Let's call a Shaky city council meeting for April 7th, 2026 to order. And if you could please take the role. >> Council member Delaney >> here. >> Council member Whiting >> here. >> Council member Contrarus >> here. Council member Laura >> here. >> Mayor Layman >> here. Item number three, if you want to join us for the pledge of 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. Item number four, special presentation, Minnesota Valley Transit Authority annual update, Mr. Luther, sir. And you might have to pull that microphone closer. Thank you, sir. >> Just let me know if you guys can hear me. Well, I can hear myself, so that's a good sign, I think. Thank you every for their time this evening. I'll try to um make sure my comments are not necessarily brief but poignant. So again, my name is Luther Ryan. I'm the CEO for Minnesota Valley Transit Authority. Been CEO now since 2016. Just want to give obviously one of our yearly um transit updates. First, let's talk about the agenda. Some of the things that I highlight we'll go over. We'll talk about our fixed route, our connect service change schedule that we have and some changes we're going to be doing um in Chakapi, our event services. Then we'll do a little update and round it out with a little bit about our community partner um talking about our South Metro Coalition and local forward. It's important to note when I have these conversations by MVT, I always start off with the basis not everyone understands obviously the breath of our services or what we do as an agency. So, I just want to make sure just everyone in there know we have 24 routes um express as well as your first commute. We have local service on demand which is connect which I'll get into a little later exactly what that is. Um we also have event services as well too. When it comes to our fixed route services, it's important to note that we do have some good services that we offer in Chakapi. We have our express services that primarily transmit downtown to Minneapolis, the 490 and 493. We also have our forefront bus um which is also combined now with the route 495. Um that service goes from Mall of America to Burnsville. It has branches that go to Valley Fair when Valley Fair is operating. Um it goes to Marshall Road Transit Station, Amazon as well as Mystic Clay Casino followed by Canterbury as well from ridership standpoint. So when we look at ridership overall for um for um Shagape, it's actually was pretty it was actually really strong. Um there was over 18% increase in ridership from 2024 to 2025 for the city of Shakipi. Important to note that overall when it came to our last slide there, I wanted to fast forward this one. Overall ridership overall systemwide for our service is about 7.8%. So you guys were above um the average for um for the service for for our yearly service which is very beneficial and we want to highlight a couple roots and why that was. So as you see here obviously state fair service up at 47% from um from 24 2025 primarily driven by the fact that this was the that last year was the first year we opened up all 10 all days for the fair we had service at Southbridge um followed by our route 490. Um as you see dramatic increase of ridership there continuing to add service as well as meeting the needs of customers. Our four fun bus continues to be um great generator obviously going to miss casino as well as services to Amazon as well. Um we have a route 499 also up 34% and a route 497 up 12.3. So really across the board we've seen increases from 2024 to 2025 when it comes to stock service. I think that's a testament obviously to um the amount of work that we put in the city. Um I know Joy and her team spent a lot of time down in Shakipi obviously meeting with the Shakape High School which serves on the 499 as well as obviously talking to Lab Nation working with Canterbury Valley Fair and all the all the um and all the major employers as well as um hospitals that you guys have here in this community as well as the people here um with the city. Fast forward until we look at our connect service and our connect service is an ondemand service and the next slide I'll really key into exactly some parameters of the service but just want to give the lay of the land when it comes to our appbased connect service that service overall um as you see here of the trend line for um trend line for um shaky and power lake which started back in um started in January 13th of 2025 continue to trend upward we had over 12,000 trips that were provided here in that year service um overall we've seen systemwide we've seen connect service up 33% year-over-year and our average wait time for our prior lake and shaka services is 15 minutes as you see which that also is better than our um than our other two zones which I'll show you on the next slide but as we continue to see here we do have our goal as an agency is to have service under 20 minutes um anytime we see service as a wait time above 20 minutes we try to look at some um whether look at adding more vehicles maybe look at some um different changes from a software for efficiency standpoints in order to try to get that um weight time down. We have not exceeded that here in Shakipi. Testament that we do have the vehicles are needed and the right mix as far as our service is concerned but we are really but we will continue to monitor that. We do have some challenges in some of other um zones about 25 minute weights. We're looking to add vehicles as well as looking to do some changes to the software to make sure we can kind of minimize and reduce those weights but that's not affected here. Important to note when I talk about um our microtransit service and that's connect. I'll use that interchangeably. Um the demographics of that service, um 65% of that of individuals utilize that service go to and from work. It's important to note that when you look at that, 49% of those customers say that if they didn't have Connect, they'd have to use Uber and Lift. But here's where it gets a little bit when we have this conversation about Uber and Lift and is that right for this community or right for these connect riders. This is where we come into that when you look at this. It says 48% of our customers have an annual income of less than 25,000. So when you think about going to work, you know, that's two trips a day. And the average um Uber and Lift trip in our service area in our communities for a local trips anywhere between 20 to $30. We looked a few years ago. There's no way a person making under um $25,000 a year is going to be able to afford 10 trips a week and an average of $25 each way. So, we understand the connect is a good value at $3 and it prevents that public transit need and we like to see the fact that obviously with the weight times um it also makes it obviously appealing to customers as you see from our from our ridership demographic mix that 40% of 47% of our riders are people of color. 60% of our riders are are women. Now, I always talk about when we first started service back in 2019. I'm in 2020. We're about a 5060 5050 mix of women to men. And as you see, they have taken over the service. Um, and I I'm trying to trying to get some balance back, but as you see now, we're 6040. Um, we do have some um 25% of our riders are riders that have a disability or identified as a disability, a long-term health condition, and identified by the rider. Um it's very beneficial that those individuals obviously we do serve them. We serve anyone. It's open to the public and it's good that individuals that do have those needs can still utilize our services as well. And as you see here about 46% of our customers are customers between 35 and 54 which is the prime working age. One of the things we were continuing to do by different bus types and advertising um by our marketing team is really making sure we're communicating that service is open to everyone in the public because a lot of times we see those little cutaway buses that we operate they think they're for senior disabled individuals understanding that it's not just for student it's for everyone in the riding everyone in riding public just like our larger fixed route buses are. So we still have ways to go as far as making sure we can make sure those populations of that, you know, that sweet spot, the 18, you know, the 34 understand that bus is for them. But that's still a growing market for us. So we'll continue to advertise and promote that. Just as we look at connect, as you know, we have three zones if you're not aware, excuse me, we have three zones. It's $3 each way. It's a free transfer enterprise a free transfer to fix route. We first started the service. What we've seen is about 50% of customers utilize connect service to go to one of our transit stations so they could access local service. We still kind of see that, but now a larger percentage of that actually use it to go to and from work and other another large majority using it to go to one of our transit stations to access the network. And it's a free transfer. We accept cash um credit cards as well as goto cards on our connect service. And the hours operation as you see are 6:00 to 9, seven days a week. the fun part. Let's talk about the 26 the 2026 service plans here. Um couple things we have really geared up for Shakipi. We continue to see Shakape as I'm sure you guys are aware as continues to be one of the fastest growing cities um not only in Minnesota but the nation. So from our standpoint as a as a trans agency, we're always trying our best to meet the needs as well as to grow as as you guys continue to grow. So, a couple things as well as try to be as efficient as possible. Couple things we're looking at right now is our 497 and 499 are local service on the weekends. We're going to replace that with connect service as we see we think we have the elasticity to do that with our existing infrastructure. Um our 499 we're going to restructure that um for faster travel between Marsh Road and South Bridge area. That's been a route that we continue to um we continue need to see some growth on. We've added we've added service to Shakape High School. We've seen obviously an increase of 12%. but is one of our routes that um do we do have a little bit lagging when it comes to ridership as as far as um cost. So we are continuing to monitor that route and try to do some creative things in order to generate um higher level ridership on that particular route and our routes of 495 and we're combining our 495 and our for fun bus. The great thing about that is that this will actually took those two services make them hourly seven days a week. So that's really beneficial. We're actually getting more efficiency out of that route. Um more service actually at a reduced cost with that with that that com with that um with that combination. When it comes to our express service impacts, we're going to be um reopening our Eagle Creek parking ride um for the to serve the 490. Um we're also going to be trying something um this year which is pretty new for us. I think new really really novelty in the industry. When we look at travel patterns, what we continue to see is on on Fridays, it's a lower obviously we have a lower amount of individuals utilizing express service that go downtown for to Minneapolis for work. Normally express service is normally five days a week, the exact same schedule, you know, Monday through Friday. Now, in the beginning of the pandemic, you started to see that on Mondays and Fridays. Now, primarily, it's driven, you know, we're still lighter on Mondays, but primarily driven by Fridays. So, what we're going to do is we're actually going to put a we're going to put a work of reduced schedule on Fridays and see and see if the ridership actually matches obviously the riders. So, we're looking the service excuse me matches matches the ridership. Um there's definitely some cost savings for us and we're hoping that we're going to meet that sweet spot of actually meet that sweet spot when it comes to service. But interested to see how this works out for us and we think that'll be a model that may be adopted other trans agencies nationwide. Last but not least, we're potentially looking to merge our 490 and 493 routes as well from South Bridge going to UNM. And I would continue to say UNM has continued to be um service as our downtown work core continues to come back. Um our UNM students have been riding since the pandemic and they continue to. So, the bulk of ridership that we continue to see on our on our 490, 493, whether it be our 477, all of our express routes throughout our service area are really primarily um we have our work contingent, but a really strong UNM students that are going to and from class. That's also too that's different customer base. They're not just going 9 to5. So, we're looking for different ways in order to where maybe more night service, more midday service to make sure we continue to capture and grow that particular market. But, they have been definitely growth and outstanding. um for us to date our event service. Just want everyone to make sure we're aware that we do offer event service. And one of the things we've always wanted to make sure we do is that we want to make sure that there not everyone you need to use audio services. Obviously, not everyone works downtown in Minneapolis. Not everybody also too needs local service to go to and from or microtransit service to transverse through Chaka Pier, Prior Lake or the neighboring communities. But, you know, there are some individuals that may just want to go downtown for for to watch a Vikings game. They may have a chance to go to the state fair. Um, these are all places that are that are served by um high capacity rail or BRT services in the region because they're for transitway corridors because it's high ridership obviously big venues. We want to make sure that we also provide that same level of service to individuals in our seven cities as they have in the core. So, we always try to make sure we provide um healthy event services. The good thing about it is it's 6 hours. It's round trip. Um, normally the schedule's in advance. We've had great ridership for our Vikings, our golfer, or excuse me, our gopher um our gopher um um golfer service. We wish Taylor Swift had come back. She did really well for us a couple years for our concert series. Um I think um who do we have? Rolling Stones, one of the one of the groups with Metallica. they did well. But always understand that if there's a big concert down um downtown US Bank State and we will probably providing service to that particular concert. Legislative update just to round