The URL can be used to link to this page

City Council Packet 05-18-2026 City Council Regular Meeting & Work Session Agenda Monday, May 18, 2026 6:00 PM or immediately following the EDA meeting (whichever is later) Elk River City Hall ▪ Regular meeting in Council Chambers ▪ Work Session meeting in Upper Town Conference Room immediately following regular meeting 1. CALL MEETING TO ORDER 2. PLEDGE OF ALLEGIANCE 3. CONSIDER AGENDA 4. CONSENT AGENDA Considered to be routine and noncontroversial and will be approved by one motion. There will be no separate discussion of these items unless there is a request to remove the item from the consent agenda to the regular agenda. 4.1 May 4, 2026, Regular Meeting Minutes 4.2 Check Register 4.3 Resolution 26-39: Accept Tree Donation 4.4 Reschedule Council Retreat 4.5 AIA G802 - Northbound Architect Amendment Agreement 26-19 4.6 2026-2027 Liquor License Renewals 4.7 Meadowwoods Village Sewer Extension Change Order 4.8 Local Match for RCE/CRISI Grants - Main Street and TH10/Railroad Grade Separation 4.9 Toro Groundsmaster 4010-D (T4) Wide Area Mower 4.10 Encroachment Agreement 26-20: Meadowsweet Bend 4.11 Bendel Separation Agreement 5. OPEN FORUM An opportunity to provide comments and feedback regarding items not on the agenda. Information provided in Open Forum will not be discussed at this meeting; rather, the information will be referred to staff and/or scheduled for discussion at a future meeting. 6. PRESENTATIONS, AWARDS, AND RECOGNITION 6.1 City of Elk River Volunteer of the Month Page 1 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity 6.2 Resolution 26-38: Accepting a Donation from The Bank of Elk River - 2026 Summer Concert Series 7. PUBLIC HEARINGS An opportunity for the public to express their opinions and raise questions pertaining to the agenda item. All comments become part of the official public record. For this reason, all comments must be made at the podium so they can be heard and recorded. Comments may also be provided in writing. There will not be deliberations, discussions, or answers to questions until the hearing is closed. It is important to be courteous and allow each presenter to comment before adding additional testimony. 7.1 Ordinance 26-13: Electric Service Franchise Fee Ordinance Amendment 8. GENERAL BUSINESS Items in which the information is presented by city staff or consultants, then deliberation and action occur. General Business items are not opportunities to receive or provide public input. However, the presiding officer may, at its sole discretion, solicit public feedback. 8.1 Ordinance 26-12: Amend Massage License Education Requirements 9. MOTION TO ADJOURN REGULAR MEETING 10. WORK SESSION Work Sessions are less formal meetings to encourage dialog. Official action or votes are not typically taken. At the conclusion of a discussion, a simple consensus provides staff direction for execution of the item. This portion of the agenda is audio recorded but not video recorded or broadcast. Work Sessions are open to the public; however, visitors who wish to provide input must be invited by the presiding officer, assume a seat at the discussion table and provide their full name and address for the official record. 10.1 Orono Lake Improvement District Updates 10.2 2026 Women’s Sled World Championship Hosting Opportunity 11. MOTION TO ADJOURN 12. INFORMATION 12.1 April Financial Reports Page 2 of 119 Meeting of the City Council Held at the Elk River City Hall Monday, May 4, 2026 Members Present: Mayor John Dietz, Councilmember Cory Grupa, Councilmember J. Brian Calva, Councilmember Mike Beyer, Councilmember Jennifer Wagner Members Absent: None Staff Present: Business Services Director/Assistant City Administrator Joe Stremcha, Fire Chief Mark Dickinson, Economic Development Director Brent O'Neil, City Clerk Justin Dunford, and Deputy Clerk Jolene Richter. 1.CALL MEETING TO ORDER Pursuant to due call and notice thereof, the meeting was called to order at 6:34 p.m. 2.PLEDGE OF ALLEGIANCE The Pledge of Allegiance was recited. 3.CONSIDER AGENDA Moved by Councilmember Wagner and seconded by Councilmember Beyer to approve the agenda. Motion carried 5-0. 4.CONSENT AGENDA Moved by Councilmember Calva and seconded by Councilmember Grupa to approve the following consent items as outlined in their respective staff reports. Motion carried 5-0. 4.1 April 20, 2026, Regular Meeting Minutes 4.2 Check Register 4.3 Resolution 26-33: Premises Permit for Zimmerman Livonia Fire Relief Association 4.4 Resolution 26-34: Variance Request for Parking Orientation Setbacks in Downtown 4.5 Resolution 26-35: Premises Permit for Eagles Club DRAFTPage 3 of 119 City Council Minutes May 4, 2026 --------- Page 2 of 3 4.6 Temporary Liquor License: Elk River Rotary Club 4.7 Resolution 26-36: Resolution of Support for Vireo Health 4.8 Hire Accountant 5.OPEN FORUM No one appeared for open forum. 6.PRESENTATIONS, AWARDS, AND RECOGNITION 6.1 Recognition of Mike Tietz's 22 Years of Service to the City Chief Dickinson highlighted Firefighter Mike Tietz's 22 years of service with the Fire Department. Mayor Dietz read and presented a plaque. The Council thanked Mike for his service. Moved by Councilmember Calva and seconded by Councilmember Grupa to proclaim Tuesday, June 16, 2026, as Mike Tietz Day in recognition and appreciation of the loyal and professional service provided by Mike. Motion carried 5-0. 6.2 Introduction of Visitors from the International Visitor Leadership Program The staff report was presented. The Council thanked the International Visitor Leadership group for attending. 7.PUBLIC HEARINGS 7.1 Continued Hearing - Resolution 26-37: TIF 30 Business Subsidy Agreement 26-18 The staff report was presented. Moved by Councilmember Beyer and seconded by Councilmember Wagner to approve Resolution 26-37 authorizing a business subsidy agreement with O'Brien Holdings for the Crystal Distribution, Inc (CDI) expansion project. Motion carried 5-0. 8.GENERAL BUSINESS DRAFTPage 4 of 119 City Council Minutes May 4, 2026 --------- Page 3 of 3 8.1 Discuss Work Session Items Mayor Dietz would like to add a year-to-date update on the yard waste program. 8.2 Ordinance 26-11 Amending Chapter 2, Article 5 Regarding Commission Compensation The staff report was presented. Moved by Councilmember Wagner and seconded by Councilmember Beyer to approve Ordinance 26-11 amending Chapter Two (Administration) of the city code. Motion carried 5-0. 9. COUNCIL LIAISON UPDATES 9.1 Council Liaison Updates The Councilmembers provided updates as outlined in the respective advisory board's minutes. 10. MOTION TO ADJOURN Moved by Councilmember Wagner and seconded by Councilmember Beyer to adjourn the meeting of the City Council. Motion carried 5-0. The meeting adjourned at 6:53 p.m. Minutes prepared by Jolene Richter. 11. INFORMATION 11.1 1st Quarter Investment Report ___________________ John J. Dietz, Mayor ___________________ Justin Dunford, City Clerk DRAFTPage 5 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 4.2 Meeting Date May 18, 2026 Prepared By Amy Stangler, Accounting Clerk Item Description Check Register Reviewed by Lori Stich Joe Stremcha Cal Portner Justin Dunford Action Requested Approve, by motion, the check register for the period ending May 18, 2026. Background/Discussion The details for the period ending May 18, 2026, are attached to this request for action. Total for All Funds $ 1,060,520.44 Financial Impact N/A Mission/Policy/Goal N/A Attachments 1. 4.2 at1 Check Register 2. 4.2 at2 Check Register Page 6 of 119 Page 7 of 119 Page 8 of 119 Page 9 of 119 Page 10 of 119 Page 11 of 119 Page 12 of 119 Page 13 of 119 Page 14 of 119 Page 15 of 119 Page 16 of 119 Page 17 of 119 Page 18 of 119 Page 19 of 119 Page 20 of 119 Page 21 of 119 Page 22 of 119 Page 23 of 119 Page 24 of 119 Page 25 of 119 Page 26 of 119 Page 27 of 119 Page 28 of 119 Page 29 of 119 Page 30 of 119 Page 31 of 119 Page 32 of 119 Page 33 of 119 Page 34 of 119 Page 35 of 119 Page 36 of 119 Page 37 of 119 Page 38 of 119 Page 39 of 119 Page 40 of 119 Page 41 of 119 Page 42 of 119 Page 43 of 119 Page 44 of 119 Page 45 of 119 Page 46 of 119 Page 47 of 119 Page 48 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 4.3 Meeting Date May 18, 2026 Prepared By Justin Femrite, Public Works Director/Chief Engineer Item Description Resolution 26-39: Accept Tree Donation Reviewed by Justin Femrite Cal Portner Justin Dunford Action Requested Accept, by motion, the donation of four white pine trees that were planted at Trott Brook Park Background/Discussion Resident David Berger was planting trees on his property and had four extra trees that he was looking to donate to the City. Park maintenance staff worked with Mr. Berger on a suitable location for their installation at Trott Brook Park. The action will accept said donation from Mr. Berger to the City of Elk River. Financial Impact None Mission/Policy/Goal Work with citizens to achieve goals. Attachments 1. RES 26-39 Tree Donation Page 49 of 119 City of Elk River City Council Resolution 26-39 A Resolution of the City Council of the City of Elk River Accepting Tree Donation WHEREAS, the City of Elk River is grateful to all civic groups, organizations, and individuals for their contributions to the community; and WHEREAS, the City of Elk River received by donation four trees from David Berger, resident of Elk River, with the intent it be used by the Parks and Recreation Department for installation at the Trott Brook Park. NOW, THEREFORE, BE IT RESOLVED by the City Council, by at least four-fifths vote, that the city acknowledges and accepts the donation from David Berger. Passed and adopted this 18th day of May 2026. John J. Dietz, Mayor ATTEST: Justin Dunford, City Clerk Page 50 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 4.4 Meeting Date May 18, 2026 Prepared By Jolene Richter, Deputy Clerk Item Description Reschedule Council Retreat Reviewed by Cal Portner Justin Dunford Action Requested Approve, by motion, the date for the Council Retreat for Monday, June 22, 2026. Background/Discussion The Council Retreat was scheduled for Monday, May 11, 2026. Due to unforeseeable staff schedule changes, that date was canceled and the date has been rescheduled to Monday, June 22, 2026, from 1:00 p.m. - 7:00 p.m. Financial Impact None Mission/Policy/Goal Meet changing needs - agile Attachments None Page 51 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 4.5 Meeting Date May 18, 2026 Prepared By Joe Stremcha, Business Services Director/Assistant City Administrator Item Description AIA G802 - Northbound Architect Amendment Agreement 26-19 Reviewed by Cal Portner Justin Dunford Action Requested Approve, by motion, the AIA G802 Amendment Agreement 26-19 with LSE Architechs. Background/Discussion On April 20, the former Cannabound space was removed from design elements for the Northbound Liquor Store scope of work. This amendment reflects updated fees as the project nears completion. Many of the supplemental service fees for B3 elements were removed from the scope of work early in the project as features were incorporated, but not required as a cost savings reduction both in design and construction costs. Revised base fees resulted from various pivot points throughout the design of the store: ▪ April 7, 2025 - Approved LSE Architects Letter of Engagement. ▪ November 3, 2025 - Approved Agreement 25-32: Architectural Services with LSE Architects ▪ December 1, 2025 - Cannabound Business Plan rescinded ▪ January 20, 2026 - City Council directed & LSE and staff to maintain the store design orientation, parking, and utilize the former Cannabound space as future leased space (5,000 soft/21,000 sqft) roughly a quarter of the store footprint. ▪ March 2, 2026 - City Council reaffirmed maintaining the potential leased space sans improvements to accommodate an industrial kitchen or other improvements. ▪ April 20, 2026 - City Council directed LSE and staff to remove the lease space from the scope of work. Financial Impact Total LSE Architects fees $496,500 reduced to $488,150. Mission/Policy/Goal Meet changing needs - agile. Page 52 of 119 Attachments 1. G802-2017 Northbound Amendment Page 53 of 119 Page 54 of 119 Page 55 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 4.6 Meeting Date May 18, 2026 Prepared By Jolene Richter, Deputy Clerk Item Description 2026-2027 Liquor License Renewals Reviewed by Cal Portner Justin Dunford Action Requested Approve, by motion, the attached list of liquor license renewals for the period of July 1, 2026, through June 30, 2027. Background/Discussion Liquor licenses run from July 1 through June 30. Financial Impact N/A Mission/Policy/Goal The City of Elk River Mission Statement. Attachments 1. 