Maybe not. Okay, we're all set. Yep. Time is 6:31. It's football season and with us this evening is Kim Van Beck, Mike Roth, Patrick Knight, Michael Gary, myself, Bill Loves,
um Van, and we call him Craig. Yeah, we got Craig. Craig Craig. Oh my god. Number 79. All right. Uh, is anyone here for open
forum? No. We'll move on to the consent agenda. Uh, motion to approve the consent agenda. And a second. Any further questions or discussion?
All right. All in support of the consent agenda. I I I believe Craig said something. All right, moving on to our hearing. Hang on one second. Find that
page. Oops. Oh, I'm loading page. There we are. Okay. All right. So, we have before us resolution 2025-10,
resolution approving preliminary 2024 tax levy collectible in No, that's not right. It should be 25 collectible in 26. Oh, all right. Shouldn't just read preliminary 2025 tax levy collected in 2026.
Yeah. Those numbers are right though. Yes. Okay. Um, we have gone through this and had it in front of us. Did you Well, actually that was me doing that at home at my
kitchen table. Um, we've had a great and lovely time with some of your department heads looking through all of the levy supported departments at a slightly more u detailed level.
In the packet is a summary spreadsheet at that department budgets and also a levy history for you to look at. This time is actually set aside for the public to come and make comments. to us
before you set the preliminary levy. Um, as you can see that there there isn't anyone here to make any comments. Um, I'm hoping that's a good sign. Uh, it is kind of a strange process the state asks us to do to invite the public to comment
on the budget right before you pass your first draft rather than earlier in the process. So, I'd like to think that folks that have ideas or concerns about the budget or aren't going to be contacting you on a regular basis and not wait till the first meeting in September. But here we are in the first
meeting in September. The results of these meetings with the department heads to look at department budgets is this preliminary levy which I've got in your packet at 4.97% increase over 2025.
That's a little bit higher than the number we talked about it potentially being two weeks ago. Um the the conversation two weeks ago was there is probably a need for another $110,000
of revenues or expense cuts to get it down to what we were projecting last year, which was around 3%. What I've built into this budget is about $85,000 in additional revenues
that are not specified as to how we're going to get them yet. So, just to recap what they might be and uh to assure folks that they're they're available. We just haven't picked the strategy we're going to use yet. This budget does not
include any increase in liquor revenues from previous years. And we certainly expect there to be an increase in liquor revenues. We just haven't had enough experience in the new facility to really predict what that looks like yet. By the
time we get to December and we've had a full busy season in the new space, I think we'll have a better idea of how to project our numbers for next year. And so it's very likely that some of those revenues we're going to build into the final budget, not tonight's, but
December's final budget will be increased liquor revenues. Maybe $40, $50,000 worth, for instance. The other place where we're looking for increased revenues is on the utilities
side of things. With this new building now being occupied and us now making a debt payment to on it, uh we have to reconstruct how we're charging the non
general fund departments for the use of the space. We had in old city hall, which didn't have any capital expenses, just operating expenses, a rent charge that we would charge to all the other funds, liquor store, water fund, sewer fund,
electric fund that are using the space. Um, we actually think it's probably about 5050 or even more than 50% of the city hall that is utilities operation, not other city operations. utility
billing and customer interaction with utilities is probably a bigger use for that space than anything else that we do there. And so how do we account for that? Right now we've got a small a nominal amount in this budget to account for that that's built into the water,
sewer, and electric funds. It's not enough. It's not as much as the PUC has talked about it being when this building is new. And so that's the other place we'll probably look to find revenues is we'll go through the PUC budgeting process and in their rate setting
they'll uh account for a larger percentage of expense towards this building. And I think between those two we'll have no trouble finding that percentage. At
the same time, uh, I think it's safe to expect that we're going to see some revenues show up. We're going to see some expenses that we didn't plan on show up as well. And so what I like about keeping this budget a little bit higher than what we're hoping to get in
December is that just in case we do have some expenses uh things that the council wants to take on for next year that we haven't had show up in our face yet or uh major expenses that do show up this year that we want to have pay for over the course
of time. We've got a little bit of room for that. There's also some unknowns. The biggest assumption we have is our uh expense for labor. Right now, we've built in a percentage increase of 3% for next year, but our contract with most of
our employees is up at the end of the year, and we don't know yet what that percentage will be for next year. I think 3% is probably a little bit higher than the average increase that's happening right now, but again, we don't
really know. Uh, so that's our biggest risk factor when it comes to expenses. All in all, I feel pretty good about this. I think 4.97% is a responsible number to put in front of people. Also, one that's achievable and one that we know we're not satisfied
with and we're going to try to improve on and we think we've got a strategy to do so. So, here it is. So, one thing I was wondering about is or I I think would be helpful is to see
those preliminaries for previous years. So, and then seeing the final like I think that would be a handy I mean I know that those are always whatever they are. I mean they are they're a gamble each or they're they're made up each time, right? But seeing like how we you know have
achieved these these numbers like 2.75 was that down from five? No. probably not, but you know what was that shift? What was that change? Um, just being able to see that because that's what comes to mind because I'm seeing like, God, you know, we were three, three,
three. It just seems like this number feels so high and is that and what, you know, if that ended up being the number, what do you think, you know, accounts for that or describes that the best? Can you do the last question one more time?
