it gets to be landlocked where I can't bring semis in anymore. So that was my address to the city council then. >> And have you and you've been able to have you reached out to c or the city staff then? I've talked to Mitch at EDA as this was going on. Correct. He can honestly witness it. I was been there a couple different times talking about this. I've been to the city, you know, administrator up here a couple times talking about this also. >> So, this has been since even Rod Steel when he was selling it to the city. He was Yeah, I will mention that Larry's interested in purchasing more land so he can do expansion and stuff like that. I I I remember conversation taking place and part of that was the >> making sure that the land is used and stuff, but you you're coming with a plan. >> Yeah. >> And that's what we needed to see. So, yeah, >> I would expect somebody to be talking to you soon. >> Okay. Well, like I said, that's and I know that you guys maybe had plotted out and well, why wasn't somebody talking to me? Because I could have wanted three acres or something, but I cut it down to one acres just to make it feasible for my expansion. And I I know the city engineers started some work with that. So I think you're in you're in the right direction. >> Okay. >> Perfect. >> Ready. >> Thank you. >> Yep. Thank you. >> All right. We have is it Darcy Simpson? >> Welcome. >> You thank you for your time tonight. My name is Darcy Simpson. I live at 2008th Street Southeast in Pine Island. I have been a resident of Pine Island for 15 years. I am here tonight to represent not only myself but my neighbors. Uh we share significant concerns regarding the proposed project Skyway and the alternative urban area are areaawide review. While there may be positive benefits to a project of this magnitude, they are unknown and the negative impacts seem to outweigh any of the potential positive effects. I have thoroughly read the AUR supplement materials and comments. I have also written to all of the council members uh regarding my concerns and have been disappointed by a lack of response. The project is a largecale data center located very near to residential areas, a senior care facility, multiple daycarees, school, and churches. While it may seem that we are coming to the table too late with our concerns and opposition, the invitation has been quite opaque. Public awareness of this project appears to be nearly non-existent until recently, and it has understandably raised questions and serious concerns. I would like to ask that the council please inform us at what point the city is in in the approval process for this project. Has the land been sold? What is the timeline? I would like to know how the city is going to manage opposition from organizations like the Minnesota Center for Environmental Advocacy. They have already filed lawsuits against other Minnesota cities with similar projects that have used the AUR for their review and found it to be inadequate and not transparent. I would also like to know if the city is planning to have additional hearings or open houses that are thoroughly advert advertised to the community so there can be public input, discussion and debate. In closing, I believe all the people here want what is best for our community, but I also believe this project has not been fully vetted in the public eye. For the health and safety of our community, we ask that the city council take a thoughtful, thorough, transparent, and community first approach before moving forward with this project. Thank you. >> Thank you. Thank you. Oops. Amanda Nigard. >> Yes. >> Make sure I didn't quote you that. >> Yes, absolutely. Hello. My name is Amanda Nygard. I live at 230 Prairie View Drive Northeast in Pine Island. I have been a resident of Pine Island for seven years and I am also here tonight to represent myself and other community members with expressing our deep concern for Project Skyway. The lack of transparency surrounding its development raises serious questions about whether this facility was will truly serve the best interest of our residents. Without honesty and answers to our questions, it feels like our voices and well-being are being overlooked by the very officials that we helped elect into this office. I am pleased to hear about the public forum. However, I would like to address the communication to the public as well. If this proposal is so positive to affect our town, why was it not boldly communicated and advertised? Why are so many of us just recently learning about the project via word of mouth or online posts? Um, from the initial proposal, uh, when it was posted on March 4th, it appears there were three additional special counsel meetings not open to the public, several meetings that did not even discuss the project. The public forum uh, was widely not known about and occurred during regular work hours from 4:30 to 6 p.m. that many people cannot attend. Um, I also was concerned to not see any follow-up meeting minutes from this forum to be able to educate myself on this as well. A petition opposing the project has garnered 173 signatures in 72 hours, a majority of which are our local residents, residents of our bordering towns that also are within range of this proposal's location. It should be evident by the number of concerned citizens most recently that this was not communicated appropriately and in the best interest of the public. Much of the research available regarding data centers are documented or excuse me data centers have shown the negative impacts far outweigh the positives and many of these centers are documented as half the size of this proposed project. Lastly, I am also very concerned with the AU AR that was completed as it has had its integrity question several times in the appendix H of the document that is posted on the website, further reducing its credibility. We are thinking about the long-term impact on our entire community, our small town of Pine Island, its environment, the residential areas, schools, and daycarees within the close proximity of the center. the potential for rising costs of residents during an already challenging economy for many of us and ultimately on the future we are leaving for our children. Thank you for your time. >> Thank you very much. >> And we've got Christina that Damon >> right? >> How are you? >> I'm good David. How are you? >> Fantastic. >> Good. Um, so yes, as Dave said, I my name is Christina. Um, 50189 180th Avenue is my address and I'm here to talk about Project Skyway. Um, I've lived in this town my entire life, so my whole 34 years. My children and I live just over a mile from where the data center is proposed to be built. That's one mile from where my children sleep, play outside, breathe