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HomeMy WebLinkAbout2025.12.15 CC MinutesMINUTES City Council Meeting City Hall Council Chambers Monday, December 15, 2025 7:00 p.m. MetCall 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 Engineer Mark Erichson, City Attorney Dave Snyder, Community Development Director Rachel Juba, City Clerk Michele Lindau Approve Minutes for the December 1, 2025, City Council Meeting Miron made motion, Strub seconded, to approve the minutes for the City Council meeting held on December 1, 2025, as presented. All Ayes. Motion carried. Approve Minutes for the December 3, 2025, Santa Party Krull made motion, Petryk seconded, to approve the minutes for the Santa Party and Tree Lighting held on December 3, 2025, as presented. All Ayes. Motion carried. Approve Minutes for the December 4, 2025, Holiday Party Petryk made motion, Miron seconded, to approve the minutes for the Holiday Party held on December 4, 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. Swearing In and Badge Pinning of Bob Bieniek as Lieutenant Bob Bieniek has been with the Hugo Fire Department since December 2008 and previously served as a Lieutenant from September 2011 to 2014 and as Captain from 2014 to 2021. At its October 6, 2025, meeting, the Council approved the promotion of Bob Bieniek to Lieutenant, effective October 1, 2025. Fire Chief Jim Compton, Jr. shared several of Bob’s past Council Meeting Minutes for December 15, 2025 Page 2 of 11 accomplishments and noted that he would be leading the development of a community risk reduction program. Chief Compton also mentioned that Bob had inspired his son, Chris, to join the Department. Chief Compton conducted the formal swearing-in of Lieutenant Bob Bieniek. Lieutenant Bieniek addressed the Council, stating he was excited to return to a leadership position and looked forward to working on the Community Risk Reduction Program. His son Chris performed the badge pinning. Approval of Consent Agenda Weidt made motion, Petryk seconded, to approve the following Consent Agenda: 1. Approve Claims Roster 2. Approve Renewal of Terms for Parks Commissioners Cathy Moore-Arcand and Andrew Reding 3. Approve Retirement of Parks Commissioner Ranell Tennyson and Declare Vacancy 4. Approve Reappointment of Planning Commissioners Bronwen Kleissler and Cindy Petty on the Planning Commission 5. Approve Reappointment of Historical Commissioners Brad LeTourneau, Cynthia Schoonover, and Gloria Brisson Gebhard 6. Approve Reappointment of EDA Commissioner Tom Denaway 7. Approve Reappointment of Board of Zoning Adjustments Member Scott Arcand 8. Approve Revised City of Hugo Personnel Policy 9. Approve Resolution on Statutory Tort Liability Limits 10. Approve Resolution Certifying Delinquent Utility Accounts 11. Approve Ordinance Establishing 2026 Fee Schedule and Publication of Summary Ordinance 12. Approve Resolution Setting 2026 Salary and Reimbursement Levels 13. Approve Resolution Approving Refuse Hauler Licenses for 2026 14. Approve Resolution Approving Liquor and Tobacco Licenses for 2026 and LPHE Registrations for 2026 15. Approve Lawful Gambling Exempt Permit for Ducks Unlimited Event on January 18, 2026, at Sals Angus Grill 16. Approve Lawful Gambling Exempt Permit for Church of St. Genevive Men’s Club Fish Fry on March 27, 2026 17. Approve Release of Letter of Credit for Adelaide 7th and 8th Additions. 18. Approve Watermain Oversizing Credits for Shores of Oneka Lake 19. Approve Pay Request No. 4 to Northwest Asphalt, Inc. for the Beaver Ponds Street Improvement Project and the 2025 Street Improvement Project 20. Approve Final Pay Request to Dresel Contracting for Dellwood Ridge and 125th Street 2024 Road Project 21. Approve Resolutions Approving Comprehensive Plan Amendment, Rezoning, Preliminary Plat, Final Plat, Site Plan, and Conditional Use Permit for Kwik Trip at TH61 and 159th Street 22. Approve Ordinance Rezoning Property Located at TH61 and 159th Street to General Business for Kwik Trip All Ayes. Motion carried. Council Meeting Minutes for December 15, 2025 Page 3 of 11 Approve Claims Roster Adoption of the Consent Agenda approved the Claims Roster as presented. Approve Reappointment of Parks Commissioners Cathy Moore-Arcand and Andrew Reding Cathy Moore-Arcand and Andrew Reding had terms on the Parks Commission that expire on December 31, 2025. Both expressed interest in being reappointed for another three-year term. Adoption of the Consent Agenda approved the reappointment of Park Commissioners Cathy Moore-Arcand and Andrew Reding for three-year terms to expire on December 31, 2028. Approve Retirement of Parks Commissioner Ranell Tennyson and Declare Vacancy After serving over eleven years on the Parks Commission, Ranell Tennyson had declined reappointment. Adoption of the Consent Agenda approved her