Good evening everyone. With it being right at 6 o'clock, let's get started tonight. And Jolene, if you would do roll. >> Council members Ericson >> present. >> Larson >> here. >> Miller >> here. >> Valento here. >> Mayor Roberts >> here. And if you are able, please join us in standing for the pledge of allegiance. I aliance 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. >> Okay, council, we have an agenda in front of us. Is anyone willing to make a motion to approve? >> I'll make a motion to approve tonight's agenda. >> I'll second. >> All right, we have a motion, a second. Any further discussion? All in favor? >> I >> opposed. We have an agenda. Item five, awards and presentations. Nothing uh this evening there. Item six, open forum. This is an opportunity to anyone to speak to the council. Uh please limit your your remarks to about three minutes and when you come to the podium, state your name and address for the record. And first we have Jill Johnson. Good evening. My name is Jill Johnson and I've been a resident for Forest Lake my entire life. I'm here tonight to address the sustained failure of this administration to enforce Minnesota state statutes at 891 19th Street Southeast. For 51 days, this project has been allowed to obstruct the only fire hydrant on our block in direct violation of Minnesota statute 169.34. This past Friday, I called uh dispatch to report this life safety hazard. I have a recording of your responding officer admitting, and I quote, "Obviously, they can't be parked in front of the hydrant because that's a state law." Despite that admission, no citation was issued. Instead, while my driveway and the hydrant were blocked, a city official sat at his desk and told a concerned resident to quote, "Be in peace. It is impossible to be in peace." When the city authorizes work, it refuses to physically manage. And when at the same official ignores state law, from the comfort of an office, well, my family's safety is compromised. This lack of enforcement is built on a foundation of junk math and misrepresentation. This council previously signed off on a consent agenda memo regarding this project that contained blatant math errors. Those errors were used to hide the fact that this site sits at 30% impervious surface coverage, violating the 25% state mandate under Minnesota shoreland rule 6120.3300. While the city has been withholding my data request since December 19th of 2025 to hide these facts, the state of Minnesota is not waiting. I'm putting this council on notice. The state is already reviewing this entire project, including the junk math you were misled into signing off on. A formal request for intervention has been filed with Sheriff Dan Starry. Since local leadership has chosen to protect a private developer rather than enforce the law, the county will now provide the oversight you have failed to provide. Your insurer, the LMCIT, has been notified of your actual knowledge of these hazards. You no longer have the luxury of monitoring or telling residents to be in peace. You are operating with documented knowledge of state law violations and ongoing state level inquiries. I expect the law to be enforced tonight and the withheld data to be released immediately. Thank you very much. >> Thank you, D. Davis. That's hard to follow. I'm Denise Davis and I live at 86819th Street Southeast, which is right across from the build at 8919th Street Southeast. Now, the problem that we have, and Jill mentioned it twice now, knowing to me at this point, now I know we don't live in peace in this build. This house was oversized for this lot and the math and the facts prove it. So, what we've been asked to do is ask for a a a topog uh >> topographical. >> Thank you. as built survey that'll tell the truth about everything and it will also make us feel like the people on the other side of this build like our voice still matters and our taxpayers. We still pay taxes and it will affect three houses behind across the street from this build. One of the neighbors already is pumping water from their crawl space directly into the lake, which I don't think is actually correct, but they're saving their VBO and the income that they're getting from that by trying to keep their now crawl space dry because the house was elevated so much that the water just goes the wrong way. our way. Now, Jill, being as sensitive as she might seem right now, no, she's a angry mama bear. She's got a split entry. And the split entry provides a home for her two boys. She's a single mom that works very, very hard. And I'm one of the neighbors that sees what she does to to make sure she has a good family life for her boys. I'm just asking what I think should be expected and that is that special survey that'll really really tell the truth. How was this house built? And I know that north side of that house is wrong. There's like three and a half feet from one neighbor to the line and there's no 10 feet like Woodstep claims. And I like Woodstep, don't get me wrong. They've helped me a great deal, but I really think they would want the same type of survey to clarify what is actually being built. And this house is oversized. And I don't know if it was intentional or not, but it's oversized. Well, I think that's all I really really expect. But just note that we're human beings trying to survive and this is a survival situation because I've been in that I've had that property for over 20 years and I get to enjoy it right now and for 20 years all I've done is fight the wetland issues on that area of our neighborhood. So know that it actually will be affecting six homes for sure. So thank you. >> Okay, it looks like we have another issue here. I just want to say a few words on this. Um myself and administrator St has uh welcomed a meeting a number of times with the neighborhood there that been turned down and then we were told any communication further would be with an attorney. So that that still that that offer still stands to to meet. So if that but we're past that. I just want the public to know that this council is willing to listen to neighborhoods neighbors like this. So appreciate you being here tonight. Uh D Panial. >> Okay, great. Uh and Paul, I would assume the same. >> Great. Please come up. Because I am an active member of the Legion in Forest Lake and of course a veteran. I want to thank the city. I'm here just to thank the city for your involvement with the memorial that we've projected. And I'm really am proud the way our city is standing up for our veterans. And that that's all I'm here to do is thank you. >> Great. Thank you >> for your considerations today. >> Thanks for being here tonight. And then Ron Miller, that's part of the >> same. >> Okay, great. Anyone else like to speak to the council this evening? All right, with that, uh, we will go on to number seven, approval of the consent agenda. Anyone interested in making a motion? I'll make a motion to accept the consent agenda items A through H as on the uh >> on the docket. >> I'll second. >> All right, we have a motion, a second. Any further discussion? All in favor? >> I >> opposed. Consent agenda is approved. >> Right. Number eight, our first regular agenda item, Veterans Memorial Sculpture Agreement. And Kyle, I believe you might be starting this. Um we have the blue ribbon uh folks that are designing the veterans memorial sculpture to do a presentation here for the council tonight. Um they'll just do an overview of the whole process and then that will tie into the agreement that's attached to uh to the report. So um yep, Linda Linda Marsh, Pat Marsh, and Nick Lgeros and they'll introduce themselves. >> Great. Mayor Oh, are ready? >> Yep. Major Mayor Roberts, ladies and gentlemen. Uh, good evening. I'm Linda Marsh. I'm here with my artistic teammates Pat Marsh and Nick Lgeros back here. Let's see. Oh, how do you advance this? Oh, there we go. We're really excited to be here and talk to you about our background. Uh, show you some of our previous projects that we've done. U walk you through the process of how we actually go about making a