2026-2027 Liquor License Renewals Page 56 of 119 2026-2027 LIQUOR LICENSES Brewer Off-Sale ($100/year) ■ Aegir Brewing Company Brewer Pub Off-Sale ($100/year) ■ Aegir Brewing Company Tap Room On-Sale ($225/year) ■ Aegir Brewing Company 3.2 Percent Malt Beverage On-Sale ($225/year) ■ Pickle Paradise 3.2 Percent Off-Sale ($75/year) On-Sale Liquor ($5,000/year) ■ American Legion ■ Applebee's Neighborhood Grill & Bar ■ Broadway Bar & Pizza ■ Mucho Loco ■ Sammy’s Perrella’s Pizza & Restaurant ■ Sunshine Depot On-Sale Sunday ($200/year) ■ American Legion ■ Applebee's Neighborhood Grill & Bar ■ Broadway Bar & Pizza ■ Mucho Loco ■ Sammy’s Perrella’s Pizza & Restaurant ■ Sunshine Depot Wine ($700/year) ■ Pickle Paradise Strong Beer Permission (no fee) ■ Pickle Paradise Page 57 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 4.7 Meeting Date May 18, 2026 Prepared By Justin Femrite, Public Works Director/Chief Engineer Item Description Meadowwoods Village Sewer Extension Change Order Reviewed by Justin Femrite Cal Portner Justin Dunford Action Requested Approve, by motion, Change Order #1 for the Meadowwoods Village Sewer Extension Contract Background/Discussion The change order reflects an amendment to the contract whereby our contractor, Ferche Companies, will now be responsible for completing the existing septic system abandonment. When the project was developed, this task was intended to be completed by Natural System Utilities, the previous owner of the system. In negotiations through the final purchase and in coordination with the homeowners' association, we agreed to move this work task to our contract rather than facilitate a payment from the city to a different entity. The change order formally authorizes Ferche to move ahead with this work. Financial Impact Change Order #1 is for $74,560.00 which will increase the total contract amount to $933,000.00. All costs associated with the contract will be assessed to the benefiting property owners in the Meadowwoods Village subdivision. Final assessments will be determined after all project costs have been tabulated by late summer. Mission/Policy/Goal Meet changing needs - Agile Attachments 1. 136841 Change Order 1 Page 58 of 119 Change Order No. 1 Date of Issuance: May 8, 2026 Effective Date: May 19, 2026 Owner: City of Elk River Owner's Contract No.: Contractor: J.R. Ferche, Inc. Contractor’s Project No.: Engineer: Bolton & Menk, Inc. Engineer's Project No.: 24X136841 Project: Meadowwoods Sanitary Sewer Connection Contract Name: The Contract is modified as follows upon execution of this Change Order: ADD 1 Lump Sum Decommissioning pay item in the amount of $74,560 EXTEND the Substantial Completion Date to July 3, 2026 and Final Completion Date to October 2, 2026. Description: The following is requested to be added to the 2025 Street Improvements Project: The decommissioning of the existing SSTS system is needed now that it is off line and the Meadowwoods HOA is connected to the City sanitary sewer system. Please see the attached quote for a list of itemized quantities included in this task. Attachments: CHANGE IN CONTRACT PRICE CHANGE IN CONTRACT TIMES Original Contract Price: Original Contract Times: Substantial Completion: November 14, 2025 $ 858,995.00 Ready for Final Payment: June 1, 2026 [Increase] [Decrease] from previously approved Change Orders No. to No. : [Increase] [Decrease] from previously approved Change Orders No. to No. : Substantial Completion: $ 0 Ready for Final Payment: days Contract Price prior to this Change Order: Contract Times prior to this Change Order: Substantial Completion: November 14, 2025 $ 858,995.00 Ready for Final Payment: June 1, 2026 [Increase] of this Change Order: [Increase] of this Change Order: Substantial Completion: July 3, 2026 $ 74,560.00 Ready for Final Payment: October 2, 2026 Contract Price incorporating this Change Order: Contract Times with all approved Change Orders: Substantial Completion: July 3, 2026 $ 933,555.00 Ready for Final Payment: October 2, 2026 RECOMMENDED: ACCEPTED: ACCEPTED: By: By: By: Engineer (if required) Owner (Authorized Signature) Contractor (Authorized Signature) Title: Project Manager Title: Title: Date: 5/8/2026 Date: Date: Page 59 of 119 Page 60 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 4.8 Meeting Date May 18, 2026 Prepared By Ryan Sandhoefner, Engineering Project Manager Item Description Local Match for RCE/CRISI Grants - Main Street and TH10/Railroad Grade Separation Reviewed by Justin Femrite Cal Portner Justin Dunford Action Requested Approve, by motion, up to $1,203,133 in local match toward the RCE or CRISI grant submittal for the grade separation of Main Street and TH10/Railroad. Background/Discussion In 2025, city staff were contacted by BNSF's grant consultant to consider potential safety improvements for at-grade railroad crossings in Elk River. In coordination with the Downtown Master Plan, the Main Street crossing was identified as a priority location for consideration. After reviewing available funding programs, a BUILD grant was identified as the most suitable option for the proposed improvements, and an application was submitted. Since that time, two additional grant programs with a similar eligible scope have become available. Both programs also require a 20% local match, which is estimated at up to $1,453,133 over the project duration. BNSF has committed $250,000 toward the required match, reducing the City’s estimated share to $1,203,133. If Elk River happens to be successful in receiving more than one of these grants, we would only proceed with one award and would be responsible for a single local match obligation, not multiple. Financial Impact No additional funding is committed beyond the local match approved on 2/2/2026 which identified our local match being paid for from our Municipal State Aid account and not from property taxes. Mission/Policy/Goal Responsibly grow Attachments None Page 61 of 119 Page 62 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 4.9 Meeting Date May 18, 2026 Prepared By Mitchell Litfin, Street and Park Superintendent Item Description Toro Groundsmaster 4010-D (T4) Wide Area Mower Reviewed by Justin Femrite Cal Portner Justin Dunford Action Requested Approve, by motion, the purchase of a Toro Groundsmaster 4010-D (T4) Wide Area Mower as scheduled in the 2026 Capital Improvement Plan. Background/Discussion Public Works is requesting authorization to purchase a Toro Groundsmaster 4010-D (T4) Wide Area Mower to replace the existing unit, which has exceeded its useful life. This equipment will support the Parks Division’s Parks Maintenance program by providing efficient mowing operations throughout the park system during the summer months, as well as brooming and maintenance of the ice rinks during winter. Financial Impact The purchase price of the Toro Groundsmaster 4010-D (T4) Wide Area Mower is $102,551.12, which is within the approved budget identified in the 2026 Capital Improvement Plan. The existing unit will be traded in to MTI, with the trade-in value applied toward the purchase of the new equipment. Funding for this purchase will be provided through the 2026 Equipment Replacement Fund and is based on pricing available through MnDOT Contract 284699. Mission/Policy/Goal Responsible for every dollar Attachments Page 63 of 119 1. City of Elk River GM4010 Quote, 5.12.26 Page 64 of 119 Quote Expiration Date:6/11/2026 Mitch Litfin City of Elk River - Public Works Qty Model Number Description Quote Price Each Quote Price Extended 1 30636 Toro Groundsmaster 4010-D (T4)$115,856.52 $115,856.52 1 31522 4WD Flow Divider Kit $556.14 $556.14 1 31693 North American Road Light Kit $2,205.06 $2,205.06 1 31590 LED Work Light Kit $608.40 $608.40 1 RADIO AM/FM Radio $825.00 $825.00 TRADE: 1 XR-UE Toro Groundsmaster 4010-D 30636-401405615 ($17,500.00) Equipment Total $120,051.12 Trade ($17,500.00) 6.875% Sales Tax Exempt Total $102,551.12 Net 30 Terms with qualified credit New Toro commercial equipment comes with a two-year manufacturer warranty Equipment delivery and set-up at no additional charge All commercial products purchased by a credit card will be subject to a 2.5% service fee. Thank you for the opportunity to submit this quote. If you have any questions, please do not hesitate in contacting us. Larry Gorman Karen Wangensteen Outside Sales Representative Inside Sales Representative 612-877-0830 763-592-5643 MTI Distributing Equipment Quote May 12, 2026 MTI Distributing, Inc. • 4830 Azelia Avenue N. #100 • Brooklyn Center, MN 55429 MINNESOTA STATE CONTRACT PRICING - CONTRACT #284699 Page 65 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 4.10 Meeting Date May 18, 2026 Prepared By Zack Carlton, Community Development Director Item Description Encroachment Agreement 26-20: Meadowsweet Bend Reviewed by Cal Portner Justin Dunford Action Requested Approve, by motion, the encroachment agreement allowing an entrance monument for the Meadowsweet Bend subdivision within a drainage and utility easement. Background/Discussion The developer for Meadowsweet Bend, Twin Cities Land Development, would like to construct an entrance monument for their project near the intersection of Joplin and Ranch Road. Unfortunately, both sides of Joplin include stormwater ponds that have been constructed as part of their subdivision. These ponds are protected by a drainage and utility easement recorded with the final plat, and prohibit the permitting of signs or any structures. In order to meet their goal, the developer has proposed entering into an encroachment agreement with the city to allow the placement of the sign, subject to the terms and conditions outlined in the agreement. City staff and the city attorney reviewed the agreement and proposed sign location and do not have any concerns with their request. Staff recommends approval of the encroachment agreement. Financial Impact None Mission/Policy/Goal Support the growth and development of the community. Attachments 1. Encroachment Agreement Page 66 of 119 4692735.v1 ENCROACHMENT AGREEMENT ENCROACHMENT AGREEMENT (the “Agreement”) made this _______ day of _____________, 2026, by and between the CITY OF ELK RIVER, a Minnesota municipal corporation (the “City”), and TCLD-LF5 MEADOWSWEET, LLC, a Minnesota limited liability company (“Owner”). 