retirement and declared a vacancy on the Parks Commission. Approve Reappointment of Planning Commissioners Bronwen Kleissler and Cindy Petty on the Planning Commission Bronwen Kleissler and Cindy Petty had terms on the Planning Commission that expire on December 31, 2025. Both expressed interest in being reappointed for another three-year term. Adoption of the Consent Agenda approved the reappointment of Planning Commissioners Bronwen Kleissler and Cindy Petty for four-year terms to expire on December 31, 2029. Approve Reappointment of Historical Commissioners Brad LeTourneau, Cynthia Schoonover, and Gloria Brisson Gebhard Brad LeTourneau, Cynthia Schoonover, and Gloria Brisson Gebhard, had terms on the Historical Commission that expire on December 31, 2025. All three expressed interest in being reappointed for another three-year term. Adoption of the Consent Agenda approved the reappointment of Historical Commissioners Brad, Cynthia, and Gloria for three-year terms to expire on December 31, 2028. Approve Reappointment of EDA Commissioner Tom Denaway EDA Commissioner Tom Denaway’s term expires on December 31, 2025. Tom has agreed to serve another term on the Economic Development Authority. Adoption of the Consent Agenda approved the reappointment of Tom Denaway for another six-year term on the EDA to expire on December 31, 2031. Approve Reappointment of Board of Zoning Adjustments Member Scott Arcand Members of the Board of Zoning are appointed annually. Scott Arcand had served on the BOZA since November 2017 as the resident board member. Approval of the Consent Agenda approveed the reappointment of Scott Arcand to serve on the BOZA for another year term to end December 31, 2026. Council Meeting Minutes for December 15, 2025 Page 4 of 11 Approve Revised City of Hugo Personnel Policy The City of Hugo’s Personnel Policy was last adopted in October 2011 and had been amended 17 times since. The Personnel Policy has been completely rewritten to incorporate multiple state law changes and administrative practices that have evolved or needed to be changed. Adoption of the Consent Agenda approved the revised Personnel Policy subject to review by the City Attorney. Approve Resolution on Statutory Tort Liability Limits In the late 1990’s the League of Minnesota Insurance Trust required each City that obtained liability coverage from them to decide whether or not to waive the statutory tort liability limits to the extent of coverage purchased. Currently these limits are $500,000 per claimant and $1,500,000 per occurrence. At that time the City Council opted not to waive the statutory limits. LMCIT requires each member city to reaffirm their position on an annual basis. Adoption of the Consent Agenda approved RESOLUTION 2025-45 NOT TO WAIVE STATUTORY TORT LIABILITY LIMITS. Approve Resolution Certifying Delinquent Utility Accounts Annually, the Finance Department reviews all delinquent utility bills, which are the result of nonpayment or underpayment of water and sewer utility bills. In accordance with City Ordinance, Council is required to adopt a resolution to certify delinquent utility bills to the property tax rolls. Property owners who have not paid their outstanding utility bill will have it certified to the property tax rolls. Adoption of the Consent Agenda approved RESOLUTION 2025-46 CERTIFYING UNPAID UTILITY BILLS TO THE COUNTY AUDITOR FOR COLLECTION. Approve Ordinance Establishing 2026 Fee Schedule and Publication of Summary Ordinance City staff annually reviews the schedule of fees, rates and charges and recommends changes. The Finance Department has reviewed these changes and incorporated them into the fee schedule for 2026. Adoption of the Consent Agenda approved ORDINANCE 2025-545 AUTHORIZING ESTABLISHMENT OF FEES, RATES AND CHARGES and Summary Ordinance for publication. Approve Resolution Setting 2026 Salary and Reimbursement Levels At the Mid-Year Budget Review Workshop, the City Council indicated their willingness to adjust the City’s salary matrix by 4.44% and to grant step increases to those employees who had not yet reached their pay grade maximums. Council approved the 2026 budget containing these adjustments at their December 1, 2025, Council Meeting. Using state-supplied software the Finance Department verified that the City will remain in compliance with Pay Equity Statutes. Approval of the Consent Agenda approved RESOLUTION 2025-47 SETTING 2026 SALARIES FOR CITY EMPLOYEES AND ESTABLISHING EMPLOYEE REIMBURSEMENT LEVELS. Council Meeting Minutes for December 15, 2025 Page 5 of 11 Approve Resolution Approving Refuse Haulers Licenses for 2026 The City had received applications from six refuse haulers who provide refuse collection and recycling services to Hugo businesses and residents. Adoption of the Consent Agenda approved RESOLUTION 2025-48 APPROVING 2026 REFUSE