Pursuant to due call and notice thereof, a City Council Meeting was duly held in the City Council chambers at 7:00 p.m. on the 10th day of December 2024. The meeting was called to order by Mayor Henke.
The following members were present: Mayor Doug Henke, Council Members Mary Bailey, Lee Sjolander, Molly Ryan, and Kim Helgeson
Also present: Interim Administrator Frank Boyles, Administrative Assistant Holli Gudknecht, Finance Director Whitney Kyllo, Engineer Derek Olinger, Attorney Joe Sathe, Public Works Supervisor Wayne Ehrich, Officer Brian Homeier, Don Kirchmann, Elana Brunner
The meeting opened with the Pledge of Allegiance.
CITIZEN COMMENT
ADOPT AGENDA
Motion by Ryan seconded by Bailey to approve the agenda. Motion carried 5-0-0.
CONSENT AGENDA
Motion by Helgeson seconded by Ryan to approve the Consent Agenda, which includes the 2025 Fire Contract, Disposal of Telephones, and payment of check numbers 76664 through 76738; 5220E through 5257E. Motion carried 5-0-0.
PRESENTATIONS/PUBLIC HEARINGS/RECOGNITIONS/PROCLAMATIONS
ENGINEERING
Pearl Creek & Gates Avenue Utility Improvements
Engineer Olinger stated that most of the work is now complete. There have been delays with minor grading, stabilization, and establishing turf on the Barrett property. The results of any final restoration will not be known until the spring thaw, so it was recommended that a completion date be set in early spring for the remaining repair work. Liquidated damages would be suspended over the winter. Payment #11 includes work completed between November 2 and December 3.
Pay Application #11 to BCM Construction and Change Order
Motion by Bailey seconded by Helgeson to approve pay request No. 11 to BCM Construction in the amount of $4,430.00 and execute a change order to move the completion date of the remaining repair work to early spring. Motion carried 5-0-0.
2025 Street and Utility Improvements
Engineer Olinger stated that the design work for the 2025 street and utility improvements is about 25% complete. The Langford right-of-way width varies, and portions of the existing street are outside the ROW. Acquisition of permanent easements from adjacent property owners may be needed to address this issue.
Motion by Ryan seconded by Helgeson directing the city engineer to engage property owners for the acquisition of easements for Langford Avenue. Motion carried 5-0-0.
8th Street Development
Engineer Olinger stated that a potential layout for the 8th street development site has been drafted. The layout showed an ideal layout for the buildout of the area. Some discussion and input from developers would be helpful prior to preparing costs.
LEGAL
Kenyon Code 400.07 Moving Permits - Amendment
Interim Administrator Boyles stated that in October, the Planning Commission reviewed a request to move a building to a lot in Kenyon. This request did not materialize, but the Commission felt the current city code for moving permits needed to be updated. Changes made included language to address the concerns about appearance and age of the building to be moved, electric line clearance verbiage from the KMU Rules and Regulations Handbook, and language change to match the MN State Statute 221.81. At the December 4, 2024 meeting, the Planning Commission recommended adoption of Ordinance No. 107 to the City Council.
Ordinance No. 107: Amending Section 400.07 of the Kenyon City Code Regarding Moving Permits
Motion by Ryan seconded by Helgeson to adopt Ordinance No.107. Motion carried 5-0-0.
Cannabis Matters
City Attorney Sathe provided an overview of the options cities have regarding adult-use cannabis. Sathe obtained preliminary input from the council on some questions needed to draft the city’s ordinance related to cannabis and hemp. He will write a draft zoning ordinance to send to the planning commission for a public hearing.
OLD BUSINESS
2025 Budget and Levy
Resolution 2024-28: Adopting the 2025 Budget and Establishing the Tax Levy for Payable 2025
Finance Director Kyllo stated that the Truth in Taxation meeting was held on December 3. The final budget shows a maximum proposed levy increase of 9.55% for 2025.
Motion by Bailey second by Ryan to adopt Resolution 2024-28 adopting the 2025 budget and establishing the tax levy of $1,400,000 payable in 2025. Motion carried 5-0-0.
