This transcript has been formatted with speaker names based on the municipality roles and context provided. **Note on spellings:** Phonetic errors in the original text (e.g., "Jelly" for Hjelle, "Gistler" for Geissler, "Lebla" for LeBlanc) have been reconciled with the official names provided in the context. *** [0:00] **Mayor Wayne Boucher:** All right, we're all here. Let's stand for the pledge of allegiance. I pledge allegiance to the flag of the United States of America and to the republic for which it stands, one nation under God, indivisible, with liberty and justice for all. [0:24] **City Clerk Alissa McClure:** Roll please. Councilor Peterson? **Councilor Joe Peterson:** Here. **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** [Present/indicated]. **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Here. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Here. **City Clerk Alissa McClure:** Mayor Boucher? **Mayor Wayne Boucher:** Here. Uh, do any councilors have announcements to be made to the public this evening? Okay. We have no public hearings. [0:39] **Mayor Wayne Boucher:** Communications are on file. Mr. Mulder, could you give us a short synopsis of the pre-agenda presentations? [0:46] **City Administrator John Mulder:** Yeah. So, we did a presentation on capital improvement requests that departments have made in the 2026 budget. Um, we wanted you to be aware of all of the requests that were made. We will have to do some um work to make those fit into the budget. Um, then we followed up with the payroll budget to give you a sense of um increase that we're looking in terms of payroll cost. [1:10] **City Administrator John Mulder:** Payroll makes up a large percentage of our budget. Um, and those were reflecting um wage increases that we had with our unions and it did not include any new positions. David Bol gave an update on the 2025 trails project. We talked a little bit about parking lots, retaining walls, um, and crossings and just, you know, all the things that we have in the plans. Um, we are going to go back and look at that a little bit closer to see if we can reduce the amount of retaining walls um that is necessary and then um we will ask we'll come back and ask for you to approve those um that bid package and go up for um advertising for bids. [1:55] **City Administrator John Mulder:** Um, sorry, my microphone. Um, and then lastly, um, David Bol did a presentation on our ADA inventory. We looked at um sidewalks, curb stops or uh curb ramps for pedestrian um access at intersections. We looked at um parking ramps and our parking um stalls, all of the things that for ADA in our uh public infrastructure, roads and streets and sidewalks. Um, we also looked a little bit at the external of our buildings, making sure that um, curb ramps and parking stalls were were adequate and compliant. Um, as a general rule, we were more compliant than not [2:40] and but there was a number of areas where we could um, improve that um, have some um, infrastructure that's outdated and at some point in time we'll need to improve, but we'll create a plan of action going forward as that. That first step was just that inventory. [2:58] **Mayor Wayne Boucher:** Thank you. Uh, next we have public discussion. This is a time that individuals can address the council about any item not on the agenda. The time limit is three minutes per person. We will have a period of time during the items on the agenda for public discussion. Also, if anybody wishes to speak to the council, please step forward to the podium and start with your name and address. [3:29] **Mayor Wayne Boucher:** Is there anyone that wishes to address the council under general public discussion? [3:42] **Mayor Wayne Boucher:** Last opportunity for general public discussion. If you wish to speak to the council, please step to the podium and give your name and address. [3:56] **Mayor Wayne Boucher:** With no public discussion, we'll move to motions. First item is the consent agenda minutes: approval or correction of the June 16, 2025 city council continuation minutes and accounts payable approved general city warrants from June 16, 2025 through June 30th, 2025 in the amount of $1,780,752.49. [4:23] **Mayor Wayne Boucher:** Do we have a motion relating to the consent agenda? **Councilor Brian LeBlanc:** Move to approve. **Mayor Wayne Boucher:** Motion by Councilor LeBlanc to approve. Is there a second? **Councilor John Geissler:** Second. **Mayor Wayne Boucher:** Second by Councilor Geissler. Could we have a roll call, please? [4:34] **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. [4:39] **Mayor Wayne Boucher:** Mayor Boucher, I. Next is resolutions. Resolution 2025-104, resolution accepting large specific project scoping document and authorizing the preparation of the draft alternative urban areawide review AUAR document for the section 31 Hermantown industrial project. Is there a motion in relation to this resolution? [5:06] **Councilor John Geissler:** Motion to approve. **Mayor Wayne Boucher:** Motion by Councilor Geissler to approve. Is there a second? **Councilor Joe Peterson:** I'll second. **Mayor Wayne Boucher:** Second by Councilor Peterson. Mr. Mulder? [5:21] **City Administrator John Mulder:** You had previously approved uh this with resolution 2025-98. But a third comment came in from uh the DNR um that would had not been included in that original one. So we wanted to have you reapprove this so that all three comments that had been made about the scoping document could be included in the preparation of