HAULERS LICENSES. Approve Resolution Approving Liquor and Tobacco Licenses and LPHE Registrations for 2026 Staff had received the appropriate applications for renewals of liquor and tobacco licenses for 2026 and registrations for 2026 low potency hemp edibles. Adoption of the Consent Agenda approved RESOLUTION 2025-49 APPROVING 2026 LIQUOR AND TOBACCO LICENSES and LOW POTENCY HEMP EDIBLES REGISTRAITON subject to license by the State. Approve Lawful Gambling Exempt Permit for Ducks Unlimited Event on January 18, 2026 White Bear Lake Ducks Unlimited had applied for a Lawful Gambling Exempt Permit to hold raffles at their event on Sunday, January 18, 2026, 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. Genevive Men’s Club Fish Fry on March 27, 2026 The Church of St. Genevive Men’s Club had applied for a Lawful Gambling Exempt Permit to hold a raffle at their event on Friday, March 27, 2026, to be held at the Church of St. Genevive St. John’s site. 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 Church of St. Genevive Men’s Club. Approve Release of Letter of Credit for Adelaide 7th and 8th Additions. S&S Real Estate Holding, LLC, the developer, had requested the City release their letter of credit for Adelaide 7th and 8th Additions. City staff had inspected the work and staff recommended approval. Adoption of the Consent Agenda approved the release of the letter of credit being held for the constructed improvements of the Adelaide 7th and 8th Additions. Approve Watermain Oversizing Credits for Shores of Oneka Lake As part of the Shores of Oneka Lake Development, the developer had installed larger diameter watermain pipes than would be required to provide adequate water service for their development to accommodate future growth in Hugo. The watermain had been installed and inspected by City of Hugo staff, and staff recommended approval. Adoption of the Consent Agenda approved the watermain oversizing credit in the amount of $186,210 for installing 12” watermain in lieu of 8” per the development fee schedules for the 1st, 2nd, 3rd and 5th Additions. Council Meeting Minutes for December 15, 2025 Page 6 of 11 Approve Pay Request No. 4 to Northwest Asphalt, Inc. for the Beaver Ponds Street Improvement Project and the 2025 Street Improvement Project Northwest Asphalt, Inc. had submitted Pay Request No. 4 in the amount of $89.619.65 for work certified through November 30, for both the Beaver Ponds and the 2025 Street Improvement Projects. Both projects were completed and only have minor restoration items remaining that will be checked in the spring of 2026. City staff has inspected the work and recommended approval. Adoption of the Consent Agenda approved the payment to Northwest Asphalt, Inc. in the amount of $89,619.65. Approve Final Pay Request to Dresel Contracting for Dellwood Ridge and 125th Street 2024 Road Project Dresel Contracting, Inc. had submitted Pay Request No. 6 in the amount of $133,631.09 for work certified through November 30, 2025, on the 2024 125th Street/Dellwood Ridge Neighborhood Improvement Project. The punch-list had been completed, and this was the final pay application for the project. Adoption of the Consent Agenda approved payment to Dresel Contracting, Inc. in the amount of $133,631.09 and formally accept the project. Approve Resolutions Approving Comprehensive Plan Amendment, Rezoning, Preliminary Plat, Final Plat, Site Plan, and Conditional Use Permit for Kwik Trip at TH61 and 159th Street The applicant, Kwik Trip, Inc. had requesteds site plan and associated approvals that would allow for the construction of a gas station and convenience store with attached carwash. There were two parcels of interest, the easterly of which (Parcel 1) is zoned and guided for single- family residential use, and the westerly of which (Parcel 2) is zoned and guided for commercial use. The parcels are located northeast of the roundabout intersection with 159th Street North and Forest Boulevard North (Highway 61). Staff found that the proposal met all the requirements necessary for the City to approve the applications as outlined in the City Code, if the conditions were met in the approving resolutions. The Planning Commission held a public hearing at their meeting on December 11, 2025, and unanimously recommended approval. Adoption of the Consent Agenda approved RESOLUTION 2025-51 APPROVING A COMPRHENSIVE PLAN AMENDMENT CHANGING MAP 3-1, 2040 LAND USE PLAN and RESOLUTION 2025-52 APPROVING FINDINGS OF FACT FOR REZONING KWIK TRIP, INC. FOR PROPERTY LOCATED NORTH OF 159TH STREET NORTH AND EAST OF FOREST BOULEVARD NORTH, and RESOLUTION 2025-53 APPROVING A PRELIMINARY AND FINAL PLAT, SITE PLAN AND CONDITIONAL USE PERMIT FOR KWIK TRIP, INC. FOR A GAS STATION AND CONVENINCE STORE WITH ATTACHED CAR WASH ON THE PROPERTY LOCATED NORTH OF 159TH STREET NORTH