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September 21, 2026, City Council Packet Monday, September 21, 2026 City Council 6:00 PM or immediately following the EDA meeting Regular Meeting (whichever is later) & Elk River City Hall Work Session Agenda 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. 4.1Check Register 4.2Investment Advisory Agreement 26-30 4.3Hire Police Officer 4.4LEAST Services/Counseling LLC Agreement 26-31 Renewal 4.5Separation Agreement and Release-Wipper 4.6Separation Agreement and Release-Beadles 4.7Hire Waste Water Treatment Operator 4.82027 Flexible Benefits Plan 4.9TextMyGov Agreement 26-32 4.10Resolution 26-60: Approving a TIF 30 Interfund Loan 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 6.1City of Elk River Volunteer of the Month 6.2Proclamation: Constitution Week 6.3Parks and Recreation Commission Candidate Interviews 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. 7.1Ordinance 26-18 and Interim Use Permit: Educational Institutions in the MU-ERP District, Good Shepherd Lutheran High School - 630 Freeport Ave NW 7.2Resolution 26-61: Lot Split Subdivision, Colleen Solors - 21538 Brook Rd NW 7.3Ordinance 26-19: Amend the Zoning for Certain Parcels from I-1 (Light Industrial) to C-1 (Central Business District) - City of Elk River 7.4Ordinance 26-20: Amend the Ordinance to Allow Cottage Food Sales as a Permitted Residential Occupation 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. 8.1PT Complex Playground Netting 8.2Resolution 26-62: Approve Orono Lake Improvement District 2027 Budget 8.3Parks and Recreation Commission Appointment 8.4Set Budget Meeting Date and Adopt Resolution 26-63 Preliminary 2027 Tax Levy 8.5EDA Resolution 26-64 and HRA Resolution 26-65 - 2027 Budget and Tax Levy 8.6County Road 44 Joint Powers Agreement 26-33 and Cost Share with Sherburne County 8.7Approve Bids for the TH 10 and 165th Avenue Intersection Improvement Project 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. 10.1Police Captain Incentivized Early Retirement 10.2Council Pay Review 11.MOTION TO ADJOURN 12.INFORMATION The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity 12.1August Financial Reports 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 ToItem Number City Council4.1 Meeting DatePrepared By September 21, 2026Amy Stangler, Accounting Clerk Item DescriptionReviewed by Check RegisterLori Stich Joe Stremcha Cal Portner Justin Dunford Action Requested Approve, by motion, the check register for the period ending September 21, 2026. Background/Discussion The total of claims for the period ending September 21, 2026, is $911,672.35. The claims listing has been provided to the City Council and is available for public view at City Hall. Financial Impact N/A Mission/Policy/Goal N/A Attachments 1.4.2 at1 Check Register 2.4.2 at2 Check Register The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Request for Action ToItem Number City Council4.2 Meeting DatePrepared By September 21, 2026Joe Stremcha, Business Services Director/Assistant City Administrator Item DescriptionReviewed by Investment Advisory Agreement 26-30Lori Stich Cal Portner Justin Dunford Action Requested Approve, by motion, the investment advisory Agreement 26-30 with Ehlers as presented. Background/Discussion The proceeds from the $7,460,000 bond sale can be invested over the next 12 months in CDs, securities, and other finance mechanisms as the project draws down the fund balance based on our planned pay schedule. Financial Impact Ehlers will manage the bond portfolio to layer the investments in accordance with our new construction expenditure pay schedule. Mission/Policy/Goal Responsible for every dollar - good stewards. Attachments 1.Ehlers Investments IAA - City of Elk River_DRAFT The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. INVESTMENT ADVISORY AGREEMENT This Investment Advisory Agreement (“Agreement”) is entered into as of ____________(“Effective Date”) between City of Elk River (“Client”) and Ehlers Investment Partners, LLC Adviser”). 1.Appointment of Adviser. As of the Effective Date, the Client appoints the Adviser to provide investment advisory services for the Program Account, and Adviser accepts that appointment. This Agreement will continue until terminated by either party on thirty (30) days’ written notice. 2.Program Account. The Client’s assets will be held in one or more accounts (together, the “Program Account”) and will consist of investments permitted by Client, including under the Client’s Investment Policy Statement (“IPS”). The Client may add or withdraw funds from the Program Account at any time. The Client will attempt to inform Adviser of its cash flow needs and will attempt to give Adviser at least three (3) business days’ written notice before withdrawing funds. Adviser will make reasonable efforts to process withdrawals on a shorter timeline if assets can be liquidated in time. The Client will provide Adviser with a written list of individuals authorized to act on the Client’s behalf and will give prior written notice of any changes to that list. 3.Services To Be Provided. a.The Adviser shall supervise and direct the investments of and for the Program Account, subject to the policies, objectives, limitations and restrictions in Client’s IPS. Client shall promptly notify Adviser of any change in its IPS or any other information material to Adviser’s management of the Program Account. Adviser may rely on Client-provided IPS and other information unless Adviser has reason to know it is inaccurate. b.Assets not accepted by Adviser for ongoing supervision are outside the scope of this Agreement. Adviser will not monitor or make recommendations regarding any unmanaged account or external asset and assumes no liability with respect to them. c.Unless separately agreed in writing, Adviser does not provide legal, tax, audit, bookkeeping, or general administrative services under this Agreement. 4.Discretionary or Non-Discretionary Authority. Subject to applicable law and Client’s IPS, Client designates the level of authority granted to Adviser for the Program Account as follows: Discretionary Authority. Adviser shall have full authority to buy, sell, or otherwise effect investment transactions involving the Program Assets in the Program Account in accordance with Client’s IPS and other information provided by Client to Adviser regarding Client’s objectives, liquidity needs, restrictions and financial circumstances. Client may, at any time, request reasonable restrictions in writing, which Adviser may accept in its sole discretion. Non-Discretionary Authority. Adviser shall provide investment recommendations based on Client’s IPS and other information provided by Client to Adviser regarding Client’s objectives, 1 liquidity needs, restrictions and financial circumstances but shall not effect any transaction without Client’s prior approval. Client acknowledges that the requirement for prior approval may result in delays in execution, including missed investment opportunities or differences in transaction pricing, and agrees that Adviser shall not be responsible for any resulting impact on performance or timing. Client acknowledges that the selected authority shall remain in effect unless and until modified in writing and accepted by Adviser. 5.Service To Other Clients. Client acknowledges and agrees that Adviser may provide investment advisory services to other clients and receive fees for such services. The advice given and the actions taken with respect to such other clients, or with respect to accounts owned or controlled by the Adviser or its representatives may differ from advice given or the timing and nature of actions taken with respect to Client’s account. Client recognizes that transactions in a specific security may not be accomplished for all of Adviser’s accounts at the same time or at the same price. Client acknowledges that in managing the Program Account, Adviser may purchase or sell securities in which Adviser or its representatives have or may acquire, directly or indirectly, a position or interest. Additional information regarding Adviser’s affiliations and conflicts of interest is described in Adviser’s Form ADV Part 2A. 6.Custodian and Program Account. To participate in the Program Account, Client assets must be maintained in account(s) under Client’s name (the “Program Account”) with one or more qualified custodians (collectively, if more than one, the “Custodian”). The Program Account with the Custodian will be subject to separate agreements between Client and the Custodian, and Client will be solely responsible for negotiating the terms of such agreements. The Program Account will bear the fees and expenses of the Custodian and of transactions for the Program Account assets, according to the Client’s agreement with the Custodian. These costs will be separate from and in addition to the advisory fees paid by Client under this Agreement. Client authorizes the Custodian to make available copies of its statements and confirmations of transactions to Adviser, along with an indication that the statements have been sent to Client, and to permit Adviser to electronically view and download Program Account information. Client grants Adviser unrestricted access to Client account information. Except for the settlement of authorized transactions and the deduction of authorized advisory fees, Adviser is not authorized to withdraw or transfer Client assets from the Program Account unless separately authorized in writing by Client and permitted by law. Client should carefully review statements received from Custodian and compare them to any statements provided by Adviser. 7.Brokerage and Aggregated Transactions. Client agrees that Adviser has full authority and discretion to choose the brokers, dealers, or counterparties that will execute transactions for the Program Account. In making these selections and placing orders, Adviser will seek to obtain “best execution,” consistent with the standards described in its Form ADV Part 2A. Client further understands that Adviser may combine the Client’s trades with those of other clients when appropriate, provided that the aggregated trades are consistent with the Client’s investment guidelines, benefit the Client, and are carried out in accordance with Adviser’s policies as outlined in its Form ADV Part 2A. 2 8.Advisory Fees. For the term of this Agreement, Client agrees to pay or cause to be paid in arrears, the advisory fees calculated according to the attached Schedule of Fees (Exhibit A) (hereafter, “Advisory Fees”). Advisory Fees are calculated and payable monthly in arrears according to the Schedule of Fees as attached hereto or subsequently amended, based on the Daily Net Assets defined to include the market value of securities, accrued interest and cash or any money market fund balance of Program Account Assets. Fees are automatically deducted from Client’s account(s) or invoiced th directly. Adviser will provide to Client an invoice for fees owed no later than the 10 business day of each month for services billed for the previous month (or as of the last day of the term of this Agreement). Custodian is authorized and directed to deduct the Advisory Fees directly from the Program Account and pay the Advisory Fees to Adviser when due, according to Adviser’s instructions, without prior notice to or further consent from Client. Client agrees to provide Custodian with such additional documentation as Adviser or Custodian requests authorizing and directing the Custodian to deduct the Advisory Fees from the Program Account and to pay the Advisory Fees to Adviser when due. Client authorizes Adviser to manage the Program Account to provide that sufficient cash will be available in the Program Account to pay the Advisory Fees. If insufficient cash is available, Client authorizes Adviser, to the extent permitted by law and the authority granted under this Agreement, to liquidate assets or otherwise arrange for payment of Advisory Fees. In the event of the Program Account cancellation, the final fee shall be prorated. 9.Expenses. Client is responsible for all of its own costs and expenses. These include, without limitation, custodial fees, brokerage/transaction costs, taxes, legal/audit expenses, fund expenses, and similar third-party charges. 10.Voting of Proxies and Corporate Actions. Adviser does not provide proxy voting services and is not responsible for voting proxies or taking action with respect to voluntary corporate actions, legal proceedings, bankruptcies, class actions, or similar matters relating to securities in the Program Account. 11.Assignment; Successors and Assigns. This Agreement is binding upon and will inure to the benefit of the parties and their respective successors and permitted assigns. Except as provided below, neither party may assign this Agreement without the prior written consent of the other party, and any assignment not made in accordance with this Section is void. Adviser may assign this Agreement, or delegate functions in connection with servicing the account, to (i) any entity that controls, is controlled by, or is under common control with Adviser, or (ii) any successor entity in connection with a merger, consolidation, reorganization, or sale of substantially all of Adviser’s assets, provided that such entity is duly registered (or exempt from registration) under applicable law. If client consent is required under applicable law for any such assignment, Adviser will provide prior written notice to Client. Client will be deemed to have consented unless Client objects in writing within thirty (30) days after the date of such notice. 12.Receipt of Documents. Client acknowledges receipt of Adviser’s current Form ADV Part 2A brochure, applicable brochure supplement(s), and privacy notice. 3 13.Representations and Warranties. The person signing on behalf of Client represents that he or she is duly authorized to execute this Agreement on Client’s behalf and that this Agreement is binding on Client in accordance with its terms. Client will promptly notify Adviser of any material change in such authority. 14.Scope of Liability and Indemnification. a. Client acknowledges that the Adviser’s duties under this Agreement are governed by applicable federal and state law, including the Investment Advisers Act of 1940 (the “Advisers Act”). Subject to those laws, the Adviser will perform its services with the degree of care required of a prudent investment professional under comparable circumstances. No higher standard shall apply unless expressly imposed by applicable law. Nothing in this Agreement shall be construed to waive or limit any non-waivable rights of the Client under federal or state securities laws. The Adviser shall have no duty, responsibility, or liability whatsoever with respect to any assets of the Client other than the assets maintained in the Program Account. Client understands and accepts that all investments involve market, economic, political, business, and other risks, and that Client, not Adviser, bears all such risks. Adviser may rely on information and instructions reasonably believed to be genuine and authorized and is not responsible for consequences of inaccurate or untimely information provided by Client, except as prohibited by law. b.To the fullest extent permitted by applicable law, the Adviser shall not be responsible for any loss, liability, claim, damage, or expense arising out of or relating to any act or omission of any third party—including, without limitation, the Client; any broker, dealer, bank, custodian; or any other agent or representative of the Client—except to the limited extent that such loss is determined to have resulted directly from the Adviser’s own violation of applicable law. Client acknowledges that certain federal and state securities laws may impose non-waivable liabilities on persons acting in good faith; accordingly, nothing in this Section 14 shall be interpreted to waive or limit any of Client’s rights that cannot legally be waived. 15.Arbitration. Any dispute, claim, or controversy arising out of or relating to this Agreement, or the breach thereof, shall be resolved by binding arbitration administered by the American Arbitration Association in accordance with its Commercial Arbitration Rules. The arbitration shall be conducted before a single arbitrator in Hennepin County, Minnesota, and judgment on the award may be entered in any court having jurisdiction. Each party shall bear its own attorneys’ fees and costs, except as otherwise required by law or awarded by the arbitrator. 16.Governing Law. This Agreement and all the terms herein shall be construed and governed according to the laws of the State of Minnesota, without giving effect to principles of conflict of laws, provided that there is no inconsistency with federal laws. 17.Force Majeure. Neither party will be liable for any delay or failure to perform its obligations under this Agreement, other than payment obligations, to the extent caused by events beyond its reasonable control, including natural disasters, war, terrorism, civil unrest, labor disputes, utility or communications failures, governmental actions, or similar events. The affected party will use 4 commercially reasonable efforts to resume performance promptly and will notify the other party as reasonably practicable. Adviser is not responsible for losses, delays, or failures resulting from force majeure events affecting custodians, market infrastructure, communications systems, or other third- party service providers on which Adviser reasonably relies. 18.No Partnership or Joint Venture. Nothing in this Agreement shall create or be construed to create any partnership, joint venture, or similar relationship between the Client and Adviser, or between the Client and any affiliates or other clients of Adviser. 19.Consent to Electronic Delivery. Client hereby consents to the electronic delivery of all communications, disclosures, reports, agreements, account documents, and other information (collectively, “Documents”) that Adviser is required or elects to provide. Such Documents may be delivered via email, through a secure client portal, or by other electronic means made available by Adviser. Client may request paper copies of electronically delivered documents. Client acknowledges that electronic delivery may include, among other things, Form ADV Part 2A and 2B, privacy notices, account statements, trade confirmations, and amendments to this Agreement. Client further acknowledges that electronic delivery satisfies any legal requirement that such Documents be provided in writing. Client agrees to provide Adviser with a current email address and to promptly notify Adviser of any changes to such address or to Client’s ability to access electronic Documents. Client is responsible for maintaining appropriate hardware, software, and internet access necessary to receive and retain electronic communications. Client understands that Documents delivered electronically may not be encrypted and may carry certain risks, including interception or unauthorized access, and accepts such risks to the extent permitted by applicable law. 20.Amendment. Adviser may amend this Agreement at any time by modifying or rescinding any provision or by adding a new provision. Adviser will notify Client of each modification. A modification will become effective unless Client provides Adviser with notice of Client’s intention to terminate the Agreement or otherwise objects to the modification in writing within 30 days. This Agreement will continue indefinitely unless terminated in writing as provided below. 21.Severability. The provisions of this Agreement shall be severable. If any part of this Agreement is found to be invalid or unenforceable by statute, rule, regulation, decision of a tribunal, or otherwise, such finding shall not affect the validity or enforceability of the remainder of this Agreement. 22.Entire Agreement. This Agreement, including Exhibit A, constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes prior understandings relating to that subject matter. 5 23.Notices. Notices under this Agreement must be in writing and delivered by mail, courier, email, or other agreed electronic means to the addresses set forth below or to any updated address provided by notice: To Client: To Adviser: City of Elk RiverEhlers Investment Partners, LLC 13065 Orono Parkway3001 Broadway St NE, Suite 320 Elk River, MN 55330 Minneapolis, MN 55413 Telephone: (763) 635-1000Telephone: 1-800-552-1171 6 SIGNATURE PAGE Person executing this Agreement on behalf of Client acknowledges they have received, read, and understand this Agreement and the Program. CLIENTADVISER City of Elk River Ehlers Investment Partners, LLC By:_________________________ By:_____________________ Name: Name: Ryan Miles Its: Its: Managing Director-Investments 8/28/2026 Date of Execution Date of Execution 7 EXHIBIT A TO INVESTMENT ADVISORY AGREEMENT SCHEDULE OF FEES Fee schedule for services related to Investment Advisory Agreement between Client and Ehlers Investment Partners, LLC (“Adviser”): Advisory Fees shall be incurred for all assets under the management of Adviser in the Program Account. The Advisory Fees cover the investment advisory services described in this Agreement and do not include third-party custodial, brokerage, fund, legal, audit, tax, or similar expenses. Advisory Fees will be charged according to the schedule below based on the Daily Net Assets, payable monthly. Assets Under Management (Daily Net Assets) Annualized Rate $0 - $15 million 0.12% Over $15 million up to $30 million 0.10% Over $30 million 0.09% Fees as described above apply to actual assets under management if/when investment plan(s) are implemented. Fees are calculated on a tiered basis, with each portion of assets billed at the applicable rate shown above. Unless direct invoicing is agreed to in writing, Advisory Fees are automatically deducted from Client’s account(s). The Adviser reserves the right to modify this Schedule upon 30 days’ written notice to the Client, with any such changes requiring written acknowledgment or consent in accordance with the Agreement. 8 Request for Action ToItem Number City Council4.3 Meeting DatePrepared By September 21, 2026Mike Eichten, Human Resources Manager Item DescriptionReviewed by Hire Police OfficerCal Portner Justin Dunford Action Requested Approve, by motion, the hiring of Jocelyn Eckstrom to the position of Police Officer effective September 21, 2026. Background/Discussion Jocelyn Eckstrom has been working for the city since August 2025 as a community service officer. In April 2026, she moved into the Cadet position as part of the ICPOET program. Ms. Eckstrom completed her law enforcement school and passed the Minnesota POST Board exam. This makes her eligible to work as a police officer. Ms. Eckstrom will fill a position left vacant since the end of July 2026. Ms. Eckstrom will start at pay step 2 of the LELS Local 231 contract. All pay and benefits will be consistent with city policy and the union contract. Financial Impact This is a budgeted position. Mission/Policy/Goal The Elk River Mission Attachments None The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Request for Action ToItem Number City Council4.4 Meeting DatePrepared By September 21, 2026Lindsay Brandner, Senior Administrative Assistant Item DescriptionReviewed by LEAST Services/Counseling LLC Agreement 26-31 David Kuhnly RenewalCal Portner Justin Dunford Action Requested Execute, by motion, an Agreement 26-31 renewal between the City of Elk River and LEAST Services/ Counseling LLC. Background/Discussion The current contract with LEAST Services/Counseling LLC expires on December 31, 2026, and requires a contract renewal. The Police Department has used LEAST for basic employee and officer counseling for several years and is happy with the services provided. The new contract will be for a term of one year, beginning January 1, 2027, and expiring on December 31, 2028. These services are already included in the proposed Police Department budget for 2027. Financial Impact Fees are listed in the agreement and are to be paid for by the Police Department budget. Mission/Policy/Goal Elk River Mission Attachments 1.2027-2028 LEAST Services Counseling Agreement Contract - Elk River Police Dept unsigned The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. PROFESSIONALSERVICESAGREEMENT WITHLEAST SERVICES/COUNSELING LLC Contract Number_______________ Contractor SSN or Federal ID Number 45-5313928 I.OPENING PARAGRAPH This Professional Services Agreement (“Agreement”) is made effective as of the 1st day of January 2027 by and between the City of Elk River (“ERPD”) and LEAST Services/Counseling LLC, a Minnesota limited liability company (“Contractor”) for services to be provided under the terms of this Agreement. II.RECITALS WHEREAS, Contractor is a Minnesota limited liability company focused on counseling services for incidents arising in ERPD; and WHEREAS, Contractor represents that it has the requisite skills to assist ERPD employees, officials, contractors, and agents and policy makers in providing psychological services including counseling, consultation, and training (“Professional Services”); and WHEREAS, ERPD supports that the provision of Contractor’s Professional Services promotes public health, safety, morals, and the general welfare; and WHEREAS, ERPD desires to engage the Professional Services of the Contractor, and the Contractor desires to assist the ERPD with its Professional Services; and WHEREAS, the parties wish to set forth in writing the terms and conditions of this Agreement. NOW,THEREFORE, in return for the mutual agreements set forth below, the parties agree as follows: AGREEMENT III.SCOPE OF AGREEMENT Contractor agrees to provide psychological services including counseling, consultation, and training to ERPD. Examples include: Provide confidential counseling services to ERPD employees seeking assistance for stress-related mental health issues that may affect work performance. Provide training to ERPD related to/and intended to promote the psychological and emotional health ofemployees. Respond, when requested and available, to incidents identified by ERPD supervisory personnel as critical incidents. 1 412724v5 MJM BR270-24 Confidential services will be provided at a location agreed upon by employee and Contractor. The Contractor shall provide the required personnel and related support services to effectively and efficiently provide its Professional Services. IV.COMPENSATION Counseling, Consultation, and Other General Work a.January 1, 2027, through December 31, 2028, Contractor shall be compensated at a rate of $170 per hour for counseling and other general work. b.ERPD staff are allowed four (4) counseling sessions per calendar year per critical incident or individual stressor, or as recommended by the clinician. 2.Mental Health Check-Ups January 1, 2027, through December 31, 2028, Contractor shall be compensated at a rate of $160 per hour for Mental Health Check-Ups. 3.Training $250 per hour per presenter for mental health-related training. Training preparation will be paid at $125 per hour. 4.Retainer Beginning January 1, 2027, Contractor will be compensated $180 month for contract retainer fee and for being available outside of normal business hours. This compensation is separate from any time spent responding to incidents where travel and crisis response is requested, or substantial time on the phone is requested. 5.Mileage then Drive Time a.Contractor travel shall be compensated at the current Federal IRS mileage rate. b.Contractor travel shall be compensated at a rate of $50 per hour. 6.Total Compensation The total compensation under this Agreement for Professional Services (including reimbursement expenses) shall not exceed $35,000 per 12-month period. Any expenses for supplies over $50.00 per month must be approved in advance by ERPD. Receipts shall be provided to ERPD for all expenses for which reimbursement is sought. Contractor shall be required to submit a monthly worktime report to ERPD by the 15th of each month. ERPD will honor no claim for services not specified in this Agreement. 7.Invoices and Payment Contractor shall submit monthly invoices to ERPD for services provided during the previous month. ERPD shall pay all undisputed invoices within thirty (30) days of receipt. Payment shall be made via the method(s) specified by the Contractor (e.g., credit card, electronic funds transfer). Failure to pay within this timeframe of undisputed invoices constitutes a material breach and may result in the immediate suspension or termination of 2 412724v5 MJM BR270-24 services by the Contractor. V.RECORDS Contractor shall maintain such records as are deemed necessary by ERPD to ensure that the Professional Services are provided as represented by Contractor. Contractor shall maintain the records in a manner that ensures confidentiality to service recipients; however, Contractor shall provide disclosure of identities to ERPD or a third party if so, required by law or regulation. All reports provided to the Contractor shall be securely maintained in locked file drawers or a locked room. VI.CONFIDENTIALITY It is mutually agreed that ERPD shall not request and Contractor and its Agents, Employees, or Sub-Contractors shall not release information obtained during individual and group Mental Health Check-Ups, Counseling, Critical Incident Stress Management sessions, or direct Peer Support or consultation, with the ERPD employees, outside public safety personnel, or others engaged in confidential sessions or counseling services with the Contractor or its’ Agents, Employees, or Sub-Contractors in accordance with HIPAA and the Minnesota Health Records Act, with the following exception: Contractor will provide ERPD the names and dates of service of ERPD staff as necessary to ensure completion of required Mental Health Check-Ups by ERPD staff, but only after a release of information has been signed by each individual staff person who receives services from Contractor for ERPD. VII.EFFECTIVE DATE AND TERMINATION DATE This Agreement shall be in full force and effect from January 1, 2027, through December 31, 2028, unless otherwise extended by ERPD or terminated earlier under Paragraph XVII, Cancellation. VIII.ENTIRE AGREEMENT The entire agreement of the parties is contained in this document, Exhibit A, and any addenda or amendments signed by the parties. This Agreement supersedes all oral agreements and negotiations between the parties relating to the subject matter of this Agreement. This Agreement is valid only when signed by both parties. IX.SUBSTITUTIONS AND ASSIGNMENTS Professional Services by Contractor will be performed by Contractor. Upon the prior written approval of ERPD, Contractor may substitute or assign the performance of the Professional Services. Said prior written approval must be evidenced by a written amendment of this Agreement signed by ERPD and Contractor. X.CONTRACT ADMINISTRATION All provisions of this Agreement shall be coordinated and administered by the persons identified in Paragraph XVIII, Notices. 