the AUR. [5:38] **Mayor Wayne Boucher:** Thank you. And that was a comment that was somehow diverted in uh email. **City Administrator John Mulder:** Yeah, it had gotten caught up in some spam, but it was from the DNR, but it was made in time. **Mayor Wayne Boucher:** Yes. Thank you. Any questions or comments from council? Hearing none. Is there any public comment on this resolution? [6:04] **Mayor Wayne Boucher:** Any public comment on resolution 2025-104? Any public comment on the resolution accepting the large specific project scoping document and authorizing the preparation of the draft alternative urban areawide review document. Roll call, please. [6:31] **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **Mayor Wayne Boucher:** Mayor Boucher, I. [6:45] **Mayor Wayne Boucher:** Resolution 2025-105. Resolution approving insurance coverage and city does not wave the monetary limits on municipal tort liability for the city of Hermantown. Is there a motion? [6:55] **Councilor John Geissler:** Move to approve. **Mayor Wayne Boucher:** Motion by Councilor Geissler. Do we have a second? **Councilor Andy Hjelle:** Second. **Mayor Wayne Boucher:** Second by Councilor Hjelle. Mr. Mulder. [7:08] **City Administrator John Mulder:** So, we do this on an annual basis. Um, we renew our insurance and we also ask the city council to um pass a resolution saying that we're not waving um—rephrase that—we're not waving the monetary limits on on our um liability. So, um this is the uh renewal from the League of Minnesota Cities um for next year. [7:30] **Mayor Wayne Boucher:** Thank you. Any comments from council? Uh, for those that aren't aware, this is an annual thing as far as the tort liability. There are limits on that, but we have to reauthorize that every year per state law otherwise it becomes unlimited, which could cost us some money theoretically. It's best practices. Yes, sir. [7:54] **Mayor Wayne Boucher:** Any other questions or comments from council? Is there any public comment on this resolution? Any public input on resolution 2025-105? Any public input on the resolution approving insurance coverage and not waving the monetary limits on municipal tort liability? Roll call, please. [8:32] **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **Mayor Wayne Boucher:** Mayor Boucher, I. [8:44] **Mayor Wayne Boucher:** Next is resolution 2025-106. Resolution accepting Ehlers' proposal to redo financial management plan in an amount not to exceed $39,000. Is there a motion relating to this? **Councilor Joe Peterson:** I'll make a motion to approve. **Mayor Wayne Boucher:** Motion by Councilor Peterson to approve. Is there a second? **Councilor Brian LeBlanc:** Second. **Mayor Wayne Boucher:** Second by Councilor LeBlanc. Mr. Mulder. [9:11] **City Administrator John Mulder:** Back in 2008, we hired Ehlers to do the first financial management plan. The financial management plan takes a look at all of our various revenues um our expenses and how they are trending. Um what our needs are relative to capital improvements and staffing levels uh and debt um for infrastructure, things like that. They look at all of those things and help us put together a financial management plan that not just looks at the next 12 to 18 months, but helps us to try to look out how can we start planning for the 2028 budget, the 2029 budget. So, um they look at all of those [9:39] uh pieces to help us kind of develop a plan so that we're um being a little bit more proactive as we look at our budgets. [9:51] **Mayor Wayne Boucher:** Thank you. Any questions or comments from council? Is there any public input on this resolution? Is there any public input on resolution 2025-106? Would anyone like to comment on the resolution accepting a proposal from Ehlers to redo the financial management plan? Roll call, please. [10:24] **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. **Mayor Wayne Boucher:** Mayor Boucher, I. [10:39] **Mayor Wayne Boucher:** Next is resolution 2025-107, resolution approving a memorandum of understanding between the United States Capitol Police and City of Hermantown. Do we have a motion? **Councilor Brian LeBlanc:** Move to approve. **Mayor Wayne Boucher:** Motion by Councilor LeBlanc to approve. Is there a second? **Councilor John Geissler:** Second. **Mayor Wayne Boucher:** Councilor Geissler made it under the wire of all three of you. Um, Mr. Mulder. [11:08] **City Administrator John Mulder:** So, this is a memorandum standard with uh US Capitol Police. Uh, they will reimburse us for providing security to um our federal congressmen. Um, and so we signed this uh following um immediately following um the shooting of the elected officials down in uh the Twin Cities. Um, and so this just allows us to be reimbursed for our expenses. [11:22] **Mayor Wayne Boucher:** Thank you. Any questions or comments from council? Hearing none, is there anyone from the public that wishes to comment on this resolution? Does anyone wish to comment on resolution 2025-107? Is there any public comment on the resolution approving a memorandum of understanding between United States Capitol Police and the city of Hermantown? Roll call, please. [12:12] **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **Mayor Wayne Boucher:** Mayor Boucher, I. [12:22] **Mayor Wayne Boucher:** Next is resolution 2025-108, resolution approving pay request number 13 for the Northstar Ford Arena to Krauss Anderson Construction Company in the amount of $1,666,686.26. Do we have a motion? **Councilor Joe Peterson:** I'll make a motion