out um there was a bill this year. It was House File 411411 sponsored by authors by um Representative Cosnik out of Lakeville. Um just wanted to give a quick update on that. There was just some we believe just some information needed to be shared. Um the report that was submitted to the legislature preceding that didn't necessarily have did not have suburban provider feedback or collaboration. The information really in it didn't truly reflect um our action taken since 2024. Important to note the data used was high subsidy local service data that from services in 2023 and 2024. primary note like the 498 was a service they called out on that route. That was a service that was federally funded um going to the Golden Triangle when it was when it was originally planned and submitted in 2014. Um it was supposed to serve the Southwest LRT stations because the same place the $3 billion investment in the region is going um in that Golden Triangle area. And during that particular time, it was a really big thing on on a federal level as well as a state level making sure that you had service to obviously to um to connect into these large growing job centers. Um we are we started a service obviously during the pandemic as the federal funding had the light rail had not and still has not has not opened yet. We running the service for three years based on the pilot 8020 funding. when the ser when the funding ended ridership wasn't there obviously because golden triangle obviously didn't return during the pandemic we ended the service but on a report it makes it seem like the that service is still going on in perpetuity and that's simply not the case um [clears throat] also too one of the things we had a challenge with when we looked at not only the report but really some of the narrative that really um we're at a disadvantage a little bit because it doesn't really show all the investment in capital funing So really what the report does is it looks at fairs cost of service operating fairs minus cost divided by ridership which 80% of federal funding that's not captured. If there are hundreds of mill billions of dollars in capital regional funds like sales tax or invest funding used for capital that's also not to build a station or to build that's also not capturing a report. It really is that simple equation. So, one of the things we want to make sure we continue to share is that it's just not a true reflection of service. Overall, since that report, since 2024, we've eliminated over half those routes. The ones that haven't, we've seen an increase of about 10% um ridership across the board. And even the ones ser routes are still in still in service today, service have been reduced by 27%. because we look at it, you know, one of the things I think if anyone's seen um got a chance to read my article, I want everyone to understand that, you know, there isn't, you know, there isn't a when we see service doesn't work, we modify it. We have service changes four times a year. You know, we don't have, you know, there's no where we don't take a service. There's no TJ Maxx or Dollar Tree we can discount it to. If it doesn't work, we modify it. We reduce it. Um we try our best and we move on to something else. And that's what we've been doing. just where we're at from an update standpoint. Um, you know what that legislation does, it does remove if it were to pass, which as of right now it has no doesn't seem to be moving that direction and we understand that, but still also understand that it would remove the bipartisan locally elected representation decision-m obviously from the board of suburban providers. It would include service reductions, higher fairs, and less reliable service for customers in Shakipi. And let me explain, let me make sure I drill into that because that's really important here. So, when we talk about removing local suburban service, local suburban service is $2 passenger fair each way for customers. Now, if we ever understand that transit link service, that's just which is comparable because if you don't have local service, you're on Transit Link. That's that is the base is $3.50. Now if you go during peak it's $450 and if you and it's and if you 15 milesi you had a 75 cent kicker. So it's not the same cost. It's almost twice the cost. And as we all know one of the reasons why the big the one of the big um conversations we've had for a number of years about putting our microtransit in this community and we wanted to make sure we had in all seven communities is because there was some unreliability when it came to some of our some of those services related to demand response. you have to book a couple days in advance. They could deny trips. We don't local service doesn't do that. And that's the big point about always trying to make sure that we have that footprint for local suburban service in all of our communities. It's also important to note too that what the report doesn't capture and we also be mindful I'm very mindful of when I is that we know that when we talk to businesses when we talk to they sometimes decide well a lot of times they also decide one of the factors of where they decide to put their facilities or to put their investment they'll look at schools look at housing but they also look at availability of workforce if the workforce can get to that location it means a lot to us as an agency and me particularly because I started in 2016 asshaki was exploding and I was here quite a bit to make sure we do have service that touches your industrial park you know local service that does your touches your industrial park in some form or fashion as certify and all the other business kind of transition on as you want to recruit others they don't just look on a map and say oh they have microtransit that's you don't but they do look on a map and say oh there's local service there I it's easier for me to have a conversation with the business about how I can fine-tune service or you fine-tune service to make sure we meet their need as an employer as opposed to having a conversation about how can I get you service because there's none that serves that particular area. And I do believe when you look at our seven cities and you look at the growth in our seven cities, you look at the local service backbone that we make sure we put in all those cities, there is a correlation because employers know that they will be able to at least I was be able to attract talent that may not be that may be transdependent to their location in our seven cities that may not happen in some others that don't have good or no local service. It does make us competitive more competitive. So let's talk about the savings a little bit when it related to and there were a lot of numbers thrown out but really the only savings were captured in our bill it was $723,000 over two years and that related to the reduction of metro mobility services and that's only if we haven't already reduced those services already says 2024 because that they may not even be applicable but I do think when we look at how much funding since 2023 with the sales tax accordingly that we've added in the region. I think it's it's it's I would think it's disingenuous for us as a community as as as a transit population to say we've added hundreds of million dollars of more funding and now we're going to take away metroability services from from customers and it really and primarily would be be affected by people in Chakabe because that's really the service we're talking about is the 499 and the 497 which are local services that serve this community and because that they're entitled to metroomobility services. That's something that we were receptive to. We put those services in because we got a call from from um Scott County when those customers got notified we were going to lose their service. So, we made sure we made sure we added those services back, but also to try to make sure we increase ridership. But understand when we talk about this mix of a changeover, they would be the ones directly affected affected primarily by any change in service providers. And just to round it out, just want to make sure we always there's always good conversations about just Minnesota Valley in [clears throat] general. Understand that our seven cities, Shakape being one of the fastest growing cities in in the region, make up over 10% of the population in the region. We're not talking about there's over 100 cities in the region. Our seven make up 10% of the population. This is not we're not small in number when it comes to the 12 suburban providers make up almost 20% of the region's population. We talk a lot about ridership but ridership really relates to investment. We don't always see that investment but we definitely have the population our system ridership again is up seven is over up every year historically we've had ridership increases. We'll continue well I'm sure we'll continue to see those above the national average. Our overall satisfaction from customers is 93% or higher. um our local Ford initiative that we do look at because we want to make sure not only are we looking at the subsidy but looking at the need and we have a great planner manager that we were able to um thank goodness we're able to recruit out of um Salt Lake City that helped us move the agency forward. We developed a new which I which we do believe it's it's it's industryleading something proprietary that we've designed we're going to continue to talk about and share with other with other um with other trainers as well in 2025 really looks at what we call the transpensity index and that really takes a look at not only does it look at the subsidy which is a lag indicator but it looks at population elderly population zero zero um zero car households um seniors disabled and we start to put it in propensity for them to utilize a service around the corridor in which we're going to put that service in and it adds a ranking when we've seen as you've used that system. We've continued to see an increase starting 2025 in the rout we applied it to. Um it helps us make better transit decisions and we're going to continue to utilize that and see a growth in service. We're going to continue to prioritize obviously our engagement and equity. Um last year we had over 650 events um service um um servicewide um over 11,000 hours of actual we we talked to or touched over 11,000 residents within our within our um seven cities. That was up from 8,000 in 2024 and 600 and 600 events. We really do see ourselves as a community partner and what we've continued to see based on this and that's why it was a good experience for us to um look at all of just the support over 40 letters of support um many of them from Shakape um like from CAP agency fair um Scott County Health and Health and Human Services um Shakape high schools and Shakabe Chamber. But the one from CAP agency really struck me because that's something that I brought in 2016 that we've really tried to champion as a agency. Talked about how the stuff to bus um helps address food insecurity in this community and understanding that it's not just always about transit. We don't always see ourselves as just a trans provider. We really do. Our our development lives in this community. Um, we see ourselves as a partner hoping to obviously add obviously transmobility but also more access and more opportunities to everyone in our seven cities. And with that, I'll close and ask if you have any questions. [clears throat] >> Thank you, Luther. Questions? >> Mr. Whiting. I also wanted to point out that the high subsidy report that was brought up at the legislature did not in take into consideration the uh community partners we have that have actually invested in the MVTA routes uh Amazon Mystic and I know you had mentioned working with Canterbury and Valley Fair and other ones and um that wasn't taken into consideration. So that's funding that we're getting um that was just kind of written off. I also want to um you mentioned a lot of different things that you've been doing in the community and that community partnership is real key to Shakipi. Uh the high school project that's great. I know Joy is here. She's been working hard on that. Uh connecting kids to uh bus service and and and more than that. Um one thing we've never had to do at MVT is dig up tracks. So we can change it takes a little bit of time to change a route because there's some processes involved but it's not changing tracks you know so we don't have to build new new rail or anything like that. MVTA is one of the cleanest the safest and uh for especially microransit is one of the timeliest services that our community has for transit services. Um and I just want to um point a few of those details out. >> Any other comments or questions? Councelor Contrarus. Thanks. Sorry. [clears throat] Thank you, mayor. Um, we talk about um advertising, you know, for concerts and everything. Here's a question for you. How about advertising for our own residents on concert days? Um, and that would be, for example, taking the 490 or the 493 in the morning to get to work, [clears throat] >> but I want to avoid all the traffic on a concert night, right? I want to get home. So, >> how do we advertise like, hey, you can do this and don't be stuck on the bridge for hours trying to get home. Um, or >> I like for myself, but not, you know, other people who might live like to close to a transit and say, "Well, I'll walk to it, but I want to go eat at Bravis or I want to go eat at, you know, any place, but I don't want to be stuck in that traffic on a concert night." Like, >> you're talking about the amphitheater. >> The amphitheater. Yes. on concert nights pretty much for the theater. >> Really good point and I'll definitely make sure Joy heard that. I took a note on that. I think that very very beneficial because it's important to note you know what we've continued to see see in the beginning in during the pandemic traffic was a was a lighter so people chose a drive and we we understand that but I think everyone has been traveling recently has probably seen that traffic seems to have returned looks like from a standpoint we're sitting in it and with construction to it also also because um we've definitely returned to prepandemic levels as far as traffic concerned so I think that age-old um we used to do a lot of marketing you know ditch the comp or obviously ride, you know, ride in comfort. Um, you know, you can do Wi-Fi on the buses. We kind of moved away from that because we understand the parking and the traffic congestion didn't dictate it, but really are back to that point as a whole of using as a messaging to make sure we