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HomeMy WebLinkAbout2025.03.03 CC Packet A. CALL TO ORDER B. ROLL CALL C. PLEDGE OF ALLEGIANCE D. APPROVAL OF MINUTES 1. February 2, 2025, Lions Club 50th Anniversary Celebration 2. February 3, 2025, City Council Meeting 3. February 11, 2025, HBA Breakfast 4. February 19, 2025, Local Government Event E. APPROVAL OF AGENDA F. APPOINTMENTS/PRESENTATIONS 1. Lakes Center for Youth & Families 2024 Annual Report – Community Outreach Coordinator Linda Madsen 2. Hopkins Schoolhouse and Heritage Center Update – Chair Liz Cinqueonce 3. Parks Commission Annual Report – Parks Planner Shayla Denaway G. CONSENT AGENDA All matters listed under the Consent Agenda are considered to be routine by the City Council and will be enacted by one motion and a roll call vote. If a member of the City Council or the public wishes to discuss an item, that item will be removed from the Consent Agenda and will be considered separately. 1. Approve Claims Roster 2. Approve Annual Performance Review for Senior Engineering Technician Liz Finnegan 3. Approve Annual Performance Review for Building Department Secretary Debi Close 4. Approve Hiring of Madison Siebenaler as Public Works Worker 5. Approve Donation from American Online Giving Foundation to the Hugo Fire Department 6. Approve Donation from the Hugo American Legion to the Hugo Fire Department 7. Approve Pay Request No. 6 for the Lift Station No. 12 Project 8. Approve Updates to the 2025 Fee Schedule to Comply with the New Minnesota Price Transparency Law 9. Approve Resolution Transferring Remaining Lions Park Bond Proceeds to the Street CIP Fund 10. Approve Resolution Adopting Water and Sanitary Sewer Pro Forma Financial Guide for 2025 and Establishing Service Rates 11. Approve Oneka Prairie Park Maintenance Agreement 12. Approve Agreement with Washington County for Local Affordable Housing Aid Fund Administration Mayor: Tom Weidt Councilmembers: Becky Petryk, Ward 1 Ben Krull, Ward 2 Dave Strub, Ward 3 Mike Miron, At Large City Council Agenda Monday, March 3, 2025 Address: 14669 Fitzgerald Ave. N. Hugo, MN 55038 Phone: 651-762-6300 Website: www.ci.hugo.mn.us 13. Approve Agreement with Lakes Center for Youth & Families 14. Approve Special Event Permit for Legion Family Day/Rib Contest on April 26, 2025 15. Approve Special Event Permit for Ragnar Relay Minnesota in Hugo on August 8, 2025 16. Approve Special Event Permit for MS 150 through Hugo on June 8, 2025 17. Approve Authorization for Amendments to the Parking Ordinance 18. Approve Letter of Support for Washington County for Environment and National Resource Trust Funds for the Hardwood Creek Regional Trail Extension 19. Approve Letter of Support for Washington County for 2026 Congressionally Directed Spending Funds for the Hardwood Creek Regional Trail Extension H. PUBLIC HEARING 1. Nothing Scheduled I. UNFINISHED BUSINESS 1. Approve Authorization for Feasibility Study for 2026 Street Reconstruction Project J. NEW BUSINESS 1. Discussion on Oneka Lake Park Reconstruction Plan K. VISITOR PRESENTATIONS 1. Nothing Scheduled L. COUNCIL PRESENTATIONS 1. Nothing Scheduled M. ADMINISTRATIVE PRESENTATIONS 1. Schedule Hugo YRN 15th Anniversary Celebration on Monday, March 17, 2025 N. ADJOURNMENT BACKGROUND MEMO FOR THE CITY COUNCIL MEETING ON MARCH 3, 2025 D.1 Approve Minutes for the February 2, 2025, Lions Club 50th Anniversary Celebration D 2. Approve Minutes for the February 3, 2025, City Council Meeting D.3 Approve Minutes for the February 11, 2025, HBA Breakfast D.4 Approve Minutes for the February 19, 2025, Local Government Event Staff recommends Council approve the above minutes as presented. F.1 Lakes Center for Youth & Families Annual Report – Community Outreach Coordinator Linda Madsen Lakes Center for Youth & Family (LC4YF) is one of two organizations that provide mental health services to Hugo residents, and Council allocates funding in the budget to support these programs. Community Outreach Coordinator Linda Madsen will present to Council the LC4YF Annual Report. F.2 Hopkins Schoolhouse and Heritage Center Update – President Liz Cinqueonce Hopkins Schoolhouse and Heritage Center President Liz Cinqueonce will provide an update on the improvements at the Hopkins Schoolhouse. F.3 Parks Commission Annual Report – Parks Planner Shayla Denaway Parks Planner Shayla Denaway will provide the Parks, Recreation and Open Space Commission Annual Report. G. 1 Approve Claims Roster Staff recommends Council approve the Claims Roster as presented. G.2 Approve Performance Review for Senior Engineering Technician Liz Finnegan Liz Finnegan was hired on March 11, 2019, as the City’s Senior Engineering Technician. Public Works Director Scott Anderson recommends Council approve the performance review for Senior Engineering Technician Liz Finnegan. G.3 Approve Performance Review for Building Department Secretary Debi Close Debi Close was hired as the City’s Building Department Receptionist on March 20, 2006. Building Official Joel Hoistad recommends Council approve the annual performance review for Building Department Receptionist Debi Close. G.4 Approve Hiring of Madison Siebenaler as Public Works Worker With the resignation of Public Works Worker Corey Triemert, a vacancy was created in the Public Works Department. Madison Siebenaler has worked a seasonal position in the Public Works Department for the past three years. Public Works Director Scott Anderson recommends Council approve the hiring of Madison to fill the Public Works Worker vacancy with a starting date of February 18, 2025. G.5 Approve Donation from American Online Giving Foundation to the Hugo Fire Department The American Online Giving Foundation – Benevity Giving Platform disperses money donated by employees and/or matching funds from one of Benevity’s corporate clients. Donators are able to choose one of the Foundations recipients to receive the funds. Brent Tervola donated $49.59, and the remaining $123.96 was donated anonymously to the Hugo Fire Department. All donations to the Fire Department must be approved by Council. Staff recommends Council approve the donation of $123.96 to the Hugo Fire Department. G.6 Approve Donation from the Hugo American Legion to the Hugo Fire Department The Hugo American Legion has requested to donate $1,500 to the Hugo Fire Department from pull-tab proceeds for equipment and training. All donations to the Fire Department must be approved by the Council. Staff recommends Council approve the donation of $1,500 to the Hugo Fire Department. G.7 Approve Pay Request No. 6 for the Lift Station No. 12 Project C.W. Houle, Inc. has submitted Pay Request No. 6 in the amount of $14,410.74 for work certified through December 31, 2024, on the Lift Station No. 12 Project. The lift station is fully operational, the punch-list has been completed, and this is the final pay application for the project. Staff recommends Council approve payment to C.W. Houle, Inc. in the amount of $14,410.74 and formally accept the project. G.8 Approve Updates to the 2025 Fee Schedule to Comply with the New Minnesota Price Transparency Law Council adopted the 2025 Fee Schedule at their December 16, 2024 Council Meeting. Since the adoption, the State of Minnesota implemented a new Price Transparency Law. The law mandates that businesses include all mandatory fees and surcharges in the advertised price of goods and services. The 2025 Fee Schedule will remain unchanged in terms of costs, but the technology fee will now be added to the original permit price to reflect the total amount a customer will pay. Staff has updated the 2025 Fee Schedule to comply with the new Price Transparency Law and staff recommends Council approve the updates to the Attachment to Ordinance No. 2024-537; 2025 Fees, Rates and Charges. G.9 Approve Resolution Transferring Remaining Lions Park Bond Proceeds to the Street CIP Fund On September 7, 2021, the City of Hugo issued $8,170,000 in General Obligation Tax Abatement Bonds to finance public improvements to Lions Park and other related public improvements. All financial obligations related to the construction of Lions Volunteer Park and the Peder Pedersen Pavilion have been satisfied, and bond proceeds remain in the Lions Park Construction Fund. As stated in the bond documents, the bond proceeds may also be used to cover expenses related to various public improvements associated with the Lions Park improvement project. Staff recommends that Council adopt the Resolution Approving the Transfer of Remaining Lions Park Bond Proceeds to the Street CIP Fund. These remaining bonds proceeds will partially cover the costs associated with reconstruction of Upper 146th Street and Fitzgerald Avenue, which were reconstructed to accommodate the improvements to Lions Volunteer Park. G.10 Approve Resolution Adopting Water and Sanitary Sewer Pro Forma Financial Guide for 2025 and Establishing Service Rates The Finance Department has completed its analysis of water and sewer billing data and has prepared a pro forma financial guide and corresponding service rates for the 2025 fiscal year. Water and sewer rates were last adjusted in 2024. However, those adjustments only impacted separately metered irrigation usage and the base fees for sanitary sewer services. The overall goal is to provide adequate revenue to cover water and sewer operations as contained in the pro forma financial guide and staff is recommending increases to both water and sanitary sewer base fees and volume rate usage fees. Staff recommends Council approve the Resolution Adopting a Pro Forma Financial Guide for Water and Sanitary Sewer Operations for the 2025 Fiscal Year and Establishing Service Rates. G.11 Approve Oneka Prairie Park Maintenance Agreement The City of Hugo received a .6 acre park through park dedication with the Oneka Prairie Development. The developer, Southwind Holdings, LLC, installed a small playground, irrigation, and landscaping at the park. An agreement with the Oneka Prairie Homeowners Association has been drafted to outline future park maintenance. The Homeowners Association shall provide irrigation for the park through their stormwater re-use system. The City shall insure the park, maintain the playground, and take care of routine maintenance such as mowing. Staff recommends Council approve the Oneka Prairie Park Maintenance Agreement, subject to review and approval by the City Attorney. G.12 Approve Agreement with Washington County for Local Affordable Housing Aid Fund Administration In 2023 and 2024, the Minnesota Legislature authorized aid payments to counties, cities and Tribal Nations to support affordable housing. The goal is to fund affordable housing projects and help organizations provide affordable and supportive housing. LAHA is funded by a 0.25% sales tax on the seven-county metropolitan area. Aid is appropriated directly to cities, counties, and tribal governments based on cost-burdened households. The funds can be used for rental assistance and projects designed for construction of affordable housing, among other items related to affordable housing. The City does not have a housing agency that administers housing programs to subsidize affordable housing. The City staff has been in discussions with Washington County Community Development Agency (CDA) to administer the LAHA to support the qualifying projects on behalf of the City. They have stated they are allowed and able to administer the program on for the City. Staff recommends approval of the agreement with Washington County for Local Affordable Housing Aid (LAHA) fund administration. G.13 Approve Agreement with Lakes Center for Youth & Families Over the past several years, the City has entered into an agreement with the Lakes Center for Youth & Families to support programs for Hugo families relating to counseling, intervention, and enrichment. Through this agreement, the City sponsors LCYF by providing financial support. In the 2025 budget, Council approved $17,670 in funding for their services. Staff recommends Council approve the agreement with Lakes Center for Youth and Families. G.14 Approve Special Event Permit for Legion Family Day/Rib Contest on April 26, 2025 The National Executive Committee of the American Legion passed a resolution in October 2025 established American Legion Family Day to be observed annually on the last Saturday in April. The Hugo American Legion would like to celebrate the day by holding a festival on Saturday, April 26, 2025. A Special Event Permit approved by Council is necessary because alcohol will be sold outdoors, approximately 200-300 people are expected to attend throughout the day, and there will be amplified music and event announcements. The event will include a rib contest and vendors. The event will begin at 6 a.m. for the BBQ teams to set up and will end at 6 p.m. Staff recommends Council approve the Special Event Permit for the Hugo American Legion Family Day on April 26, 2025, subject to the conditions in the staff memo. G.15 Approve Special Event Permit for Ragnar Relay Minnesota in Hugo on August 8, 2025 Ragnar Events, LLC has applied for a Special Event Permit to hold a 200-mile overnight relay race beginning in Minneapolis on Friday, August 8 and ending in Duluth on Saturday, August 9. Event organizers are requesting to use the Hugo Public Works parking lot as an exchange point for runners during the relay on Friday, August 8. At peak times, it is expected there will be about 32 cars in the lot. For most of the day, there will be approximately 15-20 at any given time. A Special Event Permit approved by Council is necessary because there will be over 200 people participating. There will be approximately 2,500 total participants but only approximately 230 runners spread out over the course at one time. Staff recommends Council approve the Special Event Permit for Ragnar Relay Minnesota through Hugo on August 8, 2025, subject to the conditions in the staff memo. G.16 Approve Special Event Permit for MS 150 through Hugo on June 8, 2025 The Multiple Sclerosis Society has applied for a Special Event Permit (SEP) for their annual fundraising bicycle event to be held on June 7-8, 2025, from Proctor, MN to White Bear Lake, MN. On the second day of the ride, bikers will be traveling south through Hugo, primarily on the Hardwood Creek Trail and Highway 61. Council must approve SEPs where there is expected to be over 200 people in attendance. The MS 150 will have approximately 1,800 riders. Staff recommends Council approve the SEP as described in their application in addition to conditions in the staff memo. G.17 Approve Authorization for Amendments to the Parking Ordinance City Code currently restricts the amount of time that vehicles and trailers may be parked on any city street to 72 hours, during the months that the winter parking ordinance is not in effect. Section 90-253(g)(1) currently states that “no person shall park any vehicle or trailer on any street within the city for an excess of 72 hours.” The intent of this ordinance is to allow for reasonable and temporary parking of vehicles and trailers on city streets, while not allowing the public street to be used as long-term storage. The City received complaints relating to boats and trailers being stored on city streets long-term. The current ordinance is not explicit in its intent to prevent long-term storage of equipment on city streets, and the City has found difficulty in enforcing this intent. Additionally, the long-term storage of vehicles and trailers on public streets creates disruptions to maintenance operations such as street sweeping, and in some cases, damage to city streets will occur. Staff is requesting authorization from the City Council to work with the City Attorney on drafting text amendments to the prohibited parking ordinance, and to hold a public hearing on the text amendments with the Planning Commission. G.18 Approve Letter of Support for Washington County for Environment and National Resource Trust Funds for the Hardwood Creek Regional Trail Extension At the March 21, 2022, Council meeting, Washington County presented the Feasibility Study for the final extension of the Hardwood Creek Regional Trail from Fenway Blvd N and 130th St N to 120th St N (Ramsey County Rd J). Two conceptual alignments were identified and the study included cost estimates and public engagement. Washington County has requested a letter of support for their application of funding from Minnesota’s Environment and Natural Resources Trust Fund to help construct the missing portions of the Hardwood Creek Regional Trail in Hugo. Staff recommends approval of the Letter of Support for Washington County for Environmental and National Resource Trust Funds for the Hardwood Creek Regional Trail Extension. G.19 Approve Letter of Support for Washington County for 2026 Congressionally Directed Spending Funds for the Hardwood Creek Regional Trail Extension At the March 21, 2022, Council meeting, Washington County presented the Feasibility Study for the final extension of the Hardwood Creek Regional Trail from Fenway Blvd N and 130th St N to 120th St N (Ramsey County Rd J). Two conceptual alignments were identified and the study included cost estimates and public engagement. Washington County intends to submit the Hardwood Creek Regional Trail Extension for FY 2026 Community Project Funding/ Congressionally Directed Spending. Staff recommends approval of the Letter of Support for Washington County for Congressionally Directed Spending for the Hardwood Creek Regional Trail Extension. J.1 Approve Authorization for Feasibility Study for 2026 Street Reconstruction Project City Council approved the 2025-2029 Capital Improvement Plan at the September 16, 2024, City Council meeting. Staff is recommending we begin preparing the feasibility study for the 2026 Bald Eagle Industrial Park Area Street Improvement Project due to certain complexities this project will have. Above and beyond our standard public improvement process, there are two rail crossings and potential easement acquisition needed for the proposed trail along 130th Street that will require additional time. For these reasons, staff recommends City Council approve the resolution authorizing the preparation of the feasibility study for the 2026 Bald Eagle Industrial Park Street Improvement Project that includes the following roadways: 140th Street N (From TH 61 to Fenway Boulevard N), Fenway Boulevard N (From 130th Street N to 140th Street N), Fenway Boulevard Ct N (From Fenway Boulevard N to its eastern termini), 130th Street N (from TH 61 to Europa Trail N), Farnham Avenue N (from 130th Street N to its southern termini). K.1 Discussion on Oneka Lake Park Reconstruction Plan At the Parks Commission meeting of February 19, 2025, the Commission recommended reconstruction of the playground at Oneka Lake Park with help from Flagship Recreation and other park improvements. Oneka Lake Park was identified in the Parks CIP in 2025 for neighborhood park upgrades. The Parks Commission discussed changing the site layout to replace and expand the playground equipment and to evaluate pour-in-place safety surfacing with Flagship Recreation. Other park improvements could include reconstructing the existing trails as needed, painting the existing picnic shelter, and improving the landscaping. Parks Planner Shayla Denaway will present a plan to upgrade Oneka Lake Park. Staff recommends Council discuss reconstruction of Oneka Lake Park and authorize Flagship Recreation to draft concepts for a new playground. M.1 Schedule YRN 15th Anniversary Celebration on Monday, March 17, 2025 Council has been invited to the Hugo Yellow Ribbon Network 15th Anniversary Celebration on Monday, March 17, 2025, at 6 p.m. in the Oneka Room for refreshments. This is prior to the Council meeting at 7 p.m. where the YRN Chair Chuck Haas will be presenting an update to the Council and presenting Certificates of Appreciation to Burger Night Sponsors. Staff recommends Council schedule this as a meeting if they wish to attend. N. Adjournment MINUTES City Council-Lions Club 50th Anniversary Peder