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2025-09-02 City Council Minutes ALBERTVILLE CITY COUNCIL REGULAR MEETING MINUTES September 2, 2025 – 7 pm Council Chambers Albertville City Hall 1. Call to Order Mayor Hendrickson called the meeting to order at 7 pm. 2. Pledge of Allegiance – Roll Call Present: Mayor Hendrickson, Councilmembers Cocking, Hayden, Olson and Zagorski. Staff Present: City Administrator Nafstad, Fire Chief Bullen, City Attorney Couri, Planning Consultant Faulkner, Finance Director Lannes and City Clerk Luedke. 3. Recognitions – Presentations – Introductions – None 4. Public Forum There was no one present for the public forum. 5. Amendments to the Agenda City Administrator Nafstad requested to move F1. Engel Haus Preliminary Plat, Final Plat and PUD Amendment before 7A. Public Hearing for Outlot A Guardian Angels of Albertville Drainage and Utility Easement Vacation and F2. Mister Car Wash Site Plan Review to 7B. MOTION made by Councilmember Zagorski, seconded by Councilmember Olson to approve the September 2, 2025, agenda as amended. Ayes: Cocking, Hayden, Hendrickson, Olson and Zagorski. Nays: None. The motion carried. 6. Consent Agenda All items under the Consent Agenda are considered to be routine by the City staff and will be enacted by one motion. In the event an item is pulled, it will be discussed in the order it is listed on the Consent Agenda following the approval of the remaining Consent items. Items pulled will be approved by a separate motion. A. Approve the August 18, 2025, regular City Council Meeting minutes as presented. B. Authorize the Tuesday, September 2, 2025, payment of claims as presented, except bills specifically pulled which are passed by separate motion. The claims listing has been provided to City Council as a separate document and is available for public view at City Hall upon request. C. Approve a Special Event Permit including an Outdoor Music Permit for the Church of St. Albert’s Annual Parish Festival on September 20 and September 21, 2025, located at the Church of St. Albert. D. Authorize the hiring of the following individuals for the position of Reserve Firefighter with the Albertville Fire Department: Carter Pauly, Jonathan Pedagat and Derek Weber. E. Approve quotes totaling $13,399.29 to modify the City’s garage located at 11308 60th Street NE. City Council Meeting Minutes Page 2 Regular Meeting of September 2, 2025 F. Adopt Resolution No. 2025-37 adopting Decrease in Debt Services Levies. G. Adopt Resolution No. 2025-38 adopting Decrease in Debt Services Levies. H. Approve Payment Estimate No. 2 to Ebert Construction in the amount of $103,108.15 for Central Park Playground Improvements MOTION made by Councilmember Cocking, seconded by Councilmember Hayden to approve September 2, 2025, consent agenda as submitted. Ayes: Cocking, Hayden, Hendrickson, Olson and Zagorski. Nays: None. The motion carried. 7. Public Hearing A1. Engel Haus Preliminary Plat, Final Plat and Planned Unit Development Amendment Planning Consultant Faulkner presented the staff report and provided background information on the request, noting the vacation would be incorporated with the Engel Haus preliminary plat, final plat and PUD presentation. She explained that the site plan included a new 4-story building, which was generally in compliance with City’s ordinance, except where the applicant was requesting flexibility on the exterior building materials, side yard setbacks, maximum building height and base minimum landscaping requirements. Ms. Faulkner described the proposed exterior materials, stating they would be consistent with those of the existing building. She reported the Planning Commission recommended approval of the request with conditions. She also responded to questions from Council. Mr. Steve Kulns, EDI Development Consulting, addressed the exterior building materials for the proposed new 4-story building, stating that they intended to match materials used on the existing 2-story building as the original building looked amazing. City Administrator Nafstad provided additional information on the architectural features of the proposed building. MOTION made by Councilmember Hayden, seconded by Councilmember Olson to adopt Ordinance No. 2025-06 approving the PUD amendment for Engel Haus II with the terms and conditions established in the report, Resolution No. 2025-32 allowing for summary publication for Ordinance No. 2025-06, and Resolution No. 2025-33 approving the preliminary and final plat for Guardian Angels of Albertville 2nd Addition with conditions. Ayes: Cocking, Hayden, Hendrickson, Olson and Zagorski. Nays: None. The motion carried. A2. Public Hearing – Outlot A, Guardian Angels of Albertville Drainage and Utility Easement Vacation Planning Consultant Faulkner reported the vacation request was presented with previous item. Mayor Hendrickson opened the public hearing. No one from the public requested to speak. MOTION made by Councilmember