engage and get people back on our buses. But definitely when it comes to concerts, it's probably important for us. >> Yeah. At least, I mean, I know we're thinking about concert goers, right? Everybody, okay, we got that, but what about us, the local ones? were like, "Hey, I don't want to be that in that traffic knowing that there's a concert tonight, but I can take it, you know, in the morning the bus, leave my car, you know, and then come back and skip all that." >> So, that's a good one. And then maybe we want to go out and eat and we know the concert's going to happen, but I don't want to be in their traffic. So nah just just >> so what she's saying is the reverse commute >> during during the concert event [cough] is [clears throat] >> we need to know what kind of impact that's going to have on the regular traffic flow of people that are not attending >> the event. >> Great. >> Oh yeah. And you have a very nice lineup too around. So I definitely think you're going to um so I definitely think there's an opportunity for us to talk about that. I like that. I like you. >> Thank you Mr. Delaney. I was going to ask is there any connectivity on again concert night between Canterbury and downtown like any bus connection there or >> which downtown >> or Shaki downtown >> repeat as far as concert night for us to go down to Shakape? >> Yeah. From Canterbury to Shaki downtown. Any opportunity for that? >> So I think what he's asking is to get local people to the event. >> Oh yes. Okay. Great question. Thank you. So sorry about that. >> Is that what you're asking? >> Yeah. or local people. So, one of the things we're going to be doing, that's the great thing about the four fun bus. So, we're going to be looking to engage with hourly service seven days a week. That's one of the things where obviously we're going to be um really marketing heavily to get people obviously um to the community. We're continuing to work to stand up circulator service too because we want to make sure that once you get here, you know, one of the great things about the um entertainment district here is and I've I've walked it a little bit, but I haven't yet seen it. Obviously, we're all going to, you know, we're all going to see it live, you know, um, really, really soon that it's a little larger than traditional ones. You know, when you go to say New Orleans or on Bill Street, they're walkable, but they're also not as not as this is a little bit and also have you have traffic, you have car traffic as well as obviously you're going to have some bus traffic as well. Um, and you have pedestrian traffic, which is a little bit different because a lot of times it's just pedestrian traffic, but this is a little larger. This is a little large for just pedestrian for just pedestrian traffic. So, not only do we want to make sure we connect people to the venue, but we will have circular service, make sure we're connecting people once they're at the venue if they do want to go to say just to go to concert, but then they want to go to one of the great restaurants that are opened up in that in that area. Um, so that's one of the points there. So, we'll have a twofold comment. >> Thank you for circulating. >> Other questions? I I guess I'll clean up with a comment. I think it's awful rich for the the proposed uh house bill to savings assumptions when the Met Council itself is the one that uh when we talk about their light rail project that's billions of dollars over budget, way behind schedule, keeps running into snafoos and then they turn around and decide, you know what, we're not going to build this other route. So, uh, they've proven their inability to do things properly or efficiently. So, that would be the last thing I would want is to see them take over, uh, another project that they shouldn't be in touching. Uh, if we really wanted to save a bunch of money, we would restructure or abolish the Met Council to be honest with you, but that's just me. So, we appreciate you coming down. a lot of good information here and uh I understand that there's going to be some bugs to work out as you know these social districts and the amphitheater gets up for its first season. Um that's expected in my world. I kind of expect some of these glitches to happen. >> Uh we'll learn from some of them and uh and improve, you know, like anything else. >> Exactly. We're here to support any way we possibly can. >> We do understand that the amphitheater is transit dependent. And so we appreciate the partnership and everything that's going to go along with that. >> So the the question that I haven't heard from anybody is there's other transit providers that are going to bring people south to the event. H how does that get worked out? Do if you're living in Robbinsdale and you want to come to this event and you do you just deal with their transit? Do they do th those transits supply that or are they going to connect up with something else to get to the event? >> Great question. So, we're we're working with so we are working with the other providers to see who wants to obviously run operate transit. The great thing about what we've been doing and what we see is that all we're asking if you want to serve Southbridge or you want to obviously have a location, we'll have service that does the rest of that does the rest of the connection. We just need assistance or if they want to move in communities, this is where we need you to terminate. Um and obviously then we'll take it from there and we'll coordinate on the return we'll coordinate on return um based on their schedule because we'll run some we'll have some pretty frequent running service. Okay. Um we do believe that I think a lot of times it's not just um us as a community. I think some other transit providers looking to see obviously what the impact is, what the what the you know what it looks like, what the ridership is. And I guarantee you a year or two, we're gonna we're gonna have a lot more coordination because I do think this is going to be this is really big for I think Shakipi. I think it's really big for the area. Um and we're just happy to be a participating providing some service to service the event. >> Very good. We've uh I've been looking at the connection piece to the various providers for years. You have too, Jay. And uh you know there's some that just don't seem to want to make them connections work and it's very critical you know for the riders wherever they may be in different areas. It's the real critical piece and it looks like some of their copout is to just take over the whole thing and be very bloated inefficient and and you know not serviceoriented to this particular areas that they serve. like you point out in your documents here, the the the transit, urban transit is much different. >> It is >> where the bus is going down the the highly dense population centers and it's stopping, you know, every two corners or whatever. >> Um and it's it's a just a consistent thing um where they're seeing a lot of ridership in a very small area. >> Yeah. >> Um so it's a whole different animal and some of these folks maybe don't understand that. Councelor Contrarus. >> All right. Some other one other just clarification. So you said it's $3 >> a ride wherever anyone goes. It's that that's the it's a >> on connect service. >> On connect service. >> Local service is $2 each way. >> $2. Okay. >> Mhm. >> Okay. >> Yeah, that's pretty good. >> No, that is okay. >> Any other questions, comments? >> That's it. >> Thank you for your time. >> Thank you. Item number five, approval of the agenda. Any changes to the agenda from staff? >> Nothing from staff, sir. >> Councel Mr. Larara, >> I make a motion to approve the agenda. >> Is there a second? Councelor Contrarus. Discussion on the motion. [clears throat] >> Discussion. Seeing none, all in favor say I. I. >> I. Post. >> Motion passes. Item number six, consent agenda. Changes to the consent agenda. >> Nothing from staff. Siring. >> I'll make a motion to approve the consent agenda as presented. >> And before you do that, I had two to remove. 6 Q6R. >> I'm sorry, mayor. I didn't get that. >> 6 Q >> Q >> 6R. >> Got it. Thank you. >> Okay. You want to change your motion? Modified. >> Okay. Okay with the second. >> Second. Yep. >> Okay. >> Okay. Discussion. Discussion. Mr. Reynolds, you want to read the consent agenda, please? >> Thank you, Mr. Mayor, members of council. These are consent agenda items for Tuesday, April 7th of 2026. 6A is the traffic enforcement and direction ordinance. 6B authorizes final acceptance and payment for the 2025 batuminous pavement rehabilitation project. 6 C declares amounts, orders the preparation of proposed assessments, sets a public hearing date for delinquent false alarm and mowing services bills. 6D approves a temporary liquor license for the Shockby Chamber of Commerce. 6 approves the purchase of light poles for the Old Carriage Court corridor improvements project. 6F awards a contract for phase three of the downtown ADA lighting and tree rehab improvement project. 6G approves the wetland sequencing for the Southbridge Crossing Garden Center. 6H approves plans and authorizes bidding for the 2026 safe routes to school infrastructure improvement projects. 6 I is the 2026 concession agreements. 6J is a donation from the Shockby Soccer Association. 6K is the 2026 trail coding seal coding project. 6L is the JCI shockby donation. 6M is a parks and recreation special events donations review. 6N is the March 17th, 2026 city council minutes. 6 is a cooperative agreement with the DNR for inclusion of shore fishing elements within the Minnesota Riverbank stabilization improvements. 6P are proposed modifications to Schleupper Field. 6S is the services agreement with Live Nation for the Mystic Lake Amphitheater. And 6T is the tree planting project done by a local Eagle Scout. >> Thank you, Mr. Reynolds. Any discussion on the motion? All in favor say I. I. Opposed. Motion passes. Item number seven is public comment. If you are here in the audience for an item that is not on our agenda, now would be the time to come forward. We'd love to hear from you. If you're here for an item not on the agenda last call, seeing none business removed from the consent agenda, I remove 6Q. Um this is uh basically a transfer of uh funds and part of that is a transfer to the park fund. Um so basically we're taking general levy dollars that weren't spent from the budget because we estimate and uh and transfer them to the park fund. And I disagree with that. So pull it off so I could vote against it. >> Mr. Wing, >> I'll make a motion to adopt resolution R 2026 TAC051 approving general fund transfers of $475,000 to the building fund, $1,850,000 to the parks development fund. >> Is there a second? >> Second. >> Seconded by councelor Contrus. Discussion on the motion. >> Mr. Whiting. Yeah, this is uh for working on our uh riverbank stabilization projects. So, this is matching funds and different projects that are going to be going to something that our community has uh looked forward to for many years. So, I have no problem with it. >> Yep. And as I said years back when we adopted the park master plan, it was too lofty, too expensive, and never in the last process up to planning this um improvements was I aware that we were going to be transferring tax dollars into the park fund to support it. I was understanding it was going to be park park funds all along. So, >> but the millions of dollars that we got in grants from the federal and the state government requires some sort of city input. So that's that goes towards that. >> Well, it could be park reserve fund, park dedication. It u we are using sewer funds legitimately. So because uh it's a sore we're protecting and the storm fund which is storm water. We're protecting the sewer from storm waters that flood and infiltrate into the pipe. So that's that's you know you have different priorities. That's fine. It's good actually. Diversity is good in in our form of government. So it's all good. We do have a motion and a second. Any other discussion? All in favor say I. >> I. >> Opposed. I. Motion passes. >> The question I had on 6R was it says we have to show that we're matching or that we have funds available unless I'm reading this legally wrong. That we have the full amount available. Um and a lot of our funds, some of these funds are coming from state bonding, federal government, DNR, these types of things as a joint uh pool. I guess when they say we have to show that we have the full capacity of all of this project cost, is that us internally or is that uh with the pieces combined together? I guess I guess I wasn't clear on that. >> Yeah, mayor and council. Uh apologize to the confusion there. Uh that is all of the funding sources. So we've been working with multiple agencies. One the largest one outside of the state bonding funds is the EPA which is we have a $3.5 million grant with them. We just submitted our grant application today as part of this process too. Uh the DNR was comfortable with where we were at in the process. So as long as we commit our local funds, they were comfortable with where we're at with the federal earmark that we got through the EPA. Um we have other grant funds as part of the project too that are uh as part of our CIP. Those funds are already committed. We have grant agreements in place that are established and we've provided that documentation to the DNR. So this portion is essentially just the city funds that are a part of our adopted CIP that we're committing those funds as part of the project. And those local funds include our park dedication funds, our park asset funds, our sanitary sewer funds, our storm drainage funds. Um and then uh those are the funding sources. Mayor, >> right? And when we say park funds, we're talking about the money that we just moved from the taxpayers levy that was excess into the park fund. >> Mayor, that's correct. >> Okay. All right. That answered my question. Wishes council. Councelor Contrarus. >> Thank you, Mayor. Um, I'll make a motion to adopt resolution R2026-047 for the Minnesota Department of Natural uh resources grant funding assistance for the city of Shakabe River Bank uh river stabilization project. >> Is there a second? >> Second. >> Discussion on the motion. Discussion. All in favor say I. >> I. >> Opposed? Myself. Motion passes. Item number nine, motion to recess for economic development authority meeting would be in order. Councelor Contrarus >> make the motion to recess to the EDA meeting. >> Is there a second? >> Second. >> Councelor Delaney. [clears throat] Discussion on a motion. All in favor say I. >> I. Opposed. >> We are in recess. like to call to order the Tuesday, April 7th, 2026 meeting of the Jacob Economic Development Authority. Please make note of the role. Um, first item is item number two, approval of the agenda. I assume there's no changes. Commissioner, >> I'll make a motion to approve the agenda. >> Second. >> A motion is second. All those in favor say I. >> I. >> Any opposed? All right, we have an agenda. Uh number three is our consent business which includes the minutes from our last meeting. >> Make a motion to approve the consent business. >> Motion by Commissioner Contrarus. >> Second. >> Seconded by Commissioner Lara. Uh all those in favor say I. >> I. Any opposed. All right. That's our meeting minutes. We're moving on to general business 4A which is a lease extension for concrete mobility. And that would be Mr. Kurski. Chair, commissioners, this is a one-year extension of their current lease, increasing it to uh about 9 cents, but their agreement is they will pay the full amount of the year's lease upfront. So, we'll get the entire payment made um as soon as this is approved. Any questions of staff? Payment up front. We like that. All right. Um >> that's good. >> Ready? >> What are the wishes? Go ahead. I'll make a motion to approve um the lease extension with concrete mobility at $19 per square foot from July 2026 until June 30th, 2027 in the amount of 48,241. >> Motion on the floor and a second by Commissioner Delaney. Any discussion? Discussion discussion. All those in favor say I. >> I. Any opposed? Motion passed unanimously. Uh next on our reports is the EDA bill list. Is there any question about the bill bills? >> That was emailed later. It wasn't in the original packet, but we all got it. Um, no questions. Um, we will look for a motion to journ. Uh, make a motion to adjourn to May 5th, 2026 at 7 p.m. >> A motion on the floor. >> Second. >> There's a second by Commissioner Layman. All those in favor say I. I. >> We stand adjourned. Okay, we'll reconvene the Shak City Council meeting. Moving to item 11, 11A. Uh, Mr. Thompson, question for you. Are are these public hearings? >> Uh, Mr. Mayor, may No, they're not public hearings. >> Okay. All right. 