to approve. **Mayor Wayne Boucher:** Motion by Councilor Peterson to approve. Is there a second for that? **Councilor Brian LeBlanc:** Second. **Mayor Wayne Boucher:** Second by Councilor LeBlanc. Mr. Mulder. [12:45] **City Administrator John Mulder:** This is for the work done at the arena through the month of June. [12:48] **Mayor Wayne Boucher:** Thank you. Any questions or comments from council on this resolution? Is there any public comment on this resolution? Is there any public input on the resolution approving pay request number 13 for the Northstar Ford Arena to Krauss Anderson Construction Company? Do we have any public input on resolution 2025-108? Roll call, please. [13:35] **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. **Mayor Wayne Boucher:** Mayor Boucher, I. [13:46] **Mayor Wayne Boucher:** Next is resolution 2025-109, resolution authorizing and directing the mayor and city clerk to execute and deliver an assessment agreement between the city of Hermantown and Timothy H. Carlson and Cynthia J. Carlson. Is there a motion relating to this? **Councilor Andy Hjelle:** Motion to approve. **Mayor Wayne Boucher:** Motion by Councilor Hjelle to approve. Do we have a second? **Councilor Joe Peterson:** I'll second. **Mayor Wayne Boucher:** Second by Councilor Peterson. Mr. Mulder. [14:07] **City Administrator John Mulder:** In 2014, the city constructed a sewer line along um Hannes Road to Morris Thomas South to Mary Lane. At that point in time, we didn't create an assessment for those properties, but an availability. So when they connected, they would have to pay um the cost of that construction project. Um but we allow them to finance that through typically we've done it in the past with a city contract, but we don't do city contracts anymore. So we do um an assessment agreement. So this just allows them to finance that availability charge through their taxes. [14:42] **Mayor Wayne Boucher:** Thank you. Any questions or comments from council? Is there any public input on this resolution? Do you have any public input on resolution 2025-109? Any public input on authorizing a assessment agreement between the city of Hermantown and Timothy H. Carlson and Cynthia J. Carlson? Roll call, please. [15:33] **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **Mayor Wayne Boucher:** Mayor Boucher, I. [15:43] **Mayor Wayne Boucher:** Next is resolution 2025-110 resolution authorizing and directing the mayor and city clerk to execute and deliver a settlement agreement between the city of Hermantown and William A. Marcolic, also known as William Marcolic, and Stacy R. Marcolic, also known as Stacy Marcolic, collectively Marcolic. Do we have a motion? **Councilor John Geissler:** I'll move to approve. **Mayor Wayne Boucher:** Motion by Councilor Geissler to approve. Is there a second? **Councilor Joe Peterson:** I'll second. **Mayor Wayne Boucher:** Second by Councilor Peterson, Mr. Mulder. [16:15] **City Administrator John Mulder:** So, this is um the final easement that we needed for the construction of the trail um south of King Creek Park. This easement is on the existing um uh trunk line uh easement. Um but this will allow us to put that trail on top of that as well. And this is the last one that we needed. [16:32] **Mayor Wayne Boucher:** Thank you. Any questions or comments from council? Does anyone from the public wish to comment on this resolution? Is there any public comment on resolution 2025-110? Do we have any public comment on a resolution to execute and deliver a settlement agreement between the city of Hermantown and the Marcolics? Roll call, please. [17:15] **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **Mayor Wayne Boucher:** Mayor Boucher, I. [17:28] **Mayor Wayne Boucher:** Next, we have resolution 2025-111, resolution approving final plans and specifications and ordering advertisement for bids for the 2025 construction Herman Trails section 4 and section and part of section 3. We've been asked by staff to table this for two weeks. Do we have a motion relating to this from council? **Councilor Brian LeBlanc:** Move to table. **Mayor Wayne Boucher:** Motion by Councilor LeBlanc to table. Is there a second? **Councilor Joe Peterson:** I'll second that. **Mayor Wayne Boucher:** Second by Councilor Peterson. All in favor say aye. (All: Aye). Oppose, same sign. [Motion Carries]. [18:01] **Mayor Wayne Boucher:** Resolution 2025-112. Resolution approving final plans and specifications and ordering advertisement for bids for the improvement district number 323 water system connection and booster station project. Do we have a motion? **Councilor Andy Hjelle:** Motion to approve. **Mayor Wayne Boucher:** Motion by Councilor Hjelle. Is there a second? **Councilor John Geissler:** I'll second. **Mayor Wayne Boucher:** Second by Councilor Geissler. Mr. Mulder. [18:32] **City Administrator John Mulder:** So a number of years ago um we looked at uh different water plans for the city and it was recommended that we create a second connection with the city of Duluth. We currently have just one which is on Hannes Road north of Arrowhead. Um this would create a second connection at the intersection of uh Hannes and Anderson. Um this would then go for bid. This would be advertised and then uh bids will come back to you um in in about a month or so. [18:55] **Mayor Wayne Boucher:** Thank you. And we already have the pipe in the ground to facilitate the crossing. This is for the booster station. **City Administrator John Mulder:** That's correct. **Mayor Wayne Boucher:** Any