bronze sculpture. And then for the real exciting part, we're going to have a little unveiling of our one quarter life-size model of the project. So me and my husband Pat are both veterans. And Nick Lgeros is a veteran of sculpture. He's been doing this for about 50 years, making uh public art and bronze sculptures for many public or private clients as well as uh public uh governments and schools and all kinds of different organizations. Now, Pat and I joined his team about six years ago, just before the pandemic. And so, we've been making sculpture as a team for about the last six years. So Nick is going to walk through some of these previous sculptures that we've done. So over to you, Nick. >> Here comes the song of dance. No. Um I'm pleased to be here tonight and thank you for taking a look at this stuff. Um this is Goldie Gopher. Um one of uh one of the two big school pieces I've done uh for the University of Minnesota system. Uh he's just over 7 feet tall and I believe that block of granite weighs about 7,000 pounds. Um I also did the glamorous days of uh air travel. Uh this was to celebrate the Northwest Airlines which uh became part of Delta and the shows of family uh boarding a jet back in the early days of the 60s when it was actually remember when it was glamorous to fly. you actually got dressed up and uh you served real food on plates, all kinds of cool things back then. We don't have that anymore, do we? >> Uh Sid Hartman, who uh actually got moved a little bit further towards Target Field after uh because they remodeled the Target Center. Uh Sid Hartman obviously is now gone, but at the time he was, I think, 91 when we did this piece. Um quite a character. Uh here's a project that uh ended up in Palm Springs. A family uh that uh I've done work for here in the Twin Cities and they had this lovely little place out in the desert and the two kids are running out of the desert and jumping into the swimming pool. Uh the Eagle's Next bench is down in Mapleton, Minnesota. They had built a prek through 12 school and uh their mascot was the eagles and so I thought it'd be kind of cool to create an eagle's nest uh so that your first day of school your child would be allowed to sit in the nest and of course when you graduated from high school you left the nest. Artemis was uh this was a private commission for a wealthy individual's backyard. And that's her little Bjon Fris dog. Uh that's curious about the roses in the hand of Artemis. And here's Champ. Uh and we put Linda in this picture for scale. Uh uh but Champ's a pretty goodized bulldog and he will scare small children. So to make a piece like that, we typically start with a model and that's what you'll see tonight as well. Um the model is really important. I think um it uh provides everybody an understanding of what what's to come. And this is usually done out of clay and uh in this case oil based clay and um you'll you'll see there are actually some differences between the model and the actual finished project because things change over time. uh for instance you notice he's now wearing pants in this claim and he has UMD written across his chest. So there were some ideas that came along during the process and I always tell my clients uh this is a process that goes on long enough and we're always willing and able to institute change. If we see something that would make the piece better we will do it. Uh we want this to be the best possible product. Um the armature uh that we build to begin is usually out of rebar and uh then that gets covered with clay and we model that out to the full form. Once the clay is approved and that's the next big step is once you get to see the piece the committee will come and visit the studio and approve the clay then we go on to the process of casting the piece in bronze and it starts with plaster molds over the clays that uh these are done in sections and they come apart and into those mold sections we pour wax and uh we go through what is called the lost wax casting process. So the sculpture then becomes a flammable material that we encase in a fireproof material and we bake the wax out. That's the lost wax part. And we melt bronze and pour it into that empty space. So that requires this network of arteries and veins away for the bronze to go in and the air to come out. And um the mixture that is fireproof is actually plaster crushed fire brick and silica flour. So, it's a very different kind of mold that uh we bake the wax out of. Oh, and we have this actually flowing into the mold. You look inside there, you can see we have chicken wire on the inside. And um the molds end up looking more like cylinders. And that gets baked at 12,200 degrees for 24 hours, just like my chocolate chip cookies. Uh bronze pour. Uh we melt bronze at a temperature of uh 1975 degrees and the molds are taken out of the kiln and packed in sand in our sand pit and then the bronze flows in. That's all for safety. We don't want the bronze to flow out uh break open a mold and flow over the floor. We um just use sledgehammers then to break open the investment molds. And I usually tell people that the casting uh and you're certainly all welcome to come down and watch the bronze pores. There'll be many uh for a project of this size and we'll try to let the public know about those opportunities because you don't always get to go and visit a bronze pore. It's kind of fun. We'll even let you swing a sledgehammer >> if you're good to us. Um I usually tell people that the casting is the halfway moment in the process. Um there's a great deal of finishing work that goes on. Uh the bronze has to be uh wire brushed, acid bath, imperfections ground, any holes filled and then the assembly process you can see it's done in many sections and then ground down so that the seams don't show. The patina work is done using chemicals and um that creates a permanent oxidized surface of color and then I cover that with a clear coat of uh of lacquer, a UV resistant lacquer and that acts as a sacrificial barrier in case somebody comes up with spray paint. Um we can just use a chemical to take off the spray paint and then just re lacquer. So uh saves a lot of maintenance issues. Oh, here we go. Grind away at that bronze and spray that lacquer. Keep forgetting movies here. This is such high technology for me. You can see the pins underneath the feet. Those stainless steel pins then are the um connector between the sculpture and the concrete underneath it. And those pins all have to be um we have to drill holes corresponding holes for those pins. And then we usually anchor that with um anchor cement or epoxy depending on the location. So you got to pack it up, crate it, crane it, and set it down. That's pretty close to what will happen here as well. Um I anticipate I mean this project was probably 17,800 pounds. Uh, I think this bronze will probably end up um around 2500 pounds. So, it's a good size project. And now let's move on to the design itself. Try not to knock it over. life size and I'll spin it around so everybody will get a good view of it model. So the finished product will be about seven feet tall. This will be about six feet here and then this dimension will be 5T. Uh it looks a little bit different than um the version that you may be more familiar with the version that is on the pamphlet and the version that was on the um >> yeah if uh it looks a little different than the version you may have seen uh either in the video the promotional video or on the pamphlets. The biggest thing we did was we've got uh a full life-size eagle. Uh instead of the small eagles that were kind of coming out of the either end of the um the bracket, the middle bracket, we've got these life-sized eagles and a lot of dramatic movement. These the wings are pressing against to hold up these collapsing walls. That's a an important part of the narrative. Um, the other big thing is we put the male soldier in combat gear. So, he is kind of saluting the flag pole, reporting in for his military deployment. And then we've got the female soldier kind of in one of these like welcome