11 A, appeal a board of adjustment appeals decision on revocation of a conditional use permit at 8 Hansen Avenue. Mr. Kursky, floor is all yours, sir. Mayor and council members, again, this is the appeal of conditional use permit revocation at 8610 Hansen Avenue. KME Auto Repair leases the space at 8610 Hansen Avenue, property owned by Eugene Hansen, doing business as Hansen Avenue LLC. The board of adjustment and appeals approved a cup resolution PC 2023-006 with 11 conditions to allow vehicle repair on June 8th, 2023. Condition number 10 was unlicensed or inoperable vehicles must be kept out must not be kept outside the building unless the vehicles are within an area screened from view from adjacent properties and streets that complies with the city code requirements for screening. Staff pass the site when traveling to a nearby site owned by the property owner January 8th and inform the property owner of violations involving unlicensed and inoperable inoperable vehicles visible from Hansen Avenue. and the board would review potentially revoke the cup on February 5th. Staff visited the site again January 29th, 2026 and saw again unlicensed and inoperable vehicles and areas visible from Hansen Avenue. So here's pictures from January 2029. So basically the condition was the only vehicles visible from the street this is on a hard corner would be operable operable vehicle oper operable licensed vehicles. Um, none of the vehicles being repaired. You can see from these pictures, these are right on the street. So, city code section 15.001J 001J allows the board of adjustment appeals to revoke a permit upon violation of any condition of the permit requirement of the city code chapter 151 or a violation of state or federal law or regulation. Staff completed site inspections on January 8th and January 29th and determined the following conditions were not in compliance. There were unlicensed or inoperable vehicles kept outside the building unless the vehicles are within an area screened from view and adjacent properties in the streets complying with the city code. The board reviewed the conditional use permit on February 5th and revoked the conditional use permit due to non-compliance. The property owner's attorney and the tenant, KME Auto Repair, each filed appeals on February 13th to the board's decision. KME stated in their appeal narrative the site was now in compliance. staff visited the site March 30th, 45 days after the appeal, and found nine vehicles without license plates, and one vehicle with registration from June of 2025 in areas visible from Hansen and Stage Coach Road. So, these are all unlicensed vehicles, which violates the city code. This one had flat tires, damage, rear suspension, wheel expired, expired registration. And then we also notice there's a uh oil spill here on the property because it was raining. It was pretty visible. So staff met with the property managers attorneys on March 30th and immediately following the site inspection. April 2nd, staff inspected the site again. Some of the vehicles on site without license plates now had license plates, but other additional inoperable and unlicensed vehicles are now added to the site. The property owner and tenant have not presented a plan or timeline to bring the site in compliance. Nearly two months after the board's review and revocation, the site was still not in compliance. On April 2nd, city council is tasked with determining if the board of adjustments and appeals made an error when they revoke the conditional use permit. Staff recommends the council adopt resolution R2026-055, which upholds the board's adoption of resolution PC 2026-00005, a resolution revoking the conditional use permit PC 2023-00006. >> Thank you, Mr. Kursky. Questions of staff? >> You said it was in a hearing, right? >> Councelor Contrarus. Sorry, I was just want I mean with >> in the microphone, please >> with the comment that it's not a hearing. I just wanted to know if the owner was here, but um I don't know if I would be allowed to ask a question if the owner were here. >> Is is there somebody representing the property here that would like to address questions from from the council? Thank you. Just please state your name for the record in that mic. >> I got to pull it really close. There we go. Um, good evening, mayor, council members. My name is Rya Smiley. I'm an attorney with Larkin Hoffman representing uh the property owner, Eugene Hansen, and I'm here uh regarding the appeal of the revoked CUP. Um, I'm happy to start answering your questions or go into any. >> So, um, just as of April 2nd, why is it still not in compliance? Um, I can actually tell you as of today it is in fact in compliance. Um, we were in the pro the property owner themselves wouldn't be able to move some of those vehicles because these were tenant uh properties. However, working with the tenant in the building KME repair uh they've been able to address all of the non-compliance um non-compliance on the site. So at the and on this very today uh as we visited the site uh there are no inoperable or unlicensed vehicles or uh expired licensed vehicles on the site. >> Okay. Any anybody else have any questions? Do you do you know if the uh property owner has a property manager type that kind of keeps the tenants on these properties >> accountable? Pardon me. >> Accountable. >> Correct. >> Uh yes. Uh there is a property manager uh who's also here today if you have very specific questions. uh but uh there is certainly someone who will be working very closely with the tenants and uh making sure that moving forward everything is in compliance. We acknowledge that there's been some issues in the past, but um the property owner, Mr. Hansen, takes all of these very seriously, hence my presence here today. >> I I guess I do have a very specific question. Why are the cars without license plates? Uh they were dropped off my understanding by um some of the customers I should say of the repair shop. Uh I'm not quite sure why exactly they the license plate was removed from them as they were in the conditions that you saw on in the pictures uh needing to be repaired mostly. Um otherwise they have again as I mentioned they have been removed from um the site and they're not visible from the corner and in compliance with the cup I can answer part of this >> my years in automotive u the way cars are built nowadays it doesn't take a whole lot to take a front or rear fascia off a car in an accident >> and uh that's where the license plate goes so a lot of times the license plate is not able to put on there But that doesn't mean you can't take take it off the fascia on the ground and put up in a window or something. Just to show that it does have current. >> I I I get it. But looking at the pictures, it's kind of like >> Right. >> Yeah. It's the banged up ones. >> Well, like this one doesn't. And >> that one it should have one. >> Should have one. All these over here. Nothing. Nothing. >> Yep. I don't disagree. Okay. Sorry, Mr. Lara. >> Um, Mr. Kurski, um, >> if we adopt this resolution and it's sending their conditional use permit, what are their next steps to perhaps get this back? Do they have to what what do they need to do? >> Mayor and Council, I'll leave that to the city attorney to respond to that. >> No, Mr. [clears throat] May council um unless it's something in the code that I'm not familiar with and might go I would know better they could reapply for a conditional use permit for you know the same use and I don't think it's anything that precludes them from um applying from another cup. I do have a couple recommendations is make I would make sure the uh ask the attorney if she has anything else to say other than just answering questions. she may have something else. And I'd be curious to know um whether her statement that they are in compliance is based on her personal observations or whether it's from another source. >> Okay. >> Okay. >> Would you like to answer that question? >> Thank you. Uh Mr. Mayor, council members, um to answer, I'll start from the last question. These are my personal observations. Uh I was on site today uh before the meeting to make sure that um all the uh non-compliance situations are addressed and what the uh status of the property was. And um to go back to what else I wanted to add if I may, uh I would say that a conditional use permit runs with the land with the property. Uh so it becomes a property right for the uh property owner. uh the type of use that this business has on the site is a use that is allowed through a conditional use permit in the district. So if the conditional use permit was to be completely revoked, the use will not be able to continue and the um conditional use permit for this site is vehicle repair and that will not be the business will not be able to um continue their business. Let let me correct you just a little bit here since I ran a business for 20 years automotive with a conditional use permit. The the item being challenged and the the reason of the potential revocation is not based on whether it's a a proper use in the proper zoning. It's for not adhering to the conditions that were agreed upon and accepted at the time of the conditional use permit being granted. Correct? So, the conditional use permit has conditions listed on it that have to be met um from the day that the that it's approved as a conditional use permit uh throughout its service. So if you were to sell the business to somebody else and and yes, you're correct in that the land use portion in the in the business use stays with the property, but them same conditions or maybe even more conditions or or less depending on what type of change would would happen would then come into play. So that's not what's being challenged. the the the permit was issued in 23 and the property owner and business had to be aware of what the conditions were over the last three years, right? And for some odd reason they there wasn't the oversight to follow the conditions that were part of the requirement of the conditional use permit. Fair statement. >> Fair statement. Absolutely. >> So the question now is why were they not followed? Uh I unfortunately cannot speak to way back when it was um uh when it was in fact the uh conditional use permit was given in 2023. As staff mentioned the uh non-compliance items were um they started to document them starting the beginning of this year. So it's not that the non-compliance goes back to the beginning of the issuance of the cup. >> Yeah. And I I wasn't implying that. I was saying that the conditions >> Yes. that are currently not in that were in non-compliance, right? The same conditions existed throughout the life of the conditional use permit. >> Yes, absolutely. Condition number 10, as Mr. Kurski uh mentioned, which is the there cannot be inoperable or unlicensed vehicles on the site. Uh that being said, uh because of that one condition not being met, then the entire CP can be revoked, which we are hoping that >> and I have a question for the property manager if he doesn't mind. >> Would you mind answering a question or two? >> You you should be able to pull another chair over there if you like. >> Okay. I don't have to give up my seat. [clears throat] So, it's your function to make sure that the tenants are following what the owner and you tell them to follow conditions of the permit. >> Yeah. And Elmer was actually supposed to be here and I have we have towed numerous of numerous vehicles from down there from them. But I know he does for Wallser and some of the bigger car companies and that's where they'll drop off vehicles then they take the plates off or whatever when they leave and that's kind of why a lot of the plates were off the vehicles but now he's realizing that he has to follow the conditional use or whatever >> and you weren't there to tell him that they had to do this as the proper >> I'm usually there about two three hours maybe a day But we got numerous where I'm usually picking up garbage or >> Have you been out for a period of time during this whole process? >> Yeah, actually on the 5th I had a severe heart attack. So it's uh on the 5th I was being carded off to Abbott before the meeting when I've been having heart problems before. So >> of no February. >> Yeah. So, you had a three or four-way bypass done? >> Yeah, triple bypass on the 26th. >> Okay. And so, you weren't able to testify at the planning commission meeting? >> No, I was. That's why nobody was