Cocking, seconded by Councilmember Zagorski to close the public hearing. Ayes: Cocking, Hayden, Hendrickson, Olson and Zagorski. Nays: None. The motion carried. City Council Meeting Minutes Page 3 Regular Meeting of September 2, 2025 MOTION made by Councilmember Cocking, seconded by Councilmember Olson to adopt Resolution No. 2025-28 vacating all Drainage and Utility Easements within Outlot A of the Plat of Guardian Angels of Albertville within the City of Albertville. Ayes: Cocking, Hayden, Hendrickson and Zagorski. Nays: None. Absent: Olson. The motion carried. B. Mister Car Wash Site Plan Reviews Planning Consultant Faulkner presented the staff report, provided background information, and noted that in August, the Council had approved a PUD and preliminary plat for Java Retail, which included dividing the property into two lots and one outlot. She stated that Mister Car Wash was proposing to be located on one of the lots. She reviewed the site plan and confirmed it met the City’s zoning requirements with a few caveats, including the employee parking requirements. Ms. Faulkner also noted that the applicant was requesting approval of a comprehensive sign plan due to the number of signs proposed. She reported the Planning Commission had reviewed the request and recommended approval with conditions. She stated that Mister Car Wash could not be developed until the Java Retail Addition Final Plat was approved by the City and responded to questions for Council. Mr. Chris Campbell, Mister Car Wash, answered questions from Council regarding the proposed signage and vacuum enclosures. MOTION made by Councilmember Cocking, seconded by Councilmember Zagorski to adopt Resolution No. 2025-34 approving the site plan for Mister Car Wash and the comprehensive sign plan with conditions as revised. Ayes: Cocking, Hayden, Hendrickson, Olson and Zagorski. Nays: None. The motion carried. 8. Wright County Sheriff’s Office – Updates, reports, etc. There were no updates from Wright County Sheriff’s Office. 9. Department Business A. City Council 1. Committee Updates (STMA Ice Arena, Planning, JPWB, Parks, Fire Board, FYCC, etc.) Councilmember Zagorski provided an update from the Joint Power Water Board meeting reporting that bid results for the five-million-gallon ground storage reservoir came in over the engineer’s estimate. City Administrator Nafstad provided additional information on the bids and answered questions from Council. B. Building – None C. City Clerk – None D. Finance 1. 2026 Preliminary Budget and Property Tax Levy Finance Director Lannes presented the staff report and reported that proposed budget had changed since the workshop, including adjustments to the levy amount. She stated that the tax City Council Meeting Minutes Page 4 Regular Meeting of September 2, 2025 levy was now reduced to a 7.17% increase and provided information on the items that had been adjusted. She explained that once the preliminary budget was approved, the final budget may be lowered but could not be increased. She answered questions from the Council. City Administrator Nafstad provided additional information on the 2026 preliminary budget and answered questions from Council. The Council discussed the tax levy amount and the proposed 2026 budget. The consensus was to move forward with the proposed 7.17% levy increase, with the understanding that the Council would have the ability to reduce the final amount when final levy was approved in December. MOTION made by Councilmember Cocking, seconded by Councilmember Hayden to adopt Resolution No. 2025-29 adopting the 2025 Preliminary Tax Levy collectable in 2026. Ayes: Cocking, Hayden, Hendrickson, Olson and Zagorski. Nays: None. The motion carried. MOTION made by Councilmember Cocking, seconded by Mayor Hendrickson to adopt Resolution No. 2025-30 adopting the 2026 Preliminary Budget. Ayes: Cocking, Hayden, Hendrickson, Olson and Zagorski. Nays: None. The motion carried. 2. Decertify Eull Concrete Tax Increment Financing (TIF) District No. 12 Finance Director Lannes presented the staff report and provided background information on the orginial TIF request from Eull Concrete to complete their building. She explained the building has since been torn down and the project ended, resulting in no increment because there was no increase in property value. Ms. Lannes reported that The Office of State Auditor advised the City to keep the TIF open; however, with Toy Box now going to be occupying the property, the TIF needed to be decertified as the new use did not qualify for TIF. City Attorney Couri answered questions from Council regarding the City’s authority to decertify the TIF and the conditions under which decertification should occur. MOTION made by Councilmember Zagorski, seconded by Councilmember Olson to adopt Resolution No. 2025-31 decertify Eull Concrete Tax Increment Financing Redevelopment District No. 12 of the City of Albertville. Ayes: Cocking, Hayden, Hendrickson, Olson