home scenarios. So, she's just coming back from her deployment. You can see she's being reunited with her daughter. So, I think we've got a really beautiful narrative that is going to touch a lot of uh a lot of veterans hearts. The uh the shape that the eagle is perched on mirrors the shape of the service sentinels that will be arrayed around the memorial. So, we're tying in other elements of the overall uh site into the central sculpture. So if you've got any questions, we are here. So you can fire away. >> Any questions? >> All right. >> Very nicely done. >> Thank you so much. >> Yeah, it's great. >> Yeah. Thank you for coming this evening. Kyle, >> absolutely. >> All right. So, um, then do we have >> Ron Miller would like to say a couple words too before we get to the whole agreement thing? >> Sure. Yeah, absolutely. Welcome, Ron. seconds here. >> Yes, we're really excited about doing that and getting the little bit of, you know, tweaking here and tweaking there and and they are just great uh artists and great to work with. Um, Linda, she grew up not too far from here, within a few miles of here. Um, related to Paul Panto actually. But uh anyway, so yes, it was uh it was great. It is great working with them. The um but I wanted I want to uh mention that we appreciate our partnership with the uh city and the associated opportunities that we've had for this and and there's there's little bumps and there's not all the bumps are all all flat yet, whatever. And Dave is working on that and Kyle's working on that and we're working on it. Um, we understand the investments involved in the outcomes uh that we've seen uh to date. Uh, and we're proud of our efforts to bring this memorial to life and we'll continue to support the effort through completion uh and beyond. Um, I think most of you know I'm the American Legion chaplain. I've got a meeting that starts at 6:30 there, but I'm going to go there and one of the things I'm going to pitch is u we've already on the Legion side and the VFW side they have uh you know given good amounts of uh of money for the project and we're going to ask some more for the um I'm going to ask for another 10,000 from for the Legion and ask that at the VFW also. Um but anyway, it's uh yeah, it has been been great and working well. Mark, did I forget anything? >> Yes. Yes. >> Okay. Very good. >> Thanks. Thanks, Ron. >> Yep. So, tonight before you is an agreement with that uh the group that build that sculpture and the city. It's just a agreement that we pay them every so often on milestones they hit and then final completion dates and all that. So, it's a pretty simple agreement between them and and us to make sure they get paid and we get we get a pretty cool bronze sculpture. Just looking for that motion to approve. And I forgot to say my name, Ron Miller, Force Lake American Legion Post Chaplain, and I'm the chairman of the of uh of the uh committee. Uh, one thing uh that u is going to happen soon because we as we're putting things together out there, the the pavers that we've sold for many years now, ever since uh 2009, actually, um the price is going to be going up because we used to get them with uh the engraving already in it. Well, the way the the way it everything's set up there um is the uh there's going to be blank pavers in the spaces of the ones that are not sold yet. So, like say for instance half of it or twothirds of it or whatever. Right now, we've got 43 pavers that have been purchased and we've got those in hand. For instance, I've got mine in the in the back there. uh the uh 8 in x 16 in is the large one on the table there and then the 4 in by 8 in is the small one. I'm going to leave those with with Kyle so at the city here have uh something that's people can look at and you know maybe during the day it could be out on the bench or the opening there uh or maybe not. Kyle's gonna make sure that it doesn't get left somewhere so that somebody can use that small one as a as a rock or something bad. Um but anyway, yes, uh we'll leave those there. And just so we're going to have to go somewhere around $100, um uh additional on the pavers because it costs so much more to engrave them where in place and uh and it's not as as neat either in the sense that you know you do it in a factory, it's you know it's not going to rain on it, it's not going to wind on it and whatever whatever. So, so the PA price is going to go up sometime soon. So, anybody that's home and looking at this and whatever, uh, if you want to get a PA, the small ones are $150 at this point and the large ones are $300 and you come to the city hall to um, fill out a little little form and put a little draft of of what you want, you know, the paper's name and whatever on it. Don't worry, that is just a draft because what happens then twice a year I receive all of those uh u orders blanks from Kyle and from the city here and I call up the the individual and say, "Okay, tell me about your veteran that you want to um that you want to honor. What are they deceased? Are they alive? Where have they been?" And whatever, whatever. And we finalize that. Uh, and that's what's going to be engraved. And once it's engraved, it's uh it's in stone. Yes. So, anyway, uh that's the process. And I hope that anybody that's on the fence wants to get it, they do it soon. So, because we're going to do is uh this Memorial Day, we're going to have uh an opening. It won't be the grand grand opening, but it'll be a soft opening because all of those pavers that uh will be uh in place. Um, and we'll have a a great little Memorial Day service and then uh add on some more later on. Anything else that Okay. >> Thank you. >> All right, council. Any questions on the agreement? >> Question for me. >> Yeah. Ron or the agreement? The agreement in front of us? >> Any questions? Easy, hard ones, whatever. Comments. >> I don't questions here. >> Nothing here for Yeah. >> Okay. Thank Thanks, Ron. >> Hey, thank you very much. Get my other >> anyway. The top line is typically uh person's rank, military rank and their name on the top line. The second line is is typically uh whether they're an army or whatever. they were in and then the what they did, you know, or they, you know, whatever it was. And then the bottom line is typically the the the date and then maybe the place. So, did they, you know, did they go to Germany, did they go to Iraq, did they go to, you know, whatever, Korean War or where. And it doesn't matter whether the person is a way back when World War I or whether it's somebody who's who's uh in place right now working. So all veterans and it doesn't have to be someone who has who lives here. It's somebody who some somebody that lives in Forest Lake area wants to honor that person. So, like say you have a cousin or an aunt or an uncle or whatever, they never lived in Forest Lake. Fine. You can honor them with a paper u here in Forest Lake. >> Just with the respect of the meeting, we're going to we got to wrap it up and go. >> I'm going to I'm going to make a motion to approve the proposed Veterans Memorial Sculpture Agreement. >> I'll second. >> We have a motion to second. Any further discussion? >> All in favor? I >> opposed. Motion carries. Right. Thanks, everyone. All right, next item. FL final PUD plat force lake north garage condos and Abby. Thank you, Mayor Roberts. Members of the council, tonight um included in your packet is a memo that notes Austin Halberg representing Halberg Marine has submitted an application for a final plat and PUD for the Forest Road North garage condos plat. Included in your packet though is not information about the plat um for a couple of reasons. Tonight we've scheduled a public hearing for the consideration of that PUD plat, but we do have some items that we're continuing to work through with the developer. We weren't prepared yet for your consideration of the plat. And so um a couple things tonight. Uh the biggest request is we're going to ask you to table that public hearing till February 23rd. We're not going to open the hearing. not going to take any comments. It would just be