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2026-02-17 City Council Minutes ALBERTVILLE CITY COUNCIL REGULAR MEETING MINUTES February 17, 2026 – 7pm Council Chambers Albertville City Hall 1. Call to Order Mayor Hendrickson called the meeting to order at 7:02 pm. 2. Pledge of Allegiance – Roll Call Present: Mayor Hendrickson, Councilmembers Hayden, Olson, and Zagorski Absent: Councilmember Cocking Staff Present: City Administrator Nafstad, Fire Chief Bullen, Planning Consultant Faulkner, City Attorney Couri, Finance Director Lannes and Finance Clerk Moseng. 3. Recognitions – Presentations – Introductions 4. Public Forum There was no one present for the public forum 5. Amendments to the Agenda There were no amendments to the agenda. MOTION made by Councilmember Olson, seconded by Councilmember Zagorski to approve the February 17, 2026, Agenda as submitted. Ayes: Hayden, Hendrickson, Olson, and Zagorski. Nays: None. Absent: Cocking. 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 February 2, 2026, regular City Council Meeting minutes as presented. B. Authorize the Monday, February 17, 2026, 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. Accept Accounts Receivable Report D. 4th Quarter Budget to Actual E. 10% Annual Gambling Contributions F. Approve Payment Estimate No. 4 to Omann Contracting in the amount of $833,147.89 for Main Avenue Improvements. City Council Meeting Minutes Page 2 Regular Meeting of February 17, 2026 MOTION made by Councilmember Hayden, seconded by Councilmember Olson to approve the February 17, 2026, Consent Agenda as submitted. Ayes: Hayden, Hendrickson, Olson, and Zagorski. Nays: None. Absent: Cocking. The motion carried. 7. Public Hearing A. Public Hearing – Outlet Mall East Side Tax Increment Financing Request Mayor Hendrickson opened the public hearing. City Attorney presented the staff report and provided background information regarding the current status of the property and the related Tax Increment Financing (TIF) request. He reported that the projected TIF revenues were unlikely to fully offset the cost of the land acquisition. Attorney Couri also provided information regarding the proposed development and stated that, since the issuance of the Public Hearing Notice, the developer has identified existing deed and use restrictions affecting the properties. He explained that lease agreements for the west side of the mall contain provisions that impose restrictions on the east side properties, including limitations on certain retail uses such as the sale of shoes, apparel, and certain food items and limit the percentage of allowable sales for the proposed east side development. As a result of these restrictions, Couri stated that the developer has indicated uncertainty regarding the feasibility of proceeding with the project as currently proposed. He responded to questions from Council regarding the TIF process for the development. No one from the public requested to speak. City Administrator Nafstad answered questions from Council and provided additional information on the TIF process and the current condition of the property. City Attorney Couri stated that staff recommend continuing the public hearing to March 16, 2026, Council meeting at 7 pm to allow additional time to obtain further information regarding whether the proposed development would move forward. MOTION made by Councilmember Zagorski, seconded by Councilmember Olson to continue the public hearing to 7 pm at the March 16, 2026, City Council Meeting. Ayes: Hayden, Hendrickson, Olson, and Zagorski. Nays: None. Absent: Cocking. 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 Hayden reported that the Arena Board discussed ice rental rate fees. He stated that the Arena hourly ice rates were below market compared to surrounding rinks. City Administrator Nafstad reported that the Arena sells a significant amount of ice time, keeping the rinks well booked. He responded to questions from Council and stated further details would be provided following the March 2026 Arena Board meeting. B. Building – None City Council Meeting Minutes Page 3 Regular Meeting of February 17, 2026 C. City Clerk – None D. Finance - None E. Fire – None F. Planning and Zoning 1. Leuer Concept Review Planning Consultant Faulkner presented the staff report and stated the property is currently zoned B-2 (Low Intensity Retail) and R-1, consistent with the adjacent site to the north, for which the Council previously reviewed a concept plan. She reported that a development application for the northern property was expected in March, with consideration in April by the Planning Commission. Faulkner stated that the proposed concept plan included five commercial lots, three of which are anticipated to include drive-through facilities, with all fronting LaBeaux Avenue and a cul-de-sac. She added an apartment building was proposed for the east side of the property, similar to the Kingston development Faulkner stated the developer was requesting Council’s feedback on the proposed project. City Administrator Nafstad noted that traffic concerns, particularly at 53rd Street, were being evaluated through an ongoing traffic study conducted in conjunction with the development group to the north. He answered questions from the Council regarding the possible water usage for the proposed development and explained the next steps for the project. Mr. Leuer, property owner, reported that they had contacted the neighboring property to north and anticipated similar commercial zoning. He also answered Council’s questions regarding the property. Mr. Kuepers, property developer, answered Council questions regarding the proposed development and noted a demand for housing within the City. He stated that the multi-family building would be similar to the Kingston property which is fully occupied. There was Council discussion regarding the proposed development, and the consensus was supportive of the proposed development project. City Nafstad and Planning Consultant Faulkner provided an overview of the next steps. G. Public Works/Engineering 1. Proposed 2026 City Compost Site Hours City Administrator Nafstad reported that the public has requested earlier opening times and extended hours for the Compost Site. He stated that he has coordinated with the City of Otsego, and the staff report included in the meeting packet provides a proposed schedule that both cities believe may be workable. Nafstad noted that the hours could be adjusted as necessary, but the schedule offered a starting point for the 2026 season. MOTION made by Councilmember Hayden, seconded by Councilmember Zagorski to approve the amended Albertville Compost site hours as listed in the Staff Report. Ayes: Hayden, Hendrickson, Olson, and Zagorski. Nays: None. Absent: Cocking. The motion carried. H. Legal - None City Council Meeting Minutes Page 4 Regular Meeting of February 17, 2026 I. Administration - None Announcements and/or Upcoming Meetings February 23 Joint Power Water Board, 6 pm Parks Committee, 7 pm March 2 City Council, 7 pm March 9 STMA Arena Board, 6 pm March 10 Planning Commission, 7 pm March 16 City Council, 7 pm 10. Adjournment MOTION made by Councilmember Hayden, second by Councilmember Zagorski to adjourn the meeting at 8:05 pm. Ayes: Hayden, Hendrickson, Olson, and Zagorski. Nays: None. Absent: Cocking. The motion carried. Respectfully submitted, _____________________________ Kristie A. Moseng, Finance Clerk