and Zagorski. Nays: None. The motion carried. E. Fire – None F. Planning and Zoning 1. Amend City and Zoning Code relating to Regulation of Retail Cannabis and Retail Low Potency Hemp Sales Planning Consultant Faulkner presented the staff report and explained the proposed code amendment had been reviewed by the Planning Commission. She noted the ordinance amendment separated low potency hemp from the cannabis regulations, making it a permitted use rather than an interim use. Ms. Faulkner explained the low potency hemp was regulated differently by the state, which now handled its licensing. City Council Meeting Minutes Page 5 Regular Meeting of September 2, 2025 MOTION made by Councilmember Olson, seconded by Councilmember Hayden to adopt Ordinance No. 2025-07 amending Chapters 4400 and 5200 of the Zoning Ordinance, relating to the regulation of retail cannabis sales and retail low potency hemp sales and Resolution No. 2025-35 summary ordinance for publication. Ayes: Cocking, Hayden, Hendrickson, Olson and Zagorski. Nays: None. The motion carried. 2. Approve Interim Use Permit For The Smoke Shop at 11135 61st Street NE Planning Consultant Faulkner presented the staff report and provided background information on the request for interim use permit (IUP) from Felix Langford Jr. of The Smoke Shop for retail cannabis sales. She noted the applicant has applied to the Office of Cannabis Management (OCM) for a microbusiness license and reported the interior of the site would be renovated to meet OCM security standards. Ms. Faulkner explained the terms of an IUP and stated that the Planning Commission recommended approval of the request with conditions. She further noted that, upon approval, Mr. Langford would be granted the City’s only retail cannabis sales license. She also responded to questions from Council. City Attorney Couri answered questions from Council regarding the description of a temporary cannabis event. MOTION made by Councilmember Olson, seconded by Councilmember Cocking to adopt Resolution No, 2025-36 approving an interim use permit for retail cannabis sales at 11135 61st Street Northeast with the finding and conditions. Ayes: Cocking, Hayden, Hendrickson, Olson and Zagorski. Nays: None. The motion carried. G. Public Works/Engineering 1. 152 Club Grading and Fill Permit City Administrator Nafstad presented the staff report and provided background on the 2008 Downtown Parking Study and Railroad Exchange plaat, which was developed to support off- street parking in the downtown area. He reported the property owner of the 152 Club, Trish Holm, was requesting a grading and fill permit to expand their existing parking lot, with the fill material to be used from the Main Avenue project. He explained that while City Code required parking lot expansions to be paved, this proposal would not include paving; however, the screening and setback standards would be maintained. Administrator Nafstad responded to questions from Council. The Council discussed the grading permit and the proposed parking area. The Council expressed a preference that the front portion of the driveway to be paved in order to improve the appearance of the site. Finance Director Lannes answered questions from Council and reported that the City’s Driveway program may be able to be used for the paving of the front portion of the driveway. City Administrator Nafstad reported that a portion of the driveway between 152 Club and the neighboring Bar, BJ’s Sport Tavern, was owned by BJ’s. He requested Council allow staff some flexibility to work with both property owners to coordinate paving the shared driveway area. City Attorney Couri provided additional information, noting that the City Code allows for some flexibility regarding the grading and paving request. City Council Meeting Minutes Page 6 Regular Meeting of September 2, 2025 MOTION made by Councilmember Cocking, seconded by Councilmember Hayden to approve Grading and Fill Permit for the 152 Club to place approximately 1,700 cubic yards of clean fill to raise and level the eastern portion of the parcel, subject to City Engineer review and approval. Ayes: Cocking, Hayden, Hendrickson, Olson and Zagorski. Nays: None. The motion carried. H.Legal – None I.Administration 1. City Administrator Update – Verb City Administrator Nafstad presented an update on upcoming projects and events within the City. Announcements and/or Upcoming Meetings September 8 STMA Arena Board, 6 pm September 9 Planning Commission, 7 pm September 15 City Council, 7 pm September 22 Joint Power Water Board, 6 pm Parks Committee, 7 pm September 24 Joint Governance Meeting, 6 pm (Albertville) October 6 City Council, 7pm 10.Adjournment MOTION made by Councilmember Cocking, second by Councilmember Zagorski to adjourn the meeting at 8:19 pm. Ayes: Cocking, Hayden, Hendrickson, Olson and Zagorski. Nays: None. The motion carried. Respectfully submitted, _____________________________ Kristine A. Luedke, City Clerk