questions or comments from council? Is there any public input on this resolution? Do we have any public input on resolution 2025-112? Any public input on the resolution approving improvement district number 323, water system connection and booster station. Roll call, please. [19:51] **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **Mayor Wayne Boucher:** Mayor Boucher, I. [20:04] **Mayor Wayne Boucher:** Next we have resolution 2025-113. Resolution approving final planned unit development with KTJ 360 LLC for the Hermantown Cottages development. Is there a motion? **Councilor Joe Peterson:** I'll make a motion to approve. **Mayor Wayne Boucher:** Motion by Councilor Peterson to approve. Is there a second? **Councilor John Geissler:** Second. **Mayor Wayne Boucher:** Second by Councilor Geissler. Mr. Mulder. [20:18] **City Administrator John Mulder:** Um, we're going to have Joe Wicklund uh uh pinch-hit for Eric Johnson who's on vacation. Uh, Eric is listening via Zoom if there's any questions that um of Eric or if I missed the mark at all. [20:30] **Joe Wicklund (Assistant City Administrator):** Mayor and councilors, the plan unit development proposed across the street is the 10-acre site located in the northeastern quadrant of Levake and Maple Grove intersections. A reminder that PUDs are permitted in all the zoning districts of the city. Uh, preliminary planned unit development was approved by this council in April of 2025. Um, the property is owned by Oppidan. We have a few different folks related to that group that are available in-house as well [21:00] as uh online to answer questions if need be. There are no wetlands on this property, which is pretty unique in Hermantown. Uh, the applicant is proposing 10 town homes, 20 units total, two-bedroom units with approximately 1,400 square feet of living space, as well as 400 square feet of garage or exterior patios. Uh, access will be from the existing internal driveways from The Pillars right next door. Uh, private 24-foot wide driveways serving each of the 20 proposed units. Uh, the parking meets the city requirements of two parking spaces per unit and any existing storm water ponds will be enlarged on site to handle the additional storm water by this proposal. Uh, the sanitary and water services will be public mains with a 30-foot easement dedicated to the city. The applicant is responsible for building uh these utility services. Uh, the proposed buildings will have access to the existing amenities associated with The Pillars. So the pickleball court, the theater, the wellness center, sauna, sunroom, pub—all those pieces that exist for residents of The Pillars uh will also exist uh for folks uh in these particular units, which will also tell you who these units are geared for. Uh, the applicant—we worked uh with city staff uh on providing a $50,000 escrow for uh the purpose of constructing a trail uh connecting Maple Grove Road to the city's future trail system to the north. The public benefit piece on this was at least a little bit tricky because there was some discussion initially about public access to uh the pickleball court, which was a no-go for um the applicant's insurance company for a lot of reasons that probably make perfect sense. Um, so the uh pivot was to how can we enhance the trail system that'll be adjacent to this. We didn't want to be in a situation where we were building something that we would end up unbuilding depending on future developments or that didn't meet uh the needs as future trails find their way there. So the agreement was to escrow the amount for that build so that we can [23:02] nail it when it comes time to making the uh trail through there. Uh, the applicant is proposing to keep as much of the existing tree cover as possible along Levake and Maple Grove roads as well as planting additional landscaping and screening which is important in the area. The buildings themselves are approximately 25 feet in height with building materials similar to The Pillars building. You can kind of get an idea of what you'll see there. Uh, there's a proposed internal sidewalk system connecting Maple Grove to The Pillars building. Uh, per the 2020 uh analysis by traffic engineers, there are approximately about 14 AM and 19 PM trips that would be associated with single family homes as part of this proposal. So it's estimated there'd be approximately 180 new daily trips associated with these 20 town home units. Um, when we worked this process [23:48] through the uh uh planning and zoning piece, uh the public hearing comments did express appropriate concern about traffic on Maple Grove and Levake and the future of that intersection. Conversations continue with St. Louis County about the future of the intersection at uh Levake and Maple Grove with the idea that probably in the not too distant future it uh would represent a change—whether that's a roundabout or lighted um—will be determined at that point. But this alone is not enough to trigger that immediate need for that. Uh, whether it's a roundabout or a lighted, both of those would still be options uh should this proposal move forward. [24:26] **Mayor Wayne Boucher:** Thank you. Are there any questions or comments from council? I just have a quick question. Mr. Wicklund and I spoke with the developer the other day about uh the trail and I questioned if the $50,000 was enough or adequate to construct that and you were going to ask Mr. Bol. Did you—do you concur that that's adequate? [24:49] **Joe Wicklund:** Yes. So uh John—Eric Johnson asked me last week