there to represent him because I was in an ambulance going down to Abbott. >> Okay. Any questions for the property manager? >> All right. Thank you. Hey, councel discussion. What do you what do we want to do? Obviously, we want them in compliance. >> Um I I don't know that >> that may have one just one point. Uh this is also an appeal of the of the um the tenant. So, I think you should inquire to see if there's anybody here that wants to speak on behalf of the tenant because the attorney can only speak on behalf of the property owners. We want to be sure the record is clear. Sure. That we gave the tenant an opportunity to speak also. >> Very good. Is the is the tenant for this item here today? Let's see. That would be uh >> KME Auto Repair. Is there is there a representative for KME Auto Repair here today? >> No. >> Okay. And I'm not seeing any. >> Okay. Obviously, I don't like to put businesses out of business, but they they when they know what the conditions are, I mean, they need to follow them. You know, it's unfortunate that uh that you couldn't speak at the meeting. Um a planning commission meeting. Um Mr. Lar, >> but also too um the owner of KME could have been there as well. >> Absolutely. >> And he could have been here tonight, too. >> Absolutely. >> So, >> did you want to >> I I just you know, we're we're here to judge whether the board of adjustments and appeals made an error, >> right? Um this started January 8th and I know mentioned on the February 5th and again on March 30th um it was still not in compliance and so it seems like there's a disregard for the conditional uses. Um >> obviously a breakdown somewhere no pun intended with the cars. So with that, I'll make a motion to adopt resolution R 2026 TA tax 055, a resolution upholding the board of adjustments and appeals decision to revoke the conditional use permit for vehicle repair at 8610 Hansen Avenue. >> Second, >> second by Mr. Delaney. Discussion on the motion. >> Yeah, I just follow up with discussion. I mean, there's certain conditional uses. This is an environmental concern with leaking gas. And then of course a public view of uh of the area um and and a disregard for uh for our staff. And I don't have have concerns when we would uh go around our board of adjustments on something like this that that's why >> they're a body. >> Yep. We do have the ability to overturn them, but uh we do have a motion in a second. Any other discussion on the motion? I have a question for staff. If if this group came back in to get another um conditional use permit, would this is this would this property be allowed to fence in on that corner? Obviously, it'd have to be set back. >> Mayor and council, there's some setback issues. They're on a hard corner, so it would be difficult. I think that's one of the issues. Um, further down that street, the property is all fenced off and they do have a significant amount of interior storage. >> Okay. So, >> they could be dropping off the inoperable ones in the fenced in area and problem. So, >> or mayor and council, they could expand the to the rear of their building and put a separate, you know, screened area in. >> Okay. All right. Any other other discussion? [snorts] Seeing none, all in favor say I. >> I. opposed. The motion passes. Item 11B is an appeal of the board of adjustment and appeals decision of revocation of conditional use permit at 1555 Mars Mayor Street. Mr. Kursky, floor is yours, sir. Mayor and council. So again, this is the appeal of the revocation of the conditional use permit CUP for exterior storage at 1555 Meris Street. The board of adjustment and appeals approved a CUP in 2024 with five conditions. Condition number one was storage of both semi-trailers and semi-truckss not affiliated with tenants of this building uh would not be permitted. Condition number three was storage area must be paved and vehicles stored on the site must be both licensed and operable. Staff visited the site in January 8th of 2026 and informed both a representative of the property owner and the property owner of violations involving unlicensed and inoperable vehicles and a semi-truck and trailer not affiliated with the tenant of the building. Staff informed the property owner that the board would review and potentially revoke the cup on February 5th, 2026 if the site was not brought into compliance. Here's kind of what the site looked like back in January. Again, uh if you remember, city code requires these dumpsters to be either in an enclosure with a roof or inside the building. >> What excuse me, what year was the conditional use permit given on this property? >> Um 2024. >> Okay. >> And I I'll say um the property owner we've had issues in the past with. So we want to make it really clear on this cup that we would have conditions for instance for semi-trailers and semi-truckss that they had to be affiliated with the business. They weren't being stored on the property. So that was one of the reasons why the board put this condition on. So again, here's vehicles uh expired tags and damaged. Clearly a semi that's not affiliated with the business that's being stored on the property. Inoperable semi-tractor trailer not associated with the building tenants sitting in the back. Expired registration again the dumpster transmission fluid spill on the 29th. Inoper inoperable vehicle with the engine being dismantled on the site. Expired registration. No registration. And so staff visited the site January 29th and again saw unlicensed and inoperable vehicles. City code section 5151.001J allows a board to revoke a permit upon violation of any condition of the permit requiring the city code 151 or violation of state or federal laws or regulations. Staff completed site inspections in January 8th and January 29th and determined the following conditions were not in compliance. Condition number three, the storage error must be paid and vehicles stored in the site must be both licensed and in and operable. The board reviewed the conditional use permit on February 5th and found the site not to be in compliance. Property owners attorney filed an appeal of the application on February 13th and state that the property owner is committed to responsible property management and timely compliance. Staff visited the site March 30th, 2026 and again found unlicensed inoperable vehicles on the site and dumpster outside the trash enclosure. Staff met with the propagary attorneys in March 30th were not presented with a timeline for compliance. Staff visited the site again in April 2nd and again saw an unlicensed inoperable inoperable vehicle in the dumpster without a trash enclosure. So March 30th again expired tags. Expired tags. Expired tags. Dumpster sitting outside. At least it's not overflowing, but it's supposed to be in the building. So, I think one of the issues we're having here is this is more than vehicle repair going on. This is kind of a salvage operation and it was never considered as part of their original CUP. And that was one of the concerns of the board at the time that that would not occur. So, um, we would support the board to, um, supporting the board's revocation of this permit. City is tasked again with determining if the board of adjustment appeals made an error by revoking the permit. Staff completed site inspections January 8th, January 29th, March 30th, and April 2nd. in term of the site was not in compliance and we would ask adopt resolution R2026-056 upholding the board's adoption of resolution PC 20226-007 revoking the conditional use permit resolution PC 20224-00005 >> Mr. Mr. Kursky, was there contact made during any of these inspections with anybody on the property so that they knew that this was an issue? >> Mayor and council, we contact the property owner. It's their job to police their tenants, not the city staff. >> So, so the first visit was >> January 8th, January 29th, March 30th, April 2nd. And the most recent visit, >> staff found people on the property that own some of those trucks looking for the operator because they don't have keys and they wanted to pick up their trucks. >> So, what date was the property owner notified of the problems? >> Um, back in January. >> Okay. Question staff with the last comment you made. So they were looking for the person who operates the shop for the keys. Sorry. So it was unattended. I was I'm trying to understand that. >> So So mayor and council, some of the owners of some of those vehicles were there trying to pick up their vehicles or they had dropped off their vehicles for repair. >> So again, this is not supposed to be a vehicle repair situation. This was for outdoor storage, not vehicle repair. and they were asking city staff where the owner were was because they want to get their vehicles and they had dropped them off and they didn't have their keys. >> And this was during business hours, right? Just to make sure. Okay. >> Okay. >> Mr. Kursky, I'm sorry. I'm not seeing who the operator is in this memo. >> Um I think Go ahead. tenant, I guess you would call it. >> Yeah. Mayor, council members, uh there's this is a multi-tenant um building. So, there's Elite Trucking, there's Bum Repair, there is um uh the there is Oh my god, I'm blanking on it. >> Yeah, Biffs. Well, and then TK uh that are all operating from the same is a multi-tenant property. >> Okay. but the tenant in charge of this mess. >> Um, so >> so mayor and councel just to make something clear here. So we had advised the owner of the property not to take out a cup for the entire property because we would run into problems. So some of the existing tenants on Thursday will have a hearing for their own cups because they would like to stay in the property. They are in good standing with the city. Um, BISF in fact is renting space now in the building instead of just storing portalets there. So, we're trying to get the property in compliance. This particular tenant was who the original cup went with and so unfortunately it's put everybody else in jeopardy and so >> we're we're trying to clean this up. >> The reason I ask is because I did offer the previous tenant that wasn't here an opportunity to speak and I'd like to say if somebody from so and so is here I wanted to get but I don't know who to who to ask. the tenant at 1555 Mor Street. >> Right. >> Okay. Very good. >> Go ahead. Any comments? >> Council members. Um I do want to add some context to the situation. Uh Elite Trucking and I believe that um what uh Mr. Kursky mentioned about people not being able to find the operator and this is the one problem tenant that we're talking about. We are in the process of evicting this tenant uh for a variety of reasons. Uh the eviction process unfortunately is not a quick process. It will take time. We have um made the notice and we are filing it. It has to go to court. So it's even though we have started the process, it will take a while. And though the cup may have originally been intended for this specific operation, it doesn't necessarily mention elite trucking as the holder of the conditional use permit. Uh so rather it is a conditional use permit belonging to the property and therefore property owner. Uh so we are actively addressing the problem tenant and many of the inoperable and unlicensed vehicles have been removed. But anything else that is left on site we unfortunately at this very moment cannot in fact touch because of the eviction process because these are considered um personal properties and by law uh the property owner cannot uh self-help and try to clean the site. So there is some uh judicial process actually that has to and steps h that have to be taken uh before we are able to completely remove this problem tenant. As m Mr. Kursky said the other tenants are coming forward with very specific cups uh but those will be associated with those tenants whereas this one is not necessarily associated with elite trucking. >> Okay. Anything to add Mr. Kerski. No pardon me, sir. >> You all good over there? >> Yes, sir. >> Okay. Questions. Okay. Wishes of councel. I >> make a motion we adopt resolution R 2026-056 which upholds the board of adjustment appeals decision to resend a conditional use permit at 1555 Mara Street. >> Is there a second? >> I'll second. >> Second by councelor Lara. So we have a motion by councelor Delaney. Second by councelor Lara. >> Discussion by councel. Any discussion from councel? >> No what it is. >> Seeing none. All in favor say I. >> I. Opposed. Motion passes. >> 11 D. Uh 11 C. >> 11 C. >> Appeal of board and adjustment. Appeal of board of adjustment and appeals decision on revocation of a conditional use permit at 1515 Mars Street. >> Mr. Kurski >> mayor and council. So the board revoked a cup resolution R2026-00005 exterior storage of vehicles associated with PRS Towing and Transportation LLC at 1515 Mirror Street property owned by Miris Street LLC Eugene Hansen due to non-compliance with six of the nine cup conditions. Applications for an appeal were submitted by Rya um from Lark and Hoffman here and Aaron Judish the applicant for the CUP and the co-owner of PRS Towing. So during a site inspection 330 2026 exterior storage area still exceeds the 20,000 square ft which was condition number one. Condition number two is that we're supposed to have a maximum of 30 vehicles. During the site inspection on 33026, staff observed 40 plus vehicles inside their fenced area. Condition number five was PRS towing and transportation shall obtain and maintain all local required um and state licenses and remain active with the office of Minnesota secretary of state. Aaron Judish, the CUP applicant and co-owner of PRS towing and transportation applied for a towing license in February. Whoever did not pass the background check completed by the Shakabe Police Department. Therefore, the license was denied. Condition number three is fencing shall be moved a minimum of 20 feet. Fence permit was issued to the property. So, that comp they are in compliance with that on March 24th, 2026. Um, submitted an escrow and a two-year warranty. The property owner has submitted a check and an estimate from a landscape company acceptable to the city. Condition number seven was no storage of scrap tires, car hulks, etc. During a site inspection on 30 3026, staff observed vehicle parts in the fenced area. So, just to give you some frame of reference here, if I get this over here. Here we go. So, this is the site we're talking about. One of the conditions was they had to move the fence back out of the sighteline triangle. Again, this fence was originally installed without a permit. It's also barbed wire, which is not allowed in the city. Um, so the non-conforming fence is the area in