Yeah, I'll do that. So I I'm wondering like let's say we ended up at that 4.97%. Yeah. Is that liquor store? Is that what what ends up or not liquor store the the building? Why is it higher than it's been in previous years? Exactly. Okay. You could say it that way. Um it's Yeah. I don't think we're
intending for it to be higher than previous years. And I don't think that we've had a preliminary levy number that's as low as the final levy number um probably ever frankly. I think prelim last year was like 12,
wasn't it? Wasn't it? There was just there was there was Yeah, I remember there was a Yeah. big one that we dropped from. But yeah, I just I thought it'd be handy to have it like in our in the packet, you know, as to I like that idea. We can add that to the
spreadsheet just so you can see it. Yeah, the 23 number is see if we've got that packet handy. Yeah, because I thought I mean if we're hitting back at a three that would feel really good, you know,
to get it get it down to that at least. That would be great. Was 6.49 was the preliminary was the preliminary 11 23. Okay. and 2.75. Oh, no, that's 24. I'm sorry. Okay, that was in 23, but it's for 24.
So, that was 6.49 and it ended up being 313. 313. Okay. Yeah. Okay. So yeah, so looking at this that doesn't Yeah, I don't have the 23 one handy, but I'll I can add that to the spreadsheet.
I think um yeah, from from uh if I understand the gist of your questions, it's are we going to is five okay? I mean, I think one of the things about as a strategy setting is fine, but it's like we've been hitting three. It seems like, you know,
oh yeah, we've got this 1.4 four 1.9, but you know, three feels like that's a doable number. Yeah. And I think that's been our if we look at and we'll look at this later before we get to December, we'll we'll spend some time with our three-year projection as well. Okay. Which is not just 2026, but where is
this budget going in 2027 and 2028 and we try to imagine um which large debt payments are going to be new and showing up and which other ones are going to be coming off the books. And that's something I'll be I'm getting ready to show you as well. uh more of a debt schedule. Look at this. So, we've got
some of these payments that that uh we're coming to the end of their life and they're disappearing. As a matter of fact, some of them have already been affected this um 2013a. Well, it's gone, right? Because it actually got re um
financed refinanced into 2021 A, but it's also quite a bit lower. 2021 a 29,000 is it was it was more like Yeah. You're looking at it at the spreadsheet where it's still called 2013. Yeah. Um
that's right. It was it was 90,000 last year and now it's 30,000 and that's because it was a refinancing of four different bonds and one of them uh we're done paying off
and so the the payment goes down. But you also see there's pretty large payments that have been added onto this. In particular, the city hall debt payment is a big number, right? It's a big percentage of this levy. And I think that's one of the reasons why the preliminary levies are a little bit
higher is because we're trying to make space for a big number to fit in here. And uh it has to, right? We don't have any choice. We have to make this payment. Yeah. So, but we're also working towards
um finding ways to get that number down. And I think that probably the last reason why it's smart for us to have the September number higher is because we're very seasonal in a couple of our revenue sources and we're just now kind of getting to
the end of those seasons. We don't really have final numbers to know is this working out the way we'd hoped or not. And so we stay a little more conservative for that reason too. And by December, I think we know everything we're going to know.
Pass a number. Some councils have have um been more sensitive to the what the preliminary number is. I actually think this number at 4.97 is kind of on the lower end of what we typically do. Uh some councils have been okay with a
number that's 10 12% in preliminary knowing that the next one might be lower. But what you pick tonight, this number will be sent out to the public. There will be notices sent out saying your taxes are going to look like this based on a preliminary levy number that you select tonight.
So we're trying to balance that need to stay conservative because you can't go over this number, right? But also don't want to send people a number that's just we know isn't true either. Yeah,
this is all uh I think stuff to state every single year. Yeah, good to I think so. Yeah, people are listening for the first time and that is truly a difference in our budget as you said is we are more like
one of the businesses we we are encircled by you know many cities don't have that they just their little monthly stuff goes yeah it's coming from taxes and that's it so a different definitely have a different
feel that way. I would make a motion unless somebody Yeah. So you are you all set? I'm all set. If you like this number, I'd love a motion. I would make a motion to approve resolution 2025-10 preliminary levy.
