08-03-2026 CCM
Meeting of the City Council
Held at the Elk River City Hall
Monday, August 3, 2026
Members Present: Mayor John Dietz, Councilmember Cory Grupa, Councilmember J. Brian Calva,
Councilmember Mike Beyer, Councilmember Jennifer Wagner
Members Absent: None
Staff Present: City Administrator Cal Portner, Community Development Director Zack Carlton,
and Deputy Clerk Jolene Richter
1. CALL MEETING TO ORDER
Pursuant to due call and notice thereof, the meeting was called to order at 6:30 p.m.
2. PLEDGE OF ALLEGIANCE
The Pledge of Allegiance was recited.
3. CONSIDER AGENDA
Mayor Dietz added Item 6.2 Volunteer of the Year.
Moved by Councilmember Wagner and seconded by Councilmember Beyer to approve
the agenda as amended. 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 June 15, 2026, City Council Meeting Minutes
4.2 July 6, 2026, City Council Meeting Minutes
4.3 July 13, 2026, Special Budget Minutes
4.4 Check Register
4.5 Athletic Facilities Framework Plan - Phase 1 and 2 Amendment
4.6 Agreement 26-23: Temporary Fire Inspection Services Contract
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4.7 Severance Agreement and Waiver of Claims
4.8 2026 City Council Goals
4.9 2026 City Mission and Vision Statement Update
4.10 Interim Fire Chief Pay
5. OPEN FORUM
No one appeared for open forum.
6. PRESENTATIONS, AWARDS, AND RECOGNITION
6.1 Heritage Preservation Commission Candidate Interview
The Council interviewed Sam Carley.
Moved by Councilmember Calva and seconded by Councilmember Grupa to appoint Sam
Carley to the Heritage Preservation Commission with a term ending 2/28/27. Motion
carried 5-0.
6.2 Volunteer of the Year
Mayor Dietz presented the Volunteer of the Year award to Katie (Harstad) Talbott. He highlighted the
following:
▪ Served more than six years on the Elk River Chamber of Commerce Gala committee
▪ Completed the Elk River Chamber of Commerce Leadership program
▪ Named Elk River Chamber of Commerce Young Professional of the Year, 2022
▪ Active in the Otsego Lions Club in charitable and community-focused efforts
▪ Involved in ISD 728 Career and Technical Education program, volunteering for career-readiness
events, participating in mock interviews, hosting student interns, and helping connect students to
real-world experiences and opportunities
▪ Generously supports youth activities and community events, including athletics, dance activities,
and local initiatives
▪ Recognized by Elk River Rotary as a Paul Harris Fellow, one of Rotary's highest honors
7. PUBLIC HEARINGS
7.1 Conditional Use Permit: Municipal Liquor Store, City of Elk River - 19417 Evans St NW
The staff report was presented.
Mayor Dietz opened the public hearing.
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Marty Benson,19383 Dodge St NW, had questions regarding the old and new liquor stores. He
wondered what would happen to the old store. Mayor Dietz explained that when the new liquor store
is built and operating, the old store will be for sale. Mr. Benson asked how the new store will be
funded. Mayor Dietz explained that they will sell municipal bonds with payments from the Municipal
Liquor Store Fund. Mr. Benson asked if they had any idea of what the old site of the liquor store will
become. Mayor Dietz stated that they do not know at this point; however, it will be something
commercial.
Mayor Dietz closed the public hearing.
Moved by Councilmember Grupa and seconded by Councilmember Wagner to approve
the Conditional Use Permit adding liquor establishments, off-sale (municipally owned) as an
allowed use in the Hillside Crossing PUD, and approving a municipally owned liquor store
at 19417 Evans St. NW. Motion carried 5-0.
7.2 Conditional Use Permit: Data Center, Michael Margulies - 19178 Industrial Blvd NW
The staff report was presented. No action was needed.
8. GENERAL BUSINESS
8.1 Ordinance 26-17: Data Center Moratorium
The staff report was presented.
Mayor Dietz asked if the moratorium had to be in effect for a certain amount of time before it could be
terminated. Mr. Carlton explained that it does not and stated that if the Council decided to end the
moratorium at any time within the year, they could vote to do that.
Moved by Councilmember Wagner and seconded by Councilmember Calva to adopt
Ordinance 26-17 establishing a one-year moratorium on the review, approval, and
development of data centers in the City of Elk River. Motion carried 5-0.
8.2 Discuss Work Session Items
There were no work session items added.
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 REGULAR MEETING
Moved by Councilmember Beyer and seconded by Councilmember Grupa to adjourn the
regular meeting of the City Council. Motion carried 5-0.
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The regular meeting adjourned at 6:52 p.m. Mayor Dietz called the work session to order at 6:52 p.m.
11. WORK SESSION
11.1 Administration Offices and Cubicles
The staff report was presented.
Mr. Portner explained that it would be funded from the Building Reserve Fund and would not come out
of the budget.
Mayor Dietz asked about the communications equipment. Mr. Portner explained the equipment would
stay where it is and explained that the rest of the work that they do can be done at their desktops.
Councilmember Wagner asked if there was an opportunity to repurpose any of the other cubicles. Mr.
Portner explained that the supply has diminished from other remodels.
The Council agreed to have staff move forward with the addition of the two cubicles in City Hall.
11.2 Home Occupations and Cottage Food Producers
The staff report was presented.
Mayor Dietz confirmed that there are 73 licensed food vendors in the area. Mr. Carlton explained that
there are that many, but not necessarily all would be selling from their homes; most would be selling at
places like farmers' markets.
Councilmember Calva asked why it is not allowed and what is the downside of selling out of the home.
Mr. Carlton explained that retail sales in general are not allowed, and it has the potential to turn
residential properties into commercial. However, he continued to explain that cottage food would have
a limited scope and therefore would not be a full industry outside of a garage.
Mr. Carlton also explained that the exemption would be specific to the cottage food industry and any
other retail would not be allowed.
The Council agreed to move forward with allowing cottage food producers as a home occupation.
12. MOTION TO ADJOURN
Moved by Councilmember Calva and seconded by Councilmember Grupa to adjourn the
meeting of the City Council. Motion carried 5-0.
The meeting adjourned at 7:09 p.m.
Minutes prepared by Jolene Richter.
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__________________
John J. Dietz, Mayor
_______________________
Justin Dunford, City Clerk