3 412724v5 MJM BR270-24 XI.AMENDMENTS No amendments may be made to this Agreement after signing by the parties, except for extensions of time, increases in compensation, or increases or reduction of the Professional Services. All amendments shall be in writing, signed by ERPD and Contractor. XII.INDEPENDENT CONTRACTOR It is agreed that Contractor, its employees, officers, agents, and assignees, will act as an independent contractor and acquire no rights to tenure, workers’ compensation benefits, unemployment compensation benefits, medical and hospital benefits, sick and vacation leave, severance pay, pension benefits, or other rights or benefits offered to ERPD. XIII. CONTRACTOR’S INSURANCE Contractor shall maintain the insurance coverage as set forth in Exhibit A during the term of this Agreement. XIV.DATA PRACTICES Data and information provided to Contractor under this Agreement or through the provision of services for ERPD under this Agreement shall be administered in accordance with Minnesota Statutes, Chapter 13, and all data on individuals shall be maintained in accordance with all applicable laws, rules, and regulations. XV.DISCRIMINATION Contractor agrees not to discriminate in providing Professional Services under this Agreement based on race, color, sex, creed, national origin, disability, age, sexual orientation, status regarding public assistance, or religion. Violation of any this section may lead to immediate termination of this Agreement. XVI.APPLICABLE LAW The law of the State of Minnesota shall govern all interpretations of this Agreement, and the appropriate venue and jurisdiction for any litigation which may arise under the Agreement will be in and under those courts located within the State of Minnesota, regardless of the place of business, residence, or incorporation of Contractor. XVII.CANCELLATION This Agreement may be terminated by either party at any time with or without cause, upon thirty (30) days written notice. In that case, ERPD shall only pay on a pro rata basis for Professional Services rendered in accordance with this Agreement prior to the termination date. Either party may terminate this Agreement immediately upon written notice if the other party materially breaches this Agreement and fails to cure such breach within fifteen (15) days after receiving written notice. XVIII. REGULATORY COMPLIANCE The Parties agree to conduct the Services in compliance with all applicable federal, state, 4 412724v5 MJM BR270-24 and local laws, rules, regulations, and ordinances (“Applicable Law”), including, without limitation, with respect to the licensing, credentialing, and certification of professional service providers. Each Party agrees to comply with all applicable federal, state and local laws, rules and regulations, including, without limitation, the federal Anti-Kickback Statute (42 U.S.C. § 1320a-7b), the federal Stark Law (42 U.S.C. § 1395nn) and the federal Health Insurance Portability and Accountability Act of 1996 (42 U.S.C. § 1320d- 2) and the corresponding regulations of such statutes. XVIII. NOTICES Any notice, approval, or demand authorized or required under this Agreement shall be in writing and shall be sent by U.S. first class mail to the other party as follows: To the Contractor: LEAST Services/Counseling LLC Scott Marks MSW, LICSW PO Box 1742 Minnetonka, MN 55345 To the:Elk River Police Department 13065 Orono Parkway Elk River, MN 55330 XIX.CONFLICT OF INTEREST/CODE OF ETHICS Contractor shall use best efforts to meet all professional obligations to avoid conflicts of interest and appearances of impropriety. In the event of a conflict, the Contractor, with the consent of the Elk River Police Department, shall arrange for suitable alternative representation. It is the intent of the Contractor to refrain from handling matters for any other person or entity that may pose a conflict of interest or may not be in the best interests of the Elk River Police Department. The Contractor agrees that it will not represent any other party or other client which may create a conflict of interest in its work with the Elk River Police Department. If Contractor is unclear whether a conflict of interest exists, Contractor will immediately contact the Elk River Police Department Office to request an interpretation. The Contractor agrees to be bound by the State of Minnesota’s Code of Ethics. Contractor certifies that to the best of its knowledge all employees participating in this Agreement will comply with this Code. It is agreed by the parties that any violation of the Code of Ethics may be grounds for the termination of this Agreement. XX.INDEMNIFICATION Consultant agrees to be responsible for any injuries or damages compensable under applicable law incurred by ERPD, its officers, agents, and employees, (“Indemnified Parties”) which are proximately caused by negligent acts, errors, or omissions of the Consultant or any of its personnel committed in connection with the performance of the Professional Services provided under the terms of this Agreement; provided, however, 5 412724v5 MJM BR270-24 that (1) Consultant is not liable for any losses to the extent caused by or arising out of actions or omissions of ERPD, its employees, or its agents; and (2) Consultant and ERPD agree that no claim will be settled or otherwise resolved without the consent of Consultant, which consent shall not be unreasonably withheld. Notwithstanding the foregoing, nothing in this Agreement shall be construed to require Contractor to indemnify the Indemnified Parties for any liability, loss, or damage: (a) Caused by the sole negligence, gross negligence, or willful misconduct of the Indemnified Parties; or (b) To the extent that such indemnification would serve to void, invalidate, or be excluded from coverage under the Provider’s professional liability (medical malpractice) insurance policy. \[The rest of this page was left blank intentionally.\] 6 412724v5 MJM BR270-24 IN WITNESS WHEREOF, by attaching my signature below I represent that I have the requisite authority to enter into this Agreement on behalf of ERPD or Contractor and have executed this Professional Services Agreement effective as of the date first written above. CITY OF ELK RIVER By _____________________________Date _________________ John J. Dietz Mayor By _____________________________Date _________________ Justin Dunford City Clerk LEAST SERVICES/COUNSELING LLC By _____________________________Date ________________ Scott Marks, Owner 7 412724v5 MJM BR270-24 EXHIBIT A Insurance Requirements ERPD added as Additional Insured and provided Certificate of Liability Insurance under the LE- AST Services / Counseling LLC Professional Liability Insurance and Commercial General Liability Insurance policy. 8 412724v5 MJM BR270-24 Request for Action ToItem Number City Council4.5 Meeting DatePrepared By September 21, 2026Mike Eichten, Human Resources Manager Item DescriptionReviewed by Separation Agreement and Release-WipperMike Eichten Cal Portner Justin Dunford Action Requested Approve, by motion, the Separation Agreement and Release with Human Resources Manager Lauren Wipper. Background/Discussion Lauren Wipper retired as the Human Resources Manager for the city on September 4, 2026. As part of the Severance Pay requirements, a release of claims must be executed. Lauren Wipper returned her signed agreement on September 4, 2026. Financial Impact As per the Severance Pay Policy. Mission/Policy/Goal The City of Elk River Mission Statement Attachments 1.Lauren Wipper-Separation Agreement The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Request for Action ToItem Number City Council4.6 Meeting DatePrepared By September 21, 2026Mike Eichten, Human Resources Manager Item DescriptionReviewed by Separation Agreement and Release-BeadlesMike Eichten Cal Portner Justin Dunford Action Requested Approve, by motion, the Separation Agreement and Release with Waste Water Treatment Operator Kevin Beadles. Background/Discussion Kevin Beadles retired as a Waste Water Treatment Operator for the city on September 4, 2026. As part of the Severance Pay requirements, a release of claims must be executed. Kevin Beadles returned his signed agreement on September 8, 2026. Financial Impact As per the Severance Pay Policy. Mission/Policy/Goal The City of Elk River Mission Statement Attachments 1.Kevin Beadles-Separation Agreement The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Request for Action ToItem Number City Council4.7 Meeting DatePrepared By September 21, 2026Mike Eichten, Human Resources Manager Item DescriptionReviewed by Hire Waste Water Treatment OperatorMike Eichten Cal Portner Justin Dunford Action Requested Approve, by motion, the hiring of Nathan Nichelson, to the position of full-time waste water treatment operator, effective September 22, 2026. Background/Discussion Mr. Nichelson has been working for the city in a seasonal role since June 2026. He is a graduate of St Cloud Technical and Community College in Water Environmental Technologies. He will be replacing a position vacated by retirement in September 2026. Mr. Nichelson will start at Step B of pay grade 4N. All pay and benefits will follow city policy. Financial Impact This is a budgeted position. Mission/Policy/Goal The City of Elk River Mission Statement Attachments None The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Request for Action ToItem Number City Council4.8 Meeting DatePrepared By September 21, 2026Mike Eichten, Human Resources Manager Item DescriptionReviewed by 2027 Flexible Benefits PlanMike Eichten Cal Portner Justin Dunford Action Requested Approve, by motion, the 2027 Flexible Benefits Plan design. Background/Discussion The city provides a cafeteria plan for employees to make insurance elections. Each eligible employee receives a set dollar amount to spend on the plan, which is based on their elected family-level of medical insurance coverage. If any city contribution money remains after employees make their medical selection, those funds can be spent on other benefits within the cafeteria plan. The targeted Claims Loss Ratio for our health insurance is 80 to 85%. The city's Loss Claim Ratio was 135.9% resulting in an overall increase in premiums of 16% across all plans. Our vision coverage remains the same as last year, but dental coverage is seeing a 7% increase and that will be locked for 24 months. Financial Impact The 2027 insurance costs are included in the 2027 preliminary budget. Mission/Policy/Goal The City of Elk River Mission Statement Attachments 1.2027 Flexible Benefits The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Request for Action ToItem Number City Council4.9 Meeting DatePrepared By September 21, 2026Justin Dunford, City Clerk Item DescriptionReviewed by TextMyGov Agreement 26-32Cal Portner Justin Dunford Action Requested Approve, by motion, Agreement 26-32 with TextMyGov until 2029. Background/Discussion Social media continues to be a difficult and often ineffective tool at communicating certain issues, topics, or messages directly to residents. Given the nature of the social media algorithms, the Communications Division is unable to control how our messaging gets to residents. In addition, more individuals are leaving social media altogether, or are on alternative social media outside the previous traditional sites, such as Facebook. To ensure the city can reach our residents with the information they find relevant, the Communications Division is asking to enter into an agreement with TextMyGov. They provide a texting and emailing platform that will allow staff to communicate directly to residents based on topics that the residents have signed up for. Financial Impact $12,400 annually absorbed by current marketing funds. Mission/Policy/Goal Meet changing needs - agile. Attachments 1.Agreement ID 260319 E. TMG Exception Service Agreement JN - Elk River, MN The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Request for Action ToItem Number City Council4.10 Meeting DatePrepared By September 21, 2026Brent O'Neil, Economic Development Director Item DescriptionReviewed by Resolution 26-60: Approving a TIF 30 Interfund Cal Portner LoanJustin Dunford Action Requested Approve, by motion, Resolution 26-60 establishing an interfund loan related to Tax Increment District (TIF) 30. Background/Discussion TIF 30 was created to support the Crystal Distribution, Inc. expansion project on Twin Lakes Road. Prior to transferring TIF funds to the developer for costs in the TIF agreement, the city will retain 5% of all TIF receipts in reserve to cover administrative costs. Some costs related to this project and the TIF have been paid by the city's development fund. These costs may be billed to the developer or be reimbursed to the development fund through the TIF 30 administrative reserve. To ensure the city has the option to be reimbursed through TIF 30, an interfund loan is necessary. The attached resolution creates an interfund loan allowing up to $25,000 to cover expenses, and by statute, also allows a 7% interest rate to be applied to outstanding balances, as any reimbursement would occur over multiple years. Financial Impact The city has the option to be reimbursed for its TIF 30 expenses over time at an interest rate of 7% and maximum reimbursement amount of $25,000. Expenses are expected to be at or below $25,000. Mission/Policy/Goal Support industrial growth and business expansion. Attachments 1.RES 26-60 Interfund Loan CDI The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. City of Elk River City Council Resolution 26-60 A Resolution of theCity Council of theCity of Elk Riverauthorizing internal loan for advance of certain costs in connection with a Tax Increment Financing District WHEREAS, the City of Elk River, Minnesota (the “City”) and the Economic Development Authority for the City of Elk River (the “Authority”) previously established Tax Increment Financing District No. 30 (an economic development district) (the “TIF District”), pursuant to Minnesota Statutes, Sections 469.174 through 469.1794, as amended (the “TIF Act”); and WHEREAS, the City and the Authority may incur certain costs related to the TIF District which costs may be financed on a temporary basis from available City or Authority funds; and WHEREAS, pursuant to Section 469.178, subdivision 7 of the TIF Act, the City and the Authority are authorized to advance or loan money from any fund from which such advances may be legally made in order to finance expenditures that are eligible to be paid with tax increments under the TIF Act; and WHEREAS, the City and the Authority have determined to pay for certain costs of the TIF District including administrative costs which costs may be financed on a temporary basis from the Authority’s Fund Balance, the City’s Development Fund, or any other City or Authority funds available for such purposes (the “Cost Advances”); and WHEREAS, the Authority hereby designates the Cost Advances as an interfund loan in accordance with the terms of this resolution and the TIF Act. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River as follows: 1. The Authority and the City will reimburse themselves for the Cost Advances including, without limitation, administrative costs all in an aggregate amount not to exceed the greater of $25,000 or the adopted and, if applicable, Tax Increment Financing Plan budget for the TIF District (the “Interfund Loan”) together with interest at the rate stated below. Interest accrues on the principal amount from the date of each advance. The maximum rate of interest permitted to be charged is limited to the greater of the rates specified under Minnesota Statutes, Section 270C.40 and Section 549.09 as of the date the loan or advance is authorized, unless the written agreement states that the maximum interest rate will fluctuate as the interest rates specified under Minnesota Statutes, Section 270C.40 or Section 549.09 are from time to time adjusted. The interest rate shall be 7.00% and will not fluctuate. 2. Principal and interest (“Payments”) on the Interfund Loan shall be paid semiannually on each February 1 and August 1 (each a “Payment Date”), commencing on the first Payment Date on which the City or the Authority has received Available Tax Increment (defined below), or on any other dates determined by the City Finance Director, through the date of last receipt of tax increment from the TIF District (the “Maturity Date”). 3. Payments on the Interfund Loan will be made solely from the tax increment from the TIF District received by the Authority or the City from Sherburne County in the 6- month period before any Payment Date, net of the amount paid under any agreement with a private developer or otherwise pledged to the payment of any obligation (the “Available Tax Increment”). Payments shall be applied first to accrued interest, and then to unpaid principal, unless otherwise specified by the City Finance Director. Interest accruing from the Loan Date will be compounded semiannually on February 1 and August 1 of each year and added to principal, unless otherwise specified by the City Finance Director. Payments on this Interfund Loan may be subordinated to any outstanding or future bonds, notes, or contracts secured in whole or in part with available tax increment and are on a parity with any other outstanding or future interfund loans secured in whole or in part with available tax increment. 4. The principal sum and all accrued interest payable under this resolution is pre-payable in whole or in part at any time by the Authority without premium or penalty. 5. This resolution is evidence of an internal borrowing by the Authority or the City in accordance with Section 469.178, subdivision 7 of the TIF Act, and is a limited obligation payable solely from Available Tax Increment pledged to the payment hereof under this resolution. The Interfund Loan shall not be deemed to constitute a general obligation of the State of Minnesota or any political subdivision thereof, including, without limitation, the Authority or the City. Neither the State of Minnesota, nor any political subdivision thereof shall be obligated to pay the principal of or interest on the Interfund Loan or other costs incident hereto except out of Available Tax Increment and neither the full faith and credit nor the taxing power of the State of Minnesota or any political subdivision thereof is pledged to the payment of the principal of or interest on this Interfund Loan or other costs incident hereto. Neither the Authority nor the City shall have any obligation to pay any principal amount of the Interfund Loan or accrued interest thereon, which may remain unpaid after the termination or expiration of the TIF District. 6.The Authority or the City, as applicable, may at any time decide to forgive the outstanding principal amount and accrued interest on the Interfund Loan, in whole or in part, on any date from time to time, to the extent permissible under law. 7. The City may from time to time amend the terms of this Resolution to the extent permitted by law, including without limitation amendment to the payment schedule and the interest rate; provided that the interest rate may not be increased above the maximum specified in Section 469.178 subd. 7 of the TIF Act. Passed and adopted this 21 day of September 2026. John J. Dietz, Mayor ATTEST: Justin Dunford, City Clerk Request for Action ToItem Number City Council6.1 Meeting DatePrepared By September 21, 2026Jolene Richter, Deputy Clerk Item DescriptionReviewed by City of Elk River Volunteer of the MonthCal Portner Justin Dunford Action Requested Mayor Dietz will recognize and present a plaque to the September 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 The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Request for Action ToItem Number City Council6.2 Meeting DatePrepared By September 21, 2026Jolene Richter, Deputy Clerk Item DescriptionReviewed by Proclamation: Constitution WeekCal Portner Justin Dunford Action Requested 1. Proclaim, by motion, September 17-23, 2026, as Constitution Week. 2. Mayor Dietz to read and present the proclamation to Marilyn Schroeder. Background/Discussion The Daughters of the American Revolution (DAR), Anoka Chapter, requested that the city proclaim September 17–23, 2026, as Constitution Week. Elk River is part of the Anoka Chapter of DAR. Elk River resident Marilyn Schroeder will be present to accept the proclamation on behalf of DAR. Financial Impact N/A Mission/Policy/Goal Reflect the culture of citizens and what is important. Attachments 1.Proclamation Constitution Week DAR The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Proclamation Designating September 17-23, 2026 as Constitution Week WHEREAS, 2026 marks the two hundred thirty-ninth anniversary of the drafting of the Constitution of the United States of America by the Constitutional Convention; and WHEREAS,it is fitting and proper to accord official recognition to this magnificent document and its memorable anniversary; and to the patriotic celebrations which will commemorate the occasion; and WHEREAS, Public Law 915 guarantees the issuing of a proclamation each year by the President of the United States of America designating September 17 through 23 as Constitution Week; and NOW, THEREFORE, BE IT RESOLVED, that I, John J. Dietz, Mayor of Elk River, do hereby proclaim the week of September 17 through 23, 2026 as Constitution Week. John J. Dietz, Mayor ATTEST: Justin Dunford, City Clerk Request for Action ToItem Number City Council6.3 Meeting DatePrepared By September 21, 2026Jolene Richter, Deputy Clerk Item DescriptionReviewed by Parks and Recreation Commission Candidate Cal Portner InterviewsJustin Dunford Action Requested The Council will interview candidates for the Parks and Recreation Commission. Appointments will be made later in the meeting. Background/Discussion There is one vacancy on the Parks and Recreation Commission with a term ending 2/29/28. The following candidates will be in attendance: Aric Litchy Financial Impact NA Mission/Policy/Goal The City of Elk River Mission Statement. Attachments 1.Parks and Recreation Commission Applications The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. From:noreply@civicplus.com To:Jolene Richter Subject:Online Form Submittal: Board and Commission Application Form Date:Monday, August 24, 2026 9:25:06 PM Board and Commission Application Form Residency Information Residency Requirements Must be an Elk River resident for the following Economic Development Authority (EDA) Heritage Preservation Commission Housing and Redevelopment Authority (HRA) Planning Commission Utilities Commission Residency not required for the following: Community Event Center Commission EDA Beautification and Public Art Committee Joint Finance Committee Parks and Recreation Commission Parks and Recreation Commission Select the Commission applying for Aric First Name Litchy Last Name Yes Are you an Elk River resident? 20886 Fresno Street Northwest Address Elk River City MN State 55330 Zip Field not completed. Home Phone Number Cell Phone Number Email Address Email Address Public Contact Information Vision Transportation Employer School Bus Driver Occupation 12508 Elk Lake Rd NW Employer Address Elk River Employer City MN Employer State 55330 Employer Zip Part-time Employment Status In Fall of 2022 my family chose a place close to Woodland Trails Why are you interested for where we want to spend the majority of our remaining life. I've in serving on a city always wanted to become involved in the community that I commission? settled down in and that has recently started with volunteering at Woodland Trails and also switching my occupation to a school bus driver located here in Elk River. I feel I can be of more use to my community and with my passion for being active in a variety of ways and love of the outdoors being on the Parks and Rec commission would be a great fit. My best quality is being a good listener. I work well in small What skills, training, groups and enjoy problem solving. I like to be well informed when and experience would I need to make a decision. I have experience in many park and you bring to the recreation type activities that can help me relate to a variety of commission for which user groups. you seek appointment? No Conflict of Interest Field not completed. If yes, explain: Word of Mouth How did you hear about this vacancy? Agree Electronic Signature Agreement Aric Litchy Electronic Signature Email not displaying correctly? View it in your browser. Request for Action ToItem Number City Council7.1 Meeting DatePrepared By September 21, 2026Zack Carlton, Community Development Director Item DescriptionReviewed by Ordinance 26-18 and Interim Use Permit: Chris Leeseberg Educational Institutions in the MU-ERP District, Cal Portner Good Shepherd Lutheran High School - 630 Justin Dunford Freeport Ave NW Action Requested Adopt, by motion, Ordinance 26-18 adding Educational Institutions as an Interim Use in the MU-ERP Zoning District. Recommend, by motion, approval of an Interim Use Permit for Good Shepherd Lutheran High School, subject to the following conditions: 1.The City Council must adopt an ordinance adding Educational Institutions as an Interim Use in the MU-ERP Zoning District. 2.The IUP will expire when Good Shepherd Lutheran High School ends operation at the approved location. 3.Any expansion of the approved use or transfer to another user group for the same use will require city approval of a new IUP. 4.Architectural plans will need to be reviewed by the MN Department of Labor and Industry prior to submitting for city building permits. 5.All costs associated with potential address changes of affected tenants will be the responsibility of the property owner and/or applicant. Background/Discussion Good Shepherd Lutheran High School would like to establish a school in the former movie theater building along Freeport Ave NW. The applicant had also applied for a similar request earlier this year, but withdrew the application before the City Council made a formal decision. The current application includes an ordinance amendment to add Educational Institutions as an Interim Use in the Mixed Use Elk River Plaza (MU-ERP) zoning district and an Interim Use Permit to allow the use within the existing building at 630 Freeport Ave NW. The zoning district is a former Planned Unit Development (PUD) district where the PUD agreement was incorporated into the city code in 2010. The zoning district is divided into three separate areas: multifamily residential, single-family residential, and commercial. Each of these areas are distinct in their location within the district and act as separate districts with their own allowed uses. The The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. proposed amendment would apply to the commercial section as the proposed building site is within the commercial section of the MU-ERP zoning district. Commercial districts, especially those along major highways, support retail and commercial uses and provide employment and economic opportunities throughout the community. Educational uses do not support the goals of a commercial district. Staff do not support the proposed ordinance amendment. However, based on the public hearings held regarding a nearly identical ordinance amendment request earlier this year and after receiving direction from both the Planning Commission and City Council in support of allowing Educational Institutions as an Interim Use in the MU-ERP zoning district, staff have provided a recommendation of approval. Planning Commission The Planning Commission held a public hearing on September 1, 2026, regarding both applications. No one spoke during the hearing, and no comments for or against the request have been received. The Commission supported the ordinance amendment and the smaller footprint of the proposed school use. They unanimously recommended approval of both applications. Financial Impact None Mission/Policy/Goal Reflect the culture of citizens and what is important. Attachments 1.Planning Commission Memo dated September 1, 2026 2.OA 26-07 and IU 26-03 Location Map 3.Applicant's Narrative 4.Proposed Floor Plan 5.ORD 26-18 Educational Institutions in MU-ERP District 6.Interim Use Permit 7.7.1 Good Shepherd Presentation Request for Action ToItem Number Planning Commission5.1 Meeting DatePrepared By September 1, 2026Zack Carlton, Community Development Director Item DescriptionReviewed by Ordinance Amendment and Interim Use Permit: Chris Leeseberg Educational Institution in the MU-ERP District, Good Shepherd Lutheran High School - 630 Freeport Ave NW Action Requested Recommend, by motion, approval of an ordinance amendment allowing Educational Institutions as an Interim Use in the MU-ERP zoning district. Recommend, by motion, approval of an Interim Use Permit for Good Shepherd Lutheran High School, subject to the following conditions: 1.The City Council must adopt an ordinance adding Educational Institutions as an Interim Use in the MU-ERP zoning district. 2.The IUP will expire when Good Shepherd Lutheran High School ends operation at the approved location. 3.Any expansion of the approved use or transfer to another user group for the same use will require city approval of a new IUP. 4.Architectural plans will need to be reviewed by the MN Department of Labor and Industry prior to submitting for city building permits. 5.All costs associated with potential address changes of affected tenants will be the responsibility of the property owner and/or applicant. Background/Discussion Good Shepherd Lutheran High School would like to establish a school in the former movie theater building along Freeport Ave NW. The applicant had also applied for a similar request earlier this year, but withdrew the application before the city council made a formal decision. The current application includes an ordinance amendment to add Educational Institutions as an Interim Use in the Mixed Use Elk River Plaza (MU-ERP) zoning district and an Interim Use Permit to allow the use within the existing building at 630 Freeport Ave NW. The zoning district is a former Planned Unit Development (PUD) district where the PUD agreement was incorporated into the city codes in 2010. The zoning district is divided into three separate areas: multifamily residential, single-family residential, and commercial. Each of these areas are distinct in their location within the district and act as separate districts with their own allowed uses. The The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. proposed amendment would apply to the commercial section as the proposed building site is within the commercial section of the MU-ERP zoning district. Commercial districts, especially those along major highways, support retail and commercial uses and provide employment and economic opportunities throughout the community. Educational uses do not support the goals of a commercial district. Staff do not support the proposed ordinance amendment. However, based on the public hearings held regarding a nearly identical ordinance amendment request earlier this year and after receiving direction from both the Planning Commission and City Council in support of allowing Educational Institutions as an Interim Use in the MU-ERP zoning district, staff have provided a recommendation of approval. Interim Use Permit The proposed educational facility will occupy three units within the multi-tenant building, approximately 8,000 square feet. The current proposal includes a multipurpose space, four classrooms, a common area along with an office and staff lounge, and restrooms. This proposal differs from the previous proposal as it does not restrict access to the existing public restrooms, nor does it impact the existing entrances to the building. Previous conditions related to accessible entrances and alternative bathroom access are no longer applicable. The school employs 2 full-time and 5 part-time staff members and typical hours of operation are Monday to Friday from 8:30 AM to 3:00 PM. There may be occasional evening or weekend school-related activities that extend beyond the typical hours of operation. The site had previously been used for a movie theater and has ample parking available to support the school use. Applicable Regulations Section 30-658 of the city code outlines the following standards required for approval of an Interim Use Permit. 