Second. I'll second. Any further questions or discussion? Okay. All in favor of resolution approving preliminary 2025 tax levy collectible in 2026.
I I All right. And with that we are all set. Thank you very much Mike and Kim. Appreciate it. All right. Then we have at the liquor store renewals and you mentioned there may be additionals or maybe not.
I think this is all that we have. Okay. He just had a comment at the bottom. Yeah. Um I know that there is at least one of these folks that we're still working on some paperwork with, but we've got them on this list included as Okay. the renewal is happening.
Okay. So, you just need a motion for that. Yeah. All right. Make a motion to approve the said list of 202526 Laker license renewals. Second. I'll second. Thank you. Any questions?
All right. All in uh favor or approval for the liquor licenses as listed for 202526? I I thank you. And then we're down to
next up resolution 2025-11 resolution for the city council the city grand ray Minnesota receiving report and calling for hearing on third street improvement. Would anyone like a refresher on this
resolution? Yeah. So, we're making this as our first step in the process of talking about possibly doing an assessment. I'd say third step, but yes. So, we talked about the assessment
process earlier this year, right? And looked at the timeline of how you have to go through it if you want to do assessments and that you can stop on that timeline anytime you want, but if you want to get to the end where assessments are made, these steps have to be followed.
Okay? You have ordered and received feasibility studies about the improvement of Third Street's pavement and utilities. And this is just the two blocks between 6th Avenue and 8th Avenue West. And the improvement
would consist of pavement widening on both blocks and curb and gutter on one side of the street on both blocks and the extension of water and sew utilities only on the block between sixth and seventh. And frankly, the only part of
that that we're even really talking about is the part that's not included in the Peters development plan already. So, it's like the west third of that one block for water and sewer. Uh all of those improvements are included in this
resolution. If you pass it, we're you've scheduled a public hearing, an improvement hearing. We'll notify the affected neighbors. We're going to be generous in what affected means and then notify people within a block radius of both blocks uh and maybe even a little
bit further uh north of their will I get a notice? You'll get a notice. Yeah. And uh so there will probably be a need again at this improvement hearing to go through the here's what we're talking about because a lot of folks are going to wonder what's going on. But that is
the point of the improvement hearing is to give people those answers. Y and to have them have an opportunity to share with you their input on the matter. Then after that hearing, the council can decide if they want to order the
improvement or modify the improvement and order it or just not do it at all. Uh and you again, you haven't set an assessment yet. You're just saying we're doing the project. The next step if you want to continue the assessment conversation is to schedule an assessment hearing where we would
actually put together a draft assessment role of who we intend to assess and how much and invite those folks to a separate hearing to talk about that. Y so the pet's part of the project um
you approved the development agreement with him to do some of this pavement work and quite a bit of the utility work and with some contingencies one of them being frankly this right here right we need to figure out are we doing the
additional utilities or not and if so are we assessing them or not and I think until for sure you've decided about ordering the improvement that's just kind of uh on hold on the contingency for patterns development agreement. Okay.
So that could potentially be something that you decide right away in October. Might be something that takes a little more time depending upon how the hearing goes. Yeah. Okay. One more note. October 8th is your regularly scheduled first meeting in
October. That's what this resolution says right now. We've got the um House Bonding Committee coming to visit that day. Um and potentially
uh another visit the following morning. And so we might want this room to be available for that purpose on the 8th and would wonder if folks are able to reschedu to Tuesday the 7th for the
council meeting instead. And if we could have our work session on that date as well for the month of October. Sorry. So Tuesday um and add the the work session. So starting 5:30 then
yeah are folks available. Tuesday the 7th is fine for me. Okay. Just as good as any. Is that okay for your work schedule? Okay. Craig. All right. Yep, I can do that. Okay. So, then we will modify this resolution
to say the public hearing will be held October 7th at 6:45. Okay. So, I would put a motion to approve resolution 2025-11 with the amended date of the uh October
7th. Great. I I'd second that. Any further questions or comments? All right. All in favor of approval of resolution 2025-11 receiving Minnesota Grand Marray
Minnesota receiving report and calling for hearing on Third Street improvement. I I I Okay. Oh, okay. Very good. Wow. All right. This is one of the special
moments. We were set for council reports at 7:15 and now it's 6:54. Just want to note that. Craig. Uhhuh. It's not over yet. Yeah. What's that? I got anything to say?
Uh council report. Uh you kind of heard the golf report already. Um, they're having a pretty good summer. I think their revenues are up about 30,000 as of this last month, prior to September.