Pedersen Pavilion Sunday February 2, 2025 1:00 p.m. COUNCIL PRESENT: Krull, Miron, Petryk, Strub, Weidt COUNCIL ABSENT: None Council attended the 50th Anniversary Celebration of the Hugo Lions Club held at the Peder Pedersen Pavilion. The event ended at approximately 3 p.m. Respectfully Submitted, Bryan Bear City Administrator MINUTES City Council Meeting City Hall Council Chambers Monday, February 3, 2025 7:00 p.m. Call to Order Mayor Weidt called the meeting to order at 7:00 p.m. Roll Call and Pledge of Allegiance COUNCIL PRESENT: Krull, Miron, Petryk, Strub, Weidt COUNCIL ABSENT: None OTHERS PRESENT: City Administrator Bryan Bear, City Attorney Dave Snyder, City Engineer Mark Erichson, Community Development Director Rachel Juba, City Clerk Michele Lindau Approval of Minutes for the January 6, 2025, City Council Meeting Strub made motion, Petryk seconded, to approve the minutes for the City Council meeting held on January 6, 2025, as presented. All Ayes. Motion carried. Approval of Minutes for the January 18, 2025, Fire Department Banquet Krull made motion, Miron seconded, to approve the minutes for the Fire Department Banquet held on January 18, 2025, as presented. All Ayes. Motion carried. Approval of Minutes for the January 27, 2025, Goal Setting Workshop Miron made motion, Strub seconded, to approve the minutes for the Goal Setting Workshop held on January 27, 2025, as presented. All Ayes. Motion carried. Approval of Agenda Weidt made motion, Petryk seconded, to approve the agenda as presented. All Ayes. Motion carried. Community Development Annual Report – Associate Planner Max Gort Council Meeting Minutes for February 3, 2025 Page 2 of 8 Associate Planner Max Gort presented to Council the 2024 Community Development Annual Report, which he explained included a review of planning applications, building department activity, projects that were approved, and ordinance updates throughout the calendar year 2024. Gort provided information on permits and planning applications submitted over the past ten years that showed last year was equal to 2023 with 41 applications. There were 180 new residential construction permits. There had been no multifamily construction for the past three years; however, two projects were approved in 2024. One project would add 89 apartment units next to Festival Foods, and the other would consist of 60 townhome style units for rent. These will likely be constructed this year. New construction peaked in 2020-2021 during COVID. There were 4,938 inspections completed. The building department conducted 756 of those in Scandia. There were 171 platted residential units available, which was fairly average. The primary new construction project in 2024 was Premier Bank, located on the corner of TH61 and 147th Street, consisting of 4,500 square feet of commercial space. Several other businesses moved to or expanded within existing buildings including Blossom Bridge Child Care, Autism Services of Minnesota, and Nystrom and Associates. The City also approved a 33,500 square foot expansion of Liberty Classical located in the old Withrow Elementary School. The City- owned property along Egg Lake has seen a number of proposals. The most recent proposal had received pushback due to the DNR’s shoreland rules, and staff will be working on finding flexibility. Staff had been working with Washington County and MnDOT on the Highway 61 Visioning Study since 2022. This study will help guide the jurisdictional transfer from the state to Washington County. Gort talked about ordinance updates that included updates to the residential zoning districts to match most recent development trends. The City recently received a $50,000 Policy Development Grant which would allow for review of all zoning districts. Landform was preparing a new scope of work. Other ordinances included the Solar Farm Ordinance (to be discussed later in the meeting), Shoreland Ordinance to find a way for flexibility with the DNR’s shoreland rules, and the Cannabis Ordinance, which was approved by the Council in January 2025. Approval of Consent Agenda Petryk made motion, Miron seconded, to approve the following Consent Agenda. 1. Approve Claims Roster 2. Approve Annual Performance Review for Finance and Public Works Administrative Assistant Jennifer Compton 3. Approve Letter of Resignation from Public Works Worker Corey Triemert 4. Approve Advertisement for Public Works Summer Seasonal Employees 5. Approve Extension of Internship for Community Development Intern Phoebe Brown 6. Approve Donation to the Hugo Fire Department from the Bayport American Legion 7. Approve Donation to the Hugo Fire Department from the Hugo American Legion 8. Approve Lawful Gambling Exempt Permit for White Bear Lake Ducks Unlimited Council Meeting Minutes for February 3, 2025 Page 3 of 8 Event on March 2, 2025 9. Approve Lawful Gambling Exempt Permit for Church of St. Genevieve Fish Fry on April 11, 2025 10. Approve Lawful Gambling Excluded Bingo Permit for Chain of Lakes Rotary Event on March 29, 2025 11. Approve Temporary Liquor License for Chain of Lakes Rotary Event on Saturday, March 29, 2025 12. Approve 2025 City Council Focus Goals and Ongoing Priorities 13. Approve Final Pay Request to Schreiber Mullaney for the Pede Pedersen Pavilion All Ayes. Motion carried. Approve Claims Roster Adoption of the Consent Agenda approved the Claims Roster as presented. Approve Annual Performance Review for Finance and Public Works Administrative Assistant Jennifer Compton At its February 7, 2022, meeting, Council approved the hiring of Jennifer Compton as the Finance and Public Works Administrative Assistant. Adoption of the Consent Agenda approved the annual performance review for Finance and Public Works Administrative Assistant Jennifer Compton. Approve Letter of Resignation from Public Works Worker Corey Triemert Corey Triemert began employment in the City of Hugo on June 30, 2022, as a Public Works Worker. Corey recently accepted a position as the public works director at the City of North Oaks and had submitted his letter of resignation. Corey’s last day of employment with the City was January 17, 2025. Adoption of the Consent Agenda approved Corey’s letter of resignation Approve Advertisement for Public Works Summer Seasonal Employees Staff requested authorization to advertise and hire a total of seven seasonal employees for the Public Works Department. In the 2025 General Fund Budget, Council approved the seasonal positions. Seasonal Public Works Employees assist with mowing, garbage/litter removal, park maintenance, boulevard and general Public Works maintenance. Money had been budgeted in the 2025 General Fund Budget for these positions. These positions will not exceed 40 hours per week. Adoption of the Consent Agenda approved the advertisement for Public Works Summer Seasonal workers Approve Extension of Internship for Community Development Intern Phoebe Brown Phoebe Brown was hired as the Community Development Intern staring on August 12, 2024, for a six-month internship. Phoebe was currently working on several projects, and staff wanted to retain her as an intern for an additional six months at the wage of $19.25 per hour. Adoption of the Consent Agenda approved the six-month extension of the internship for Phoebe Brown. Council Meeting Minutes for February 3, 2025 Page 4 of 8 Approve Donation to the Hugo Fire Department from the Bayport American Legion The Bayport American Legion wanted to donate $5,000 to the Hugo Fire Department from gambling proceeds for equipment and training. All donations to the Fire Department needed to be approved by the Council. Adoption of the Consent Agenda approved the donation of $5,000 to the Hugo Fire Department. Approve Donation to the Hugo Fire Department from the Hugo American Legion The Hugo American Legion wanted to donate $1,000 to the Hugo Fire Department from gambling proceeds for equipment and training. All donations to the Fire Department needed to be approved by the Council. Adoption of the Consent Agenda approved the donation of $1,000 to the Hugo Fire Department. Approve Lawful Gambling Exempt Permit for White Bear Lake Ducks Unlimited Event on March 2, 2025 White Bear Lake Ducks Unlimited had applied for a Lawful Gambling Exempt Permit to hold raffles at their event on March 2, 2025, to be held at Sal’s Angus Grill. The permit would be issued by the MN Gambling Control Board after approval by the City Council. Adoption of the Consent Agenda approved the Lawful Gambling Exempt Permit for White Bear Lake Ducks Unlimited. Approve Lawful Gambling Exempt Permit for Church of St. Genevieve Fish Fry on April 11, 2025 The Church of St. Genevieve had applied for a Lawful Gambling Exempt Permit to hold raffles at their Fish Fry on April 11, 2025, to be held at their St. John’s site in Hugo. The permit would be issued by the MN Gambling Control Board after approval by the City Council. Adoption of the Consent Agenda approved the Lawful Gambling Exempt Permit for St. Genevive Church. Approve Lawful Gambling Excluded Bingo Permit for Chain of Lakes Rotary Event on March 29, 2025 The Chain of Lakes Rotary had applied for a Lawful Gambling Permit to Conduct Excluded Bingo at their event on March 29, 2025, at the Peder Pedersen Pavilion. The permit would be issued by the MN Gambling Control Board after approval by the City Council. Adoption of the Consent Agenda approved the Lawful Gambling Excluded Bingo Permit for the Chain of Lakes Rotary. Approve Temporary Liquor License for Chain of Lakes Rotary Event on Saturday, March 29, 2025 The Chain of Lakes Rotary had applied for a Temporary Liquor License to sell alcohol at their Rotary event on Saturday, March 29, 2025, to be held at the Peder Pedersen Pavilion. The Rotary had submitted the application and proper insurance. Adoption of the Consent Agenda approved the Temporary Liquor License for the Chain of Lakes Rotary. Council Meeting Minutes for February 3, 2025 Page 5 of 8 Approve 2025 City Council Focus Goals and Ongoing Priorities The Council held their annual Goal Setting Workshop on Monday, January 27, 2025 where Council reviewed and discussed goals for 2025 that were drafted by staff with input from the commissions and staff. Staff recommends Council approve the focus goals and ongoing priorities for 2025. Approve Final Pay Request to Schreiber Mullaney for the Pede Pedersen Pavilion Schrieber Mullaney had submitted Pay Request No. 15 in the amount of $158,198.31 for work certified through November 30, 2023, on the Peder Pedersen Pavilion. The retainage had been held until the contractor provided certification that payment was made in full for all labor and materials. This was the final pay application for the project. Adoption of the Consent Agenda approved payment to Schreiber Mullaney in the amount of $158,198.31. Approve Plans and Specifications and Authorize Advertisement for Bids for the Beaver Ponds Street Improvement Project City Engineer Mark Erichson provided background information on the 2025 Beaver Ponds Area Street Improvement Project and reminded Council they had previously authorized staff to prepare plans and specifications for the project. If Council approved the plans and specifications for the project and authorized the advertisement for bids, staff would place the advertisement, which was required to run for a minimum of 21 days. Plans and Specifications were available for review at City Hall. Consideration of awarding a construction contract would occur at a future City Council meeting. Petryk made motion, Miron seconded, to approve RESOLUTION 2025-1 APPROVING PLANS AND SPECIFICATIONS AND AUTHORIZING ADVERTISEMENT FOR BIDS 2025 BEAVER PONDS AREA STREET IMPROVEMENT PROJECT. All Ayes. Motion carried. Approve Plans and Specifications and Authorize Advertisement for Bids for the 2025 Street Improvement Project City Engineer Mark Erichson provided background information on the 2025 Street Improvement Project and reminded Council they had previously authorized staff to prepare plans and specifications for the project. The project includes Duck Pass, Palmes Long Lake Estates, and the Ingersoll Avenue area, and would consist of roadway reclamation, overlay and minor storm sewer improvements. If Council approved the plans and specifications for the project and authorized the advertisement for bids, staff would place the advertisement, which was required to run for a minimum of 21 days. Plans and Specifications were available for review at City Hall. Consideration of awarding a construction contract would occur at a future City Council meeting. Council Meeting Minutes for February 3, 2025 Page 6 of 8 Petryk made motion, Krull seconded, to approve RESOLUTION 2025-2 APPROVING PLANS AND SPECIFICATIONS AND AUTHORIZING ADVERTISEMENT FOR BIDS 2025 STREET IMPROVEMENT PROJECT (DUCK PASS, PALMES LONG LAKE ESTATES, AND INGERSOLL AVENUE N AREA). All Ayes. Motion carried. Update and Discussion on Solar Farm Ordinance On September 19, 2024, the City Council and Planning Commission held a joint workshop to determine the future of solar farms within the City Ordinance and directed the Ordinance Review Committee (ORC) to consider amendments to the performance standards for solar farms. After discussions at several meetings, the ORC recommended revisions to the definition of solar farms, zoning districts where solar farms would be allowed, minimum lot size, and language guiding the placement of a solar farm on a property. Staff was requesting Council direct the Planning Commission hold a public hearing on the proposed text amendments. Associate Planner Max Gort reminded Council that the ordinance applied to solar farms, not accessory solar energy systems that generate electricity for on-site use. He explained the proposed changes included an increase in the minimum lot size from ten acres to 20 acres, increased setbacks from 200 feet to 400 feet, and a requirement for solar farms to be located insofar as possible on the site to minimize impacts. As proposed, solar energy systems would be allowed as an accessory use in all zoning districts and solar farms as an interim use in the Long Term Agricultural, Agricultural, Rural Residential, and Future Urban Service Districts. Petryk made motion, Strub seconded, to direct staff to hold a public hearing with the Planning Commission to consider the ORC’s recommended text amendments. All Ayes. Motion carried. Discussion on Petition for Stop Signs at 125th Street and Northern Pines Subdivision The City of Hugo received a petition from the Northern Pines Townhome Association that requested the City consider adding a three-way stop at 125th Street North and Fenway Avenue North. The petition referenced increased traffic on the roadway, the lack of a shoulder for pedestrians to walk on, and vehicles traveling at speeds that put pedestrians at risk. The stop sign was requested to slow traffic down and create a safer street for the neighborhood. This petition was discussed among City staff and was also forwarded to MnDOT and Washington County (roadway to be “turned back” to Washington County in the future) for their feedback due to its proximity to Highway 61. City Engineer Mark Erichson explained that there was currently a single stop sign for traffic southbound on Fenway Avenue at 125th Street. The road was currently posted at 35 miles per hour. The road is relatively narrow, and a trail is identified in the Comprehensive Plan that would go east from Fenway Avenue to Fondant Avenue. He also noted that Fenway Avenue is approximately 360 feet east of TH 61, and the intersection would likely be signalized in the future. Installing a stop sign on 125th at Fenway Avenue would likely cause a backup. A speed study had been conducted and did not show excessive speeding to be an issue. Council Meeting Minutes for February 3, 2025 Page 7 of 8 The Minnesota Manual on Uniform Traffic Control Devices has warrants that are evaluated to make sure things are consistent across the state. The intersection did not meet the warrants for the placement of stop signs. Erichson added that a stop sign would only be effective at that particular area and would not affect speeds along the entire corridor. He said the results had been shared with the property owners, and they had indicated that they were excited about the prospect of a future trail and possible signal. Weidt commented that installing the stop signs may create a bigger hazard at that location and would not control speeds along the whole stretch of road. He said he did not recall any accidents occurring there. Erichson replied that staff did look at the crash history and noted that stop signs can create a false sense of security. City Administrator Bryan Bear informed the Council that the petitioner was aware that this item was on the agenda for discussion this evening. There appeared to be no residents in attendance. Krull made motion, Strub seconded, to approve RESOLUTION 2025-3 APPROVING FINDINGS OF FACT DENYING THE PETITION FOR STOP SIGNS ADDED AT 125TH STREET AT FENWAY AVENUE. All Ayes. Motion carried. Schedule HBA State of the City Breakfast on Tuesday, February 11, 2025 Mayor Weidt will be giving the State of the City Address at a breakfast sponsored by the Hugo Area Business Association on Tuesday, February 11, 2025, at the Blue Heron Grill from 7:30 – 9 a.m. Strub made motion, Miron seconded, to schedule a meeting to attend the State of the City breakfast on February 11, 2025. All Ayes. Cancel February 17, 2025, Council Meeting Due to Presidents Day Holiday The second regular meeting of the Council in February fell on the same day as Presidents Day Holiday on February 17, 2025. Staff recommended Council cancel the February 17th meeting. Miron made motion, Petryk seconded, to cancel the February 17, 2025, City Council meeting. All Ayes. Motion carried. Schedule League of Local Governments Event on Wednesday, February 19, 2025 The Washington County Board was invited to attend the League of Local Governments event to discuss the state of housing in the County. The meeting was scheduled for Wednesday, February Council Meeting Minutes for February 3, 2025 Page 8 of 8 19, 2025, from 4:30 – 7 p.m. Miron made motion, Petryk seconded, to schedule a meeting to attend the League of Local Governments event. All Ayes. Motion carried. Adjournment Strub made motion, Krull seconded, to adjourn at 7:42 p.m. All Ayes. Motion carried. Respectfully Submitted, Michele Lindau, City Clerk MINUTES City Council-HBA Breakfast Blue Heron Grill Tuesday, February 11, 2025 7:30 a.m. COUNCIL PRESENT: Krull, Miron, Strub, Weidt COUNCIL ABSENT: Petryk Council attended the Hugo Area Business Association Breakfast at the Blue Heron. Mayor Weidt gave the State of the City Address. The event ended at aproximately 9 a.m. Respectfully Submitted, Bryan Bear City Administrator MINUTES City Council-Local Government Event Inwood Oaks Event Center Wednesday, February 19, 2025 4:30 p.m. COUNCIL PRESENT: Krull, Miron, Petryk COUNCIL ABSENT: Strub, Weidt Council attended the event hosted by Washington County to discuss the state of housing in the County. The event ended at aproximately 7 p.m. Respectfully Submitted, Bryan Bear City Administrator PARKS REPORT New Equipment at Diamond Point Park Diamond Point Park is Reconstructed The 2024 neighborhood park reconstruction project was Diamond Point Park. It consisted of a playground replacement due to the deterioration of the original equipment. The sand volleyball court was removed and replaced with a pickleball court. The basketball court was resurfaced and a second hoop was added. The trails were repaved and realigned to address heaves and settling. The picnic shelter and baseball field were not altered. Neighborhood Meeting Residents were invited to select the playground equipment at a neighborhood meeting on May 15. Playground designs were presented from four vendors. A structure from St. Croix Recreation was selected with a note to change the colors to blues and greens. The three original playground containers were kept. The primary structure includes a variety of slides and a post and deck layout. A