air, and drink the water. And on top of that, it's only around 2.4 miles away from the high school and the ELC, which is the very place many of our children go to learn, play, and grow. How well can you do any of those things if you can't breathe the air or drink water? Data centers are not harmless despite what they may say. They're industrial machines that operate 24/7 consuming staggering amounts of electricity and enough and enough to power our town. Water too much for our small town to sustain as well. Noise, pollution, and light will creep into our homes and lungs of our children and elderly neighbors. Is asthma and cancer from the fossil fuels, the low frequency noise and diesel particles that harm health, disrupt sleep, and raise stress levels worth it for a facility that gives almost nothing back. Other towns have learned the hard way that the proposed revenue is rarely worth the hidden costs. They promise jobs and revenue, but none of those jobs go to locals as modern data centers are mostly automated and sourced outside by specialized individuals. The tax breaks they negotiate and leave the community. The tax breaks they negotiate could leave the community footing the bill for new roads to repair any damages done by the large machines that it takes to build these buildings, um, power lines, and emergency services. Property values could drop while our bills increase as much as up to 12% for electricity. Humans destroy the very earth that sustain us without us having to add to it. Do you enjoy being able to breathe, having healthy families, enjoying the wonder of nature granted to us by the very Earth you would help destroy? the starlet skies we can still see without the glow of industry. Is progress really worth it if our children and community suffer for it while big corporations reap all the benefits and none of the consequences? My children, all of our children deserve to grow up with clean air, dark skies full of stars, and a community that values their future more than a corporation's profit margins or the greed of politicians. I'm asking you as a community member, as a mother to say no. Protect the land, protect the water, protect the health of our families, and the future of our children. Thank you. >> Right. And we will move on to Emma Smith. Welcome. >> Hi, my name is Emma Smith. I am a registered nurse and a member of Workers Strike Back in Rochester, Minnesota. I love my home and deeply respect the way people care and labor for this land that we share. And I'm here tonight because corporate interests are threatening my neighbors, access to health care, our cost of living, access to nutritious foods, and now have the audacity to threaten the very piece of earth that we live on. We absolutely do not consent to our home being exploited for unfettered economic growth. Around the country, we are witnessing the deadly impact that data centers have on the environment. The Chicago Tribune recently warned about the massive strain these data centers put on the water supply, which will likely lead to shortages in many communities. Tech billionaires have sought poor, workingclass, and rural areas for their data centers while selling them as economic opportunity. There is no such thing as a green corporation. Ryan company hides behind halfbaked promises of sustainable cooling while remaining incredibly vague when you read about their other data center projects. Instead of letting the market decide the fate of the environment, the Pine Island City Council should join us in fighting to take all the energy corporations into public ownership in order to prevent yet another climate catastrophe. Our lives are intrinsically tied to the health of the ecosystems around us. The Republicans and Democrats on this council are actively accelerating climate catastrophe and protecting interests of big business, not the working-class people of Pine Island and across the state. We shouldn't be surprised by any of this, though. Throughout US history, CEOs and billionaires have used their two parties to push forward their own agenda. In 2008, Wall Street used Barack Obama to bo bail out the big banks. They used the National Guard to shut down protests at Standing Rock. And recently, both Democrats and Republicans have overseen the genocide in Gaza. All of this is why we need a new party for working people, one that does not represent the interests of tech companies, foreign lobbies, and weapon manufacturers. Any elected official who advocates for tax breaks for data centers while the rest the cost of living in southeast Minnesota continues to rise can and will be thrown out of office in the next election. Clean water, breathable air, balanced ecosystems are not things for sale. I urge anyone watching this who is deeply concerned for the future of the environment to join Workers Strikeback and reach out to Solidarity at workersstrikeback.org. We are a nationwide organization of workingclass people fighting for things like $25 an hour minimum wage, free health care for all, ending military aid to Israel, and an end to climate catastrophes. Solidarity. >> Hey, Emma. Can you share your address, please? >> My address in Rochester. >> Where where you live? >> Sure. It's 1704 11th Avenue Northeast. >> Thank you. >> Thanks. >> Thank you for the input. And what I what I would uh share with with those the speakers and those that listen uh the avenues of communication that this the city uses is one the newspaper. I would challenge anybody every every single council meeting is in the newspaper. Um I'm surprised at how many people don't get the newspaper because they say it's obsolete but that's where the information's at. Uh we use Facebook, we use our website, we use the newsletter. The newsletter is free. I would challenge anybody here that wants to be uh subscribed to the newsletter, sign up. Um that information is in there. All the meetings that we've had uh are in are on all those avenues. And so I would when we talk about transparency, short of coming to your house individually with a packet to tell you what's going on, uh I I would just strongly encourage and and to to let you seek those avenues out. Uh if you have any questions regarding how we get the information out, please feel free to talk to city hall. Uh they will not turn you away. They're there to answer your questions as well and and uh we will be here to help you with that. So I sincerely appreciate the input tonight and some good thought put into that and that's what we like to hear. You come with a solution. So thank you for doing that. >> Mr. Mayor, if I can just correct one um just piece of misinformation. I believe it was quoted that special council meetings are uh closed and not open to the public, but