AND EAST OF FOREST BOULEVARD NORTH. Approve Ordinance Rezoning Property Located at TH61 and 159th Street to General Business for Kwik Trip The applicant, Kwik Trip, Inc., had requested a rezoning of a parcel located northeast of the roundabout intersection with 159th Street North and Forest Boulevard North, from its current zoning of Planned Unit Development (PUD) to General Business (C-2). Staff had reviewed the request and found it met all criteria necessary to approve a rezoning. The Planning Commission Council Meeting Minutes for December 15, 2025 Page 7 of 11 held a public hearing and at their December 11, 2025, meeting and unanimously recommended approval. Staff recommends Council approve the rezoning on property located at TH61 and 159th Street to General Business. Adoption of the Consent Agenda approved ORDINANCE 2025-546 AMENDING CHAPTER 90 (ZONING ORDINANCE) OF THE CITY CODE TO CLASSIFY CERTAIN LANDS LOCATED NORTH OF 159TH STREET NORTH AND EAST OF FOREST BOULEVARD NORTH. Approve Resolution Approving Site Plan for KLG Holding, LLC for Commercial Building at 13845 Forest Boulevard North The applicant, KLG Holding, LLC, requested approval of a site plan for a 9,088 square foot commercial building on the property located at 13845 Forest Boulevard North. The applicant indicated that the building would be used for a dance studio known as “The Dance Unit.” It was staff’s opinion that the application met the criteria to approve a site plan, provided that the applicant continue to work with staff on revisions that would bring the project into compliance with ordinance requirements and design guidelines. The Planning Commission reviewed the request at their December 11, 2025, meeting and unanimously recommended approval. Mayor Weidt removed this from the Consent Agenda to allow the applicant to introduce himself. Kyle Gross, owner of The Dance Unit currently located on Mercantile Drive in Victor Gardens, said he and his wife Laureen met at the University of Minnesota and both danced in the Twin Cities and worked as instructors. In Fall 2020, they opened a studio in Victor Gardens. They felt they were at capacity and wanted to make a long-term investment. The number of students has expanded to 260, and the new location will have five classrooms. Kyle said two-thirds of their students live in the Hugo community. He said they are excited to expand and create an awesome space in the community. They currently live in Stillwater. Weidt made a motion, Miron seconded, to approve RESOLUTION 2025-50 APPROVING A SITE PLAN FOR KLG HOLDING, LLC FOR CONSTRUCTION OF A COMMERCIAL BUILDING ON PROPERTY LOCATED AT 13845 FOREST BOULEVARD NORTH. All Ayes. Motion carried. Public Hearing on the Bald Eagle Industrial Park Area 2026 Street Improvement Project On February 27, 2025, the City Council authorized the preparation of a feasibility study for the 2026 Bald Eagle Industrial Park Area Street Improvement Project. The City Council accepted the completed study at the November 17, 2025, City Council meeting and called for a public hearing to be held this evening. City Engineer Mark Erichson presented the project location and explained that it involves full pavement removal and replacement, along with construction of a trail on Europa Avenue that will be completed as part of the project but not included in the assessments. He provided background on the City’s pavement management program, which rates roadway conditions every three years to identify areas in need of improvement. The most recent rating, completed in 2024, indicated that the roads within the project area were showing signs of distress and required partial reconstruction to prevent further deterioration. Council Meeting Minutes for December 15, 2025 Page 8 of 11 Erichson presented photos of the current condition of the streets that showed cracking, patching, and distress around manholes. He stated that the project also includes the removal and replacement of street lighting, trail improvements, and improvements at Water Tower Park. He said there had been options discussed with residents along 130th Street, noting that residents on both the north and south sides preferred to widen the roadway by four feet to the north. There would be no room for a trail. Erichson explained how the process outlined in MN Statute Chapter 429 requires a public improvement hearing and assessment hearing. The City also had additional neighborhood meetings. He explained the assessment policy and different options for payment. Property owners have a right to object, and he noted that two letters were received from residents that will become part of the minutes. The estimated project cost was $4,690,400. According to the assessment policy last updated in 2013, the residential assessment for partial reconstruction would be $4,100 per unit and $2,100 per