blue. They did uh the least area is this much larger area. So here's some pictures of the area. So boats, trailers, auto parts, tires, cars, um, in the back here, mobile home. So these are the site inspections from March 30th. So per city code again um city council must determine that the board of adjustment appeals made an error by revoking uh resolution PC 2025-06 which was approved as CUP for exterior storage of vehicles due to non-compliance only after revocation of the CUP on February 5th were any efforts by the CUP applicant or the property owner made to comply compliance will of all CUP conditions is not possible as the CUP for the applicant was unable to pass that require a background check for a towing license. Recent interactions with the Shaka Police Department brought forth information that the subject property was also being utilized as a residential dwelling uh by the CUP applicant and possibly others which is also not allowed by city code. And I will say this was a nicely a rough cup hearing because this applicant uh was operating there was no cup. Um they were asked to submit a cup, never submitted a cup. The Shakape Police Department visited them and said they were operating illegally. They then submitted their CUP, but it took about two months to even get to the state where they finally got their CUP. So this has been very staff intensive from both city staff and from the police department. >> Questions of staff? Quite the read. >> Yeah. I see they they're here to comment. >> Yeah. Um I had that. Um is the is there a representative from this business, Aaron Judish in the audience that would like to speak or take questions? No. >> Okay. You have a comment? >> Yes. >> I'd like to be consistent. >> Thank you, mayor, council members. Um again this is one of this one uh property the 1515 Maris uh this is one tenant that is a has been a problem tenant unfortunately um and with this tenant as well we are in the process of evicting uh the tenant from the property and with the fenced area that Mr. Kerski showed uh as I mentioned we are unable to move those vehicles and or anything that's in there at the moment until the eviction process is concluded so that at that point after the uh there is a judicial order then the sheriff can come and remove them if the tenant themselves doesn't remove it. Uh so at at this point I would say that um um at the very least and and unfortunately the timeline is very court driven uh and with the fence as well like we're unable to move the fence until the vehicles are removed and um with the trees and the um the fence which are kind of weather dependent activities to do and this would be the time to do it. So, um, we are asking that you reverse the board's decision and reinstate the CUP or at the very least, um, stay that revocation, uh, until the eviction process is completed and the property owner is able to move forward with the additional conditions. >> Thank you, >> Mr. Whiting. Why did the property owner allow a fence to be built on his property without a permit? >> And Mr. Mayor, council member, I unfortunately cannot speak to the when the fence was uh erected. Uh I'm unsure as to how that came about and whether it was the property owner or the tenant who went ahead and built the fence. the property owner has been trying to work with the tenant and again there's a lot of non-payments non-payment of rent actually but they've been trying to work with the tenant and help them during the situation to make sure they come to compliance and as it became clear that's not going to happen is when we move forward with the eviction. So I'm I'm sorry that I'm unable to provide more information from the time that the fence was erected. >> You have another question. >> Yeah. Was the property owner aware that someone was living on the property? >> No. >> Okay. >> Mayor and council also there was never a CEO obtained. So there was never a city inspector who went out and checked to see whether someone was living on that property. So that 1515 address does not have a current certificate of occupancy. And also last um Thursday when we visited the property, there is still a towing operation in process. There's another company that's not licensed and not on this agreement that's operating out of the property right now. >> So, please >> if if I may respond to that um to what Mr. Kursky mentioned, we visited the property again today. Uh those signs have been removed and there isn't any visible signs of an a business operating at the moment. there was uh when the previous photos were shown, but uh the PRS towing sign is gone and the other business that they mentioned is also gone. So, we are actively working on bringing the site to compliance. >> Mr. Kursky, I have a question for you. Um >> Yes, sir. >> So, these properties that we've revoked the conditional use permits, uh one of them already is, uh gone through the eviction process. Are we going to hold enforcement once we receive the documentation showing that the courts are going through the eviction process? >> I I missed your >> Are we going to withhold the enforcement until while it's going through the eviction process once we have documentation that it's actually going through that court process? >> Mr. Mayor, members of council, the resolutions you've adopted revoking the other two cups is effective tonight. It's is the as of today if those actions stand the cups have been revoked. >> I understand that. What I'm asking is since there's one of them two properties is in the uh eviction process in the court system and the court system under state statute doesn't allow the property business to go out there and move them at them things that we want fixed up. So the question I'm asking is how do they not get in trouble for doing what the court says which we're saying there are permits. >> So so mayor mayor and councel on the second one that you revoked if you remember that was on the entire property. The tenants the other say better tenants have applied for their own cup and those will be heard on Thursday. So I'm not worried about them on this particular property. There's a whole layer of things here. Um, it's going to be a while before we can enforce it, but I don't think we want this business to continue operating here, period. And the fact they don't have a license, they shouldn't be even on the property. >> Right. I I I guess what I'm I'm really trying to ask is, okay, so you get you operate this business. You just lost your your conditional use permit. The city is telling you to do to clean these things up and a court is telling you you can't. >> Court is telling you the property owner can't. They can't. M. The council's action tonight doesn't prevent the property owner from continuing with the eviction action and getting the ability through that process to then eventually at some point get onto the property and remove the personal property that's on there. So, this action tonight doesn't prevent the property owner from proceeding with that. >> Right. We're not going to demand it's cleaned up tomorrow when the court hasn't allowed them to do that yet. >> Cor we're not cleaning it up. >> I think Yeah. I mean, I think ultimately whenever they get position, we're going to make them clean up the property. >> And I think they're they're going to do that when they get the ability from the court system to do that. >> Is that correct, David? Okay. >> It's not preventing the the towing people to clean it up themselves as well or get rid of >> I don't know the answer to that. Well, I mean, >> uh, mayor, council member, theoretically, yes, the tenant can go ahead and move their own property. Um, but we we can't necessarily um be sure and we want to make sure that we eventually um are able to comply with all the conditions and until the eviction process is complete, the property owner is unable to do that. >> That's what I >> But the tenant certainly can. However, um I can't speak on their behalf uh of any kind of timeline or ability. Um and I I wouldn't want to. >> Okay. >> Thank you. >> Yes. Thank you. >> All right. Any other questions? Staff >> wishes council council contriers. I'll make a motion to approve resolution R2026-059, a resolution upholding the board of adjustment and appeals decision to revoke the conditional use permit of exterior storage of vehicles at 1515 Mar Street. >> We have a motion by councelor Contrus. Is there a second? >> Second. >> Seconded by councelor Delaney. Discussion on the motion. Discussion seeing none. All in favor say I. >> I. >> Opposed? Motion passes. >> Appreciate you being here tonight. >> 11 D 11D final plat crossing seventh edition. Mr. Kursky, >> mayor and councel. >> So this is the uh property in question outlined in the yellow on the screen here. So applicant is Steve Sulttow with Shakabe Crossings. The site is 4.63 acres. Property owner is Shakabe Crossings Limited Partnership. It is B1 highway business and the comp plan is for mixeduse commercial center. The proposed plat is to subdivide this one parcel into four parcels. Proposed McDonald's restaurant building permits currently under review. Lot two is a proposed multi-tenant building. Lot three is the existing Sherwin Williams building. And lot four is a proposed multi-tenant building. No additional public streets or new access is required to old carriage court. The lots will be served by an existing and future private drives will also connect to the lot to the north which is Good Day Car Wash and south of the site which is Chick-fil-A. So here is the actual plat. And again um this has been fixed. the uh final drawing um mayor and city attorney will sign will have the proper seventh edition. So here is kind of the site layout. So the bottom right of your screen is the existing Sherwin Williams. The upper left is the proposed McDonald's. There is a proposed future multi-tenant building on lot two and then a proposed multi-tenant on lot four. So here is the proposed multi-tenant building. So Sher Williams is ghosted off to your right. And so staff's uh recommendation is adopt resolution R2026-0057 for the preliminary and final plat. >> Questions of staff? Mr. Whiting? >> This was like gave us a little bit of a first blush on this when we talked about the Chick-fil-A, I think. And uh um but I didn't know McDonald's is going right next door. >> Feeling like McDonald's. >> It's it's going to be f fast food alley. >> All right. Well, all good. No other questions. >> Question. Staff >> wishes the council. >> Mr. Lara, >> I'll make a motion to adopt resolution R2026-057 approving the final plat. >> Is there a second? >> Second. >> Councelor [clears throat] Contrus. Any discussion on a motion? Discussion on the motion. Seeing none, all in favor say I. >> I. >> Opposed. >> Motion passes. >> Getting her done, Mr. Sto. It's taking a while, but we're getting there. >> 11E. Amendment to Shak Public Utilities franchise agreement for large power users. Who is presenting on this one? >> Mr. Kursk. >> Mr. Kursky. >> Mayor, mayor and council tonight. >> Yes. [laughter] So I just wrote the memo on this. You had a good discussion. We tried to answer some of the questions um that came up during the joint meeting between Shakabe public utilities and city council. Um Greg Drent is here the general manager to ask answer any specific utility questions. But I think basically given the current capacity of the Shakabe public utilities network, we're limited to the number of large users that we would have. We did have a large user that um looked at an existing building that just got vacated um on Fourth Street and our competition was basically Woodbury and us. Woodbury is an Excel territory and for large users they were able to provide a fairly attractive rate for them. We still haven't heard whether the rent um potentially here offset that, but we're still waiting to hear. that would be a um potential automated um shipping s uh company for a national retailer. So there are people out looking in the market. Um and over the past two or three years we've had an any number of um small and large data centers have looked at Shakipi, have looked at building new buildings, have looked at existing buildings. Um so they're out there. the smaller ones have been kind of forced out of the some of the cities because they're rarely relying on the mega data centers. We already have one small one here so that is attractive for some of the other smaller data center users. questions of staff >> and I would point out the smaller data centers are one of from a staff requirements is that working with Shak Shakabe public utilities is the generators that they would have would be inside the building and any mechanical equipment unlike the current data center where they're on the roof would be in the back enclosed in either concrete or otherwise so they wouldn't disturb anyone but the smaller ones um typically use 20 to 25 megawatts of power. >> Okay. My my concern is the same. We want to increase demands, but yet the the capacity is is limiting. And we're we're limited on on total capacity because the state of Minnesota has got this idea that we're going to be 100% green use by uh production by 2040. And now I see there's some softening on nuclear which is I mean we really need to have an all of the- above energy strategy so that there's enough power to go around for everybody because when when when demand is greater than capacity that supply and demand we all know how supply and demand works right there's very few widgets and everybody wants them. The price of the widget is very expensive and I'm concerned it's going to drive up power cost. uh to the people, the residential, which is really, you know, we want to try to keep households affordable, but if you're driving up the energy cost for residential by using what capacity you have for big giant energy users, uh, and there's no extra capacity in the system until the state, you know, allows all of the above energy. What do you do, Mr. White? >> Yeah, I echo some of the other concerns and I wanted to try and articulate them well tonight so you guys understand where I'm coming from. But even though this isn't a mega data center and I think if we carve the data centers out somehow, I'd be better. We really can't do that. But there are immense power consumers and they strain the local grids uh drives up the residential utility bills. Um there is noise uh from cooling towers and uh most of them have extra generators. So when the peak demand comes they can kick on their generators. So you have noise pollution, increased air pollution from those generators uh from backup generators. Uh massive water usage if they're