structure for 2-5 year olds, swings, inde- pendent spinners, a multi-user spinning net and a multi-user swing were also installed. The residents also requested the court improvements. Samson Walters Memorial The Mahtomedi Hockey Association donated a bench and plaque in honor of Samson Walters. Walters grew up in Diamond Point and died in 2023 due to a tragic accident. ANNUAL REPORT OF THE PARKS, RECREATION, AND OPEN SPACE COMMISSION 2024 Commissioners: Meredith St. Pierre, Chair Cathy Moore-Arcand, Vice Chair Mat Rauschendorfer Ranell Tennyson Valerie Boyd Andrew Reding Jim Compton Sr., Alternate Park Sign Replacement Plan One of the 2024 goals of the Parks Commission was to draft a park sign and landscap- ing replacement plan. Several of the park signs in Hugo parks have aged out and other parks are in need of a sign where there wasn’t one. The primary purpose of the park signs is to alert people of a public park and welcome their use. The signs serve as a wayfinding tool in neighborhoods. At the meeting of March 15, 2023, the Commission directed staff to find a vendor and design a simple park sign of similar size to the exit- ing. At the August 21 meeting, the Parks Commission approved a sign from Max-R Solu- tions that was 3’x5’ and made of composite materials. The Commission recommended approval of signs to be installed in Diamond Point Park and Irish Avenue Park. Further discussion was to be had when updating the Capital Improvement Plan. DNR Grant At the February 21 meeting, the Commission discussed construction of park amenities at Bernin Park including a parking lot, a combination of gravel and paved trails, a fishing pier, benches and lake overlooks. The Commission made final changes to the con- struction plans at their March 20 meeting. In April, Hugo applied for funding through the MN DNR Outdoor Recreation Grant Program. The estimated cost of the construction project was $818,550. The grant would have paid up to $350,000 or 50% of the project costs. Hugo was notified in June that it didn’t receive the grant. Trail Work This spring, Hugo Public works mowed and did minor tree removal for trails on the city owned property north of 149th near the Hugo Mead- ows and Oneka Place develop- ments. In September, wood chips were placed on the trail surface. It was a goal of the Commission to make trail improvements at this property and make it available for public use. Tree removal, brush removal, and mowing work was also done to im- prove the trails in Clearwater Creek Preserve. The wood chip trail sur- face was refreshed later in the year. New Park in Oneka Prairie Clearwater Creek Preserve Oneka Place Trails New Playground and Park At the July 20, 2022 meeting, the Commission approved park dedication of .66 acres and payment of the fee for the Oneka Prairie development. The development is 25 acres and located northeast of Oneka Parkway. It has 59 residential lots and the developer proposed to make improvements to the mini-park including a playground and shelter in exchange for PUD flexibility. A small structure from Flagship recreation was installed along with benches and perimeter sidewalk. The City will accept the improvements and be responsible for maintenance and operation of the park. Sunset Lake Park Hours At the meeting of June 26, the Commission changed the hours at the city-owned properties on Sunset Lake to close at 9:00 pm instead of 11:00pm per a resident request. Wetland Bank Hydrology monitoring continued in 2024 for the prospective North Star Wetland Bank. Glacial Hills Regional Trail Washington County moved forward with draft- ing a master plan for the GHRT following the pub- lic engagement in 2023. The preferred alignment and amenities presented to the Commission at its September 18 meeting. The Commission ap- proved the trail design. Bill the Juggler at the Peder Pedersen Pavilion Recreation Programs The City of Hugo hosted Bill the Juggler in Lions Park on Friday, July 12 at 6:30 pm. This event was held in partnership with Washington County and funded with money from Minnesota’s Art and Cultural Heritage Fund. The program was at- tended by 20+ kids. It was an exceptionally hot evening. The Santa Party and Mayor’s Tree Lighting was held on December 4 from 5:00- 7:00pm. Attendees were encouraged to bring a toy or food item for the Hugo Fire Department’s Toy Drive benefiting the Hugo Good Neighbors Food Shelf. Santa was available for photos, and activity bags were given to the first 50 kids. The real holiday tree was planted in the fall, replacing the original balsam fir that was struggling. The new larger tree was decorated with large lights and ornaments. The Mayor lit the tree with a festive new switch. The event was attended by 70+ kids. It was an exceptionally cold evening. Hugo Fire fighters and Deputy with Santa; Mayor Tom Weidt with Santa Park Dedication Hugo West Apartments At the meeting of April 17, the Parks Commission reviewed a park dedication proposal for “Hugo West”. The project proposed by Mark/Erin Lambert was for a 93 unit apartment building on 12.6 acres east of Festival Foods, south of Rosemary Way and east of Everton Avenue. The Parks Commission discussed the need for a park in the area with the developer. The developer proposed constructing a small playground. Parking and public access to the park were a concern of the Commission. At the meeting of June 26, the Commission approved the proposed dedication of the 2 acres for city park. Lambert described the benefit of the property to the city but that any amenities would need to be constructed by the City. Sidewalks and trails were also discussed. The City Council approved the project but the developer has not moved forward with construction. Dedication would happen when building permits are submitted. Hugo Good Neighbor Days Back in 2024 at Lions Volunteer Park Contact Us (651) 762-6300 Hugo City Hall 14669 Fitzgerald Avenue North Hugo, MN 55038 Staff Liaison: Shayla Denaway (651) 762-6342 Visit us on the web at www.ci.hugo.mn.us Hugo West Apartments City of Hugo Claims March 3, 2025 G. 1 Vendor Invoice Amount Description Department Abdo Financial Solutions LLC 501458 3,050.00$ Accounting Assistance Finance Dept Abdo Financial Solutions LLC 501458 1,010.80$ Accounting Assistance Finance Dept AK Material Handling Systems Inc S1123603 1,131.92$ Pallet Racking Public Works AK Material Handling Systems Inc S1123773 181.74$ Pallet Racking Public Works Amazon Capital Services 11NK-39M4-XH47 20.49$ Cell Phone Accessories Public Works Amazon Capital Services 11NK-39M4-XH47 11.44$ iPad Accessories Parks Dept Amazon Capital Services 1117-WGX7-4VFY 11.00$ Clipboards Water Utility Amazon Capital Services 1117-WGX7-4VFY 17.94$ Breakroom Supplies Public Works Amazon Capital Services 1117-WGX7-4VFY 27.00$ Keyboard & Mouse Public Works/Finance Amazon Capital Services 1N9C-FVPR-L7QF 157.91$ HFD Station Remodel - HDMI Cables, Etc. Fire Dept Amazon Capital Services 1J1D-7Y4M-CFTR 16.74$ Clipboards Water Utility Apple Ford White Bear Lake 111314 3,788.31$ Repairs - Unit #6106-19 Fire Dept Apple Ford White Bear Lake 111315 12.33$ Repairs - Unit #6106-19 Fire Dept Apple Ford White Bear Lake 53211W 6,099.00$ Replacement Engine - Unit #108-15 Water & Sewer Apple Ford White Bear Lake 53211W 1,800.00$ Engine Core Deposit - Unit #108-15 Water & Sewer Automation Direct 17467015 155.00$ Parts for Wash Bay Public Works Barnum Companies Inc 43370 545.49$ Gate Repairs (PW) Public Works Batteries Plus Bulbs #031 P80055104 211.70$ Batteries - LED Speed Signs Street Dept Blaine Brothers Inc 10004425334 574.80$ Parts - Unit #7101-02 Fire Dept Blaine Brothers Inc 10014423936 49.22$ Parts - Unit #7101-02 Fire Dept Blaine Brothers Inc 10004425557 (71.06)$ Core Credit - Unit #7101-02 Fire Dept Canteen Refreshment Services MSP118466 384.75$ Breakroom Supplies Public Works Canteen Refreshment Services MSP119880 352.34$ Breakroom Supplies Gen Gov't Bldgs Catalyst Graphics Inc 42532 1,722.24$ Utility Bill Mailing Postage (Regular) Water & Sewer Catalyst Graphics Inc 42532 958.56$ Utility Bill Mailing (Regular) Water & Sewer Catalyst Graphics Inc 42533 1,339.29$ Utility Bill Mailing Postage (Autodraft) Water & Sewer Catalyst Graphics Inc 42533 614.28$ Utility Bill Mailing (Autodraft) Water & Sewer Catalyst Graphics Inc 42712 2,048.00$ Utility Bill Stock Water & Sewer CDW Government AC6MG7L 769.80$ HFD Station Remodel - Computer Monitors (10) Fire Dept CDW Government AC6MG7L 299.52$ HFD Station Remodel - Docking Stations (3) Fire Dept CDW Government AC6MG7L 38.10$ HFD Station Remodel - Wireless Keyboards & Mouse (3) Fire Dept Comcast 232730878 509.94$ Business Internet (February) Administration Comcast 232730878 509.94$ Business Internet (February) Public Works Companion Animal Control LLC January 620.60$ Callout Fees & Mileage Animal Control Companion Animal Control LLC January 300.00$ Boarding & Rescue Fees Animal Control Compton, Jim Jr. CLAIM 143.49$ Fire Chief Bootcamp Conference Lodging Fire Dept Compton, Jim Jr. CLAIM 37.74$ Fire Chief Bootcamp Conference Expenses Fire Dept Core & Main LP W355709 4,454.88$ Gate Valve & Hardware Water Utility Core & Main LP W446515 1,210.56$ Watermain Repair Parts & Hardware Water Utility Core & Main LP W479655 (1,147.06)$ Watermain Repair Parts & Hardware (Returned) Water Utility Dan's Towing & Recovery 95952 375.00$ Towing - Unit #108-15 Water & Sewer Denaway, Shayla CLAIM 81.75$ TourdeHugo.com Domain Renewal (2/2025-2/2028) Parks Dept Earl F. Andersen Inc 0138604-IN 344.95$ Street Sign Plates Street Dept Emergency Technical Decon 11846 1,068.00$ Turnout Gear Cleaning Fire Dept Fastenal Company MNTC3235856 234.75$ Gate Valve Hardware Water Utility Forest Lake NAPA January 1,798.87$ Auto Parts & Shop Supplies Various Fox, Richard CLAIM 197.00$ Work Boot Reimbursement Water & Sewer Fox, Richard CLAIM 87.44$ Rain Boot Reimbursement Water & Sewer Gene's Disposal Service Inc 526228 121.64$ February Waste Hauling - City Hall Gen Gov't Bldgs Gene's Disposal Service Inc 526228 258.47$ February Waste Hauling - Fire Station Fire Dept Gene's Disposal Service Inc 526228 1,003.58$ February Waste Hauling - PW Facility Public Works Gene's Disposal Service Inc 526228 253.84$ February Waste Hauling - Rice Lake Room Gen Gov't Bldgs Gene's Disposal Service Inc 526228 311.09$ February Waste Hauling - Lions Park Parks Dept Gene's Disposal Service Inc 526228 253.84$ February Waste Hauling - Hanifl Fields Parks Dept Gopher State One Call 5010490 118.80$ January Service Charges Water & Sewer Gopher State One Call 5010490 50.00$ 2025 Annual User Fee Water & Sewer Hawkins Inc 6976590 6,022.76$ Water Chemicals Water Utility Health Partners 440552256778 32,826.98$ March Health Insurance Various Hoernemann, Ross CLAIM 51.93$ MSFCA Officer School Expenses Fire Dept Hugo Business Association E1270 150.00$ Business Networking Meeting Various Hugo Equipment Company 212998 537.00$ Parts - Vent Saws Fire Dept Hugo Equipment Company 213451 35.97$ Shop Supplies Public Works Hugo Equipment Company 213566 72.97$ Chain Saw Parts (Tree Trimming) Street Dept Hugo Feed Mill 175195 9.99$ Bushing for Hydro Seeder - Unit #420-25 Street Dept Hugo Feed Mill 175251 6.99$ Thermometer - Tower No. 3 Water Utility Innovative Office Solutions LLC IN4756773 66.93$ Certificate Holders Administration Innovative Office Solutions LLC IN4761667 154.15$ Adding Machine Finance Dept Innovative Office Solutions LLC IN4761667 170.28$ Card Stock, Pens, Post Its, Etc. Administration Instrumental Research, Inc. 6125 125.00$ Water Bacteria Testing Water Utility Page 1 City of Hugo Claims March 3, 2025 G. 1 Vendor Invoice Amount Description Department Jefferson Fire & Safety Inc IN323175 287.70$ Parts - Vent Saw Fire Dept Jefferson Fire & Safety Inc IN323175 161.07$ Tempest Smoke Fluid Fire Dept Johnson Controls Fire Protection LP 24551865 1,502.39$ Alarm Testing & Inspection Gen Gov't Bldgs Johnson/Turner December 4,829.00$ Prosecution Fees (Flat Fee) General Legal Johnson/Turner December 294.95$ Disbursements (Prosecution Costs) General Legal Johnson/Turner December 9,013.50$ Civil Legal Fees - See Attached Breakdown General Legal Juba, Rachel CLAIM 140.02$ Meeting Supplies Planning & Zoning Kath Fuel Oil Service Co. 12320094 5,339.88$ January Unleaded Gas & Diesel Purchases Various Klein, Lori January 700.00$ January Cleaning Services (PPP) Parks Dept Knowlan's Super Markets Inc 1426 15.77$ Meeting Supplies Planning & Zoning Laughlin's Pest Control 69772 97.75$ February Pest Control Service Gen Gov't Bldgs Lawson Products 9312187181 1,092.21$ Bulk Hardware Supplies Public Works Lawson Products 9312194205 10.90$ Bulk Hardware Supplies Public Works League of Minnesota Cities 423158 725.00$ Respectful Workplace Training Fire Dept Lincoln National Life Insurance Co. February 1,207.10$ Disability Premium Finance Dept Marco INV13475371 55.31$ February Copier Maintenance Building Inspections Menards 51230 81.39$ Fire Department Supplies Fire Dept Menards 51231 66.79$ HFD Station Remodel - Materials Fire Dept Metro-INET 2435 11,627.00$ February Computer Service Various Minnesota Pollution Control Agency SC-2951 23.00$ Wastewater Certification Renewal - Kieffer Sewer Utility Minnesota Rural Water Association Registration 350.00$ MRWA Conference Registration - Fox Water & Sewer Minnesota Rural Water Association Registration 350.00$ MRWA Conference Registration - Kieffer Water & Sewer Minnesota Rural Water Association Registration 350.00$ MRWA Conference Registration - Klein Water & Sewer Minnesota Rural Water Association Registration 350.00$ MRWA Conference Registration - Nelson Water & Sewer Minnesota Rural Water Association Registration 350.00$ MRWA Conference Registration - Smith Water & Sewer Minnesota Rural Water Association Registration 350.00$ MRWA Conference Registration - Siebenaler Water & Sewer Minnesota Shade Tree Shore Course Registration 235.00$ Shade Tree Short Course - Hollerbach Parks Dept Minnesota Shade Tree Shore Course Registration 235.00$ Shade Tree Short Course - Kieffer Parks Dept Minnesota Shade Tree Shore Course Registration 235.00$ Shade Tree Short Course - Nelson Parks Dept Minnesota Shade Tree Shore Course Registration 235.00$ Shade Tree Short Course - Pettee Parks Dept Minnesota Shade Tree Shore Course Registration 235.00$ Shade Tree Short Course - Smith Parks Dept Minnesota Shade Tree Shore Course Registration 235.00$ Shade Tree Short Course - Souffront Parks Dept O & L Door Systems 130448 330.00$ Exterior Door Repairs (PPP) Parks Dept Olson's Sewer Service Inc 105432 4,207.47$ Watermain Repairs - 5450 159th Street Water Utility Olson's Sewer Service Inc 105432 3,888.79$ Watermain Repairs - Finley Bay & 159th Street Water Utility O'Reilly Auto Parts 5914-324226 2.86$ Parts - Unit #465 Parks Dept Oxygen Service Company 3607494 127.28$ Welding Supplies Public Works Ricoh USA, Inc 108966839 194.61$ March Copier Lease Payment Public Works Rosemount Saw & Tool Co. 357485 131.00$ Blade Sharpening - Unit #350-24 Street Dept SOS Office Furniture 42161 10,134.20$ HFD Station Remodel - Office Furniture Fire Dept Stabner Electric LLC 4786 1,011.50$ Electrical Work - FH Outlets (OSHA Upgrades) Fire Dept Stabner Electric LLC 4799 127.50$ Electrical Work - CH Office Lights Gen Gov't Bldgs TASC IN3316594 50.00$ February Cobra Administration Fee Finance Dept Toshiba Financial Services 5032862973 148.74$ February Copier Lease Payment Fire Dept Toshiba Financial Services 5032862973 21.44$ Overage Charges (Color) Fire Dept Toshiba Financial Services 5032862973 1.95$ Overage Charges (B & W) Fire Dept Total Control Systems Inc 11520 1,055.59$ Tech Labor & Parts - Lift Station No. 4 Sewer Utility UniFirst Corporation 1410118687 27.52$ Restroom Supplies & Floor Mat Services (CH) Gen Gov't Bldgs UniFirst Corporation 1410118706 159.05$ Uniforms, Supplies & Floor Mat Services (PW) Public Works UniFirst Corporation 1410120313 10.55$ Restroom Supplies & Floor Mat Services (CH) Gen Gov't Bldgs UniFirst Corporation 1410120350 157.05$ Uniforms, Supplies & Floor Mat Services (PW) Public Works UniFirst Corporation 1410122012 12.80$ Restroom Supplies & Floor Mat Services (CH) Gen Gov't Bldgs US Bank Equipment Finance 548677806 557.03$ February Copier Service Payment Administration US Bank Equipment Finance 548677806 80.64$ Overage Charges (Color) Administration Verizon Wireless 6104340907 23.42$ Cellular Phone Charges Public Works Verizon Wireless 6104340908 20.02$ Cellular Phone Charges Fire Dept Verizon Wireless 6104951252 971.28$ Cellular Phone Charges Various Washington County 228314 9,695.00$ 2025 Election Maintenance Fees Elections Washington County 228724 325.00$ Year End Tax Stats Finance Dept WSB & Associates December 60,680.75$ Engineering Fees - See Attached Breakdown Various 215,692.48$ Total Claims for March 3, 2025 Page 2 K:\021811-000\Admin\Construction Admin\Pay Requests\021811-000 LTR Final PV to Ctr 022425.docx 178 E 9TH STREET | SUITE 200 | SAINT PAUL, MN | 55101 | 651.286.8450 | WSBENG.COM February 24, 2025 C.W. Houle, Inc. 1300 West Co. Rd I Shoreview, MN 55126 Re: Lift Station no. 12 City of Hugo, MN WSB Project No. 021811-000 Dear C.W. Houle, Inc.: Please find enclosed Construction Pay Voucher No. 6 (final) for the above-referenced project. Please note that the original signed vouchers must be accompanied by the following documents when submitting for final payment. 1.IC134 form. 2.Evidence in the form of an affidavit that all claims against the contractor by reasons of the contract have been fully paid or satisfactorily secured (lien waivers). 3.Consent of Surety to Final Payment certification from the contractor’s surety. 4.Two-year maintenance bond Thank you for your prompt attention to this matter. Sincerely, WSB Mark Erichson, PE Director Municipal Services Attachments kkp                                                                             14669 Fitzgerald Avenue North, Hugo, MN 55038  •  (651) 762‐6300  •  www.ci.hugo.mn.us               TO: Honorable Mayor Tom Weidt and Members of the City Council  FROM: Anna Wobse, Finance Director  SUBJECT: 2025 Fee Schedule Updates to Comply with the New Minnesota Price Transparency Law  DATE: For the City Council Meeting of March 3, 2025      DESIRED COUNCIL ACTION Approve updates to the 2025 Fee Schedule to comply with the new Minnesota Price Transparency Law.  BACKGROUND On January 1, 2025, the State of Minnesota enacted a new Price Transparency Law.  The law mandates that businesses  include all mandatory fees and surcharges in the advertised price of goods and services.  This includes, but is not limited  to, a fee or surcharge that must be paid to purchase the goods or services being advertised, is not reasonably avoidable  by the consumer, or a reasonable person would expect to be included in the purchase of the goods or services being  advertised.  This legislation aims to enhance price transparency and prevent consumers from encountering unexpected  charges.      The law does not apply to government‐imposed fees, such as sales tax and building permit surcharges, which are both  mandated to be collected by the State of Minnesota.      Credit card fees charged to customers by the City’s credit card processor when paying for a permit with a credit card  would not be impacted by this new legislation, as customers can avoid these fees by paying with check or cash.        Council adopted the 2025 Fee Schedule at their December 16, 2024 Council Meeting.  Since the adoption, the State of  Minnesota implemented the new Price Transparency Law.  Staff has reviewed the 2025 Fee Schedule and believes that  the only fee this law would impact is the $2.00 technology fee that is charged on each permit issued through the City’s  electronic permit software.   The technology fee is listed as a separate item on the Fee Schedule, but is not included in  the individual permit costs listed on the Fee Schedule.      The 2025 Fee Schedule will remain unchanged in terms of costs.  The technology fee is simply being added to the  original permit cost to reflect the total amount a customer would pay, before state‐mandated taxes and surcharges.   