07-27-2026 Budget CCM
Meeting of the City Council
Held at the Elk River City Hall
Monday, July 27, 2026
Members Present: Mayor John Dietz, Councilmember Cory Grupa, Councilmember J. Brian Calva,
Councilmember Mike Beyer
Members Absent: Councilmember Jennifer Wagner
Staff Present: City Administrator Cal Portner, Business Services Director/Assistant City
Administrator Joe Stremcha, and City Clerk Justin Dunford.
Fire Chief Mark Dickinson, Police Chief David Kuhnly, Human Resources Manager
Lauren Wipper, Human Resources Specialist Mike Eitchen, Finance Manager Lori
Stich, IT Manager Seth Calvin, Police Captain Darren McKernan, Police Captain
Joe Gacke, Liquor Operation Manager Joe Audette, Liquor Store Manager Brenda
Gustafson, Liquor Store Manager Megan Knopik, and Parks & Recreation Manager
Jeff Shelby.
1. CALL MEETING TO ORDER
Pursuant to due call and notice thereof, the meeting was called to order at 03:58 PM.
2. PLEDGE OF ALLEGIANCE
The Pledge of Allegiance was recited.
3. PRESENTATIONS, AWARDS, AND RECOGNITION
3.1 Recognize Eric Balabon for 30 Years of Service
The City Council recognized Officer Balabon for his 30 years of service to Elk River and presented a
plaque to him.
3.2 Recognize Brian Boos for 28 Years of Service and Upcoming Retirement
The City Council recognized Officer Boos for his 28 years of service and congratulated him on his
upcoming retirement. He was presented with a plaque establishing Brian Boos Day.
4. WORK SESSION
4.1 2027 Budget
The budget discussion began with Human Resources. Staff report and budget overview were presented
by Human Resources Specialist Mike Eichten and Human Resources Manager Lauren Wipper. The
Council inquired about the new Family Medical Leave in Minnesota and its impact on the city. The IT
City Council Minutes
July 27, 2026
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staff report and budget overview were presented by IT Manager Seth Carlson. Next, the Liquor
Operations were presented by Liquor Operations Manager Joe Audette, with store managers Megan
Knopik and Brenda Gustafson present. Mr. Audette highlighted how the current YTD net profit
percentage has been impacted by additional credit card servicing fees. This will not impact the
profitability of the operation. The Senior Center staff report and budget overview were presented by
Parks & Recreation Manager Jeff Shelby. Mr. Shelby also presented the staff report and budget overview
for the Parks and Recreation Department. Chief Dave Kuhnly presented the Police Department's staff
report and budget overview, with Captain Joe Gacke and Captain Darren McKernan present. The City
Council asked the Police Department to work with Communications to explain increased costs to the
community. The council highlighted the large increase in the budget that the Police Department is
asking for. Chief Kuhnly explained that the budget increases were due to the attrition plan for retiring
officers, capital outlay needs, and other rising staff costs. The council expressed that staff need to
ensure we are prepared to explain all budget elements to the public. Next, the Fire Department staff
report and budget overview were presented by Chief Mark Dickinson and Deputy Chief John Kreuser.
The FT Center staff report and budget overview were presented by Assistant City Administrator Joe
Stremcha. The City Council, Communications, Administration, and Elections staff reports and budget
overviews were presented by City Clerk Justin Dunford. The council discussed with Mr. Dunford the
difficult nature of communications in the social media age and how best to ensure facts break through
the noise of the digital age. Lastly, the Finance Division staff report and budget overview were
presented by Finance Manager Lori Stitch.
Mayor Dietz presented budget proposals for how to bring down the preliminary levy. The Mayor
expressed his desire to see the General Fund increase to be around 6% and the levy increase to be
around 5%. Staff will review and bring findings back to the council.
5. MOTION TO ADJOURN
Moved by Councilmember Grupa and seconded by Councilmember Calva to adjourn the
meeting of City Council. Motion 4-0.
The meeting adjourned at 5:45 p.m.
Minutes prepared by Justin Dunford.
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John J. Dietz, Mayor
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Justin Dunford, City Clerk