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HomeMy WebLinkAbout20251201 - 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 Hastings, Minnesota City Council Meeting Minutes December 1, 2025 The City Council of the City of Hastings, Minnesota met in a regular meeting on Monday, December 1, 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 Finance Manager Chris Eitemiller Approval of Minutes Mayor Fasbender asked if there were any additions or corrections to the minutes of the City Council workshop and regular meeting on November 17, 2025. Minutes were approved as presented. Consent Agenda Councilmember Pemble motioned to approve the Consent Agenda as presented, seconded by Councilmember Haus. 7 Ayes, 0 Nays 1. Pay Bills as Audited 2. Resolution No. 12-01-25: Accept Donation from Jay Nicholls and Family to the Fire Department 3. Resolution No. 12-02-25: Accept Donation from Karyl Frye to the Fire Department 4. Resolution No. 12-03-25: Accept Donation from the Offutt Family Foundation to the Fire Department 5. Resolution No. 12-04-25: Accept Donation from the R.D. Offutt Company to the Fire Department 6. Resolution No. 12-05-25: Accept Donation from Linda and Philip Wagner to the Police Department 7. Resolution No. 12-06-25: Accept Donation from Joan Clark to the Police Department 8. Resolution No. 12-07-25: Accept Donation from VFW Post #1210 to the Police Department 9. Declare Surplus Property and Authorize for Public Sale – Police Department 10. Approve Special Event Designation – Holiday Train 11. Community Investment Fund 12. Authorize Signature: Joint Powers Agreement – Dakota County Domestic Preparedness Committee 13. Authorize Signature: Joint Powers Agreement – Dakota County Drug Task Force Administrative Staff Services 14. Resolution No. 12-08-25: Opting to Increase the Benefit Level for Firefighters Who are Vested in the Statewide Volunteer Firefighter Plan 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 15. Authorize Signature: Sculpture Lease for Riverwalk – Dale Lewis 16. Appoint Parks & Recreation Commissioner Anna Stopka 17. Appoint Public Safety Advisory Commissioner Gino Messina 18. Resolution No. 12-09-25: Approve Pay Estimate No. 4 (Final) for Industrial Park Water Tower Reconditioning – Tanksco, Inc. ($57,410.25) 19. Resolution No. 12-10-25: Approve Pay Estimate No. 3 (Final) for Mill & Overlay Program – Minnesota Paving & Materials ($26,521.51) 20. Approve Pay Estimate No. 2 for Central WTP Raw Watermain Project – A1 Excavating LLC ($1,149,246.63) 21. Approve Change Order No. 2 for Central Water Treatment Plant - Raw Watermain Project Public Hearing: Truth in Taxation for 2026 Budget Eitemiller presented the Truth in Taxation information as a requirement for adoption of the 2026 Budget. Eitemiller noted that this presentation is not to address valuation of property. He presented the budget principles, the budget process, capital improvement and capital equipment priorities, bonding projects (neighborhood street project and the Eastern water treatment plant), utilities rates/capital items and carryover projects. Additionally, he identified the changes in the budget since initial proposal as well as a review of what is in the budget for 2026. Eitemiller presented the preliminary tax impact of the proposed levy and a comparison to other Dakota County residential and commercial tax changes. He also reviewed the HEDRA levy. The preliminary tax levy was reduced to the proposed amount for adoption at 7.88% for 2026. Mayor Fasbender opened the public hearing at: 7:21 p.m. Lester Helten, 802 Old Mill Court, expressed concern over the tax increase and its impact on his ability to stay in the home he intended to retire in. John Larson, 11 Three Rivers Drive, expressed concern over costs increasing and projected expenses are high. Kevin Lorentz, 411 19th Street W., expressed concern about the increase in property taxes and indicated that it is not sustainable. Mayor Fasbender closed the public hearing at: 7:36 p.m. Council discussion on updating and clarifying the Neighborhood Project presentation image as well as home valuation in Hastings as well as other part of Dakota County and the Metro area. Council discussed the increase in costs and service expectations of residents. Councilmembers expressed appreciation to residents for their attendance and participation in the hearing. Council discussion on the Finance Committee’s ongoing work to review the proposed budget, identify necessary adjustments and uphold the City’s obligations to ensure that essential services, staffing and basic operations continue. Council expressed appreciation to City staff for the work throughout the entire budgetary process. Council discussion on the impact that this increase has on each of them as individuals. Engineering Services Proposals from Kimley-Horn 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 Wietecha provided an overview of the request to enter into a contract with Kimley-Horn and Associates, Inc. for the purpose of utilizing their professional services to lead the design, bidding, public engagement and construction management support for the 2026 Neighborhood Infrastructure Improvements Project. Council is asked to also consider the request to enter into a contract with Kimley- Horn and Associates, Inc. for the purpose of utilizing their professional services to provide short-term support for City Engineering services. Council discussion on how the contracts are handled once a new City Engineer is hired. Wietecha indicated that the contracts would continue as the new staff member acclimated and prepared for the busy construction season. Councilmember Vihrachoff motioned to approve as presented, seconded by Councilmember Lawrence. 7 Ayes, 0 Nays. 2nd Reading\Adopt Ordinance: City Code Amendment Chapter 155 – Zoning – Lower-Potency Hemp Edibles Hinzman provided an overview of the request to adopt an ordinance amendment to the Hastings City Code Chapter 155 pertaining to lower-potency hemp edibles. Hinzman provided an overview of previous Council action relating to lower-potency hemp edibles indicating this amendment would clarify regulations for lower-potency hemp edibles that were part of previous ordinance amendments in 2024. Council discussion on clarifying the housekeeping item and where it may stand with recent change in federal law. Council posed questions regarding Planning Commission discussion. Hinzman indicated the Planning Commission discussed distance requirements for certain facilities and shared that information was clarified within the ordinance amendment. Councilmember Haus motioned to approve as presented, seconded by Councilmember Leifeld. 