a single motion that is included in your packet. I can find that page number in a moment. The other thing um too as we've just been working through some final negotiations with the development is I wanted to just verify a few policy related items with the council. Um so a lot of the items or what what's really been the sticking point for this development has been the improvement and upgrade of Forest Road North. As many of you know, it's an underdeveloped road. It's not been built to city road standards. It was a gravel road with double chip seal on it. When the development to the north came in, um they agreed to pay for their fair share of that road at the time that the city's going to do it in a deferred assess or a deferred uh fee payment system. So when um Forest Lake Garage condos had come in, we said we could probably work something out there. So, as a reminder, the development would be required to put in the road and um in this circumstance, staff had said, "We don't necessarily think that's the best idea to have this one chunk of improved roadway in the middle." Um we asked them if they would pay for that road improvement now, but they had said we'd prefer not to because they know we're not doing that road right now. And so, they would also like to have an agreement very similar to um the property owner to the north. There's a little bit of nuance when we're entering into what I would call deferred development fee agreements in that if we're entering into one agreement with one property owner, it's a fairly simple transaction. We're going to assess that on the tax roles later on down the road and we'll just get our payments back over time. This is a little nuanced because we are looking at a a property that is going to further subdivide into condos which later on is going to have 150ish give or take prop different property owners and we're just setting ourselves up a for a little bit more what I would say contention later on down the road if we ended up deferring those and assessing those fees later. Earlier today, we did talk uh with the developer that we think that we have found some resolution and we can enter into a deferred development gree fee agreement. Um but I still wanted to just at least pose the questions to the council that I included in the staff memo of whether or not the council wants to continue to maintain that we'd like that road upgraded as part of this development. Um whether or not you'd want to wave those development requirements. In other words, do you want them to upgrade the road either by building for it, paying for it, or agreeing to pay later? And um if you are favorable to waving that, having a conversation about assessments. So, I think the first question included in your staff report was um the question of whether or not we want to require the improvement of Forest Road North at this time or wave those requirements. I will note the developer hasn't asked for this but as of last week before this memo had come out we were kind of a little bit at an impass and I wanted to at least start see if I was following the right policy line of this council not there was any sort of other development um uh incentives you wanted to help provide that make sense so >> yeah um all right council let's walk this one through and see if there's any thoughts or any direction we want to give. >> Yeah. I mean, I don't think we want to wave the requirement to upgrade the road. I mean, we'd want to at least have the similar agreement that we have with the business to the north, right? Versus just saying we don't need to upgrade it. Is that And that's your first question? >> That's my first question. Do you want to wave that requirement? >> No. >> No. >> Perfect. So then I guess the only other question is if um there is no other question if you don't want to weigh that requirement then we need to kind of work through the finalization of a development fee deferral agreement. I see Amanda shaking her head in that yes we think we can get there. Um the only other question though that I would have is we don't normally use assessments uh that later down the road and whether or not you'd want to look into that policy. As of right now, I don't believe we would need to, though. I think the developer is favorable to a pre-development agreement that would find the property and all future owners. Um, so we're with the hope we can get something back before you on February 23rd. Quick clarifying question. I say right through the packet. I had the sense that part of the impass was around the potential of having to spend money as a city on dealing with 150 future condo owners. Correct. So, is the work that you guys are doing kind of getting us over that hump of not having to deal with 150 potential? >> It will it will necessitate though some what I would say added administrative and legal costs later down the road. Every time the develop the site comes back to put a new condo plat on the property, we will need to do a a reassessment. We've talked through with the developers on the fact that they can help provide us with all the documentation that we would need, but we administratively would still need to verify that information, work with finance, work with legal to verify it's all legal before then sending it over to the county. So later down the road there might be some more uh staff time that gets a little more nuanced, but it would it wouldn't be um us having to work with 150 property owners later down the road. >> Okay. I'm just curious, what do we think the time frame is to upgrade this road? I mean, is the utilities there to support 150 condos that are all going to be using, you know, sewer services and such? >> Great question. So, as part of the development, the developer is going to be extending water line and sewer services to the properties. Um, the road is the only thing that wouldn't be proposed to be uh upgraded at this time. We have uh as an staff talked about um seeing about the potential inclusion of the road project in the discussions for 2027 budget and the 10-year capital plan. >> Okay. So, those sewer lines don't run under the road. sewer line will run and be a direct connect to the Met Council line >> under the road. >> Under the road, the water line will run parallel with the road. >> The sewer. >> So, I guess I'm confused. Does the sewer line need to be upgraded to accommodate 150 condo owners? >> No, they do not. They're connecting directly into the Met Council line. >> Okay. They will run perpendicular from there'll be a con like a that think of the M council line as the main they'll be stepping right into that main into their site. >> So then the only thing that I would need would be a motion to table the Forest Road North garage PUD and Plat public hearing till February 23rd. It's as easy as someone saying so moved. So, can I just ask one question? Um, >> sorry, I don't mean to rush things. Um, >> get up that easy. >> Uh, so we will be paying though our portion in front of what would be the airport property. Correct. >> Um, if the project is included in a future budget cycle or the 10-year plan, we would have to absorb those costs in front of the airport. I just want for clarity for the public that you know we're we're not expecting the developer to do anything more or less than what we're willing to do as well. So just so people are clear on that. Did you have something? Okay. >> I was just going to so move. >> Okay. >> I should repeat it. >> Aby's motion. The we have a motion to approve a motion to table the forest road north garage condo PUD and plat public hearing to February 23rd. >> So moved. >> Second. >> We have a motion, a second. Any further discussion? All in favor? >> I opposed. Motion carries. >> Thanks, guys. >> All right, we have next item here. airport items and Mark is going to lead us through a couple of these. >> Yeah. So, I think um number one on our list here is the lot lease rates. Um so, as you may know, the the there's a number of different leases on hangers at the airport. Um there's at least three different versions of it of a long ground