water cooled. Um minimal local employment. Now most of our uh economic development is geared towards employment and these don't have a lot of employees. It shifts cost to the residents. Uh you know and and of course uh with the air pollution and noise pollution uh we're also considering climate change with the energy usage. Uh it has a large industrial footprint for some at least for the mega ones and so do the the smaller ones are pretty good size. U environmental injustice impacting the air and water quality. Severe political backlash just so some of you guys know that. Um it's and there's a lot of opposition out there to AI and that's what a lot of this is pushing uh these data centers are for and it's it's been very well documented uh at least communicated out there of job losses that are associated with AI and that's why the opposition um data centers are propping up coal and nuclear power like you're mentioning because of the need for power. uh federal government's already shelling out 8.9 billion dollars of our tax dollars even though it's federal, it's not city, but it's still our tax dollars. >> They only got 40 trillion of debt. Right. >> Right. Right. Uh and it you know what AI and these data centers are imperiling the entire US economy. Uh I'm not opposed to change and I know AI is moving along swiftly uh almost too swiftly if you guys want to have jobs in the future. So, I would like to see um I'd like to see the Shaki public utilities grow into the XL area and uh potentially gain some uh users that way. Uh but I'm not going to entice data centers. >> Do do we know if uh if the natural gas fired turbine that XL has out here, is that considered green? Not natural gas, >> not carbon free. >> No, I think I think one of the one of the things we're it's carbon free is so nuclear is carbon free because it generates no carbon >> wind generation. >> Yeah. >> So, so we're we're really looking at wind and solar >> uh and nuclear >> is carbon free. >> Well, last meeting we could talk about that, right? >> Nuclear is carbon free. >> They're loosening up on that. >> Yes. But the existing nuclear that is on the system is carbon. >> So how do we increase how do how do we support increasing the demand on the system when we can't make the system bigger because what they want us to make it bigger with isn't efficient enough to do that. >> Um I don't know if I understand your question. That's the system can handle um some additional capacity that's on it right now. um and depending on what what comes in um needs proper transmission approvals. There's 345,000 volt lines that run through the community as well as 230 volt KV lines. So that also go across state lines and so um you have to have proper approval with FK and and MYSO and that to get interconnection of some of these um very large users. um the the the type that we're talking about here in this this agreement is something that's on our distribution system. We don't need additional approvals. We already have the capacity. We have the transformers. The transmission system can support it. Um we don't need those extra capacities uh for some of these users. Um I think that the you know we're just looking to have an equitable and fairness and I I don't [clears throat] disagree that that it is a supply and demand but also if you can sell more kilowatt hours as a utility we can distribute all of our cost along amongst all more kilowatt hours which in turn will try to help us control costs for for the residential customers. Um, so if we don't have additional kilowatt hours and our neighbors get these kilowatt hours and the transmission system does increase, we don't have any more kilowatt hours to to distribute those costs are, you're going to see even more of a of an increase. If if the transmission system is is um supplying that and it is an upward pressure. So the more kilowatt hours we can get on our system, it is the better for our system. as well as um as you know um with all of our businesses we we do give back 6% back to the city and this one would be you know for the first million and a half and then it reduces down to one. So, a a business um you know that that is a large user could be anywhere from 16,000 to 30,000 a month that goes back to the general fund which then helps control taxes in this community which I think is super important for the the the rateayers as well as the tax base for this community >> under the 2040 carbon-f free plan. Do you know if the XL station out here is going to be shut down by then? >> I have no idea. I >> They just did some upgrades. I severely doubt it. I mean, they just did major upgrades >> for stability. >> Mr. Delaney. >> So, the pilot's just another tool in our toolbox to track businesses. It's not saying we're going to go out and pull in a data center or pull in any other type of industry. It's just basically saying it puts us competitive with Excel and other other cities. >> That is true. And and through the Minnesota State, we have an obligation to serve. So if a customer comes in and requires a certain level of service, we have an obligation to try to serve that customer. Um and uh obviously if we can't serve them because the transmission system can't handle it or distribution system can't handle it, we have have to have those dialogues to us. But if they come to us and say we want this amount of load, if there's a way for it to do it and we have to give them the cost to it, we are obligated to serve these customers. So um it's just how we have to operate as well. >> Council contrares. >> Sorry. So just piggybacking on that. So if we say no because we're like so worried about data centers coming, right? If we say like no, well we don't want this. We don't want to approve this tonight. Well, we're closing doors on other businesses that potentially might want to come that are not data centers, right? I mean, >> absolutely. [clears throat] And also this also when we are concurrently under a service territory um trying to get some service territory right um that we'll have some larger users and this will be able to help us be have an attractive rate once we do those because that current currently Excel has this competitive advantage over the utility >> right okay Lara >> Mr. Drent, um, if I recall from our joint meeting we had, um, you it was mentioned that we are not capable of handling the same type of data centers that other cities are being asked to consider like Egan, Rosemount, like those big giant ones. We can't handle those >> on our current distribution system. We cannot handle them. Correct. Um that would have to be um a new study that Excel whether the transmission system could handle it and then whether permitting is there and stuff. But we on our distribution system we cannot handle any of those large scale data centers. These the or businesses like this one that that we that is interested in coming to the community is in 150,000 foot building that it's an empty building and we've getting zero revenue from it. Right. Um, so the this is one of those things that if we can fill some existing buildings, I think that it's great and and if it comes alongside and we get some good electric load from it, all the better for us as a utility and I think that helps control costs for us in the future. >> Is uh I don't see anything in the documents that that limits size. So you're saying we don't have the capacity for a 100 megawatt data center. >> Correct. But once we adopt this, if we if all the upgrades are made and then the capacity is there, then we could potentially have that. Correct. >> Um if well we we currently we would have to have uh a study with um which is usually about to get a new substation hooked up to anything sufficient. Obviously, you know, we're going through that on the east end is about 6 to 8 years process to get a new substation and most of these companies that want to come need power sooner than that. So, very large things cannot happen in a timely fashion because it takes so long to build these substation out. That's why we're planning one on the east side for the future growth that we think that could happen in 8 to 10 years. Um we're we're still we we approved a transformer last night at our meeting. Um with two years out on a delivery of a transformer and now we got a control building. We're really three to four years out before we can actually have anything built um in order to do it. So I I understand your concern. Um and I'm not saying that it could never happen because we would have to go through the study. But if the study happened and then all the upgrades that need to happen, it is not a short process at all. >> Okay. And and I'm reading here where it says likely size would be 25 to 50 megawws and the current network may be able to support three facilities systemwide. So 50 time 3 is 150 megawws, right? >> 325s. The max we could support on our system. >> 325. So this is inaccurate. >> So it's it's 325 megawatts. I think that was the intent of it was 325 megawatt. So on our system I didn't know our system like the back of my hand. We cannot support 150 megawatts. We just cannot do it. We would not have redundancy. We're not going to jeopardize our current system that way. We can support 325 megawatt systems on on our system and be able to have corre correct backup and and have electricity flow properly and make sure we have redundant feeds. That's just the facts. >> What's the largest single user you would allow right now? >> We don't have a cap of a single user that we would allow. >> So 100 megawws could come in. No, no, because we can't support that. >> Okay. What What's the largest single >> that you could supply? >> Depending on depending on our depending on where they're located in our system um out of one trans one substation like for exist existing one Dean Lake could we could support a 25 megawatt customer. We could support a 25 megawatt customer out of our Pike Lake substation. Those are the two with some with some additional transformer capacity. We could maybe have one more on our system, but that's probably a couple years out before that could happen. That's really the maximum that we could we could have this. And on our east side, once we get that system up and running in in 3 to four years, if we had a good 10 to 15 megawatt user out there, we could support that, but we couldn't support we're only putting, you know, it's just not just don't have the right enough capacity on that side. So really, we're looking at three besides regular growth. So we have to we have to reserve capacity for regular growth that we know that this community will grow. We grow about a megawatt a year on just natural type growth. Sometimes a little more, sometimes a little less depending on what customers we have just with residential growth and talking and stuff like that. Um so we have to reserve capacity. We obviously know we have Canterbury that we're working on very very closely with Mr. Kursky making sure that no matter what the developments happen in Cantonbury if the gravel pit some something happens there we need to reserve capacity for that. So besides those reserve capacitor we have about 25 megawatts at there and we have 25 megawatts at Pike Lake and on the west side obviously we built a substation out there. If we get a nice user out there we could support uh 25 megawatts out in that area. Other than that we don't have spare capacity. >> Okay. So would you have a problem with changing the wording in here saying that from 10 to 25 this rate would apply to 10 to 25 megawatt users? >> I I would say the only the only concern I have is is um how do you um how do you specify what so like for example we have lots of them that have several um connection points um in one building. So do you say it is per connection point per building per parcel? I think that's the that's the the crux of some of that. So, um >> well, it doesn't matter because the total building can't be over 25 because you your system don't have the capacity. You already told us that. >> Unless we feed from two different substations into one area, >> which would be >> I said I said there's substation we could feed 25 substation here, 25 out of this one. So, um you know, if >> So, you'd say no to that proposal? No, I I said I would I would said we have 25 out of Dean Lake and we've got 20 life five out of Pike Lake. If if somebody's willing to put the infrastructure in place into one location, I would support that, but I I can't go any more than that, more than 50 in in a location as as we've talked about. >> Okay. So, I was looking at 10 to 25 for this rate. And then I was also looking for a rateayer protection pledge that this wouldn't increase residential uh rates even though they may come from other sources. >> Wouldn't it excuse me, Mr. Mayor, if we peaked out y >> because we had >> another big user, wouldn't we be adding more to uh be buying power? I mean, some of those higher rates that you pay for uh >> bulk purchases, >> extra extra purchase at a higher on a hot day in the summer. Uh wouldn't our residents end up paying more? >> Well, I mean, so there's there's a couple things there. I mean, I we have a wholesale power contract with our Minnesota Municipal Power Agency that that that is in charge of the wholesale power getting us the stuff. So, we we have we have regular meetings with them telling the load that we're going to have on our system. um if there's some upward like you had if the scenarios you had pushed on us says that the transmission system now is elevated some um can I guarantee that if this is here versus not here I think if there is upward pressure because of data centers there those costs will get passed on no matter what right I think that the the the benefit of having more kilowatt hours on our system is now we can we can spread those cost amongst more kilowatt hours which then will control cost um for that. So, I mean, I I can't like I say can't I there's no guarantee on rates one way or another from our wholesale power supplier. I don't disagree that there's a supply and demand and could there be some upward pressure? Sure, there is. Um, but I also think that if it doesn't happen in this community, it's going to happen on the transmission system in Minnesota in one of our neighboring communities. And the same pressures happen that you have some upward pressure, but yet we don't get the benefit of getting revenue from this and then expanding our cost amongst a much more kilowatt hour base. >> Our our west end is still growing and you mentioned that organically we're maybe increasing about one megawatt per year. uh we have a semi, you know, a good business that