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HomeMy WebLinkAbout20250707 - CC MinutesCity Council packets can be viewed in searchable format on the City’s website at https://www.hastingsmn.gov/city-government/city-council/city-council-documents-copy Hastings, Minnesota City Council Meeting Minutes July 7, 2025 The City Council of the City of Hastings, Minnesota met in a regular meeting on Monday, July 7, 2025 at 7:00 p.m. in the Council Chambers at Hastings City Hall, 101 East 4th Street, Hastings, Minnesota. Members Present: Mayor Fasbender, Councilmembers Beck, Haus, Lawrence, Leifeld, Pemble, and Vihrachoff Members Absent: None Staff Present: City Administrator Dan Wietecha Assistant City Administrator Kelly Murtaugh City Attorney Greta Bjerkness Community Development Director John Hinzman Community Development Intern Amelia Thibault Comments from the Audience Philip Biermaier, 301 Maple St, serves as Director on School Board. He introduced Dr. Kristine Wehrkamp Herman, who is the new Superintendent. Director Biermeier presented on behalf of the School Board, noting the request in August 2024 by City to provide funds for the updates to the civic arena. Biermaier noted that the Board received a verbal request, but also Mn Statute123B.52 requires a written request for public expenditure. The School Board would like to continue to build a relationship with the City. Approval of Minutes Mayor Fasbender asked if there were any additions or corrections to the minutes of the City Council regular meeting on June 16, 2025. Minutes were approved as presented. Consent Agenda Councilmember Pemble motioned to approve the Consent Agenda as presented, seconded by Councilmember Lawrence. 7 Ayes, 0 Nays 1. Pay Bills as Audited 2. Proclaim Parks and Recreation Month 3. Resolution No. 07-01-25: Approve Liquor License Renewal for El Original Mexicano Restaurant 4. Resolution No. 07-02-25: Approve New On-Sale Intoxicating Liquor License for Hasu Japanese Restaurant 5. Resolution No. 07-03-25: Approve One-Day Temporary Liquor License for United Heroes League 6. Resolution No. 07-04-25: Approve New Massage Therapy Establishment License for Revive Therapy Massage and Bodywork 7. Resolution No. 07-05-25: Accept Donation from The Front Line Foundation to the Fire Department 8. Resolution No. 07-06-25: Accept Donation from The Front Line Foundation to the Police Department 9. Resolution No. 07-07-25: Accept Donation from Miesville Lions to the Police Department City Council packets can be viewed in searchable format on the City’s website at https://www.hastingsmn.gov/city-government/city-council/city-council-documents-copy 10. Accept Donation from the Ruth and George Doffing Charitable Fund to the Parks and Recreation Department 11. Authorize Signature: Ambulance Service Mutual Aid Agreement with Fairview Health Services 12. Authorize Signature: Capital City Regional Firefighters Reciprocal Fire Service Agreement 13. Declare Surplus Property and Authorize for Public Sale – Fire Department 14. Resolution No. 07-08-25: Approve Variance – Fence Height – Michael Fuchs (2570 Cannon St) 15. Approve Pay Estimate No. 2 for the Industrial Park Water Tower Reconditioning – Tanksco, Inc. ($554,409.75) 16. Approve Sewer Service Repair Assessment Request - 1320 North Frontage Rd. 17. Approve Budget Amendment: City Hall Dome Project Plaster Repair 18. Authorize Signature: Digital Services Agreement Change Order – GHD Digital Resolution No. 07-09-25: Special Use Permit – Cannabis Retail – ABJKM LLC (33rd & TH316) Thibault provided an overview of the Special Use Permit request by ABJKM LLC. The Planning Commission reviewed the application. The Planning Commission recommended approval of this SUP. Thibault reiterated issuance of a Special Use Permit does not guarantee right to operate. Council posed clarifying questions on the contingency of purchase agreement and timing of construction, as well as the Special Use Permit (SUP) not guaranteeing the right to operate. Thibault provided additional information on the components of the process as it is new construction. Thibault shared the communications between the applicant and staff, clarifying that the granting of the SUP does not guarantee the right to operate. Council clarified access through the parking lot and the number of parking spaces. Thibault shared the applicant would enter into a joint agreement with Crossroads for access through the parking lot as adding an