Um, and you already know what's going on with the revenue for the wreck park. It's up 2.6% this year. Um the other um piece of information is that the Greater Minnesota Regional Parks and Trails
Commission were up here on um the September 3rd to look at the potential um new bath house location. and uh
possibly they might have I don't know if they studied the walkway or not, but that was going to be part of it. Um so anyway, it looks very very uh positive right now that we're on their docket um as far as planning for that
um to evaluate our application for funding for Bath House 2 um that we submitted in late July. So, it does the grant application um the results are due by November to know what's going to happen with that
grant. Um so, I guess that's all I have to say there. That's kind of a good idea, good thing that it's moving forward. Looks like a very promising thing right now for us. So, that's very good. Thank you.
Wow. That's everything. I have nothing. Planning and zoning. Okay. I have nothing. Okay, Michael. Okay, so I left my notes at home, but I think I can remember. So, we had a
library board meeting and I was just checking over and we did uh we had been basically rejiggering our bylaws for a while. We'd been editing and looking and we finally adopted one that we all agreed. a better
reflection of what we do as a library board. Um, so we did that. Uh, and then we also adopted a library conduct policy which we kind of stole from different libraries around just looking for one that fit our location and and seemed
like what we would like to have. And then one piece of that was looking for a lot of well maybe not all libraries but a lot of libraries do have like a post of like here's what we expect from patrons you know like be respectful this kind of thing so just something boil
their plate but you know something to to have at least said it um and have policies you know related to that. So, we also said that we would post that somewhere. Not all of them, not everything that we have written in there, but just sort of the the highlights of, you know, don't be mean,
don't throw things, don't spit, you know, that kind of thing. So, yeah. So, we did that and then we had a financial thing. What was that? No, I think maybe that was last time, but we had decided to combine. We have
we had two funds that essentially were the same thing and so we combined them to one fund and that was I think that's it for that meeting. Anything else? No.
Great. Thank you. Well, all all I have is an awareness for everybody for the Tac Harbor Techite Harbor project. The applications are now um out and available for anyone who is interested in applying for the advisory
committee. The advisory committee will meet for the next six months from roughly October to March two times a month. This is not a decision making body. Mhm. Um this is a group to help um when we're pulling in information and analyzing,
you know, where we're at and where things are and helping put together good presentations for the general public to understand the same. The community visioning will follow that and that is truly for the entire community. I think sometimes people get confused
and they think the advisory committee is busy making plans, but they're not. But we're looking for well-rounded representation from within Cook and Lake County. So if anyone is aware of anyone interested in that, you can go to the EDA web page under techite harbor. All
material we have to date is there along with the online application form to submit for that. Um and then the bonding tour, which is huge. So I hope everyone's calendar is cleared for that afternoon on the 8th.
uh later after like twoish and uh potentially the next morning as well. Yeah. Many more details to follow. Yeah. So, what it was was the timeish on October two. Two. Two. Okay.
And it'll be down here and then they'll hop on the bus after we're done here with quite a few different groups will be here as well. Um after little light snacks and a bathroom break, then they're going to take a look
see over at the actual wastewater plant. And um but an hour and 15 will go by quickly. We're going to have some videos running for them as well to um not get maybe some close-ups of the wastewater
plant along with some nice views in of the entire county. And then also I'd like to highlight some of the other um harbor and lake related initiatives that we're working on as well to kind of give them the big picture view. Yep. From war. Yeah. All the way around.
So um they'll have that when they can't think of anything to say to anybody else, they can stare at a screen. Wastewater plant. But yeah. Yeah. Maybe we could do like smellvision for them too. We're going to the wastewater plant.
We're going there already. So they'll get back in our video so quick. But this is a super super huge big deal. Yeah. And who is it? Do we know who's going to Yes, we have the full list. You can go out to this states website. But yes, I
can have that sent out. If you go to the website, you can see all the pictures. We were kidding around that we might want to memorize faces, you know, names and faces that we can share that as well. What's that? I wasn't kidding. Okay. Oh, yeah.
It is helpful. Ram name cakes. But um yeah, so we'll fill this room, no doubt. Um and we'll have it looking nice and we'll have some good food. Great. Yeah. Well, show them a little Northshore hospitality.
That's all I got. I got one quick item. Oh, sorry. Uh we've just today two hires for part-time liquor store clerk. We'd really appreciate if you would make Mike Elman and Ryan Murray. Excellent.
Perfect. If you would just make a motion. Motion to approve the and a second. Boomer time liquor store hires. Yep. We're happy to have them. Was that a second? That was a second. All right. Quick second. Approver for the two new part-time
liquor store employees. I I I Thank you. Mhm. Anything else? I didn't mean to cut you. That's all right. That's it. All right. Thank you all very much. We're still record breaking time. A
record, but pretty good time. Funny. Have a good night, everybody. Thanks, Chris.