lease there. Um so we sort of have to go to the common denominator of each of those and um one of the lease uh drafts or one of the lease languages says that we can look at lease rates every two years only and we need to do it to the March um airport commission meeting. Well, there was no March airport commission meeting. So we decided to move that to the February meeting and um presented that to the airport commission at their meeting a few days ago. And um then the other thing that the leases some of the leases talk about is using the CPI as a barometer for what is reasonable in terms of lot lease rate increases. And um so we looked at that. I think the um the only sort of point of debate here was whether or not the when we the lease when the lease says you should use CPI to deem what's reasonable is that look up of the and use of the CPI as an index in other words going all the way back to the beginning when the the lot lease rates were established and then using that index to catch up quote unquote or do we just simply look at the CPI as a rate an annual rate and use the most recent two-year period rate and apply that to whatever the existing lease rates are. Um, I think safe to say there was a difference of opinion between staff and the commission. Um, the commission ultimately voted to recommend to the council here that we look at the CPI as a rate and apply the previous two years CPI rate to the existing rates uh, land lease rates. And so um that would be the recommendation from the airport commission staff um is supportive of either really. Uh I think the tough part is that when you look at it as a rate and if there's years in which the council for whatever reason decides not to increase those rates, you don't ever have an opportunity to quote unquote catch up. And um also um staff would read the leases to say that CPI is one way in which we can determine what's reasonable. Another way to look at what's reasonable is looking at the costs of doing business and um you know again that catchup would maybe help with uh with that. Um however you know the nominal the difference here um over across 31 hanger owners or lot owners um is really not that large of a And I think um with the progress we're making out there, the airport's heading in a good direction. Um I I think it's perfectly appropriate to um take either one of these suggestions and move forward with it. Uh I think the total dollar amount difference between the two is going to be around $2,000. So that's just kind of in terms of scale of what we're talking about here. So again, staff would be comfortable with either. Um again, the airport commission did recommend the um use the CPI as a rate and um I believe we have the airport commission recommendation there for an increase to the non-commercial lease rate of um 12.3 cents um per square foot and commercial rate of 18.4 cents per square foot of land area that there lease premises. So with that I would take questions. A couple questions. I remember going round and round on this a couple years ago. Um, refreshment member, if you can, have there been two-year cycles where rates lease rates have not increased? >> Yes. Okay. In the airport commission recommendation of the 12.3 cents versus staff's recommendation of a increase this year and then in 2027, are they looking to hold that 12.3 cent per square foot static for two years then? >> Yeah. Um, however, in fairness, they're using a two-year rate of the CPI. So, I think it was 4 something% total, right? So, it's even though it's holding for two years, it's using the year, which is one of the things that didn't happen last time is we only used a one-year CPI index and didn't we need to set the rates for two years today because we can't revisit them until the even year again. Um, and so I I believe the airport commission's rates do account for that in the fact that they're using they're going back two years. >> Got it. All right, I'll listen to see what anybody else has to say. Anyone else thoughts, questions? Um, just a a couple things to to mention. Um, Mark, correct me if I'm wrong, but when we went through this process the last time, um, minutes show that the previous interim uh, city administrator had basically suggested the same thing that staff is suggesting with this. >> Yes, she did. Um the other thing is that we all just approved a runway extension, tax extension and some dollars that this fund cannot support. And so we're asking our taxpayers to pay that difference and the point that there isn't much, you know, $2,000, it's $2,000 um and which that fund needs. Uh so um just pointing those things out for for discussion and additional thoughts. the 2,00 is that uh the airport commission would be less their their their recommendation versus our staff recommendation. >> Correct. >> So if we wanted to just set it as uh uh using our staff recommendation versus the airport commission, we would just change our um our wording. >> Yeah. The motion could simply be to adopt the staff recommended rates. I would be in favor of that. >> I think the other thing that's a little sticky and it's it's it's no one's fault is that the fact that you have and in this case there was only three members at I I attended the airport commission meeting. Only one of the three members that were there that voted is actually a hanger owner. But either way, it's it's tough when you have u people had vested interest recommending things like this to the council. Um, of course they're going to go with the lower dollar amount in most cases. And um, again, no one's fault, but just want to point that that out as well. When we uh seated that commission, uh, it was really the intent was to get it so there was less hanger owner property owners out there and we did we have gotten to that point. I think the majority of the members do not have any interest or property out there. And so, um, that was my desire and I think that's helped with some of the decisions coming from that from that commission. But, um, just wanted to point that out. Not this time. >> All right. I'll make a motion to set the July 2026 and July 2027 land lease rates as recommended by staff. >> I would second that. Okay. We have a motion. Second. Any further discussion? All in favor? >> I >> I opposed. Motion carries. >> All right. The next item on airport uh hanger lease defaults. >> Mr. Mayor and Council, um, for a number of years, uh, we've had, uh, some vacant lots at the airport. Uh, as you can see in the little graphic that's in the in the report there, um, we just we're down to three. We, uh, you know, most of our lots are built out on, or at least our, um, non-commercial lots. And those folks's, uh, lease, um, has been they've been paying the lot, the ground lease. So, it's not that they haven't been paying um, but say that they have two years from the signing of the lease to complete the building and sort of move in. Um we're well well past that. Um I think the leases here were done in 2015 and 2017 respectively. And so um obviously we're uh you know half a decade past that. um our attorney drafted a a a letter here based on the lease language and um how to properly find those leases to be in default. And so the commission did recommend that we um notify these lot lease holders that they are in default and send them the letter that was uh proposed by the city attorney. And then um what that letter does is it doesn't they have lease allows them 30 days to correct any default. Of course you can't build a hanger in 30 days and especially not starting in February. So um what the attorney came up with was that they would be required to contact the airport manager which would be me um within 30 days and enter into an agreement um to build a hanger within a certain period of time. Um, and uh, so we didn't want to just leave it empty in terms of the 30-day notification to me and then have an empty promise. We want to have an agreement that is signed within that 30-day period that moves them forward and further obligates them to build that hanger. Um, so that is the airport commission's