they are special council meetings are all open to the public. So all council meetings are open to the public whether they're special um emergent or regular city council maners. Thank you. >> Um so what I would say we are going to be moving on to administration right now. So you're more than welcome to stay and listen if you'd like. Uh reminder we got water over there. So please, please help yourself. Don't get thirsty. All right, council. We're going to jump right into administration. We have a few items on our list. Item A is going to be resolution 25-42 approving the adoption of final alternative urban areawide review. Who's taking them? >> I'll hand this over to Mr. Britain. >> Hi. Good evening, Mayor and Council. Um so tonight in front of you is a resolution um for your consideration uh for adopting the final AU for Project Skyway. Uh but before we get into the resolution, I thought I'd maybe just touch on the history here, how we got to this point here today and go through a little bit of that timeline too of of um uh the AUR process. So first of all, the um AUR is a planning tool um to understand how different development scenarios will affect the environment. So typical um items that are studied in AU AUR include traffic impacts, noise, air quality, visual effects, review of any rare features in the area of the proposed development, um potential environmental hazards and water resource impacts. Um so the the AU AUAR is a well suited environmental document to review because uh this is uh proposed to be a largecale phase development and as we know uh developments don't um always unfold how we originally planned. So this is a good tool that uh we can use as a city to kind of guide the process for for development. Um in the case of project skyway there are two scenarios that are reviewed or that were reviewed. uh one is a mixed light industrial and technology center and the scenario B or the second scenario was a technology center. Uh so uh we looked at um again concept level development scenarios in each of these um um proposals and to be clear there is not a development application in front of us. This is again is a guide. Um this environmental document is a guide. Um it is not um a development application. Um in talking to the developers uh that will be forthcoming um here. So um running through the timeline here um back in March uh this started with council uh submitting the scoping environmental document uh to the environmental quality board. So that's EQB. Uh so that was submitted um and that um had a 30-day comment public comment period associated with it. Um um following that we had a um while that com public comment period was open there was a public open house. Um after that um in May the council voted to order the preparation of the draft AUR. Uh so that was completed. um June in early June, the council voted to uh submit the draft AUR to the EQB. Um while and that required a 30-day um public uh comment period. During that public comment period, there was a uh public open house and that was held on July 8th. Um and then in August um council voted to approve the AUA uh review. um and that was sent to the EQB for a 10day um agency uh objection period. So that's that's how we got to the point we are today. And um and the final AU um in front of you. So um you'll probably recognize a couple faces in the in the crowd here. We have Peter and Jared. Uh they are both with Ryan Companies, the uh proposer um of this uh project. And then online we do have Aaron. He is uh with Stantech. She's a consultant that work on the preparation of the AUR. So, um again for your consideration is the uh and I should say they're here to answer any questions that you may have if you would like to uh um find out a little bit more before um uh voting on the resolution that's in front of you. So, um they'll be here after the meeting too to answer any questions that yourselves or the public may have. Um, and it was it was good to hear too, mayor, that you um announced that in u October uh public open house would be held um to get a little more information out there for those who haven't received that yet. Um, so again, the uh resolution here is um as we walk through that that is just basically stating all of that. It gives a little bit of the background of how we got where we are today. And if um if approved um then the final uh sky project skyway au uh would be adopted and this is a document that is um updated every five years um at a minimum. So um so anyway is there are there any questions from from council at all for myself or developers? >> Yes Bob >> if I may for for Craig not for developers or others in the room. So, as I understand it, Craig, and I think I do understand it because the city's been through an AUR in the past. The the A and AU is alternative and that this environmental review process is intended to review alternative >> optional development plants. Do I have that much correct? So, um and in this case, there are two development scenarios, two alternatives that are being presented that correct, right? Yep. >> And so I I think a number of the comments so as I understand the process the process is uh reviewing entity in this case the city presents the alternatives the development alternatives as it understands them and that's put out to the public. It's publicly noticed. All of the development scenarios are publicly noticed and then folks, agencies or the public has the opportunity to comment, criticize, comment, oppose what's being proposed. And then what's required here tonight is there be a response to those comments or those opposition comments. >> Correct. >> And that's what's in front of the council tonight. because I understand a number of the comments that were made uh they say that what's being proposed here the alternatives being proposed here are not clear enough or they're not concrete enough can you talk about if what actually because you've made the point that there isn't a specific development proposal in front of the council now right you made that point >> yep to the extent that comes forward a specific proposal that comes forward in front of the council doesn't match up with the alternatives presented. Can you talk a little bit about how that how how does that get addressed given the AUR process? >> Yep. Correct. Yep. Again, so the AUA is a guide. So if if um if the proposed development falls outside of that guideline, uh we would uh require an update to the AUR. Um and this doesn't uh provide any permitting. So for in the case that u a water appropriation permit for example would be needed from the DNR. Um again this is uh both scenarios that have been studied here are uh low volume water usage uh scenarios. Uh but in the case that