1. BACKGROUND. Owner is the fee owner of certain real property located in the City of Elk River, County of Sherburne, State of Minnesota, legally described as follows: Lot 1, Block 1, MEADOWSWEET BEND, according to the recorded plat thereof, Sherburne County, Minnesota (Abstract Property) (the “Subject Property”). The City owns easements for drainage and utility purposes over portions of the Subject Property (“Easement Areas”). Owner has constructed or will construct a monument sign (the “Monument Sign”) and related landscaping and other improvements (“Improvements”) on the Subject Property which encroach on the City’s Easement Areas as depicted on Exhibit “A”. 2. ENCROACHMENT AUTHORIZATION. The City hereby approves the encroachment in the City’s Easement Areas on the Subject Property for the Monument Sign and Improvements subject to the conditions set forth in this Agreement. The City shall have no responsibility to maintain or repair the Monument Sign or Improvements located within the City’s Easement Areas. The Monument Sign and Improvements located on the Subject Property must not impact or increase water drainage on the abutting properties or cause any adverse drainage patterns or erosion to the abutting properties. Owner agrees that the Monument Sign and Improvements were or will be constructed/built/installed consistent with all applicable federal, state and local laws and regulations. The Monument Sign will not have exterior or interior lighting, and this Encroachment Page 67 of 119 4692735.v1 Agreement does not include the right to install lighting. Owner, its successors and assigns, are fully responsible and liable for any and all damage caused to the Monument Sign or Improvements because of it being constructed in the City’s Easement Areas. Owner, its successors and assigns, will own and maintain the Monument Sign and Improvements in good condition and in compliance with all applicable laws and regulations. 3. HOLD HARMLESS. In consideration of being allowed to encroach in the City's Easement Areas, Owner, for itself, its successors and assigns, hereby agrees to hold the City harmless from any damage caused to the Subject Property, including the Monument Sign or Improvements in the City’s Easement Areas, caused in whole or in part by the encroachment into the City's Easement Areas. 4. TERMINATION OF AGREEMENT. The City may terminate this Agreement at any time if the City, in its sole discretion, determines: (a) Owner has breached its obligation to maintain the Monument Sign in good condition and in compliance with applicable laws and regulations; or (b) removal of the Monument is in the public interest in order to accommodate any public use of the City’s Easement Areas. Prior to termination, the City will give the Owner, its successors and assigns, thirty (30) days advance written notice, except that no notice period will be required in the case of an emergency condition as reasonably determined by the City and this Agreement may then be terminated immediately. At its sole cost, Owner, its successors and assigns, shall remove the Monument Sign and Improvements from the City’s Easement Areas prior to the effective date of the termination of this Agreement. If the Owner, its successors and assigns, fails to do so, the City may remove the Monument Sign from the City’s Easement Areas and charge the cost of removal back to the Owner, its successors and assigns, for reimbursement. Owner may terminate Page 68 of 119 4692735.v1 this Agreement at any time by removing the Monument Sign and Improvements from the City’s Easement Areas and providing written notice of that removal to City. 5. ASSOCIATION AT THE DEVELOPMENT SITE. In connection with the development of the Subject Property, Owner, or its successors or assigns, intends to record a common interest community declaration against the Subject Property and establish a homeowner’s association to govern certain matters relating to the Subject Property under the terms of such declaration. Effective and contingent upon later of the following: (i) the recording of the declaration against the Subject Property; and (ii) completion of the Monument Sign in accordance with the terms hereof; such association, as Owner’s successor and assign hereunder, shall thereafter be a party hereto in lieu and in place of Owner, shall have all of the rights and obligations of Owner hereunder and Owner shall thereafter have no further rights, duties and/or obligations under or pursuant to this Agreement, so long as the common interest community remains in effect. In the event that the common interest community is terminated in accordance with law, the rights, duties and obligations of this Agreement shall revert to Owner. 6. RECORDING. This Agreement shall run with the land and shall be recorded against the title to the Subject Property. [Remainder of Page Intentionally Left Blank] Page 69 of 119 4692735.v1 CITY OF ELK RIVER BY: __________________________________ (SEAL) John J. Dietz Mayor AND ________ __________ Justin Dunford, City Clerk STATE OF MINNESOTA ) )ss. COUNTY OF ____________ ) The foregoing instrument was acknowledged before me this _________ day of __________________, 2026, by John J. Dietz and by Justin Dunford , respectively the Mayor and City Clerk of the City of Elk River, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. ____________________________________ NOTARY PUBLIC Page 70 of 119 4692735.v1 PROPERTY OWNER: TCLD-LF5 MEADOWSWEET, LLC By: Benjamin Schmidt Its: Chief Manager/President STATE OF MINNESOTA ) )ss. COUNTY OF HENNEPIN ) The foregoing was acknowledged before me this _____ day of ___________, 2026, by Benjamin Schmidt, the Chief Manager/President of TCLD-LF5 Meadowsweet, LLC, a Minnesota limited liability company, on behalf of the company. ____________________________________ NOTARY PUBLIC DRAFTED BY: Felhaber Larson (MSR) 220 South Sixth Street, Suite 2200 Minneapolis, MN 55402 (612) 339-6321 Page 71 of 119 4692735.v1 Exhibit “A” Page 72 of 119 Error! Unknown document property name. CONSENT AND JOINDER TO ENCROACHMENT AGREEMENT Meadowsweet Bend Homeowners Association, a Minnesota nonprofit corporation (the “Association”), hereby consents to and joins in the Encroachment Agreement to which this Consent and Joinder is attached (the “Encroachment Agreement”), and hereby agrees to be bound by the terms and conditions of the Encroachment Agreement and undertakes all of the rights and obligations of Owner under the Encroachment Agreement as the homeowners association referenced therein. MEADOWSWEET BEND HOMEOWNERS ASSOCIATION a Minnesota nonprofit corporation By: ` Benjamin Schmidt Its: President Page 73 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 4.11 Meeting Date May 18, 2026 Prepared By Lauren Wipper, Human Resources Manager Item Description Bendel Separation Agreement Reviewed by Cal Portner Justin Dunford Action Requested Approve, by motion, the Separation Agreement and Release of Claims with Patrick Bendel. Background/Discussion Police Officer Patrick Bendel has requested to resign from his position with the Elk River Police Department. The city attorney and the legal representatives from LELS have drafted the final agreement. Financial Impact N/A Mission/Policy/Goal City of Elk River Mission Statement Attachments 1. Patrick Bendel Settlement Agreement Page 74 of 119 1 239207v6 SEPARATION AGREEMENT AND RELEASE OF CLAIMS BETWEEN THE CITY OF ELK RIVER AND PATRICK BENDEL THIS AGREEMENT is made and entered into by and between THE CITY OF ELK RIVER, MINNESOTA, a municipal corporation (“Employer”), PATRICK BENDEL (“Employee”), and LAW ENFORCEMENT LABOR SERVICES (“Union”)(collectively as the “parties”) as of May 18, 2026. Recitals a. The Employee became employed with the Employer as a full-time, regular employee and licensed peace officer in November 2022. b. After investigations related to allegations of misconduct on the part of the Employee, the Employer served Employee with a Notice of Intent to Terminate on August 21, 2025, based upon the findings of three separate investigations related to separate conduct. c. The Employer terminated the Employee on or about September 2, 2025 (“Termination”). d. The Union filed a Step 3 grievance on behalf of the Employee on or about September 9, 2025, claiming, inter alia, that the Employer did not have just cause to terminate the Employee. e. The Employer and the Employee have determined that it is in the best interests of the parties that the employment of Employee by the Employer be concluded fully and finally in accordance with the terms of this Agreement. NOW, THEREFORE, IN CONSIDERATION of the mutual covenants and agreements as set forth in this Agreement, the sufficiency of which is acknowledged by the parties, the Employee and Employer agree as follows: 1. Recission of Termination. The Employer rescinds the September 2, 2025, Termination of Employee and September 3, 2025, Notice of Termination/Decision of City Council and reinstates Employee due to the Employer’s reliance on an incomplete investigation Page 75 of 119 2 239207v6 related to the third investigation and its report, dated August 5, 2025 (“Third Investigation Report”) as further provided in Section 2 below. 2. Third Investigation. The Employer acknowledges that the Third Investigation was an incomplete investigation due to the unavailability of a key witness which the parties acknowledge was to provide testimony and exculpatory evidence for Employee with specific respect to allegations that Employee knowingly provided false information to Employer, Employer’s agent, or the Elk River Police Department, or was otherwise untruthful, intentionally deceptive or not forthcoming during the June 20, 2025, internal investigation and interview, and as alleged in the Third Investigation Report. 3. Reconsideration. The Employer rescinds its Notice of Intent to Terminate, dated August 21, 2025. The Employer thereafter issues Employee a corrected Notice of Intent to Terminate, dated August 21, 2025, which will account for the concerns outlined in Section 2 above. 4. Resignation. Employee shall resign from his employment with the Employer effective September 2, 2025, and Employer shall accept Employee’s resignation. 5. Neutral Reference and Disclosure. Employer shall provide a neutral reference to prospective employers that will state only the dates of first and last employment and positions held. When required by law, Employer shall also provide information that is public pursuant to Minn. Stat. § 13.01, et seq. Except as required by law and/or court order, Employer will not release private and non-public data about Employee. If Employee signs an authorization form permitting a third party to obtain private or non-public data about Employee, Employer shall release such information to the requesting party. Page 76 of 119 3 239207v6 6. Submission to Board of Peace Officer Standards and Training. Within seven (7) calendar days after execution of this Agreement, the Employer shall supplement its response to the request for data from the Board of Peace Officer Standards and Training (POST Board) regarding In re Peace Officer License of Patrick David Bendel, License Number 27833, Case Number PB: 26-199, by submitting this Agreement and the corrected Notice of Intent to Terminate to the POST Board. Employer shall provide Union with copies of the documents submitted to the POST Board and any accompanying communications. 7. Consideration. Employee acknowledges that the terms described in this Separation Agreement and Release of Claims are sufficient consideration for this Agreement. 