North St. Paul City Council — Transcript
Sunday, September 14, 2025
2026 Budget and Levy Discussion
Community Center and Grant Funds Reallocation
Votes (2)
2026 Budget and Levy Discussion and Certification of Levy Discussion
Dissent: No notable dissent to the final 8% maximum levy, though initial concerns were raised about components like the electric penalty transfer.
Moved by Not explicitly stated (consensus) · Seconded by Not explicitly stated (consensus)
Finance Director Dan Winnick presented the proposed 2026 levy, initially at 5.84% combined for city, HA, and EDA, emphasizing the significant infrastructure funding needs outlined in the CIP. Comparisons were made to other Ramsey County cities, showing North St. Paul's proposed levy as the lowest. The discussion focused on mitigating the tax burden on residents, with Council Member Schwar suggesting a higher, smoother levy increase (e.g., 8%) over several years to avoid larger jumps later and to take advantage of future TIF district growth. Council Member Woods raised concerns about transferring electric penalties to the general fund while electric rates are high. There was a proposal to utilize $512,000 from a retired public works debt fund for facilities or infrastructure. The final consensus involved setting an 8% maximum levy, reallocating some funds, and dedicating an additional amount to infrastructure.
Discussions for the Community Center and Grant Funds
Dissent: No formal dissent on the identified principles (community benefit for reallocation, keeping the library in the city).
Moved by N/A (workshop discussion) · Seconded by N/A (workshop discussion)
The workshop commenced with a review of the August 19th council decision to terminate the EAPC contract and decline federal and state grants for the community multicultural outreach center. The city manager outlined the objective to discuss reallocation options for the $4.5 million state grant, the future of the Ramsey County Library, and the community center site. Council Member Woods advocated for reallocating funds to the McNight complex to maintain the grant's spirit of community benefit. Council Member Schwar proposed repurposing the grant for the water tower, with funds then shifted from the water fund to construct a smaller, efficient community center. A key principle established for future planning was that any reallocation must provide community benefit, and the library must remain within the city. Further discussions are needed for specific cost analyses and options for the library's relocation or continued presence.
Notable Quotes (8)
So where where we're at right now in a combined city H EDA is we're at a 5.84% levy increase.
that's what kind of has positioned us into, you know, something not to be bragging about, second highest tax rate in Ramsey County. Um, it positioned us into that we have very high utility rates.
So, why have a big jump when we can have a half a jump? That would be where it is. I mean, we're still going to have jumps.
Uh, personally, I I have some concerns about the full transfer of the electric penalty. Um, we transferred 1.5 million to the streets because we were told that, you know, the electric fund was good. um with the transfer of the penalties. One of the things Dan said earlier is we have some of the highest rates around. In some of the slides he presented earlier and at the previous council, he talked about a rate increase on electric in 2027. I can't in good conscious move money from the electric to the general and then tell our residents that I need to increase the rate.
On the last, uh, council meeting on August 19th, um, council approved the following. The contract with the EAPC architect and engineering for the community multicultural outreach center feasibility study was to be terminated. Um pursuant to the contract, city will decline both federal and state grants, funds, and award for the current project, uh city manager authorized to and directed to take all necessary steps to carry out the termination of the contract and the cancellation of grant funds, including notification to all relevant agencies and to explore the reallocation of the grant funds.
I was a huge proponent of the community center and I'm going to continue to be a huge proponent of that comm community center even though it is dead. Um the funds that were granted to us and that were advocated for were funds for our community. And um I personally would like to see those funds get allocated to um something similar to the community center and what I feel is most similar would be the Mcnite complex.
My thought is we repurpose the grant for the water tower with the caveat that we do a RFP or a proposal to find out what a basic efficient building that we could put in the place of the community center because we need to do something with the community center anyway and transfer if we agree with that plan transfer the mount out of the the um water fund to cover that building you know So the the the offshoot numbers were 1.5 to 2 million.
So, I'm going to summarize a couple at least key principles as we move forward that I've heard. one that whatever reallocation of the funds, the grant funds, there needs to be a plan where it's going to have a community benefit.
Ordinances & Resolutions (6)
The annual financial plan and property tax collection for the city
Street and utility reconstruction project bonds issued earlier in the year
Capital Improvement Plan, referenced for infrastructure funding needs (streets, parks, facilities)
Long-term financial strategy for infrastructure funding
Contract for the community multicultural outreach center feasibility study, which was terminated
Funds for the community multicultural outreach center project, which were declined and are now subject to reallocation