the DNR is involved with any sort of permitting uh that permit application is still submitted to the DNR for their review and comment um and ultimately permitting if if they find that it is um if they're in agreement. So um so there are still a number of permits that are are to be received here. The AU does list those out. um that uh that there are a number of permits through the MPCA, DNR, uh local permitting uh that still needs to be obtained yet. Um and that those uh would be obtained um once a development scenario or a development application is presented uh to the city staff. >> So, mayor, if I can just I can I say what you just said lawyer words instead of engineer words. I think what you said is to the extent what actually comes forward in a month or a year or whenever whatever comes forward doesn't match my words >> what's in the AU the environmental review document the environmental review process would have to be updated to match what actually comes forward am I saying that basically right layman's terms >> yep okay >> yep so whatever development is proposed it has to be reflected in what was studied in the a original U fair enough. Thank you. >> Yep. You're welcome. >> Any other questions for Craig? >> Thanks. >> Well, well described tonight. Thank you. >> Thank you. >> Thank you very much. >> Thanks. >> Otherwise, Delena, >> uh we need to make a motion. >> Oh, we need a motion. Thank you. >> Uh I'll move resolution 2542 approving the adoption of the final alternative urban areawide review. >> I'll second that. We have a >> motion and second. Any other discussion? way. Thank you. Hi Elena. >> Hi >> Fton. >> Hi Vernon. >> Hi >> Brandy. >> Hi. >> Hi. >> Thank you. >> Good. Thank you for describing that for explaining that. >> All right. We're going to jump into budget talk. Staff has been working diligently on getting the preliminary budget together. We have resolution 25-43 which is approving the preliminary 2026 budget. Are you taking this tonight? >> I sure am. >> I'm actually quite excited because I get excited talking about the budget and usually we don't have an audience. So, thank you for coming tonight to listen to the city's budget. Uh so, as you know, I'll give a little back history since we have an audience and typically we don't. So, uh, the city starts putting together its next year's budget every summer. We start meeting with department heads, usually all through July and August. At the same time, the budget committee is meeting um, talking about what essentially departments are needing for the next year. Uh, we did that. We met with the budget committee. Uh, overall, our departments um, really weren't asking for a whole lot. We don't have any big equipment purchases scheduled for 2026. We have a um I believe a couple smaller purchases, some lawnmowers, things like that, but that will all come out of capital funds um that were previously saved for. So, compiling all of that information, um we are looking at a levy increase of about 4 or it is 4.25%. And so per state statute, the city has to set its preliminary levy and budget in September. Uh once we set that number, it cannot go up. It can only go down. Uh the final levy and the final budget will be approved in December. And so typically cities when they're unknown on some projects, um we we have essentially estimations on some project costs in there and then we will tighten down those costs by December. Uh so this 4.25% increase does have a potential to decrease. Uh last year just to compare we had a 5.5% increase. So this is less than that and that was at the final levy um in December. Good Hugh County just passed their levy of 6.5% increase today. This morningstead county is meeting as we speak. So I'm unsure of what their levy is at. Uh area cities are actually much higher than us. what they're proposing. Um so overall I'm quite satisfied with where we are at um with our levy increase since we are much lower than area cities. Some of the reasons for the increases is um staff increases. So the city hired a wage consultant last year and implemented a step system for staff. We're looking at a dollar an hour uh increase for our fire department personnel. We're looking at a 12% or $56,000 increase for the Good Hugh County Sheriff's Office contract. We're looking at a $2.50 per capita increase for services with the Zimroa area ambulance service. We have an estimated 15% increase in health insurance premiums and a 5% increase in dental insurance premiums. This alone equates to almost $34,000. Those are one of the numbers that will tighten up before December. We don't get our premium costs until the end of October. And so we have to use estimations and then we will have those numbers in for the final budget in December. And then we are also looking at increasing our street maintenance budget of 35,000. Uh about a year ago uh public works director Todd Robertson had given a presentation to council about our streets and roads. And so we are following that capital improvement plan of continuing to do more milling overlays of our streets so they don't um fall beyond disrepair because then that costs more. It's easier for the city to do mill overlays more more frequently because those are in the hundreds of thousands and not in the millions uh when we do total reconstruct projects. Unfortunately, we do have a couple of streets that we will have to do a reconstruct because they were um waiting so long for millan overlays. And then we are also looking at a street project um for 2026, but I will not steal Mr. Britain's thunder because he will talk about that in just a moment. Um so with that, is there any questions that I can answer regarding the the preliminary levy or the prelim preliminary budget? I'd say uh the budget committee met with Elizabeth and overall we were able to have a good conversation and really look at um keeping the range fairly tight just to emphasize what our city administrator did share is this budget's still going to get tweaked. So this is a preliminary uh something that the staff can work with and then the budget committee will meet again to start going through this and looking what we can tweak and see what those numbers look like coming up here with that. So staff >> and since I have an audience I'll add one thing um Mr. Mayor. So I know it's really hard for people to wrap their minds around a budget um what goes into a budget. And so what I like to equate it to I I like to use um analogies. And so one analogy I use is um a household grocery bill. So when you have two people living in your household, you have a grocery bill. Um if a third person or a child is added to that household, the grocery bill goes up because you have more people to care for. And so just because