8. Release. In consideration of the terms described in this Separation Agreement and Release of Claims, the Employee, for himself, his heirs, administrators, representatives, successors, and assigns, releases and forever discharges the Employer and its attorneys, agents, representatives, employees, former employees, insurers, heirs, executors and assigns of and from any and all past, present, or future claims, demands, obligations, actions or causes of action, at law or in equity, whether arising by statute, common law or otherwise, and for all claims for damages, of whatever kind or nature, and for all claims of attorney’s fees, costs and expenses, including but not limited to claims for emotional distress, discrimination, or constructive discharge. The Employee is not releasing or relinquishing any right to defense and indemnification by the Employer for any possible claims asserted by third parties arising out of the performance of his duties as an Employee for which the Employer is obligated by state or federal law to defend and indemnify the Employee. Page 77 of 119 4 239207v6 It is specifically understood that this release is intended to include only those claims arising from any conduct, event or transaction occurring prior to the date of this Agreement and is intended to include any and all claims of unknown injuries and/or damages, unanticipated injuries and/or damages and unexpected consequences of injuries and/or damages. The Employee further acknowledges that he is waiving and releasing any claims that he might otherwise have under state or federal law with respect to a hearing, or with respect to any matter arising out of his employment with the Employer or arising out of matters set forth in this Agreement. 9. Withdrawal of Grievance. Immediately upon this Agreement’s execution by all parties, the Union shall withdraw its grievance by notifying via email the Bureau of Mediation Services and the assigned Arbitrator. 10. No Admission of Liability. The parties admit absolutely no liability, or wrongdoing, of any sort, and it is further specifically understood that this Agreement shall not be construed as an admission of liability or wrongdoing of any sort on the part of any party. 11. Voluntary and Knowing Action. The parties acknowledge that they have had the opportunity to consult with their own legal counsel, that they have thoroughly read and understand the terms of this Agreement, and that they are voluntarily entering into this Agreement. 12. Indemnification. The Employer agrees to defend, indemnify, and hold harmless the Employee from any claims, demands, suits, actions, or proceedings to which the Employee is entitled to such defense or indemnification by state or federal law. Page 78 of 119 5 239207v6 13. Compliance with Applicable Laws. The Employer and the Employee acknowledge that this Agreement is intended to comply fully with applicable federal or state laws and regulations with respect to the matters covered by this Agreement. 14. Complete Agreement. This Agreement constitutes the entire agreement between the parties relating to the Employee’s employment and resignation from employment with the Employer. The parties acknowledge and represent that no promise or representation not contained in this Agreement has been made to them. 15. Governing Law. This Agreement shall be construed, enforced, and governed in accordance with the laws of the State of Minnesota. Any dispute relating to this Agreement shall be venued in Sherburne County District Court. IN WITNESS WHEREOF, the Employer, Union and the Employee have approved and executed this Agreement on the dates indicated below. EMPLOYEE: DATE: _______________________ ____________________________________ Patrick Bendel UNION: DATE: _______________________ ____________________________________ Adam Burnside, Business Agent EMPLOYER: May 13, 2026 Adam Burnside (May 13, 2026 19:36:10 CDT)May 13, 2026 Page 79 of 119 6 239207v6 DATE: _______________________ ____________________________________ John Dietz, Mayor DATE: _______________________ ____________________________________ Justin Dunford, City Clerk Page 80 of 119 Settlement Agreement - To Be Signed Final Audit Report 2026-05-14 Created:2026-05-13 By:Ash Smith (asmith@ck-law.com) Status:Signed Transaction ID:CBJCHBCAABAAbzsOUhcuNJBSTQGtEAt6c8MJ9Qvrv0dA "Settlement Agreement - To Be Signed" History Document created by Ash Smith (asmith@ck-law.com) 2026-05-13 - 9:13:47 PM GMT Document emailed to Pat Bendel (pbendel12@aim.com) for signature 2026-05-13 - 9:14:40 PM GMT Email viewed by Pat Bendel (pbendel12@aim.com) 2026-05-13 - 10:12:15 PM GMT Document e-signed by Pat Bendel (pbendel12@aim.com) Signature Date: 2026-05-13 - 10:14:51 PM GMT - Time Source: server - Signature Appearance Selected: MOBILE_IMAGE Document emailed to aburnside@lels.org for signature 2026-05-13 - 10:14:53 PM GMT Email viewed by aburnside@lels.org 2026-05-14 - 0:34:56 AM GMT Signer aburnside@lels.org entered name at signing as Adam Burnside 2026-05-14 - 0:36:08 AM GMT Document e-signed by Adam Burnside (aburnside@lels.org) Signature Date: 2026-05-14 - 0:36:10 AM GMT - Time Source: server - Signature Appearance Selected: DRAW Agreement completed. 2026-05-14 - 0:36:10 AM GMT Page 81 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 6.1 Meeting Date May 18, 2026 Prepared By Jolene Richter, Deputy Clerk Item Description City of Elk River Volunteer of the Month Reviewed by Cal Portner Justin Dunford Action Requested Mayor Dietz will recognize and present a plaque to the May Volunteer of the Month Award recipient. Background/Discussion Mayor Dietz established the City of Elk River Volunteer of the Month Award program to recognize Elk River residents for their volunteer contributions and commitment to community service. Financial Impact None. Mission/Policy/Goal The City of Elk River Mission Statement. Attachments None Page 82 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 6.2 Meeting Date May 18, 2026 Prepared By Joe Stremcha, Business Services Director/Assistant City Administrator Item Description Resolution 26-38: Accepting a Donation from The Bank of Elk River - 2026 Summer Concert Series Reviewed by Jeff Shelby Joe Stremcha Cal Portner Justin Dunford Action Requested Adopt, by motion, Resolution 26-38 graciously accepting the 2026 Riverfront Concert Series contribution for $27,000.00 by the Bank of Elk River. Background/Discussion The Bank of Elk River has been a generous partner for years in their sponsorship of the Riverfront Concert Series operated by the Elk River Parks and Recreation Division. Elk River and the Bank of Elk River are now in the third year of a three-year sponsorship agreement. 2026 Summer Concert Series: • June 11: ABBASolutely Fab • June 18: Memories of Elvis Show by Chris Olson • June 25: Divas Through the Decades • July 9: Country Roads • July 16: Church of Cash • July 23: Mad Scientist Tribute to AC/DC • July 30: A Hard Day's Night • August 6: Fabulous Armadillos Financial Impact The annual contribution detailed in the current agreement is as follows: • 2024 = $25,000 • 2025 = $26,000 Page 83 of 119 • 2026 = $27,000 Mission/Policy/Goal Together we win. Attachments 1. RES 26-38 2026 Bank of Elk River Donation Resolution Page 84 of 119 City of Elk River City Council Resolution 26-38 A Resolution of the City Council of the City of Elk River Acknowledging Contributions WHEREAS, the City of Elk River is grateful to all civic groups, organizations, and individuals for their contributions to the community; and WHEREAS, the City of Elk River received a $27,000.00 donation from The Bank of Elk River with the intent it be used by Parks and Recreation for the 2026 Riverfront Concert Series. NOW, THEREFORE, BE IT RESOLVED by the City Council, by at least four-fifths vote, to acknowledge the support and commend The Bank of Elk River for their donation. Passed and adopted this 18th day of May, 2026. John J. Dietz, Mayor ATTEST: Justin Dunford, City Clerk Page 85 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 7.1 Meeting Date May 18, 2026 Prepared By Justin Femrite, Public Works Director/Chief Engineer Item Description Ordinance 26-13: Electric Service Franchise Fee Ordinance Amendment Reviewed by Justin Femrite Cal Portner Justin Dunford Action Requested Approve, by amendment, an ordinance modification to the current electric franchise fee ordinance. Background/Discussion The changes to the Electric Fee ordinance are proposed to update some user classifications for ease of interpreting the correct billing classification, and to update fees to recover required revenue to pay for street lighting electrical charges. The Council previously provided direction to update the fees to cover this expenditure. This is the first update to any of our rates since originally adopting the fee ordinance in 2013. Our projections for needed pavement management revenue remain consistent with the original fees being recovered. Financial Impact The changes to the fees will now recover an extra $1 per month from residential customers, with the same percentage increase applied to the commercial and industrial customer charges as directed by the Council at the March 2, 2026, meeting. The changes to the ordinance are expected to generate about $185,000 in revenue to put toward the anticipated $220,000 electrical charges for street lighting. Mission/Policy/Goal Meet changing needs - Agile Attachments 1. ORD 13-08 ELECTRIC Fee Ordinance Amendment Markup Version Page 86 of 119 2. ORD 26-13 ELECTRIC Fee Ordinance Amendment Final Version Page 87 of 119 ORDINANCE NO. 13-08 CITY OF ELK RIVER AN ORDINANCE OF THE CITY OF ELK RIVER IMPLEMENTING AN ELECTRIC SERVICE FRANCHISE FEE FOR PROVIDING ELECTRIC SERVICE WITHIN THE CITY OF ELK RIVER, SHERBURNE COUNTY, MINNESOTA The City Council of the City of Elk River hereby ordains as follows: Section 1. Purpose. The Elk River City Council has determined that is in the best interest of the City to impose franchise fees on those utility companies that provide natural gas and electric services within the City. Pursuant to Minnesota Statutes, Section 216B.36 and the Franchise Ordinances, the City has the authority and right to impose franchise fees on the Companies. The purpose of this ordinance is to establish such franchise fees to be paid to the City by the Companies. The franchise fees will be used to partially fund the Cities cost to maintain the city street system. Section 2. Definitions. For the purposes of this Ordinance, the following capitalized terms shall have the following meanings: 2.1 City. The City of Elk River, County of Sherburne, State of Minnesota. 2.2 Companies. Connexus Energy, a Minnesota Cooperative Corporation, its successors and assigns; and Elk River Municipal Utilities, a Minnesota Municipal Utility, its successors and assigns. 2.3 Franchise Ordinances. The franchise ordinances adopted by the City on April 15, 2013 – City Ordinance No. 13-___ and City Ordinance No. 13-___. 