NEW BUSINESS
Resolution 2024-30: Adopting the 2024 Goodhue County Hazard Mitigation Plan
Public Works Supervisor Ehrich reported that the Goodhue County Hazard Mitigation Plan was approved by FEMA on October 30,2024. The city needs to adopt this plan through council resolution to be eligible for mitigation and restoration grants and programs offered through the federal government.
Motion by Helgeson seconded by Sjolander to adopt Resolution 2024-30 the 2024 Goodhue County Hazard Mitigation Plan. Motion carried 5-0-0.
Resolution 2024-29: Resolution Committing Capital Fund Balance
Finance Director Kyllo stated that the general accounting standard (GASB 54) requires all public entities to set year end Capital fund balances before the end of the current year contingent on audited final numbers. The final year-end capital fund amounts will not be known until the 2024 audit has been completed.
Motion by Ryan seconded by Bailey to adopt Resolution 2024-29 committing capital fund balances.
Motion carried 5-0-0.
Bobcat Trade-in and Replacement
Public Works Supervisor Ehrich stated that the 2019 Bobcat is in the budget for 2025 to be traded in. If the new bobcat is ordered in December, the 2025, a price increase would be avoided. The new bobcat would not need to be paid for until 2025.
Motion by Ryan seconded by Henke to approve the purchase contract with Tri-State Bobcat Inc for the new bobcat. Motion carried 5-0-0.
Add/Delete Signatory at Security State Bank of Kenyon
Motion by Helgeson seconded by Ryan to add Scott Lehner and Mary Bailey as signers on the City of Kenyon checking account at Security State Bank of Kenyon and delete Douglas Henke and Mary (Molly) Ryan as signers on the same account. Motion Carried 5-0-0.
2025 Tobacco License Renewals
Kenyon Market, River Country Co-Op (Speedway), Kenyon Municipal Liquor Store
Motion by Sjolander second by Bailey to approve the 2025 tobacco license renewals. Motion carried 5-0-0.
Holiday Office Closings
Interim Administrator Boyles requested approval for City Offices and Library to be closed Tuesday, December 24 and to close the library at 4:30 pm on Tuesday, December 31.
Motion by Helgeson seconded by Ryan to close the City Office and Library on Tuesday, December 24 and close the library at 4:30 pm on Tuesday, December 31.
Motion carried 5-0-0.
Extension of Interim Administrator Contract
Interim Administrator Boyles stated that his contract was effective as of May 22, 2024. The agreement automatically terminated six months from the effective date, which was November 22, 2024. The request is to extend the contract to January 31, 2025.
Motion by Ryan seconded by Helgeson to approve Resolution 2024-31 providing for a mutually agreed upon extension for the May 22, 2024 independent contractor agreement for interim city administrator.
Motion carried 5-0-0.
Schedule of Upcoming Meetings
KMU Meeting: Tuesday, December 17 @ 4 p.m.
EDA Meeting: Tuesday, December 17 @ 8 a.m.
Planning Commission Meeting: Tuesday, January 7 @ 6:00 p.m.
City Council Meeting: Tuesday, January 14 @ 7 p.m.
COUNCIL AND STAFF GENERAL COMMENTS
Council Member Sjolander thanked everyone for all the work they do.
Attorney Sathe stated that he had enjoyed working with both Molly and Doug.
Engineer Olinger wished everyone a Merry Christmas and thanked Molly and Doug.
Council Member Helgeson reminded everyone of Christmas in Kenyon on Saturday. She stated it had been a pleasure working with Doug and Molly and welcomed the new council members.
Council Member Ryan stated it had been a great four years serving on the council.
Mayor Henke stated that this was his last council meeting. When he first ran for council, his goal was to get the Industrial Park going and build a new fire department building which were both accomplished. He enjoyed his time on the council.
Council Member Bailey thanked the department heads for their work, thanked Kim for all her work on the Park & Rec committee, and presented Doug and Molly with appreciation gifts.
Interim Administrator Boyles thanked the council for the opportunity to work in this community.
Motion by Bailey seconded by Ryan to adjourn the meeting at 8:47 pm.
Motion carried 5-0-0.
Holli Gudknecht, Deputy City Clerk
Douglas Henke, Mayor