we have a budget increase doesn't necessarily mean um we are looking at huge tax hikes because we are adding properties. Pine Island is very lucky in the fact that we are the fastest growing community in Goody County. Um we're one of the fastest insight county. So the amount that we are adding to our levy and budget um is helped to offset by new builds. And so we actually for 2025 we um have one of the highest years of new belts that we have had thus far. >> Wayne, any questions for >> I'll move resolution 2543 approving the preliminary 2026 budget. >> I'll second that. We have a motion and a second on resolution 25-43 with the preliminary budget. Uh any other discussion from council hearing? None. Delina >> I. >> Holton >> I. >> Vernon >> I. >> Brandy >> I. David will be I which brings us to item C which is resolution 25-44 approving the preliminary 20261. >> I'll approve 2544 or move resolution 2544 approving the preliminary 2026 and levy. >> I'll second a motion a second on the webby. Any questions pertaining to that hearing? None. Dana. >> Hi. >> Bton. >> Hi. >> Vernon. >> Hi. >> Randy. >> Hi. >> Davis will be I >> item V, which is a business subsidy policy for this will be public hearing. Who's it? Are you going to be leading this one? >> That's something that be very exciting. Good evening, mayor and councel. Uh, so before you tonight for consideration is an amended business subsidy policy. Um, as you know, the last time our business subsidy policy was amended was February 20th of 2001. Uh, obviously this is quite some time, so we do find it prudent to update it from time to time to make sure that we are reflecting all current Minnesota state statutes within our policy. Uh, so within this updated policy, uh, it does go through and discuss what a business subsidy is, including anything from loans, grants, tax abatement, tax increment financing, and so on. uh in order for something to be considered a business subsidy, it must reach at least $150,000 or more in value. Um and during that time, then we would consider that a subsidy and it would go through the subsidy policy that is before you today. And within this, it also describes uh what a business would need to meet as far as business subsidy criteria, including meeting a public purpose, increasing tax base, wage and job creation, uh pass a but for test, and other economic or redevelopment goals the city may have. Uh the policy also goes through what the application process is, how a business actually goes about applying and walking through the steps as well as what a the city will consider when looking at each one of those requests including land use such as compliance with the comprehensive plan, uh compliance with zoning and land use regulation, marginal property design and or other amenities, highest and best use and so on. as well as things such as the overall economic impact of the uh subsidy policy and how that will affect the economy of the city. Uh, additionally, in uh accordance with Minnesota state statutes, it goes over what will need to be in a business subsidy agreement. It discuss that's in the policy as well as the compliance and the reporting that the city and the businesses must do throughout the uh subsidy. And with that, I welcome any questions. Uh, one one thing I do want to point out, something that was added since the council work session is in defining a whether a business applies for tax abatement or tax increment financing. Uh, we did add that if a business selects that tool that the presumed method will be pay as you go rather than uh the city upfronting any costs. It would be them paying us and then we would repay them over time. >> Mayor, if I may. >> Yes. Uh s super quick comment before you uh I think you're in a hearing on this. Just a quick comment. So uh EDA matters, economic development authority matters and and frankly economic business development or community matters are way far outside of my purview, right? I give you legal advice. I don't give you business advice or or business growth advice. That said, just from experience working with a lot of cities, the one thing I would say about this policy submission and I talked about this a little bit is that the prior prior policy to the extent you've had prior policy was a bit fudgy. It was a bit unclear. And I would just say my experience has been that businesses are incentivized to at least consider your community by understanding what the ground rules are in a relatively clear way about what subsidy you would or would not provide. And I think the point of this policy is to be clearer, more concrete about what you will consider and what you won't consider it. And that really does in and of itself incentivize business to take a hardwood. Pine Island is a place to be. So I congratulate Mitch on on that. That's an important step. Just making clear rules about all this stuff. >> No, it's great. I read through. >> Uh I'll take a motion to open for public. I one quick question there >> on the last page there. Didn't we update that from 100 to say like at least one full-time >> or was that not Am I thinking on a different spot >> when we had >> I Yeah, I think you're looking at the uh the wage and job creation under the business subsidy criteria. >> Oh, okay. Yeah. >> And we we do have that in there at least the one full time. >> Okay. Got it. I wanted to make sure that was in there. Thanks. >> Yeah, no problem. >> And m Mr. Mayor, if I if I may, um just some examples of this. Uh like Mitch stated, our our policy was very outdated. Um but some recent examples of where we use business subsidy is we used a tiff district for the South by Southeast Brewery. We used a tiff district for the 301 Main Street apartments um as well as the Wazita Wood apartments. So those were all tiff districts that the city was able to use business subsidy for to bring that um development to the city. Good. I'll take a motion to open for public hearing. >> I'll move to open for a public hearing. >> I'll second. >> Motion a second. Delena. >> Hi. Holton. >> Hi. Brandon. >> Hi. >> Randy. >> Hi. >> Dave is out. And so this would allow if anybody's here that wants to if they have questions pertaining to this policy um questions or thoughts. Sincerely want to thank the EDA board which is majority uh volunteers for working on this. This is something that's needed to be done. So any public input on this month vice hearing? None. We'll close public hearing. >> Move to close. >> I'll second. >> Motion second closing the public hearing. Uh Delena >> I. >> Holton. >> I. >> Brandy. >> Hi. >> And David is I. Which brings us to a request to approve the business subsidy policy itself that Mitch was so great. >> I'll move to approve the business subsidy