to review this before he went on [vacation]. So he sent me the numbers and the calculations and I—I agreed that that was an appropriate [amount]. [25:01] **Mayor Wayne Boucher:** Okay. All right. Thank you. Any other questions or comments from council? Is there any public comment on this resolution? If anyone wishes to comment, please step forward to the podium and state your name and address. [25:29] **Matt Budak (Public):** My name is Matt Budak and I'm at 489 Levake Road and I've got some concerns about the current design of this. The setback from the public high—public highways is 20 feet and you're going to have a residence sitting 20 feet from Maple Grove Road with the traffic on that road. Levake isn't as bad but it's still fairly heavy traffic. Our house—I live—I'm the first house on Levake Road south of Maple Grove Road. My house is 150 feet back and there are times when traffic noise is terrible. [26:05] **Matt Budak:** I don't know what it would sound like if you're 20 feet from the right-of-way. That's just—that just seems like it's way too close to the public road. Um, the normal setback in R3 anyhow is supposed to be 50 feet. I don't know how you change that. I understand with the PUD that they can do what whatever you will allow them to do, but it just seems like that's a step too far. Um, the screening—when we did the original Pillar stuff, we had a lot of discussion about where the building main building was going to go and where the screening was and how much screening was going to be left and all that. And that this—the way it is for now is where it was decided that they were going to say, "Okay, this is going to screen The Pillars from the highway. This is going to be that." And now the screening is going to go and you're going to have in most cases a row of single—row of trees in front of these condo or these multi-family home residences, whatever. So that's not much [27:10] of a screening. Your screening for The Pillars now becomes [the] Pillars buildings. So I think that's an issue that causes some concern for some of us. It's it just seems like we're too close to—too close to the road and the screening that we thought we had agreed on when they did the original Pillars is now going to go away and become housing. So those are my concerns. Thank you. [27:43] **Mrs. Budak (Public):** And I live at 489 [Levake Road]. So I just want to re-echo what my husband was saying about the 2020 agreement of keeping that firm. So that was one of the reasons why the code was passed, I believe. Also, I don't consider living that close to the roads [ideal]. I'm a nurse and I'm also an advocate and see for other people and I think it's a shame if you're going to charge people thousands and thousands of dollars to live [there]. Go live—it's not a trailer park. And that's—that's wrong. I shouldn't have said that. But I'm just trying to really express—this just seems [28:35] wrong to me. We can't even live in our own yard the way we were accustomed to years ago because of all the traffic. How are you going to subject these older people that probably already have a lot of medical issues? And please, I hope somebody doesn't put a deck facing one of these major roadways because the fumes from all the diesel that goes through, the loud mufflers that go through—and I mean it's—it's not a pleasant way to live and why would you subject more people to this and support this? So those are my [29:20] concerns and I really thank you for listening. So have a good evening. [29:35] **Mayor Wayne Boucher:** Thank you. Is there anyone who wishes to address the council about this resolution? Does anyone wish to address the council about resolution 2025-113? Please start with your name and address. [29:54] **Eric Martin (Oppidan):** Eric Martin, 400 Water Street, Excelsior, Minnesota. Uh, mayor and councilors, it's a pleasure to be with you this evening. Um, I'll keep comments short. Um, but on behalf of Oppidan and KTJ 360 and our partners, um, we believe this project will continue to serve and fill a need um, in the community of Hermantown um, as The Pillars community so far has done for several years. Uh, we consider it a privilege to be a part of serving this community and more specifically our residents and look forward uh to continuing to do so uh with this addition. Um, and just most importantly, I wanted to be available to answer any questions that you may have about this project. Um, I also have our civil partner Jordan from LHB online to assist with uh any questions as needed. Um, and—and appreciate your time. [30:49] **Mayor Wayne Boucher:** Thank you. Does anyone else wish to comment this resolution? Roll call. [31:13] **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **Mayor Wayne Boucher:** Mayor Boucher... No. [31:25] **Mayor Wayne Boucher:** Next is resolution 2025-115, resolution approving a special use permit to construct a contractor shop and storage yard in the C1 office light industrial zoning district. **Councilor Joe Peterson:** Did we skip one? **Mayor Wayne Boucher:** Oh, you—I skipped 114. Oh, yes. I guess I did. I wrote my notes by uh the wrong one. 2025-114, resolution approving special use permit for construction of an accessory structure in excess of 1,200 square feet in an R3 zoning district at 4890 Adrian Lane and imposing conditions thereon. Is there a motion? [32:09] **Councilor Andy Hjelle:** Motion to approve. **Mayor Wayne Boucher:** Motion by Councilor Hjelle. **Councilor John Geissler:** Second. **Mayor Wayne Boucher:** Second by Councilor Geissler. Everyone's