entrance onto either TH 316 or 33rd Street W. is not feasible, and that staff has had discussions with the applicant about reducing the number of added parking spaces. Council posed questions regarding purchasing the property. Jason Tarasek, Vicente LLC indicated that the construction would only be for a Cannabis retail location and would not begin until all approvals were in place. Tarasek indicated the applicant has entered into a conditional purchase agreement for the property, but that finalizing the purchase and any construction would not begin until after receiving the registration from the City. Councilmember Leifeld motioned to approve as presented, seconded by Councilmember Pemble. 7 Ayes, 0 Nays. PFAS Update Wietecha provided the following key updates: • In June, we submitted two applications state bonding for consideration in the 2026 session: the Eastern and Western WTPs. • Sen. Klobuchar has submitted our project (Western WTP) to the Senate Appropriations Committee for consideration for Congressionally Directed Spending. • The new state budget includes some state funds to augment the Emerging Contaminants Grant program; we expect the Central WTP to receive an additional $2M. • At present, budget planning estimates a 37.2% water rate increase for 2026. This could change during budget planning depending on State or federal assistance, construction bids for the Central WTP, and the construction schedule. City Council packets can be viewed in searchable format on the City’s website at https://www.hastingsmn.gov/city-government/city-council/city-council-documents-copy • The Public Facilities Authority financing agreement (low interest loan) for the Central WTP is pending and expected on the July 21 agenda. • The grant agreement for the East Metro 3M Settlement funds for the construction costs allocated to Well #5 is pending and expected on the July 21 agenda. • The Central WTP was bid on in June as two projects: the raw water main connecting Well #7 and the WTP itself. Construction is expected to start in August. Council posed questions about Carbone’s Pizza relocation and clarification on the grant agreement amount. Wietecha indicated the business plans to stay in town, but a definite relocation site has not been confirmed. Wietecha reported that the amount of the East Metro 3M Settlement grant is about $13.7 million and the exact amount would be specified within the agreement. The grant agreement amount is in addition to previous funding for land acquisition and business relocation assistance. Resolution: No. 07-10-25: Lower-Potency Hemp Edible Retailers Murtaugh provided an overview of the request to approve the resolution for new lower-potency hemp edible registrations. Murtaugh reviewed recent changes from the Office of Cannabis Management (OCM), which included lower-potency hemp edible retailer registration to reopen until August 31st. The OCM will begin to implement a licensing process this fall. Staff are recommending in the interim that local registration be allowed. Once licensing becomes available, all registered businesses would be required to submit a copy of the state license. Murtaugh recommended following Resolution No. 05-19- 25 for registration selection if there are businesses competing in certain areas. Council discussion on locations of current registrants and where they may conflict with zoning and distancing requirements. Murtaugh shared the City does not currently know if any registrants on the list are operating at this time. Murtaugh indicated that we plan to clearly communicate the legal requirements. Council expressed appreciation to staff for their work throughout this process. Council questions on any limits by the Office of Cannabis Management (OCM) on lower-potency licenses and caps on the numbers of lower-potency hemp edible retailer registrants within the City. Murtaugh indicated that there are no limits on licenses to be issued by OCM and cities are not allowed to cap numbers of lower-potency hemp edible retailers, as long as all parties meet zoning and distancing requirements. Council stressed the importance of clear and ongoing communication with businesses. Councilmember Haus motioned to approve as presented, seconded by Councilmember Leifeld. 