These adjustments will ensure that the 2025 Fee Schedule complies with state‐mandated requirements.    RECOMMENDATION Staff has updated the 2025 Fee Schedule to comply with the new Price Transparency Law and staff recommends that  Council approve the updates to the Attachment to Ordinance No. 2024‐537; 2025 Fees, Rates and Charges.    ATTACHMENTS   Attachment to Ordinance No. 2024‐537; 2025 Fees, Rates and Charges  CITY OF HUGO ATTACHMENT TO ORDINANCE NO. 2024-537 2025 FEES, RATES AND CHARGES ESCROW FEES AND OTHER BUSINESS LICENSES: ALCOHOL RELATED: On/Off Sale Liquor License Application 500.00$ 3.2 Off-Sale 100.00$ 3.2 On-Sale 150.00$ Club On-Sale 200.00$ Intoxicating Off-Sale 100.00$ Intoxicating On-Sale 2,300.00$ Sunday On-Sale 200.00$ Wine On-Sale 200.00$ Temporary 3.2 or Intoxicating Liquor 15.00$ per day ALCOHOL LAW VIOLATIONS: Type of Violation 1st 2nd 3rd 4th Violation Violation Violation Violation Sale of alcoholic beverage while license is under suspension Revocation N/A N/A N/A Sale/purchase of alcoholic beverages to/by underage person 300.00$ 750.00$ 1,000.00$ * Revocation *and mandatory alcohol awareness class for all employees Sale of alcoholic beverages to obviously intoxicated person 200.00$ 500.00$ 1,000.00$ Revocation After hours sale of alcoholic beverages 300.00$ 750.00$ 1,500.00$ Revocation After hours display or consumption of alcoholic beverages 200.00$ 500.00$ 1,000.00$ Revocation TOBACCO RELATED: Cigarette/Tobacco 100.00$ TOBACCO LAW VIOLATIONS: Type of Violation 1st 2nd 3rd 4th Violation Violation Violation Violation Prohibited sale and/or other illegal acts as defined by ordinance (or permit a person under $1,000 and the age of 21 years to use tobacco products seven (7) day At City Council's on the licensed premises) 300.00$ 600.00$ suspension discretion CANNABIS RELATED: Cannabis Microbusiness -$ Initial Registration Fee 1,000.00$ Registration Renewal Fee Cannabis Mezzobusiness 500.00$ Initial Registration Fee 1,000.00$ Registration Renewal Fee Cannabis Cultivator 500.00$ Initial Registration Fee 1,000.00$ Registration Renewal Fee Cannabis Manufacturer 500.00$ Initial Registration Fee 1,000.00$ Registration Renewal Fee Cannabis Retailer 500.00$ Initial Registration Fee 1,000.00$ Registration Renewal Fee Cannabis Wholesaler 500.00$ Initial Registration Fee 1,000.00$ Registration Renewal Fee Cannabis Transporter 250.00$ Initial Registration Fee 500.00$ Registration Renewal Fee Cannabis Testing Facility 500.00$ Initial Registration Fee 1,000.00$ Registration Renewal Fee Cannabis Delivery Service 250.00$ Initial Registration Fee 500.00$ Registration Renewal Fee Cannabis Event Organizer 375.00$ Initial Registration Fee N\A Registration Renewal Fee Lower-Potency Hemp Edible Manufacturer 500.00$ Initial Registration Fee 500.00$ Registration Renewal Fee Lower-Potency Hemp Edible Retailer 125.00$ Initial Registration Fee 125.00$ Registration Renewal Fee Medical Cannabis Combination Business 500.00$ Initial Registration Fee 1,000.00$ Registration Renewal Fee CANNABIS LAW VIOLATIONS: Type of Violation 1st 2nd 3rd 4th Violation Violation Violation Violation $1,000 and Prohibited sale and/or other illegal acts as defined by seven (7) day At City Council's ordinance or state law 300.00$ 600.00$ suspension discretion OTHER BUSINESSES: Auto Dismantling/Junk Yard 200.00$ Mining 275.00$ 5,000.00$ Peddlers Permit 25.00$ Small Cell Permit - for up to 5 small wireless facility 500.00$ (installed on existing structures) - each additional small wireless facility after initial 5 100.00$ per facility (installed on existing structures) - a new wireless support structure 1,000.00$ per structure Utility Installation 77.00$ $75.00 permit fee plus $2.00 technology fee Waste Hauler License Application 540.00$ Waste Hauler 165.00$ NON-BUSINESS LICENSES & PERMITS: Open Burning - Commercial 50.00$ Open Burning - Residential 25.00$ Special Event Permit 75.00$ Special Event Sign Permit 20.00$ Temporary Mobile Home/Sales Trailer 110.00$ 2,500.00$ BUILDING PERMITS: VALUE RANGE $1 - $500 27.00$ $25.00 permit fee plus $2.00 technology fee $501 - $2,000 27.00$ for the first $25.00 permit fee plus $2.00 technology fee 500.00$ 3.25$ each additional 100.00$ $2,001 - $25,000 73.50$ for the first 2,000.00$ 14.75$ each additional 1,000.00$ $25,001 - $50,000 415.75$ for the first 25,000.00$ 10.75$ each additional 1,000.00$ $50,001 - $100,000 682.50$ for the first 50,000.00$ 7.50$ each additional 1,000.00$ $100,001 - $500,000 1,053.50$ for the first 100,000.00$ 6.00$ each additional 1,000.00$ $500,001 - $1,000,000 3,427.75$ for the first 500,000.00$ 5.00$ each additional 1,000.00$ $1,000,001 and up 5,945.25$ for the first 1,000,000.00$ 4.00$ each additional 1,000.00$ Schedule Adopted by LMC/AMM Bldg Permit Fee Working Group in 2004 Page 1 CITY OF HUGO ATTACHMENT TO ORDINANCE NO. 2024-537 2025 FEES, RATES AND CHARGES ESCROW FEES AND OTHER BUILDING PERMIT SURCHARGES: The following fees are found in Minnesota Statute 326B.148 Fixed Fee Permit (includes building, plumbing, mechanical, utility and electrical permits): fee is the greater of .0005 of fee or $1.00 Permits Based on Value: (1) if valuation is $1,000,000 or less .0005 of value (2) if valuation is greater than $1,000,000 $ 500 + .0004 of value between $1,000,000 and $2,000,000 (3) if valuation is greater than $2,000,000 $ 900 + .0003 of value between $2,000,000 and $3,000,000 (4) if valuation is greater than $3,000,000 $1,200 + .0002 of value between $3,000,000 and $4,000,000 (5) if valuation is greater than $4,000,000 $1,400 + .0001 of value between $4,000,000 and $5,000,000 (6) if valuation is greater than $5,000,000 $1,500 + .00005 of value that exceeds $5,000,000 TECHNOLOGY FEE 2.00$ per permit BUILDING RELATED: Air Conditioning (central)32.00$ $30.00 permit fee plus $2.00 technology fee Air-to-Air Heat Exchanger 32.00$ $30.00 permit fee plus $2.00 technology fee Building Moving 112.00$ 2,500.00$ $110.00 permit fee plus $2.00 technology fee City Inspection Fee (one hour minimum)62.00$ per hour $60.00 per hour charge plus $2.00 technology fee Building Permit Refund Charge 20% of permit Driveway 57.00$ $55.00 permit fee plus $2.00 technology fee Electrical set by contractor fees are available at https://www.ci.hugo.mn.us/building_permits plus $2.00 technology fee Fireplace (zero-clearance)32.00$ $30.00 permit fee plus $2.00 technology fee Gas Piping 32.00$ $30.00 permit fee plus $2.00 technology fee Mechanical 37.00$ plus 1 hour minimum inspection fee $35.00 permit fee plus $2.00 technology fee Plumbing (per fixture) 8.00$ plus 1 hour minimum inspection fee Plan Review Fee - Identical Plans 25% of building permit fee plus $2.00 technology fee Plan Review Fee - Non-Identical Plans 65% of building permit fee plus $2.00 technology fee DEMOLITION RELATED: Accessory Building 62.00$ $60.00 permit fee plus $2.00 technology fee Commercial or Residential Building 122.00$ 1,000.00$ $120.00 permit fee plus $2.00 technology fee DEVELOPMENT FEES: Escrow for Engineering & Legal 4% of cost of improvements Letter of Credit or Cash Escrow 125% of cost of improvements City Engineering Technician Inspections 93.00$ per hour Parkland Dedication: Commercial and Industrial Exempt Residential 3,400.00$ per unit Pavement Maintenance (formerly sealcoating fee) 4.50$ per lineal foot Snowplowing 0.500$ per lineal foot Stormwater Trunk Fee 0.07$ per square foot of net developable area LOCAL GOVERNMENT UNIT (LGU) FEES: No-Loss Exemption Determination 350.00$ 1,000.00$ Delineation Approval 500.00$ 1,000.00$ Replacement Plan Application 700.00$ 2,500.00$ Wetland Banking Application 1,600.00$ 5,000.00$ Annual Wetland Mitigation Monitoring 2,500.00$ 5-year escrow (annually) All Other Wetland Services 200.00$ LGU fees are in addition to planning & zoning fees (and escrows) identified below. PLANNING & ZONING RELATED: CONDITIONAL/INTERIM USE RELATED: Conditional/Interim Use Permit Application 500.00$ 1,000.00$ Commercial Only Conditional/Interim Use Permit Amendments 250.00$ Interim Use Permit Renewal 250.00$ COMPREHENSIVE PLAN RELATED: Comprehensive Plan Amendment 540.00$ PLANNED UNIT DEVELOPMENT RELATED: Planned Unit Development Application $800 + $20 per lot 5,000.00$ Planned Unit Development Amendment 325.00$ 2,500.00$ PROPERTY LINE RELATED: Encroachment Agreements 120.00$ Property Line Adjustment Application 150.00$ REZONING RELATED: Rezoning Application (less than 5 acres) 540.00$ 1,000.00$ Rezoning Application (more than 5 acres) 1,080.00$ 1,000.00$ Rezoning to Long-Term Agricultural 135.00$ SITE PLAN RELATED: Commercial or Industrial Site Plan 350.00$ 5,000.00$ Farm Site Plan 32.00$ $30.00 permit fee plus $2.00 technology fee Sketch Plan Review 110.00$ STREET & ROADWAY RELATED: Street and Easement Vacation 110.00$ 1,000.00$ SUBDIVISION RELATED: Payable with Preliminary AND Final Plat Applications Minor Subdivision - Rural (3 lots or less) 220.00$ 1,000.00$ Minor Subdivision - Urban (3 lots or less) 220.00$ 2,000.00$ Subdivision - 4 to 15 lots 540.00$ 5,000.00$ Subdivision - 16 to 30 lots 700.00$ 10,000.00$ Subdivision - 31 to 100 lots $25 per lot 20,000.00$ Subdivision - Over 100 Lots $25 per lot 30,000.00$ VARIANCE RELATED: Variance to Zoning Ordinance 200.00$ Minor Deviations to Zoning Ordinance 200.00$ PUBLICATIONS: Audit/Comprehensive Plan 55.00$ Municipal Code 125.00$ Zoning Map 7.00$ Zoning Ordinance 65.00$ Other Publications Cost + 10% DVD Recordings 10.00$ Official Newspaper Exempt PUBLIC WORKS RELATED: Grass/Weed Mowing (with zero-turn mower only) 130.00$ first half hour (minimum charge) Grass/Weed Mowing (with zero-turn mower only) 130.00$ each additional hour or fraction thereof Maintenance Worker (no equipment) 80.00$ per hour Maintenance Worker w/pickup truck 130.00$ per hour All Other Equipment w/operator 205.00$ per hour Page 2 CITY OF HUGO ATTACHMENT TO ORDINANCE NO. 2024-537 2025 FEES, RATES AND CHARGES ESCROW FEES AND OTHER ROADWAY RECONSTRUCTION/REHAB: Single-Family Residential/Duplex Rates: Complete Reconstruction 5,200.00$ per unit Partial Reconstruction 4,100.00$ per unit Roadway Reclamation/Overlay 3,400.00$ per unit Urban Roadway Overlay 2,100.00$ per unit Rural Roadway Overlay 1,800.00$ per unit UTILITY RELATED: Water Utility Permit 32.00$ $30.00 permit fee plus $2.00 technology fee Water Infrastructure Fee (in lieu of assessment) 3,100.00$ per SAC unit as determined by MCES Sewer Utility Permit 32.00$ $30.00 permit fee plus $2.00 technology fee Sewer Infrastructure Fee (in lieu of assessment) 3,100.00$ per SAC unit as determined by MCES City Sewer Availability Charges (SAC): - Sewer Infrastructure Trunk Fee 1,632.00$ per SAC unit as determined by MCES - Sewer Infrastructure Connection Fee 588.00$ per SAC unit as determined by MCES - Total SAC Fee 2,220.00$ City Water Availability Charges (WAC): - Water Infrastructure Trunk Fee 1,960.00$ per SAC unit as determined by MCES - Water Infrastructure Connection Fee 680.00$ per SAC unit as determined by MCES - Total WAC Fee 2,640.00$ Water Meter Rental - Standard Residential 3/4"472.00$ plus sales tax of $39.37; $470.00 meter plus $2.00 technology fee Water Meter Rental - Commercial - 1" Meter 617.00$ E-Series plus sales tax of $51.51; $615.00 meter plus $2.00 technology fee Water Meter Rental - Commercial - 1&1/2" Meter 1,092.00$ E-Series plus sales tax of $91.30; $1,090.00 meter plus $2.00 technology fee Water Meter Rental - Commercial - 2" Meter 1,382.00$ E-Series plus sales tax of $115.58; $1,380.00 meter plus $2.00 technology fee Water Meter Rental - Commercial - Larger than 2" Cost + 10% Not a stocked item Call for availability and pricing plus $2.00 technology fee Water Meter Rental - Irrigation - 1" Meter 647.00$ + 1 WAC Fee $2,640 plus sales tax of $54.02; $645.00 meter plus $2.00 technology fee Water Meter Rental - Irrigation - 1&1/2" Meter 1,122.00$ + 2 WAC Fees $5,280 plus sales tax of $93.80; $1,120.00 meter plus $2.00 technology fee Water Meter Rental - Irrigation - 2" Meter 1,412.00$ + 2 WAC Fees $5,280 plus sales tax of $118.10; $1,410.00 meter plus $2.00 technology fee Water Meter Rental - Irrigation - Larger than 2" Cost + 10% + WAC Fees as determined by City Engineer plus $2.00 technology fee Water Meter Testing 80.00$ Refundable if meter is faulty Water Meter No-Access Penalty 200.00$ per quarter Hydrant Water (per truck load) 30.00$ Hydrant Meter Rental - Deposit 700.00$ refundable deposit Hydrant Meter Rental - Use Charges 20.00$ per day rental fee + actual usage calculated at the per thousand gallons irrigation rate reflected on the current Utility Rate Schedule Water Shut-Off Cap (Curb Stop)32.00$ plus sales tax of $2.52; $30.00 part plus $2.00 technology fee Water Shut-Off Cap Repair Lid (Curb Stop)57.00$ plus sales tax of $4.61; $55.00 part plus $2.00 technology fee Driveway Curb Stop Cover (A1-AY McDonald)202.00$ plus sales tax of $16.75; $200.00 part plus $2.00 technology fee Gate Valve Cap 32.00$ plus sales tax of $2.52; $30.00 part plus $2.00 technology fee Standard Radio 217.00$ replacement plus sales tax of $18.01; $215.00 part plus $2.00 technology fee Dual Port Radio 257.00$ replacement plus sales tax of $21.36; $255.00 part plus $2.00 technology fee RENTALS: Room Rental (City Hall, Rice Lake Centre, Hanifl Shelter & Lions Park Pavilion): NON-PROFIT RATE: Rice Lake Centre (RLC) -$ Free Oneka Room, Hanifl Gathering Room 20.00$ for up to 4 hours RESIDENT RATE: Oneka Room, RLC, Hanifl Gathering Room 100.00$ per rental up to 4 hours $500.00 Alcohol Damage Deposit Oneka Room, RLC, Hanifl Gathering Room 150.00$ per rental more than 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Gathering Room 200.00$ per rental up to 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Gathering Room 400.00$ per rental more than 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Gathering Room w/ Servery 250.00$ per rental up to 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Gathering Room w/ Servery 450.00$ per rental more than 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Entire Building 300.00$ per rental up to 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Entire Building 600.00$ per rental more than 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Conference Room 20.00$ for 2 hours Pedersen Pavilion Picnic Shelter 100.00$ for 2 hours NON-RESIDENT RATE: Oneka Room, RLC, Hanifl Gathering Room 200.00$ per rental up to 4 hours $500.00 Alcohol Damage Deposit Oneka Room, RLC, Hanifl Gathering Room 300.00$ per rental more than 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Gathering Room 400.00$ per rental up to 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Gathering Room 800.00$ per rental more than 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Gathering Room w/ Servery 450.00$ per rental up to 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Gathering Room w/ Servery 850.00$ per rental more than 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Entire Building 500.00$ per rental up to 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Entire Building 1,100.00$ per rental more than 4 hours $500.00 Alcohol Damage Deposit Pedersen Pavilion Conference Room 20.00$ for 2 hours Pedersen Pavilion Picnic Shelter 200.00$ for 2 hours Park Shelter Rental: Permit 5.00$ per permit Soccer Field Rental: Permit for Youth Organizations (full-sized field) 3,250.00$ per season Permit for Youth Organizations (U11/U12 or other) 2,750.00$ per season Youth Tournament Fee 40.00$ per game Permit for Adult or Other Organizations 75.00$ per hour Baseball Field Rental: Permit for Youth Organizations 10.00$ per day Permit for Other Organizations 30.00$ per day Page 3 CITY OF HUGO ATTACHMENT TO ORDINANCE NO. 2024-537 2025 FEES, RATES AND CHARGES ESCROW FEES AND OTHER MISCELLANEOUS CHARGES: Assessment Search 30.00$ Conduit Bond Financing 1/2 of 1 % of bond principal (may be negotiated based on size and purpose) Copies: Public Data Requests (100 copies and under) 0.250$ per copy Public Data Requests (over 100 copies) 0.300$ per copy over 100 All Other 0.300$ per copy Document Certification 20.00$ Document Recording 80.00$ Property Ownership Search 55.00$ Records Search 60.00$ per hour Service Charge for Returned Checks 30.00$ Service Charge for Disputed Credit Card Transactions 30.00$ Special Meetings: City Council 1,030.00$ Planning Commission 515.00$ Page 4 14669 Fitzgerald Avenue North, Hugo, MN 55038  •  (651) 762‐6300  •  www.ci.hugo.mn.us TO: Honorable Mayor Tom Weidt and Members of the City Council  FROM: Anna Wobse, Finance Director  SUBJECT: Approve Transfer of Remaining Lions Park Bond Proceeds   DATE: For the City Council Meeting of March 3, 2025  DESIRED COUNCIL ACTION  Approve the transfer of remaining Lions Park bond proceeds to the Street CIP Fund.    BACKGROUND  On September 7, 2021, the City of Hugo issued $8,170,000 in General Obligation Tax Abatement Bonds  to finance public improvements to Lions Park and other related public improvements.  The bond  proceeds were recognized in the Lions Park Construction Fund and used to cover expenses related to  the improvement of Lions Park.  All financial obligations related to the construction of Lions Volunteer  Park and the Peder Pedersen Pavilion have been satisfied, and bond proceeds remain in the Lions Park  Construction Fund.  As stated in the bond documents, bond proceeds may also be used to cover  expenses related to various public improvements associated with the Lions Park improvement project.   Upper 146th Street and Fitzgerald Avenue, which are adjacent to Lions Volunteer Park, were  reconstructed to accommodate the improvements to the park and provide on‐street parking for park  visitors.  The costs associated with the reconstruction of Upper 146th Street and Fitzgerald Avenue were  paid out of the Street CIP Fund and are related public improvements, making them an eligible use of  bond proceeds as outlined in the bond documents.  RECOMMENDATION  Staff recommends that Council adopt the resolution approving the transfer of remaining Lions Park bond  proceeds to the Street CIP Fund.  These remaining bond proceeds will partially cover the costs  associated with the reconstruction of Upper 146th Street and Fitzgerald Avenue, which were  reconstructed to accommodate the improvements to Lions Volunteer Park.   ATTACHMENTS  Resolution Approving the Transfer of Remaining Lions Park Bond Proceeds to the Street CIP Fund. CITY OF HUGO RESOLUTION 2025 - ___ RESOLUTION APPROVING THE TRANSFER OF REMAINING LIONS PARK BOND PROCEEDS TO THE STREET CIP FUND WHEREAS, on September 7, 2021, the City of Hugo issued $8,170,000 in General Obligation Tax Abatement Bonds to finance public improvements to Lions Park and other related public improvements. WHEREAS, the bond proceeds were recognized in the Lions Park Construction Fund and used to cover expenses related to the improvement of Lions Park. WHEREAS, all financial obligations related to the construction of Lions Volunteer Park and the Peder Pedersen Pavilion have been satisfied. WHEREAS, $147,752.15 of bond proceeds remain in the Lions Park Construction Fund, and as stated in the bond documents, bond proceeds may also be used to cover expenses related to various public improvements associated with the Lions Park improvement project. WHEREAS, Upper 146th Street and Fitzgerald Avenue, which are adjacent to Lions Volunteer Park, were reconstructed to accommodate the improvements to the park and provide on-street parking for park visitors. WHEREAS, the expenses related to the reconstruction of Upper 146th Street and Fitzgerald Avenue were paid out of the Street CIP Fund. NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Hugo, Minnesota, that the remaining bond proceeds be transferred from the Lions Park Construction Fund to the Street CIP Fund to cover a portion of the expenses related to the reconstruction of Upper 146th Street and Fitzgerald Avenue, which are related public improvements and eligible uses of bond proceeds as outlined in the bond documents. Adopted by the City Council of the City of Hugo, Minnesota this 3rd day of March, 2025. _______________________ Tom Weidt, Mayor Attested: _______________________ Michele Lindau, City Clerk 14669 Fitzgerald Avenue North, Hugo, MN 55038   • (651) 762‐6300  •   www.ci.hugo.mn.us  TO: Honorable Mayor Tom Weidt and Members of the City Council  FROM: Anna Wobse, Finance Director  SUBJECT: 2025 Water and Sanitary Sewer Service Rates  DATE: For the City Council Meeting of March 3, 2025  DESIRED COUNCIL ACTION Adoption of Resolution Approving a Pro Forma Financial Guide for Water and Sanitary Sewer Operations for the 2025  Fiscal Year and Establishing Service Rates.  