fighting over it. Mr. Mulder? [32:19] **City Administrator John Mulder:** Again, we're going to let Joe Wicklund pinch-hit for uh Eric Johnson. [32:23] **Joe Wicklund:** So, this particular special use permit uh is for uh an accessory structure greater than 1,200 feet. This one is 1,728 square feet. So, slightly larger garage. Uh, what makes this at least a little bit unique is there's two lots on this particular case. So, as part of this, the lots have to be combined because as a city, we do not have accessory structures on a separate lot. Uh, zoning district allows coverage of up to 35% lot coverage with buildings. This proposal would only bring that lot to 5.7. It meets all the required setbacks. The proposed building is not going to have any uh activity business-wise as part of it. And the proposed building is going to match uh the structure on the existing property. So, a larger than usual garage. [33:01] **Mayor Wayne Boucher:** Thank you. Any questions or comments from council? Is there any public input on this resolution? Any public input on resolution 2025-114? Any public input on the resolution to approve an accessory structure in excess of 1,200 square feet at 4890 Adrian Lane. Roll call, please. [33:53] **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **Mayor Wayne Boucher:** Mayor Boucher, I. [34:00] **Mayor Wayne Boucher:** Next is resolution 2025-115. Resolution approving a special use permit to construct a contractor's shop and storage yard in the C1 office light industrial zoning district. Is there a motion? **Councilor Brian LeBlanc:** Move to approve. **Mayor Wayne Boucher:** Motion by Councilor LeBlanc. **Councilor John Geissler:** Second. **Mayor Wayne Boucher:** Second by Councilor Geissler. [Going to continue to let Joe Wicklund]. Yes. Pinch hitting tonight. [34:25] **Joe Wicklund:** Mayor and council. Thank you. Uh, this is a special use permit for 5440 Miller Trunk Highway. Uh, the applicant is here potentially if there are questions. Uh, proposal has a variety of parts. A 33,000 foot outdoor storage. Um, a little bit over 32,000 foot uh multi-tenant office that would serve contractors. Um, city ordinance requires uh the special use permit for outdoor storage of a contractor. In this particular case, this is a 19 acre site in total. Uh, the access from Miller Trunk Highway would be by a driveway shared with Sunbelt Rental. There's 4.5 acres associated with this project over in C1 Office Light Industrial. In total, there'll be 76 space parking lot as part of this project. A loading dock on the south side of the building with drive-through doors on the north and south side. City water and sewer uh proposed storm water uh in the western portion of the property uh to serve it as well. The wetlands were delineated in May of 2025. The building location meets or exceeds any of the necessary setbacks. As for building lot coverage, it's approximately 16.6% of the site in a place where 35% coverage is allowed. Uh, building is approximately 35 feet in height. Metal construction. Uh, trash is in the interior of the building uh and dealt with in each individual uh bay. Outdoor storage yard is at the rear of the property. That's really why we're here today requiring the special use permit. The uh CIDP and variants that are a part of this uh project were uh approved uh unanimously by planning and zoning, but special use permits come to the council. Um, so that's why this particular part of the motion is back before us. [36:00] **Mayor Wayne Boucher:** Thank you. Any questions from council or comments? Hearing none. Is there any public input on this resolution? Do we have any public input on resolution 2025-115? Any public input on the special use permit for a contractor shop and storage yard? Roll call, please. [36:52] **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **Mayor Wayne Boucher:** Mayor Boucher, I. [36:58] **Mayor Wayne Boucher:** Resolution 2025-116. Resolution authorizing and directing the mayor and city clerk to execute and deliver a development agreement with Sumis Construction Incorporated for the Reeside Apartments. Do we have a motion? **Councilor Joe Peterson:** I'll make a motion to approve. **Mayor Wayne Boucher:** Motion by Councilor Peterson to approve. Is there a second? **Councilor John Geissler:** Second. **Mayor Wayne Boucher:** Second by Councilor Geissler. Mr. Mulder, are we going back to Mr. Wicklund or either one of us? **City Administrator John Mulder:** Either one of us can handle this. **Joe Wicklund:** I can handle this and Joe can weigh in when I get it wrong. **City Administrator John Mulder:** Um, previously you approved uh the apartment building uh to be constructed by Sumis. This is the development agreement that will um lay out the responsibilities relative to the public infrastructure that they will build and then turn over to the city. [37:44] **Mayor Wayne Boucher:** Thank you. Any questions or comments from council? **Councilor Brian LeBlanc:** I—I have a question. Um, privately owned apartment building. **City Administrator John Mulder:** Yes. Right. **Councilor Brian LeBlanc:** Why would the city—and I'm looking at the map right now. I don't really see an opportunity for further development in that area. Why would the city want to own a sewer and the water line going to that apartment? Access and maintenance to a private building. That would be like us owning sewer and water lines going to residential homes, which we do. **City Administrator John Mulder:** We do. And we—other ones from the street to the house. We're