1. The period of time for which the interim use permit is to be granted will terminate before any adverse impacts are felt upon adjacent properties. The proposed school use will occupy existing leasable space within a multi-tenant building. The applicant will complete numerous tenant improvements to ensure the space meets their needs. Neither the space they are occupying nor the proposed improvements are detrimental to other spaces within the building, and there will be no adverse impacts on adjacent parcels or units. 2. There is adequate assurance that the property will be left in suitable condition after the use is terminated. The proposed modifications are indoors and are consistent with tenant improvements expected within a similar building. The spaces proposed for use by the school will be left in a suitable condition after the use is terminated. 3. The use is similar to uses allowed in the zoning district in which the property is located. A school use receives morning and afternoon traffic and provides spaces for people to work and learn during the day. This can be considered similar to an office type use. 4. The date or event that will terminate the use can be identified with certainty. According to the recommended conditions, the use would be allowed to continue until the current applicant, Good Shepherd Lutheran High School, chooses to discontinue their operation. 5. Authorizing the use will not impose additional costs on the public if it is necessary for the public to take the property in the future. The use as a school will not impose additional costs on the public. The occupied space is within a multi-tenant building and the land owner would address problematic issues before the city needs to become involved. 6. The property owner or lessee agree to all conditions that the city council deems appropriate for authorization of the interim use. The applicant and property owner will have an opportunity to share any concerns they may have with the conditions of approval during the public hearings at the Planning Commission and City Council. 7. The applicant provides assurances deemed adequate by the city council that the use will terminate as provided in the interim use permit. The city council may require the applicant to deposit a cash amount with the city, or provide some other form of security, to ensure compliance with this criteria. Staff have not identified a need to secure an escrow and do not recommend collecting one. 8. Authorization of the interim use will not result in adverse effects on the public health, safety, or welfare. The use will not have an adverse effect on public health, safety, or general welfare. 9. The proposed interim use is consistent with the City of Elk River comprehensive plan and conforms to the city's zoning regulations. The recommended conditions will ensure the proposed use is consistent with the city's Comprehensive Plan and conforms to the city's zoning regulations. Staff find that all the standards required for approval of an Interim Use Permit have been met and recommend approval. Financial Impact None. Mission/Policy/Goal Reflect the culture of citizens and what is important. Attachments 1.OA 26-07 and IU 26-03 Location Map 2.Applicant's Narrative 3.Proposed Floor Plan 4.Presentation Legal Description of Property 75-00447-0110 A Written Narrative see Description of Project Narrative Project Narrative – GSL High School Detailed Description / Scope of Project: GSL High School is a small Christian high school seeking to expand and formalize its facility to better serve its students and the community. The project includes the use of the existing building for educational purposes, along with interior modifications to optimize classroom, office, and multi- purpose space usage. The goal is to provide a safe, functional, and faith-centered learning environment for students in grades 9–12. Proposed Project: The proposal is to operate a private Christian high school within the existing building footprint. The facility will include classrooms, administrative offices, and a multi-purpose assembly/worship area. Consistency with City of Elk River Comprehensive Plan: The project aligns with the City of Elk River Comprehensive Plan by supporting educational services, community development, and family-oriented uses. The school promotes lifelong learning, civic engagement, and community values, contributing to the social and cultural objectives outlined in the plan. Hours of Operation: Monday–Friday: 8:30 AM – 3:00 PM Occasional evening/weekend events for school-related activities (e.g., parent meetings, performances, community events) Number of Employees: 2 Full-Time Staff 5 Part-Time Staff Parking: Existing parking: 20 stalls No additional stalls are required; current parking accommodates staff, students, and visitors. Site Screening: Landscaping and natural screening exist on-site. Proposed Building Materials: Interior: Steel framing, commercial-grade flooring, acoustical ceiling tiles, and impact-resistant surfaces for high-traffic areas Compliance with Design Standards: All proposed materials meet or exceed Elk River design and building code standards, ensuring safety, durability, and an appearance compatible with surrounding structures. Signage: Separate permits will be obtained for each sign Proposed: 2 exterior signs identifying the school Size: To comply with city regulations Location: Front and back of the building Type: Non-illuminated channel letters as permitted Outdoor Storage: No significant outdoor storage is planned. Variance Request Narrative – GSL High School Detailed Description of the Request: GSL High School is a small Christian high school requesting permission to operate 630 Freeport Ave, Elk River. We are requesting a variance to allow the school to operate in the current building configuration despite multi-use zoning. The variance would enable us to provide faith-based secondary education for students in grades 9–12 while maintaining compliance with safety, accessibility, and site requirements. Our school currently employs 2 full-time and 5 part-time staff and SUITE #800SUITE #900SUITE #1000 3030 County Road 101 North Plymouth, Minnesota 55447 (763) 331-5178 info@sdk-architects.com 2026 SDK Architects LLCc ALL RIGHTS RESERVED 29'-9"8'-0"25'-10 3/8" ADJACENT TENANTADJACENT TENANT PUBLIC RESTROOMS 9'-0" STORAGESTORAGE ADJACENT TENANTADJACENT TENANTADJACENT TENANT PR4 3 Strikethroughs to be removed Underlines to be added Ordinance 26-18 An Ordinance Amending Chapter, 30-1584, MU-ERP mixed use Elk River Plaza district 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 § 30-1584, MU-ERP mixed use Elk River Plaza district of the City of Elk River Code of Ordinances shall be amended to add the following: Sec. 30-1584 (d) (4)MU-ERP mixed use Elk River Plaza district, Subzone C. d) Subzone C. Commercial. 4) Interim uses are as follows: a. Educational Institutions. SECTION 2. 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 21st day of September, 2026. ______________________________ John J. Dietz, Mayor ATTEST: _______________________________ Justin Dunford, Deputy City Clerk CITY OF ELK RIVER SHERBURNE COUNTY INTERIM USE PERMIT Case No. IU 26-03 Permit. Subject to the terms and conditions set forth herein, the City of Elk River hereby grants an Interim Use Permit (“Permit”) requested by Melissa Lamkin for the following use: Interim Use Permit to allow educational use in the MU-ERP zoning district at 630 Freeport Ave NW Property. The Permit is for the following described property (“Subject Property”) in the City of Elk River, Sherburne County, Minnesota: Lot 1, Block 1, Elk River Plaza Second Addition, Sherburne County, Minnesota Owner. Owner of the Subject Property at time of the approval of the Permit: Price Freeport Elk River LLC, owner Conditions. The Permit is issued subject to the following conditions: 1.1. The City Council must adopt an ordinance adding Educational Institutions as an Interim Use in the MU-ERP zoning district. 2.The IUP will expire when Good Shepherd Lutheran High School ends operation at the approved location. 3.Any expansion of the approved use or transfer to another user group for the same use will require city approval of a new IUP. 4.Architectural plans will need to be reviewed by the MN Department of Labor and Industry prior to submitting for city building permits. 5.All costs associated with potential address changes of affected tenants will be the responsibility of the property owner and/or applicant. Termination of Permit. The Permit shall remain in effect only for so long as the conditions set for the herein are complied with. The City may revoke the Permit following a public hearing for violation of the terms and/or conditions set forth in the Permit. Criminal Penalty. Both the owner and any occupant of the Subject Property are responsible for compliance with the permit. Violation of the terms of the Permit is a criminal misdemeanor. Recording. The Permit shall be recorded against the title to Subject Property. Dated: September 21, 2026. CITY OF ELK RIVER By: ___________________________________ Mayor John J. Dietz By: ___________________________________ City Clerk Justin Dunford STATE OF MINNESOTA ) ) ss. COUNTY OF SHERBURNE ) The foregoing instrument was acknowledged before me this 21 day of September, 2026, by John J. Dietz and 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 the City Council. ____________________________________ Notary Public DRAFTED BY: City of Elk River 13065 Orono Parkway NW Elk River, MN 55330 Phone: 763-635-1032 Good Shepherd High School Ordinance Amendment and Interim Use Permit Location Map Background Applicant proposes establishing a school in the MU- ERP district. Educational Uses are not permitted Requires an ordinance amendment to add use. Previous PC and CC discussions supported IUP IUP requires approval of the ordinance amendment adding schools as an allowed use prior to approval. Amendment included as condition of approval. Zoning MU-ERP was a PUD that was codified into ordinance Mixed Use Elk River Plaza The allowed uses are separated into three subzones Subzone A – Multifamily Residential Subzone B – Single-Family Residential Subzone C – Commercial Ordinance amendment would impact subzone C. Location Map Earlier Application 18,617 SF Current 8,000 SF Background School employs 2 full-time and 5 part-time staff. Typical hours are M-F, 8:30 AM to 3:00 PM Occasional evening or weekend activities Ample parking as previous use was a movie theater. Any future changes to layout or ownership would require a new IUP application. Planning Commission Public hearing on September 1, 2026 The applicant spoke during the hearing and noted that she was available for questions. The PC unanimously recommended approval. Staff received a phone call earlier today asking for additional information, but the caller did not support or object to the application. Action Requested Adopt, by motion, ordinance 26-18 adding “Educational Institutions” as an Interim Use in the MU-ERP district. Approve, by motion, the IUP subject to the five conditions noted in the memo. Request for Action ToItem Number City Council7.2 Meeting DatePrepared By September 21, 2026Chris Leeseberg, Senior Planner Item DescriptionReviewed by Resolution 26-61: Lot Split Subdivision, Colleen Zack Carlton Solors - 21538 Brook Rd NWCal Portner Justin Dunford Action Requested Adopt, by motion, Resolution 26-61 approving the lot split request with the following conditions: 1.Park dedication shall be paid for one (1) dwelling unit at the rate applicable when the subdivision is released for recording. 2.A wetland delineation will be required to identify wetlands and establish buffers. Background/Discussion The subject property is zoned Single Family Residential (R1a), which requires a minimum lot size of 2.5 acres. The applicant is proposing to split one existing 70.42-acre parcel into two parcels. One lot will contain the existing home, and the second lot (10 acres) will be a new buildable lot, eligible for park dedication. The applicant applied for and received a lot width variance (V 25-15) allowing one parcel to be narrower than the ordinance requirements. This approval applies to the larger lot containing the existing home. Parks and Recreation Commission During their September 9, 2026, meeting, the Park and Recreation Commission recommended Park Dedication Fees for one dwelling unit. Applicable Rgulations City ordinance section 30-375 outlines the required findings for approval of a subdivision. 1.The proposed subdivision is consistent with the zoning regulations (article VI of this chapter) and conforms in all respects with all requirements of this Code, including the zoning regulations and this article. The proposed subdivision is consistent with all zoning regulations for one lot, and the other lot received a lot width variance. The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. 2. The proposed subdivision is consistent with all applicable general and specialized city, county, and regional plans, including, but not limited to, the city's comprehensive development plan. The subdivision is consistent with all applicable plans. 3.The physical characteristics of the site, including but not limited to topography, soils, vegetation, susceptibility to erosion and siltation, susceptibility to flooding, and drainage are suitable for the type and density of development and uses contemplated. The physical characteristics of the site are suitable for the type and density of development and uses contemplated. 4.The proposed subdivision makes adequate provision for water supply, storm drainage, sewage transportation, erosion control and all other services, facilities, and improvements otherwise required in this article. The subdivision does not require connections to city utilities and all access will come from an existing street. Additional permits, including erosion control, may be needed during the building process. 5.The proposed subdivision will not cause substantial environmental damage. Although grading will occur, the subdivision will not cause substantial environmental damage. City ordinance requires the establishment of wetland buffers for any lot split. The existing drainage and utility easements do not appear to accurately capture the wetlands. A wetland delineation will be required to identify wetlands and establish buffers. 6.The proposed subdivision will not conflict with easements of record or with easements established by the judgment of a court. The proposed subdivision will not conflict with easements of record or with easements established by the judgment of a court. 7.The proposed subdivision will not have an undue and adverse impact on the reasonable development of neighboring land. The surrounding properties are both developed and undeveloped. The proposed subdivision will not impact the reasonable development of neighboring land. 8.The proposed subdivision is not premature. A subdivision is premature if any of the following exists: a.Lack of adequate stormwater drainage. b.Lack of adequate roads. c.Lack of adequate sanitary sewer systems. d.Lack of adequate off-site public improvements or support systems. The subdivision is not premature as the above conditions have been provided for. Financial Impact None Mission/Policy/Goal Responsibly grow Attachments 1.Location Map 2.Certificate of Survey 3.Resolution 26-61 4.7.2 Solors Presentation CERTIFICATE OF SURVEY PART OF LOT 3, BLOCK 1 AND PART OF OUTLOT A, BLACKBERRY HILLS, SECTION 11 TOWNSHIP 33, RANGE 26, SHERBURNE COUNTY, MINNESOTA SURVEYOR'S NOTES: SURVEYOR:SCHLIEMAN LAND SURVEYING 23202 275TH AVENUE PIERZ MN 56364 (320)733-3383 PROPERTY:PID 75-00630-0115 21538 BROOK RD NW ELK RIVER MN ACCORDING TO CITY OF ELK RIVER ZONING MAP, THE SUBJECT PROPERTY IS CURRENTLY LOCATED WITHIN THE AG ZONING DISTRICT. ALL BUILDING SETBACKS NEED TO BE VERIFIED PRIOR TO CONSTRUCTION. SCHLIEMAN LAND SURVEYING IS NOT RESPONSIBLE FOR THE BUILDING SETBACKS. THIS SURVEY WAS COMPLETED WITHOUT TITLE COMMITMENT. THERE MAY BE LIMITING FACTORS WHICH AFFECT THE SUBJECT PROPERTY THAT ARE NOT SHOWN ON THIS SURVEY. THERE WERE NO BUILDINGS OBSERVED IN CLOSE PROXIMITY TO THE PROPOSED PARCEL A PROPERTY LINES AT THE TIME OF THE FIELD. 2 1 7 T H A V E N U E N PARCEL B 0100200 SCALE ( IN FEET ) ORIENTATION OF THIS BEARING SYSTEM IS BASED ON THE PLAT OF BLACKBERRY HILLS = DENOTES FOUND IRON MONUMENT 3 = DENOTES 1/2 INCH DIAMETER BY 18 INCH LONG IRON PIPE MONUMENT SET AND MARKED RLS # 47591 EXISTING LEGAL DESCRIPTIONS ACCORDING TO PART OF DOCUMENT NO. 643672: Lot Three (3), Block One (1), Blackberry Hills, Sherburne County, Minnesota, together with that part of Outlot A, said Blackberry Hills lying northerly of a line described as beginning at a point on the east line of said Outlot A distant 36.00 feet south of the most northerly corner thereof; Thence North 66 degrees, 20 minutes, 22 seconds West (plat bearings) for 51.95 feet to intersect and terminate on the northwesterly line of said Outlot A. For the purposes of this description said point of termination is known as Point A. Except that part of said Lot Three (3) that lies southerly of a line described as beginning at Point A, described above; Thence North 66 degrees, 20 minutes, 22 seconds West for 16.05 feet; Thence South 69 degrees, 57 minutes, 18 seconds West for 253.15 feet to the most northwesterly corner of said Outlot A and there terminating. PROPOSED LEGAL DESCRIPTIONS: PARCEL A: That part of Lot 3, Block 1, BLACKBERRY HILLS, according to the recorded plat thereof, on file in the Sherburne County, Recorder's Office lying easterly of the following described line: Commencing at the northeast corner of said Lot 3; thence North 89 degrees 27 minutes 48 seconds West, bearings based on said plat of BLACKBERRY HILLS, 386.71 feet along the north line of said Lot 3 to the point of beginning of said line to be described; thence South 00 degrees 02 minutes 03 seconds West 1003.06 feet; thence South 76 degrees 29 minutes 00 seconds East 282.53 feet; thence South 45 degrees 22 minutes 50 seconds East 72.00 feet, more or less, to 217th Avenue, said BLACKBERRY HILLS and said line there terminating. Subject to easements, reservations or restrictions of record, if any. PARCEL B: Lot Three (3), Block One (1), Blackberry Hills, Sherburne County, Minnesota, together with that part of Outlot A, said Blackberry Hills lying northerly of a line described as beginning at a point on the east line of said Outlot A distant 36.00 feet south of the most northerly corner thereof; Thence North 66 degrees, 20 minutes, 22 seconds West (plat bearings) for 51.95 feet to intersect and terminate on the northwesterly line of said Outlot A. For the purposes of this description said point of termination is known as Point A. Except that part of said Lot Three (3) that lies southerly of a line described as beginning at Point A, described above; Thence North 66 degrees, 20 minutes, 22 seconds West for 16.05 feet; Thence South 69 degrees, 57 minutes, 18 seconds West for 253.15 feet to the most northwesterly corner of said Outlot A and there terminating. AND EXCEPT That part of Lot 3, Block 1, BLACKBERRY HILLS, according to the recorded plat thereof, on file in the Sherburne County, Recorder's Office lying easterly of the following described line: Commencing at the northeast corner of said Lot 3; thence North 89 degrees 27 minutes 48 seconds West, bearings based on said plat of BLACKBERRY HILLS, 386.71 feet along the north line of said Lot 3 to the point of beginning of said line to be described; thence South 00 degrees 02 minutes 03 seconds West 1003.06 feet; thence South 76 degrees 29 minutes 00 seconds East 282.53 feet; thence South 45 degrees 22 minutes 50 seconds East 72.00 feet, more or less, to 217th Avenue, said BLACKBERRY HILLS and said line there terminating. Subject to easements, reservations or restrictions of record, if any. OUTLOT AOUTLOT A PREPARED FOR: BEN DUNLAY I HEREBY CERTIFY THAT THIS SURVEY, PLAN, OR REPORT WAS PREPARED BY ME OR UNDER MY DIRECT SUPERVISION AND THAT I AM A DULY LICENSED LAND SURVEYOR UNDER THE LAWS OF THE STATE OF MINNESOTA. AMENDED PROPOSED BOUNDARIES 07-14-2026 DATE: 05-12-2026LIC. NO. 47591 FILE NO: 384 City of Elk River City Council Resolution 26- A Resolution of the City Council of the City of Elk River Granting Approval of a Lot Split for Colleen Solors Case No. P 26-12 WHEREAS, application has been made for lot split approval, pursuant to Section 30-392 of the Elk River City Code of Ordinances of the property legally described on attached Exhibit A and hereinafter referred to as “the Property”; and WHEREAS, the proposed lot split complies with each of the conditions set forth by the City Council in its approval of the split of the Property. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota, as follows: A.The proposed subdivision is consistent with Chapter 30 of the City Code of Ordinances and conforms with all of its requirements. B.The proposed subdivision is consistent with all applicable general and specialized city, county, and regional plans including, but not limited to, the City’s Comprehensive Plan. C.The physical characteristics of the site, including, but not limited to, topography, soils, vegetation, susceptibility to erosion and siltation, susceptibility to flooding, and drainage are suitable for the type and density of development and uses contemplated. D.The proposed subdivision makes adequate provision for water supply, storm drainage, sewage transportation, erosion control and all other services, facilities and improvements otherwise required herein. E.The proposed subdivision will not cause substantial environmental damage. F.The proposed subdivision will not conflict with easements of record or with easements established by judgment of a court. G.The proposed subdivision will not have an undue or adverse impact on the reasonable development of neighboring land. 1.Lot split approval is hereby granted for the Property, subject to the conditions set forth in attached Exhibit B. 2.The officers of the City are hereby authorized, once the conditions set forth in Exhibit B are met and complied with, to issue a certified copy of this Resolution giving final approval of the lot split. 3. This lot split approval shall expire two years from the date of this resolution if the lot split is not recorded with Sherburne County two years from the date of adoption. st Passed and adopted this 21day of September 2026. John J. Dietz, Mayor ATTEST: Justin Dunford, City Clerk ExhibitA Existing Legal Description Lot Three (3), Block One (1), Blackberry Hills, Sherburne County, Minnesota, together with that part of Outlot A, said Blackberry Hills lying northerly of a line described as beginning at a point on the east line of said Outlot A distant 36.00 feet south of the most northerly corner thereof; Thence North 66 degrees, 20 minutes, 22 seconds West (plat bearings) for 51.95 feet to intersect and terminate on the northwesterly line of said Outlot A. For the purposes of this description said point of termination is known as Point A. Except that part of said Lot Three (3) that lies southerly of a line described as beginning at Point A, described above; Thence North 66 degrees, 20 minutes, 22 seconds West for 16.05 feet; Thence South 69 degrees, 57 minutes, 18 seconds West for 253.15 feet to the most northwesterly corner of said Outlot A and there terminating. Proposed Legal Descriptions PARCEL A: That part of Lot 3, Block 1, BLACKBERRY HILLS, according to the recorded plat thereof, on file in the Sherburne County, Recorder's Office lying easterly of the following described line: Commencing at the northeast corner of said Lot 3; thence North 89 degrees 27 minutes 48 seconds West, bearings based on said plat of BLACKBERRY HILLS, 386.71 feet along the north line of said Lot 3 to the point of beginning of said line to be described; thence South 00 degrees 02 minutes 03 seconds West 1003.06 feet; thence South 76 degrees 29 minutes 00 seconds East 282.53 feet; thence South 45 degrees 22 minutes 50 seconds East 72.00 feet, more or less, to 217th Avenue, said BLACKBERRY HILLS and said line there terminating. Subject to easements, reservations or restrictions of record, if any. PARCEL B: Lot Three (3), Block One (1), Blackberry Hills, Sherburne County, Minnesota, together with that part of Outlot A, said Blackberry Hills lying northerly of a line described as beginning at a point on the east line of said Outlot A distant 36.00 feet south of the most northerly corner thereof; Thence North 66 degrees, 20 minutes, 22 seconds West (plat bearings) for 51.95 feet to intersect and terminate on the northwesterly line of said Outlot A. For the purposes of this description said point of termination is known as Point A. Except that part of said Lot Three (3) that lies southerly of a line described as beginning at Point A, described above; Thence North 66 degrees, 20 minutes, 22 seconds West for 16.05 feet; Thence South 69 degrees, 57 minutes, 18 seconds West for 253.15 feet to the most northwesterly corner of said Outlot A and there terminating. AND EXCEPT That part of Lot 3, Block 1, BLACKBERRY HILLS, according to the recorded plat thereof, on file in the Sherburne County, Recorder's Office lying easterly of the following described line: Commencing at the northeast corner of said Lot 3; thence North 89 degrees 27 minutes 48 seconds West, bearings based on said plat of BLACKBERRY HILLS, 386.71 feet along the north line of said Lot 3 to the point of beginning of said line to be described; thence South 00 degrees 02 minutes 03 seconds West 1003.06 feet; thence South 76 degrees 29 minutes 00 seconds East 282.53 feet; thence South 45 degrees 22 minutes 50 seconds East 72.00 feet, more or less, to 217th Avenue, said BLACKBERRY HILLS and said line there terminating. Subject to easements, reservations or restrictions of record, if any. Exhibit B 1. Park dedication shall be paid for one (1) dwelling unit at the rate applicable when the subdivision is released for recording. 2. A wetland delineation will be required to identify wetlands and establish buffers. Lot Split Solors Location Map Background Zone R1-a 70.42-acre parcel 2.5-acre minimum lot size Split to create one new 10-acre parcel Lot size variance received (V 25-15) Applicable Regulations Staff’s analysis of the application shows compliance with all 8 standards required for approval Action Requested Adopt, by motion, Resolution 26-61 approving the lot split request with the two (2) conditions outlined in the memo Request for Action ToItem Number City Council7.3 Meeting DatePrepared By September 21, 2026Chris Leeseberg, Senior Planner Item DescriptionReviewed by Ordinance 26-19: Amend the Zoning for Certain Zack Carlton Parcels from I-1 (Light Industrial) to C-1 (Central Cal Portner Business District) - City of Elk RiverJustin Dunford Action Requested Deny, by motion, the proposed zone change from Light Industrial (I-1) to Central Business District (C-1) and direct staff to bring forward an application to amend the Land Use to Industrial. Alternatively, the City Council may adopt, by motion, Ordinance 26-19 changing the zoning of certain parcels north of Elk Lake Road from I-1 (Light Industrial) to C-1 (Central Business District), establishing consistency with the Comprehensive Plan. Background/Discussion In a recent review of the properties south of Meadowvale Elementary School, staff noted that the zoning of the subject parcels does not match the 2021 Comprehensive Plan/land use documents. The Comprehensive Plan serves as the long-range strategic visioning document, guiding orderly growth, public and private development, infrastructure investments, and resource protection for a 10–20 year window. The city invests significant amounts of taxpayer funds, staff time and community commitment to review and update the Comprehensive Plan to ensure the community is invested in the long-term development of the city. The subject properties have had a land use designation of Industrial since 1983 and were zoned Residential until approximately the same time. In 2021, the city hired a consultant to update the Comprehensive Plan. The Comprehensive Plan Advisory Committee and city staff worked closely with the consultant to update the plan, which was adopted by the City Council on October 18, 2021. The plan documents recommended changing the land use of the subject area to better align with nearby residential homes, a day care, and a school, believing that due to changes in development patterns, industrial uses along a narrow strip of land between a 4-lane roadway and a residential district are no longer the best fit for the area. All current uses, except the landscape contractor yard, will be allowed under the proposed C-1 zoning. While the landscape contractor yard is not an industrial use in the conventional sense, it does utilize outdoor storage, which is not permitted in the C-1 zoning district. If the zone change is adopted, the use would be considered legal non-conforming and could continue to operate and/or be sold as a landscape contractor yard The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. unless it has ceased operation for more than one year. Whether commercial or industrial, the uses of a given property must follow what is allowed under the city code. Planning Commission The Planning Commission held a public hearing on September 1, 2026. During the hearing, multiple parties representing the property at 12785 Elk Lake Road spoke in opposition to the proposed zone change. General comments opposing the change note that the properties have been zoned industrial for decades and there have not been any issues with the previous use. Representatives also noted that selling a commercial property zoned C-1 is more difficult than selling an industrial property. The landowner stated that they had a buyer for the parcel but that they backed out once the city informed them of the land use/zoning mismatch. Staff noted that while it was true that there have not been any issues with the past use, the city planning documents look beyond the current use and are meant to guide future land use goals for the area. A future property owner may establish a more intensive use that is no longer compatible with the adjacent residential zone. Some examples of other uses allowed in the I-1 district are as follows: Recycling processing centers Commercial recreational facilities Outdoor storage (accessory to principal use) Landscaping contractor yard Motor vehicle, trailer, and/or equipment sales Bus storage Commercial cannabis cultivation Microbreweries/brewer taprooms If the subject properties continue to be zoned industrial, the next user is free to utilize the property for any industrial use allowed under the code. Staff have received inquiries about the parcel for uses such as truck storage, heavy crane equipment storage, and commercial recreational. The applicant’s attorney stated spot zoning would create an island of non-conforming uses. If the zoning is amended to C-1, all but one use would be allowed. If the whole area changed to I-1, then the daycare would become legal non-conforming. After the public hearing, the commission unanimously recommended denial of the zone change as it was a burden on existing property owners. The Commission also recommended amending the land use to industrial, establishing consistency between the zoning and land use maps. Staff recommends that the zoning should be changed to match the adopted land use map, consistent with the direction of the community engagement during the Comprehensive Plan development. However, the recommendation from the Planning Commission was to deny the zone change and asked the Council to direct staff to move forward with a land use amendment. Financial Impact None Mission/Policy/Goal Improve citizens quality of life. Appropriately govern in an ever-changing environment. Attachments 