Minutes - Council Work Session - 11/10/2025

Home

Finance Director Lund reviewed the Staff report concerning the 2026 proposed sewer and water charges. Acting Mayor Riley asked if they had essentially been undercharging multi-unit users but overcharging single-homeowner users to make up for it. Finance Director Lund said yes and explained that they had to reach the required number to pay the Met Council. She shared that she is recommending lowering the sewer rates from 9% to 6% for single-family homeowners. Councilmember Stewart asked if the sewer charges for townhomes or apartment units will be increasing by $100 per unit. Finance Director Lund said that the average increase is $100. She noted that it would amount to around a $20 increase per unit per quarter. City Administrator Hagen added that this will only impact buildings with multiple units that are on one meter. Acting Mayor Riley said he thinks this change makes a lot of sense. Councilmember Peters asked how they pay the Met Council. Finance Director Lund shared that the Met Council bills them monthly based on the volume of transactions that flow through the system. She noted that they had a smaller increase last year and are looking at a 9% increase this year. Councilmember Peters asked if the rates that they have set in the past cover this amount billed to the City. Finance Director Lund said yes. She noted that these rates will be introduced at the next Council meeting. The consensus of the Council was to move forward with the proposed 2026 sewer and water charges. 2.03: Review of Amending City Fund Ordinance Finance Director Lund reviewed the Staff report in regard to amending the City fund ordinance. The consensus of the Council was to move forward with the amendments to the City fund ordinance. 2.04: Policy for the Reimbursement of Land Proceeds and Tax Increment for TIF Area #14 (COR) Amended City Council Work Session / November 10, 2025 Page 2 of 7