responsible for those. **Councilor Brian LeBlanc:** Well, like some private buildings we are. Yes. I'd like to see that. The um—I just don't understand us taking on the responsibility of maintaining those lines to a privately owned building. **City Administrator John Mulder:** I think it's more uh looked at as the ability to maintain them versus the responsibility. If we didn't have the right-of-way, we couldn't access them in case of a problem where things needed to be fixed or shut off. **Councilor Brian LeBlanc:** Any issues with the line though would only affect the person owning the building and their tenants. So why would the city take on that burden when it's—it's on the owner of the property? Sorry, I'm—I'm pointing out here. Sorry. Um, maybe we can ask our attorney to weigh in on that. I mean, I—I just, you know, if—if something were to happen to my—the service line to my home, the city's not [39:19] going to come in and fix that. That's going to be my responsibility to fix that. So, I—I don't see why the city would treat an apartment building any differently. If—if there was future development beyond the apartment building, you know, if there was property behind it that could be developed and the city wanted to control the access to that line for future development, I—I understand it. But for this, the only purpose is to service this building. I—I don't see why the taxpayer should have to pay for that service when it's only at the benefit of the person that owns the building. [39:56] **Mayor Wayne Boucher:** Mr. Johnson, do you have any insight into this? [40:02] **Eric Johnson (Community Development Director - via Zoom):** Thank you, Mayor, Councilor LeBlanc. I—I can't say I have reviewed this particular development agreement on that question, but um I—I think it probably would be best if I just—I'll take a look at it tomorrow and I'll send you an email kind of laying out the considerations that go into the way that the—the city has done it and with particular this particular development agreement. I think that's probably the best way with—otherwise I'm just [guessing]. [40:31] **Councilor Brian LeBlanc:** Yeah. I don't—I don't know what else is in there either. The only thing that we've talked about tonight is the city taking over ownership of the water and the sewer servicing the building. So, if there's other things in there, you know... **City Administrator John Mulder:** There is in the development agreement. There is. Yes. **Councilor Brian LeBlanc:** Um, are we plowing the street to and from the building? **City Administrator John Mulder:** No, that is not part of it. No. **Councilor Brian LeBlanc:** So, the city's not maintaining the road or any sidewalk in or out of the property? **City Administrator John Mulder:** No. No. **Councilor Brian LeBlanc:** So, it's a completely private situation, but the city is going to be responsible for any issues with the sewer and the water. That just—it doesn't make sense to me. **Mayor Wayne Boucher:** So, David, do you want to answer the [question]? [41:19] **David Bol (City Engineer):** Yeah. So, council—um, part of why we—staff, public works and myself geared this one up and other developments similar to this having public utilities are so we have control over what happens to that main. Um, some [41:24] examples—sins of the past that we've learned from are these long services get extended into um a parcel and unbeknownst to us they get teed off and serve other buildings or parcels get um subdivided and they want extensions on the front end of this. When we talked with the um applicant, there was talk about possibly um purchasing some more property and an extension of either the road utilities or a second phase. I'm not sure if that's still on the table. And this parcel is large enough that you know it—it may—it may be able to get developed further. So with—for those reasons myself and public works felt that this should be um a public main for the you know the water and the sewer and this is similar to what we've done in the past whether it was you know Patriot Lane or the—the big box stores you know Menards, um Sam's Club, Fleet Farm, Walmart. We all—we have easements that have utilities all the way around it for—for that reason. [42:53] **Councilor Brian LeBlanc:** This is a PUD, right? **David Bol:** Yes. **Councilor Brian LeBlanc:** I don't—regardless, any additional development would have to be approved by the city. **David Bol:** Yes. Yes. **Councilor Brian LeBlanc:** So if they were going to add on to this or tap into this sewer line again, it would have to get approved by the city at that time regardless. **David Bol:** Yes. **Councilor Brian LeBlanc:** I—I mean, if we own the lines servicing Fleet Farm and Sam's Club and Walmart, it sounds like Fleet Club, Sam's Club, and Walmart are taking advantage of the city. In my mind, anything that happens to service those buildings would be lost profit for them and they would need to fix that issue or resolve it to have further business. So, I—I don't know. I—I just see this—this entire situation as a city being taken advantage of. **David Bol:** The other one that I see as similar is Patriot Lane. I think it's called the Zeran Twin Home Development [at the] corner of Morris Thomas and that's a you know several town homes, private road, they plow it. Um, and I—I guess I'm just going kind of based on past history. The King Creek town homes is probably the same way too. Private road, but utilities are [public]. [44:01] **David Bol:** So again, that—we do have other situations