recommendation and staff's recommendation to um notify the lease holders would not construct a hanger that they're in default to their lease and um have them negotiate and execute a construction agreement with within the parameters um as described in the report here. And those parameters were that they would pull a building permit within a year of um the notice of default and then um move in within another year, essentially a two-year period, which is the original period. So, we're essentially sort of hitting the reset button and saying, "Okay, from here on out, we expect that this two-year period will be honored." Just curious, is has there been either by staff or the airport commission any conversation with these lease holders? >> Yeah, we've reached out to all three and all three have responded um in some way, shape or form to say that they're they intend to build real soon. Um and so I would expect to be contacted by all three and I would expect them to, you know, want to enter into an agreement um to build. Um, I do know that one is sort of waiting on whether or not the commercial lots can be sold. He's got a partner there that there's a little bit of few moving parts there for him, but otherwise I think yeah, I'm sure they're motivated to do it because they've got a lot invested in paying this lot lease for the last six, eight years, whatever it's been. So, >> yeah. Okay. Thank you. What would be the uh next steps uh after that if we give them their notice, we have conversations and again nothing happens and it's just sitting again. >> Amanda, do you want to speak to what if they don't construct it after they sign an agreement that says they will? I suppose there'll be something in that agreement that says what happens. >> Yeah. Uh your honor, council, so if they ignore this 30-day notice and they just don't do anything, uh then they would be in default because they have 30 days to cure. uh and we would move forward with the various default options that we have under the lease. So, one of that, the most common one would be terminating the lease um and then going about the process of taking the the lot back and then releasing it. There is language in the lease that would say that says that we can um you know, cover all of our costs related to that. Presumably, the people who would have been leasing from us for the last couple of years would be out those lease payments, but the lease does very clearly say they're out those lease payments. They just they lose the right to to those. Um, so we could do that. They obviously don't have anything on the property that would be personal property that would be seizing. So really, it's terminating the lease and taking the property back. Yeah, because we still have uh quite a list of people waiting >> around 25 people >> and there's is there an ability for these individuals if they found have someone in mind or know of someone that is interested in getting in to sell that direct that right directly to that to another individual? Uh yes, your honor, council, if they the leases do give them the ability to subleasase and so presumably that's how they would structure it as they would be subleasasing out or assigning the remaining lease to a third party. We have the right to approve those but essentially it's a rubber stamp unless there is some sort of uh violating factor which there's there probably would not be a situation like that. But they could do that and also say, "I want $10,000 for this right to give you the sub lease on this >> to a third party." Yeah. They could make whatever kind of side agreement they wanted to with a with a third party. >> These lease agreements, what is the time frame? Are they 20-year leases? >> 25 year lease. >> 25. So some of them are how many years into that 25 year? Eight. Wow. >> Actually 11. 2015. Wow. Okay. Right. I'll make a motion on this. Any other question? >> I would like to make the motion to authorize staff to notify the lot lease holders who have not constructed a hanger that they are in default of their lease as further described in the attached sample letter and to negotiate and execute a construction agreement with parameters as described herein. >> I'll second. >> Right. Motion is second. Any further discussion? >> All in favor? I >> I >> opposed. Motion carries. Okay. Airport grant agreements. >> Um Mr. Mayor and Council, this uh last item here is uh simply a formality in terms of um you just recall I think two meetings ago you uh accepted the grants. Uh this is an approval of the grant agreement itself. And so anytime there's an agreement um anytime we need to affix the mirror signature to something and agree to terms, we need to council approved that that document itself. Mindot's process is sort of a two-step process. They want you to say you're serious and then they'll give you the paperwork to fill out and then you actually have to approve that grant agreement. So, um we are here to ask you to approve uh our execution of that grant agreement or those grant agreements. All right, I'll make a motion to approve and adopt state airport fund grant agreements with the Minnesota Department of Transportation via resolution 02092601, contract number 1062407, and resolution 0209-2602, contract number 106249. >> I'll second. >> Right, we have a motion and a second. Any further discussion? >> All in favor? I opposed. >> Motion carries. Next item, Smoky Oaks fee waiver request. Uh, this is around cannabis. I've made it public a number of times that I likely will be in that type of business. However, I and I've been excused myself to all from all decisions and actually left the room and handed the meeting over to acting mayor Valento. I inquired with uh, Attorney Johnson and with this being something different that isn't wasn't required or isn't suggested or needed. So, um, I will carry on this next item, but we'll likely abstain from the vote. Uh, so with that, Abby. >> Thank you, Mayor Roberts, members of the council. Scott Hansen of Smoky Oaks submitted an application for an IUP for a retail cannabis business to be located at 115 Lake Street North. Um after the application was submitted, reviewed by the city and and conditionally approved, um the city had determined that the costs for the processing of the application exceeded the escrow uh required for the application. As a reminder to the council, you've recently reviewed your escrow costs and with the adoption of this new budget, we've increased those escrow costs in anticipation of not kind of getting into this circumstance because in the past, our practice has been we would bill the send an invoice to the applicant to cover those costs. So, per the city practice, the city did send an invoice to Mr. Hansen who has asked the city consider waiver or waving those excess fees or um excess hard costs the city incurred or to enter into a payment plan. As a reminder and for some counselors that might not be aware, the city's system um the application submitt does require what we call a bill back form. And the bill back form does indicate that they acknowledge that they are responsible for the hard costs incurred including administrative costs, legal, engineering. Um, and so that was submitted with the application and because of that staff would not recommend we wave those costs. Um staff has indicated that the we don't normally enter into payment plans, but if the council was favorable, we do think that there could be a sixmonth payment period where um we break that up and we ask for those payments over that six-month time period. That would allow us then to still meet the assessment time period to be able to assess it on the 2027 taxes if the fees were not paid in time. Um, you have two options tonight really. You can move to deny the waiver and payment plan or you can move to direct staff to draft a payment plan agreement with the applicant and I'd bring that back for your formal consideration at your next meeting. >> Quick question. Could you talk through that six-month payment plan idea again? >> Yeah, so the outstanding balance is $747. We would equally