1.Planning Commission Memo dated 9-1-2026 2.Applicants Attorneys Letter dated 9-16-2026 3.Location Map 4.Zoning Map (partial) 5.Land Use Map (partial) 6.Zoning Comparisons 7.Ordinance 26-19 8.7.3 Zone Chagne Presentation Request for Action ToItem Number Planning Commission5.2 Meeting DatePrepared By September 1, 2026 Chris Leeseberg, Senior Planner Item DescriptionReviewed by Zone Change: Amend Zoning for Selected Parcels Zack Carlton from Light Industrial (I-1) to Central Business District (C-1) Action Requested Recommend, by motion, approval of the proposed zone change from Light Industrial (I-1) to Central Business District (C-1), establishing compliance with the adopted Comprehensive Plan. Background/Discussion In a recent review of the properties south of Meadowvale Elementary School, staff noted that the zoning of the subject parcels does not match the 2021 Comprehensive Plan/land use documents. The Comprehensive Plan serves as the long-range strategic visioning document, guiding orderly growth, public and private development, infrastructure investments, and resource protection for a 10–20 year window. The subject properties have had a land use designation of industrial since 1983 and were zoned residential until approximately the same time. In 2021, the city hired a consultant to update the Comprehensive Plan. The Comprehensive Plan Advisory Committee and city staff worked closely with the consultant to update the plan, which was adopted by the City Council on October 18, 2021. The plan documents recommended changing the land use of the subject area to better align with nearby residential homes, a day care, and a school, believing that due to changes in development patterns, industrial uses along a narrow strip of land between a 4-lane roadway and a residential district are no longer the best fit for the area. All current uses, except the landscape contractor yard, will be allowed under the proposed C-1 zoning. While the landscape contractor yard is not an industrial use in the conventional sense, it does utilize outdoor storage, which is not permitted in the C-1 zoning district. If the zone change is adopted, the use would be The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. considered legal non-conforming and could continue to operate and/or be sold as a landscape contractor yard unless it has ceased operation for more than one year. Whether commercial or industrial, the uses of a given property must follow what is allowed under the city code. A recent application for a new use within the industrial property across the road from the subject area received significant opposition from the adjacent neighborhood. Primary concerns from the public related to fumes and fuel storage related to an industrial area that is close to their residential neighborhood. With the adoption of the Comprehensive Plan in 2021, the city chose to guide the subject properties away from industrial uses in an effort to reduce potentially negative impacts to residential areas. Staff recommend the land use remain as Neighborhood Commercial and that the zoning should be updated to match the land use. Financial Impact None. Mission/Policy/Goal Appropriately govern in an ever-changing environment. Improve citizens quality of life. Attachments 1.Location Map 2.Current/Proposed Zoning Exhibit 3.Section 30-1022 C-1 4.Section 30-1292 I-1 5.Land Use Map (partial) 6.Chambers Investment Company - Letter to City of Elk River Planning Commission Sec. 30-1022.C-1 central business district. (a) Purpose. The C-1 central business district is appropriate for retail, service, and commercial uses to serve the shopping and service needs of the residents and surrounding community, as distinguished from highway commercial uses. The central business district is intended to encourage uses and designs that are consistent with the historic character of the central business district. Emphasis shall be placed on pedestrian access and design standards with flexibility to preserve the historic character of the central business district. Uses shall be designed to eliminate any nuisance or incompatibility with surrounding uses. (b) Permitted uses. Permitted uses in the C-1 district are as follows: (1) Bed and breakfasts establishments, non-homeowner-occupied (shall only be allowed in an existing single family residential structure). (2) Brewer taprooms, (producing less than 10,000 barrels of malt liquor annually). (3) Brewpubs. (4) Business offices. (5) Day cares. (6) Financial institutions. (7) Firearms, sale of. (8) Funeral homes. (9) Health care facilities, outpatient. (10) Hotels. (11) Personal service establishments. (12) Physical recreation or training. (13) Public parks. (14) Restaurants, class I. (15) Retail sales. (c) Accessory uses. Accessory uses in the C-1 district are as follows: (1) Parking lots. (2) Private recreational facilities. (3) Signs (as permitted in section 30-851 et seq.). (4) Structures, accessory. (d) Conditional uses. Conditional uses in the C-1 district are as follows: (1) Apartments (subordinate to the principal use). (2) Brewer taprooms, (producing less than 10,000 or more barrels of malt liquor annually). (3) Commercial recreational facilities. (4) Governmental facilities. (5) Health care facilities, inpatient. Created: 2026-08-17 00:16:48 \[EST\] (Supp. No. 65) Page 1 of 2 (6) Hospital. (7) Kennel, commercial. (8) Liquor establishments, on-sale. (9) Motor vehicle service stations. (10) Nonprofit clubs, lodges or halls. (11) Religious institutions. (12) Residential, multiple-family (provided that business/commercial uses occupy the ground floor below the residential use). (13) Restaurants, class II. (14) Saunas, steam baths, and heat-bathing rooms. (e) Architectural standards. No provision of section 30-938 except subsection 30-938(2) pertaining to building materials applies to this district. (Code 1982, § 900.12(10); Ord. No. 02-04, § 2, 4-15-2002; Ord. No. 05-05, § 3, 3-21-2005; Ord. No. 05-08, § 1, 4-4- 2005; Ord. No. 07-07, § 2, 7-16-2007; Ord. No. 09-06, § 3, 7-20-2009; Ord. No. 12-11, § 2, 7-16-2012; Ord. No. 15- 03, § 3, 1-20-2015; Ord. No. 16-23, § 1, 11-7-2016; Ord. No. 18-03, § 1, 3-19-2018; Ord. No. 19-15, § 9, 8-19-2019) State law reference(s)—Similar provisions, Minn. Stats. § 462.357, subd. 1. Created: 2026-08-17 00:16:48 \[EST\] (Supp. No. 65) Page 2 of 2 Sec. 30-1292.I-1 light industrial district. (a) Purpose. The I-1 district shall serve as a transition between more industrial uses and residential and other business uses. This district is appropriate for manufacturing, warehousing, and similar industrial uses because of access to warehousing, thoroughfares, the full complement of urban services such as sewer and water, and distance from residential districts. These areas are intended to encourage the development of industrial uses which are clean, quiet, and free of hazardous or objectionable elements such as noise, odor, dust, smoke, glare, or other pollutants. These industries shall be compatible with each other and with surrounding land uses. (b) Permitted uses. Permitted uses in the I-1 district are as follows: (1) Business offices. (2) Manufacturing, light. (3) Research and development facilities. (4) Warehouse spaces. (5) Wholesale businesses. (c) Accessory uses. Accessory uses in the I-1 district are as follows: (1) Cocktail rooms. (2) Parking lots. (3) Retail sales. a. The retail sales activity is not located in an administrative office facility, but is located within a business, the principal use of which is not commercial sales. b. The retail sales activity does not occupy more than 15 percent of the gross floor area of the occupied quarters. c. The retail sales activity is accessory to the principal use. d. No sign identifying the retail sales is visible from the outside of the building. (4) Signs (as permitted in section 30-851 et seq.). (5) Structures, accessory. (d) Conditional uses. Conditional uses in the I-1 district are as follows: (1) Brewer taprooms. (2) Bus storage. Not to exceed ten buses, unless the property has direct access to an arterial or collector street. (3) Commercial cannabis cultivation, provided that: a. The proposed cultivation facility has all permits required for operation, including all permits required by the state of Minnesota under Minn. Stats. Ch. 342, as it may be amended from time to time. A conditional use permit under this section may issue before the grantee has obtained all necessary permits; however, the grantee shall submit proof of obtaining the necessary permits to the City of Elk River before any cultivation operations begin. (4) Commercial recreational facilities. (5) Dry cleaning establishments. Created: 2026-08-17 00:16:49 \[EST\] (Supp. No. 65) Page 1 of 2 (6) Government facilities. (7) Landscaping contractor yards. (8) Microbreweries. (9) Motor vehicle, trailer, and/or equipment sales. (10) Outdoor storage (accessory to principal use). (11) Recycling processing centers. (12) Residential, single-family accessory to principal uses, provided that: a. The nature of the principal use of the property makes it necessary or highly desirable from both the property owner's and the city's perspective to have a 24-hour-a-day caretaker or security person reside on the property. b. The proposed dwelling unit is designed for and will be used exclusively by caretakers or security personnel responsible for the security of the property and the principal use thereof. c. The proposed building unit will be occupied by no more than two persons, neither of whom may be under 18 years of age. d. There will be only one dwelling unit per lot or, if one principal use is located on several adjoining lots, per principal use. e. The proposed dwelling unit will not exceed 800 square feet in size and will be located within a building serving the principal use of the property which is no less than 10,000 square feet in size. f. The principal use of the property is not of such a nature that it would be dangerous or hazardous to residents of the proposed dwelling unit. g. The proposed dwelling unit meets all other requirements of this Code and Minnesota Uniform Building Code for occupancy as a dwelling unit by a single family. The city council may, if it finds it necessary to do so for the protection of the health, safety and welfare of persons who may occupy the proposed dwelling unit, impose additional reasonable requirements or conditions on the construction and use of the dwelling unit. h. The conditional use allowing such a dwelling unit in an industrial zone is deemed to be unique to the principal use of the property and the ownership of the property and the principal use. Any conditional use permits granted under this section shall therefore automatically expire if the principal use of the property changes or the ownership of either the property or the principal use of the property changes. (e) Architectural standards. No provision of section 30-938 except subsection 30-938(2) pertaining to building finish and subsection 30-938(3) pertaining to roofs applies to this district. (Code 1982, § 900.12(14); Ord. No. 04-003, § 1, 1-20-2004; Ord. No. 05-03, § 1, 1-18-2005; Ord. No. 05-07, § 4, 4-4- 2005; Ord. No. 05-08, § 1, 4-4-2005; Ord. No. 07-07, § 5, 7-16-2007; Ord. No. 08-03, §§ 1, 2, 2-19-2008; Ord. No. 09-06, § 3, 7-20-2009; Ord. No. 10-12, § 1, 8-2-2010; Ord. No. 12-11, § 7, 7-16-2012; Ord. No. 15-03, § 6, 1-20- 2015; Ord. No. 16-16, § 3, 7-18-2016; Ord. No. 18-03, § 6, 3-19-2018; Ord. No. 24-06, § 2, 1-16-2024) Created: 2026-08-17 00:16:49 \[EST\] (Supp. No. 65) Page 2 of 2 August 27, 2026 City of Elk River Via E-Mail Attn: Planning Commission, Zack Carlton, Community zcarlton@elkrivermn.gov Development Director 13065 Orono Pkwy NW Elk River, MN 55330 Re: Proposed Rezoning of 12785 Elk Lake Road NW from I-1 Light Industrial to C-1 Central Business District Our Client: Chambers Investment Company Planning Commission Special Meeting - September 1, 2026 Dear Planning Commission Members: Our firm represents Chambers Investment Company, owner of 12785 Elk Lake Road NW (the “Property”). We submit this letter for the record concerning the City’s proposal to rezone the Property from I-1 Light Industrial to C-1 Central Business District. We request the Planning Commission table the proposed rezoning to allow sufficient time to analyze whether the City’s Comprehensive Plan should instead be brought into conformance with the Zoning Ordinance, rather than the other way around. In the alternative, we request the Planning Commission elect to rezone the Property to C-3, rather than C-1, which is more appropriate for the development pattern of the area. The Property has supported light industrial activity for decades, and the proposed rezoning to C-1 would impair the Property’s marketability in an area that is largely industrial in nature. I. Factual Background Our client’s family operated a business at the Property for decades. Chambers Investment Company continues to own the Property and leases it to light industrial tenants engaged in wholesale operations with associated outdoor storage. The longstanding use is consistent with the Property’s present I-1 zoning and has operated without issue. Relying on the Property’s established use and the City’s zoning representations, our client marketed the Property and entered into a purchase agreement on November 13, 2025. During due diligence, the buyer contacted the City regarding an old drainage easement and other City requirements. On January 12, 2026, the City issued a written zoning verification confirming that the Property was zoned I-1 Light Industrial and that its wholesale use complied with the City’s 1 Zoning Ordinance and other applicable ordinances. The City later provided information 1 SeeExhibit A enclosed herein. August 27, 2026 Page 2 concerning the drainage easement without identifying any zoning obstacle to the proposed transaction. The City knew the Property was under contract and being evaluated for continued light industrial use. Nonetheless, on June 3, 2026, only weeks before the scheduled June 30 closing, City staff advised the buyer that “a change to a light industrial user would not be allowed without the land 2 use amendment to reflect the zoning.” The buyer canceled the transaction one week before closing. When Mike Chambers then asked City staff on June 23 whether the Property could be marketed as light industrial, staff again confirmed that it was zoned I-1 and told him, “you are good to go.” The conflicting messages have caused demonstrable harm. Since the canceled sale, three additional prospective buyers have ended discussions after contacting the City. II. The Existing I-1 Zoning Governs Permitted Uses The Property is guided Neighborhood Commercial under the City’s Comprehensive Plan, which was updated in 2021. The Property is outlined in red in the below image. 2 SeeExhibit B enclosed herein. August 27, 2026 Page 3 The Comprehensive Plan guides the Property as Neighborhood Commercial, but the Property and the parcels immediately east are isolated from the broader pattern of surrounding land uses. A substantial area directly across Elk Lake Road NW is guided Industrial, reflecting the area’s historic light industrial character. Despite the future land use designation, the Property nevertheless remains zoned I-1 Light Industrial. That district permits business offices, light manufacturing, research and development facilities, warehouses, and wholesale businesses. The proposed buyer did not seek redevelopment or discretionary land use approval. It sought only to occupy the Property for permitted light industrial activity. Minnesota law distinguishes existing zoning requirements from long-range comprehensive-plan guidance. A permitted use may be established when it satisfies the applicable ordinance 3 standards, and the City’s review is limited to determining compliance with those standards. By zoning the Property as I-1 Light Industrial, the City has “exercised its discretion and determined that \[permitted uses are\] consistent with the public health, safety, and general welfare and 4 consonant with the goals of its comprehensive plan.” The City therefore has no authority to prohibit establishment of permitted I-1 uses unless and until the district is rezoned or the Zoning 5 Ordinance amended. Because consistency with a future land-use designation is not an additional standard for a permitted use under the I-1 District, the City should not have treated that designation as a basis to bar a conforming change in user. The City’s representations directly interfered with our client’s ability to market and sell the Property, for which it has suffered substantial damages. III. The Proposed Rezoning Is Unnecessary and Premature On August 18, 2026, the City first notified our client by mail that the Planning Commission would 6 consider a City-initiated rezoning at a September 1, 2026 Special Meeting. Before receiving that notice, our client intended to use the City’s ordinary process to request Planning Commission guidance on the relationship between the existing zoning and future land-use designation in context of present marketability of the Property. Part of that outreach would have included a case to amend the Comprehensive Plan to conform with the zoning, rather than rezone the Property to a misguided future land use designation. There is no demonstrated need to accelerate the rezoning. The inconsistency has existed since the Comprehensive Plan was updated in 2021, yet the City repeatedly confirmed the Property’s I-1 zoning while our client relied on those representations in an active sale. The city is also working with a consultant on a comprehensive review of the Zoning Ordinance and zoning districts, which is anticipated to be completed in early 2027. Under these circumstances, a site- specific rezoning at a special meeting is premature. The more reasoned course is to preserve 3 PTL, L.L.C. v. Chisago County Board of Commissioners, 656 N.W.2d 567, 571 (Minn. App. 2003). 4 Chanhassen Estates Residents Ass’n v. City of Chanhassen, 342 N.W.2d 335, 340 (Minn. 1984). 5 See id. (finding that designation of specific permitted uses in a zoning district is “conclusive”). 6 SeeExhibit C enclosed herein. The City’s letter is dated August 14, 2026 but was not received by our client until August 18. August 27, 2026 Page 4 the existing zoning and address the area comprehensively through the forthcoming planning process, with meaningful notice and participation by affected property owners. In addition, rezoning the Property and the easterly adjacent parcel to C-1 while such land is surrounded by land zoned and guided industrial to the south and land guided public/semi-public to the north has characteristics of unlawful spot zoning. “Spot zoning” applies to “zoning changes, typically limited to small plots of land, which establish a use classification inconsistent with surrounding uses and create an island of nonconforming use within a larger zoned 7 district.” This is precisely what the City’s proposed rezoning would do—create an island of nonconforming use within a district presently zoned I-1 and historically used for industrial purposes. IV. Rezoning to C-3 Would Strike a More Appropriate Balance Between Commercial and Light Industrial Uses If the City is determined to rezone the Property, rezoning the Property to the C-3 Highway Commercial District is more appropriate than rezoning it to C-1 because C-3 expressly accommodates the type of commercially oriented, quasi-industrial activity that is consistent with the Property’s historic industrial use. The stated purpose of the C-3 district is not limited to traditional retail and service businesses. Rather, the district is specifically intended to accommodate “quasi-industrial and wholesale enterprises” that may not require an industrial 8 setting but involve substantial customer contact. This purpose makes C-3 a more logical and flexible transition from the Property’s historic industrial use than the more conventional commercial character of C-1. The only property in the City zoned C-1 is located in the downtown area, which is appropriate given the C-1 District is “intended to encourage uses and designs that are consistent with the historic character of the central business district.” The Property is materially unlike property presently zoned C-1, and it makes little practical sense to establish a C-1 zone in an area sandwiched between industrial and public land users. The above image shows the only land we could locate zoned C-1 The uses allowed in C-3 reinforce the distinction. In addition to ordinary commercial uses, the district permits or conditionally allows motor vehicle service stations, carwashes, garden 7 Rochester Ass'n of Neighborhoods v. City of Rochester, 268 N.W.2d 885, 891 (Minn.1978). 8 City Code § 30-1024(a). August 27, 2026 Page 5 centers, equipment rentals, contractor yards, light manufacturing associated with retail sales, ministorage, motor vehicle repair, motor vehicle specialty services, and other uses with operational characteristics commonly associated with industrial or service-commercial properties. These uses may involve equipment, vehicle activity, production, repair, storage, or outdoor operations that would not fit comfortably within a district intended primarily for lower- intensity commercial uses. C-3 therefore provides the City with an appropriate middle ground. It allows the Property to transition away from exclusively industrial zoning without disregarding its historic use, existing development pattern, and suitability for businesses that have both commercial and light- industrial characteristics. It also preserves municipal oversight because the more intensive quasi-industrial uses, including equipment rentals, contractor yards, light manufacturing, 9 ministorage, and motor vehicle repair, require conditional use approval. That process allows the City to evaluate site-specific impacts and impose reasonable conditions rather than excluding potentially appropriate uses through an unnecessarily restrictive C-1 classification for an area that is light industrial in nature. Rezoning to C-1 would risk creating a mismatch between the zoning designation and the property’s physical and historical context. By contrast, C-3 recognizes that some properties are best suited for a broader combination of retail, service, wholesale, automotive, and quasi- industrial uses. Given the historically industrial nature of the Property, C-3 would provide greater flexibility for productive reuse while maintaining its commercial orientation and allowing the City to regulate potentially more intensive activities through the conditional use process. Accordingly, C-3 represents the more reasonable and economically practical zoning designation. V. Rezoning Would Not Eliminate the Existing Use It is worthwhile to mention that regardless of a rezoning, the existing retail and wholesale operation with outdoor storage may subsequently continue. The City’s notice of the rezoning to our client stated that the future land-use designation “takes priority when the city reviews proposed uses and development of the property” and that the current retail and wholesale operation with outdoor storage would no longer be allowed in the C-1 District. Even if the rezoning is approved, however, the existing lawful use would remain protected as a legal nonconforming use. Minnesota law protects nonconforming use rights against a municipality’s zoning authority. Minnesota Statutes section 462.357, subdivision 1e(a), protects a lawful use existing when an additional zoning control is adopted. Such a use may continue, including through repair, replacement, restoration, maintenance, or improvement, subject to the statute’s limitations on expansion, discontinuance, and destruction. The Minnesota Supreme Court has otherwise held that a municipality can only terminate nonconforming use rights by the power of eminent domain 10 or by written agreement or waiver of the property owner. The City Code likewise recognizes that nonconforming rights attach when an ordinance 11 amendment creates the nonconformity. Those rights would run with the Property, and City 9 City Code § 30-1024(d). 10 White v. City of Elk River, 840 N.W.2d 43, 51 (Minn. 2013). 11 City Code § 30-701. August 27, 2026 Page 6 Code section 30-695 permits a nonconforming use to change to another nonconforming use of the same or a more restricted classification. Rezoning therefore would not remove the existing use. It would instead create a legal nonconformity, reduce regulatory clarity, and further burden the Property’s marketability. Ourclientwasalsoinformedthatnonconforminguserightswouldterminateafter6monthsof discontinuanceofause,startingfromJune2026.WeseekclarificationfromtheCityonthe basisforthispositionsincetheexistinguseofthePropertywouldnotbeconsidered legallynonconforminguntilanactualadversezoningchanceoccurs,whichhasnotyet happened.Second,CityCodeSection30-694(a)followsMinnesotalawrequiringthatausebe discontinuedforaperiodof12monthsbeforelosinglegalnonconformingstatus,not6 12 months.Municipalitieslackauthoritytoshortentheperiodofdiscontinuanceforterminationof nonconforminguserights,andanyattempttodosowouldbeexpresslypreemptedbystate 13 law. Minnesota courts have long recognized that the significance of common law property rights requires zoning ordinances to be construed strictly against municipalities and in favor of 14 property owners. Consistent with that principle, courts and legislatures generally permit lawful 15 nonconforming uses to continue, even while limiting their expansion. This longstanding policy reflects a strong preference for protecting vested property rights and preserving a property owner's ability to continue an existing nonconforming use. VI. Requested Action For these reasons, Chambers Investment Company respectfully requests that the Planning Commission table the item for further discussion at a later date to allow both the City and our client more time to analyze the future land use designation for the Property, including whether such land use designation should be brought into alignment with the zoning, rather than the other way around. It may also be prudent for the Planning Commission to simply defer action until the City’s upcoming comprehensive-planning process can evaluate the area as a whole and affected property owners have a meaningful opportunity to participate. In the alternative, if the City is determined to rezone the Property now, we respectfully request the new zoning classification be C-3, rather than C-1, which better aligns with the historical and existing uses in the area and permits greater use flexibility. While our client believes I-1 zoning is appropriate for the Property, C-3 zoning would at least preserve some quasi-industrial uses and wholesale operations that are consistent with surrounding areas. Because such uses would be conditional, the City would have the ability to regulate or review such uses through the conditional use permit process. While our client wishes to collaborate with the City on the above issues, the City’s interference with our client’s ability to use and sell the Property is unacceptable. By advising prospective 12 City Code § 30-694(a) (“If a nonconforming use of any building or premises is discontinued or its normal operation stopped for a period of 12 months, the use of the building or premises shall thereafter conform to the regulations of the district in which it is located.”) 13 Minn. Stat. § 462.357. subd. 1e(a). 14 Frank's Nursery Sales, Inc. v. City of Roseville, 295 N.W.2d 604, 608 (Minn.1980). 15 Krummenacher v. City of Minnetonka, 783 N.W.2d 721, 726 (Minn.2010) August 27, 2026 Page 7 purchasers that the Property’s user may not be changed for a lawful industrial use, the City has already caused significant financial harm. And by ignoring the nature of nonconforming use rights that would attach following a rezoning, the City has compromised our client’s expectations for use of private property. The City has further compounded that harm by incorrectly asserting that nonconforming use rights expire after 6 months, despite the Property currently being located in a conforming zoning district and the City’s own Zoning Ordinance providing otherwise. Our client would prefer not to escalate these issues or seek judicial intervention to enforce the plain language of applicable law and the City’s Zoning Ordinance. However, our client cannot stand by while the City’s actions unlawfully diminish the Property’s permitted uses, marketability, and value. We appreciate the Planning Commission’s consideration. Please include this letter and its exhibits in the record. If you have questions, please contact me directly at (952) 896-1559. Sincerely, Sincerely, Craig W. Hardie, for Tamara O’Neill Moreland, for Larkin Hoffman Larkin Hoffman Direct Dial: (952) 896-1559 Direct Dial: 952-896-6711 Direct Fax: (952) 842-1713 Direct Fax: 952-842-1749 Email: chardie@larkinhoffman.com Email: toneill@larkinhoffman.com *MSBA Board Certified Specialist in Real Property Law Attachment cc: Mike Chambers, Chambers Investment Company (mchambers1@hedberghome.com) Chris Leeseberg, Senior Planner (cleeseberg@elkrivermn.gov) 4907-3295-0218, v. 3 EXHIBIT A January 12, 2026 ViaEmail LandTitleInc.csanow@landtitleinc.com 2200 County Road C West, Suite 2205kwald@landtitleinc.com Roseville, MN 55113 Re: Zoning Letter – 12785 Elk Lake RoadNW, Elk River, MN 55330 DearCole Sanow; Wehave received your request for zoning verification of the above referenced property. 1.The zoning designation is I1– Light Industrialand ordinance (Sec. 30-1292) is attached. 2.There are no variances, conditional use permits, or special use permits issued for the property. 3.The use of the property as awholesale business complieswith the zoning code and other applicable city ordinances. 4.The abutting zoning districts are: a.North – Single Family Residential (R1c) b.East – Light Industrial (I1) c.South – Light Industrial (I1) d.West – Single Family Residential (R1c) 5.There are no overlay districtson the subject parcel. 6.As of January 12, 2024, there are no outstanding zoning code, building, or fire violations. 7.FEMA flood information is attached. 