comes in that's using a lot of power and employing a lot more people uh than a data center. Um have we looked at the growth potential of the West End and and our needs out there in our capacities? >> We've looked at West End um east end redevelopment center part of our community. We look at that every day. Um there's no doubt about it and and we can we can support this. We could I think this thing is is also what we're talking about is whether this body wants to support a data center or not. I think this is a fairness issue with this resolution that we're looking at passing is as a fairness issue on we're trying to compete to get some businesses in here whether it be a data center or anything else and our competitor can have a rate that's lower than what we have to pay. And that's that's a fairness issue >> and that's why I brought up could we write in here users between 10 megawatt and 25 megawatt this is what the pricing would be and you said no to that. >> I I'm I'm I'm saying that it's it's tough for us to to uh you guys can vote on whatever you want to vote on, right? I don't I'm just saying that I I don't think it's fair that one business gets to do >> that. addresses your immediate concern that you've been raising that you have these users that are we could handle 325s on the >> on the system >> and they would then be handled from a fee structure also. >> Then if something came in that wanted to be a 100 megawatt it it's a whole new conversation. >> Yeah. I think that the only other thing would be is is if we have a building that we can feed from multiple directions, how do you divide that up? That would be my only other discussion point. So, um, >> Mr. Delaney, >> at that point, you're constraining who coming into your city that you're you're limiting businesses with the pilot the way it's written now, you're basically it's just opens the playing field. We're not doing anything different from other cities or Excel or Minnesota Valley. We're basically just now saying we want to have that that capability to I guess make make this an option. >> We would like the utility to have the same deal essentially that is currently offered to Excel Energy. >> Exactly. >> That's all this is. >> Except >> we want the utility to have the same opportunity as XL Energy does. >> Yep. you you basically have to separate out the business that may come into this and what we're [clears throat] trying to do here. The pilot is separate from a data center, any other business coming in trying to get on our grid. >> Well, I I disagree because if you pass this, anything over 10 megawws five years from now that comes in maybe you have three or four or 100 megawatt, right? They're going to fall under this the same agreement. >> Yeah. >> Right. They're going to pay 1.5 and 1%. >> Correct. >> Yeah. That just makes us competitive with the other utilities and other cities. >> And and if this same business went in your Excel service territory that currently is on some of the warehouse open warehouse buildings, you would get uh 3% for the first $950,000 and then you would get a half a percent and you would have nothing to say about it because that's your agreement. >> So we're asking for twice as much. Mhm. >> We're going to give you twice as much and having and and being able to give that back. So, no matter what the business is, I think that's that's the crux of it. >> All right. Any other questions of staff? >> Okay. Wishes a council. >> I make a motion we approve the amendment. >> Is there a second? >> Is there a second? >> I'll second. >> All right. >> Question. We have a motion by councelor Delaney, second by councelor Lara. Discussion on the motion. Mr. Dwayne, >> is it a conflict of interest since Mr. Delaney is paid by the shock public utilities for him to vote on this? >> Mr. Thompson. >> Uh, Mr. Mayor, >> no. Council Delaney is appointed by this body to that body. This is agreement between two different bodies. >> This my can I respond? >> Yeah. So my opinion is not a conflict of interest for council member. >> We all have liaison roles and we all are have our fees that we collect from I guess being doing th those duties. So now you're calling into you're basically >> get paid the others are prediums but yeah >> asking >> yeah it's not a conflict of interest. So uh any other discussion on the motion? All in favor say I. >> I opposed. I >> motion pass 3 to two. >> Thank you. All right. Item Oh, leazison and administration. Uh Mr. Where did we start last time? I don't recall. >> I don't remember. >> All right, Mr. Delaney, you want to go first? >> Sure. Let's go ahead and kick it off here. 169 Coalition, we are finally getting toward the finish line. Uh we had a meeting today to talk about payments or refunds back to the cities um and other members. That'll happen about midy year. Website will go for 10 years. Historical society will get a USB drive with uh the website on it and that will be one or two final email communications. Um and that's it for 169 Coalition. >> Are we going to get like $3 million of dues back or something? >> Fortunately, we'll get like 2,200 um for Shakape. Then the smaller ones get close to 400 and some change. >> All right. >> Shaki public utilities which is one of my leazison roles. Thank you J for bringing that up. U we had election of officers pretty much. President Lerno is returning. Vice President Moll. And we have two new u supervisors. Ryan uh Hersonson is now the water supervisor and Brad Carlson's now electric supervisor. So um congratulations to those two. Well earned. >> Very good. Anything else? That is it. >> All right, Mr. Whiting. >> Uh 3:25 the MVTA board met. Uh I mean the the yeah full board met. Um we looked at a proposals uh and accepted a proposal for a new ERP system which usually that's your basically all your functions your your uh uh Mr. Reinhardt, I'm sure ears perked up because it's your your finances and things like that and among other things. Uh, >> uh, it takes years to get everybody onto that new system or at least a year. Um, >> but I think we're going with Oracle, so it's a it's a good product out there. We accepted a grant from Dakota County and another grant from Scott County uh for the Southbridge station and wayfinding signs, including QR codes. [clears throat] And then uh unfortunately I will be unable to get be at the swearing in of the firefighters because on April 9th is the ribbon cutting for the new uh garage MVTA garage. Uh so there's Burnsville. Yep. So >> if you can make both, we can probably do that. Unfortunately, it got scheduled at the same time. Uh but uh Representative Craig will be out there and uh liaison to Senator Clolobashar and uh Smith's offices among others. Uh and uh dignitaries and such. >> Council wants to grab that new building. >> Oh, they want that new garage. Yeah. Yeah. >> So do our mechanics. >> No shocker there. Anything else? >> That's it. >> Very good. Councilor Confr. >> Thank you, mayor. So, um there was multiple ribbon cutings. Unfortunately, I was only able to make one. So, I attended the proact um ribbon cutting. That was that's all I have today. >> Very good. Counselor Lara. All right. Today was the day of ribbon cutings as so let's see. This morning was the appliance store which is new. They're not new to Shaki, but they're new to downtown Shakipi. They expanded to a new showroom which I highly recommend checking it out cuz if you were in the old building, they transformed it and it looks phenomenal. And let's see, the second one was the new Gateway Town Homes. Um, again, um, toured those. Those are some fantastic rentals. Um, and if you do your research, that's some bang for your buck there. And then, um, lastly was the PROACT uh, ribbon cutting this morning. Then on March 18th, I attended the housing trust advisory committee um, through the CDA and that's regarding our LAA money. And so I just wanted to give some um report that they funded two loans from that already. And the first loan was for two uh two 22,700. They're doing windows and masonry. And then the second one was for 26,900. They're doing an AC, a furnace, two patio doors, attic installation, uh garage weather stripping, garage outlet repairs, demo removal of leaking shower, ceiling tile repairs to lower level and new gutters. So, um, and then, uh, just today I found out that they're closing on one more. So, but those are the type of projects that they're seeing applicants for, and I think that was kind of the projects we were kind of intending this to be for. So, um, and then if you want to know, our balance for that, um, is $69,94. >> Nice. >> Yep. >> Okay. Very good. Anything else? >> That's it, >> Mr. Reynolds. >> Nothing for me, sir. Mine is uh let's see the 26th of March met with the IWG intergovernment working group. It's Prior Lake Shakp Scott County Midawakatin. Basically Prior Lake told us about their projects that they have going on major trail project. Um a lot of 88 slopes and stuff that they're dealing with on that project. Um we went over our projects. We all know what our projects are. We're doing Mary'stown Road Riverbank stabilization. Um the Middlewakatan are opening up their >> what's the name of that >> dispensary? >> Yeah. What's it called? Flora something or other. I can't remember the name. Sometime in April anyway. And they're following all state laws even the changes that are coming out. So they're kind of what they told me was or us as a group was they're kind of targeting the medicable municipal >> medicinal >> that word uh side of things, not the recreational side, but I'm sure there'll be some crossover. Um April 1st, I did a uh press conference with Minnesota Department of Public Safety on distracted, impaired, reckless driving. It's it was about distracted but I added all three of them in there and on from my perspective um about safe safe streets in the community. Um Shaki police chief was there did a nice uh uh speech about safety of our community and how it's important. So I appreciate them being there for that. today. Obviously, yes, we did ribbon cutting triathlon uh appliance source. Technically, their store that they currently have is not in Shockby. It's in Louisville Township, >> but we call it Shock because it's kind of close enough, right? >> Close enough. >> Um they're going to keep that store. >> Yep. >> And because they do a lot of the repair work out of there. The downtown one is is more of a retail and you know they got this big nice may uh um under over the stove microwave and I was looking I couldn't believe the pricing was just a amazingly good pricing on some pretty good products. So that was pretty amazing. Um yeah very nice place. So wish them the very best. I know they're reputable and honest. had a problem with a dryer at my house years back and it was a little piece in the back for like 28 bucks or something. Um, Gateway Court that's up on Tyler Street attended that one also. And there was a really cool um, somebody was doing a really good job when they design parts of these things. The garage space attached garages, right? Mhm. >> So it's got I if you're at the garage door looking into the garage, it's got mechanicals here for half of the stall. So that space would be where your car would go and on the other stall, the mechanical's not there. So it's so much deeper that you can get your big suburban truck or whatever parked inside. Somebody was thinking a great idea. Absolutely blew my mind. It was awesome. um gateway court and I think they were what they say 2600 threebedroom most three bedrooms I think they said >> they're all threebedroom two bathroom >> pickle ball pickle ball court and something else up there >> fitness >> pardon me >> yeah all kinds of amenities and stuff so that pretty cool proact um attended the proact um >> earlier today this afternoon actually and uh you know what a great what a great thing to have in our community. >> It is >> um you know it serves a population that are very special and near and dear to to many of us and it was just really nice to see. It's nice to have in our community. So kudos I know Scott County is very involved in that. Kudos to everybody that's involved in that because it's it's very nice to have in a community. And I think that's all I have. City [snorts] bill list 12A. Questions on the bill list? I had a quick one on the council legal um bills and boy, we got a we got to get a better deal out of you over there, Mr. Thompson. Huh. >> He's got a coupon if you find it in the local newspaper. >> Get out of jail free card. Um I don't know if that was something special or if that's just all the meetings that he attends. Um news and announcements. Who has got the news and announcements? All right. Who did it last time? >> You did. >> Mr. Lar, you want to take the first one? >> Yes. >> It's a long one. >> All right. Let's see. Uh phase two of the Mary'stown Road con reconstruction project will begin on Monday, April 13th. This phase of the improvements includes construction of the roundabouts at Highway 169, South Ram, and Verling Drive intersections, and the bridge modifications. These intersections along with the bridge over 169 will be closed to all traffic during construction and detours will be posted for regional traffic and business park adjacent for closure area. Uh the 169 north ramp will remain open during the construction maintaining access to hy and top of park construction is expected to be completed by mid August. Visit marytownroad.com to learn more about the improvements or contact the engineer engineering department with any questions. Thank you, Councelor Contrus. >> Yes, sir. Um, cleanup day for residents of Shakipi, Louisville, and Jackson Township is Saturday, April 25th, 7:30 to 11:30 a.m. at the public uh works building, 400 Gorman Street. ID is required. And yes, I will check them. [laughter] >> See city websites for details. >> And it will be 70° and perfect weather, so be sure you come out. All right, I'll take the last and remind me folks, we'll start over here next time. Uh, tree sale pickup is Saturday, April 25th, 1 to 3:00 p.m. Shockby Public Works Building, 400 Gorman Street. See the city website for details. >> Can you still order trees or are they already ordered? >> Um, there are still some trees, but boy, >> they may be slim pickings at this point. >> Very good. >> Very good. Remind me we start over here in next meeting. Any other business >> wishes? Councel, >> I make a motion we adjourn till April 21st at 700 p.m. >> Is there a second? >> Second. >> Discussion on the motion. >> Seeing none, all in favor say I. >> I. I. >> Opposed? Motion passes. We are journ. That's pretty good, I guess.