policy. >> We'll second motion and a second. Any other questions again for Mitch? Hearing none. Delena >> Iton. >> Hi. >> Vernon. >> Hi. >> Brandy. >> Hi. >> And David is thank you Mitch for working on that. Thanks, Mitch. >> We have a request for approving a new liquor license for a business here in town. Resolution 25-45. You look at their paperwork. You can introduce the next one. >> Yep. Los Reyes Kitchen has applied for liquor license. They've applied for intoxicating liquor sales. Uh, Sunday liquor sales and then 2 a.m. liquor sales. Do we do we do we know the anticipation of what that might become? Is it are they is their goal to become a bar? >> No. I believe they just want to be able to serve alcoholic beverages with their menu. >> Yeah. >> Their hour relationship. >> They're trying that 2 a.m. align together. >> That's a standard policy. The other piece. >> Yes. So, our policy is that uh if they want to serve until 2 am, it's just a separate license. And so, um some of our restaurants have that, some do not when they apply. >> I'll move resolution 2545 approving the new liquor license. >> I'll second a motion and second on the liquor license. I strongly encourage anybody that wants to try that restaurant. It's very good. Been there a few times. So, uh, and motion a second. Any other discussion? Elena. >> Hi. >> Foulton. >> Hi. >> Vernon. >> Hi. >> Brandy. >> Hi. >> And David. >> I. You going to bring us to item D, resolution 25-47 approving the North Zumbra sanitary sewer district contract expense. We are still tracking away at this. >> We are still back at this. It's hard to believe that we're already talking about the next bonding bill cycle. Um, however, so I'll give a little background. Uh, for the last 5 years, the city has been working with the cities of Zombroda, Good Mua, and Wanamingo on a joint sanitary sewer district. Um, the cities came together to start talking about this. We all are starting to I won't say near our facilities. Some are in dire need more than others. Um, Pine Island still has plenty of capacity as well as Zumbroa. However, I believe Wanamingo and Good Hugh are in more dire need, especially uh Good Hugh. However, we started this venture of creating a joint powers together for the sanitary district, and we have been lobbying to receive state funding for this. Uh in 2023, we did receive $10 million. That was unmatched funds from the state. That was to finance the land acquisition, which the um joint powers has purchased just outside of Zimrod. Well, now it's been annexed. um in addition to design and engineering which is about 65% done I believe Craig. So, um, design work is well underway, but now we are back at it lobbying for, uh, construction dollars. And so, essentially what we're trying to get is 50% of the construction costs. Um, and then it would be about 25% would be local dollars between the four communities. And then about 25% we're looking for other state aid and grant programs um, and federal aid. And so with this, we have used the same lobbying firm for the last 5 years. So, we wish to continue with them. Um, they've been very helpful. As you know, we spend a lot of time up at the capital talking with state legislators, uh, the, uh, leaders of the four communities. We have a mixture of elected and appointed officials that go up with our lobbyists to meet with state legislators. And so, before you is the contract for it would be this legislative cycle. So, it' be um, September 2025 through May 2026. As you know, the legislative session ends the end of May. Um, if there were to be a special session next summer, then that would be an additional cost that we would put before him. >> Only get St. Paul to >> cooperate. >> Quick question. Um, isn't Prairie Island Indian community also involved with it? So, there would be five of us in there. >> Correct. um uh Native American tribes are not eligible for bonding bill dollars and so only municipalities are. So the request is actually coming from the four municipalities. However, Prairie Island assists us with lobbying. So typically it is um their lobbyists, our lobbyists and representatives from all the communities coming together to meet with the legislators. Uh Prairie Island has been very helpful. They've been um great collaborators on this as well. And so, uh, yes, they have been a part of the project. Um, >> they're viewed a little bit differently in the fact that, um, they would be a user of Pine Island. So, they wouldn't be a direct user of the sanitary district, but their, um, their usage would flow through Pine Island. Um, and then onto the sanitary district. >> Okay. Thank you. >> Yes. Any other questions? >> We're meeting with some of our fair elected officials tomorrow morning, right? >> Yes. And so um every year the House and the Senate bonding bill committees take a tour of the state of Minnesota. They travel all throughout the entire state. And so tomorrow the Senate bonding bill committee will be traveling throughout southeastern Minnesota. We uh have asked to be a part of that stop. And so tomorrow morning at 8 a.m. we will meet for one hour with the Senate bonding bill committee. Uh talk to them about our project, tell them why we need the funding. Um, so it'll be a it'll be a good time. >> I'll move resolution 2547 approving the North Simro NCFB lobbying contract expense. >> I'll second that. >> Motion a second on the contract. And every year I thank our staff for the time that they spend going up there. and some of us have taken turns trying to go up and testify and get this push through. So, uh, any other discussion? >> I would like to add a comment to since you're going to those meetings all the time. And, uh, I read the last meeting minutes where they were talking about what to do with that million dollars, whether it be a road or fencing. I would prefer that it be applied to the road because the fencing just kind of would be inhibited to them doing the construction and development of the site in my opinion. >> And I think that's what we most likely discussed. Um and so just to refresh your memory, um Prairie Island uh helped us. And when I say helps us, they they did the majority of the work because we had never been through the congressional process before. And so it used to be called earmark dollars. They no longer use that terminology. So, it's congressional um directed spending now instead of earmarks. Um and so they helped us put in a request for congressionally directed spending dollars. And that first request was um I believe it was 7 and a half million. Um that got cut down to 1 million. So when when we're asking for dollars in the federal government, it gets cut quite quickly because we're competing with a lot uh a lot more entities. But