BRIEF HISTORY  The utility fund operates as an enterprise fund and therefore it does not receive revenue from property taxes.  The fund  is financed through user fees paid for services provided instead of property taxes.   Over the last seven years, the Finance Department has prepared the water and sewer rate schedules rather than  outsourcing the task to a consulting firm.  The Finance Department has collected, organized and analyzed water usage  information and staff is ready to recommend water and sanitary sewer rates for the 2025 fiscal year.    PRO FORMA FINANCIAL GUIDE  In order to develop service rates staff developed a pro forma financial guide (basically a budget) for the Water and  Sewer Departments.  Staff feels that the spending items identified in the guide reflect the true and actual expenses for  the services being provided.  Funds for large repair items (such as pump repairs, water main breaks and lift station  rebuilds) have been identified separately.    In 2022, the Public Works Department moved into a new larger facility and a new larger facility continues to bring  increased costs for maintenance contracts and other services.  Both the water and sewer budgets reflect their portion  of those increases.    Inflation continues to impact the cost of everyday supplies needed to maintain a safe and reliable distribution system.   Utilities and insurance are also seeing continued increases, all of which contribute to higher operational costs for the  Water & Sewer Departments.  This year funds have been allocated in the sewer budget for submersible pump repairs.  The sewer fund budget also  continues to see sizable increases from Metropolitan Council Environment Services for sewage treatment.  Water and sewer rates were last adjusted in 2024.  However, those adjustments only impacted separately metered  irrigation usage and the base fees for sanitary sewer services.  2025 Water and Sewer Rates Memo   Page 2 of 4  WATER RATES AVERAGE QUARTERLY USAGE LEVELS AND PRICE POINTS  Water rates have been crafted around the quarterly residential usage levels from 2022 and 2023.  The proposed usage  levels and usage rates are as follows:  Average Winter Usage:      11,871 gallons        First 11,000 gallons billed at $1.15 per thousand gallons  Average Spring Usage:       20,994 gallons      Next   9,000 gallons billed at $2.30 per thousand gallons  Average Summer Usage:   28,638 gallons      Next   9,000 gallons billed at $3.45 per thousand gallons  Average Fall Usage:            12,730 gallons      Over 29,000 gallons billed at $6.45 per thousand gallons  Water pumped in 2024 decreased compared to 2023 and 2022, highlighting the need for an effective rate schedule that  produces a stable revenue stream.  To meet our water budget needs, staff is recommending a 15% increase to both the  water base charge and volume rate usage fees for all customers.  This revenue will offset annual depreciation and a  portion of operating expenses.  TRUE CONSERVATION RATES  Water service rates are established using a conservation rate schedule, which seeks to reward low‐end users with the  lowest rate while encouraging everyone to use water efficiently.  All separately metered irrigation will be charged $8.40  per thousand gallons, up from $6.45 per thousand gallons.  This revenue will offset a portion of operating expenses to  help allow us to keep lower usage rates for low‐end water users.    With the recommended rate schedule, all 4,000 residential accounts will experience an annual increase of $22.00 in  their water bills due to the increase in the quarterly base charge.  Of course, their quarterly bills will fluctuate based on  water usage.  For an average single‐family residential water user that means the proposed water rates would result in a yearly water  bill of $297.00, versus $258.00 at the previous rates.  MULTI‐FAMILY RESIDENTIAL RATES  The city has 195 multi‐family accounts that contain 1,433 dwelling units.  Prior to 2018 these accounts were billed the  same as single‐family residential accounts.  Analysis showed that these accounts used 45% less water since their  irrigation is metered separately (and billed at the highest rate).  Staff is recommending retaining just one rate level ‐  $2.30 per thousand gallons, which would be the volume rate usage tier for average residential water usage.  Billing in this manner also ensures the city complies with State Statute 103G.291, Subdivision 4, which mandates that if  a conservation rate is applied to multi‐family dwellings, the rate structure must consider each residential unit as an  individual user.    With the recommended rate schedule, multi‐family accounts will see an annual increase of $22.00 in their water bills  due to the increase in the quarterly base charge.  Of course, their quarterly bills will fluctuate based on water usage.  2025 Water and Sewer Rates Memo   Page 3 of 4  COMMERCIAL AND INDUSTRIAL RATES   Commercial and Industrial water users have different rates and usage levels compared to residential water users.  Their  rates and usage levels are determined based on Residential Equivalent Units (REUs), which measure how their usage  compares to a typical household, ensuring that both categories are billed appropriately according to their water  consumption.  Commercial and Industrial water users will also see an increase in both the base charge and volume rate usage fee.  The  111 accounts in this category will see an annual increase of $22.00 in their water bills due to the increase in the  quarterly base charge.  Of course, their quarterly bills will fluctuate based on water usage.  SANITARY SEWER RATES The largest expense item in the sewer department is for sewage treatment.  These charges are imposed by and paid to  Metropolitan Council Environment Services (MCES).  For 2025, MCES charges will amount to $974,559, an increase of  $31,241 or 3.31%.  In 2024, the city experienced a 11.23% increase from MCES. In 2023 the increase from MCES was  18.13% and in 2022 the increase was 20%.  While the increase in 2025 is smaller compared to previous years, staff  anticipates continuing yearly fee increases from MCES for sewage treatment.  When combined with depreciation and  funds for lift‐station rebuilds and submersible pump repairs, staff is recommending an increase in both the base portion  of the rate schedule and also the amount charged for metered water use (flow).  Residential sewer charges will  continue to be based on water used in the winter quarter (January, February and March).    For residential customers, the base amount per SAC unit will increase 15% to $85.00 per quarter, up from $74.00 per  quarter.  Commercial, Industrial and Institutional customers will also see a base amount increase per SAC unit of 15%,  for a base charge of $26.50 per quarter, up from $23.00 per quarter.  This group of customers is charged for actual  water use (flow) each quarter.    Usage fees will also see an increase.  Residential flow over 9,000 will increase to $2.40 per thousand gallons, up from  $2.09 per thousand gallons.  Commercial, Industrial and Institutional flow over 3,000 will increase to $2.40 per  thousand gallons, up from $2.09 per thousand gallons.  For an average single‐family residential sewer user that means the proposed sewer rates would results in a yearly sewer  bill of $368.00 versus $320.00 at the pervious rates.  SUMMARY All water users will see a base rate increase of $22.00 annually, or $5.50 per quarter.  All water customers will also  experience increased usage rates for water used.   Irrigation that is metered separately will see their usage rate increased to $8.40 per thousand gallons (for all gallons  used) up from $6.45 per thousand gallons.    Residential sewer customers will see a base rate increase of $44.00 per SAC unit annually, or $11.00 per SAC unit each  quarter.  These customers will also see an increased usage rate for gallons used over 9,000 gallons.  The usage rate  increase will have a minimal effect on residential sewer bills because their sewer charges are based on water used in  the winter quarter.   2025 Water and Sewer Rates Memo   Page 4 of 4  Commercial, Industrial and Institutional sewer customers will see a base rate increase of $14.00 per SAC unit annually,  or $3.50 per SAC unit each quarter.  These customers will also see an increased usage rate for gallons used over 3,000.   These customers are billed each quarter based on actual usage.   Overall, an average single‐family residential utility customer would be charged $665.00 annually for both water and  sewer services.  This equates to $166.25 a quarter or $55.42 a month, reflecting a monthly increase of $7.25 compared  to the 2024 rates.   This past November, Metropolitan Council Environmental Services published a comparison of 2024 sewer rates across  the seven‐county metropolitan area served by MCES. The study examined rates from 111 communities based on an  annual consumption of 60,000 gallons.  The lowest annual cost was $160.00, while the highest annual cost was  $1,048.00, with an average annual cost of $419.00.  Hugo’s reported annual cost of $346.00 is well below the reported  average and ranked 39th lowest on the list.   MCES last updated their water rate study in 2016, comparing 93 communities based on 75,456 gallons consumed  annually, with an average cost of $268.56 a year.  That data is nearly a decade old, and factoring in just a small 3%  increase over those years would result in an average annual cost of $350.00.  Using the proposed water rates for 2025,  a single‐family residential water user in Hugo, consuming the same gallons, would see a yearly bill of approximately  $300.00.  The overall goal is to provide adequate revenue to cover water and sewer operations as contained in the pro forma  financial guide.  The fund should neither operate with a deficit, nor generate excessive profits.  The utility fund operates  under the principle that cash on hand should equal the amount of accumulated depreciation, with any profits earned  retained in the fund to support that goal.  DIRECTION TO STAFF  The attached resolution adopts the pro forma financial guide assembled by the Finance Department and approves the  recommended rate schedules.  It also directs the Finance Department to develop a pro forma financial guide and  service rates on an annual basis going forward.    Upon approval, a notice of the new rates will be provided to all municipal utility customers.  ATTACHMENTS  Resolution Adopting the Pro Forma Financial Guide and Rate Schedule  2025 Water and Sewer Rate Schedule (year to year comparison)  Water and Sanitary Sewer Operations Pro Forma Financial Guide for 2025  RESOLUTION 2025 - RESOLUTION ADOPTING A PRO FORMA FINANCIAL GUIDE FOR WATER AND SANITARY SEWER OPERATIONS FOR THE 2025 FISCAL YEAR AND ESTABLISHING SERVICE RATES WHEREAS, the Finance Department has developed a pro forma financial guide for water and sanitary sewer operations for the 2025 fiscal year; and WHEREAS, it is necessary to provide adequate revenue for water and sanitary sewer operations as contained in the pro forma financial guide; and WHEREAS, the water and sanitary sewer service rates recommended herein reflect the true and actual expenses incurred by the city for the services being provided. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hugo, Minnesota, as follows: 1.The pro forma financial guide for water and sanitary sewer operations for the 2025 fiscal year, attached hereto and made a part of this resolution, is hereby approved. 2.The water and sanitary sewer service rates for the 2025 fiscal year, attached hereto and made a part of this resolution, are hereby approved and shall remain in effect until altered by resolution of the City Council or until otherwise altered by law. 3.The Finance Department is hereby directed to provide notice to all municipal utility customers advising them of the water and sanitary sewer service rates approved herein. 4.The Finance Department is hereby directed to develop a pro forma financial guide and recommended service rates on an annual basis going forward. Upon roll call, the following Members voting AYE: Upon roll call, the following Members voting NAY: Whereupon said resolution was declared passed and adopted this 3rd day of March, 2025. ______________________________ Tom Weidt, Mayor ATTEST: __________________________ Michele Lindau, City Clerk Gallons/Qtr. Rate Gallons/Qtr. Rate Base Rate:$36.00 per quarter Base Rate:$41.50 per quarter Volume Rate: Volume Rate: 1 ‐ 11,000 $1.00 per thousand 1 ‐ 11,000 $1.15 per thousand 11,001 ‐ 20,000 $2.00 per thousand 11,001 ‐ 20,000 $2.30 per thousand 20,001 ‐ 29,000 $3.00 per thousand 20,001 ‐ 29,000 $3.45 per thousand 29,000+$5.61 per thousand 29,000+$6.45 per thousand Gallons/Qtr. Rate Gallons/Qtr. Rate Base Rate:$36.00 per quarter Base Rate:$41.50 per quarter Volume Rate: Volume Rate: All Gallons $2.00 per thousand All Gallons $2.30 per thousand Gallons/Qtr. Rate Gallons/Qtr. Rate Base Rate:$36.00 per quarter Base Rate:$41.50 per quarter Volume Rate: Volume Rate: 1 ‐ 5,000 $1.00 per thousand 1 ‐ 5,000 $1.15 per thousand 5,001+$1.65 per thousand 5,001+$1.90 per thousand Gallons/Qtr. Rate Gallons/Qtr. Rate Volume Rate: Volume Rate: All Gallons $6.45 per thousand All Gallons $8.40 per thousand Gallons/Qtr. Rate Gallons/Qtr. Rate Charge for Each SAC Unit $74.00 per quarter Charge for Each SAC Unit $85.00 per quarter Single Family = 1 SAC Unit Single Family = 1 SAC Unit Multi‐Family = 1 SAC Unit per Dwelling Multi‐Family = 1 SAC Unit per Dwelling Volume Rate: Volume Rate: 1 ‐ 9,000 No Charge 1 ‐ 9,000 No Charge 9,001+$2.09 per thousand 9,001+$2.40 per thousand Gallons/Qtr. Rate Gallons/Qtr. Rate Charge for Each SAC Unit $23.00 per quarter Charge for Each SAC Unit $26.50 per quarter SAC Units Vary by Building SAC Units Vary by Building Volume Rate: Volume Rate: 1 ‐ 3,000 No Charge 1 ‐ 3,000 No Charge 3,000+$2.09 per thousand 3,000+$2.40 per thousand 2024 Multi‐Family Residential Water 2025 Multi‐Family Residential Water City of Hugo Utility Rates Effective January 1, 2025 2024 Rates 2025 Rates 2024 Single‐Family Residential Water 2025 Single‐Family Residential Water 2024 Commercial, Industrial and Institutional Water 2025 Commercial, Industrial and Institutional Water 2024 Irrigation (Metered Separately) 2025 Irrigation (Metered Separately) 2024 Residential Sewer 2025 Residential Sewer April, 2024 (for the January, February and March Quarter) April, 2025 (for the January, February and March Quarter) The number of gallons charged for residential sewer service shall be the same for all quarters and shall be determined by the amount of water used during the winter quarter (January, February and March) 2024 Commercial, Industrial and Institutional Sewer 2025 Commercial, Industrial and Institutional Sewer 2024 rates will first apply to the bill you receive in 2025 rates will first apply to the bill you receive in 2025 Water and Sanitary Sewer Operations  Pro Forma Financial Guide ACCOUNT ACCOUNT 2024 2025 NUMBER DESCRIPTION Budget Budget Notes WATER REVENUES: Budget Budget 601-371.000-371.100 Water Billings: - Residential 1,312,334.00$ 1,459,565.00$ Based on 2024 Actual Usage - Multi Family 140,000.00$ 182,500.00$ Based on 2024 Actual Usage - Irrigation 475,000.00$ 470,500.00$ Based on 2024 Actual Usage - Less City Irrigation Accounts (35,000.00)$ (35,000.00)$ Based on 2024 Actual Usage - Commercial 35,000.00$ 43,500.00$ Based on 2024 Actual Usage - Industrial 20,000.00$ 23,750.00$ Based on 2024 Actual Usage - Educational 3,600.00$ 4,500.00$ Based on 2024 Actual Usage 601-371.000-371.100 Water Billings 1,950,934.00$ 2,149,315.00$ 601-371.000-371.100 Account Adjustments -$ -$ Small adjustments to accounts receivable 601-371.000-371.100 Hydrant Water Sales 2,000.00$ 2,500.00$ Truck loads of unmetered hydrant water 601-371.000-371.600 Water Penalties 20,000.00$ 20,000.00$ Based on 2024 Actual 601-371.000-371.700 Water Meters 25,000.00$ 23,500.00$ $470 x 50 new homes 601-371.000-371.800 Smart Irrigation Controllers -$ -$ Only a few left….grant program over TOTAL WATER REVENUES 1,997,934.00$ 2,195,315.00$ WATER EXPENSES: Budget Budget Operation & Maintenance Wages: 601-494.300-401.101 Public Works Director 52,152.00$ 54,759.00$ 33% of Pay Grade 11 Max 601-494.300-401.101 - 27 Pay Periods in 2024 1,837.00$ -$ 27 Pay Periods in 2024 601-494.300-401.101 Compensated Absences - PW Director 2,000.00$ 2,000.00$ 33% of increase in PTO Bank 601-494.300-401.101 Public Works Superintendent 35,037.00$ 38,459.00$ 33% of Pay Grade 8 Max 601-494.300-401.101 - 27 Pay Periods in 2024 1,235.00$ -$ 27 Pay Periods in 2024 601-494.300-401.101 Compensated Absences - Superintendent 1,000.00$ 2,000.00$ 33% of increase in PTO Bank 601-494.300-401.101 Lead Worker 38,027.00$ 41,724.00$ 50% of Pay Grade 6 Step 4 601-494.300-401.101 - 27 Pay Periods in 2024 1,400.00$ -$ 27 Pay Periods in 2024 601-494.300-401.106 In Lieu of Health Insurance - Lead Worker 3,000.00$ 3,000.00$ $250/month for waived coverage 601-494.300-401.101 Compensated Absences - Lead Worker 1,000.00$ 1,000.00$ 50% of increase in PTO Bank 601-494.300-401.101 Maintenance Worker 38,587.00$ 40,517.00$ 50% of Pay Grade 5 Maximum 601-494.300-401.101 - 27 Pay Periods in 2024 1,421.00$ -$ 27 Pay Periods in 2024 601-494.300-401.101 Compensated Absences - Maintenance Worker 1,000.00$ 1,000.00$ 50% of increase in PTO Bank 601-494.300-401.111 Standby Pay 10,240.00$ 10,400.00$ 50% of $400/week 601-494.300-401.113 Overtime - Superintendent 5,255.00$ 5,770.00$ 33% of 208 hours (10%) @ overtime rate 601-494.300-401.113 Overtime - Lead Worker 5,704.00$ 6,259.00$ 104 hours (10%) @ overtime rate 601-494.300-401.113 Overtime - Maint Worker 5,788.00$ 6,078.00$ 104 hours (10%) @ overtime rate 204,683.00$ 212,966.00$ Fringe Benefits: 601-494.300-401.121 Pera - Director 4,050.00$ 4,107.00$ 7.5% of Salary 601-494.300-401.121 Pera - Superintendent 3,115.00$ 3,317.00$ 7.5% of Salary & Overtime 601-494.300-401.121 Pera - Lead Worker 3,385.00$ 3,599.00$ 7.5% of Salary & Overtime 601-494.300-401.121 Pera - Maint Worker 3,435.00$ 3,495.00$ 7.5% of Salary & Overtime 601-494.300-401.121 Pera - Standby Pay 768.00$ 780.00$ 7.5% of Standby Pay 601-494.300-401.122 Fica - Director 3,348.00$ 3,396.00$ 6.2% of Salary 601-494.300-401.121 Fica - Superintendent 2,575.00$ 2,743.00$ 6.2% of Salary & Overtime 601-494.300-401.122 Fica - Lead Worker 2,798.00$ 2,975.00$ 6.2% of Salary & Overtime 601-494.300-401.122 Fica - Maint Worker 2,840.00$ 2,889.00$ 6.2% of Salary & Overtime 601-494.300-401.122 Fica - Standby Pay 635.00$ 645.00$ 6.2% of Standby Pay 601-494.300-401.123 Medicare - Director 783.00$ 794.00$ 1.45% of Salary 601-494.300-401.123 Medicare - Superintendent 602.00$ 642.00$ 1.45% of Salary & Overtime 601-494.300-401.123 Medicare - Lead Worker 654.00$ 696.00$ 1.45% of Salary & Overtime 601-494.300-401.123 Medicare - Maint Worker 664.00$ 676.00$ 1.45% of Salary & Overtime 601-494.300-401.123 Medicare - Standby Pay 149.00$ 151.00$ 1.45% of Standby Pay 601-494.300-401.131 Health Insurance - Director 11,163.00$ 12,642.00$ 33% of HealthPartners High-Deductible Plan 601-494.300-401.131 Health Insurance - Superintendent 4,711.00$ 5,386.00$ 33% of HealthPartners High-Deductible Plan 601-494.300-401.131 Health Insurance - Maint Worker 6,782.00$ 7,806.00$ 50% of HealthPartners High-Deductible Plan 601-494.300-401.131 Contributions to Employee Health Savings Accounts -$ -$ Offset Higher Deductible 601-494.300-401.132 Dental Insurance - Director 587.00$ 604.00$ 33% of Delta Dental Plan 601-494.300-401.132 Dental Insurance - Superintendent 205.00$ 209.00$ 33% of Delta Dental Plan 601-494.300-401.132 Dental Insurance - Maint Worker -$ -$ 50% of Delta Dental Plan 601-494.300-401.132 Dental Insurance - Maint Worker 308.00$ 313.00$ 50% of Delta Dental Plan 601-494.300-401.151 Worker's Compensation - Director 6,986.00$ 7,777.00$ $54,759/100*$13.59 (March - March) 601-494.300-401.151 Worker's Compensation - Superintendent 5,373.00$ 6,281.00$ $44,229/100*$13.59 (March - March) 601-494.300-401.151 Worker's Compensation - Lead Worker 5,840.00$ 6,815.00$ $47,983/100*$13.59 (March - March) 601-494.300-401.151 Worker's Compensation - Maint Worker 5,926.00$ 6,618.00$ $46,595/100*$13.59 (March - March) 601-494.300-401.151 Worker's Compensation - Standby Pay -$ -$ Exempt from work comp 77,682.00$ 85,356.00$ Supplies: 601-494.300-402.211 Cleaning Supplies 3,250.00$ 3,750.00$ Floor mats, restroom supplies, first aid supplies…. 