unit for an urban roadway overlay. Commercial properties pay a higher rate. He noted that the majority of project costs are paid by the City. Erichson presented a map of the assessment area noting two areas. One was the residential area north of 130th Street and west of Fenway Boulevard where there is no direct access. The frontage is owned by the homeowner’s association. Those properties will not be assessed with this project, but when improvements take place within the development they will be assessed one full unit. The other area he noted was the residential properties along 140th Street North, and he pointed out that the two letters received were from residents in that area. Erichson provided information on construction impacts and the proposed project schedule. There will be full closure on roadways that access Fenway Boulevard on the west side and one way traffic on Fenway Boulevard. Half the road will be constructed at a time, allowing access to businesses during construction. Construction will take about three months beginning in May or June. If it is authorized this evening, plans will be prepared, and meetings will be held in late January with residents and businesses. An assessment hearing will be held in March, before the contract is awarded. Mayor Weidt opened the public hearing. Jarard Torenvliet, 5436 140th Street North, stated he objected to the proposed assessment, saying the road is in good condition and provides no direct benefit to his property. He said improvements appear to benefit the industrial park. He stated he has had to close the windows to reduce noise from the traffic. Torenvliet submitted a letter objecting to proposed assessments that will be kept as part of the minutes. Council Member Krull asked if his driveway is located on 140th Street North, and Mr. Torenvliet replied it is. Tyler Lessard, 14020 Finale Avenue North, stated he has lived there for 15 years, has young kids and improvements will increase traffic to his neighborhood. He said businesses were not taking care of the sidewalk so it’s unlikely it will be plowed. He said the road was perfectly fine with no potholes or bumps. He had submitted a letter that is attached to these minutes, and he read his letter out loud. Council Meeting Minutes for December 15, 2025 Page 9 of 11 Mayor clarified the project is intended to repair a deteriorating road before full reconstruction is needed, and it is not an effort to increase traffic on the road. He stated that every road in the City is driven on by residents, and he questioned Lessard why he should not be responsible for an assessment. Lessard replied that 99% of the traffic is industrial and that is why it is deteriorating. He said the assessment is not equal to the increase in the value of his house but instead probably decreases it because of safety and traffic issues. Weidt explained that the assessment represents a small portion of the total project cost and benefits the community overall. John Squires, 5336 140th Street North, talked about the lack of maintenance on the trails and amount of traffic. He said between 5:45-6:45 a.m., he witnessed 71 cars and 23 big trucks coming and going. He said he believed the road was fine, and he objected to the assessment. Alex Altstatt, managing partner of three industrial properties including Western Spring, said the roads serving the industrial area are heavier rated roads, and he talked about the impact of the cost to them which is over $50,000 saying 99% of their customers don’t care about the project. He said he appreciated the City’s communication. He questioned what an industrial park tenant would gain by a bike path. Mark replied that assessments are for road improvements only. The trail is the County’s responsibilities and is a cost share between the County and the City. The roadway is not being prematurely reconstructed because of industrial traffic. It is 30 years old. It was built to industrial standard and will be redone to a 30-year standard. He did not understand how improvements would increase truck traffic. Altstatt agreed it would not increase truck traffic to his businesses, and he asked about the streetlights. Erichson replied that the majority of them are not functioning, and Xcel’s 12-year program has expired. He said the lights do not affect the assessment amount. Altstatt said he would prefer more light for security reasons, and he thought it was a good project. Mike Worrel, 14003 Fenway Avenue North, had the opinion that the road was fine. He said he has lived there for 21 years and does not recall it ever being patched. He said his house rattles from the big trucks, and that is what is doing damage to the roads. Galen Carlson, 5451 140th Street North, owner of North County Auto Body, said the project is needed. He questioned if there would be any elevation