7 Ayes, 0 Nays. Resolution No. 12-11-25: Special Use Permit – Manufacture of Lower-Potency Hemp Edibles – Spiral Brewery (111 2nd Street E.) Hinzman provided an overview of the request to adopt the resolution granting a Special Use Permit to Spiral Brewery to conduct Lower-Potency Hemp Edible Manufacturing as part of Spiral Brewery’s existing operations. Hinzman indicated retail sales of these products is also planned for the future and is permitted within the zoning district. Hinzman indicated the preceding ordinance amendment adoption was necessary to consider this request. Hinzman shared Planning Commission review and discussion. Council discussion on the market expansion of a local business. Councilmember Leifeld motioned to approve as presented, seconded by Councilmember Haus. 7 Ayes, 0 Nays. Resolution No. 12-12-25: Home Occupation Permit – Taxidermy – Knoll (714 13th Street W) 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 Hinzman provided an overview of the request to consider a Type II Home Occupation Permit for a Taxidermy business out of his detached garage. Hinzman provided details differentiating a Type I and a Type II permit and the provisions of a home occupation permit. Hinzman indicated the typical work of the business will occur in the detached garage, sharing the business activity and customer activity will fluctuate throughout different times of the year. Hinzman shared the applicant will obtain a taxidermy license from the Minnesota Department of Natural Resources (DNR). Hinzman indicated notice has been provided to neighboring property owners within 350 feet of the property, with no responses received and reviewed Planning Commission discussion. Council discussion on appreciation for the effort at seeking a home occupation permit. Council asked clarifying questions on the garage to be utilized and handling waste. Councilmember Leifeld motioned to approve as presented, seconded by Councilmember Pemble. 7 Ayes, 0 Nays. PFAS Update Wietecha provided the following key updates: • The Senate Capital Investment Committee included Hastings on its State Bonding Tour on October 28. A similar visit by the House Capital Investment Committee occurred November 6. Both were engaged and well received. • Minnesota Management and Budget has a survey open into next week for residents to give feedback to the state regarding future bonding bills. • Draft PPL rankings were released in November. The eastern WTP is ranked #1, and the western WTP is tied at #17. Both are reportedly in the fundable range. • Environmental investigations continue as planned by the MPCA to determine potential connection and eligibility for the City’s other wells. The current round of studies are expected to complete in late 2025. The City and MPCA have discussed meeting in December-January to review the studies. • The 2026 budget proposal includes a phased approach of 10% each in January and July 2026 and January 2027. The phased approach would allow additional time to seek state bonding, grants, and/or direct connection to 3M Cottage Grove; enable phasing in the necessary rate increase; and recognizes the complexity of loan and grant paperwork with the Public Facilities Authority. • On October 29, the City received notice that Pizza on 50th & France dba Carbone’s Pizza in Hastings is suing the City over the purchase of the property and alleged loss of lease and income. The City disputes the substance of the claims. Our insurer League of Minnesota Cities Insurance Trust is defending the City and has assigned Hoff Barry, PA to handle the suit. In the meantime, the City continues working with Carbone’s Pizza to find a new home in Hastings and relocation benefits. 2026 Budget a. Resolution No. 12-13-25: Approve 2026 Final Budget and Final Levy 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 Councilmember Leifeld motioned to approve as presented, seconded by Councilmember Vihrachoff. 7 Ayes, 0 Nays. b. Resolution No. 12-14-25: Approve the 2026 Special Levy (HEDRA) Councilmember Pemble motioned to approve as presented, seconded by Councilmember Lawrence. 7 Ayes, 0 Nays. c. Resolution No. 12-15-25: Approve 2026-2030 Capital Improvement and Capital Equipment Plans Councilmember Leifeld motioned to approve as presented, seconded by Councilmember Haus. 7 Ayes, 0 Nays. a. 1st Reading: Amend City Code Chapter 34: Fees Councilmember Leifeld motioned to approve as presented, seconded by Councilmember Pemble. 7 Ayes, 0 Nays. Announcements • Dakota County is hosting an open house about the upcoming County Road 42 project on Wednesday, December 4, at the YMCA. • We have a new mural at the Civic Arena. Thank you to artists Lili Lennox and Niko Alexander and the Arts & Culture Commission. There is a ribbon cutting at 3:30 this Friday, December 5. • Enjoy CPKC Holiday Train and free holiday concert by American Authors and Pynk Beard on Friday, December 12. Please bring food or monetary donation for Hastings Family Service. • The new City website is scheduled to go live next week, December 11. It will provide a clear, user-friendly platform to ensure relevant, timely, and accurate information. It has been designed for easy navigation. And it will be accessible on desktop, tablet, and mobile devices for all types of users. • City Offices will be closed from 11:30 to 1:30 on Thursday, December 11, for the City employee holiday party and staff recognition. • The Hastings Prescott Arts Council’s annual gala and silent auction is Sunday, December 14. You can attend in-person or online. • Recycle your old lights with the Hastings Holiday Lights Drop Off Collection. Residents can drop-off their unwanted light strands at the Joint Maintenance Facility, 920 – 10th Street West, during the holiday season from November 15 to January 31. • Happy Birthday this weekend to Mayor Fasbender! Meetings • Operations Committee Meeting on Monday, December 8, 2025 at 7:00 p.m. • Planning Commission Meeting on Monday, December 8, 2025 at 7:00 p.m. – Cancelled • Arts & Culture Commission Meeting on Wednesday, December 10, 2025 at 6:00 p.m. – Cancelled