601-494.300-402.213 Chemicals 50,000.00$ 60,000.00$ Added at 5 wells (chlorine, fluoride…) 601-494.300-402.213 - Hazardous Waste Generators License 350.00$ 375.00$ Hazardous Waste Generators License 601-494.300-402.212 Motor Fuels 7,565.00$ 7,945.00$ Water Department's share of bulk fuel purchases 601-494.300-402.240 Small Tools & Equipment 16,000.00$ 18,000.00$ Shop tools, shelving, cold-weather gear… 601-494.300-402.240 - Tire Balancer (1/3) 2,000.00$ -$ Purchased in 2024 601-494.300-403.317 Uniforms 2,520.00$ 2,700.00$ $225/month 601-494.300-402.232 Smart Controllers (for irrigation systems) -$ -$ Program Over - Sales tax on 20 controllers 601-494.300-402.214 Water Meters 80,000.00$ 85,000.00$ Radio Meters 161,685.00$ 177,770.00$ Repairs & Maintenance: 601-494.300-402.220 Repairs & Maintenance 40,500.00$ 43,000.00$ Lubricants, shop supplies, vehicle maint… 601-494.300-402.220 - Hydrant Repairs 30,000.00$ 35,000.00$ Materials to repair hydrants 601-494.300-402.220 - Watermain Breaks 30,000.00$ 36,000.00$ 3 watermain breaks @ $12,000 601-494.300-402.220 - Well Tech Labor & VFD 45,000.00$ 50,000.00$ Contingency budget for repairs and upgrades 601-494.300-402.220 - Well Pump Repairs 40,000.00$ 50,000.00$ Contingency budget if any well pump fails 601-494.300-402.220 - Motor Efficiency Rebate (Xcel Energy) -$ -$ One-time rebate 601-494.300-402.220 - Fire Hydrant Painting 10,000.00$ 10,000.00$ 100 hydrants @ $100 - contractual services 601-494.300-402.220 - Air Compressor Maintenance & Repairs 833.00$ 1,500.00$ Repairs to air compressor unit (1/3) 601-494.300-402.223 Building Repair & Maintenance 7,500.00$ 8,000.00$ Non-specific building repairs 601-494.300-402.223 - Septic System Pumping 6,000.00$ 6,000.00$ Septic System Pumping (1/3) 601-494.300-402.223 - Well Electrical Work 7,500.00$ 8,000.00$ In conjunction with pump repairs 601-494.300-402.223 - Weed Control 2,250.00$ 2,250.00$ Public works site and water towers 601-494.300-402.223 - HVAC Repairs 9,500.00$ 21,500.00$ Performed by Davis Mechanical 601-494.300-402.223 - Generator Maintenance & Repairs 589.00$ 755.00$ Repairs to generator (1/3) 601-494.300-402.223 - Security System Annual Support 1,375.00$ 1,375.00$ Tower No. 4 & PW Bldg - Camera, Card & Fob Software Upgrades (1/3) 601-494.300-402.223 - Security System Mobile Access Subscription 136.00$ 150.00$ Mobile Access (1/3) 601-494.300-402.223 - Pest Control 740.00$ 780.00$ $195/month (1/3) 601-494.300-402.223 - Holiday Lighting 1,250.00$ 334.00$ Holiday Lighting Installation (1/3) Page 1 2025 Water and Sanitary Sewer Operations  Pro Forma Financial Guide ACCOUNT ACCOUNT 2024 2025 NUMBER DESCRIPTION Budget Budget Notes 233,173.00$ 274,644.00$ Professional Services: 601-494.300-402.213 Water Bacteria Testing 2,280.00$ 3,000.00$ $250 month 601-494.300-403.306 Random Personnel Testing 200.00$ 220.00$ New personnel policy provision 601-494.300-403.330 Building Cleaning Services (contract) 4,800.00$ 5,040.00$ $420/month (1/3) 601-494.300-403.330 - Window & Exterior Washing 960.00$ 1,008.00$ Additional services above cleaning contract 601-494.300-403.350 Scada System Troubleshooting 1,500.00$ 2,000.00$ Contingency budget 601-494.300-403.390 Safety Training 1,917.00$ 2,100.00$ OSHA required safety training (1/3) 11,657.00$ 13,368.00$ Engineering: 601-494.300-403.303 Engineering - Non-specific engineering fees 10,000.00$ 15,000.00$ Contingency budget 10,000.00$ 15,000.00$ Utilities: 601-494.100-408.381 Electricity: - Xcel - Public Works Facility 19,541.00$ 20,811.00$ 6.5% Increase (+ increase for new facility) - Xcel - Well No. 2 7,375.00$ 8,485.00$ 15% Increase above 2024 actual - Xcel - Well No. 3 19,320.00$ 22,220.00$ 15% Increase above 2024 actual - Xcel - Tower No. 3 9,135.00$ 10,505.00$ 15% Increase above 2024 actual - Xcel - Tower No. 4 9,135.00$ 10,505.00$ 15% Increase above 2024 actual - Xcel - Well No. 4 19,320.00$ 22,220.00$ Same as Well No. 3 - Xcel - Well No. 5 19,320.00$ 22,220.00$ Same as Well No. 3 - Xcel - Well No. 6 26,725.00$ 30,735.00$ Larger Well - BHE - Well No. 2 (solar garden contract) 9,975.00$ 11,475.00$ 15% Increase above 2024 actual - BHE - Well No. 3 (solar garden contract) 18,900.00$ 21,735.00$ 15% Increase above 2024 actual - BHE - Well No. 4 (solar garden contract) 22,235.00$ 25,575.00$ 15% Increase above 2024 actual - BHE - Well No. 5 (solar garden contract) 17,088.00$ 19,655.00$ 15% Increase above 2024 actual - BHE - Well No. 6 (solar garden contract) 14,647.00$ 16,845.00$ 15% Increase above 2024 actual 212,716.00$ 242,986.00$ 601-494.100-408.383 Gas for Public Works Facility 21,610.00$ 22,692.00$ 8.5% Increase (+ increase for new facility) 601-494.300-408.384 Refuse Disposal 8,400.00$ 9,000.00$ Gene's Disposal (1/3) 242,726.00$ 274,678.00$ Communications: 601-494.300-404.321 Cellular Phone Charges 4,200.00$ 4,800.00$ $275/month plus $1,500 equipment & accessories 601-494.300-404.321 Business Internet - Comcast (upgraded speed) 3,000.00$ 3,000.00$ 100mb service (up from 20mb service) 601-494.300-404.321 Line 651 653-1154 583 Scada -$ -$ No longer in use - $50/month - Century Link 601-494.300-404.321 Data Plan for Cradle Point at Tower No. 4/Well No. 6 600.00$ 600.00$ Allows for keycard access ($50/month - Verizon) 601-494.300-404.321 Scada Dialer 325.00$ 360.00$ $60/month - Verizon (1/2) 601-494.300-404.321 Scada Wireless Communication 4,600.00$ 5,275.00$ 5 Wells, 2 Towers & 1/3 PW Bldg ($60/month each) 12,725.00$ 14,035.00$ Travel & Training: 601-494.300-405.331 Training Classes 3,025.00$ 3,500.00$ Water school, exams, and certificate renewals 3,025.00$ 3,500.00$ Contractual Maintenance: 601-494.400-409.404 Alarm System Maintenance Agreement 1,200.00$ 1,440.00$ Annual Testing (1/3) 601-494.400-409.404 - Alarm System Monitoring 345.00$ 397.00$ Nardini Alarm System Monitoring (1/3) 601-494.400-409.404 Fleet Maintenance Software Annual Support 170.00$ 187.00$ Software Annual Support (1/3) 601-494.400-409.404 Scan Tool Software Annual Support -$ 405.00$ Yearly updates to vehicle diagnostic scan tool (1/3) 1,715.00$ 2,429.00$ Professional Memberships: 601-494.300-412.433 Dues 150.00$ 175.00$ American Public Works Assn 601-494.300-412.433 Dues 250.00$ 275.00$ Minnesota Rural Water Assn 601-494.300-412.433 Dues 425.00$ 450.00$ American Waterworks Assn 825.00$ 900.00$ Software: 601-494.300-413.514 Fleet Maintenance Software 835.00$ -$ Purchased in 2024 835.00$ -$ Administration Wages: 601-494.400-401.109 City Administrator 53,274.00$ 58,475.00$ 25% of Pay Grade 14 Maximum 601-494.400-401.101 - 27 Pay Periods in 2024 1,914.00$ -$ 27 Pay Periods in 2024 601-494.400-401.101 Billing Clerk 26,329.00$ -$ 50% of Pay Grade 4 Minimum 601-494.400-401.101 - 27 Pay Periods in 2024 -$ -$ 27 Pay Periods in 2024 601-494.400-401.101 Compensated Absences -$ -$ 50% of increase in PTO Bank 601-494.400-401.101 Administrative Assistant 14,377.00$ 15,775.00$ 25% of Pay Grade 4 Step 2 601-494.400-401.109 - 27 Pay Periods in 2024 507.00$ -$ 27 Pay Periods in 2024 601-494.400-401.101 Compensated Absences 1,000.00$ 1,000.00$ 25% of increase in PTO Bank 601-494.400-401.106 In Lieu of Health Insurance - Assistant 1,500.00$ 1,500.00$ $125/month for waived coverage 601-494.400-401.113 Part-Time Billing Clerk 13,845.00$ 14,528.00$ 50% of 780 hours at $37.25 112,746.00$ 91,278.00$ Fringe Benefits: 601-494.400-401.121 Pera - City Administrator 4,139.00$ 4,386.00$ 7.5% of Salary 601-494.400-401.121 Pera - Billing Clerk 1,975.00$ -$ 7.5% of Salary 601-494.400-401.121 Pera - Administrative Assistant 1,117.00$ 1,183.00$ 7.5% of Salary 601-494.400-401.121 Pera - Part-Time Billing Clerk 1,039.00$ 1,090.00$ 7.5% of Salary 601-494.400-401.122 Fica - City Administrator 3,422.00$ 3,626.00$ 6.2% of Salary 601-494.400-401.122 Fica - Billing Clerk 1,633.00$ -$ 6.2% of Salary 601-494.400-401.122 Fica - Administrative Assistant 923.00$ 979.00$ 6.2% of Salary 601-494.400-401.122 Fica - Part-Time Billing Clerk 859.00$ 901.00$ 6.2% of Salary 601-494.400-401.123 Medicare - City Administrator 801.00$ 848.00$ 1.45% of Salary 601-494.400-401.123 Medicare - Billing Clerk 382.00$ -$ 1.45% of Salary 601-494.400-401.123 Medicare - Administrative Assistant 216.00$ 229.00$ 1.45% of Salary 601-494.400-401.123 Medicare - Part-Time Billing Clerk 201.00$ 211.00$ 1.45% of Salary 601-494.400-401.131 Health Insurance - Billing Clerk -$ -$ 50% of HealthPartners High-Deductible Plan 601-494.400-401.131 Health Insurance - Administrative Assistant -$ -$ Coverage through Spouse 601-494.400-401.131 Contributions to Employee Health Savings Accounts -$ -$ Offset Higher Deductible 601-494.400-401.132 Dental Insurance - Billing Clerk -$ -$ 50% of Delta Dental Plan 601-494.400-401.132 Dental Insurance - Administrative Assistant 308.00$ 313.00$ 25% of Delta Dental Plan 601-494.400-401.151 Worker's Compensation - Billing Clerk 409.00$ -$ $27,645/100*$1.07 (March - March) 601-494.400-401.151 Worker's Compensation - Administrative Assistant 151.00$ 180.00$ $15,775/100*$1.07 (March - March) 601-494.400-401.151 Worker's Compensation - Part-Time Billing Clerk -$ 163.00$ $14,528/100*$1.07 (March - March) 17,575.00$ 14,109.00$ Supplies: 601-494.400-402.200 Office Supplies 7,500.00$ 8,400.00$ Utility bills and envelopes, standard supplies 601-494.400-402.200 - Utility Bill Printing & Mailing (outsourced) 2,500.00$ 3,000.00$ Outsourced to Graphic Resources Inc 601-494.400-402.200 - Utility Rate Change Sheets 500.00$ 600.00$ Print rate change sheets 601-494.400-402.200 - Pervasive Software Upgrade 300.00$ 350.00$ Needed to operate FundBalance Software 601-494.400-402.200 - Netmotion Services/Remote 350.00$ 350.00$ Remote Connection Page 2 2025 Water and Sanitary Sewer Operations  Pro Forma Financial Guide ACCOUNT ACCOUNT 2024 2025 NUMBER DESCRIPTION Budget Budget Notes 11,150.00$ 12,700.00$ 601-494.400-402.201 Breakroom Supplies 1,300.00$ 1,800.00$ RLC moved to Gen Govt Bldgs 601-494.400-402.205 Water Brochures 100.00$ 125.00$ Department of Health requirement 12,550.00$ 14,625.00$ Professional Services: 601-494.400-403.301 Audit 10,250.00$ 11,275.00$ Annual audit fees 601-494.400-403.301 Accounting Services 42,390.00$ 44,510.00$ Implement GASB pronouncements 601-494.400-403.304 Legal Fees - General Legal 2,500.00$ 3,000.00$ General Legal Fees 601-494.400-403.304 Legal Fees - DNR Appeal & WBL Restoration Litigation 32,400.00$ 35,000.00$ DNR Administrative Appeal & WBL Restoration Litigation 601-494.400-403.304 Legal Fees - Tower No. 4 -$ -$ Miscellaneous Water Issues 87,540.00$ 93,785.00$ Contractual Maintenance: 601-494.400-409.404 Software Maintenance Agreements - Fund Balance 1,775.00$ 1,825.00$ Software upgrades & troubleshooting 601-494.400-409.404 - Pervasive User Increase - UB -$ -$ Individual User License Increase 601-494.400-409.404 Software Maintenance Agreements - UB Scan 300.00$ 325.00$ Software upgrades & troubleshooting 601-494.400-409.404 Annual Maintenance - Credit Cards 2,500.00$ 3,000.00$ Software upgrades & troubleshooting 601-494.400-409.404 Software Maintenance Agreements - Scada 1,300.00$ 1,350.00$ Water level alarm system - towers and wells 601-494.400-409.404 Software Maintenance Agreements - Sensus 1,500.00$ 2,500.00$ Meter reading software upgrades 7,375.00$ 9,000.00$ Communications: 601-494.400-404.322 Postage 7,000.00$ 8,000.00$ Mail utility bills, rate schedules, water samples… 7,000.00$ 8,000.00$ IT Support Services: 601-494.400-403.350 Computer Technical & Telephone Support - Metro Inet 12,013.00$ 12,580.00$ IT services from Metro Inet 601-494.400-403.350 - Facility Wi-Fi 2,567.00$ 2,567.00$ Wi-Fi Access Points & Switches (1/3) 14,580.00$ 15,147.00$ Insurance: 601-494.400-407.361 Liability 33,345.00$ 47,380.00$ Assumes no year-end dividends 601-494.400-407.362 Property 25,737.00$ 30,885.00$ Assumes no year-end dividends 601-494.400-407.362 - New PW Facility 8,400.00$ 10,080.00$ New PW Facility & Salt Storage Building 601-494.400-407.363 Automobile 1,100.00$ 1,375.00$ Assumes no year-end dividends 68,582.00$ 89,720.00$ Rentals: 601-494.400-410.413 Copier Lease Payments 1,140.00$ 1,260.00$ Ricoh USA copier 601-494.400-410.413 Copier Overage Charges 625.00$ 650.00$ Copies in excess of allowed amount 1,765.00$ 1,910.00$ Miscellaneous: 601-494.400-412.430 Water Appropriation Fees (DNR) 13,000.00$ 18,000.00$ Water appropriation permit fees 601-494.400-412.430 Gopher State Service Charges 3,150.00$ 3,500.00$ Centralized locate reporting service (required) 601-494.400-412.430 Truck License Tabs 125.00$ 175.00$ Tax-Exempt Plates 601-494.400-412.430 Pressure Vessel Registration Fees 15.00$ 20.00$ Pressure Vessel Registration Fees 16,290.00$ 21,695.00$ 601-494.400-412.443 Assessment Collection Fees 1,200.00$ 1,400.00$ Charged by Washington County 17,490.00$ 23,095.00$ Depreciation 601-499.700-411.420 Estimated Depreciation 350,000.00$ 385,000.00$ Depreciation on city installed assets 601-499.700-411.420 Estimated Contributed Depreciation 340,000.00$ 375,000.00$ Depreciation on developer installed assets 690,000.00$ 760,000.00$ TOTAL WATER EXPENSES 1,997,934.00$ 2,195,315.00$ NET INCOME - WATER -$ -$ SEWER REVENUES: 601-372.000-372.100 Sewer Billings: - Residential 1,536,495.00$ 1,602,639.00$ Based on 2024 Actual Usage - Multi Family 577,500.00$ 690,500.00$ Based on 2024 Actual Usage - Commercial 61,950.00$ 67,750.00$ Based on 2024 Actual Usage - Industrial 37,800.00$ 43,000.00$ Based on 2024 Actual Usage - Educational 22,050.00$ 24,500.00$ Based on 2024 Actual Usage - Minor Account Adjustments -$ -$ Sewer Billings 2,235,795.00$ 2,428,389.00$ 601-372.000-372.600 Sewer Penalties 15,000.00$ 18,000.00$ Based on 2024 Actual TOTAL SEWER REVENUES 2,250,795.00$ 2,446,389.00$ SEWER EXPENSES: Operation & Maintenance Wages: 601-494.500-401.101 Public Works Director 52,152.00$ 54,759.00$ 33% of Pay Grade 11 Max 601-494.500-401.101 - 27 Pay Periods in 2024 1,837.00$ -$ 27 Pay Periods in 2024 601-494.500-401.101 Compensated Absences - PW Director 2,000.00$ 2,000.00$ 33% of increase in PTO Bank 601-494.500-401.101 Public Works Superintendent 35,037.00$ 38,459.00$ 33% of Pay Grade 8 Max 601-494.500-401.101 - 27 Pay Periods in 2024 1,235.00$ -$ 27 Pay Periods in 2024 601-494.500-401.101 Compensated Absences - Superintendent 1,000.00$ 2,000.00$ 33% of increase in PTO Bank 601-494.500-401.101 Lead Worker 38,027.00$ 41,724.00$ 50% of Pay Grade 6 Step 4 601-494.500-401.101 - 27 Pay Periods in 2024 1,400.00$ -$ 27 Pay Periods in 2024 601-494.500-401.106 In Lieu of Health Insurance - Lead Worker 3,000.00$ 3,000.00$ $250/month for waived coverage 601-494.500-401.101 Compensated Absences - Lead Worker 1,000.00$ 1,000.00$ 50% of increase in PTO Bank 601-494.500-401.101 Maintenance Worker 38,587.00$ 40,517.00$ 50% of Pay Grade 5 Maximum 601-494.500-401.101 - 27 Pay Periods in 2024 1,421.00$ -$ 27 Pay Periods in 2024 601-494.500-401.101 Compensated Absences - Maintenance Worker 1,000.00$ 1,000.00$ 50% of increase in PTO Bank 601-494.500-401.111 Standby Pay 10,240.00$ 10,400.00$ 50% of $400/week 601-494.500-401.113 Overtime - Superintendent 5,255.00$ 5,770.00$ 33% of 208 hours (10%) @ overtime rate 601-494.500-401.113 Overtime - Lead Worker 5,704.00$ 6,259.00$ 104 hours (10%) @ overtime rate 601-494.500-401.113 Overtime - Maint Worker 5,788.00$ 6,078.00$ 104 hours (10%) @ overtime rate 204,683.00$ 212,966.00$ Fringe Benefits: 601-494.500-401.121 Pera - Director 4,050.00$ 4,107.00$ 7.5% of Salary 601-494.500-401.121 Pera - Superintendent 3,115.00$ 3,317.00$ 7.5% of Salary & Overtime 601-494.500-401.121 Pera - Lead Worker 3,385.00$ 3,599.00$ 7.5% of Salary & Overtime 601-494.500-401.121 Pera - Maint Worker 3,435.00$ 3,495.00$ 7.5% of Salary & Overtime 601-494.500-401.121 Pera - Standby Pay 768.00$ 780.00$ 7.5% of Standby Pay 601-494.500-401.122 Fica - Director 3,348.00$ 3,396.00$ 6.2% of Salary 601-494.500-401.122 Fica - Superintendent 2,575.00$ 2,743.00$ 6.2% of Salary & Overtime 601-494.500-401.122 Fica - Lead Worker 2,798.00$ 2,975.00$ 6.2% of Salary & Overtime 601-494.500-401.122 Fica - Maint Worker 2,840.00$ 2,889.00$ 6.2% of Salary & Overtime 601-494.500-401.122 Fica - Standby Pay 635.00$ 645.00$ 6.2% of Standby Pay 601-494.500-401.123 Medicare - Director 783.00$ 794.00$ 1.45% of Salary 601-494.500-401.123 Medicare - Superintendent 602.00$ 642.00$ 1.45% of Salary & Overtime 601-494.500-401.123 Medicare - Lead Worker 654.00$ 696.00$ 1.45% of Salary & Overtime 601-494.500-401.123 Medicare - Maint Worker 664.00$ 676.00$ 1.45% of Salary & Overtime Page 3 2025 Water and Sanitary Sewer Operations  Pro Forma Financial Guide ACCOUNT ACCOUNT 2024 2025 NUMBER DESCRIPTION Budget Budget Notes 601-494.500-401.123 Medicare - Standby Pay 149.00$ 151.00$ 1.45% of Standby Pay 601-494.500-401.131 Health Insurance - Director 11,163.00$ 12,642.00$ 33% of HealthPartners High-Deductible Plan 601-494.500-401.131 Health Insurance - Superintendent 4,711.00$ 5,386.00$ 33% of HealthPartners High-Deductible Plan 601-494.500-401.131 Health Insurance - Maint Worker 6,782.00$ 7,806.00$ 50% of HealthPartners High-Deductible Plan 601-494.500-401.131 Contributions to Employee Health Savings Accounts -$ -$ Offset Higher Deductible 601-494.500-401.132 Dental Insurance - Director 587.00$ 604.00$ 33% of Delta Dental Plan 601-494.500-401.132 Dental Insurance - Superintendent 205.00$ 209.00$ 33% of Delta Dental Plan 601-494.500-401.132 Dental Insurance - Maint Worker -$ -$ 50% of Delta Dental Plan 601-494.500-401.132 Dental Insurance - Maint Worker 308.00$ 313.00$ 50% of Delta Dental Plan 601-494.500-401.151 Worker's Compensation - Director 6,986.00$ 7,777.00$ $54,759/100*$13.59 (March - March) 601-494.500-401.151 Worker's Compensation - Superintendent 5,373.00$ 6,281.00$ $44,229/100*$13.59 (March - March) 601-494.500-401.151 Worker's Compensation - Lead Worker 5,840.00$ 6,815.00$ $47,983/100*$13.59 (March - March) 601-494.500-401.151 Worker's Compensation - Maint Worker 5,926.00$ 6,618.00$ $46,595/100*$13.59 (March - March) 601-494.500-401.151 Worker's Compensation - Standby Pay -$ -$ Exempt from work comp 77,682.00$ 85,356.00$ Supplies: 601-494.500-402.211 Cleaning Supplies 3,250.00$ 3,750.00$ Floor mats, restroom supplies, first aid supplies…. 601-494.500-402.212 Motor Fuels 7,565.00$ 7,945.00$ Sewer Department's share of bulk fuel purchases 601-494.500-402.240 Small Tools & Equipment 16,000.00$ 18,000.00$ Shop tools, shelving, cold-weather gear… 601-494.500-402.240 - Tire Balancer (1/3) 2,000.00$ -$ Purchased in 2024 601-494.500-403.317 Uniforms 2,520.00$ 2,700.00$ $225/month 31,335.00$ 32,395.00$ Repairs & Maintenance: 601-494.500-402.220 Repairs & Maintenance 44,000.00$ 50,000.00$ Lubricants, shop supplies, vactor maint…. 