like it and you know, you look at like some of the developments um like what the Gilberts are doing. Those are homes that are sold that like the Gilberts don't own any of that when it—when it's all said and done. **Councilor Brian LeBlanc:** You know, that makes sense for me. They're public roads. They're—they're homes that are openly being traded on the market per se. Um, you know, in these situations where the developer is renting these out or continuing to own them, in my mind, that should be completely on the developer then to maintain those lines. If—if you know something [were] to change and they start selling these properties, well then then that agreement would have to change at that time, right? **Mayor Wayne Boucher:** I also believe there's fire hydrants in there, right? And then we—the city needs to get in and exercise the valves on the fire hydrants and things like that. So I think that's the other reason for the... **Councilor Brian LeBlanc:** So just sounds like a use agreement to me then. [45:10] **David Bol:** So just another reminder council that we have a recent real example of how infrastructure that's private is not working in the um mobile home park. That, you know, and part of this exercise is there's a price to have the control over those utilities. And had we had ownership of the utilities in the mobile home park, there wouldn't be—the—the utility issues that were—were present at that facility. [45:45] **Councilor Brian LeBlanc:** Yeah. I—I don't want to beat a dead horse. I think I've made my position very clear, but I don't think someone that lives on Old Midway Road, you know—take the empathy out of it—really cares whether the person that owns that mobile home park can continue to make money on their mobile home park, right? This is taxpayers taking over maintenance of this. **Mayor Wayne Boucher:** I do have to point out a little error in your logic. The taxpayers do not maintain and pay for this. The water system customers do through the water system fund and the reserve fund. Okay. So it's all—but it's all water system money. It's no taxpayer from Adolf that doesn't have water. **Councilor Brian LeBlanc:** If that sewer main breaks, who's paying for it? **Mayor Wayne Boucher:** The water fund comes out of a dedicated fund. Okay. So everyone that has city water would then be paid for it, not the entirety of the tax base. **City Administrator John Mulder:** Correct. **Mayor Wayne Boucher:** 75%. But that is a difference. Yeah. [46:40] **Councilor Brian LeBlanc:** I've made my position clear. I think you can move on if—unless... **Mayor Wayne Boucher:** I think we'll—we'll have the city attorney research it and get back to all of us on it. There's a reason it's been done over the years and some of us have accepted that and uh it's good that you're able to challenge that. Um, maybe it's time that it be re-explained and re-examined. It gives us an opportunity to look at it. Any other questions or comments from council? Is there any public input on this resolution? [47:21] **Mayor Wayne Boucher:** Any public input on resolution 2025-116? Any public input on the development agreement with Sumis Construction Incorporated for the Reeside Apartments? **Councilor Brian LeBlanc:** Wayne, can I clarify one thing for Mr. Sumis since he's here? **Mayor Wayne Boucher:** Sure. **Councilor Brian LeBlanc:** Um, I have no problem moving forward with the project now, right? Build it, but I just—I don't see part of this [agreement as necessary]. **Mayor Wayne Boucher:** Okay. All right. Any other public input? Roll call, please. [48:01] **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. **Mayor Wayne Boucher:** Mayor Boucher, I. [48:10] **Mayor Wayne Boucher:** Next and last is resolution 2025-117. Resolution approving tentative agreement and authorizing and directing mayor and city clerk to execute and deliver agreements with AFSCME Local 66 for the period of January 1st, 2025 through December 31st, 2027. Do we have a motion? **Councilor Andy Hjelle:** Motion to approve. **Mayor Wayne Boucher:** Motion by Councilor Hjelle. Is there a second? **Councilor Joe Peterson:** I'll second. **Mayor Wayne Boucher:** Second by Councilor Peterson. Mr. Mulder. [48:47] **City Administrator John Mulder:** This is the last of the union contracts that need to be resolved uh for the 25, 26, and 27 years. Um, it's consistent with what we've done with other units um with the across the board increase. [48:56] **Mayor Wayne Boucher:** Is there any questions or comments from council? I will comment that I was part of the city's negotiating group and support this resolution. Any other comments from council? Is there any public comment on this resolution? Any public comment on resolution 2025-117? Any public comment on the approval of a tentative agreement with AFSCME Local 66. Roll call, please. [49:45] **City Clerk Alissa McClure:** Councilor Geissler? **Councilor John Geissler:** Aye. **City Clerk Alissa McClure:** Councilor Hjelle? **Councilor Andy Hjelle:** Aye. **City Clerk Alissa McClure:** Councilor LeBlanc? **Councilor Brian LeBlanc:** Aye. **City Clerk Alissa McClure:** Councilor Peterson? **Councilor Joe Peterson:** Aye. **Mayor Wayne Boucher:** Mayor Boucher, I. [49:53] **Mayor Wayne Boucher:** Next is a motion to recess. Do we have a motion? **Councilor Brian LeBlanc:** Move to recess. **Mayor Wayne Boucher:** Motion by Councilor LeBlanc. Is there a second? **Councilor John Geissler:** Second. **Mayor Wayne Boucher:** Second by Councilor Geissler. [Meeting Adjourned/Recessed].