8.The propertyis not located in any local or national historical preservation district. This information was researched by the undersigned, upon request, by you. The undersigned certifies that the above information is believed to be accurate based on or relating to the information supplied, and to the best of their knowledge, however, neither the undersigned nor the City assumes liability for errors and omissions in the provision of the above information. All information was obtained from public records which may be inspected by you during regular business hours. Phone: 763.635.1000 Fax: 763.635.1090 www.ElkRiverMN.gov If you have any further questions, please feel free to contact me at 763.635.1033or cleeseberg@ElkRiverMN.gov Sincerely, Chris Leeseberg Senior Planner Encl. Sec. 30-1292.I-1 light industrial district. (a) Purpose. The I-1 district shall serve as a transition between more industrial uses and residential and other business uses. This district is appropriate for manufacturing, warehousing, and similar industrial uses because of access to warehousing, thoroughfares, the full complement of urban services such as sewer and water, and distance from residential districts. These areas are intended to encourage the development of industrial uses which are clean, quiet, and free of hazardous or objectionable elements such as noise, odor, dust, smoke, glare, or other pollutants. These industries shall be compatible with each other and with surrounding land uses. (b) Permitted uses. Permitted uses in the I-1 district are as follows: (1) Business offices. (2) Manufacturing, light. (3) Research and development facilities. (4) Warehouse spaces. (5) Wholesale businesses. (c) Accessory uses. Accessory uses in the I-1 district are as follows: (1) Cocktail rooms. (2) Parking lots. (3) Retail sales. a. The retail sales activity is not located in an administrative office facility, but is located within a business, the principal use of which is not commercial sales. b. The retail sales activity does not occupy more than 15 percent of the gross floor area of the occupied quarters. c. The retail sales activity is accessory to the principal use. d. No sign identifying the retail sales is visible from the outside of the building. (4) Signs (as permitted in section 30-851 et seq.). (5) Structures, accessory. (d) Conditional uses. Conditional uses in the I-1 district are as follows: (1) Brewer taprooms. (2) Bus storage. Not to exceed ten buses, unless the property has direct access to an arterial or collector street. (3) Commercial cannabis cultivation, provided that: a. The proposed cultivation facility has all permits required for operation, including all permits required by the state of Minnesota under Minn. Stats. Ch. 342, as it may be amended from time to time. A conditional use permit under this section may issue before the grantee has obtained all necessary permits; however, the grantee shall submit proof of obtaining the necessary permits to the City of Elk River before any cultivation operations begin. (4) Commercial recreational facilities. (5) Dry cleaning establishments. Created: 2025-09-17 17:10:34 \[EST\] (Supp. No. 64) Page 1 of 2 (6) Government facilities. (7) Landscaping contractor yards. (8) Microbreweries. (9) Motor vehicle, trailer, and/or equipment sales. (10) Outdoor storage (accessory to principal use). (11) Recycling processing centers. (12) Residential, single-family accessory to principal uses, provided that: a. The nature of the principal use of the property makes it necessary or highly desirable from both the property owner's and the city's perspective to have a 24-hour-a-day caretaker or security person reside on the property. b. The proposed dwelling unit is designed for and will be used exclusively by caretakers or security personnel responsible for the security of the property and the principal use thereof. c. The proposed building unit will be occupied by no more than two persons, neither of whom may be under 18 years of age. d. There will be only one dwelling unit per lot or, if one principal use is located on several adjoining lots, per principal use. e. The proposed dwelling unit will not exceed 800 square feet in size and will be located within a building serving the principal use of the property which is no less than 10,000 square feet in size. f. The principal use of the property is not of such a nature that it would be dangerous or hazardous to residents of the proposed dwelling unit. g. The proposed dwelling unit meets all other requirements of this Code and Minnesota Uniform Building Code for occupancy as a dwelling unit by a single family. The city council may, if it finds it necessary to do so for the protection of the health, safety and welfare of persons who may occupy the proposed dwelling unit, impose additional reasonable requirements or conditions on the construction and use of the dwelling unit. h. The conditional use allowing such a dwelling unit in an industrial zone is deemed to be unique to the principal use of the property and the ownership of the property and the principal use. Any conditional use permits granted under this section shall therefore automatically expire if the principal use of the property changes or the ownership of either the property or the principal use of the property changes. (e) Architectural standards. No provision of section 30-938 except subsection 30-938(2) pertaining to building finish and subsection 30-938(3) pertaining to roofs applies to this district. (Code 1982, § 900.12(14); Ord. No. 04-003, § 1, 1-20-2004; Ord. No. 05-03, § 1, 1-18-2005; Ord. No. 05-07, § 4, 4-4- 2005; Ord. No. 05-08, § 1, 4-4-2005; Ord. No. 07-07, § 5, 7-16-2007; Ord. No. 08-03, §§ 1, 2, 2-19-2008; Ord. No. 09-06, § 3, 7-20-2009; Ord. No. 10-12, § 1, 8-2-2010; Ord. No. 12-11, § 7, 7-16-2012; Ord. No. 15-03, § 6, 1-20- 2015; Ord. No. 16-16, § 3, 7-18-2016; Ord. No. 18-03, § 6, 3-19-2018; Ord. No. 24-06, § 2, 1-16-2024) Created: 2025-09-17 17:10:34 \[EST\] (Supp. No. 64) Page 2 of 2 EXHIBIT B September 16, 2026 City of Elk River Via E-Mail Attn: City Council; Zack Carlton, Community zcarlton@elkrivermn.gov Development Director 13065 Orono Pkwy NW Elk River, MN 55330 Re: Proposed Rezoning of 12785 Elk Lake Road NW from I-1 Light Industrial to C-1 Central Business District Our Client: Chambers Investment Company City Council Meeting - September 21, 2026 Dear Honorable Mayor and City Council Members: Our firm represents Chambers Investment Company, owner of 12785 Elk Lake Road NW (the “Property”). We write regarding the proposed City-initiated rezoning of the Property and nearby parcels from I-1 Light Industrial to C-1 Central Business District. We respectfully request that the City Council adopt the Planning Commission’s unanimous recommendation, deny the proposed rezoning, and direct City staff to prepare an amendment to the Comprehensive Plan future land use map changing the affected properties’ land use designation from Neighborhood Commercial back to Industrial. The Planning Commission unanimously denied the rezoning request and further expressed consensus that the Comprehensive Plan should instead be amended to reflect the longstanding industrial character and zoning of the area. We fully agree with the Planning Commission’s discussion and recommendation as the City’s appointed planning and land use advisory body. I. Factual Background Our client’s family operated a business at the Property for decades. Chambers Investment Company continues to own the Property and leases it to light industrial tenants engaged in wholesale operations with associated outdoor storage. The Property has historically accommodated wholesale and other low-intensity industrial uses with associated outdoor storage and has operated without documented conflicts with surrounding properties. In January 2026, the City issued a zoning verification letter confirming that the Property was zoned I-1 Light Industrial and that its wholesale use complied with applicable City ordinances. Relying on the Property's longstanding industrial use and the City's zoning confirmation, Chambers Investment Company entered into a purchase agreement for the Property in November 2025 with a buyer intending to continue light industrial operations. During the purchaser's due diligence period, however, City staff advised that a new light industrial user would not be permitted unless the Comprehensive Plan land use designation was amended or September 16, 2026 Page 2 the Property was rezoned. The purchaser subsequently terminated the transaction, and additional prospective buyers later ended discussions after receiving similar information from the City regarding the inconsistency between the Comprehensive Plan and the Property's zoning. The Planning Commission considered City staff’s proposal to rezone the Property and neighboring parcels from I-1 Light Industrial to C-1 Central Business District on September 1, 2026. After hearing testimony from City staff, Chambers Investment Company, and other interested parties, the Planning Commission unanimously voted to recommend denial of the proposed rezoning and expressed consensus that the City Council should instead direct staff to amend the Comprehensive Plan future land use map to designate the area Industrial, thereby bringing the Comprehensive Plan into conformity with the existing zoning and longstanding development pattern of the area. II. The Existing I-1 Zoning and Future Land Use Designation The current inconsistency between the Comprehensive Plan and the Zoning Ordinance does not compel the City to rezone the Property. It presents the City Council with a policy choice as to which designation more accurately reflects the Property, the surrounding development pattern, and the City’s long-term land use objectives. Here, the record supports amending the Comprehensive Plan future land use map from Neighborhood Commercial back to Industrial, rather than changing the Property’s existing I-1 Light Industrial zoning. The Property has been zoned and used for light industrial purposes for decades. Its current wholesale use complies with the I-1 district, and the City confirmed that compliance in its January 2026 zoning verification. The parcels also form part of an established industrial area, including the substantial area directly across Elk Lake Road NW that the Comprehensive Plan already designates Industrial. By contrast, the Neighborhood Commercial designation isolates the Property and the immediately adjacent parcels from the surrounding industrial development pattern and does not reflect their historical or existing use. The City should not treat the Comprehensive Plan designation as presumptively correct merely because it conflicts with the existing zoning. Comprehensive plans are intended to guide orderly development, but their maps may be amended when they do not accurately reflect established land uses, zoning patterns, or sound planning policy. Several members of the Planning Commission specifically questioned whether the future land use designation accurately represents the actual development pattern in this area and recognized that consistency may properly be achieved by amending the Comprehensive Plan to conform to the longstanding zoning, rather than changing the zoning to conform to a planning designation that does not fit the Property or its surroundings. Amending the Comprehensive Plan is also the more reasonable and less disruptive means of resolving the inconsistency. Rezoning the Property to C-1 would not eliminate its existing 1 industrial operation, which would remain as a lawful nonconforming use. Instead, rezoning 1 Minn. Stat. § 462.357, subd. 1e(a); City Code § 30-694(a); White v. City of Elk River, 840 N.W.2d 43, 51 (Minn. 2013). September 16, 2026 Page 3 would unnecessarily create a nonconformity, reduce certainty concerning future use and redevelopment, and further impair the Property’s marketability. Those consequences are particularly unwarranted where no existing incompatibility, nuisance, zoning violation, or other land use conflict has been identified. By comparison, changing the future land use designation to Industrial would align the Comprehensive Plan with the Property’s established use, the existing I-1 zoning, and the broader industrial character of this portion of Elk Lake Road NW. It would preserve regulatory certainty without sacrificing City oversight because more intensive uses would remain subject to the Zoning Ordinance, including conditional use permit review where required. The City Council should therefore resolve the inconsistency by directing staff to prepare a Comprehensive Plan amendment designating the affected properties Industrial, not by imposing C-1 zoning on properties that have long been planned, zoned, and used for compatible light industrial purposes. III. The City Council Should Adopt the Planning Commission’s Unanimous Recommendation of Denial and Direct Staff to Prepare a Comprehensive Plan Amendment to Instead Change the Future Land Use Designation 2 The Planning Commission serves as the City's appointed planning and land use advisory body. Its role is to evaluate proposed zoning and comprehensive plan changes, hold public hearings, weigh the evidence presented by staff and affected property owners, and make recommendations to the City Council. While the City Council retains final authority, the Planning Commission's unanimous recommendation to deny the rezoning and instead pursue a comprehensive plan amendment reflects the considered judgment of the body charged with advising the Council on land use and planning matters. The Planning Commission reached the correct conclusion. As discussed during the public hearing, the existing I-1 zoning has governed these properties for decades and has supported compatible light industrial uses without demonstrated adverse impacts to neighboring properties. The Property has historically been used for light industrial and wholesale operations and continues to function in a manner fully consistent with the purposes of the I-1 district. The area south of Elk Lake Road NW remains industrial in character, and the properties proposed for rezoning form part of an established industrial corridor rather than a traditional commercial district. The record before the Planning Commission also demonstrated that the current mismatch between zoning and the future land use designation has already created practical and economic problems. Chambers Investment Company relied upon the City’s January 12, 2026 zoning verification confirming that the Property was zoned I-1 Light Industrial and that its wholesale business use complied with City ordinances. The Property was subsequently marketed for continued industrial use, and prospective purchasers expressed significant interest. However, uncertainty created by the inconsistency between the Comprehensive Plan and the zoning designation resulted in the loss of a pending sale and additional prospective transactions. As one commissioner noted during discussion at the public hearing, changing the zoning rather 2 See Minn. Stat. § 462.354, subd. 1. September 16, 2026 Page 4 than the Comprehensive Plan would effectively diminish the long-term value and marketability of the Property while solving no demonstrated public problem. Importantly, neither City staff nor any member of the public identified an existing land use conflict requiring immediate rezoning. Staff acknowledged that the current operation has functioned without known issues. Likewise, our client explained that the Property has operated for approximately forty years without documented complaints, nuisance issues, zoning violations, or conflicts with nearby residential, school, or daycare uses. Existing wetlands, vegetation, roadway separation, and institutional uses already provide significant buffering between the Property and surrounding neighborhoods. As noted above, several members of the Planning Commission expressed concern that the current Comprehensive Plan land use designation may not accurately reflect actual development patterns in this area. During discussion, commissioners observed that comprehensive plans are not infallible and that, in some circumstances, the land use designation should be adjusted to conform to existing zoning and established development patterns rather than requiring the zoning to change, thus rendering longstanding light industrial users such as our client nonconforming and significantly impacting reasonable expectations regarding the use and value of private property established over the course of four decades. Most significantly, the Planning Commission ultimately concluded that consistency between the Comprehensive Plan and Zoning Ordinance could be achieved by amending the Comprehensive Plan rather than rezoning the Property. City staff expressly acknowledged during discussions that both approaches were available and that maintaining the I-1 zoning would require a corresponding amendment to the future land use designation. The Planning Commission unanimously voted to recommend that the Council deny the rezoning request and consider changing the future land use designation back to Industrial to align with the established I-1 zoning. The Planning Commission’s recommendation is consistent with the historical use of the Property, the existing zoning pattern, and the practical realities of the area. Retaining the I-1 district preserves regulatory certainty, avoids creating unnecessary nonconformities, protects the ability of existing businesses to continue operating and attracting future users, and accurately reflects the industrial character that has existed at this location for decades. By contrast, rezoning the Property to C-1 would impose a land use classification associated with a substantially different development pattern, provide little demonstrable public benefit, and only serve to devalue the Property. IV. Retaining the I-1 Zoning Will Preserve the City’s Regulatory Oversight for More Intense Uses Retaining the existing I-1 Light Industrial zoning does not create an unrestricted opportunity for intensive industrial development. To the contrary, the I-1 district is specifically intended to accommodate industrial uses that are “clean, quiet, and free of hazardous or objectionable elements” and that are compatible with surrounding land uses. The district permits only a relatively limited range of uses, including business offices, light manufacturing, research and development facilities, warehouse space, and wholesale businesses. Moreover, many of the more intensive uses often associated with industrial districts are not permitted as of right. Uses such as motor vehicle or equipment sales, recycling processing September 16, 2026 Page 5 centers, bus storage, commercial cannabis cultivation, commercial recreational facilities, microbreweries, and brewer taprooms may only be established through the conditional use 3 permit process. As a result, if a future property owner were to propose a use with potentially greater off-site impacts than the Property's longstanding wholesale and outdoor storage operations, the proposal would remain subject to City review and approval through a conditional use permit application. The City Council would retain full authority to evaluate the specific proposal, consider compatibility with surrounding properties, impose appropriate conditions, or 4 deny the request altogether. Accordingly, maintaining the existing I-1 zoning does not deprive the City of regulatory oversight. Rather, it preserves the Property's longstanding and appropriate industrial classification while allowing the City to scrutinize and regulate any future proposal for a more intensive industrial use through its existing conditional use permit procedures. V. Conclusion For these reasons, Chambers Investment Company respectfully requests that the City Council: 1. Adopt the Planning Commission’s recommendation and deny the proposed rezoning of the Property from I-1 Light Industrial to C-1 Central Business District; and 2. Direct City staff to initiate and prepare a Comprehensive Plan amendment changing the future land use designation for the affected properties from Neighborhood Commercial back to Industrial so that the Comprehensive Plan and Zoning Ordinance remain consistent. We appreciate the City Council’s consideration of this matter and its attention to the Planning Commission’s thoughtful recommendation. We respectfully request that this letter be included in the record for the September 21, 2026 City Council meeting. Please include this letter in the record. If you have questions, please contact me directly at (952) 896-1559. Sincerely, Sincerely, Craig W. Hardie, for Tamara O’Neill Moreland, for Larkin Hoffman Larkin Hoffman Direct Dial: (952) 896-1559 Direct Dial: 952-896-6711 Direct Fax: (952) 842-1713 Direct Fax: 952-842-1749 Email: chardie@larkinhoffman.com Email: toneill@larkinhoffman.com *MSBA Board Certified Specialist in Real Property Law cc: Mike Chambers, Chambers Investment Company (mchambers1@hedberghome.com) Chris Leeseberg, Senior Planner (cleeseberg@elkrivermn.gov) 3 City Code § 30-1292(d). 4 City Code §§ 30-651(a), 30-653, 30-654, 30-655. September 16, 2026 Page 6 4913-7446-7536, v. 1 Central Business District (C-1 )Light Industrial (I-1) Permitted UsesPermitted Uses Bed and breakfasts establishments, non-homeowner-occupied (shall only be allowed in an existing single family residential structure).Business offices. Brewer taprooms, (producing less than 10,000 barrels of malt liquor annually).Manufacturing, light. Brewpubs.Research and development facilities. Business offices.Warehouse spaces. Day cares.Wholesale businesses. Financial institutions. Firearms, sale of. Funeral homes. Health care facilities, outpatient. Hotels. Personal service establishments. Physical recreation or training. Public parks. Restaurants, class I. Retail sales. Accessory UsesAccessory Uses Parking lots.Cocktail rooms. Private recreational facilities.Parking lots. Signs (as permitted in section 30-851 et seq.).Retail sales. With numerous rquirements Structures, accessory.Signs (as permitted in section 30-851 et seq.). Structures, accessory. Conditional UsesConditional Uses Apartments (subordinate to the principal use).Brewer taprooms. Brewer taprooms, (producing less than 10,000 or more barrels of malt liquor annually).Bus storage. Not to exceed ten buses, unless the property has direct access to an arterial or collector street. Commercial recreational facilities.Commercial cannabis cultivation, provided that: Governmental facilities.Commercial recreational facilities. Health care facilities, inpatient.Dry cleaning establishments. Hospital.Government facilities. Kennel, commercial.Landscaping contractor yards. Liquor establishments, on-sale.Microbreweries. Motor vehicle service stations.Motor vehicle, trailer, and/or equipment sales. Nonprofit clubs, lodges or halls.Outdoor storage (accessory to principal use). Religious institutions.Recycling processing centers. Residential, multiple-family (provided that business/commercial uses occupy the ground floor below the residential use).Residential, single-family accessory to principal uses Restaurants, class II. Saunas, steam baths, and heat-bathing rooms. Strikethroughs to be removed Underlines to be added Ordinance 26- An Ordinance Amending the Zoning Map of the City of Elk River, Minnesota, to Rezone Certain Property from Light Industrial (I-1) to Central Business District (C-1) The City Council of the City of Elk River does hereby ordain as follows: SECTION 1. That the duly adopted Zoning Map of the City of Elk River is hereby amended to rezone the properties described on attached Exhibit Ato Central Business District (C-1) SECTION 2. That the rezonings approved by this Ordinance are based on the following findings: 1.The rezoning is consistent with the City of Elk River Land Use Plan adopted as part of the City of Elk River Comprehensive Plan. SECTION 3. 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 21st day of September, 2026. ______________________________ John J. Dietz, Mayor ATTEST: _______________________________ Justin Dunford, City Clerk Strikethroughs to be removed Underlines to be added Exhibit A Properties: 75-00129-4101, 75-00128-3203, 75-00552-0105, 75-00576-0105, 75-00576-0125, 75-00576-0120, 75-00576-0115, 75-00576-0110, and 75-00552-0205. Zone Change City of Elk River Comp Plan Update 2021 Consultant hired to update the Comp Plan Comp Plan Advisory Committee, consultant, and staff worked closely to update the plan Long-range strategic visioning document, guiding orderly growth, public and private development for a 10–20 year window Comp Plan Update 2021 Narrow strip of land between a 4-lane roadway and residentially zoned district Changes in development patterns Industrial uses are no longer the best fit for the area was decided Change was recommended to better align with nearby residential homes, day care, and school Comp Plan Update 2021 The city invested significant amounts of taxpayer funds, staff time, and community involvement and commitment to review and update the Comp Plan Ensuring the community is invested in the long-term development of the city This involved reviewing subject areas and potential impacts to the surrounding property owners Comp Plan Update 2021 City chose to guide the subject properties away from industrial to reduce potentially negative impacts to adjoining residential areas Creating a buffer Adopted by the City Council on Oct 18, 2021 Zoning Zoning should have been updated in 2021 When that decision was made This area was missed in the update Conditional Use Permits Zoning and Land Use need to match for CUPs CUPs cannot be approved Standard #2: will be consistent with the Comp Plan Existing Uses All current uses, except the landscape contractor yard, will be allowed under the proposed C-1 zoning If the zone change to C-1 is adopted Contractor yard would be legal non-conforming, and Could continue to operate and/or be sold as a landscape contractor yard unless it has ceased operation for more than one year Planning Commission Multiple parties representing the property owner spoke in opposition Zoned industrial for decades with no issues Selling Commercial more difficult than Industrial “Spot Zoning” would create an island of non- conforming uses Planning Commission True there have been no issues with previous use But it was not your typical industrial use More intensive uses will be allowed Staff have received inquires for: Truck storage Heavy crane equipment storage Commercial recreational Planning Commission It would not be an island of non-conforming uses If amended to C-1 All but one use would be allowed If amended to be all I-1 All but one use would be allowed Planning Commission PC recommended denial as it was a burden on existing property owner Recommended LU be amended Action Requested Staff recommends that the zoning be changed to match the adopted land use map Consistent with the direction of the community engagement during the Comp Plan development Action Requested The recommendation from the PC was to deny the ZC and asked the CC to direct staff to move forward with a land use amendment Request for Action ToItem Number City Council7.4 Meeting DatePrepared By September 21, 2026Chris Leeseberg, Senior Planner Item DescriptionReviewed by Ordinance 26-20: Amend the Ordinance to Allow Zack Carlton Cottage Food Sales as a Permitted Residential Cal Portner OccupationJustin Dunford Action Requested Adopt, by motion, Ordinance 26-20 amending Section 30-801, Residential Occupations, establishing an exception to the prohibition of onsite sales related to cottage food businesses which are licensed and registered with the state. Background/Discussion Staff have received numerous inquiries over the past few years regarding the sale of cottage food products from residential properties. Under the current Residential Occupations Ordinance, Section 30-801, onsite sales are prohibited unless they are incidental to the services provided. For example, a home-based hair salon may sell hair care products as an incidental component of its services. Wholesale or retail sales are permitted when conducted entirely through courier, mail, or email. The sale of cottage foods would not fall into either of these categories and is considered a prohibited use. Planning Commission The Planning Commission held a public hearing on September 1, 2026. No one spoke for or against the proposed amendment and the commission unanimously recommended that Section 30-801 be amended to create an exception to allow onsite sales related to cottage food businesses which are registered with the state. Public Comment After the Planning Commission meeting, staff received an email asking if the ordinance could allow farm stands or tables along the roadway to allow the sale of baked goods. The proposed language would not allow roadside stands and staff believe it should be limited to the house and/or porch, as residential occupations are limited to the house unless an Interim Use Permit is obtained to operate in an accessory structure. This also eliminates the need to determine if booths/tables are in the right-of-way and pose a hazard to the public. An example would be tables or products blowing into the street and their impacts on visibility. If the city council would like to allow roadside tables or stands, the draft ordinance should be amended to allow them. The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Financial Impact None Mission/Policy/Goal Meet changing needs - agile. Attachments 1.Planning Commission Memo dated 9-1-2026 2.Public Comment Email 3.Ordinance 26-20 4.7.4 Cottage Food Presentation Request for Action ToItem Number Planning Commission5.3 Meeting DatePrepared By September 1, 2026 Chris Leeseberg, Senior Planner Item DescriptionReviewed by Ordinance Amendment: Cottage Food Exemption Zack Carlton to the Residential Occupation Standards Action Requested Recommend, by motion, approval of the ordinance amendment allowing cottage food sales as a residential occupation. Background/Discussion Staff have received numerous inquiries over the past several months regarding the sale of cottage food products from residential properties. Under the current Residential Occupations Ordinance, Section 30-801, on-site sales are prohibited unless they are incidental to the services provided. For example, a home-based hair salon may sell hair care products as an incidental component of its services. Wholesale or retail sales are permitted when conducted entirely through courier, mail, or email. Staff updated the City Council with the growing interest from residents in allowing cottage food sales from residential properties. In response, the City Council directed staff to amend Section 30-801 to establish an exception to the prohibition of onsite sales related to cottage food businesses registered with the state. Financial Impact None. Mission/Policy/Goal Meet changing needs - agile. The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Attachments 1.Draft Ordinance Language {Ļĭ͵ ЌЉΏБЉЊ͵ wĻƭźķĻƓƷźğƌ ƚĭĭǒƦğƷźƚƓƭ͵ (a) tǒƩƦƚƭĻ. The purpose of this section is to provide a means, through the establishment of specific standards and procedures, by which residential occupations can be conducted in residential neighborhoods, without jeopardizing the residential character or health, safety, and general welfare of the surrounding neighborhood as well as the users of the property. In addition, this section is intended to provide a mechanism enabling a distinction between permitted residential occupations and interim residential occupations, so that permitted residential occupations may be allowed through an administrative process rather than a quasi-judicial hearing process. (b) tƩƚŷźĬźƷĻķ ğĭƷźǝźƷźĻƭ͵ No residential occupation (permitted or interim) shall: (1) Be conducted by an individual who does not reside on the property and uses the residence as a primary address for legal purposes. (2) Operate between the hours of 7:00 p.m. and 7:00 a.m. Monday through Saturday and all day on Sunday. a. Exception. Permitted residential occupations as outlined in section 30-801(c). (3) Reduce the dimensions of accessory structure space, used for garage purposes, to less than 440 square feet where dimensions of 20' × 22' must be maintained. (4) Constitute a fire hazard to neighboring residences, adversely affect neighboring property values, or constitute a nuisance or otherwise be detrimental to the neighbors because of excessive traffic, noise, glare, odor, electrical interference, vibration, dust and other nuisance or safety hazards. (5) Involve any of the following: a. Ammunition manufacturing. b. Body shops. c. Escort businesses. d. Flea markets. e. Gun repair and/or sales. f. Hazardous materials or activities, as defined by the Minnesota State Building Code. g. Machine shops. h. Motor vehicle repairs, with the exception of parcels in the R1-A district on lots ten-acres or larger. i. Motor vehicle sales. j. Repair of internal combustion engines. k. Sexually oriented land uses. l. Wholesale or retail business, unless conducted entirely by courier, mail, or email. m. Welding. (6) Have signage greater than four square feet. (7) Adversely affect governmental facilities and services, including roads, sanitary sewers, water, storm drainage, garbage service, police and fire service, sensitive