divide that up and accept those payments from the applicant. um maybe the first of every month. Um I think uh finance director Larkin could talk about if there were any additional specifics we would normally ask for in a payment plan. It is not customary. We we don't have necessarily a policy over this sort of thing. So I would defer to Ellie if she had any other parameters she'd like to see >> or recommend. >> I guess this follow question because I think you referenced that it could then be tied to property taxes. >> Yeah. Failure to pay any of our city fees do do necessitate us placing them on the property taxes. We have reached out to the land owner. The land owner has acknowledged that this deficit does exist and that it is the applicant's responsibility. land owners aware that if the applicant does not pay now or through a payment plan that this would be assessed to their property taxes, but that does become then a private property owner matter between the applicant and that land owner. >> So we can tie back an outstanding invoice to the property that's in question just not the actual person who owes the money. >> The land owner um does also sign on those bill back. Okay. Thank you. Yes. thoughts. >> I have thoughts. Um, >> uh, I would say this would be silly for us to do. If a business that wants to come and open up and operate in forestly can't afford $747, I don't think we should give him the option to make payments or try to go back after he doesn't do that and assess the property. Come up with the $747 or maybe don't uh open your business here. That would be my my my opinion. >> Yeah, I would just be nervous about setting the precedent for the payment plan. um since the city hasn't regularly done that in the past. Um and what would that look like for future property owners if we approve that? Would then future property owners ask us to do payment plans and then would that just become the norm? What would that look like? Then we it just opens up a whole can of worms. >> I would be in agreement with both council members on that. >> Yeah, I agree. It sounds like then that would be a motion to deny the fee waiver and payment plan request. >> That's correct. I will make a motion to move to deny the fee waiver and payment plan request. >> I'll second. >> All right, we have a motion to second. Any further discussion? All in favor? >> I >> opposed. One abstension. >> All right, next item. Discussion. We're into our discussion part of the meeting and vets memorial financing. Uh Dave, >> yeah, being that we have a lot of moving parts for this veterans memorial, uh just wanted to kind of step through uh this project and identify the funding and and long-term uh revenues coming back for it. Um Ellie and Cal did a great job of putting a lot of numbers and a lot of words together. But uh really that that last page that um spreadsheet kind of explains a lot of what these words and numbers are saying. Uh really the total expenditures right now we're at $59,000 we're at with the project currently. Um the only revenue we have taken in is $145,658. We haven't we haven't received our grant dollars back and all that. We as we are applying for that right now to get it back. We have future of $170,000 approximately to finish the structure and another $210,000 uh to do the sculpture that was here tonight for a total of 889,000. Current revenue is $145,658. And then you can see all the funding streams. The city's $100,000, the 250D deed grant, the other legacy grant. Um pledge donations from from these groups come up to a total of on the historical grant for 210 comes to $843,000, which at the end of the day leaves us at a deficit of $45,912. And I know we made council aware that last summer that we were going to be carrying that load for for a bit until these paver sales. Uh Ron had mentioned that before. Right now there's 841 pavers left available. Uh and estimating that $125 per uh brick to get engraved. That would be an expense of $105,000. if we sold. But when we sold those large pavers, 390 of them at 380 a piece and the 451 of them at 230 a piece, uh our profit will be um with a balance of $100,000 to the good and that $100,000 will be our maintenance maintenance fund. So, um, just had the the sculptor mentioned if someone comes and spray paints it, we may need to come out him and come out there and reacquacer it or we may need to obviously there's going to be a long-term maintenance plan just the pavers and a a shifting block and here and there. So, I I think this this plan was well thought out. We're going to have to carry that load for a while as these pavers are being sold, but um, financially I think at the end of the day once it's completely completed, we will have a a fun balance to help maintain that for for years to go. You have any questions on that? Like I said, a lot of a lot of numbers, but um when you pencil it out, it it does, like I said, we will carry that $45,000 for a while if these papers come in. And that'll just keep taking that away. Every paper that gets sold, it'll just keep knocking away that 45 until we end up with $100,000 to the good. >> Any questions? I think I heard Ron say he was going to go get another 20,000 tonight anyway. >> Yep. >> Uh so if uh let's say there is some major vandalism of some sort, I mean is insurance is our city policy and cover anything like that? >> Yep. We can't insure it right now because it's getting built, but as soon as it gets built, we'll have uh we come out here or farmers come out here and um do an assessment. We have the price on it, so that'll be under the city's insurance. So something major, yes, it will be be covered. Okay. Any other? >> No, just this is a discussion item. So, thank you for bringing this and Kyle getting these numbers for us here tonight. >> Mostly Ellie with the numbers. >> Oh, yes. I should have known better. Thank you, Ellie. Uh, all right. So, Oh, go ahead, uh, Finn. >> Sure. Yeah. If you go ahead >> Mark Finnamman, I'm part of the memorial committee and I've been with this project for quite some time. I think I can speak for the committee for sure and a lot of the nonprofits that are here in town that to add multiple voices to the thank you to the city that we do appreciate and understand what the city has accomplished for us and with us. We're proud of what we have done in terms of being a small committee and generating the funds that we have generated. with a good idea. And so we understand the deficit and we're a big player in what's going to have to happen now to remove that deficit. So alongside of Ron going off to the Legion, the BFW and others or will go off to the Lions and a variety of other organizations and they have yearly uh donations that they can make and we've talked to them about this becoming one of the donations they can make. Now, if Fran can go off and get 10,000 twice a year from the Legion, wonderful. That's a bigger chunk than I thought we could do. But if we can do that, I think we can whittle away at this. We uh can go into a campaign as well. What we're I'm trying to say is that we have we're acknowledging our role in this and it's not done and we'll stick with it. We'll be well beyond into the maintenance area as well in the times to come. Um but I do think we can generate a lot of funds here. we have an opportunity to bronze the model that you saw and to put put that into some sort of funding campaign that could be quite spectacular. So if somebody could actually donate money to this cause and receive something in return such as that bronze that would be quite a story >> and so I believe we'll satisfy uh this deficit faster than just waiting it out at 5,000 $6,000 a year. Uh, so I hope you can take that faith and assurance to some degree and believe that we're we're still here. We're not going away. There's no group more intimate with the story than we are. And so, uh, take that to heart if you would. >> Yeah. Thank Thanks, Mark. >> I agree. It's a it's been a great partnership and, um, both both the city staff and and your group has done a great job and really looking forward to