change to his driveway; he would like to see the road raised. Erichson said the curb and gutter would remain, and he will follow up with Carlson on any existing issues. Council Meeting Minutes for December 15, 2025 Page 10 of 11 Torenvliet agreed there was no intent to increase traffic but as the area is improved, the park will continue to expand. He said the name of the project is “Bald Eagle Industrial Park Area Improvement Project” which makes it clear that they are the ones to benefit. He restated that he did not feel there was a benefit to him. Weidt closed the public hearing. Miron asked about the age of the roads and the City’s policy on clearing paths. Erichson replied the roads were constructed in the early 1990s. Community Development Director Rachel Juba added that Public Works puts together a map showing trails and sidewalks that are heavily used, so it is a City directive of what to maintain. Miron asked Erichson if there was documentation on maintenance that had been done on 140th street. Erichson referred to the current pictures of the road showing patching. He added that certain State Aid standards would require more extensive improvements if they waited longer. Squires was concerned that the big trucks will continue to deteriorate the road. Erichson stated that there is a heavy-duty roadway section pavement design that has an extended life as required by State Aid standards for truck traffic. Miron asked about today’s design standards. Erichson replied that standards have changed since 1996 and have improved. Weidt talked about all the work that goes into developing the Capital Improvement Program CIP and how projects are chosen. He stated that from what he heard this project is a good idea but there are concerns about how it is being paid for. He stated that the City tries to be fair and responsible with taxpayer dollars and doing road projects at the right time. Further discussion on assessments will take place at the assessment hearing. Weidt made motion, Petryk seconded, to approve RESOLUTION NO. 2025-54 ORDERING THE PROJECT AND AUTHORIZING THE PREPARATION OF PLANS AND SPECIFICATIONS FOR THE 2026 BALD EAGLE INDUSTRIAL PARK AREA STREET IMPROVEMENT PROJECT. Roll call vote- Ayes: Strub, Miron, Petryk, Krull, Weidt Nays: None Motion carried. Council Meeting Minutes for December 15, 2025 Page 11 of 11 Schedule Goal Setting Session for Monday, January 26, 2026 Strub made motion, Petryk seconded, to schedule the City Council annual Goal Setting Session for Monday, January 26, 2026, at 6:00 p.m. Adjournment Strub made motion, Miron seconded, to adjourn at 8:31 p.m. All Ayes. Motion carried. Respectfully Submitted, Michele Lindau, City Clerk FORMAL OBJECTION TO SPECIAL ASSESSMENT 2026 Bald Eagle Industrial Park Area Street Improvement Project Date: December 15, 2025 To: City Clerk City of Hugo 1.4.6.E Eitzge.ratd_Avenue_North Hug4,_M N-550-38 Re: Formal Objection to Proposed Special Assessment Property Owner:Tyler Lessard &Angela Lessard Property Address: 14020 Finale Ave N. Hu o�MN 55038 Property ID: 2003121330016 Dear Mayor and City Council Members, I am writing to formally object to the proposed special assessment related to the 2026 Bald Eagle Industrial Park Area Street Improvement Project, pursuant to Minnesota Statutes Chapter 429. My property is residential in nature and is being assessed for improvements that are primarily designed to serve industrial traffic and commercial users at the end of the roadway.The proposed project does not confer a special benefit to my property that is distinct from the general public benefit, as required by Minnesota law. The proposed trail and sidewalk improvements do not abut or touch my property, and therefore provide no direct access, increased functionality, or measurable increase in market value to my parcel. These elements function as general public amenities and should not be specially assessed to residential property owners who receive no direct benefit. Additionally, the existing street condition serving my property is not in poor or failing condition and does not require rehabilitation to maintain safe residential use.The primary effect of the proposed improvements appears to be facilitating increased industrial truck traffic, which would negatively impact residential character, noise levels, and safety, rather than providing a benefit to my property. The estimated assessment amount of$2,050 is therefore disproportionate to any special benefit received and appears to fund infrastructure improvements intended to support industrial operations rather than residential properties. I respectfully request that the City provide the assessment methodology used and reconsider the allocation of costs to residential parcels such as mine. For these reasons, I request that the proposed special assessment against my property be removed or significantly reduced to reflect the absence of special benefit, consistent with Minnesota Statute §429. Please accept this letter as my formal objection and include it in the official record of the public hearing scheduled for December 15, 2025. 