2.4 Notice. “Notice” means a writing served by any party or parties on any other party or parties. Notice to Companies shall be mailed to: Chief Executive Officer, Connexus Energy, 14601 Ramsey Boulevard NW, Ramsey, MN 55030 and; General Manager, Elk River Municipal Utilities, 10369 13069 Orono Parkway, Elk River, MN 55330. Notice to City shall be mailed to the City Administrator, City of Elk River, 13065 Orono Parkway, Elk River, MN 55330. Section 3. Electric Franchise Fee. 3.1 Franchise Fee Statement and Schedule. A franchise fee is hereby imposed on the Companies after sixty (60) days’ written notice from the City, and in accordance with the following fee schedule: Page 88 of 119 Customer Classification Amount per Account per Month ($) Residential $56.00 Small Commercial/Industrial (Non Demand) $2530.00 General Small Commercial/Industrial (Demand) $7084.00 Large Commercial/Industrial (> 1 MW Demand) $100120.00 Outdoor Advertising (Billboards), Non-Metered CableTV/Phone $120.00 Public Street/Trail Lighting and Traffic signals $0.00 Irrigation services, Lift Station services, Siren services, and Muni. Pumping services $0.00 3.2 Account Fee. a) Theis fee imposed under this section shall be assessed on a per-acount basis and shall not be assessed on a per-meter basisis an account based fee and not a meter based fee. An account includes all electric meters located on a single property or premises that have the same address and property owner. b) Properties with a single address and owner shall pay the largest fee that applies to any one of their metersFor any property with a single parcel identification number (PID) under common ownership, the owner shall be responsible for payment of the highest applicable fee associated with any meter serving the property. c) For properties with separate metered tenant spaces under a single PID, a separate fee shall be assessed for each meter.d) Separately metered space rented to tenants other than the owner shall pay a fee for each tenant meter. ed) The City Administrator, or histheir designee, shall have the authority to interpret and implement the provision of this Section 3.2. Any person aggrieved by a determination of staff may appeal such determination to the City Council.is authorized to determine the appropriate implementation of this Section 3.2. Appeals from decisions of the staff may be taken to the City Council. This fee is an account-based fee and not a meter-based fee. In the event that an entity covered by this ordinance has more than one meter, but only one account, only one fee shall be assessed to that account. In the event any entities covered by this ordinance have more than one account, each account shall be subject to the appropriate fee. In the event a question arises as to the proper fee amount for any account, the highest possible fee amount shall apply. 3.3 Payment. After the initial notice period as provided in Section 3.1, franchise fees are to be collected by the Companies and submitted to the City in accordance with the following schedule: January – March collections due by April 30. Page 89 of 119 April – June collections due by July 31. July – September collections due by October 31. October – December collections due by January 31. 3.4 Record Support for Payment. The Companies shall make each payment when due and, if requested by the City, shall provide a statement summarizing how the franchise fee payment was determined, including information showing any adjustments to the total made to account for any non-collectible accounts, refunds or error corrections. The Companies shall permit the City, and its representatives, access to the Company records for the purpose of verifying such statements. 3.5 Payment Adjustments. Payment to the City will be adjusted where the Companies are unable to collect the franchise fee. This includes non-collectible accounts. 3.6 Relation to Franchise Ordinances. This ordinance is enacted in compliance with the Franchise Ordinances and shall be interpreted as such. 3.7 Periodic Review. The City Council shall review this ordinance every two years in whatever manner the City Administrator then determines to be appropriate. Failure to review this ordinance shall not in any way invalidate or limit it. The franchise fee imposed by this ordinance shall remain in effect unless and until amended or revoked by adoption of an amendment of this ordinance. Section 4. That this Ordinance shall be published and take effect as provided by law. Adopted this __1518__ day of __ April May_______, 202613 by the City Council of the City of Elk River. John J. Dietz Mayor Tina AllardJustin Dunford City Clerk Page 90 of 119 Strikethroughs to be removed Underlines to be added Ordinance 26-13 An Ordinance implementing an Electric Service Franchise Fee for providing electric service within the City of Elk River, Sherburne County, Minnesota The City Council of the City of Elk River does hereby ordain as follows: SECTION 1. Purpose. The Elk River City Council has determined that is in the best interest of the City to impose franchise fees on those utility companies that provide natural gas and electric services within the City. Pursuant to Minnesota Statutes, Section 216B.36 and the Franchise Ordinances, the City has the authority and right to impose franchise fees on the Companies. The purpose of this ordinance is to establish such franchise fees to be paid to the City by the Companies. The franchise fees will be used to partially fund the Cities cost to maintain the city street system. SECTION 2. Definitions. For the purposes of this Ordinance, the following capitalized terms shall have the following meanings: 2.1 City. The City of Elk River, County of Sherburne, State of Minnesota. 2.2 Company. Elk River Municipal Utilities, a Minnesota Municipal Utility, its successors and assigns. 2.3 Franchise Ordinances. The franchise ordinance adopted by the City on April 15, 2013 – City Ordinance No. 13-07. 2.4 Notice. “Notice” means a writing served by any party or parties on any other party or parties. Notice to Companies shall be mailed to:; General Manager, Elk River Municipal Utilities, 13069 Orono Parkway, Elk River, MN 55330. Notice to City shall be mailed to the City Administrator, City of Elk River, 13065 Orono Parkway, Elk River, MN 55330. SECTION 3. Electric Franchise Fee. 3.1 Franchise Fee Statement and Schedule. A franchise fee is hereby imposed on the Companies after sixty (60) days’ written notice from the City, and in accordance with the following fee schedule: Customer Classification Amount per Account per Month ($) Residential $6.00 Small Commercial/Industrial (Non Demand) $30.00 Page 91 of 119 Strikethroughs to be removed Underlines to be added Small Commercial/Industrial (Demand) $84.00 Large Commercial/Industrial (> 1 MW Demand) $120.00 Outdoor Advertising (Billboards), Non-Metered CableTV/Phone $12.00 Public Street/Trail Lighting and Traffic signals $0.00 Irrigation, Lift Station, Siren, and Muni. Pumping services $0.00 3.2 Account Fee. a) The fee imposed under this section shall be assessed on a per-account basis and shall not be assessed on a per-meter basis b) For any property with a single parcel identification number (PID) under common ownership, the owner shall be responsible for payment of the highest applicable fee associated with any meter serving the property. c) For properties with separate metered tenant spaces under a single PID, a separate fee shall be assessed for each meter.. d) The City Administrator, or their designee, shall have the authority to interpret and implement the provision of this Section 3.2. Any person aggrieved by a determination of staff may appeal such determination to the City Council. 3.3 Payment. After the initial notice period as provided in Section 3.1, franchise fees are to be collected by the Companies and submitted to the City in accordance with the following schedule: January – March collections due by April 30. April – June collections due by July 31. July – September collections due by October 31. October – December collections due by January 31. 3.4 Record Support for Payment. The Companies shall make each payment when due and, if requested by the City, shall provide a statement summarizing how the franchise fee payment was determined, including information showing any adjustments to the total made to account for any non-collectible accounts, refunds or error corrections. The Companies shall permit the City, and its representatives, access to the Company records for the purpose of verifying such statements. 3.5 Payment Adjustments. Payment to the City will be adjusted where the Companies are unable to collect the franchise fee. This includes non-collectible accounts. 3.6 Relation to Franchise Ordinances. This ordinance is enacted in compliance with the Franchise Ordinances and shall be interpreted as such. 3.7 Periodic Review. The City Council shall review this ordinance every two years in whatever manner the City Administrator then determines to be appropriate. Failure to review this ordinance shall not in any way invalidate or limit it. The franchise fee imposed by this ordinance shall remain in effect unless and until amended or revoked by adoption of an amendment of this ordinance. Page 92 of 119 Strikethroughs to be removed Underlines to be added SECTION 4. That this ordinance shall take effect upon adoption and be published as provided by law. Passed and adopted by the City Council of the City of Elk River this 18 day of May, 2026. ______________________________ John J. Dietz, Mayor ATTEST: _______________________________ Justin Dunford, City Clerk Page 93 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 8.1 Meeting Date May 18, 2026 Prepared By Justin Dunford, City Clerk Item Description Ordinance 26-12: Amend Massage License Education Requirements Reviewed by Cal Portner Justin Dunford Action Requested Approve, by motion, an amendment to current city ordinance regarding massage license education requirements. Background/Discussion Current city ordinance requires massage license applicants to provide proof of graduation or completion from an accredited massage therapy program. The city has received applications from individuals who graduated from legitimate, state-licensed programs that were not accredited, resulting in the denial of their license applications. After reviewing similar ordinances in other cities, staff is proposing updated language that would also allow applicants to qualify if they provide proof of graduation or completion from a program or institution licensed by the state or other governing agency with jurisdiction where the program is located. This would serve as an alternative to the current accreditation requirement. Financial Impact None Mission/Policy/Goal Appropriately govern in an ever-changing environment. Attachments 1. ORD 26-12 Amending Massage License Education Requirements 2. Life's Retreat Letter Regarding City Ordinance 3. Life's Retreat Email Regarding City Ordinance Page 94 of 119 Strikethroughs to be removed Underlines to be added Ordinance 26-12 An Ordinance Amending Chapter 38, Article VI, Licensing and Regulation of Therapeutic Massage of the City of Elk River, Minnesota, City Code The City Council of the City of Elk River does hereby ordain as follows: SECTION 1. That § Section 38-223, License application; investigation of the City of Elk River Code of Ordinances shall be amended to read as follows: Sec. 38-223 (2) (l) Message therapist application (2) Each application shall contain and require: (l) Proof of graduation and completion of 500 hours of certified therapeutic massage training with content that includes the subjects of anatomy, physiology, hygiene, ethics, massage theory and research, and massage practice from an accredited program or accredited institution, or a program or institution licensed by the state or local government agency having jurisdiction over the program or institution. These training hours must be authenticated by a single provider through a certified copy of the transcript of academic record from the school issuing the training, degree, or diploma or proof of passing the National Certification Exam offered by the National Certification Board for Therapeutic