get this thing finished and a celebration at some point. Okay. Uh staff updates. Uh we'll start with Ellie. >> The audit officially starts next week. Our auditors will start prelims. Um so if they they might be reaching out to each one of you council members to ask just standard questions. If you get anything or you have additional questions from what they ask, please feel free to reach out to me. And then believe it or not, we start budget prep at the next council workshop. >> Thank you, Ryan. >> Uh mayor, city council, I do have a few updates for you guys tonight. Uh just giving you a heads up, next Tuesday at our city council workshop, February 17th, Washington County will be joining us to discuss the county state aid highway 32 project. Uh obviously some favorable news you guys received from administrators that that project was awarded $5 million. So that'll definitely help that conversation. uh some other stuff that's going on with County Road 50. Washington County will be uh sending out an RFP at the end of the month uh for County Road 50 between Shrunk Highway 61 and out to Manning Avenue or County State Highway 15 for a a study that will be completed sometime in 2022. Just kind of we'll be looking at that what that quarter corridor will u be planned for. So heads up on that because that will be some public engagement with that project. I'm not sick. It's a good basketball tournament we had this weekend and definitely lost my voice, but we did beat the Dina. Uh, Mindot also is exploring uh an RFP to be sending out here shortly. Time frames not identified exactly, but the 61 corridor. So, that'll obviously be on the radar prior to that going out. Uh, a couple things. The Met Council Municipal Inflow and Infiltration INI grant program, we submitted in that in 23. Um, so we'll be submitting those cost reimbursement in March. U, we're anticipating somewhere around 155,000 just a grant that we line up with our sanitary sewer improvement projects and adjust accordingly to try to maximize what we can get. just applying we get $50,000 but uh we're anticipating somewhere around 155,000 this year but we also applied for the 2025 grants and have shuffled some projects around um between 26 and 27 u with that we're able to identify uh $715,000 of eligible costs with or 715,000 eligible costs will get 50,000 uh minimum But uh our maximum grant award could potentially be $357,000 of work that we were going to do anyways. But just kind of aligning it with these grants that have come out. This is the third one that we've applied now for this one. So it's good program that's uh aligns well when you have a well planned out capital improvement plan too. Last one, the water efficiency grants. Uh we have two quarters left this quarter and quarter two and then that grant uh will end come to an end. Uh this is the third or fourth time we've been doing this one, but that goes to uh rebates on toilets, washing machines, dishwashers, and irrigation components. So definitely want to push that out as much as we can publicly to make sure that residents are aware of that because we have two quarters to submit uh rebate applications for that. That's all I got. >> Any questions for Ryan? Julie, >> Ryan alluded to, we will not be having a workshop on Monday evening. We are closed on Monday in observance of President's Day. So, our workshop will be held on Tuesday evening. And other than that, I don't have any other updates tonight. >> Amanda, I'm going to ask you since you're you're here on a regular basis, if you have anything for us? >> No updates. >> Okay. >> Abby. Uh, thank you, U, Mayor Roberts, members of the council. A few items I just want to highlight that you saw come through last week in their weekly updates. One of them is the county has released, um, some more promotional items on some lowcost home repair loans that are available to our citizens and our land owners. One of them is a newer program, the repair and renovate program. That one's actually targeted households that make slightly more than some of the other income thresholds that we've seen in the past. Um, so we're trying to work with the county on how we can kind of get some of that information out to exploring different options. Um, but those are home repair loans, septic non-compliant septic replacement. There's lots of different types of assistance out there to help rehab some of our older homes in the city. Uh, I wanted to let you know also that Hidden Creek South's neighborhood meeting is this Wednesday, five o'clock here at city hall. That'll be kind of going south of the existing Hidden Creek neighborhood and then hopping over the parkway to the east. Additionally, the planning commission meets this Wednesday and we'll be talking quite a bit about code updates with the boost initiative. We're going to have a an item on that at your workshop next Tuesday. I had to write my little note here. next Tuesday just to talk through what staff has been working on with the planning commission, make sure it's aligning with council policy and directives and things you want to see improved with our code. And then lastly, um just for the record for folks that might be watching at home, the property on Jensen Avenue has been listed for sale. Um but we are actively anytime we um get inquiries we are actively advising that there is no certificate of occupancy and that they need to work with city staff on um rehabbing that structure. So we are getting inquiries on that um as pretty consistently. So it's a very um fair market value for the house but does need a lot of work >> on on somewhat related uh the Everton property was taken down there. How about the other one that we've been working? >> Um, that one should be I know I keep kind of saying should be scheduled any day. They've been we're waiting on a disconnect from XL Energy and then um they hadn't got the notice from XL Energy. So, they started working on a couple other projects they had. I do anticipate it to be within this next few weeks that we'll see that one on se 17th I think it has come down as well. >> Great. Dave, >> no updates tonight. >> Amanda >> and Mark internal posting. We do have a an applicant for our police chief position from um our internal ranks and he will be interviewed um at the end of this week by two uh different panels consisting of our personnel committee and some staff members and another panel consisting of uh local community members and um at least one other uh chief law enforcement officer from from the area. So, we look forward to those interviews and then we'll be reporting back to the council on a recommendation for the police chief. >> Great. >> Council member, >> no updates. >> No updates for me. >> Council Ericson, >> no updates tonight. >> For me either. Thank you. >> Uh, no, no real updates. Just a a thank you to Congressman Stabbers for to him and his staff for allowing us to to secure that funding for County Road 32. Um that is huge for the city of Forest Lake and appreciate staff's work on that and the county as well. They were the lead on this. Um I I met with uh with the congressman a couple times in this. uh we've met with his head of of staff and so real pleased to be able to get that and looking forward to getting that street done as um most of the complaints I'm hearing about all the potholes and things which is just because of the weather is on 11th Avenue where 32 so the timing was was good on that. All right. Uh with that we are going into close session. Um so if someone wants to make a motion to do that. I move to close the meeting pursuant to Minnesota statute section 13D.05 subdivision 3A for the city administrator performance review. The close session will be held in the forest lake conference room and will commence immediately. Once the close session is completed the city council will reconvene the open portion of the regular meeting and as there are no other items on the agenda once back in session the council will adjourn. Great. >> Motion second. Motion. Any further discussion? >> All in favor? I >> I opposed and we're in close session.