The council voted 4-1 to adopt the final 2025 property tax levy and budget, with the increase driven primarily by investments in police recruitment and retention, additional public safety staff, and information technology upgrades. The 7.75% levy increase represents a reduction from the preliminary proposal and reflects the city's strong financial position, according to council members. The budget allocates 39% to police operations, 23% to administration, and the remainder to other city services. Revenue comes from charges for services (43%) and property taxes (30%).

Council Member Alex Implesic raised concerns about how the city is maximizing its Tax Increment Financing (TIF) funds—special revenue sources tied to development districts. He requested that the council dedicate time in 2025 to understand TIF districts five and six and explore whether those funds could support other projects like improvements at Clapp Bridge Park. The Deputy City Manager agreed to include a detailed TIF workshop in the 2025-2026 budget process, noting that these districts are performing better than anticipated.

In other business, the council unanimously approved a cooperative agreement to purchase self-contained breathing apparatus (SCBA) equipment for the fire department. Staff explained that the city had applied for grants for three to four years without success, making immediate replacement necessary this year.

The council also advanced a cannabis business regulation ordinance on first reading, voting 4-1 to adopt stricter buffer requirements. The ordinance requires cannabis retailers to maintain distance from schools, parks, and The Retreat, a residential treatment facility. The council chose to measure all buffers from property lines rather than building edges—a more conservative approach that staff said may limit available locations for cannabis businesses.

In a unanimous vote, the council approved a winter sauna lease at Wayzata Beach. Nordic Experience will operate a mobile sauna with lake cold plunges from January through May, aiming to activate the park during winter months and generate revenue. The council addressed logistics including bathrooms, changing areas, security, and coordination with other winter events.