environmental features, including lakes, #±¤ ³¤£Ÿ ʆʂʆʊŻʂʌŻʅʋ ʂʂŸʅʊŸʈʊ Ơ%34ơ (Supp. No. 65) Page 1 of 3 surface water and underground water supply and quality, wetlands, slopes, floodplains, and soils, or other. (c) tĻƩƒźƷƷĻķ ƩĻƭźķĻƓƷźğƌ ƚĭĭǒƦğƷźƚƓƭ͵ Permitted residential occupations (occupation) shall be allowed subject to the conditions of this section, other applicable city ordinances, and state laws and statutes. Permitted residential occupations must satisfy the following criteria: (1) The occupation shall be carried out entirely within the dwelling unit. (2) No noise, lights, odors, dust, gas, heat, vibration, glare, or other physical manifestations resulting from the occupation shall be evident beyond the boundaries of the property on which the occupation is being conducted. (3) Use equipment which is not normally found in a home (such as, but not limited to, stationary power tools and salon seats), except that equipment which is typically in an office may be used. (4) The occupation shall not require internal or external construction features not customarily found in single-family residential dwellings. (5) A maximum of one full-time employee, or equivalent, other than those persons who customarily reside on the premises shall be employed. (6) Occupations involving teaching shall not exceed two pupils at a time. (7) Occupations shall not be serviced by delivery vehicles larger than 26,000 pounds gross vehicle weight. (8) Occupations shall not create a parking demand more than that which can be accommodated in an existing driveway or approved surface area, where no vehicle is parked closer than 15 feet to the curb line or edge of the paved surface nor is parked within any right-of-way. (9) On-site sales shall be limited to those clearly incidental to the services provided or to cottage food sales registered through the Minnesota Department of Agriculture. (10) There shall be no exterior evidence of the occupation such as displays or exterior storage of business equipment, materials, merchandise, inventory, and/or heavy equipment. (d) LƓƷĻƩźƒ ƩĻƭźķĻƓƷźğƌ ƚĭĭǒƦğƷźƚƓƭ͵ Residential occupations that do not involve prohibited activities but do not satisfy the permitted residential occupation criteria may be allowed with approval of an interim use permit by the city council pursuant to the provisions of subdivision III of division 2 of this article. (1) The council may impose such specific conditions with regard to the proposed use as it considers necessary to promote compatibility with and minimize any potentially adverse effects upon adjacent properties, the neighborhood, or the city. (2) Outdoor storage must satisfy the following criteria: a. Shall be in the R1-A district on lots five acres or larger. b. Shall follow section 30-807. c. Shall be setback 50-feet or more from all existing residential structures on adjacent parcels. (e) LƓƭƦĻĭƷźƚƓƭ. The city may at any reasonable time inspect the residential occupation to determine if the applicant is strictly adhering to the criteria for a permitted residential occupation or the conditions placed on an interim residential occupation. (f) wĻǝƚĭğƷźƚƓ ƚƩ ĻǣƦźƩğƷźƚƓ ƚŅ ğƓ źƓƷĻƩźƒ ǒƭĻ ƦĻƩƒźƷ ŅƚƩ ƩĻƭźķĻƓƷźğƌ ƚĭĭǒƦğƷźƚƓƭ͵ (1) An approved interim use permit shall terminate when the property is sold or when a lease has expired. (2) Expirations of interim residential occupations shall be as set forth in section 30-656. #±¤ ³¤£Ÿ ʆʂʆʊŻʂʌŻʅʋ ʂʂŸʅʊŸʈʊ Ơ%34ơ (Supp. No. 65) Page 2 of 3 (3) Revocation of interim use permits for residential occupations shall be as set forth in section 30-659. (g) tƩƚŅĻƭƭźƚƓğƌ ķĻƭźŭƓ ƭĻƩǝźĭĻƭ͵ The applicant shall engage the services of a person licensed pursuant to Minn. Stats., Ch. 326 to verify existing/new structures meet current commercial building codes based on the use. The exceptions set forth in Minn. Stats., § 326.03, subd. 2, and Minnesota Rules, part 1800.5900 shall apply to this section. (h) The property owner is responsible for the operations of the residential occupation and any liability related thereto. (Ord. No. 23-24, § 3, 11-20-2023) Editor's note(s)Ord. No. 23-24, § 3, adopted November 20, 2023, repealed the former § 30-801, and enacted a new § 30-801 as set out herein. The former § 30-801 pertained to home occupations and derived from the Code of 1982, § 900.25; Ord. No. 05-09, § 2, adopted April 4, 2005; Ord. No. 14-16, § 1, adopted November 17, 2014; Ord. No. 19-11, § 1, May 20, 2019. Cross reference(s)Licenses and business regulations, ch. 38. #±¤ ³¤£Ÿ ʆʂʆʊŻʂʌŻʅʋ ʂʂŸʅʊŸʈʊ Ơ%34ơ (Supp. No. 65) Page 3 of 3 From:Kayla Olson To:Chris Leeseberg Subject:Public Comment / Clarification on Cottage Food Ordinance Amendment (Case File No. OA 26-08) Date:Saturday, September 5, 2026 3:31:04 PM \[You don't often get email from kaylarutholson@gmail.com. Learn why this is important at https://aka.ms/LearnAboutSenderIdentification \] Dear Mr. Leeseberg, I am writing to express my strong support for the proposed Ordinance Amendment to allow Cottage Foods as a residential occupation in Elk River. I am very grateful that the City Council and staff are addressing the high interest in on-site sales. This change will be a wonderful support for local home bakers and makers. As a resident looking forward to utilizing this amendment, I would like to request a clarification regarding the operational limits of "on-site sales." Specifically, does the proposed language allow a resident to set up a temporary, farm-stand style table or booth in their yard/driveway to sell baked goods directly to neighbors during the day? Or will the ordinance restrict on-site transactions to occurring strictly inside the home, via porch pickup, or by pre-order only? Thank you for your time, hard work on this amendment, and guidance on how these specific boundaries will be defined. Best regards! Kayla Olson Sent from my iPhone Strikethroughs to be removed Underlines to be added __) Ordinance 26- An Ordinance Amending Chapter, 30, Section 30-801, Residential Occupations,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 § 30-801, Residential Occupations, of the City of Elk River Code of Ordinances shall be amended to read as follows: Section 30-801. Residential Occupations. (c)Permitted residential occupations. Permitted residential occupations (occupation) shall be allowed subject to the conditions of this section, other applicable city ordinances, and state laws and statutes. Permitted residential occupations must satisfy the following criteria: (2) It is the intent of this section that development reflect common themes using compatible architectural design and consistency in signage, landscaping, and lighting. It is also the intent to encourage businesses, which generate a high number of jobs per square foot rather than predominantly warehouse type uses. (1)The occupation shall be carried out entirely within the dwelling unit. (2)No noise, lights, odors, dust, gas, heat, vibration, glare, or other physical manifestations resulting from the occupation shall be evident beyond the boundaries of the property on which the occupation is being conducted. (3)Use equipment which is not normally found in a home (such as, but not limited to, stationary power tools and salon seats), except that equipment which is typically in an office may be used. (4)The occupation shall not require internal or external construction features not customarily found in single-family residential dwellings. (5)A maximum of one full-time employee, or equivalent, other than those persons who customarily reside on the premises shall be employed. (6)Occupations involving teaching shall not exceed two pupils at a time. (7)Occupations shall not be serviced by delivery vehicles larger than 26,000 pounds gross vehicle weight. (8)Occupations shall not create a parking demand more than that which can be accommodated in an existing driveway or approved surface area, where no vehicle is parked closer than 15 feet to the curb line or edge of the paved surface nor is parked within any right-of-way. (9)On-site sales shall be limited to those clearly incidental to the services provided or to cottage food sales registered through the Minnesota Department of Agriculture. (10)There shall be no exterior evidence of the occupation such as displays or exterior storage of business equipment, materials, merchandise, inventory, and/or heavy equipment. Strikethroughs to be removed Underlines to be added SECTION 2. That this ordinance shall take effect upon adoption and be published as provided by law. ST Passed and adopted by the City Council of the City of Elk River this 21day ofSeptember2026. ______________________________ John J. Dietz, Mayor ATTEST: _______________________________ Justin Dunford, City Clerk Ordinance Amendment City of Elk River Background Numerous inquiries regarding selling cottage food products from homes Currently On-site sales prohibited with residential occupations Planning Commission Presented to the PC No questions or concerns No one spoke for or against Unanimously recommended approval After PC Email asking if stands or tables along the road allowed Staff believe it should be limited to the house/porch As currently drafted Eliminates need to determine if in ROW Pose a possible hazard to the public Residential occupations are limited to the house Unless IUP obtained Action Requested Adopt, by motion, Ordinance 26-20 amending Section 30-801, Residential Occupations Request for Action ToItem Number City Council8.1 Meeting DatePrepared By September 21, 2026Joe Stremcha, Business Services Director/Assistant City Administrator Item DescriptionReviewed by PT Complex Playground NettingJeff Shelby Cal Portner Justin Dunford Action Requested Consider the Parks and Recreation Commission recommendation. Background/Discussion The protective shade structure at the Plants and Things Recreation Complex was determined to have failed in 2025. Earlier this year, the vendor removed the structure and reimbursed the city 80% of the cost. The Parks and Recreation Commission recommended that protective netting be re-installed without moving the playground. Staff worked with Bolton & Menk to arrive at an engineered solution to avoid the previous issue that led to removal. Bolton & Menk took the project out for bid on August 25. The bids were opened and presented to the Parks and Recreation Commission on September 9. The commission took the following action: Moved by Commissioner Niziolek and seconded by Commissioner Varty to recommend that City Council approve the Peterson Companies bid to install protective netting at the Plants and Things Recreation Complex and ask City Council to find an alternative funding source for the approximately $78,000. Motion carried 5-1. Commissioner Anderson voted no. The $78,000 is the approximate difference between the reimbursement amount and the recommended bid. Financial Impact Bid to Install New Protective Netting = $197,225 Mission/Policy/Goal Meet changing needs - agile Attachments 1.BidWorksheet_10327379_Eval 2.PT Complex Playground Protective Netting (September 21, 2026) The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Protective Netting Proposal The playground amenity was installed in 2022 at the Plants and Things Recreation Complex between Field #3 and Field #4. The original cost was $94,136. The original shade structure at the Plants and Things Recreation Complex was installed in 2023 at a total cost of just over $146,000. The installation was determined to have failed over the next two years. The city was refunded 80% of the total cost due to the failure of the structure, which amounted to approximately $117,000. The city worked with Bolton & Menk to arrive at an engineered solution to the project and Bolton & Menk took the project out for bids on August 25. The bidding process closed September 9 and the bids were presented to the Parks and Recreation Commission for recommendation. Two bids were received: Peterson Companies -$197, 225 Urban Companies -$278,000 After reviewing the bids, the commission took the following action: Moved by Commissioner Niziolek and seconded by Commissioner Varty to recommend that City Council approve the Peterson Companies bid to install protective netting at the Plants and Things Recreation Complex and ask City Council to find an alternative funding source for the approximately $78,000. Motion carried 5-1. Commissioner Anderson voted no. The request for the alternative funding of $78,000 is to cover the remaining cost not provided by the original vendor reimbursement of $117,000. If alternative funding is not available, the $78,000 not covered by reimbursement could be paid for out of the Park Improvement Fund by: -Applying the $35,000 budgeted for 2027 PT Complex improvements, which comes to the city via the sponsorship agreement with Plants and Things. -The basketball court at RiverplacePark is scheduled to be resurfaced in 2027 at an approximate cost of $50,000. This could be delayed on the Capital Improvement schedule to 2029. Summary Playground Structure (2022) -$94,136 Protective Shade Structure (2023) -$146,000 Protective Shade Structure Reimbursement (2026) -$117,000 Bid to Install New Protective Netting -$197,225 Request for Action ToItem Number City Council8.2 Meeting DatePrepared By September 21, 2026Joseph Hale, Environmental Services and Projects Specialist Item DescriptionReviewed by Resolution 26-62: Approve Orono Lake Justin Femrite Improvement District 2027 BudgetCal Portner Justin Dunford Action Requested Adopt, by motion, Resolution 26-62 approving OLID Resolution 26-01, 2027 OLID Annual Service and Activities Charge Request. Background/Discussion By the Order Establishing Orono Lake Improvement District, the City Council shall review the OLID budget annually after the annual meeting in July or August of each year. The proposed 2027 OLID Budget was submitted by the Board of Directors on September 14, 2026. This includes the OLID Annual Budget for Projects/Activities 1-8 detailed in the attachment for various projects costing $21,390. The OLID property owner's annual cost for 2027 is $124 per unit for these activities. The OLID Board submitted Resolution 26-01 certifying the annual services and activities charge request. The 2027 OLID Annual Services and Activities Charge Request was approved unanimously by the 28 lake property owners attending the annual meeting on August 25, 2026. In addition, Tom Binsfield was reelected to a three-year term on the OLID Board. Financial Impact N/A Mission/Policy/Goal Together we win. Attachments 1.2027 OLID Service Charge List 2.Resolution 26-01 2027 Service Charge Request 3.OLID Proposed Projects & Budget 2027 4.OLID Resolution 26-62 5.OLID Presentation The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Exhibit A: 2026 OLID Service Charge List PINBLDG_NUMSTREETNAMESTREESUFFIX_UNIT_INFOCITY_MAILZIPTAX_NAMETAX_ADDTAX_ADD1NO._UNITSSERVICE_CHARGE 75-00466-016018621SIMONET DR NW ELK RIVER MN 5533018621 SIMONET DRIVE LLC830 W MAIN STANOKA MN 553031.0$124 75-00466-019018645SIMONET DR NW ELK RIVER MN 5533018645 SIMONET REAL ESTATE II LLC2100 WELCH ST # C 317HOUSTON TX 770191.0$124 75-00466-002018660SIMONET DR NW ELK RIVER MN 5533018660 SIMONET DRIVE NW LLC830 W MAIN STANOKA MN 553031.0$124 75-00132-4405ALLEN, ETHAN157 S CENTRAL AVEMILACA MN 563531.0$124 75-00413-03201920MAIN ST NW ELK RIVER MN 55330AM GROUP LLC18465 182ND ST NWBIG LAKE MN 553091.0$124 75-00466-012018583SIMONET DR NW ELK RIVER MN 55330ANDERSON, KAREN &HOFFMAN, K-TRUSTEE18583 SIMONET DR NWELK RIVER MN 553301.0$124 75-00462-022013800189TH AVE NW ELK RIVER MN 55330ANDERSON, ROBERT A & HEIDI13800 189TH AVE NWELK RIVER MN 553301.0$124 75-00469-008013100ISLAND VIEW DR NW ELK RIVER MN 55330ANTILLA, PAMELA J & TIMOTHY F13100 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00535-0260Outlot owned by BAILEY BECK HOMEOWNERS ASSOC that gives shared accessBAILEY BECK HOMEOWNERS ASSOC C/O PATT 1797 TIPTON CIR # 113ELK RIVER MN 553301.0$124 75-00678-026018681LANDER ST NW ELK RIVER MN 55330BANACK, CHAD M & JACQUELINE P18642 LANDER DR NWELK RIVER MN 553301.0$124 75-00132-4115BAYERL, RANDOLPH L & SUSAN J12860 ORONO RD NWELK RIVER MN 553300.0$0 75-00919-0010BAYERL, RANDOLPH L & SUSAN J12860 ORONO RD NWELK RIVER MN 553301.0$124 75-00132-122013330ISLAND VIEW DR NW ELK RIVER MN 55330BERG, DANIEL & MACY13330 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00626-014413387185TH LN NW ELK RIVER MN 55330BERGER, GORDON D & JO ANNE - TRUST13387 185TH LN NWELK RIVER MN 55330 0.5$62 75-00462-014013866189TH AVE NW ELK RIVER MN 55330BERGSTROM, SUSAN13866 189TH AVE NWELK RIVER MN 553301.0$124 75-00462-0145BERGSTROM, SUSAN13866 189TH AVE NWELK RIVER MN 55330 0.0$0 75-00466-009018560SIMONET DR NW ELK RIVER MN 55330BICKMAN, CHRISTOPHER18560 SIMONET DR NWELK RIVER MN 55330 1.0$124 75-00129-341013230ISLAND VIEW DR NW ELK RIVER MN 55330BINSFELD, THOMAS & MICHELLE13230 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00132-2115BINSFELD, THOMAS & MICHELLE13230 ISLAND VIEW DR NWELK RIVER MN 553300.0$0 75-00413-05301808MAIN ST NW ELK RIVER MN 55330BISCHOEN PROPERTIES LLC1895 MEADOWVIEW RDBLOOMINGTON MN 554251.0$124 75-00884-033018663OGDEN CIR NW ELK RIVER MN 55330BLASHCHANITSA, ALIAKSANDR & K4764 ERICKSON DRNEW HOPE MN 554281.0$124 75-00411-054017135TH ST NW ELK RIVER MN 55330BLESENER, CHARLES & KATHLEEN1713 5TH ST NWELK RIVER MN 553301.0$124 75-00131-1430BOBZIN, JANE1674 STICKNEY AVESOUTH ST PAUL MN 550751.0$124 75-00131-1435BOBZIN, JANE1674 STICKNEY AVESOUTH ST PAUL MN 550751.0$124 75-00132-223013514ISLAND VIEW DR NW ELK RIVER MN 55330BOND, WILLIAM & SUSAN - TRUSTEES13514 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00466-011018575SIMONET DR NW ELK RIVER MN 55330BOTZEK, RAEANN & JARED18575 SIMONET DR NWELK RIVER MN 553301.0$124 75-00623-052418696QUEEN CIR NW ELK RIVER MN 55330BREY, WILLIAM18696 QUEEN CIR NWELK RIVER MN 553301.0$124 75-00413-03401904MAIN ST NW ELK RIVER MN 55330BRIXIUS, AARON P & JESSICA M1904 MAIN ST NWELK RIVER MN 553301.0$124 75-00626-014213391185TH LN NW ELK RIVER MN 55330BRYANT, SUSAN A13391 185TH LN NWELK RIVER MN 553300.5$62 75-00466-007018586SIMONET DR NW ELK RIVER MN 55330BUECHLER, JOHN LIVING TRUST18586 SIMONET DR NWELK RIVER MN 553301.0$124 75-00466-017018629SIMONET DR NW ELK RIVER MN 55330BUNCE, NATHANIEL J & MICHELE L18629 SIMONET DR NWELK RIVER MN 553301.0$124 75-00132-2100BURLEY, RONALD & HARRIET REV TRUST13384 ISLAND VIEW DR NWELK RIVER MN 553300.0$0 75-00132-225513384ISLAND VIEW DR NW ELK RIVER MN 55330BURLEY, RONALD & HARRIET REV TRUST13384 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00413-02201958MAIN ST NW ELK RIVER MN 55330BURY, E & JARMOLUK BURY, K-TRUSTEES1958 MAIN ST NWELK RIVER MN 553301.0$124 75-00498-012012891187TH CIR NW ELK RIVER MN 55330BUTTWEILER, EDWARD & RICKIE - TRUST12891 187TH CIR NWELK RIVER MN 553301.0$124 75-00465-063018880CONCORD ST NW ELK RIVER MN 55330CARLSON, BENJAMIN & KRISTA18880 CONCORD ST NWELK RIVER MN 553301.0$124 75-00623-051618668QUEEN CIR NW ELK RIVER MN 55330CASEMENT, RICHARD A3790 ZINNIA LN NPLYMOUTH MN 554411.0$124 75-00535-02301797TIPTON CIR NWUNIT 111 ELK RIVER MN 55330CAZETT, JANE & CHARLES1797 TIPTON CIR NW UNIT 111ELK RIVER MN 553300.5$62 75-00413-04301844MAIN ST NW ELK RIVER MN 55330CHRISTIAN, ELLIE953 4TH ST NWELK RIVER MN 553301.0$124 75-00623-052218688QUEEN CIR NW ELK RIVER MN 55330CHRISTIANSON, KENT J & NICOLE K18688 QUEEN CIR NWELK RIVER MN 55330 1.0$124 75-00884-031518627OGDEN ST NW ELK RIVER MN 55330CLAPP, JEFFREY11490 TERRACE RD NEBLAINE MN 554341.0$124 75-00884-033518675OGDEN CIR NW ELK RIVER MN 55330CLEMENTS, JENNIFER & THOMAS18675 OGDEN CIR NWELK RIVER MN 553301.0$124 75-00469-013013024ISLAND VIEW DR NW ELK RIVER MN 55330CLEMONS, JANET & ROGER - TRUSTEE13024 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00623-051818674QUEEN CIR NW ELK RIVER MN 55330CONRAD, ALISON E & MICHAEL N18674 QUEEN CIR NWELK RIVER MN 553301.0$124 75-00498-013012888187TH CIR NW ELK RIVER MN 55330COOPER, ROBERT & ANDREA12888 187TH CIR NWELK RIVER MN 55330 1.0$124 75-00458-015018378BOSTON ST NW ELK RIVER MN 55330COPELAND, BRIAN & DAWN18378 BOSTON ST NWELK RIVER MN 55330 1.0$124 75-00411-055017215TH ST NW ELK RIVER MN 55330CORROW, JEAN1721 5TH ST NWELK RIVER MN 55330 1.0$124 75-00469-005013146ISLAND VIEW DR NW ELK RIVER MN 55330CRABTREE, TIMOTHY & KIMBER13146 ISLAND VIEW DR NWELK RIVER MN 55330 1.0$124 75-00462-024013726189TH AVE NW ELK RIVER MN 55330DELUDE, LEONORA MAE13726 189TH AVE NWELK RIVER MN 55330 1.0$124 75-00458-012012943ORONO RD NW ELK RIVER MN 55330DILLEY, ROBERT -TRUSTEE12943 ORONO RD NWELK RIVER MN 55330 1.0$124 75-00458-016018402BOSTON ST NW ELK RIVER MN 55330DIRKES, CRAIG18402 BOSTON ST NWELK RIVER MN 553301.0$124 Page 1 Exhibit A: 2026 OLID Service Charge List PINBLDG_NUMSTREETNAMESTREESUFFIX_UNIT_INFOCITY_MAILZIPTAX_NAMETAX_ADDTAX_ADD1NO._UNITSSERVICE_CHARGE 75-00626-010813463185TH LN NW ELK RIVER MN 55330DIRKES, DAVID & JUDITH13463 185TH LN NWELK RIVER MN 553300.5$62 75-00402-019119116TH LN NW ELK RIVER MN 55330DONNELLY, PATRICK & PAULA1911 6TH LN NWELK RIVER MN 55330-11031.0$124 75-00132-223513416ISLAND VIEW DR NW ELK RIVER MN 55330DRAXLER FAMILY LEGACY TRUST13416 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00413-03301912MAIN ST NW ELK RIVER MN 55330DUBAY, ROMONA M - TRUSTEE1912 MAIN ST NWELK RIVER MN 553301.0$124 75-00462-016513862189TH AVE NW ELK RIVER MN 55330DUGGAN, STEPHANIE B & ROBERT E13862 189TH AVE NWELK RIVER MN 553301.0$124 75-00626-0148DUNLEAVY, PAUL & MELANIE18647 LANDER ST NWELK RIVER MN 55330 1.0$124 75-00462-023513742189TH AVE NW ELK RIVER MN 55330DURHAM, SEAN & EMILY13742 189TH AVE NWELK RIVER MN 553301.0$124 75-00626-012013435185TH LN NW ELK RIVER MN 55330EKEGREN, JEFFREY W & JULIE A13435 185TH LN NWELK RIVER MN 553300.5$62 75-00462-0226ELK RIVER SHORES LLC9387 HIGHWAY 10RAMSEY MN 55303 1.0$124 75-00466-008218570SIMONET DR NW ELK RIVER MN 55330ERICKSON, KIRK ADAM18570 SIMONET DR NWELK RIVER MN 55330 1.0$124 75-00535-02151797TIPTON CIR NWUNIT 105 ELK RIVER MN 55330FORBES, KATHLEEN1797 TIPTON CIR NW UNIT 105ELK RIVER MN 553300.5$62 75-00678-0040Outlot owned by FOX HAVEN HOMEOWNERS ASSOCIATION that gives shared acceFOX HAVEN HOMEOWNERS ASSOCIATION C/O 18633 LANDER DR NWELK RIVER MN 553301.0$124 75-00626-011813443185TH LN NW ELK RIVER MN 55330FRIESEN, ALAN J & PENNY L13443 185TH LN NWELK RIVER MN 553300.5$62 75-00498-014012884187TH CIR NW ELK RIVER MN 55330FULLER, DAVID & KAY12884 187TH CIR NWELK RIVER MN 553301.0$124 75-00884-032018639OGDEN ST NW ELK RIVER MN 55330G & G ENTERPRISES LLC14855 ABERDEEN ST NEHAM LAKE MN 553041.0$124 75-00623-051418658QUEEN CIR NW ELK RIVER MN 55330GANFIELD, DANIEL & WEIS, KATIE18658 QUEEN CIR NWELK RIVER MN 553301.0$124 75-00469-004013162ISLAND VIEW DR NW ELK RIVER MN 55330GIFFORD, BRIAN & LAURA13162 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00936-010513008ISLAND VIEW DR NW ELK RIVER MN 55330GIRARD, BENOIT & ALISON13008 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00411-06401706MAIN ST NW ELK RIVER MN 55330GRANROS, DONN R & VICKI C1706 MAIN ST NWELK RIVER MN 55330-18311.0$124 75-00132-222013470ISLAND VIEW DR NW ELK RIVER MN 55330GRUPA, RYAN S13470 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00626-011213455185TH LN NW ELK RIVER MN 55330GUIMONT, JULIE13455 185TH LN NWELK RIVER MN 553300.5$62 75-00590-001018862OGDEN ST NW ELK RIVER MN 55330HABERMAN, GALEN R18862 OGDEN ST NWELK RIVER MN 553301.0$124 75-00413-03101932MAIN ST NW ELK RIVER MN 55330HAGLUND, BRIAN & KRISTINE -ETAL1932 MAIN ST NWELK RIVER MN 553301.0$124 75-00413-02401946MAIN ST NW ELK RIVER MN 55330HAGLUND, BRIAN J & KRISTINE1946 MAIN ST NWELK RIVER MN 553301.0$124 75-00132-222513492ISLAND VIEW DR NW ELK RIVER MN 55330HALGREN, DAVID & JUDITH13492 ISLAND VIEW DR NWELK RIVER MN 55330-11261.0$124 75-00466-023018679SIMONET DR NW ELK RIVER MN 55330HALL, GEORGIANNE M18679 SIMONET DR NWELK RIVER MN 55330-11341.0$124 75-00131-145513631186TH AVE NW ELK RIVER MN 55330HANENBURG, BRYAN & LINDSAY13631 186TH AVE NWELK RIVER MN 553301.0$124 75-00717-0110HANENBURG, BRYAN & LINDSAY13631 186TH AVE NWELK RIVER MN 553300.0$0 75-00130-4415HARTUNG, JESSE GENE499 DYNACRAFT STLAS VEGAS NV 891480.0$0 75-00131-146518837OGDEN ST NW ELK RIVER MN 55330HARTUNG, JESSE GENE499 DYNACRAFT STLAS VEGAS NV 891482.0$248 75-00626-011413451185TH LN NW ELK RIVER MN 55330HAYES, GEORGE D & AUDRY L13451 185TH LN NWELK RIVER MN 553300.5$62 75-00132-220013546ISLAND VIEW DR NW ELK RIVER MN 55330HEBERT, TRACY & WILLIAM13546 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00132-4120HELLE, AARON & JAYMIE12967 ORONO RD NWELK RIVER MN 553300.0$0 75-00458-011012967ORONO RD NW ELK RIVER MN 55330HELLE, AARON & JAYMIE12967 ORONO RD NWELK RIVER MN 553301.0$124 75-00466-014018603SIMONET DR NW ELK RIVER MN 55330HENNING, KYLE -TRUSTEE18603 SIMONET DR NWELK RIVER MN 553301.0$124 75-00411-06101718MAIN ST NW ELK RIVER MN 55330HERMANSON, CRAIG1718 MAIN ST NWELK RIVER MN 553301.0$124 75-00934-012518722GARY CIR NW ELK RIVER MN 55330HICKMAN, FLORENCE J TRUST18722 GARY CIR NWELK RIVER MN 553301.0$124 75-00466-015018613SIMONET DR NW ELK RIVER MN 55330HILL, BRIAN D & JESSIE L18613 SIMONET DR NWELK RIVER MN 553301.0$124 75-00717-010518660LANDER DR NW ELK RIVER MN 55330HOLEN, JOSHUA18660 LANDER DR NWELK RIVER MN 553301.0$124 75-00413-04201854MAIN ST NW ELK RIVER MN 55330HOSKINS, KELLI & SHANE28080 LAKEWOOD DR NWISANTI MN 550401.0$124 75-00767-011018862CONCORD ST NW ELK RIVER MN 55330HULSE, A & BUNCH-HULSE, G - TRUSTEE18862 CONCORD ST NWELK RIVER MN 553301.0$124 75-00413-01101980MAIN ST NW ELK RIVER MN 55330JARMOLUK, ANTHONY& KATHLEEN TRUSTEE1980 MAIN ST NWELK RIVER MN 553301.0$124 75-00413-0260JARMOLUK, ANTHONY& KATHLEEN TRUSTEE1980 MAIN ST NWELK RIVER MN 553300.0$0 75-00535-02351797TIPTON CIR NWUNIT 113 ELK RIVER MN 55330JARMOLUK, SCOTT M & PATTI L1797 TIPTON CIR NW UNIT 113ELK RIVER MN 553300.5$62 75-00626-012413427185TH LN NW ELK RIVER MN 55330JENSEN, ALLEN & JULIA A13427 185TH LN NWELK RIVER MN 553300.5$62 75-00426-024019536TH LN NW ELK RIVER MN 55330JOHNSON, DAVID & MORRIS, ANN1953 6TH LN NWELK RIVER MN 553301.0$124 75-00132-121013284ISLAND VIEW DR NW ELK RIVER MN 55330JONES, SARA A & TIMOTHY M13284 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00462-022513776189TH AVE NW ELK RIVER MN 55330JUNG, MADISON13776 189TH AVE NWELK RIVER MN 553301.0$124 75-00884-035018694OGDEN CIR NW ELK RIVER MN 55330KAMPA, JOSEPH & ABIGAIL18694 OGDEN CIR NWELK RIVER MN 553301.0$124 75-00132-243518686GARY CIR NW ELK RIVER MN 55330KEIL, JILLEEN & BRANDON13241 US HIGHWAY 10 NWELK RIVER MN 553301.0$124 75-00132-244018678GARY CIR NW ELK RIVER MN 55330KEIL, JILLEEN & BRANDON13241 US HIGHWAY 10 NWELK RIVER MN 553301.0$124 Page 2 Exhibit A: 2026 OLID Service Charge List PINBLDG_NUMSTREETNAMESTREESUFFIX_UNIT_INFOCITY_MAILZIPTAX_NAMETAX_ADDTAX_ADD1NO._UNITSSERVICE_CHARGE 75-00626-013813399185TH LN NW ELK RIVER MN 55330KEITH, DONALD & MARY ANN13399 185TH LN NWELK RIVER MN 553300.5$62 75-00458-022012897ORONO RD NW ELK RIVER MN 55330KLEMZ, MICHAEL & PATRICIA REVCBL TR12897 ORONO RD NWELK RIVER MN 553301.0$124 75-00402-021117385TH ST NW ELK RIVER MN 55330KOPP, ALLEN J & LINDA A1738 5TH ST NWELK RIVER MN 553301.0$124 75-00129-331013590ISLAND VIEW DR NW ELK RIVER MN 55330KRATZKE,MERLE A & MARILYN F-TRUSTEE13590 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00129-3311KRATZKE,MERLE A & MARILYN F-TRUSTEE13590 ISLAND VIEW DR NWELK RIVER MN 553300.0$0 75-00132-227513360ISLAND VIEW DR NW ELK RIVER MN 55330KREUSER, CHAD M13360 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00466-013018593SIMONET DR NW ELK RIVER MN 55330KREUSER, DANIEL P & JODY18593 SIMONET DR NWELK RIVER MN 55330-11321.0$124 75-00623-052018682QUEEN CIR NW ELK RIVER MN 55330KRUGER, KENDRA & DANIEL J18682 QUEEN CIR NWELK RIVER MN 553301.0$124 75-00465-062018890CONCORD ST NW ELK RIVER MN 55330KUHL, BRIAN & JESCA18890 CONCORD ST NWELK RIVER MN 553301.0$124 75-00626-013013415185TH LN NW ELK RIVER MN 55330KURTH, RICHARD W &SUSAN J REV TRUST19650 IRONTON CIR NWELK RIVER MN 553300.5$62 75-00626-0146Outlot owned by LAKE ORONO TWINHOMES ASSOC. INC. that gives shared accessLAKE ORONO TWINHOMES ASSOC. INC. C/O G 508 FREEPORT AVE NWELK RIVER MN 553301.0$124 75-00678-024518672LANDER DR NW ELK RIVER MN 55330LARSON, BENJAMIN & AMY - TRUSTEESPO BOX 740ELK RIVER MN 553301.0$124 75-00716-0105LARSON, BENJAMIN & AMY - TRUSTEESPO BOX 740ELK RIVER MN 553300.0$0 75-00750-0010LARSON, BENJAMIN & AMY - TRUSTEESPO BOX 740ELK RIVER MN 553300.0$0 75-00535-02051797TIPTON CIR NWUNIT 101 ELK RIVER MN 55330LARSON, LOU ANN M1797 TIPTON CIR NW UNIT 101ELK RIVER MN 553300.5$62 75-00132-220513542ISLAND VIEW DR NW ELK RIVER MN 55330LINDENFELSER, TAMI C13542 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00458-016518390BOSTON ST NW ELK RIVER MN 55330LORD, CHRISTOPHER A & JEANINE M18390 BOSTON ST NWELK RIVER MN 553301.0$124 75-00458-0230LUNDEEN, JEFFREY A & MARY M12876 ORONO RD NWELK RIVER MN 55330-17401.0$124 75-00131-144513701186TH AVE NW ELK RIVER MN 55330LUNDERBORG, BONNIE13701 186TH AVE NWELK RIVER MN 553301.0$124 75-00678-025518684LANDER DR NW ELK RIVER MN 55330LYNAS, TERRI SUE18684 LANDER DR NWELK RIVER MN 553301.0$124 75-00750-0020LYNAS, TERRI SUE18684 LANDER DR NWELK RIVER MN 553300.0$0 75-00626-013413407185TH LN NW ELK RIVER MN 55330MAXWELL, JOHN S & NEESHA R13407 185TH LN NWELK RIVER MN 553300.5$62 75-00426-022019336TH LN NW ELK RIVER MN 55330MCCHESNEY, JOANNE - REVOCABLE TRUST1933 6TH LN NWELK RIVER MN 553301.0$124 75-00413-05201820MAIN ST NW ELK RIVER MN 55330MCKEOWN, WILLIAM G SR & DEBBIE L1820 MAIN ST NWELK RIVER MN 553301.0$124 75-00132-240013291US HIGHWAY 10 NW ELK RIVER MN 55330MEKRICH PROPERTIES LLCPO BOX 125PRINCETON MN 553713.5$434 75-00132-211013238ISLAND VIEW DR NW ELK RIVER MN 55330MELCHIOR, DAVID J & KRISTIN13238 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00469-001013194ISLAND VIEW DR NW ELK RIVER MN 55330MIKOLS, TONY & PATRICIA13194 ISLAND VIEW DR NWELK RIVER MN 55330-11221.0$124 75-00767-010518872CONCORD ST NW ELK RIVER MN 55330MOLITOR, BRUCE & SQUIERS, DORIS18872 CONCORD ST NWELK RIVER MN 553301.0$124 75-00626-012213431185TH LN NW ELK RIVER MN 55330MOOERS, JULIE & MITCHELL13431 185TH LN NWELK RIVER MN 55330 0.5$62 75-00458-021012911ORONO RD NW ELK RIVER MN 55330MORTENSEN, KARL N12911 ORONO RD NWELK RIVER MN 55330-17411.0$124 75-00884-032518651OGDEN CIR NW ELK RIVER MN 55330NAKONECHNYY, PAUL A15439 TUNGSTEN WAY NWRAMSEY MN 55303 1.0$124 75-00466-006018636SIMONET DR NW ELK RIVER MN 55330NELSON, JACOB & LORI - TRUSTEES18636 SIMONET DR NWELK RIVER MN 553301.0$124 75-00466-020018663SIMONET DR NW ELK RIVER MN 55330NELSON, KIM M & MARY J18663 SIMONET DR NWELK RIVER MN 55330-11341.0$124 75-00465-046018930CONCORD ST NW ELK RIVER MN 55330NGUYEN, CORINNE JANETTE18056 WACO DR NWRAMSEY MN 553031.0$124 75-00465-064018852CONCORD ST NW ELK RIVER MN 55330NGUYEN, NGHIEP V18852 CONCORD ST NWELK RIVER MN 553301.0$124 75-00466-010018565SIMONET DR NW ELK RIVER MN 55330NORGREN, MICHAEL & HEATHER M18565 SIMONET DR NWELK RIVER MN 553301.0$124 75-00469-007013116ISLAND VIEW DR NW ELK RIVER MN 55330NORMAN-WEISS, DIANE13116 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00626-011613447185TH LN NW ELK RIVER MN 55330NORTON, JEANETTE13447 185TH LN NWELK RIVER MN 553300.5$62 75-00413-04101862MAIN ST NW ELK RIVER MN 55330NOVAK, KAREN1862 MAIN ST NWELK RIVER MN 553301.0$124 75-00131-145013653186TH AVE NW ELK RIVER MN 55330OLSON, LINDA L13653 186TH AVE NWELK RIVER MN 553301.0$124 75-00465-065012916188TH AVE NW ELK RIVER MN 55330OMITES, SHANNON & METZ, MELANIE12916 188TH AVE NWELK RIVER MN 553301.0$124 75-00469-009013084ISLAND VIEW DR NW ELK RIVER MN 55330OSS-SHERMAN, JENNIFER D REV TRUST13084 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00535-01101790TIPTON CIR NW ELK RIVER MN 55330OWENS, ROBERT MELVIN1790 TIPTON CIR NWELK RIVER MN 553301.0$124 75-00413-04401836MAIN ST NW ELK RIVER MN 55330PAKTER, MICHAEL & REBECCA1836 MAIN ST NWELK RIVER MN 55330 1.0$124 