yes, so we are still um have an ask of $1 million. And so if we are awarded those federal dollars, we do need to use them. And so we would put them to good use. Um and so we've started to talk about what infrastructure we can put towards the site. And so I think um the road makes the most sense. >> Agreed. >> Any other questions? >> As Delena, >> I which brings us to planning commission. We have no items under commission. So we bump right to public works and engineering resolution 25-46 which is receiving the report and setting a public hearing for our 2026 street improvement project. It's been a long time coming. We are ready. [Music] >> Good evening mayor and council. Um so in J July um you had authorized the preparation of the feasibility study uh for a proposed 2026 uh street improvement project. Um the reason that we're following this process is we are um at this time proposing to assess a budding and um improved properties because of the project. So um uh the state statute lays out a process for us to follow and this is one of the steps in the in that uh process. So, um, in the feasibility study, we we looked at, uh, four different areas of town. Uh, Willow Court Southwest, which is south of 8th Street, uh, Third Street, Southwest, and 1 Avenue. Uh, those were those two block or three blocks would be um, uh, remaining blocks in the overall southwest um, improvement project that has been under um, underway for uh, quite some years. and then uh Second Street uh southeast in front of the Legion and then North Main Street from uh Center Street up to Second Street. So, right in front of Quick Trip uh those two blocks there. Um in the feasibility study, we um I can just kind of give you the highlights of of that. And what we do is we look at um highlevel design elements um as part of the project and then um and then put some costs together for the estimate of estimates of construction and then uh overall projects including engineering administration contingencies um and then also look at the possible assessments and what the u impacts would be to the budding property owners. Um the first few pages just kind of run through the uh uh the items that we're looking at um replacing. These would um all be total reconstruction projects. Um two items of note. One, uh Goodw County is planning the resurfacing of of uh North Main Street um next year. And in conjunction with that, they were looking at a traffic circle at the um at the QuickTrip intersection there by uh Highland Market. So, um so in talking to Todd and staff, we thought that would be a good opportunity to replace some of that aged infrastructure uh where we would get um the benefit of the county taking on a little bit of that project and then the city installing utilities, curb, storm, sewer, and that. So, uh that's why that area was looked at. Uh we also have a lot of inflow and infiltration into the uh sanitary sewer there. So a lot of uh clean water that's running into the sanitary sewer. Uh so if we replace that with PVC piping uh with tighter joints, uh we can eliminate a lot of that ini. Um another um project that uh county is looking at taking on is the um the reconstruction of the county 3 bridge just south of 8 street. Uh so they will be letting that project I think very soon if they haven't already advertised for that. Um but they reached out and said we're looking at uh reconstructing County Road 3. Um and this would be a great opportunity for us to be able to extend sewer and water services to that Willow Court area where currently they're on well and septic there. So it would um remove u uh those um potent potential sources of contamination um within the city. So um similar to uh what good county is taking on if they if um county's plan is to remove the uh pavement uh we would install the uh utilities and then um and then they would handle the resurfacing too. Um so that is um that's kind of the overall project scope. Um and and looking at identifying costs, um the overall project cost comes in just under $4 million. So $3,981 um 44,000 or $44.60. So um of that we we would look at um assessing close to 665,000 666,000 somewhere in there uh to the abuing properties which would be uh which would um result in the city picking up the cost of around $3.3 uh million of the over overall project. So again these are highle numbers couple of those projects we have not worked out you know details with the counties as well if you decide to move forward with a project uh we would look at their uh cost contribution and and some more of the specifics um around their project so we can um hopefully reduce the cost for the city but this uh looks like it would be worst case scenario um you know for the city as far as costs go. Uh so it in the uh um we also give a couple of the typical um assessments that would be applied to the to the project. So um it gives it both as residential and commercial because on North Main we do have some commercial properties there. Uh so this is based on the city's assessment policy which is also included in the in the report. So, um, if you'd like me to dive into the assessment policy at all, I can do that or we can, um, I think it it's in the report and it's it's pretty, uh, straightforward, too. So, um, so we would, uh, deem this, um, uh, project as necessary and cost-effective and, uh, would would recommend, um, approval of the resolution um, receiving the feasibility study and report and setting a public hearing for your October um, Yep. council lead. So >> that would be the first >> that would be the 21st. Correct. >> So any questions on the reports at all or >> No, this is this has been a long time coming. So be nice to follow that coincide. >> Yes. Okay. >> Yep. I'll move resolution 2546 receiving report and setting public hearing for 2026 street improvement project. >> I'll second motion a second. >> Well, I I just would note uh and you've done this has come up a few times now in cities that are doing projects like this by assessment whether the notice the proposed notice of the hearing because you'll have a hearing on whether to order the project whether the notice accurately identifies all of the properties to be assessed. But in this case, you've said it's the properties abuing, right, >> on all of the streets that you're talking about, but proving it's not other more remote properties that might be assessed. And so, uh, staff is Craig is perfectly clear here about how the notice agreed. So, it's I think it's legally signed. >> Yeah. And one other item to note, too. So, this is, uh, the first, um, if you move forward with it, this would be the first public hearing. So the initial hearing um to make uh residents aware of the projected costs and also the scope of the