601-494.500-402.220 - Televise Sewer Line -$ -$ City-owned property - nonrecurring expense 601-494.500-402.220 - Lift Station Rebuilds & Repairs 43,000.00$ 50,000.00$ Repairs along with VFD Drives & Control Panel Upgrades 601-494.500-402.220 - Submersible Pump Repairs (Lift Stations) -$ 60,000.00$ Repair and replacement of submersible pumps 601-494.500-402.220 - Air Compressor Maintenance & Repairs 833.00$ 1,500.00$ Repairs to air compressor unit (1/3) 601-494.500-402.223 Building Repair & Maintenance 4,000.00$ 5,000.00$ Non-specific building repairs 601-494.500-402.223 - Septic System Pumping 6,000.00$ 6,000.00$ Septic System Pumping (1/3) 601-494.500-402.223 - Weed Control 500.00$ 500.00$ Public works site and lift stations 601-494.500-402.223 - HVAC Repairs 9,500.00$ 16,500.00$ Performed by Davis Mechanical 601-494.500-402.223 - Generator Maintenance & Repairs 589.00$ 755.00$ Repairs to generator (1/3) 601-494.500-402.223 - Security System Annual Support 1,375.00$ 1,375.00$ PW Bldg - Camera, Card & Fob Software Upgrades (1/3) 601-494.500-402.223 - Security System Mobile Access Subscription 136.00$ 150.00$ Mobile Access (1/3) 601-494.500-402.223 - Pest Control 740.00$ 780.00$ $195/month (1/3) 601-494.500-402.223 - Holiday Lighting 1,250.00$ 334.00$ Holiday Lighting Installation (1/3) 111,923.00$ 192,894.00$ Professional Services: 601-494.500-403.303 Data Collection & Maintenance Tracking (WSB) -$ -$ Annual costs of software module 601-494.500-403.330 Building Cleaning Services (contract) 4,800.00$ 5,040.00$ $420/month (1/3) 601-494.500-403.330 - Window & Exterior Washing 960.00$ 1,008.00$ Additional services above cleaning contract 601-494.500-403.306 Random Personnel Testing 200.00$ 220.00$ New personnel policy provision 601-494.500-403.350 Scada System Troubleshooting 1,500.00$ 2,000.00$ Contingency budget 601-494.500-403.390 Safety Training 1,917.00$ 2,100.00$ OSHA required safety training 9,377.00$ 10,368.00$ Sewage Treatment: 601-494.800-408.385 Metro Council Environmental Services 943,318.00$ 974,559.00$ Increase of $31,241 or 3.31% 943,318.00$ 974,559.00$ Utilities: 601-494.700-408.381 Electricity: - Lift Stations 8,780.00$ 10,975.00$ 25% Increase above 2024 actual (+new lift station) - Xcel - Public Works Facility 19,541.00$ 20,811.00$ 6.5% Increase (+ increase for new facility) 28,321.00$ 31,786.00$ 601-494.700-408.383 Gas for Public Works Facility 21,610.00$ 22,692.00$ 8.5% Increase (+ increase for new facility) 601-494.500-408.384 Refuse Disposal 8,400.00$ 9,000.00$ Gene's Disposal (1/3) 58,331.00$ 63,478.00$ Communications: 601-494.500-404.321 Cellular Phone Charges 4,200.00$ 4,800.00$ $275/month plus $1,500 equipment & accessories 601-494.500-404.321 Business Internet - Comcast (upgraded speed) 3,000.00$ 3,000.00$ 100mb service (up from 20mb service) 601-494.500-404.321 Line 651 653-1154 583 Scada -$ -$ No longer in use - $50/month - Century Link 601-494.500-404.321 Scada Dialer 325.00$ 360.00$ $60/month - Verizon (1/2) 601-494.500-404.321 Scada Wireless Communication 7,000.00$ 8,875.00$ 12 Lifts & 1/3 PW Bldg ($60/month each) 14,525.00$ 17,035.00$ Travel & Training: 601-494.500-405.331 Training Classes 4,500.00$ 5,500.00$ Sewer school, exams, and certificate renewals 4,500.00$ 5,500.00$ Contractual Maintenance: 601-494.500-409.404 Alarm System Maintenance Agreement 1,200.00$ 1,440.00$ Annual Testing (1/3) 601-494.500-409.404 - Alarm System Monitoring 345.00$ 397.00$ Nardini Alarm System Monitoring (1/3) 601-494.500-409.404 Fleet Maintenance Software Annual Support 170.00$ 187.00$ Software Annual Support (1/3) 601-494.500-409.404 Scan Tool Software Annual Support -$ 405.00$ Yearly updates to vehicle diagnostic scan tool (1/3) 1,715.00$ 2,429.00$ Professional Memberships: 601-494.500-412.433 Dues 150.00$ 175.00$ American Public Works Assn 601-494.500-412.433 Dues 250.00$ 275.00$ Minnesota Rural Water Assn 400.00$ 450.00$ Software: 601-494.500-413.514 Fleet Maintenance Software 835.00$ -$ Purchased in 2024 835.00$ -$ Administration Wages: 601-494.900-401.109 City Administrator 53,274.00$ 58,475.00$ 25% of Pay Grade 14 Maximum 601-494.900-401.109 - 27 Pay Periods in 2024 1,914.00$ -$ 27 Pay Periods in 2024 601-494.900-401.101 Billing Clerk 26,329.00$ -$ 50% of Pay Grade 4 Minimum 601-494.900-401.101 - 27 Pay Periods in 2024 -$ -$ 27 Pay Periods in 2024 601-494.900-401.101 Compensated Absences -$ -$ 50% of increase in PTO Bank 601-494.900-401.101 Administrative Assistant 14,377.00$ 15,775.00$ 25% of Pay Grade 4 Step 2 601-494.900-401.101 - 27 Pay Periods in 2024 507.00$ -$ 27 Pay Periods in 2024 601-494.900-401.101 Compensated Absences 1,000.00$ 1,000.00$ 25% of increase in PTO Bank 601-494.900-401.106 In Lieu of Health Insurance - Assistant 1,500.00$ 1,500.00$ $125/month for waived coverage 601-494.900-401.101 Part-Time Billing Clerk 13,845.00$ 14,528.00$ 50% of 780 hours at $37.25 112,746.00$ 91,278.00$ Fringe Benefits: 601-494.900-401.121 Pera - City Administrator 4,139.00$ 4,386.00$ 7.5% of Salary 601-494.900-401.121 Pera - Billing Clerk 1,975.00$ -$ 7.5% of Salary 601-494.900-401.121 Pera - Administrative Assistant 1,117.00$ 1,183.00$ 7.5% of Salary 601-494.900-401.121 Pera - Part-Time Billing Clerk 1,039.00$ 1,090.00$ 7.5% of Salary 601-494.900-401.122 Fica - City Administrator 3,422.00$ 3,626.00$ 6.2% of Salary Page 4 2025 Water and Sanitary Sewer Operations  Pro Forma Financial Guide ACCOUNT ACCOUNT 2024 2025 NUMBER DESCRIPTION Budget Budget Notes 601-494.900-401.122 Fica - Billing Clerk 1,633.00$ -$ 6.2% of Salary 601-494.900-401.122 Fica - Administrative Assistant 923.00$ 979.00$ 6.2% of Salary 601-494.900-401.122 Fica - Part-Time Billing Clerk 859.00$ 901.00$ 6.2% of Salary 601-494.900-401.123 Medicare - City Administrator 801.00$ 848.00$ 1.45% of Salary 601-494.900-401.123 Medicare - Billing Clerk 382.00$ -$ 1.45% of Salary 601-494.900-401.123 Medicare - Administrative Assistant 216.00$ 229.00$ 1.45% of Salary 601-494.900-401.123 Medicare - Part-Time Billing Clerk 201.00$ 211.00$ 1.45% of Salary 601-494.900-401.131 Health Insurance - Billing Clerk -$ -$ 50% of HealthPartners High-Deductible Plan 601-494.900-401.131 Health Insurance - Administrative Assistant -$ -$ Coverage through Spouse 601-494.900-401.131 Contributions to Employee Health Savings Accounts -$ -$ Offset Higher Deductible 601-494.900-401.132 Dental Insurance - Billing Clerk -$ -$ 50% of Delta Dental Plan 601-494.900-401.132 Dental Insurance - Administrative Assistant 308.00$ 313.00$ 25% of Delta Dental Plan 601-494.900-401.151 Worker's Compensation - Billing Clerk 409.00$ -$ $27,645/100*$1.07 (March - March) 601-494.900-401.151 Worker's Compensation - Administrative Assistant 151.00$ 180.00$ $15,775/100*$1.07 (March - March) 601-494.900-401.151 Worker's Compensation - Part-Time Billing Clerk -$ 163.00$ $14,528/100*$1.07 (March - March) 17,575.00$ 14,109.00$ Supplies: 601-494.900-402.200 Office Supplies 7,500.00$ 8,400.00$ Utility bills and envelopes, standard supplies 601-494.900-402.200 - Utility Bill Printing & Mailing (outsourced) 2,500.00$ 3,000.00$ Outsourced to Graphic Resources Inc 601-494.900-402.200 - Utility Rate Change Sheet 500.00$ 600.00$ Print rate change sheets 601-494.900-402.200 - Pervasive Software Upgrade 300.00$ 350.00$ Needed to operate FundBalance Software 601-494.900-402.200 - Netmotion Services/Remote 350.00$ 350.00$ Remote Connection 11,150.00$ 12,700.00$ 601-494.900-402.201 Breakroom Supplies 1,300.00$ 1,800.00$ RLC moved to Gen Govt Bldgs 12,450.00$ 14,500.00$ Professional Services: 601-494.900-403.301 Audit 10,250.00$ 11,275.00$ Annual audit fees 601-494.900-403.301 Accounting Services 42,390.00$ 44,510.00$ Implement GASB pronouncements 52,640.00$ 55,785.00$ IT Support Services: 601-494.900-403.350 Computer Technical & Telephone Support - Metro Inet 12,013.00$ 12,580.00$ IT services from Metro Inet 601-494.900-403.350 - Facility Wi-Fi 2,567.00$ 2,567.00$ Wi-Fi Access Points & Switches (1/3) 14,580.00$ 15,147.00$ Contractual Maintenance: 601-494.900-409.404 Software Maintenance Agreements - Fund Balance 1,775.00$ 1,825.00$ Software upgrades & troubleshooting 601-494.900-409.404 - Pervasive User Increase - UB -$ -$ Individual User License Increase 601-494.900-409.404 Software Maintenance Agreements - UB Scan 300.00$ 325.00$ Software upgrades & troubleshooting 601-494.400-409.404 Annual Maintenance - Credit Cards 2,500.00$ 3,000.00$ Software upgrades & troubleshooting 601-494.900-409.404 Software Maintenance Agreements - Scada 1,300.00$ 1,350.00$ Water level alarm system - towers and wells 601-494.900-409.404 Software Maintenance Agreements - Sensus 1,500.00$ 2,500.00$ Meter reading software upgrades 7,375.00$ 9,000.00$ Communications: 601-494.900-404.322 Postage 7,000.00$ 8,000.00$ Mail utility bills, rate schedules, water samples… 7,000.00$ 8,000.00$ Insurance: 601-494.900-407.361 Liability 33,345.00$ 47,380.00$ Assumes no year-end dividends 601-494.900-407.362 Property 7,130.00$ 8,500.00$ Assumes no year-end dividends 601-494.900-407.362 - New PW Facility 8,400.00$ 10,080.00$ New PW Facility & Salt Storage Building 601-494.900-407.363 Automobile 2,200.00$ 2,650.00$ Assumes no year-end dividends 51,075.00$ 68,610.00$ Rentals: 601-494.900-410.413 Copier Lease Payments 1,140.00$ 1,260.00$ Ricoh USA copier 601-494.900-410.413 Copier Overage Charges 625.00$ 650.00$ Copies in excess of allowed amount 1,765.00$ 1,910.00$ Miscellaneous: 601-494.900-412.430 Gopher State Service Charges 3,150.00$ 3,500.00$ Centralized locate reporting service (required) 601-494.500-412.430 Truck License Tabs 125.00$ 175.00$ Tax exempt plates 601-494.500-412.430 Discharge Permit - Vactor Truck 475.00$ 525.00$ Discharge Permit 601-494.500-412.430 Pressure Vessel Registration Fees 15.00$ 20.00$ Pressure Vessel Registration Fees 3,765.00$ 4,220.00$ 601-494.900-412.443 Assessment Collection Fees 1,200.00$ 1,400.00$ Charged by Washington County 4,965.00$ 5,620.00$ Depreciation 601-499.700-411.421 Estimated Depreciation 120,000.00$ 135,000.00$ Depreciation on city installed assets 601-499.700-411.421 Estimated Contributed Depreciation 390,000.00$ 430,000.00$ Depreciation on developer installed assets 510,000.00$ 565,000.00$ TOTAL SEWER EXPENSES 2,250,795.00$ 2,446,389.00$ NET INCOME - SEWER -$ -$ Page 5 ONEKA PRAIRIE PARK MAINTNENACE AGREEMENT THIS AGREEMENT is made this _______ day of ___________, 2025, by and between the City of Hugo, a Minnesota municipality (hereinafter “City”) and the Oneka Prairie Homeowners Association, (hereinafter “Association”), and its successors and assigns. WHEREAS, the City owns a park located at 4876 162nd Way N (hereinafter “park”) for which was constructed and dedicated to the City by Southwind Holdings LLC with the Oneka Prairie Development; WHEREAS, the City is desirous of maintaining and operating a park for the public good of the neighborhood and residents. WHEREAS, HOA is desirous of installing, maintaining and operating an Irrigation Reuse System on the park; NOW, THEREFORE, the City and Association agrees to the following: 1. Maintenance of Irrigation Reuse System. The Association shall provide, at no cost to the city, irrigation over the park using an approved irrigation system. The Association shall be responsible for the operation, metering, maintenance, inspection, testing, and repair of all components of an Irrigation Reuse System serving the park, including stormwater ponds, pumps, filtrations systems, electrical power, meters, controls, irrigation lines and sprinkler heads. The Irrigation Reuse System shall draw water from certain stormwater ponds located on the property owned by the City, pursuant to the terms of that separate recorded Stormwater Re-Use Agreement and the and the Encroachment and Maintenance Agreement, between the City, Association, and Southwind Holdings, LLC. The Association at its own cost shall keep the system and its components in good repair and continuous operation and shall comply with the rules and regulations of any entity having regulatory jurisdiction over the areas and activities required or permitted herein and shall replace and repair all components thereof as and when necessary to assure its continued function. All work and maintenance shall be done in a workmanlike manner by insured contractors suitable to the task. The Association shall defend and indemnify the City for the willful or negligent acts of its Contractors which may cause damage or loss. 2. Damage caused by the City. If the need for maintenance of the Irrigation Reuse system on a part of the park property is caused by the willful or negligent act of the City, the Association may cause such damage to be repaired or corrected by or at the cost of the City 3. Maintenance of the Park. The City shall provide for the routine maintenance of the park including mowing, fertilization, tree and landscaping maintenance and replacement. 4. Maintenance of Playground. The City shall inspect, maintain, and make any necessary repairs or maintenance to all components of the playground and safety surfacing. 5. Other. The City shall make the park publicly available for use and maintain its ordinary policies of insurance. 6. Term. This Agreement shall be in force and effect for a period of 10 years and shall renew automatically annually thereafter, automatically. This agreement and may be cancelled at any time upon 12 months advance notice. Notwithstanding any cancellation, however, the duties and obligations of defense and indemnification and rule compliance shall survive any termination to the full extent necessary for the protection of the party benefitted thereby. IN WITNESS WHEREOF, the undersigned has executed this agreement the day and year first above set forth above. CITY OF HUGO By By Tom Weidt, Mayor Michele Lindau, City Clerk STATE OF MINNESOTA) ) ss. COUNTY OF WASHINGTON) On this _____ day of __________________, 2025, before me, a Notary Public, personally appeared TOM WEIDT and MICHELE LINDAU, of the City of Hugo, a Minnesota municipality within the State of Minnesota, and that said instrument was signed on behalf of the City of Hugo by the authority of the City Council of the City of Hugo, and TOM WEIDT and MICHELE LINDAU acknowledge said instrument to be the free act and deed of said City of Hugo. __________________________________________ Notary Public ASSOCIATION By _____________________________________ Southwind Holdings, LLC Lawrence M Alm STATE OF MINNESOTA) ) ss. COUNTY OF WASHINGTON) On this _____ day of __________________, 2025, before me, a Notary Public, personally appeared Lawrence M Alm, who signed the foregoing instrument and acknowledged said instrument to be their free act and deed. __________________________________________ Notary Public Memorandum To: Hugo City Council From: Rachel Juba, Community Development Director Date: February 26, 2025, for the City Council meeting of March 3, 2025 Re: Approve Agreement with Washington County for Local Affordable Housing Aid Fund Administration 1.BACKGROUND: In 2023 and 2024, the Minnesota Legislature authorized aid payments to counties, cities and Tribal Nations to support affordable housing. The goal is to fund affordable housing projects and help organizations provide affordable and supportive housing. LAHA is funded by a 0.25% sales tax on the seven-county metropolitan area. Aid is appropriated directly to cities, counties, and tribal governments based on cost-burdened households. The city distribution factor is the number of households in a city that are cost-burdened divided by the total cost-burdened households in eligible cities. A “cost-burdened household” is one in which the gross rent is 30 percent or more of household income or in which homeownership costs are 30 percent or more of household income. The funds are required to be spend by December 31 in the third year following the year after aid was received. The City will receive LAHA as long as the sales tax is collected Below are the aid allocations Washington County communities received in 2024: Community LAHA$ 2024 Washington County $2,718,767 Woodbury $301,991 Oakdale $178,744 White Bear Lake $152,906 Cottage Grove $125,476 Forest Lake $118,579 Hastings $114,387 Stillwater $94,704 Hugo $59,740 Lake Elmo $48,811 Allocations for 2025 have not been released. G .12 2 Eligible Projects The funds can be spent on a list of eligible projects. These projects include emergency rental assistance and projects the support non-profit affordable housing providers. Other eligible projects are ones designed for the purpose of construction, acquisition, rehabilitation, demolition or removal of structures, construction financing, permanent financing, interest rate reduction, refinancing, and gap financing of housing to provide affordable housing to households that have incomes that do not exceed a specified threshold. There are several stipulations for all of the eligible projects. Administration of the Aid Distribution The City does not have a housing policy to subsidize affordable housing projects. This would have to include priority projects and criteria for approval and include a possible housing study. The City also does not have a housing agency that administers housing programs to subsidize affordable housing. There are some communities that do have a housing agency that are already supporting affordable housing. The City historically has partnered with Washington County Community Development Agency (CDA) to support affordable housing. The City staff has been in discussions with Washington County CDA to administer the LAHA to support the qualifying projects on behalf of the City. They have stated they are allowed and able to administer the program for the City. This includes an agreement with the CDA, and it would be at no cost to the City. They already administer programs that would qualify and are also looking to have additional programs. LAHA would be transferred to the CDA and would be spent in Hugo. The CDA would also prepare reporting to State and tax forms. Below are the existing programs that Washington County CDA has to support affordable housing: • GROW Policy • Assist in the construction, rehabilitation, and preservation of affordable rental and owner-occupied housing. • NOAH-GROW Policy • Specifically dedicated to assist in the preservation of naturally occurring affordable housing (NOAH) and expiring affordable housing units. • HOME Improvement Loans • Administers several loan programs that can help finance critical improvements to homes. These funds can be used for just about anything that makes homes safer or more energy efficient. • First-Generation Homebuyer Grant Policy • Provide additional resources to first generation homeowners within Washington County to support their entry into sustainable homeownership. • The CDA has stated we can also have a City-developed program or use aid for specific project that meets the LAHA qualifications At it’s January 27, 2025 goal setting workshop the City Council discussed the Washington County CDA’s ability to administer the funds. The City Council asked staff to work directly with Washington County CDA on a draft agreement. The draft agreement is attached. 3 2. STAFF RECOMMENDATION: Staff recommends approval of the agreement with Washington County for Local Affordable Housing Aid (LAHA) fund administration. Attachments: 1. Draft Agreement LOCAL AFFORDABLE HOUSING AID AGREEMENT between CITY of HUGO, MINNESOTA and WASHINGTON COUNTY COMMUNITY DEVELOPMENT AGENCY THIS LOCAL AFFORDABLE HOUSING AID AGREEMENT (the “Agreement”) is entered into as of the day of , 2025 by and between the City of Hugo, Minnesota (the “City”), 14669 Fitzgerald Avenue North, Hugo, Minnesota 55038, a municipal corporation and political subdivision of the state of Minnesota, and the Washington County Community Development Agency (the “CDA”), 7645 Currell Boulevard, Woodbury, Minnesota 55125, a public body politic and corporate; also referred to as “Party” or “Parties.” WHEREAS, the State of Minnesota created Local Affordable Housing Aid (“LAHA”) under Minnesota Statutes, Section 477A.35, as may be amended, which established distributions to metropolitan area counties and tier I cities located in a metropolitan county for qualifying projects as defined in Section 477A.35, subd. 4 (“Qualifying Projects”). WHEREAS, the City desires to engage the CDA to accept transfer of the City’s LAHA funds and administer qualifying projects on behalf of the City. WHEREAS, the CDA desires to serve in this role with its experience in and staffing of housing finance, preservation, and development. NOW, THEREFORE, in consideration of the mutual covenants and promises contained in this Agreement, the sufficiency is hereby acknowledged, it is agreed by and between the Parties as follows: 1. TERM. This Agreement shall commence as of the date written above and shall continue until all duties are fulfilled, unless sooner terminated under the terms of the Agreement. 