Massage and Bodywork and a minimum of five years of full-time work experience as a massage therapist within the United States. SECTION 2. That § Section 38-226, License eligibility of the City of Elk River Code of Ordinances shall be amended to read as follows: Sec. 38-226 (b) (6) License Eligibility b) A massage therapist shall not be issued a license upon any of the following grounds: (6) The applicant has not provided proof of graduation and completion of 500 hours of certified therapeutic massage training with content that includes the subjects of anatomy, physiology, hygiene, ethics, massage theory and research, and massage practice from an accredited program or accredited institution, or a program or institution licensed by the state or local government agency having jurisdiction over the program or institution. These training hours must be authenticated by a single provider through a certified copy of the transcript of academic record from the school issuing the training, degree, or diploma or proof of passing the National Certification Exam offered by the National Certification Board for Therapeutic Page 95 of 119 Strikethroughs to be removed Underlines to be added Massage and Bodywork and a minimum of five years of full-time work experience as a massage therapist within the United States; SECTION 3. That this ordinance shall take effect upon adoption and publication as provided by law. Passed and adopted by the City Council of the City of Elk River this 18th day of May, 2026. ______________________________ John J. Dietz, Mayor ATTEST: _______________________________ Justin Dunford, City Clerk Page 96 of 119 Page 97 of 119 Page 98 of 119 Page 99 of 119 Page 100 of 119 Addendum to the Elk River Dam Operations and Maintenance Manual May 2026 Background: The Elk River Dam Operations and Maintenance Manual was published and certified on February 25,1982 to provide guidelines for maintenance and inspection of the Elk River Dam in the City of Elk River. This addendum is intended to provide additional guidelines specifically for any non- emergency drawdowns. The procedures set forth below were adopted to limit downstream erosion resulting from increased discharge rates and reduce fish die-offs from abrupt changes in lake levels. Non-emergency drawdowns may be for the purposes of annual inspections, lake maintenance projects, or other lake management purposes. Elk River Dam Non- Emergency Drawdown Procedure: The annual dam inspection will be scheduled for the first Wednesday of October, and the draw- down procedure will begin two days prior to inspection. If unforeseen circumstances require an alternative schedule, drawdowns beyond the month of October should be avoided. Dam components are prone to damage if operated during freezing temperatures. Additionally, October inspections will reduce any potential conflicts with lake users or shoreland owners. Non- routine maintenance projects may necessitate drawdowns at different times of the year. In these cases, efforts should be made to avoid winter months and peak boating times. Any scheduled dam drawdowns shall follow the procedural guidelines below: • All non-emergency drawdowns will be coordinated with the Minnesota Department of Natural Resources and will follow all public waters regulations and permitting requirements as applicable. • Communications with lake shore owners and recreational users will begin at least two weeks in advance of the drawdown to warn of the potential navigational issues due to low water. • The drawdown procedure should begin 48 hours in advance of the scheduled inspection or any maintenance project. • The dam will be lowered approximately 30-inches from its normal operating elevation of 872 feet NAVD88. • Average drawdown rates shall not exceed 1-inch per hour. • The dam will be returned to its pre-inspection settings, and the lake will be allowed to refill once inspections or maintenance has been completed. • The lake will return to normal operating levels within one week of the start of a drawdown, unless there is a specific project need requiring an extended timeline. Page 101 of 119 Water Quality Testing at Lake Orono Beach Testing Procedure Orono Lake will be assessed for E. coli (Escherichia coli) bacteria to determine fecal contamination in recreational waters. Elevated bacteria levels generally occur in aquatic environments after significant rain events when bacteria sources are washed into the lake from land. The Minnesota Department of Health (MDH) recommends posting an advisory at the beach indicating swimming and wading are not recommended when laboratory or model results show E. coli counts exceed established standards. The MDH recommends the following readings to be considered at advisory levels: • Single-Sample Limit: At least one of the three samples per sampling day results in 235 organisms per 100 mL of water or higher. • Geometric Mean: At minimum five samples equally spaced over a 30-day period exceed 126 organisms per 100 mL of water. Orono Lake will be tested at Orono Park twice weekly (Tuesday and Thursday) from Memorial Day through Labor Day by taking three samples each day for a total of six samples per week. Informative signs will be placed near the beach and boat landing, which will provide a QR code and link to the most recent results. Sample results will be housed and managed by the Orono Lake Improvement District on their website (https://oronolid.org/beach-testing/). The Minnesota Department of Health’s (MDH) recommended water quality criteria will be provided on the webpage to help lake users interpret the current readings. Samples that exceed advisory levels will be highlighted on the OLID website as exceeding the MDH recommendations. Standard for Posting Caution If E. coli levels are above the guidelines for high risk levels (1260 Colony Forming Units Per 100 ML) the OLID will post a caution on their webpage and the following parties will be notified. ▪ Public Works Superintendent ▪ Park Foreman - Placement & removal of signs at Orono Beach/public access when posting is required. ▪ Police Chief and Police Captain ▪ OLID - email list to lake owners. oronolid@gmail.com ▪ City Administrator, or designee, who will inform Mayor and City Council Page 102 of 119 The caution will be removed from the website once sample results are below the high- risk level. Effective as of January 1, 2018 Amended September 8, 2020 Revised May 2026 Page 103 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 10.2 Meeting Date May 18, 2026 Prepared By Joe Stremcha, Business Services Director/Assistant City Administrator Item Description 2026 Women’s Sled World Championship Hosting Opportunity Reviewed by Cal Portner Justin Dunford Action Requested Discuss an opportunity to host the 2026 Women’s Sled World Championship. Background/Discussion This opportunity only recently became known to USA Hockey and therefore, was not included in their organization’s current budget planning. Because of that, their goal is to quickly identify a host site and community partner that has a vested interest in supporting and growing para/adaptive sports and women’s sports. This event represents an important step toward Women’s Sled Hockey making its anticipated debut at the 2030 Winter Games. As such, the availability of local or state funding opportunities, grants, tourism support, and community partnerships is a major consideration of USA Hockey for site selection. The event will require a single sheet of ice hosting 11 games within a 7-day window, and the primary competition rink must be sled-compatible. For reference, “sled compatible” means that the dasher boards in front of the player benches and penalty box must be replaced with plexiglass to allow players to see the ice surface while seated. Additionally, players must be able to safely enter and exit the benches and penalty box while on sleds. Hosting successfully can: ▪ Elevate the FT Center’s reputation nationally/internationally ▪ Position the venue for future adaptive sports tournaments ▪ Strengthen future grant applications ▪ Justify future capital improvements ▪ Increase off-season utilization ▪ Create recurring event opportunities A successful event can become: Page 104 of 119 ▪ An annual sled hockey tournament ▪ A USA Hockey adaptive sports hub ▪ A regional training site ▪ Long-term positioning can matter more than immediate event profit. Financial Impact $60,000-$120,000 to convert 2-4 players benches to enable sled hockey. Several foundations have been contacted for financial assistance to help support this initiative if a Minnesota host community is selected. A realistic budget model might look like: Category Estimate Event expenses $400,000 Sponsorships/grants $200,000 Hotel/tourism support $75,000 Ticketing/concessions/etc. $75,000 Entry grants/WPIH support $50,000 Net result Near break-even Mission/Policy/Goal Opportunity to live, work, and play. Attachments 1. Women's World Schedule 25' Example 2. Para Ice Hockey Overview Page 105 of 119 Stage Date Time Group/Round Team 1 Team 2 Preliminary 26 Aug 18:00 UTC+2 Group A Australia United States Preliminary 26 Aug 19:30 UTC+2 Group B Team World Canada Preliminary 27 Aug 18:00 UTC+2 Group A Norway Australia Preliminary 27 Aug 19:30 UTC+2 Group B Great Britain Team World Preliminary 28 Aug 18:00 UTC+2 Group A United States Norway Preliminary 28 Aug 19:30 UTC+2 Group B Canada Great Britain Playoffs 30 Aug 12:30 UTC+2 5th-6th Placement Team World (3rd Group B)Australia (3rd Group A) Playoffs 30 Aug 18:00 UTC+2 Semifinal 1 Canada (1st Group B)Norway (2nd Group A) Playoffs 30 Aug 19:30 UTC+2 Semifinal 2 United States (1st Group A)Great Britain (2nd Group B) Playoffs 31 Aug 15:30 UTC+2 Bronze Norway (Loser SF1)Great Britain (Loser SF2) Playoffs 31 Aug 19:00 UTC+2 Gold United States (Winner SF2)Canada (Winner SF1) Page 106 of 119 World Para Ice Hockey 7 Bid package for World Para Ice Hockey Competitions 6 World Para Ice Hockey Bid package for World Para Ice Hockey Competitions General information The bidding authority should plan for a competition of the following characteristics Competition Ice rink Number of ice rinks Number of teams Competition format Number of athletes Number of team staff Number of wheelchair users Number of international technical officials Number of IPC representatives and staff Arrival of international technical officials Arrival of international technical officials Team arrivals Classification and training sessions Opening Ceremony Competition days Closing Ceremony Departures Page 107 of 119 World Para Ice Hockey 9 Bid package for World Para Ice Hockey Competitions 8 World Para Ice Hockey Bid package for World Para Ice Hockey Competitions Venue The competition venue is a critical success factor for the competition in both financial and operational terms. All competition venues, and all venue operational elements, must be in line with the commitment to stage a world-class competition. The competition must be safely and efficiently operated, keeping in mind a central focus on an extraordinary athlete experience. The BA must not enter into any binding contracts with the venue providers without the prior written approval of WPIH. The LOC is required to provide the appropriate competition venue(s), in accordance with the technical World Para Ice Hockey 9 Bid package for World Para Ice Hockey Competitions 8 World Para Ice Hockey Bid package for World Para Ice Hockey Competitions specifications in the World Para Ice Hockey Rules and Regulations and World Para Ice Hockey Technical Requirements. Competitions