1 respectfully request written notice of the Council's decision regarding this matter. Thank you for your time and consideration. Sincerely, T-1 Tyler Lessard Property Owner 651-890-6482 Madjasperl 980@icloud.com Property ID No.2003121330015 Owner:Gerard Torenvliet—(651)300-9725/gerardaltorenvliet.ca RE: 2026 Bald Eagle Industrial Park Area Street Improvement Project City of Hugo,MN WSB Project No.028426-000 Executive summai While I support the proposed 2026 Bald Eagle Industrial Park Area Street Improvement Project,I object to the proposed special assessments on residential property owners on 140th St N.Minnesota Statute 429.051 requires that special assessments be based on special benefits received by the assessed property.The purpose and intent of this project is to improve roadway infrastructure for the Bald Eagle Industrial Park.These improvements will facilitate industrial operations and encourage additional industrial traffic.This does not benefit residential properties but rather creates negative impacts including noise,safety concerns,and reduced property enjoyment and value.The improvement is a general benefit(regional traffic flow and industrial park access)rather than a special benefit to residential properties.Therefore,I respectfully request that the four residential properties on 140th St N be exempted from the proposed special assessment. The proposed project's title clearly identifies its purpose • The project is officially named,"2026 Bald Eagle Industrial Park Area Street Improvement Project".This indicates the primary intended benefit is to the industrial park. • 1401 St N.is the primary access to a mile-long industrial park(from 1401h St N.south to 130`h St.). • It also functions as a residential street for the four homes abutting the street,but due to its primary purpose as an access point to an industrial park it is significantly more robust than a typical residential street. • The expanding industrial park continues to generate increasing traffic, including a large volume of heavy truck traffic.The volume of traffic due to the industrial park outstrips the needs of four homes by at least two to three orders of magnitude. • Current state: 140'h St N is adequate for residential use.It is in better shape than Fenway St or the streets in the neighborhood to the North of 140'h St N. The proposed project is a general benefit to residential properties,not a special benefit • Minnesota statute 429.051 requires assessments be based on special benefits to the assessed property. • The term`special'is specific and entails an increase in value of a residential property due to a proposed project. • The proposed project provides a general benefit to residential properties,facilitating the operations of the Bald Eagle Industrial Park and supporting the City's overall tax base. • Residential properties will experience minimal to no increase in market value from a slightly improved road, when the road is already adequate for residential needs. The residential properties on 140'h St N already bear the burden of the industrial park,with no overall benefit • The four residential homes that abut 140'h St N experience heavy general and truck traffic with all the associated concerns(significantly increased noise,reduced property enjoyment during business hours). • In addition,these homes are at the price point of starter homes in Minnesota yet the traffic on 14011 St N would be a safety concern for young families considering a purchase.The existence of the Bald Eagle Industrial Park thus reduces demand on these properties,depressing their market value. • Any marginal benefit of the proposed partial road rehabilitation is vastly outweighed by the ongoing burden these residences experience from being situated on the main traffic artery for an industrial park. • In effect,residential owners are being asked to subsidize a project that will reduce their property value and quality of life by increasing the viability of the Bald Eagle Industrial Park. Recommendations On this basis,I can continue to support the proposed 2026 Bald Eagle Industrial Park Area Street Improvement Project conditional on the City pursuing one of the following options: • Exemption.Residential properties on 140th St N should be exempted from assessment given the road's primary function as industrial access infrastructure. • Reclassification. The stretch of 140th St N serving the industrial park could be reclassified as a collector/arterial road rather than a local residential street,changing funding obligations and assessment structures.