project and then um uh following uh the project we would have another assessment hearing uh where we would have the final numbers uh that would be assessed to each of the property owners. So this is uh again another step in the in the process. Neielson council is Delena. >> Hi Colton. >> Hi >> Vernon. >> Hi >> Randy. >> Hi. >> And David will be uh >> okay. Thank you >> Bob. We're on to legal. >> Are we? >> Uh mayor council. I have nothing to say. >> Try to be efficient. Right to be efficient. We'll go on to planks. >> I'll move claims. >> Second. We have a motion and a second on claims. Delena >> I >> Vernon >> I >> Brandy >> I move on to department updates. >> Sure. I I typically don't go over my report but I do have a few things I would like to point out. Um, so I know I spoke of this at our last work session, but we are officially closed on Evergreen Place. Um, it was a smooth transition, I would say. And so I just want to thank council for all of your hard work. Um, I think we were trying to sell it for three years. And so it was a lot of meetings. Um, thank you for that. uh we essentially made history because there's never been a receiverhip open that long um in the state of Minnesota and so everyone wanted to keep the facility open and we achieved that goal. So it feels really good that we were able to uh keep that open to serve our community the record books. >> I'll also like to add that uh we recently met with our pool manager to go over the summer pool program. So, we did um send out surveys this year to um we had four different surveys. We sent out surveys to people who had pool parties, people who did swimming lessons, um people who just came for open swim and oh, this staff. And so, we we were able to review those responses and put together a plan. Um we're always looking for ways to improve uh everyone's experience at our public facilities. Another exciting thing that is happening is Roco, the Rochester and Homestead County Organization of Governments. I I believe um they have been meeting and uh I'm serving on a steering committee where we're talking about transportation through uh areas that Rogox serves. And so it's essentially the Mstead County area and all the cities that are around or above that area. And so we are uh meeting monthly to try to talk about how we can improve transportation between uh communities and I think this is a really important topic. It's something I'm very passionate about to um how can we serve our residents? Uh I think we do a great job of getting them around in town, but how do we get them around outside of city limits? And so this is one of those committees that are working to tackle that. And then lastly, I'd like to put in a PLA plug for Pines um our uh notification and newsletter system. And so anyone uh the directions are on our website. We put in plugs through social media. And I really hope people are able to sign up for that information to receive um all the updates from the city. >> I never have a report and I do tonight. It's hot. Um, I will also I'm supposed to be stepping in for Rachel for the library. I >> always couldn't ask. >> Um, Rachel is not here this evening. She is at a conference this week. If I even try to fill her shoes, I will do a horrible job. So, I'm just going to state that her report is in the packet. I asking everyone to go look at the different programming opportunities we have at the library this month. >> She is celebrating her ninth year or 10th. >> Was ninth or 10th year? >> Catching me off guard. >> Yeah, I think it's ninth. >> I think it's >> I was trying to work back and I wouldn't say it was my first year or in my first year of getting on council. So, she's been here. >> I believe it's ninth. I I could incorrect but >> years nine years >> I I typically >> do awards every five years with staff and >> she's not on my list so I am either incorrect or it is nine years. >> No, I hope she is able to have fun down at New Mexico. >> Yeah. So I I think it's um I'm going to butcher the organization but it's a conference essentially for small community libraries. Um it's a nationwide conference. So she was really excited to go and network with other small libraries to see what they're doing to engage. >> And then it's her uh work is the staff work done then completely on the front of the library that >> I believe so I think >> that look very >> I think now we're looking at some quotes for brick work and um >> yeah we need quotes for their air conditioning system too. >> That's great. >> Yes. Elizabeth, I did have a question on your steering committee for transportation. Yes. >> Does that include like the highwa transit stuff that we authorized as well? Is that included? >> It does not. So highwa transit is separate because that that's funded through the state. And so um we're looking at that because that that's a mean of transportation, right? And so that or mode I should say of transportation. And so we're looking at how people are currently um moving throughout communities. But then we're also looking at safety issues. >> Um, so a lot of things that we're looking at is >> is not only getting from community to community, but then within each community, what can we do to make our roads and streets safer as well? So, >> thanks. >> What are we doing updates? We got work here next. I did clarify the lines presented to the Lions last night and I hope I didn't misform, but the work that boys are going down there. Uh, >> Oakidge Park they call it. Pretty filling. Correct. I mean, they're taking down the dead trees and >> I think I told correctly. So, >> it's it's pretty noticeable that the trees are dead. >> Correct. And I I just I got it kicked out of everything that they asked. That was one of the first things I got asked last night. So, that was good. >> It's looking nice. >> That's right. And they got the trails. >> Yep. So trails have been steel coated. Um and so th those were completed today. And then there was a precon meeting yesterday or today at the pool >> yesterday. And so we met with the contractors who will be putting in the water slide. And I believe that went well. I did not go. It was raining and Craig went. >> Yeah. But it sounds like the the um they're looking at pouring footings this year yet for the water slide and then install would be like late February, March, April. >> Yeah. So I think they had a completion date of mid April. Mid to end April. >> Very good. >> Fire department busy. We got fire prevention coming up the week of October 10th. that otherwise I think I appreciate everybody's participation tonight. Hopefully some would stay around questions but they do not. So take a motion to adjourn. So move. I'll >> second. Motion is second. All in favor? I thank you.