2. DUTIES OF THE CDA. 2.1 Authorized to Act on Behalf of the City. The CDA shall act as the agent for the City to accept transfer of funds and administer LAHA funds according to state statutes, laws, and rules. The CDA shall assume all duties and obligations that would otherwise be imposed upon the City, specifically: a. Spending the funds received under this Agreement on Qualifying Projects, including disbursements to the CDA, eligible individuals and subrecipients, as well as contractors, gap financing, and vendors, all after determining that the use meets all requirements of Qualifying Projects. 2 b. Maintaining complete and accurate records of funds received and all disbursements. c. Ensuring timely expenditure of LAHA funds by December 31 in the third year following the disbursement. If funds cannot be spent on Qualifying Projects by the deadline due to factors outside of the control of the CDA, the CDA will work with the City to transfer funds to a local housing trust fund. d. Preparing an annual report to the Minnesota Housing Finance Agency, as required starting December 1, 2025, under Minnesota Statutes, Section 477A.35, subd. 6(b). e. Preparing any required tax forms for recipients of LAHA funds. 2.2 Compliance. The CDA shall comply with all LAHA requirements. 2.3 Identification and Use of LAHA Funds. a. All LAHA funds received and expended under this Agreement will be spent solely on Qualifying Projects defined under Minnesota Statutes, Section 477A.35, subd. 4 and 5. b. All City of Hugo LAHA funds will be transferred to the CDA under this agreement. The funds will be transferred to the CDA within 60-days after the City receives the funds from the State of Minnesota. c. The City directs the CDA to use its LAHA funds as follows: i. All funds shall be used within the City of Hugo. ii. The distribution of the funds for qualifying projects shall be approved by the City of Hugo Community Development Director. iii. The City reserves the right to use the funds on qualifying projects in Hugo that do not fit under a specific Washington County program. The City will work with Washington County as early as reasonably possible on the Qualifying Project funding request. 3. TRANSFER OF FUNDS. 3.1 Transfer by the City. The City shall transfer the LAHA funds received from the State to the CDA within 60-days after the City receives the funds. 3 3.2 CDA Retention. The CDA shall deposit and maintain the funds received under this Agreement in a separate internal account. The CDA shall maintain appropriate records of funds. The CDA shall administer and disburse all LAHA funds in accordance with this Agreement. 3.3 Funding Contingency. The CDA’s obligations under this Agreement are specifically contingent upon the disbursement of funds by the State and the City’s transfer of funds to the CDA. 3.4 CDA Expenses. Unless allowable as a qualifying project, administrative and salary expenses incurred by the CDA will be paid by the CDA’s special benefit levy and/or program service fees. 3.5 The City will not incur any expenses from the CDA administering the program. 3.6 If funds are not spent in the time allowed by the State of Minnesota, the funds shall be returned to the City of Hugo. Washington County shall notify the City of Hugo 12 month in advance if the funds are not planned to be spent in time. The City of Hugo and Washington County shall work together on the return of the funds. 4. RECORDS AND REPORTS. 4.1 Records. The CDA shall maintain complete and accurate records of funds received and all disbursements. 4.2 Reports. Unless otherwise mutually agreed by the Parties, the CDA shall prepare an annual update and report of distributed funds to the City concerning progress under the Agreement. 4.3 Access to Records. The CDA agrees to provide the City, the designated auditors, or any of their authorized representatives access to any books, documents, papers, and records of the CDA which are directly pertinent to this Agreement for the purposes of making audits, examinations, excerpts, and transcriptions. 4.4 Record Retention. Pursuant to Minnesota Statutes, Section 16C.05, subd.5, Minnesota Statutes, Section 16B.98, subd. 8 and applicable requirements, the CDA shall maintain records under this Agreement for a minimum of six (6) years from the end of this Agreement. 5. INDEMNIFICATION. 4 5.1 The CDA agrees to hold harmless, indemnify, and defend the City, its officials, agents, and employees against any and all third-party claims of whatever nature, expenses (including attorneys’ fees), losses, damages or lawsuits for damages that arise as a result of the willful misconduct, negligent acts, errors, and/or omissions of the CDA in the performance of this Agreement. 5.2 Nothing in this Agreement (including, but not limited to, indemnification or insurance provisions) shall be deemed a waiver by either Party of the limits of liability set forth in Minnesota Statutes, Section 466.04 or a waiver of any available immunities or defenses. The CDA’s obligation to hold and save harmless in this Agreement shall be limited by the limitations on liability set forth in Minnesota Statutes, Section 466.04, as may be amended from time to time. 5.3 The CDA shall notify the City within five (5) business days of actual receipt of any of the potential claims against the CDA that may arise as a consequence of any of the work or services performed or furnished by the CDA under the terms of this Agreement. 6. TERMINATION. If the CDA materially fails to fulfill its obligations under this Agreement, the City may suspend or terminate this Agreement upon written notice to the CDA specifying the reason for termination. Additionally, either party may terminate this Agreement upon 60-day written notice to the other party at any time during the duration of this agreement. 7. DATA PRIVACY. All data collected, created, received, maintained, or disseminated, or used for any purposes in the course of the CDA’s performance under this Agreement is governed by the Minnesota Government Data Practices Act, Minnesota Statutes, Chapter 13 or any other applicable state statutes and any state rules adopted to implement LAHA, as well as state statutes and federal regulations on data privacy. The CDA agrees to abide by these statutes, rules, and regulations as they may be amended. 8. DISPUTE RESOLUTION. In the event that a dispute arises between the Parties as to the interpretation or performance of this Agreement, then upon written request of either Party, representatives with settlement authority for each Party shall meet and confer in good faith to resolve the dispute. If the Parties are unable to resolve the dispute, they shall make every effort to settle the dispute through mediation or other alternative dispute resolution methods. If the Parties are unable to resolve the dispute through these methods, either Party may commence an action in Washington County District Court. 5 9. GENERAL PROVISIONS. 9.1 Compliance with Laws. The Parties shall abide by all applicable federal, state, or local laws, statutes, ordinances, rules, and regulations now in effect or hereunder adopted pertaining to activities governed by this Agreement. The CDA shall be responsible for the performance of any contractors unless otherwise agreed in writing. 9.2 Minnesota Law to Govern. This Agreement shall be governed by and construed in accordance with the substantive and procedural laws of the State of Minnesota, without giving effect to the principles of conflict of laws. 9.3 Independent Contractor. The CDA is an independent contractor and nothing herein shall be construed to create the relationship of employer and employee or joint venture between the City and the CDA. The CDA shall at all times be free to exercise initiative, judgment, and discretion as to how best to provide the services pursuant to this Agreement. The CDA acknowledges and agrees that the CDA is not entitled to receive any of the benefits received by City employees and is not eligible for workers or reemployment compensation benefits. 9.4 Modifications. Any alternations, variations, modifications, or waivers of the provisions of this Agreement shall only be valid when they have been reduced to writing and signed by authorized representatives of the Parties. 9.5 Severability. The provisions of this Agreement shall be deemed severable. If any part of this Agreement is rendered void, invalid, or unenforceable, such rendering shall not affect the validity or enforceability of the remainder of this Agreement unless the part or parts which are void, invalid, or otherwise unenforceable shall substantially impair the value of the entire Agreement with respect to either Party. 9.6 Survival of Terms. The following components of this Agreement will survive the termination or expiration of this Agreement: 4.4, 5.1, 5.2, 5.3, 6, 7, and 8. 9.7 Assignment. Neither Party may assign any interest in this Agreement without prior written consent of the other Party. 9.8 Certification and Signatures. a. Each Party certifies and warrants that it has the legal authority to enter into and perform under this Agreement and that its governing body has authorized the execution and acceptance of this Agreement. 6 b. Each person executing this Agreement on behalf of a Party certifies and warrants that such person is duly and validly authorized to legally execute and bind the Party to the terms of this Agreement. c. The Parties agree that electronic signature to this Agreement shall be as valid as original signature of the Parties and shall be effective to bind the Parties to this Agreement. 9.9 Rights and Remedies. All rights and remedies available to either the City or the CDA under the terms of this Agreement or by law are cumulative and may be exercised concurrently or separately, and the exercise of any one remedy shall not be deemed an election of such remedy to the exclusion of other remedies. 9.10 Notices. Notices required to be provided pursuant to this Agreement shall be provided to the following named persons and address unless otherwise stated in this Agreement or in an amendment to this Agreement. 9.11 Liaison. To assist the Parties in the day-to-day performance of this Agreement, a liaison shall be designated by the City and the CDA. The Parties shall keep each other continually informed. At the time of the execution of this Agreement, the following persons are the designated liaisons: For the City: Rachel Juba, Community Development Director rjuba@ci.hugo.mn.us, (651) 762-6304 For the CDA: Karly Schoeman, Deputy Executive Director, karlys@washingtoncountycda.org, (651) 458-6556 IN TESTIMONY WHEREOF, the Parties hereto have caused these presents to be executed. City of Hugo, Minnesota By: Dated: By: Dated: 7 Washington County Community Development Agency By: Dated: Chair, Board of Commissioners By: Dated: Executive Director 14669 Fitzgerald Avenue North, Hugo, MN 55038 • (651) 762-6300 • www.ci.hugo.mn.us March 3, 2025 Wayne Sandberg Public Works Director/ County Engineer Washington County Public Works 11660 Myeron Road Stillwater, MN 55082 Support for Washington County's proposal to the Minnesota Environment and Natural Resources Trust Fund for the extension of the Hardwood Creek Regional Trail in the City of Hugo Dear Mr. Sandberg, The purpose of this letter is to express the City of Hugo's support for Washington County's pursuit of funding through Minnesota’s Environment and Natural Resources Trust Fund for the extension of the Hardwood Creek Regional Trail. Currently, the Hardwood Creek Regional Trail is a north-south multi-use trail running on 11 miles of former railroad right-of-way. A one-mile gap in the trail exists in Hugo where the rail line remains active. The proposed extension project will address this key gap in the trail network; provide improved bike and pedestrian access to important local destinations, such as Bald Eagle-Otter Lake Regional Park and Lions Volunteer Park; and be the missing link in connecting neighboring counties' trail networks. We eagerly anticipate the full completion of the envisioned Hardwood Creek Regional Trail, and local access to the eventual 40 plus miles of continuous dedicated trails connecting Chisago (Sunrise Prairie Regional Trail), Washington (Hardwood Creek Regional Trail), and Ramsey (Bruce Vento Regional Trail) counties. The City of Hugo will continue to work collaboratively with Washington County to improve the regional pedestrian and bicycle network and opportunities to connect to the lands and waters in this part of Minnesota. Thank you for the opportunity to send our support for this project and your commitment to its completion. Please do not hesitate to contact me if you have any questions at 651-762-6300. Sincerely, Bryan Bear City Administrator 14669 Fitzgerald Avenue North, Hugo, MN 55038 • (651) 762-6300 • www.ci.hugo.mn.us March 3, 2025 Wayne Sandberg Public Works Director / County Engineer Washington County Public Works 11660 Myeron Road Stillwater, MN 55082 Support for Washington County’s FY 2026 Congressionally Directed Spending Application for the Extension of Hardwood Creek Regional Trail Dear Mr. Sandberg, The purpose of this letter is to express the City of Hugo’s support for Washington County’s application for FY 2026 Congressionally Directed Spending for the extension of Hardwood Creek Regional Trail within the City of Hugo. Currently, the Hardwood Creek Regional Trail is a north-south multi-use trail running on 11 miles of former railroad right-of-way. A one-mile gap in the trail exists in Hugo where the rail line remains active. The proposed extension project will address this key gap in the trail network; provide improved bike and pedestrian access to important local destinations, such as Bald Eagle-Otter Lake Regional Park and Lions Park; and be the missing link in connecting neighboring counties’ trail networks. We eagerly anticipate the full completion of the envisioned Hardwood Creek Regional Trail, and local access to the eventual 40 plus miles of continuous dedicated trails connecting Chisago (Sunrise Prairie Regional Trail), Washington (Hardwood Creek Regional Trail), and Ramsey (Bruce Vento Regional Trail) counties. Furthermore, these improvements are consistent with the City’s 2040 comprehensive plan. The City of Hugo will continue to work collaboratively with Washington County to improve the regional pedestrian and bicycle network. Thank you for the opportunity to send our support for this project and your commitment to its completion. Please do not hesitate to contact me if you have any questions at 651-762-6300. Sincerely, Bryan Bear City Administrator February 27, 2025 Honorable Mayor and City Council City of Hugo 14669 Fitzgerald Avenue North Hugo, MN 55038 Re: Authorization to Prepare a Feasibility Study for the 2026 Bald Eagle Industrial Park Area Street Improvement Project Dear Mayor and Council, Each year the city reviews and determines priorities for upcoming capital improvement projects throughout the city. At the August 29, 2024 City Council work session, staff presented pavement and trail ratings, a draft 5-year CIP, and corresponding funding analysis. City Council approved the 5-year CIP at the September 16, 2024 City Council meeting. Staff recommends moving forward with the Capital Improvement Plan project identified for 2026 in the Capital Improvement Plan at this time as there are components to the project such as easement acquisition for the trail along 130th Street, two BNSF rail crossings and the public improvement process, which all require additional time and planning. Roadways included in the project are identified below: • 140th Street N (From TH 61 to Fenway Boulevard N) • Fenway Boulevard N (From 130th Street N to 140th Street N) • Fenway Boulevard Ct N (From Fenway Boulevard N to its eastern termini) • 130th Street N (from TH 61 to Europa Trail N) • Farnham Avenue N (from 130th Street N to its southern termini) Trails to be reconstructed include the following and will be part of the future Hardwood Creek Regional Trail: • 140th Street N (From TH 61 to Fenway Boulevard N) • Fenway Boulevard N (From 130th Street N to 140th Street N) A new trail is proposed to be constructed in the following location: • 130th Street N (from TH 61 to Fenway Boulevard N) The figure below is a portion of the CIP with roadways in blue shown identified as the 2026 Bald Eagle Industrial Park Area Street Improvement Project. Honorable Mayor and City Council February 27, 2025 Page 2 Staff are requesting authorization to prepare a feasibility study for the 2026 Bald Eagle Industrial Park Area Street Improvement Project. If authorized, staff will notify residents/businesses of this effort and coordinate early informational meetings about the proposed project. If you have any questions or items you wish to discuss, you can contact me at 612-360-1278. Sincerely, WSB & Associates, Inc. Mark Erichson, PE City Engineer Attachment cc: Bryan Bear, City Administrator, City of Hugo Scott Anderson, Public Works Director, City of Hugo Liz Finnegan, Senior Engineering Technician, City of Hugo Anna Wobse, Finance Director, City of Hugo RESOLUTION NO. ______ CITY OF HUGO WASHINGTON COUNTY, MINNESOTA A RESOLUTION ORDERING PREPARATION OF A FEASIBILITY REPORT FOR PUBLIC IMPROVEMENTS TO ALL OR PORTIONS OF ROADWAYS IDENTIFIED AS THE 2026 STREET IMPROVEMENT PROJECT WHEREAS, it is proposed to improve all or portions of 140th Street N, Fenway Boulevard N, Fenway Boulevard Ct N, 130th Street N, and Farnham Avenue N, and to potentially assess the benefited property for all or a portion of the cost of the improvement, pursuant to Minnesota Statutes, Chapter 429. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF HUGO, MINNESOTA: That the proposed improvement, called the 2026 Street Improvement Project is authorized for study and that the engineer is instructed to report to the council with all convenient speed advising the council in a preliminary way as to whether the proposed improvement is necessary, cost- effective, and feasible; whether it should best be made as proposed or in connection with some other improvement; the estimated cost of the improvement as recommended; and a description of the methodology used to calculate individual assessments for affected parcels. This resolution was adopted by the City Council of the City of Hugo on the 3rd day of March 2025, by a vote of Ayes and Nays. Tom Weidt, Mayor ATTEST: Michele Lindau, City Clerk (seal) Legend Address Labels Parcels February 27, 2025 Map Powered By Datafi ± 1 in = 186 Ft Oneka Lake Park Reconstruction Keep picnic shelter Reconstruct trails and keep mature trees Keep memorial bench Legend Address Labels Parcels February 27, 2025 Map Powered By Datafi ± 1 in = 46 Ft Oneka Lake Park Playground Expansion Area 12/27/2025 11:12 AMMeetings in green are scheduled/posted meetings.Su Mo Tu We Th Fr Sa12345678910111213141516 17 18 19 20 21 2223 24 25 26 27 28 2930 31March 2025Su Mo Tu We Th Fr Sa12345678910111213 14 15 16 17 18 1920 21 22 23 24 25 2627 28 29 30April 2025March 2025Feb 232425262728Mar 123456787:00pm City Council91011121314156:30pm BOZA7:00pm Planning CommSt. Pat's 161718192021226:00pm YRN 15th Anniversary (Oneka Room)7:00pm City Council5:30pm EDA6:30pm Hist Comm7:00pm Parks Comm232425262728296:30pm BOZA7:00pm Planning Comm3031Apr 12345SUNDAYMONDAYTUESDAYWEDNESDAYTHURSDAYFRIDAYSATURDAY 22/27/2025 11:12 AMMeetings in green are scheduled/posted meetings. Su Mo Tu We Th Fr Sa12345678910111213 14 15 16 17 18 1920 21 22 23 24 25 2627 28 29 30April 2025Su Mo Tu We Th Fr Sa1234567891011 12 13 14 15 16 1718 19 20 21 22 23 2425 26 27 28 29 30 31May 2025April 2025Mar 3031Apr 123455:30pm LBAE (Oneka Room) 67891011127:00pm City Council6:30pm BOZA7:00pm Planning Comm131415161718195:30pm EDA6:30pm Hist Comm7:00pm Parks Comm20212223242526Easter7:00pm City Council6:30pm BOZA7:00pm Planning Comm27282930May 123SUNDAYMONDAYTUESDAYWEDNESDAYTHURSDAYFRIDAYSATURDAY