for Para athletes have specific requirements with regard to venue accessibility. Such adaptations must be considered and reflected in the bid application. Team benches and penalty boxes must have plexiglass in front of them. Team benches must have two doors with level access to the ice surface and preferably the penalty boxes have level access. The ground surface, where practical, in all off-ice areas between the changing room and ice-rink must be covered with plastic or ice. Any protruding structural supports must be securely padded or protected to avoid damage or injury. Standard goals must be used with a video replay system, if a video replay system is available. The competition venue(s) must be provided clean of all commercial advertising and signage that does not directly support the LOC Licensing and Commercial Programme. The competition venue(s) must be available for venue inspections by WPIH during the early planning phases of the competition. The competition venue(s) must also be available to all technical officials prior to the commencement of the competition to enable all necessary preparations to be completed prior to the arrival of NPC delegations. Page 108 of 119 World Para Ice Hockey 11 Bid package for World Para Ice Hockey Competitions 10 World Para Ice Hockey Bid package for World Para Ice Hockey Competitions Accommodation Accommodation must be secured by the LOC for the various competition con- stituent groups taking into consideration the type, quality, location, pricing and accessibility. The BA must not enter into any binding contracts with any accommo- dation providers without the prior written approval of WPIH. When determining accommodation the LOC must adhere to the following: ▪Accommodation for athletes and NPC team officials (NPC Delegations), WPIH international technical officials, WPIH staff and representatives, media representatives, guests and VIPs, IPC/ WPIH partners and any other LOC sponsors must be available for the duration of the Competition and be in close proximity. ▪All accommodation must be no further than 45 minutes by car (at peak traffic times) to/from the competition ven- ue(s). ▪All accommodation for athletes and NPC team officials (NPC Delegations) must be equivalent to at least a three (3) star quality hotel according to Euro- pean standards. ▪All accommodation for all accredited persons must offer a full board catering service with international cuisine. ▪The LOC must cover the cost of ac- commodation (full board) for World Para Ice Hockey international techni- cal officials, staff and representatives, in accordance with the World Para Ice Hockey Technical Requirements and the hosting agreement. ▪All accommodation facilities must be wheelchair accessible in accordance with IPC Accommodation Guidelines. ▪The LOC may provide an exclusive ac- commodation facility or a collection of smaller accommodation facilities in a ‘village’ concept. In both cases, private bedrooms must be provided with a maximum of two (2) persons per room. 10 World Para Ice Hockey Bid package for World Para Ice Hockey Competitions World Para Ice Hockey 11 Bid package for World Para Ice Hockey CompetitionsPage 109 of 119 World Para Ice Hockey 13 Bid package for World Para Ice Hockey Competitions 12 World Para Ice Hockey Bid package for World Para Ice Hockey Competitions 12 World Para Ice Hockey Bid package for World Para Ice Hockey Competitions Catering services Transportation services The LOC must provide catering services consisting of suitable food and beverages for breakfast, lunch and dinner for all athletes, NPC team officials, WPIH international technical officials, WPIH staff and representatives and IPC anti-doping officials. It is important that a choice of meals that incorporates special nutritional and religious requirements are offered for athletes. All catering services must be provided in wheelchair-accessible facilities at appropriate times taking full account of competition session times. Sufficient bottled beverages, in particular water, as well as small snacks must be provided for each team in the dressing rooms at the competition venue(s) throughout the duration of the competition. A successful competition depends on an accessible, efficient, safe and reliable ground transportation system between major ports of entry, accommodation locations and competition and training venues. A local transport service must be provided (free of charge) to NPC Delegations, WPIH staff and represent- atives and WPIH international technical officials. Some critical elements the LOC is required to identify in formulating its transport plan include: ▪Identifying an accurate schedule of ar- rival and departure times between the various locations (major points of entry, accommodation locations, competition and training venues, ceremonies), tak- ing into account traffic, vehicle types and availability, load and unload times. ▪Identifying the types and quantity of vehicles required to transport the dif- ferent constituent groups and their equipment to the various locations. ▪Identifying a good standard of service for each constituent group from the point of entry to the accommodation location and vice versa. ▪Particular emphasis must be placed on planning for a large number of wheel- chair users. The LOC is responsible for the cost of local transportation for NPC delegations, WPIH staff and representatives, WPIH international technical officials and an- ti-doping officials. The LOC is also responsible for arranging and paying for the airfares for the WPIH international technical officials and WPIH staff and representatives. Page 110 of 119 World Para Ice Hockey 15 Bid package for World Para Ice Hockey Competitions 14 World Para Ice Hockey Bid package for World Para Ice Hockey Competitions Medical and anti-doping services Medical The LOC will be required to provide on- site medical, emergency ambulance and first aid services during the competition in accordance with the World Para Ice Hockey Medical Services Requirements and the IPC Medical Code. A Chief Medical Officer (“CMO”) must be recruited and be available on site throughout the competition. A competition hospital must be identified and be within a reasonable distance to the competition and training venue(s). The LOC will be required to produce a medical services plan which must be approved in writing by WPIH. Anti-Doping The LOC will be required to imple- ment an anti-doping programme for the competition in accordance with the IPC Anti-Doping Code. In order to implement the doping control programme effective- ly and efficiently, the LOC must provide suitable and secure anti-doping facilities within each competition venue(s) and logistical/operational support (in case of out-of-competition testing conducted outside the competition venues). The LOC will also be required to enter into a separate ‘Doping Control Agree- ment’ with the IPC in which the IPC will define the size and type of the testing programme to be conducted at the Com- petition. Additionally, the LOC may be asked to implement an anti-doping education pro- gramme on terms agreed upon with the IPC. World Para Ice Hockey 15 Bid package for World Para Ice Hockey Competitions 14 World Para Ice Hockey Bid package for World Para Ice Hockey Competitions Insurance General requirements and information The LOC should seek professional advice to ensure that the insurance arrangements for the competition comply with national legislation, and provide suitable indemnity cover for financial risks that may arise from the organisation of the competition. The LOC must take out and maintain insurance coverage in accordance with the terms of the hosting agreement and the World Para Ice Hockey Regulations. Page 111 of 119 World Para Ice Hockey 17 Bid package for World Para Ice Hockey Competitions 16 World Para Ice Hockey Bid package for World Para Ice Hockey Competitions Sponsorship, marketing and broadcasting Finances The LOC must implement plans regarding sponsorship, marketing and broadcasting for the competition in accordance with the requirements set out in the hosting agreement. The LOC must acknowledge the importance of broadcasting the competition to reach the widest possible worldwide audience. The BA must agree to the following conditions: ▪WPIH will pay the LOC a grant (the amount of which will be determined based on the BA’s preliminary budget estimation), as a contribution to the delivery of the competition. The pay- ment schedule and conditions of the grant will be established in the hosting agreement. ▪WPIH will charge the LOC a signing fee. The signing fees are set at 5,000 Euros for the World Championships and 2,500 Euros for all other competitions. ▪The LOC may not charge any entry or participation fee or any other charge for any service or facility provided to any member of an NPC delegation or any other accredited individuals/ groups during the competition. ▪The LOC must provide details on the likely impact of local and international taxation for WPIH, NPC delegations and other accredited persons. The BA must include in the bid application a preliminary operating budget (revenues and expenses) related to the organisational arrangements for the competition. This budget must be in EUR (using OANDA to calculate the exchange rate) and follow the structure set out in Appendix B. Other services and requirements Further details of the classification services to be provided at the competition will be set out in the hosting agreement and the above documents. Plan and implement accreditation services. ▪Plan and implement accreditation ser- vices. ▪Provide a laundry service for all teams, including referees/linesmen. ▪Provide per diems for all WPIH inter- national technical officials as defined in the World Para Ice Hockey Technical Requirements. ▪Implement all the technological servic- es necessary for the event. ▪Adhere to the brand and protocol re- quirements as determined by WPIH. World Para Ice Hockey 17 Bid package for World Para Ice Hockey Competitions Classification If international classification is to take place at the competition, LOC must meet all the costs and provide all facilities associated with classification. LOC must adhere to the terms of the WPIH Requirements for Hosting International Classification so that athlete evaluation can be carried out in accordance with the WPIH Classification Rules and Regulations and the IPC Classification Code. Page 112 of 119 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 12.1 Meeting Date May 18, 2026 Prepared By Lori Stich, Finance Manager Item Description April Financial Reports Reviewed by Lori Stich Joe Stremcha Cal Portner Justin Dunford Action Requested Information only Background/Discussion This report provides summary information regarding the overall level of revenues and expenditures in the General Fund, the Multipurpose Facility Special Revenue Fund, and the Enterprise Funds. These funds provide an important picture of the city’s financial health. For March, actual revenues (excluding property taxes and transfers-in) and expenditures should run about 33% of the annual budget. It is natural for some items to vary from month to month, such as exceeding budget for Supplies but being below budget for services. This is not considered serious as long as the total expenditure budget amount is not overspent. Significant variances from budget are highlighted below, accompanied by a general discussion of the variance. General Fund Revenues: ▪ Property taxes, our largest revenue source, are received in July and December. ▪ License & permit collections are 31% of budget estimates, consisting primarily of building-related permits, liquor licenses, and rental licenses. ▪ Charges for services are about 45% of estimates, with plan check fees and recreation fees making up the majority of April collections. ▪ Transfers-in consist of ERMU’s 5% March monthly electric revenues. The remaining transfers-in will be recorded mid-year. Page 113 of 119 Expenditures: ▪ Total departmental expenditures are about 30% of budget. Most departments are within or below budget estimates. FTCenter Through the end of April, revenues of $931,206 exceeded expenditures of $682,254 by $248,952. The majority of April collections consist of ice and facility rentals, while expenditures are primarily attributable to personal services, utilities, and field house improvements. Financial Impact N/A Mission/Policy/Goal Responsible for every dollar - good stewards Attachments 1. April Financial Reports Page 114 of 119 General Fund As of:4/30/2026 33.00%OF YEAR COMPLETED REVENUES Budget YTD Actual % of budget Budget Balance Taxes 101-3-0000-3111 Current Ad Valorem Taxes 16,864,450.00 (1,487.02)-0.01%16,865,937.02 101-3-0000-3112 Delinquent Ad Valorem Taxes 0.00 636.93 0.00%(636.93) 101-3-0000-3121 Gravel Tax 220,000.00 0.00 0.00%220,000.00 101-3-0000-3131 Penalties/Interest 0.00 850.09 0.00%(850.09) Total Taxes 17,084,450.00 0.00 0.00%17,084,450.00 Licenses & Permits 101-3-0000-3211 Liquor License 85,000.00 25,285.00 29.75%59,715.00 101-3-0000-3212 THC License 5,000.00 4,400.00 88.00%600.00 101-3-0000-3213 Cigarette License 4,000.00 450.00 11.25%3,550.00 101-3-0000-3214 Rental License 65,000.00 13,490.00 20.75%51,510.00 101-3-0000-3216 Mining License 27,000.00 0.00 0.00%27,000.00 101-3-0000-3217 Garbage Hauler License 2,500.00 0.00 0.00%2,500.00 101-3-0000-3218 Other Business License/Permit 18,000.00 5,660.00 31.44%12,340.00 101-3-0000-3229 NPDES Permit 17,000.00 8,400.00 49.41%8,600.00 101-3-0000-3231 Building Permit 550,000.00 171,314.17 31.15%378,685.83 101-3-0000-3232 Plumbing/Heating Permit 180,000.00 63,762.36 35.42%116,237.64 101-3-0000-3233 Permit Surcharge 700.00 3,595.92 513.70%(2,895.92) 101-3-0000-3235 Animal License 500.00 250.00 0.00%250.00 101-3-0000-3237 Other Non-Business Lic/Permit 30,000.00 6,096.00 20.32%23,904.00 Total Licenses & Permits 984,700.00 302,703.45 30.74%681,996.55 Intergovernmental Revenue 101-3-0000-3322 MV Credit 6,000.00 0.00 0.00%6,000.00 101-3-0000-3323 Fire State Aid 300,000.00 1,000.00 0.33%299,000.00 101-3-0000-3325 Police 2% Aid 425,000.00 0.00 0.00%425,000.00 101-3-0000-3326 Police Training Reimb 35,000.00 0.00 0.00%35,000.00 101-3-0000-3329 State Crime Prevention Grant 50,000.00 22,096.35 44.19%27,903.65 101-3-0000-3330 Other State Grants 0.00 960.00 0.00%(960.00) Total Intergovernmental Revenue 816,000.00 24,056.35 2.95%791,943.65 Charges for Services 101-3-0000-3412 Planning & Zoning Fees 25,000.00 8,390.00 33.56%16,610.00 101-3-0000-3413 Plan Check Fee 230,000.00 67,809.13 29.48%162,190.87 101-3-0000-3415 Special Assessment Search 500.00 30.00 6.00%470.00 101-3-0000-3417 Copies 1,500.00 620.10 41.34%879.90 101-3-0000-3418 Other General Govt Services 0.00 0.00 0.00%0.00 101-3-0000-3430 Lockout Fees 3,000.00 740.00 24.67%2,260.00 101-3-0000-3431 Police Services 50,000.00 3,483.86 6.97%46,516.14 101-3-0000-3432 School Liaison 200,000.00 94,942.50 47.47%105,057.50 101-3-0000-3434 Animal Impound Fee 500.00 250.00 50.00%250.00 101-3-0000-3436 Fire Contracts 480,050.00 267,998.65 55.83%212,051.35 101-3-0000-3437 Fire Services 5,000.00 0.00 0.00%5,000.00 101-3-0000-3438 Fire Inspections 0.00 0.00 0.00%0.00 101-3-0000-3451 Street Services 35,000.00 3,806.25 10.88%31,193.75 101-3-0000-3452 Engineering Services Reimb 20,000.00 0.00 0.00%20,000.00 101-3-0000-3461 Recreation Fees 52,500.00 47,310.00 90.11%5,190.00 101-3-0000-3462 Sr Center Activities 55,500.00 19,111.62 34.44%36,388.38 101-3-0000-3463 Farmer's Market 15,000.00 17,134.00 114.23%(2,134.00) 101-3-0000-3469 Elk RiverFest 15,000.00 3,600.00 24.00%11,400.00 Page 115 of 119 101-3-0000-3472 Park Use Fee 77,000.00 35,294.48 45.84%41,705.52 101-3-0000-3475 Building Rent 0.00 377.50 0.00%(377.50) 101-3-0000-3483 Sewer Inspection Fee 15,000.00 5,300.00 35.33%9,700.00 101-3-0000-3484 Contractor License Check 1,200.00 435.00 36.25%765.00 Total Charges for Services 1,281,750.00 576,633.09 44.99%705,116.91 Fines & Forfeits 101-3-0000-3510 Court Fines 170,000.00 32,172.55 18.93%137,827.45 Total Fines & Forfeits 170,000.00 32,172.55 18.93%137,827.45 Other Revenue 101-3-0000-3621 Interest Income 200,000.00 0.00 0.00%200,000.00 101-3-0000-3625 Refunds & Reimbursements 175,000.00 6,635.97 3.79%168,364.03 101-3-0000-3626 Contributions 27,000.00 27,000.00 100.00%0.00 101-3-0000-3629 Miscellaneous Revenue 12,000.00 1,381.80 11.52%10,618.20 Total Other Revenue 414,000.00 35,017.77 8.46%378,982.23 Transfers In 101-3-0000-3926 Transfer-Capital Outlay Reserv 89,000.00 0.00 0.00%89,000.00 101-3-0000-3942 Transfer-WWTS 187,200.00 0.00 0.00%187,200.00 101-3-0000-3943 Transfer-Liquor 850,000.00 0.00 0.00%850,000.00 101-3-0000-3944 Transfer-Garbage 62,400.00 0.00 0.00%62,400.00 101-3-0000-3945 Transfer-Utilities 1,500,000.00 468,595.10 31.24%1,031,404.90 101-3-0000-3946 Transfer-Stormwater 130,000.00 0.00 0.00%130,000.00 101-3-0000-3948 Transfer-EDA 49,900.00 0.00 0.00%49,900.00 101-3-0000-3949 Transfer-HRA 40,550.00 0.00 0.00%40,550.00 Total Transfers In 2,909,050.00 468,744.17 16.11%2,440,305.83 TOTAL GENERAL FUND REVENUES 23,659,950.00 1,439,327.38 6.08%22,220,622.62 Page 116 of 119 General Fund As of:4/30/2026 33.00%OF YEAR COMPLETED EXPENDITURE SUMMARY Budget YTD Actual % of budget Budget Balance General Government City Council 243,150.00 75,425.90 31.02%167,724.10 Communications 554,850.00 161,718.67 29.15%393,131.33 Administrative Services 722,950.00 214,549.66 29.68%508,400.34 Human Resources 471,650.00 155,330.49 32.93%316,319.51 Elections 53,550.00 6,457.00 12.06%47,093.00 Finance 1,040,450.00 302,110.61 29.04%738,339.39 Information Technology 846,850.00 266,264.74 31.44%580,585.26 Legal 340,000.00 77,819.59 22.89%262,180.41 Community Development / Planning 516,950.00 180,298.71 34.88%336,651.29 Building Maintenance 1,165,950.00 335,050.91 28.74%830,899.09 Total General Government 5,956,350.00 1,775,026.28 29.80%4,181,323.72 Public Safety Police Administration 1,419,850.00 547,492.14 38.56%872,357.86 Patrol 4,299,800.00 1,240,962.05 28.86%3,058,837.95 Investigations 1,633,050.00 493,837.10 30.24%1,139,212.90 Police Support Services 1,038,050.00 293,481.63 28.27%744,568.37 Police Reserves 15,250.00 3,327.85 21.82%11,922.15 Public Safety Building 229,300.00 46,817.75 20.42%182,482.25 Fire Administration 1,533,000.00 321,566.12 20.98%1,211,433.88 Fire Operations 646,300.00 197,994.00 30.63%448,306.00 Emergency Management 34,250.00 8,299.06 24.23%25,950.94 Building Safety 614,200.00 174,635.59 28.43%437,314.41 Code Enforcement 142,150.00 41,973.05 29.53%100,176.95 Environmental 77,050.00 20,933.80 27.17%56,116.20 Total Public Safety 11,682,250.00 3,391,320.14 29.03%8,288,679.86 Public Works Street Maintenance 1,885,900.00 532,397.46 28.23%1,353,502.54 Snow Removal 398,200.00 272,006.41 68.31%126,193.59 Equipment Services 465,400.00 137,494.38 29.54%327,905.62 Engineering 411,300.00 116,847.39 28.41%294,452.61 Total Public Works 3,160,800.00 1,058,745.64 33.50%2,102,054.36 Culture & Recreation Parks Department 1,779,650.00 445,368.22 25.03%1,334,281.78 Parks & Rec Admin 586,900.00 173,602.71 29.58%413,297.29 Recreation Programs 147,750.00 36,179.25 24.49%111,570.75 Farmers Market 73,800.00 17,246.16 23.37%56,553.84 Sr Citizen Programs 272,450.00 73,737.98 27.06%198,712.02 Total Culture & Recreation 2,860,550.00 746,134.32 26.08%2,114,415.68 Economic Development Economic Development 0.00 24,047.38 0.00%(24,047.38) Energy City 0.00 0.00 0.00%0.00 Total Economic Development 0.00 24,047.38 0.00%(24,047.38) TOTAL GENERAL FUND EXPENDITURES 23,659,950.00 6,995,273.76 29.57%16,662,426.24 REVENUES OVER/(UNDER) EXPENDITURES 0.00 (5,555,946.38)5,558,196.38 Page 117 of 119 Current Budget Year to Date Actual % of Budget Revenues: Ice Rental $990,000 $452,413 45.70% Admissions 10,000 7,556 75.56% Dry Floor Events/Craft Shows 0 0 0.00% Facility Rental 313,300 146,829 46.87% Advertising/Naming Rights/Sponsorships 212,500 38,983 18.34% Recreation fees (Skating/Hockey)160,000 70,245 43.90% Concessions/catering/vending 470,000 204,927 43.60% Other Revenues (interest, etc.)20,050 10,252 51.13% Total Revenues $2,175,850 $931,206 42.80% Operating expenses: Personal services $1,006,450 $343,279 34.11% Supplies 273,900 100,209 36.59% Other services & charges 661,250 174,522 26.39% Capital Outlay 153,150 56,543 36.92% Transfers Out 0 7,700 0.00% Total Expenditures $2,094,750 $682,254 32.57% Revenues over/(under) expenditures $81,100 $248,952 CITY OF ELK RIVER FTCENTER - BUDGET TO ACTUAL MONTH ENDED APRIL 30, 2026 Budget, $2,175,850 Budget, $2,094,750 Actual $931,206 Actual $682,254 $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 Total Revenues Total Expenditures FTCenter April 2026 Page 118 of 119 Current Budget Year to Date Actual % of Budget Current Budget Year to Date Actual % of Budget Current Budget Year to Date Actual % of Budget Current Budget Year to Date Actual % of Budget Sales and cost of sales: Sales 8,845,000$ 2,551,484$ 28.85% Cost of sales (6,344,000) (1,537,217) 24.23% Gross profit 2,501,000 1,014,266 40.55% Operating revenues: User charges - - - 2,868,500$ 758,188$ 26.43%2,132,000$ 521,551$ 24.46%680,500$ 175,061$ 25.73% Delinquency collections - - - - - - - - - - - - Other 5,400 1,450 26.85%200,000 46,768 23.38%- - - - - - Total operating revenues 5,400 1,450 26.85%3,068,500 804,955 26.23%2,132,000 521,551 24.46%680,500 175,061 25.73% Operating expenses: Personal services 1,395,350 378,360 27.12%928,650 269,340 29.00%29,400 8,508 28.94%- - - Supplies 40,000 5,948 14.87%329,000 75,607 22.98%2,000 - 0.00%1,000 - 0.00% Other service charges 708,100 126,585 17.88%992,750 359,327 36.20%1,923,400 460,464 23.94%67,100 5,546 8.26% Depreciation *60,000 - 0.00%1,710,000 - 0.00%- - - 500,000 - 0.00% Total operating expenses 2,203,450 510,893 23.19%3,960,400 704,274 17.78%1,954,800 468,972 23.99%568,100 5,546 0.98% Operating income (loss)302,950 504,824 166.64%(891,900) 100,681 -11.29%177,200 52,578 29.67%112,400 169,515 150.81% Nonoperating revenues (expenses): Interest income 75,000 - 0.00%130,000 - 0.00%15,000 - 0.00%35,000 - 0.00% Interest expense/agent fees - - - (72,200) (37,168) 51.48%- - - - - - Total nonoperating revenues (expenses)75,000 - 0.00%57,800 (37,168) -64.30%15,000 - 0.00%35,000 - 0.00% Income (loss) before contributions & transfers 377,950 504,824 133.57%(834,100) 63,514 -7.61%192,200 52,578 27.36%147,400 169,515 115.00% Contributions - connection fees - - - 1,000,000 423,882 42.39%- - - - - - Sale of assets - - 0.00%- 11,870 0.00%- - 0.00%- - 0.00% Transfers out (1,100,000) - 0.00%(187,200) (4,100) 2.19%62,400 - 0.00%(130,000) - 0.00% NET INCOME (LOSS)(722,050) 504,824 -69.92%(21,300) 495,166 -2324.72%254,600 52,578 20.65%17,400 169,515 974.23% Items reclassified to balance sheet at year end: Bond Proceeds - - Capital Outlay (130,000) - - (182,200) (220,000) - - - - (100,000) - - Bond Payment - - - (535,000) (535,000) - - - - - - - Revenues over/(under) expenditures (852,050) 504,824 (738,500) (259,834) 254,600 52,578 (82,600) 169,515 * Recorded at year-end CITY OF ELK RIVER ENTERPRISE FUNDS - BUDGET TO ACTUAL MONTH ENDED APRIL 30, 2026 Liquor Sewer Garbage Stormwater Page 119 of 119