7 Ayes, 0 Nays. Hastings Civic Arena Rates The City recently completed necessary improvements to the Hastings Civic Arena refrigeration system. This project also included replacement of the West Rink roof, including the addition of a solar array. Wietecha indicated that through joint meetings with the School Board, there were discussions about contributions from the School District at 30%, as was historically done with projects of joint interest in the community; however, the School Board had decided not to contribute toward the project. Wietecha shared background information on the recent prime ice rental rate increase approved December 2024. Wietecha reviewed Parks Committee discussions, and the specific revenue based on the recommendations before Council. Wietecha provided an overview of the request to consider additional increasing “prime” ice rental rates for all users and adding a premium fee per hour for the School District’s rental rates. The prime rental rate increase would be added to the fee schedule set by ordinance. The premium would be noted in the lease agreement with the School District that is set for renewal in October. The increased rental and premium rates would account for about $87,000 per year. City Council packets can be viewed in searchable format on the City’s website at https://www.hastingsmn.gov/city-government/city-council/city-council-documents-copy Council discussion on appreciation for the Joint Powers meetings with the School District. Council discussion on the over 40 year old practice of a 70/30 split in cost share with the School District and what would happen if the School District would not be able to support the cost share agreement. Wietecha indicated that funding would entirely become the City’s responsibility which would impact other users and taxpayers. The joint powers agreement states that financial support of projects of joint interest like the Civic Arena would be considered on a case-by-case basis. The City Council’s representatives on the Joint Powers committee shared their experiences from the committee meetings with the School Board’s representatives. Council expressed significant support for community resources and the opportunity to work more closely together with the School Board. Philip Biermaier responded with feedback on determination of prime ice time and how fees are charged. He indicated that no proposal was presented at the August 2024 meeting. He indicated that the request was large in a time that district finances are struggling as well. He noted that the taxpayers pay either way—levies for the school or city taxes. He agreed with the need to have a plan stronger than the handshake agreements of 40 years ago. Mayor Fasbender concluded that the Committee made this proposal for further discussion. Announcements • Summer Rec Programs at Levee Park… o Tuesday, July 8, Party in the Park. Celebrate National Parks & Recreation Month with live Caribbean music, activity booths, caricature artists, bounce houses, face painting, and inflatable obstacle course. The event is free, but food trucks do charge. o Thursday, July 10, Music & Market with “International Reggae All Stars.” Supported by the Ruth and George Doffing Charitable Fund. o Friday, July 11, Movie in the Park with “Mufasa – The Lion King.” Sponsored by Ardent Mills. Please bring a non-perishable food donation. o Wednesday, July 16, Storytime in the Park. The theme is “Bears.” A partnership with Pleasant Hill Library. • Rec + Art + Police is Wednesday, July 9, from 1 to 2 pm at Pioneer Park with live reptiles exhibit and message on a rock art activity. Supported by SC Toys, Country Financial, Hastings Lions Club, Hastings Family Service, Community Ed, and Hastings Prescott Arts Council. • Coffee with a Cop will be on Tuesday, July 15, at McDonald’s. • Happy Birthday late last month to Councilmember Mya Beck! • Rivertown Days is July 17-20 Meetings • Arts & Culture Commission Meeting on Wednesday, July 9, 2025 at 6:00 p.m. • HEDRA Meeting on Wednesday, July 10, 2025 at 6:00 p.m. – Cancelled • Planning Committee Meeting on Monday, July 14, 2025 at 7:00 p.m. – Cancelled • Planning Commission Meeting on Monday, July 14, 2025 at 7:00 p.m. – Cancelled • Heritage Preservation Commission Meeting on Tuesday, July 15, 2025 at 7:00 p.m. • Parks and Recreation Commission Meeting on Wednesday, July 16, 2025 at 6:00 p.m. – Cancelled • Public Safety Advisory Commission Meeting on Thursday, July 17, 2025 at 6:30 p.m. • City Council Meeting on Monday, July 21, 2025 at 7:00 p.m. Councilmember Pemble motioned to adjourn the meeting at 8:31 PM, seconded by Councilmember Lawrence. Ayes 6, Nays 0.