75-00132-224013538ISLAND VIEW DR NW ELK RIVER MN 55330PALMER, GERALD & CATHERINE13538 ISLAND VIEW DR NWELK RIVER MN 55330-11281.0$124 75-00626-012813419185TH LN NW ELK RIVER MN 55330PETERSON, PATRICIA13419 185TH LN NWELK RIVER MN 553300.5$62 75-00426-023019436TH LN NW ELK RIVER MN 55330PETERSON, ROBERTA L1943 6TH LN NWELK RIVER MN 553301.0$124 75-00132-221013530ISLAND VIEW DR NW ELK RIVER MN 55330PHILIP, JORDAN & MONICA13530 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00469-002013184ISLAND VIEW DR NW ELK RIVER MN 55330PLANT, PATRICK J & CINDI13184 ISLAND VIEW DR NWELK RIVER MN 55330-11221.0$124 75-00465-067018822BOSTON ST NW ELK RIVER MN 55330RAIVALA, JIMMY R JR18822 BOSTON ST NWELK RIVER MN 553301.0$124 75-00535-02101797TIPTON CIR NWUNIT 103 ELK RIVER MN 55330RASMUSSON, GARY & PATRICIA1797 TIPTON CIR NW UNIT 103ELK RIVER MN 553300.5$62 Page 3 Exhibit A: 2026 OLID Service Charge List PINBLDG_NUMSTREETNAMESTREESUFFIX_UNIT_INFOCITY_MAILZIPTAX_NAMETAX_ADDTAX_ADD1NO._UNITSSERVICE_CHARGE 75-00626-013613403185TH LN NW ELK RIVER MN 55330RAUSCHENDORFER, CHARLES & CARMEN13403 185TH LN NWELK RIVER MN 553300.5$62 75-00129-341513216ISLAND VIEW DR NW ELK RIVER MN 55330ROBINSON, CHRISTOPHER J.R. & BRIANA13216 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00626-0147ROCK, CHRISTOPHER D & KARI T18665 LANDER ST NWELK RIVER MN 553300.0$0 75-00678-013518665LANDER ST NW ELK RIVER MN 55330ROCK, CHRISTOPHER D & KARI T18665 LANDER ST NWELK RIVER MN 553301.0$124 75-00466-005018604SIMONET DR NW ELK RIVER MN 55330RULE, BONITA L18604 SIMONET DR NWELK RIVER MN 553301.0$124 75-00626-012613423185TH LN NW ELK RIVER MN 55330SAFFERT, JOHN1208 EARLY SHRSBURNSVILLE MN 553060.5$62 75-00132-224513448ISLAND VIEW DR NW ELK RIVER MN 55330SANDENO, RANDALL S & LAURA13448 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00466-018018637SIMONET DR NW ELK RIVER MN 55330SCALISE, PETER & JACKI18637 SIMONET DR NWELK RIVER MN 553301.0$124 75-00132-121113324ISLAND VIEW DR NW ELK RIVER MN 55330SCHLICHTER, ROBERT & JOANN - TRUTEE13324 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00626-014013395185TH LN NW ELK RIVER MN 55330SCHLOSSER, MARY E13395 185TH LN NWELK RIVER MN 553300.5$62 75-00402-019219036TH LN NW ELK RIVER MN 55330SCHMIT, JORDAN1903 6TH LN NWELK RIVER MN 553301.0$124 75-00884-034018687OGDEN CIR NW ELK RIVER MN 55330SCHMITT, PETER & ASHLEY18687 OGDEN CIR NWELK RIVER MN 553301.0$124 75-00413-05101828MAIN ST NW ELK RIVER MN 55330SCHWEND, DARIN1828 MAIN ST NWELK RIVER MN 55330 1.0$124 75-00411-053017075TH ST NW ELK RIVER MN 55330SHATUSKY, TODD C & KATIE M1707 5TH ST NWELK RIVER MN 553301.0$124 75-00402-021017665TH ST NW ELK RIVER MN 55330SHEETS, PAUL D & HELLING, CHARLENE1766 5TH ST NWELK RIVER MN 553301.0$124 75-00129-332513558ISLAND VIEW DR NW ELK RIVER MN 55330SIMENSON, HEATHER ANN & KYLE W13558 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00132-2215SIMENSON, HEATHER ANN & KYLE W13558 ISLAND VIEW DR NWELK RIVER MN 553300.0$0 75-00590-002018850OGDEN ST NW ELK RIVER MN 55330SMITH, KELLY JANE18850 OGDEN ST NWELK RIVER MN 553301.0$124 75-00466-001018670SIMONET DR NW ELK RIVER MN 55330SMITH, VAUGHN F & MICHELE18670 SIMONET DR NWELK RIVER MN 55330-11351.0$124 75-00466-003018648SIMONET DR NW ELK RIVER MN 55330SNETSINGER, JAMES L & CHERYL L18648 SIMONET DR NWELK RIVER MN 553301.0$124 75-00462-0170SODERBERG, JOHN &BIANCHI, GEORGEANN13842 189TH AVE NWELK RIVER MN 553300.0$0 75-00462-020513842189TH AVE NW ELK RIVER MN 55330SODERBERG, JOHN &BIANCHI, GEORGEANN13842 189TH AVE NWELK RIVER MN 553301.0$124 75-00462-0210SODERBERG, JOHN &BIANCHI, GEORGEANN13842 189TH AVE NWELK RIVER MN 553301.0$124 75-00462-0215SODERBERG, JOHN &BIANCHI, GEORGEANN13842 189TH AVE NWELK RIVER MN 553300.0$0 75-00132-111018810BOSTON ST NW ELK RIVER MN 55330SORENSEN, GREGORY & JENNIFER18810 BOSTON ST NWELK RIVER MN 553301.0$124 75-00535-02201797TIPTON CIR NWUNIT 107 ELK RIVER MN 55330SORENSON, DENNIS G REV TRUST1797 TIPTON CIR NW UNIT 107ELK RIVER MN 553300.5$62 75-00469-011013054ISLAND VIEW DR NW ELK RIVER MN 55330STARKWEATHER, EMERY C & BRANDY L13054 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00626-013213411185TH LN NW ELK RIVER MN 55330STOREY, SCOTT & LISA13411 185TH LN NWELK RIVER MN 55330 0.5$62 75-00132-410012808ORONO RD NW ELK RIVER MN 55330STRITESKY, GARY & DIANE12808 ORONO RD NWELK RIVER MN 553301.0$124 75-00132-225013400ISLAND VIEW DR NW ELK RIVER MN 55330STRUBLE, VINCENT & KAMI N13400 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00626-010613467185TH LN NW ELK RIVER MN 55330SWANSON, JAMES A & PATTI13467 185TH LN NWELK RIVER MN 553300.5$62 75-00469-010013070ISLAND VIEW DR NW ELK RIVER MN 55330TACHENY, JAMES R & JOANNE20737 220TH AVE NWBIG LAKE MN 553091.0$124 75-00132-111118816BOSTON ST NW ELK RIVER MN 55330THAI, BICHLAN & MCCELVEY, JAMES18816 BOSTON ST NWELK RIVER MN 553301.0$124 75-00934-010518683GARY CIR NW ELK RIVER MN 55330THE COVE ON LAKE ORONO, LLC15612 JARVIS ST NWELK RIVER MN 553300.5$62 75-00934-011018695GARY CIR NW ELK RIVER MN 55330THE COVE ON LAKE ORONO, LLC15612 JARVIS ST NWELK RIVER MN 553300.5$62 75-00934-011518701GARY CIR NW ELK RIVER MN 55330THE COVE ON LAKE ORONO, LLC15612 JARVIS ST NWELK RIVER MN 553300.5$62 75-00934-012018717GARY CIR NW ELK RIVER MN 55330THE COVE ON LAKE ORONO, LLC15612 JARVIS ST NWELK RIVER MN 553301.0$124 75-00884-034518697OGDEN CIR NW ELK RIVER MN 55330THURSTON, DANIEL & MEGAN18697 OGDEN CIR NWELK RIVER MN 553301.0$124 75-00773-0110441UPLAND AVE NW ELK RIVER MN 55330TJW INVESTMENTS LLC13038 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00919-0020TOTH, ERIC R & ELIZABETH A12840 ORONO RD NWELK RIVER MN 553301.0$124 75-00535-02251797TIPTON CIR NWUNIT 109 ELK RIVER MN 55330TRUNNELL, MICHAEL & MARY1797 TIPTON CIR NW UNIT 109ELK RIVER MN 553300.5$62 75-00411-056017315TH ST NW ELK RIVER MN 55330USTIMCHUK, ERIK1731 5TH ST NWELK RIVER MN 553301.0$124 75-00469-012013038ISLAND VIEW DR NW ELK RIVER MN 55330WALTERS, JOSEPH GUY & TANYA RENEE13038 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00626-011013459185TH LN NW ELK RIVER MN 55330WATZKE, MICHAEL & LUANN13459 185TH LN NWELK RIVER MN 553300.5$62 75-00426-021019106TH LN NW ELK RIVER MN 55330WEITNAUER, ANDREW C & LAURA A1910 6TH LN NWELK RIVER MN 553301.0$124 75-00469-006013130ISLAND VIEW DR NW ELK RIVER MN 55330WELCH, ALAN K & MARGARET A13130 ISLAND VIEW DR NWELK RIVER MN 553301.0$124 75-00465-047018920CONCORD ST NW ELK RIVER MN 55330ZEHRINGER, BETTY A18920 CONCORD ST NWELK RIVER MN 553301.0$124 200Total Private Party Parcels in OLID (178 vote eligible)Total Service Charge Units/Parcels (172.5 units across 184 parcels)172.5$21,390 Page 4 City of Elk River City Council Resolution 26-62 A Resolution of the City Council of the City of Elk River approving the Orono Lake Improvement District Annual Budget for the Year 2027 WHEREAS,in accordance with the Order Establishing the Orono Lake Improvement District (OLID), the City of Elk River (City) shall review the OLID budget annually following the annual meeting which is held in July or August each year; and WHEREAS,as referenced in the OLID Resolution 26-01, OLID Board of Directors has provided proper notice, met, and certified the assessment roll for the 2027 OLID service and activities charge; and WHEREAS,OLID Board of Directors has requested, pursuant to Minnesota Statute, Section 103B.555, that the City impose a service charge on all eligible parcels within the OLID as per the 2027 Service Charge List in the amount of $124.00 per full unit. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota, as follows:That the Orono Lake Improvement District Annual Budget and service charge for the year 2027 is approved. st Passed and adopted this 21 day of September 2026. John J. Dietz, Mayor ATTEST: Justin Dunford, City Clerk Orono Lake Improvement District (OLID) 2026 Projects Recap and 2027 Budget Proposal Local Partners: Elk River City Council September 21, 2026 , ª¤ /±®­® 4§¨² 3¤ ²®­ Two coordinated efforts were very helpful in responding to this year's growth conditions. 0´¡«¨¢ 7 ³¤±² !)3 4±¤ ³¬¤­³0±¨µ ³¤ 3§®±¤«¨­¤ 0±®¦± ¬ Curly-leaf PondweedHerbicide treatment, by request Lake-wide treatment that targeted Curly-leaf Riparian homeowners can enroll their shoreline for pondweed, an invasive species that thrives early in targeted herbicide treatment through Lake the season and dies back to release nutrients that fuel Management, Inc., supplementing the lake-wide further growth.public waters work. ΑΏΑΕ #´±«¸-«¤ ¥ 0®­£¶¤¤£ 4±¤ ³¬¤­³ !±¤ ² Delineated treatment polygons under this season's rake-fullness survey points. DenseModerateSparse Aerial imagery: MnGeo. Treatment areas track directly to this season's rake-fullness survey results. /,)$ /±¦ ­¨¹¤£ 3§®±¤«¨­¤ 4±¤ ³¬¤­³² A group-enrollment program makes shoreline treatment accessible to every riparian owner —not just those who sign up individually. 7§¸ ¨³ ¬ ³³¤±² Grouping shoreline enrollments into one coordinated OLID program lowers cost per property, simplifies permitting, and ensures treatment can reach whole bays and shoreline sections rather than isolated docks. Aerial view: upper lake northwest shoreline bay showing the combined impact of multiple property owners signing up for treatments. 4¶® $±®´¦§³ 9¤ ±²Ǿ /­¤ 0 ³³¤±­ Minnesota has swung through two major dry stretches in the last five years —and both point at Lake Orono's vegetation. 2021–20222026 A "STORAGE DROUGHT" —DNR MOST SEVERE DROUGHT SINCE 1988 65%+of Minnesota reached the highest severe-12–16 in.below normal precipitation across north- drought category by early September 2021central Minnesota over the past four years State climatologist Luigi Romolo: it would take Lake levels dropped sharply statewide; small streams months of above-normal rain to bring lake levels and ran dry and low water persisted into 2022. soil moisture back to typical. Sources: MN DNR Climate Journal (2021); MN DNR News Release, Aug 3, 2026 Lake Orono's own point-intercept surveys track this pattern exactly —see the water stargrass comparison ahead. HIGH 7 ³¤± 3³ ±¦± ²² —*´«¸ ΑΏΑΑ Survey 1 of 3 —same lake, same grid, three seasons. DenseModerateSparseVisual findNot detected Dense clusters concentrated across the main basin —the start of the drought-year pattern. LOW 7 ³¤± 3³ ±¦± ²² —*´«¸ ΑΏΑΒ Survey 2 of 3 —same lake, same grid, three seasons. DenseModerateSparseVisual findNot detected A wetter, more typical year —density dropped sharply across the same survey grid. 2024 and 2025 stayed fairly low as well, per OLID monitoring. HIGH 7 ³¤± 3³ ±¦± ²² —*´«¸ ΑΏΑΕ Survey 3 of 3 —same lake, same grid, three seasons. DenseModerateSparseVisual findNot detected Density surged right back to almost 2022 levels —the second of the two anomaly years (with a filamentous algae/duckweed “coating”). - ¸ ΑΏΑΕȀ !­ % ±«¸ 2¤ £ 4§ ³ $¨£­͒³ (®«£ Early-season rain was closer to normal, and stargrass looked fairly light. Two months later, it wasn't. MAY 2026 -®²³«¸ ¦±¤¤­ lj ¸¤««®¶ ¬ ±ª¤±² With spring precipitation closer to normal, mid-May density looked mild —a hopeful early sign for the season. By mid-July, water clarity had spiked to 8 feet and density surged to almost the same high levels as 2022 —a reminder that an early- season read alone doesn't predict the summer outcome. 2026 June and July higher daily temperatures almost certainly played some role —warmer water speeds up plant metabolism and the growing-season length, and filamentous algae in particular tends to bloom faster in warm water. But if 2026 had more sustained heat than 2022, yet both years landed on the same 8-foot Secchi reading and similarly dense Water stargrass, that's actually a point in favor of water clarity being the more consistent driver, with heat as an amplifier rather than the root cause. 7§¸ ,®¶ 7 ³¤± '±®¶² -®±¤ 7¤¤£² Per the MN DNR, drought doesn't just lower the lake —it changes the conditions plants grow in. 7 ³¤± «¤µ¤«² £±®¯ Lower lake levels shrink the water column and shift more of the lakebed into the shallow, light-reachable zone. -®±¤ «¨¦§³ ±¤ ¢§¤² ³§¤ ¡®³³®¬ Consolidated sediment and shallower water let sunlight penetrate further, which submerged plants like curly- leaf pondweed depend on. 6¤¦¤³ ³¨®­ ¤·¯ ­£² A larger shallow-water (littoral) zone means more lakebed area is suitable for rooted plant growth. On Lake Orono: Secchi disk clarity hit 8 feet at the bridge sampling site in July 2022 and July 2026 —nearly triple the ~3-foot norm —lettinglight reach far deeper and fueling both years' heavy growth. Source: MN DNR, "Understanding Aquatic Plant Control" 7 ³¤± #« ±¨³¸Ȁ 4§¤ 3¬®ª¨­¦ '´­ Secchi disk readings at the Lake Orono bridge sampling site show exactly why 2022 and 2026 got so bad. NORMAL WEATHER YEARJULY 2022 & JULY 2026 ͎Β ¥³Η ¥³ typical Secchi disk clarity at the bridge sampling sitemeasured Secchi disk clarity —both years, same reading Sunlight reaches a normal depth —light penetration Nearly triple the normal depth. Light reached far limits how far down the littoral zone can support deeper sediment, fueling both water stargrass and dense growth.filamentous algae overgrowth. Source: OLID Water Quality Committee bridge sampling site, Secchi disk readings, July 2022 & July 2026. ,®¢ « %µ¨£¤­¢¤Ȁ 2¨µ¤± ,¤µ¤«² #®­¥¨±¬ )³ The USGS gage on the Elk River, just downstream of Lake Orono, tells the same story. %«ª 2¨µ¤± ­¤ ± "¨¦ , ª¤Ǿ -. USGS station 05275000 0.91 ft gage height, July 30, 2026 2.95 ft gage height, July 30, 2025 —the year before 2026 Recap: Depth of Catch Basin (2022 through 2026) 20222023202420252026 Water Volume (acre ft)35.00430.20427.97527.05924.955 Sediment Accumulation Rate Water Depth Avg (ft)4.163.593.383.273.01 16,205 total cubic yards Water Depth Max (ft)8.337.617.117.477.23 Water Depth Min (ft)0.190.140.220.100.13 %´± ²¨ ­ 7 ³¤±¬¨«¥®¨«Ȁ 4±¤ ³¬¤­³ 7®±ª¨­¦ 2025's targeted treatment areas compared to this year's point-intercept survey results. 2026 PI SURVEY 2025 TREATMENT DenseModerateSparseVisual findNot detected This year's survey found only a handful of scattered points —mostly sparse or visual-only —a strong result following last year's treatment. As recommended by Sherburne SWCD and our vegetation surveyor, OLID plans to recruit and train volunteers to do very targeted hand- pulling of this invasive next year. They have seen various lakes in Minnesota be very successful in keeping it contained using that approach. Life history and impacts •Small, filter-feeding, bivalve mussels •Few to no predators in MN lakes •Filter massive amounts of phytoplankton and other plankton, with often major impacts to food webs and water quality/clarity •Early maturation and explosive growth •Highly resilient, can thrive in wide variety of water chemistries and temperatures •Easily spread through recreational boating pathway, movement of in-water equipment 551 MN waterbodies currently infested. Control methods minimally effective and/or not permitted by DNR OLID Water Ways Quarterly Newsletter OLID Proposed Budget 2027 –Projects 1 to 8 Annual Services Charge Request –100% approval Question & Answer Request for Action ToItem Number City Council8.3 Meeting DatePrepared By September 21, 2026Jolene Richter, Deputy Clerk Item DescriptionReviewed by Parks and Recreation Commission AppointmentCal Portner Justin Dunford Action Requested Discuss and appoint, by motion, a candidate for the Parks and Recreation Commission or provide staff with further direction. Appoint ___________ to a term ending 2/29/28 Background/Discussion There is one vacancy on the Parks and Recreation Commission. We received one application from Aric Litchy. Financial Impact NA Mission/Policy/Goal The City of Elk River Mission Statement. Attachments 1.Parks and Recreation Commission Applications The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. From:noreply@civicplus.com To:Jolene Richter Subject:Online Form Submittal: Board and Commission Application Form Date:Monday, August 24, 2026 9:25:06 PM Board and Commission Application Form Residency Information Residency Requirements Must be an Elk River resident for the following Economic Development Authority (EDA) Heritage Preservation Commission Housing and Redevelopment Authority (HRA) Planning Commission Utilities Commission Residency not required for the following: Community Event Center Commission EDA Beautification and Public Art Committee Joint Finance Committee Parks and Recreation Commission Parks and Recreation Commission Select the Commission applying for Aric First Name Litchy Last Name Yes Are you an Elk River resident? 20886 Fresno Street Northwest Address Elk River City MN State 55330 Zip Field not completed. Home Phone Number Cell Phone Number Email Address Email Address Public Contact Information Vision Transportation Employer School Bus Driver Occupation 12508 Elk Lake Rd NW Employer Address Elk River Employer City MN Employer State 55330 Employer Zip Part-time Employment Status In Fall of 2022 my family chose a place close to Woodland Trails Why are you interested for where we want to spend the majority of our remaining life. I've in serving on a city always wanted to become involved in the community that I commission? settled down in and that has recently started with volunteering at Woodland Trails and also switching my occupation to a school bus driver located here in Elk River. I feel I can be of more use to my community and with my passion for being active in a variety of ways and love of the outdoors being on the Parks and Rec commission would be a great fit. My best quality is being a good listener. I work well in small What skills, training, groups and enjoy problem solving. I like to be well informed when and experience would I need to make a decision. I have experience in many park and you bring to the recreation type activities that can help me relate to a variety of commission for which user groups. you seek appointment? No Conflict of Interest Field not completed. If yes, explain: Word of Mouth How did you hear about this vacancy? Agree Electronic Signature Agreement Aric Litchy Electronic Signature Email not displaying correctly? View it in your browser. Request for Action ToItem Number City Council8.4 Meeting DatePrepared By September 21, 2026Lori Stich, Finance Manager Item DescriptionReviewed by Set Budget Meeting Date and Adopt Resolution 26-Lori Stich 63 Preliminary 2027 Tax LevyJoe Stremcha Cal Portner Justin Dunford Action Requested - Set, by motion, the budget meeting for 6:30 p.m., December 7, 2026, when public comment will be taken. - Adopt, by motion, Resolution 26-63 authorizing the preliminary property tax levy for collection in 2027. Background/Discussion The Council must approve the preliminary tax levy for certification to the county auditor by September 30 2026. The preliminary tax levy is the maximum levy amount and will be used to formulate the truth in taxation notices that will be sent out by the county later this fall. The city's final adopted levy can be less but cannot exceed the preliminary levy amount. Since the last Council budget review on September 8, 2026, staff have identified $236,800 in additional expenditure reductions. The largest of which is our reported Worker's Compensation Insurance renewal, which came in $100,000 lower than originally estimated. The remaining reductions were a result of wage/benefit decreases for new hires replacing employees who had retired and were at their top step. The new adjustments decrease the year-over-year property tax levy increase from 10.8% to 9.2% from the Council's last review on Sept. 8. The current General Fund Expenditures are a 7.8% increase over 2026. Public Safety increases account for 72% of the total. The current property tax increase on the residential properties we track ranges from 3.6% to 6.4%, with the median value property ($375,000) increasing by 4.6%. The monthly tax increase on those same properties ranges from $4.08 to $13.58, with the median value property at $5.75. Staff will continue to review and evaluate opportunities for reductions based on additional information received over the next few months to finalize the budget for adoption on December 7, 2026. The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Financial Impact N/A Mission/Policy/Goal Responsible for every dollar - good stewards. Attachments 1.2027 General Fund Summary 2.2027 Preliminary Levy 3.2027 Tax Impacts 4.Preliminary Levy Resolution 26-63 2027 CITY OF ELK RIVER 2027 PRELIMINARY BUDGET GENERAL FUND 20232024202520267/31/20262027% of Increase/% ACTUALACTUALACTUALBUDGETYTDPRELIMINARYBudget (Decrease)Change General Fund Revenues: Property taxes 13,785,282 14,887,537 15,631,649 16,864,450 8,647,610$18,898,60074.1%$2,034,15012.1% Other taxes156,365168,050149,280220,0009,624200,0000.8%($20,000)-9.1% Licenses & Permits976,260768,995941,230984,700686,304992,0003.9%$7,3000.7% Intergovernmental Revenues706,917921,230952,922816,00086,922851,0003.3%$35,0004.3% Charges for Services1,210,8081,271,0081,321,0881,281,7501,136,5001,050,3004.1%($231,450)-18.1% Fines169,910176,559141,275170,00063,729150,0000.6%($20,000)-11.8% Other Revenues445,610477,201525,948414,00053,562550,0002.2%$136,00032.9% Other Financing Source - Lease - 99,914.00 501,594.00 - - -0.0%$00.0% Transfers In3,202,2492,953,5682,847,0002,909,0502,329,4832,464,9009.7%($444,150)-15.3% Transfer In - Govt Bldg Fund - - - - - 358,2001.4%$358,2000.0% Total General Fund Revenues20,653,40121,724,06223,011,98623,659,95013,013,73425,515,000100.0%$1,855,0507.8% General Fund Expenditures General Government: Mayor & Council196,879 196,900193,314243,150153,135231,0500.9%($12,100)-5.0% Communications436,535461,967501,604554,850321,633614,9002.4%$60,05010.8% Administrative Services691,952732,615701,169722,950438,747771,5503.0%$48,6006.7% Human Resources398,243433,692477,875471,650295,238458,9001.8%($12,750)-2.7% Elections6,28076,3006,32153,5506,3066,5000.0%($47,050)-87.9% Finance733,973822,161878,9381,040,450599,4381,119,5004.4%$79,0507.6% Information Technology617,017814,783689,686846,850438,846851,6003.3%$4,7500.6% Legal288,808334,342340,357340,000186,187370,0001.5%$30,0008.8% Community Dev/Planning460,952489,137531,009516,950349,043543,7502.1%$26,8005.2% Facilities Maintenance 1,054,6801,087,1191,118,7381,165,950683,7031,200,1004.7%$34,1502.9% Energy City56,28421,268 - - - -0.0%$00.0% Total General Government4,941,6035,470,2845,439,0135,956,3503,472,2756,167,85024.2%211,500 3.6% Public Safety: Police7,190,4127,847,0408,688,3708,635,3005,046,6889,740,60038.2%$1,105,30012.8% Fire1,979,5982,103,6022,302,8892,213,5501,224,7842,404,7009.4%$191,1508.6% Building Safety572,772621,274608,892614,200400,974640,0502.5%$25,8504.2% Code Enforcement116,261123,987130,129142,15082,417150,7000.6%$8,5506.0% Environmental128,842125,04167,62377,05042,03183,4000.3%$6,3508.2% Total Public Safety9,987,88510,820,94411,797,90311,682,2506,796,89513,019,45051.0% 1,337,200 11.4% Public Works: Street Maintenance1,532,2411,500,1541,634,1781,885,900979,8491,945,7007.6%$59,8003.2% Snow Removal338,473263,917341,681398,200228,947488,6501.9%$90,45022.7% Equipment Services 363,728402,213426,239465,400268,708468,7001.8%$3,3000.7% Engineering464,372408,497402,436411,300251,647437,5501.7%$26,2506.4% Total Public Works2,698,8142,574,7812,804,5343,160,8001,729,1503,340,60013.1% 179,8005.7% Culture & Recreation: Park Maintenance 1,558,3031,649,7641,627,4091,779,6501,037,7631,856,3007.3%$76,6504.3% Recreation773,426785,316792,730808,450535,722839,4003.3%$30,9503.8% Sr. Citizen Programs178,074203,726211,204272,450140,026291,4001.1%$18,9507.0% Total Culture & Recreation2,509,8032,638,8062,631,3432,860,5501,713,5112,987,10011.7% 126,5504.4% Total General Fund Expenditures$20,138,105$21,504,815$22,672,793$23,659,950$13,711,832$25,515,000100.0%$1,855,0507.8% 2027 PRELIMINARY TAX LEVY 8/31/26 meeting9/8/26 meeting9/21/26 meeting LeviedLeviedLeviedLeviedPreliminaryPreliminaryPreliminary Tax LevyPay 2023Pay 2024Pay 2025Pay 2026Pay 2027Pay 2027Pay 2027 General Fund$13,893,000$14,917,700$15,626,050$16,864,450$19,548,150$19,189,950$18,898,600 Library 75,000 79,000 79,000 84,550 86,250 86,250 86,250 General Property Tax Levy$13,968,000$14,996,700$15,705,050$16,949,000$19,634,400$19,276,200$18,984,850 Special Levies: Debt Service - 2020A - PS Building Expansion 606,346 608,709 604,771 600,046 599,784 599,784 599,784 2020B Refunding - PW Building - - - - - - - 2021A - Fire Station 3/Equip. 389,135 392,023 394,123 387,823 391,813 - - Economic Development Tax Abatement 131,475 139,900 140,239 160,205 177,496 177,496 177,496 Total Levy$15,094,956$16,137,332$16,844,183$18,097,074$20,803,493$20,053,480$19,762,130 General Fund Change from Previous Year$783,700$1,024,700$708,350$1,238,400$2,683,700$2,325,500$2,034,150 Percentage Change from Previous Year6.0%7.4%4.7%7.9%15.9%13.8%12.1% Total Dollar Change from Previous Year$1,209,256$1,042,376$706,851$1,252,891$2,706,419$1,956,406$1,665,056 % Change8.7%6.9%4.4%7.4%15.0%10.8%9.2% NTC Value$38,022,099$42,671,578$42,617,070$43,924,367$45,861,870$45,861,870$45,861,870 Tax Rate39.700%37.818%39.524%41.201%45.361%43.726%43.091% % Increase in NTC20.4%12.2%-0.1%3.1%4.4%4.4%4.4% CITY OF ELK RIVER ESTIMATED TAX IMPACT Residential (Homestead): With Valuation Change Impact Estimated City Tax Dollar Change Estimated Market ValueTax CapacityTax Capacity Rate Property ValueValue ExclusionValue41.201%43.091%Percent ANNUALMONTHLY 20262027Change202620272026202720262027change $296,600$298,1000.5%$19,856 $19,721 $2,767$2,784$1,140$1,200$60$5.005.3% $15,545 $15,356 $344,500$346,6000.6%$3,290$3,312$1,355$1,427$72$6.005.3% $15,059 $15,320 $349,900$347,000-0.8%$3,348$3,317$1,380$1,429$49$4.083.6% $11,045 $11,315 $394,500$391,500-0.8%$3,835$3,802$1,580$1,638$58$4.833.7% $3,962 $4,160 $473,200$471,000-0.5%$4,692$4,668$1,933$2,012$79$6.584.1% $0 $0 $571,300$567,300-0.7%$5,713$5,673$2,354$2,445$91$7.583.9% $0 $0 $615,800$626,6001.8%$6,158$6,266$2,537$2,700$163$13.586.4% $375,000$375,0000.0%$12,800 $12,800 $3,622$3,622$1,492$1,561$69$5.754.6% * As property value increases, the market value exclusion is phased out at $517,200 & over (an increase from $413,800 & over in 2024). Commercial/Industrial: Estimated City Tax Dollar Change EstimatedTax CapacityTax Capacity Rate Property ValueValueValue41.201%43.091%Percent ANNUALMONTHLY 20262027Change2026202720262027change $2,355,200$2,518,2006.9%$46,354$49,614$19,098$21,379$2,281$190.0811.9% $3,896,300$4,156,3006.7%$77,176$82,376$31,797$35,496$3,699$308.2511.6% $5,426,200$5,695,8005.0%$107,774$113,166$44,404$48,764$4,360$363.339.8% $1,688,200$1,783,4005.6%$33,014$34,918$13,602$15,046$1,444$120.3310.6% $3,000,000$3,000,0000.0%$59,250$59,250$24,412$25,531$1,119$93.254.6% City of Elk River City Council Resolution 26- A Resolutionof theCity Council of the City of Elk River Adopting the Preliminary Property Tax Levy for Taxes Payable in 2027 WHEREAS, The City Council is required to establish a preliminary tax levy for taxes payable in 2027 by September 30, 2026, and certify the preliminary tax levy to the Sherburne County Auditor. WHEREAS, The City Council has reviewed the City’s anticipated expenditures for all funds in 2027. WHEREAS, The City Council has considered projected revenues for all funds in 2027. WHEREAS, Revenues from sources other than property taxes are not sufficient to meet anticipated expenditures of all funds. WHEREAS, Debt levies have been adjusted or cancelled based on revenue collections and projections. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota, as follows: The following amounts are the maximum to be levied as property taxes payable in 2027. Levy General Fund$18,898,600 Library86,250 2020A GO CIP Bond599,784 Economic Development Tax Abatement177,496 Total Tax Levy$19,762,130 Passed and adopted this 21st day of September 2026. John J. Dietz, Mayor ATTEST: Justin Dunford, City Clerk Request for Action ToItem Number City Council8.5 Meeting DatePrepared By September 21, 2026Brent O'Neil, Economic Development Director Item DescriptionReviewed by EDA Resolution 26-64 and HRA Resolution 26-65 - Brent O'Neil 2027 Budget and Tax LevyCal Portner Justin Dunford Action Requested 1.Adopt, by motion, Resolution 26-64 establishing the EDA tax levy of $453,500 for collection in 2027. 2.Adopt, by motion, Resolution 26-65 establishing the HRA tax levy of $480,200 for collection in 2027. Background/Discussion The EDA and HRA are required to submit their budgets and recommended levies to the City Council annually. The EDA finalized its budget in August, with total 2027 expenditures of $533,000. Forecasting interest income of $75,000 and transfers-in of $4,500, the EDA recommends $453,500 be included in the 2027 Preliminary Levy. The HRA finalized its budget earlier this month, with total 2027 expenditures of $520,200. Revenue from interest is projected at $40,000. The HRA recommends $480,200 be included in the 2027 Preliminary Levy. By statute, the levy is limited to 0.01813% of the Estimated Market Value (EMV) of real property in the city for the EDA, and 0.0185% of the EMA for the HRA. For both Authorities, the proposed levies for 2027 are less than 60% of the allowed maximum. Financial Impact N/A Mission/Policy/Goal Support commercial and industrial development, redevelopment, and housing initiatives in Elk River. Attachments 1.RES 26-64 EDA Levy 2.Res 26-65 HRA Levy The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. City of Elk River City Council Resolution 26-64 AResolution of theCity Council of theCity of Elk River Approving the 2027 Tax Levy for the Elk River Economic Development Authority. WHEREAS, the Economic Development Authority (EDA) for the City of Elk River has requested the city to authorize to levy a tax for the benefit of the EDA for economic development purposes; and WHEREAS, the City Council of the City of Elk River has consented to this levy for the year 2027. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota, as follows: the Economic Development Authority for the City of Elk River, certify a tax levy in the amount of $453,500 in the year 2027 for the benefit of the City of Elk River Economic Development Authority to be used for economic development purposes as provided under Minnesota Statute section 469.090 et. seq. st Passed and adopted this 21 day of September 2026. John J. Dietz, Mayor ATTEST: Justin Dunford, City Clerk City of Elk River City Council Resolution 26-65 AResolution of theCity Council of theCity of Elk River Approving the 2027 Tax Levy for the Elk River Housing and Redevelopment Authority. WHEREAS, the Housing and Redevelopment Authority (HRA) for the City of Elk River has requested the city to authorize to levy a tax for the benefit of the HRA for housing and redevelopment purposes; and WHEREAS, the City Council of the City of Elk River has consented to this levy for the year 2027. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota, as follows: the Housing and Redevelopment Authority for the City of Elk River, certify a tax levy in the amount of $480,200 in the year 2027 for the benefit of the City of Elk River Housing and Redevelopment Authority to be used for various housing and redevelopment purposes. st Passed and adopted this 21 day of September 2026. John J. Dietz, Mayor ATTEST: Justin Dunford, City Clerk Request for Action ToItem Number City Council8.6 Meeting DatePrepared By September 21, 2026Justin Femrite, Public Works Director/Chief Engineer Item DescriptionReviewed by County Road 44 Joint Powers Agreement 26-33 and Justin Femrite Cost Share with Sherburne CountyCal Portner Justin Dunford Action Requested Approve, by motion, the Joint Powers Agreement 26-33 for the CR 44 Reconstruction Project with Sherburne County Background/Discussion The attached agreement details construction details and costing obligations for the County Road (CR) 44 reconstruction project that has now begun construction. The county is fully reconstructing CR 44 from TH 10 to CSAH 1. As part of the project, the city has planned for and committed funding to the addition of a trail that will be installed along the entire east/north length of the roadway. In addition, the project includes rebuilding a segment of our sanitary sewer system that is in need of replacement. Financial Impact City cost participation for this project was estimated in our CIP at $1,250,000. The attached agreement, now calculated with awarded contract amounts, identifies a city cost of $1,041,119.44. A breakdown of the City Cost Summary prepared by the County is attached. Of the costs, about $160,000 will apply to cover the replacement of city-owned sanitary sewer line (which includes construction engineering, staking and contract admin). The trail addition along the project represents about $345,000 (includes BNSF crossing work, construction engineering and staking). The anticipated funding sources for city participation would be from the Wastewater Fund, Park Dedication, and our State Aid Construction account. Mission/Policy/Goal Responsible for every dollar Attachments 1.Elk River_CR 44_Cost Share Agreement_DRAFT 2.SP 071-596-011 Low Bid Abstract_ Exhibit A - JPA 3.Costs from BF-20539148+CM_Elk River_MN_082947L- Exhibit A 4.CR 44 City Cost Summary The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. COST SHARE AGREEMENT BETWEEN SHERBURNE COUNTY AND CITY OF ELK RIVER AND ELK RIVER MUNICIPAL UTILITIES FOR IMPROVEMENTS TO COUNTY HIGHWAY 44 FROM US 10 TO CSAH 1 THIS AGREEMENT is made and entered into this _____ day of __________, 2026, (the “Effective Date”) by and between the County of Sherburne, a political subdivision of the State of Minnesota, 13880 Business Center Drive NW, Elk River, Minnesota 55330, (the "County"), the City of Elk River, 13065 Orono Parkway, Elk River, MN 55330 (the "City") and Elk River Municipal Utilities, 13069 Orono Pkwy, Elk River, MN 55330 (“ERMU”). WHEREAS,the parties to this Agreement have long exhibited concern for the safety of the public traveling on County Highway 44 between US 10 to CSAH 1; and, WHEREAS, the County has proposed, the City and ERMU has consented to certain improvements to County Highway (CR) 44 (the “Project”); and WHEREAS, the parties agree that the County shall cause construction of the Project; and WHEREAS,the County has prepared plans and specifications for the Project (SP 071-596-011), which plans are consistent with the plans the City and ERMU consented to and which will be on file in the office of the County Engineer, and WHEREAS,Minn. Stat. § 471.59 authorizes the County, the City and ERMU to enter into an agreement for the joint exercise of powers and the sharing of resources; and WHEREAS,the parties agree that it is in their best interest that the cost of said project be shared. NOW, THEREFORE, in consideration of the premises and mutual covenants contained herein and subject to the provisions of Minn. Stat. § 471.59, the parties agree as follows: 1.Purpose. The parties enter into this Agreement for the purpose of constructing the CR44 Project. 2.Term. Notwithstanding the date of the signatures of the parties, the term of this Agreement shall commence on the Effective Date and shall terminate on the date that the Project has been completed, as determined by the parties. 3.Duties of the County and City. 3.1Solicitation and Award of Contract. The County shall solicit bids for the construction of the Project based on the plans and specifications and shall award a contract to the lowest responsible bidder, as determined by the County, in accordance with Minnesota law. 3.2Plans and Specifications. The County shall prepare all plans, specifications, material quantities and all other documents necessary for the construction of the Project. 3.3Construction Items. The County will let a contract and will cause the construction of the Project, in accordance with the County, the City and ERMU approved Federal Aid construction plans. The Project includes, at a minimum, the following improvements: 1)Reconstruction of the existing pavement 2)Add a center continuous left turn lane 3)Install curb and gutter 4)Install storm sewer 5)Install City sanitary sewer and signage 6)Install ERMU Watermain 7)Install City trail and amenities 8)Install pavement markings 9)Provide traffic control during construction 10)Install BNSF crossing. A separate Construction Agreement directly with BNSF will be executed to address this part of the project 3.4Construction Oversight. During the Project, the County shall provide all necessary construction engineering, construction surveying, and construction inspection for all items excluding items 5, 6 and 10. The cost to the City for non-excluded construction oversight services shall be eight percent (8%) of the City participating construction costs. Construction surveying for items 5 and 6 shall be two percent (2%) for the City and ERMU for their respective items. Construction observation for items 5 and 6 shall be the responsibility of the City and ERMU for their respective items. 3.5Right of Way and Permits. The County will be responsible for acquiring and paying for all right of way and other land use rights necessary for the Project and shall be responsible for obtaining all necessary permits and other approvals necessary for the construction of or otherwise associated with the Project, including but not limited to all environmental permits such as SWPPP, TEP approvals, and NPDES permit. 3.6Administration. The County will be responsible for administering the Project. Contract administrative services shall include, without limitation, the advertising and acceptance of bids, generating partial and final payments and Project close- out. The County will also provide all necessary construction engineering, construction surveying, and construction inspection for the Project and will prepare and sign all work orders, change orders, and supplemental agreements relating to the Project. The costs associated with contract administrative services to the City and ERMU for these services shall be two percent (2%) of the City and ERMU construction costs. 3.7Cost Participation. The estimated total construction cost of the Project is $6,395,955.84 (not including the BNSF Rail Crossing of $486,637), consistent with the Sherburne County Cost Share Policy and as shown on Exhibit B. The total construction costs including the BNSF Rail Crossing shall be shared by the Parties as follows: a.County:100% of the actual construction costs for the County roadway Project components as identified on Exhibit A (estimated $1,901,742.98); and 50% of the actual construction costs for the storm sewer Project components as identified on Exhibit A (estimated $340,505.91); and 100% of the actual construction costs for BNSF Railroad crossing associated with the road crossing as identified in the summary table on Exhibit A (estimated $402,674.00). The County’s total Cost share is estimated at $2,644,923.09 b.City:100% of the actual construction costs for the City’s roadway Project components as identified on Exhibit A (estimated $413,868.00; and 50% of the actual construction costs for the storm sewer Project components as identified on Exhibit A (estimated $299,135.34); and 100% of the actual construction costs for the City’s Sanitary Sewer and signage Project components as identified on Exhibit A (estimated $120,256.00; and 100% of the actual construction costs for BNSF Railroad crossing associated with the Pedestrian crossing as identified in the summary table on Exhibit A (estimated $83,963). 8% of the actual construction costs for the Construction Engineering for City Project components, excluding Sanitary Sewer which will be 2% for construction surveying as identified on Exhibit A (estimated $98,085.48); and 2% of the actual construction costs for the City related Project components for Construction Contract Administration as identified on Exhibit A (estimated $26,325.21). The City’s total Cost share is estimated at $1,041,119.44 c. Elk River Municipal Utility (ERMU): 100% of the actual construction costs for ERMU’s watermain Project components as identified in Exhibit A (estimated $1,315,797.00); and 2% of the actual construction costs for the ERMU related Project components for Construction Surveying as identified on Exhibit A (estimated $26,315.94); and 2% of the actual construction costs for the ERMU related Project components for Construction Contract Administration as identified on Exhibit A (estimated $26,315.94). ERMU’s total Cost share is estimated at $1,342,112.94 The final construction costs for the Project components identified on Exhibit A will be based on the County’s actual costs as determined by the County’s final project payments to the contractor. 3.8Payments to Contractor. For purposes of paying the contractor during the Project, the County will process all payment requests from the contractor and will approve or deny the requests as appropriate, pursuant to the terms of the contract. 3.9 Ownership and Maintenance. Following completion of construction, the County will continue to own the roadway and drainage system improvements located within the County right- of-way and will be solely responsible for the ongoing maintenance of those improvements. The City will continue to own the sidewalk, multi-use trails and sanitary sewer system and will be solely responsible for the ongoing maintenance of those improvements. ERMU will continue to own the watermain system and will be solely responsible for the ongoing maintenance of this improvement. 3.10Payments to the County. After payment to the contractor is made by the County for Project components for which the City and ERMU are responsible for the respective costs, pursuant to this Agreement, the County will submit invoices to the City and ERMU for reimbursement. Payment shall be made to the County within 35 days of when an invoice is received by the City and ERMU. Submittal of the final invoice is anticipated to be no sooner than after January 1, 2028. 4.General Provisions. 4.1Entire Agreement; Amendments. This Agreement constitutes the entire agreement and understanding of the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements, documents and proposals, oral or written, between the parties with respect thereto. Any amendment or modification to this Agreement shall not be valid unless such amendment or modification (i) is in writing and signed by authorized representatives of both parties and (ii) references this Agreement. The terms and conditions of the exhibits are integral parts of this Agreement and are fully incorporated herein by this reference. 4.2Cooperation. The parties agree to cooperate in the use of resources, including available right-of-way to complete the project as a whole, to the extent feasible and to the extent permitted by law. The parties further agree to cooperate in the administration of the contract and completion of the project, including cooperating in resolving any disputes the parties may have with the contractor(s) both during the project and following completion of the project. 4.3Notices. Any notices required or permitted to be given under this Agreement shall be delivered personally or sent by certified mail to the other party as follows: To the County: Andrew Witter Sherburne County Engineer Sherburne County Government Center 13880 Business Center Drive, Suite 100 Elk River, MN 55330 To the City: City Administrator City of Elk River 13065 Orono Parkway Elk River, MN 55330 To the City: ERMU Chair Elk River Municipal Utilities 13069 Orono Parkway Elk River, MN 55330 4.4Governing Law. This Agreement shall be governed by the laws of the State of Minnesota. For the purpose of resolving conflicts related to or arising out of this Agreement, the parties expressly agree that venue shall be exclusively in the State of Minnesota, County of Sherburne. 4.5Disbursement of Funds. All funds disbursed by the County or City pursuant to this Agreement shall be disbursed by each entity pursuant to the method provided by law. 4.6Audit. The parties shall maintain complete and accurate records with respect to costs incurred and services performed under this Agreement for a period of at least six (6) years after the termination of this Agreement. Pursuant to Minn. Stat. § 16C.05, Subd. 5, each party shall allow the other party, the State Auditor, or their authorized representatives access to the books, records, documents, and accounting procedures and practices relevant to the subject matter of the Agreement, for purposes of audit. 4.7Data Practices. All data created, collected, received, stored, used, maintained, or disseminated for any purpose in connection with this Agreement is governed by the Minnesota Data Practices Act, as well as other State and Federal rules and regulations relating to data privacy. 4.8Assignment and Delegation. Neither party shall assign its rights or delegate its duties under this Agreement without receiving the prior written consent of the other party. 4.9Liability. Each party will be solely responsible for its own acts and omissions and the results thereof, to the extent authorized by law. The parties mutually agree to indemnify and hold harmless each other from any claims, losses, costs, expenses or damages resulting from the acts or omissions of the respective officers, agents, or employees relating to activities conducted by either party under this Agreement. Minnesota Statutes Chapter 466 and other applicable laws govern the parties’ liability. 4.10Severability. In the event that any portion of this Agreement shall be held to be invalid, such invalidity shall not affect the validity of the remainder of this Agreement. IN WITNESS WHEREOF, the Parties hereto have executed this Agreement to be effective as of the Effective Date set forth above. SHERBURNE COUNTY CITY OF ELK RIVER By: _____________________________ By: _____________________________ Raeanne Danielowski John Dietz County Board ChairCounty Board Chair Mayor, City of Elk River Attest: ___________________________ Attest:_____________________________ Bruce MesseltBruce Messelt Cal Portner County AdministratorCounty Administrator City Administrator ELK RIVER MUICIPAL UTILITIES By: _____________________________ John Dietz Commission ChairCommission Chair Attest: ___________________________ Mark Hanson General ManagerGeneral Manager EXHIBIT A PROJECT COSTS EXHIBIT B COST SHARE POLICY EXHIBIT A 2026 CR 44 Reconstruction - Bid Abstract SP 071-596-011/204-080-011 PARTICIPATING FEDERAL FUNDINGNON-PARTICIPATING Bid Opening 8/5/2026 ROADWAY SP 071-STORM SEWER SP CITY OF ELK RIVER ROADWAY CITY OF ELK RIVER STORM SEWER CITY OF ELK RIVER CITY OF ELK RIVER ELK RIVER MUNICIPAL 596-011071-596-011SAP 204-080-001SAP 204-080-001NON-PARTICIPATINGSANITARY SEWERUTILITIES WATER SYSTEM S.M. Hentges & Son, Inc.SM HENTGESSM HENTGESSM HENTGESSM HENTGESSM HENTGESSM HENTGESSM HENTGES Line Number Description Unit QuantityPriceTotalQTYCOSTQTYCOSTQTYCOSTQTYCOSTQTYCOSTQTYCOSTQTYCOST 12021.501MOBILIZATIONLS1$520,000.00$520,000.00 0.48 $249,600.00 0.09 $46,800.00 0.11 $57,200.00 0.08 $41,600.00$0.000.03$15,600.000.21$109,200.00 22021.601RAILROAD PROTECTIVE SERVICESLS1$30,000.00$30,000.00 0.48 $14,400.00 0.09 $2,700.00 0.11 $3,300.00 0.08 $2,400.00$0.000.03$900.000.21$6,300.00 32041.610TRAINEESHOUR950$1.00$950.00 456$456.00 85.00 $85.00 105.00 $105.00 76 $76.00$0.0028$28.00200$200.00 42101.502GRUBBINGEACH76$245.00$18,620.00 76 $18,620.00$0.00$0.00$0.00$0.00$0.00$0.00 52101.505GRUBBINGACRE1.8$3,800.00$6,840.00 1.8 $6,840.00$0.00$0.00$0.00$0.00$0.00$0.00 62104.502REMOVE PIPE APRONEACH18$311.00$5,598.00$0.00 18.00 $5,598.00$0.00$0.00$0.00$0.00$0.00 72104.502REMOVE MANHOLE OR CATCH BASINEACH6$635.00$3,810.00$0.00 3.00 $1,905.00$0.00$0.00$0.003$1,905.00$0.00 82104.502REMOVE GATE VALVE & BOXEACH34$112.00$3,808.00$0.00$0.00$0.00$0.00$0.00$0.0034$3,808.00 92104.502REMOVE HYDRANTEACH13$370.00$4,810.00$0.00$0.00$0.00$0.00$0.00$0.0013$4,810.00 102104.502REMOVE DELINEATOR / MARKEREACH19$39.00$741.00 19 $741.00$0.00$0.00$0.00$0.00$0.00$0.00 112104.502SALVAGE SIGNEACH6$44.00$264.00 6 $264.00$0.00$0.00$0.00$0.00$0.00$0.00 122104.503SAWING CONCRETE PAVEMENT (FULL DEPTH)L F86$6.00$516.00 86 $516.00$0.00$0.00$0.00$0.00$0.00$0.00 132104.503SAWING BIT PAVEMENT (FULL DEPTH)L F1,297$3.00$3,891.00 1,297$3,891.00$0.00$0.00$0.00$0.00$0.00$0.00 142104.503REMOVE PIPE CULVERTSL F605$28.00$16,940.00$0.00 605.00$16,940.00$0.00$0.00$0.00$0.00$0.00 152104.503REMOVE WATER MAINL F5,742$14.00$80,388.00$0.00$0.00$0.00$0.00$0.00$0.005742$80,388.00 162104.503REMOVE SEWER PIPE (STORM)L F96$30.00$2,880.00$0.00 48.00 $1,440.00$0.00 48 $1,440.00$0.00$0.00$0.00 172104.503REMOVE SEWER PIPE (SANITARY)L F580$6.50$3,770.00$0.00$0.00$0.00$0.00$0.00580$3,770.00$0.00 182104.503REMOVE CURB & GUTTERL F636$2.80$1,780.80 636$1,780.80$0.00$0.00$0.00$0.00$0.00$0.00 192104.503REMOVE SANITARY SERVICE PIPEL F398$7.00$2,786.00$0.00$0.00$0.00$0.00$0.00398$2,786.00$0.00 202104.503SALVAGE WOODEN FENCEL F47$14.00$658.00 47 $658.00$0.00$0.00$0.00$0.00$0.00$0.00 212104.504REMOVE CONCRETE DRIVEWAY PAVEMENTS Y375$5.20$1,950.00 375$1,950.00$0.00$0.00$0.00$0.00$0.00$0.00 222104.504REMOVE CONCRETE PAVEMENTS Y84$10.40$873.60 84 $873.60$0.00$0.00$0.00$0.00$0.00$0.00 232104.504REMOVE BITUMINOUS DRIVEWAY PAVEMENTS Y1,843$3.80$7,003.40 1,843$7,003.40$0.00$0.00$0.00$0.00$0.00$0.00 242104.504REMOVE BITUMINOUS PAVEMENTS Y28,078$5.20$146,005.60 28,078$146,005.60$0.00$0.00$0.00$0.00$0.00$0.00 252104.518REMOVE RETAINING WALLS F60$31.00$1,860.00 60 $1,860.00$0.00$0.00$0.00$0.00$0.00$0.00 262104.602SALVAGE SIGN SPECIALEACH35$66.00$2,310.00$0.00$0.00$0.00$0.0035$2,310.00$0.00$0.00 272104.618SALVAGE CONCRETE BLOCK RETAINING WALLS F14$100.00$1,400.00 14 $1,400.00$0.00$0.00$0.00$0.00$0.00$0.00 282106.507EXCAVATION - COMMON (P)C Y47,928$8.00$383,424.00 47,928$383,424.00$0.00$0.00$0.00$0.00$0.00$0.00 292106.507EXCAVATION - MUCKC Y1,160$20.00$23,200.00 1,160$23,200.00$0.00$0.00$0.00$0.00$0.00$0.00 302106.507EXCAVATION - SUBGRADEC Y780$10.00$7,800.00 780$7,800.00$0.00$0.00$0.00$0.00$0.00$0.00 312106.507EXCAVATION - CHANNEL AND POND (P)C Y4,600$10.00$46,000.00 4,600$46,000.00$0.00$0.00$0.00$0.00$0.00$0.00 322106.507GRANULAR EMBANKMENT (CV)C Y1,710$10.00$17,100.00 1,710$17,100.00$0.00$0.00$0.00$0.00$0.00$0.00 332106.507SELECT GRANULAR EMBANKMENT (CV) (P)C Y14,579$10.00$145,790.00 14,579$145,790.00$0.00$0.00$0.00$0.00$0.00$0.00 342106.507COMMON EMBANKMENT (CV) (P)C Y4,033$15.00$60,495.00 4,033$60,495.00$0.00$0.00$0.00$0.00$0.00$0.00 352108.504GEOTEXTILE FABRIC TYPE 4S Y2,619$3.47$9,087.93 2,250$7,807.50 369.00$1,280.43$0.00$0.00$ 0.00$0.00$0.00 362112.519SUBGRADE PREPARATIONRDST81$0.10$8.10 81.0 $8.10$0.00$0.00$0.00$0.00$0.00$0.00 372118.509AGGREGATE SURFACING CLASS 2TON73$31.00$2,263.00 73 $2,263.00$0.00$0.00$0.00$0.00$0.00$0.00 382123.61TRACTOR MOUNTED BACKHOEHOUR50$240.00$12,000.00 50 $12,000.00$0.00$0.00$0.00$0.00$0.00$0.00 392123.61STREET SWEEPER (WITH PICKUP BROOM)HOUR100$170.00$17,000.00 100$17,000.00$0.00$0.00$0.00$0.00$0.00$0.00 402130.523WATERMGAL500$45.00$22,500.00 500$22,500.00$0.00$0.00$0.00$0.00$0.00$0.00 412211.509AGGREGATE BASE CLASS 5TON16,271$16.00$260,336.00 13,073$209,168.00$0.00 3,198.00$51,168.00$0.00 $0.00$0.00$0.00 422360.509TYPE SP 9.5 WEARING COURSE MIX (2,C)TON1,646$114.00$187,644.00 195$22,230.00$0.00 1,451.00$165,414.00$0.00$0.00$0.00$0.00 432360.509TYPE SP 9.5 WEARING COURSE MIX (2,C) SPECTON54$127.00$6,858.00 54 $6,858.00$0.00$0.00$0.00$0.00$0.00$0.00 442360.509TYPE SP 9.5 WEARING COURSE MIX (3,C)TON6,631$100.00$663,100.00 6,631$663,100.00$0.00$0.00$0.00$0.00$0.00$0.00 452360.509TYPE SP 12.5 NON WEAR COURSE MIX (2,C)TON91$113.00$10,283.00 91 $10,283.00$0.00$0.00$0.00$0.00$0.00$0.00 462360.509TYPE SP 12.5 NON WEAR COURSE MIX (3,B)TON4,421$82.00$362,522.00 4,421$362,522.00$0.00$0.00$0.00$0.00$0.00$0.00 472411.618MODULAR BLOCK RETAINING WALLS F210$132.00$27,720.00 105$13,860.00$0.00 105.00 $13,860.00$0.00$0.00$0.00$0.00 482411.618INSTALL CONCRETE BLOCK RETAINING WALLS F2$475.00$950.00 2 $950.00$0.00$0.00$0.00$0.00$0.00$0.00 492451.507COARSE FILTER AGGREGATE (CV)C Y230$78.00$17,940.00$0.00 230.00$17,940.00$0.00$0.00$0.00$0.00$0.00 502501.50218" CS PIPE APRONEACH1$733.00$733.00$0.00 0.50 $366.50$0.00 0.50 $366.50$0.00$0.00$0.00 512501.50212" RC PIPE APRONEACH3$1,400.00$4,200.00$0.00 1.50 $2,100.00$0.00 1.5 $2,100.00$0.00$0.00$0.00 522501.50218" RC PIPE APRONEACH4$1,560.00$6,240.00$0.00 2.00 $3,120.00$0.00 2 $3,120.00$0.00$0.00$0.00 532501.50224" RC PIPE APRONEACH1$1,750.00$1,750.00$0.00 0.50 $875.00$0.00 0.50 $875.00$0.00$0.00$0.00 542501.50230" RC PIPE APRONEACH1$2,100.00$2,100.00$0.00 0.50 $1,050.00$0.00 0.50 $1,050.00$0.00$0.00$0.00 552501.50236" RC PIPE APRONEACH1$2,450.00$2,450.00$0.00 0.50 $1,225.00$0.00 0.50 $1,225.00$0.00$0.00$0.00 562501.50242" RC PIPE APRONEACH2$3,510.00$7,020.00 2 $7,020.00$0.00$0.00$0.00$0.00$0.00$0.00 572501.50318" CS PIPE CULVERTL F14$75.00$1,050.00$0.00 14.00 $1,050.00$0.00$0.00$0.00$0.00$0.00 582501.50336" RC PIPE CULVERTL F5$190.00$950.00$0.00 5.00 $950.00$0.00$0.00$0.00$0.00$0.00 592503.5038" PVC PIPE SEWERL F556$43.00$23,908.00$0.00$0.00$0.00$0.00$0.00556$23,908.00$0.00 602503.50312" RC PIPE SEWER DES 3006 CL VL F104$60.00$6,240.00$0.00 52.00 $3,120.00$0.00 52 $3,120.00$0.00$0.00$0.00 612503.50315" RC PIPE SEWER DESIGN 3006 CLASS VL F3,054$60.00$183,240.00$0.00 1,527.00 $91,620.00$0.00 1,527$91,620.00$0.00$0.00$0.00 622503.50318" RC PIPE SEWER DES 3006 CL IIIL F2,702$65.00$175,630.00$0.00 1,351.00 $87,815.00$0.00 1,351$87,815.00$0.00$0.00$0.00 632503.50324" RC PIPE SEWER DES 3006 CL IIIL F490$87.00$42,630.00$0.00 245.00$21,315.00$0.00 245$21,315.00$0.00$0.00$0.00 642503.50330" RC PIPE SEWER DES 3006 CL IIIL F37$133.00$4,921.00$0.00 18.50 $2,460.50$0.00 18.50$2,460.50$0.00$0.00$0.00 EXHIBIT A 2026 CR 44 Reconstruction - Bid Abstract SP 071-596-011/204-080-011 PARTICIPATING FEDERAL FUNDINGNON-PARTICIPATING Bid Opening 8/5/2026 ROADWAY SP 071-STORM SEWER SP CITY OF ELK RIVER ROADWAY CITY OF ELK RIVER STORM SEWER CITY OF ELK RIVER CITY OF ELK RIVER ELK RIVER MUNICIPAL 596-011071-596-011SAP 204-080-001SAP 204-080-001NON-PARTICIPATINGSANITARY SEWERUTILITIES WATER SYSTEM 652503.50336" RC PIPE SEWER DES 3006 CL IIIL F20$210.00$4,200.00$0.00 10.00 $2,100.00$0.00 10 $2,100.00$0.00$0.00$0.00 662503.50342" RC PIPE SEWER DES 3006 CL IIIL F99$255.00$25,245.00 99 $25,245.00$0.00$0.00$0.00$0.00$0.00$0.00 672503.602CONNECT TO EXISTING SANITARY SEWEREACH2$1,000.00$2,000.00$0.00$0.00$0.00$0.00$0.002$2,000.00$0.00 682503.602CONNECT TO EXISTING STORM SEWEREACH8$1,140.00$9,120.00$0.00 4.00 $4,560.00$0.00 4 $4,560.00$0.00$0.00$0.00 692503.602CONNECT TO EXISTING SANITARY SEWER SEREACH6$1,050.00$6,300.00$0.00$0.00$0.00$0.00$0.006$6,300.00$0.00 702503.6028"X4" PVC WYEEACH6$1,000.00$6,000.00$0.00$0.00$0.00$0.00$0.006$6,000.00$0.00 712503.60324" STEEL CASING PIPE (JACKED)L F60$1,320.00$79,200.00$0.00 30.00 $39,600.00$0.00 30 $39,600.00$0.00$0.00$0.00 722503.6034" PVC SANITARY SERVICE PIPEL F97$30.00$2,910.00$0.00$0.00$0.00$0.00$0.0097$2,910.00$0.00 732504.601TEMPORARY WATER SERVICELS1$60,000.00$60,000.00$0.00$0.00$0.00$0.00$0.00$0.001$60,000.00 742504.602CONNECT TO EXISTING WATER MAINEACH17$1,630.00$27,710.00$0.00$0.00$0.00$0.00$0.00$0.0017$27,710.00 752504.602CONNECT TO EXISTING WATER SERVICEEACH13$290.00$3,770.00$0.00$0.00$0.00$0.00$0.00$0.0013$3,770.00 762504.602INSTALL HYDRANT & VALVEEACH14$10,000.00$140,000.00$0.00$0.00$0.00$0.00$0.00$0.0014$140,000.00 772504.602ADJUST VALVE BOXEACH6$290.00$1,740.00$0.00$0.00$0.00$0.00$0.00$0.006$1,740.00 782504.60210"X6" WET TAPEACH1$7,000.00$7,000.00$0.00$0.00$0.00$0.00$0.00$0.001$7,000.00 792504.6026" GATE VALVE & BOXEACH1$2,900.00$2,900.00$0.00$0.00$0.00$0.00$0.00$0.001$2,900.00 802504.6028" GATE VALVE & BOXEACH13$3,800.00$49,400.00$0.00$0.00$0.00$0.00$0.00$0.0013$49,400.00 812504.60210" GATE VALVE & BOXEACH11$5,200.00$57,200.00$0.00$0.00$0.00$0.00$0.00$0.0011$57,200.00 822504.6021" CORPORATION STOPEACH27$575.00$15,525.00$0.00$0.00$0.00$0.00$0.00$0.0027$15,525.00 832504.6022" CORPORATION STOPEACH1$910.00$910.00$0.00$0.00$0.00$0.00$0.00$0.001$910.00 842504.6021" CURB STOP & BOXEACH5$790.00$3,950.00$0.00$0.00$0.00$0.00$0.00$0.005$3,950.00 852504.6022" CURB STOP & BOXEACH1$1,250.00$1,250.00$0.00$0.00$0.00$0.00$0.00$0.001$1,250.00 862504.6031" TYPE K COPPER PIPEL F205$37.00$7,585.00$0.00$0.00$0.00$0.00$0.00$0.00205$7,585.00 872504.6032" TYPE K COPPER PIPEL F30$77.00$2,310.00$0.00$0.00$0.00$0.00$0.00$0.0030$2,310.00 882504.6036" WATERMAIN DUCTILE IRON CL 52L F230$65.00$14,950.00$0.00$0.00$0.00$0.00$0.00$0.00230$14,950.00 892504.6038" WATERMAIN DUCTILE IRON CL 52L F932$80.00$74,560.00$0.00$0.00$0.00$0.00$0.00$0.00932$74,560.00 902504.60310" WATERMAIN DUCTILE IRON CL 52L F5,045$90.00$454,050.00$0.00$0.00$0.00$0.00$0.00$0.005045$454,050.00 912504.6044" POLYSTYRENE INSULATIONS Y743$43.00$31,949.00$0.00$0.00$0.00$0.00$0.00$0.00743$31,949.00 922504.608DUCTILE IRON FITTINGSLB6,450$22.00$141,900.00$0.00$0.00$0.00$0.00$0.00$0.006450$141,900.00 932506.502CONST DRAINAGE STRUCTURE DESIGN SPEC 1EACH1$10,500.00$10,500.00$0.00 0.50 $5,250.00$0.00 0.50 $5,250.00$0.00$0.00$0.00 942506.502CONST DRAINAGE STRUCTURE DESIGN SPEC 2EACH1$9,000.00$9,000.00$0.00 0.50 $4,500.00$0.00 0.50 $4,500.00$0.00$0.00$0.00 952506.502CONST DRAINAGE STRUCTURE DESIGN SPEC 3EACH1$4,400.00$4,400.00$0.00 0.50 $2,200.00$0.00 0.50 $2,200.00$0.00$0.00$0.00 962506.502CASTING ASSEMBLYEACH79$1,580.00$124,820.00$0.00 38.50 $60,830.00$0.00 38.50$60,830.00$0.002$3,160.00$0.00 972506.502ADJUST FRAME & RING CASTINGEACH16$625.00$10,000.00$0.00 1.00 $625.00$0.00$0.00$0.0015$9,375.00$0.00 982506.503CONST DRAINAGE STRUCTURE DESIGN NL F92$550.00$50,600.00$0.00 46.0 $25,300.00$0.00 46.0 $25,300.00$0.00$0.00$0.00 992506.503CONST DRAINAGE STRUCTURE DESIGN SD-48L F11$735.00$8,085.00$0.00 5.5 $4,042.50$0.00 5.5 $4,042.50$0.00$0.00$0.00 1002506.503CONST DRAINAGE STRUCTURE DESIGN SD-60L F4$1,040.00$4,160.00$0.00 2.00 $2,080.00$0.00 2 $2,080.00$0.00$0.00$0.00 1012506.503CONST DRAINAGE STRUCTURE DESIGN SPEC 4L F18.7$440.00$8,228.00$0.00$0.00$0.00$0.00$0.0018.7$8,228.00$0.00 1022506.503CONST DRAINAGE STRUCTURE DES 48-4020L F220$580.00$127,600.00$0.00 110.00$63,800.00$0.00 110$63,800.00$0.00$0.00$0.00 1032506.503CONST DRAINAGE STRUCTURE DES 60-4020L F41$710.00$29,110.00$0.00 20.50 $14,555.00$0.00 20.50$14,555.00$0.00$0.00$0.00 1042506.503CONST DRAINAGE STRUCTURE DES 72-4020L F16$1,000.00$16,000.00$0.00 8.00 $8,000.00$0.00 8 $8,000.00$0.00$0.00$0.00 1052506.602RECONSTRUCT DRAINAGE STRUCTUREEACH5$3,200.00$16,000.00$0.00$0.00$0.00$0.00$0.005$16,000.00$0.00 1062511.504GEOTEXTILE FILTER TYPE 3S Y256$10.00$2,560.00$0.00 256.00$2,560.00$0.00$0.00$0.00$0.00$0.00 1072511.504GEOTEXTILE FILTER TYPE 4S Y16$10.00$160.00$0.00 16.00 $160.00$0.00$0.00$0.00$0.00$0.00 1082511.507RANDOM RIPRAP CLASS IIC Y69$148.00$10,212.00$0.00 69.00 $10,212.00$0.00$0.00$0.00$0.00$0.00 1092521.5184" CONCRETE WALKS F1,556$6.00$9,336.00 778$4,668.00$0.00 778.00 $4,668.00$0.00$0.00$ 0.00$0.00 1102521.5186" CONCRETE WALKS F1,660$13.00$21,580.00$0.00$0.00 1,660.00$21,580.00$0.00$0.00$0.00$0.00 1112521.602DRILL & GROUT REINF BAR (EPOXY COATED)EACH94$14.00$1,316.00$0.00$0.00 94.00 $1,316.00$0.00$0.00$0.00$0.00 1122531.503CONCRETE CURB & GUTTER DESIGN SPECIALL F101$34.00$3,434.00$0.00$0.00 101.00 $3,434.00$0.00$0.00$0.00$0.00 1132531.503CONCRETE CURB & GUTTER DESIGN B624L F14,844$22.00$326,568.00$0.00$0.00 14,844.00$326,568.00$0.00$0.00$0.00$0.00 1142531.503CONCRETE CURB & GUTTER DESIGN B824L F374$29.00$10,846.00 187$5,423.00$0.00 187.00 $5,423.00$0.00$0.00$0.00$0.00 1152531.503CONCRETE CURB & GUTTER DESIGN S524L F64$33.00$2,112.00$0.00$0.00 64.00 $2,112.00$0.00$0.00$0.00$0.00 1162531.5046" CONCRETE DRIVEWAY PAVEMENTS Y312$82.00$25,584.00 312$25,584.00$0.00$0.00$0.00$0.00$0.00$0.00 1172531.5048" CONCRETE DRIVEWAY PAVEMENTS Y244$94.00$22,936.00 244$22,936.00$0.00$0.00$0.00$0.00$0.00$0.00 1182531.618TRUNCATED DOMESS F302$64.00$19,328.00$0.00$0.00 302.00 $19,328.00$0.00$0.00$0.00$0.00 1192540.602INSTALL MAIL BOX SUPPORTEACH26$221.00$5,746.00 26 $5,746.00$0.00$0.00$0.00$0.00$0.00$0.00 1202540.602MAIL BOX SUPPORTEACH26$166.00$4,316.00 26 $4,316.00$0.00$0.00$0.00$0.00$0.00$0.00 1212557.502PEDESTRIAN GATE DESIGN SPECIALEACH2$3,600.00$7,200.00$0.00$0.00 2.00 $7,200.00$0.00$0.00$0.00$0.00 1222557.503WIRE FENCE DESIGN 42V-9322L F39$120.00$4,680.00$0.00$0.00 39.00 $4,680.00$0.00$0.00$0.00$0.00 1232557.603INSTALL WOODEN FENCEL F47$94.00$4,418.00 47 $4,418.00$0.00$0.00$0.00$0.00$0.00$0.00 1242563.601TRAFFIC CONTROL SUPERVISORLS1$15,000.00$15,000.00 0.48 $7,200.00 0.09 $1,350.00 0.11 $1,650.00 0.08 $1,200.00$0.000.03$450.000.21$3,150.00 1252563.601TRAFFIC CONTROLLS1$28,800.00$28,800.00 0.48 $13,824.00 0.09 $2,592.00 0.11 $3,168.00 0.08 $2,304.00$0.000.03$864.000.21$6,048.00 1262564.502INSTALL SIGNEACH6$55.00$330.00 6 $330.00$0.00$0.00$0.00$0.00$0.00$0.00 1272564.502INFILTRATION AREA MARKEREACH2$250.00$500.00$0.00 2.00 $500.00$0.00$0.00$0.00$0.00$0.00 1282564.602INSTALL SIGN SPECIALEACH35$380.00$13,300.00$0.00$0.00$0.00$0.0035$13,300.00$0.00$0.00 1292565.602ADJUST HANDHOLEEACH1$3,380.00$3,380.00 1 $3,380.00$0.00$0.00$0.00$0.00$0.00$0.00 1302565.602RIGID PVC LOOP DETECTOR 6'X6'EACH1$2,100.00$2,100.00 1 $2,100.00$0.00$0.00$0.00$0.00$0.00$0.00 1312573.501STABILIZED CONSTRUCTION EXITLS1$8,400.00$8,400.00 0.48 $4,032.00 0.09 $756.00 0.11 $924.00 0.08 $672.00$0.000.03$252.000.21$1,764.00 EXHIBIT A 2026 CR 44 Reconstruction - Bid Abstract SP 071-596-011/204-080-011 PARTICIPATING FEDERAL FUNDINGNON-PARTICIPATING Bid Opening 8/5/2026 ROADWAY SP 071-STORM SEWER SP CITY OF ELK RIVER ROADWAY CITY OF ELK RIVER STORM SEWER CITY OF ELK RIVER CITY OF ELK RIVER ELK RIVER MUNICIPAL 596-011071-596-011SAP 204-080-001SAP 204-080-001NON-PARTICIPATINGSANITARY SEWERUTILITIES WATER SYSTEM 1322573.501EROSION CONTROL SUPERVISORLS1$7,000.00$7,000.00 0.48 $3,360.00 0.09 $630.00 0.11 $770.00 0.08 $560.00$0.000.03$210.000.21$1,470.00 1332573.502STORM DRAIN INLET PROTECTIONEACH68$188.00$12,784.00 68 $12,784.00$0.00$0.00$0.00$0.00$0.00$0.00 1342573.502CULVERT END CONTROLSEACH12$144.00$1,728.00 12 $1,728.00$0.00$0.00$0.00$0.00$0.00$0.00 1352573.503SILT FENCE, TYPE MSL F6,429$2.80$18,001.20 6,429$18,001.20$0.00$0.00$0.00$0.00$0.00$0.00 1362573.503SEDIMENT CONTROL LOG TYPE COMPOSTL F3,975$4.00$15,900.00 3,975$15,900.00$0.00$0.00$0.00$0.00$0.00$0.00 1372573.601TEMPORARY STREAM DIVERSION SYSTEMLS1$8,300.00$8,300.00 1 $8,300.00$0.00$0.00$0.00$0.00$0.00$0.00 1382574.505SUBSOILINGACRE2.9$333.00$965.70 3 $932.40 0.10 $33.30$0.00$0.00$0.00$0.00 $0.00 1392574.505SOIL BED PREPARATIONACRE5.1$280.00$1,428.00 5 $1,428.00$0.00$0.00$0.00$0.00$0.00$0.00 1402574.507COMMON TOPSOIL BORROWC Y4,206$50.00$210,300.00 4,206$210,300.00$0.00$0.00$0.00$0.00$0.00$0.00 1412574.507FILTER TOPSOIL BORROWC Y57$63.00$3,591.00$0.00 57.00 $3,591.00$0.00$0.00$0.00$0.00$0.00 1422574.508FERTILIZER TYPE 3LB981$1.00$981.00 981$981.00$0.00$0.00$0.00$0.00$0.00$0.00 1432574.508FERTILIZER TYPE 4LB65$1.30$84.50 65 $84.50$0.00$0.00$0.00$0.00$0.00$0.00 1442575.504SODDING TYPE LAWNS Y8,829$16.00$141,264.00 8,829$141,264.00$0.00$0.00$0.00$0.00$0.00$0.00 1452575.504ROLLED EROSION PREVENTION CATEGORY 35S Y3,741$2.50$9,352.50 3,741$9,352.50$0.00$0.00$0.00$0.00$0.00$0.00 1462575.505SEEDINGACRE3.6$665.00$2,394.00 4 $2,394.00$0.00$0.00$0.00$0.00$0.00$0.00 1472575.508HYDRAULIC STABILIZED FIBER MATRIXLB11,575$1.40$16,205.00 11,575$16,205.00$0.00$0.00$0.00$0.00$0.00$0.00 1482575.523RAPID STABILIZATION METHOD 3MGAL35$725.00$25,375.00 35 $25,375.00$0.00$0.00$0.00$0.00$0.00$0.00 1492575.608SEED SOUTHERN BOULEVARDLB493$5.00$2,465.00 493$2,465.00$0.00$0.00$0.00$0.00$0.00$0.00 1502575.608SEED WET DITCHLB9$72.00$648.00 9 $648.00$0.00$0.00$0.00$0.00$0.00$0.00 1512575.608SEED SOUTHERN TALLGRASS ROADSIDELB7$40.00$280.00 7 $280.00$0.00$0.00$0.00$0.00$0.00$0.00 1522582.5034" SOLID LINE MULTI COMP GR INL F25,589$1.40$35,824.60 25,589$35,824.60$0.00$0.00$0.00$0.00$0.00$0.00 1532582.5034" BROKEN LINE MULTI COMP GR INL F2,030$1.40$2,842.00 2,030$2,842.00$0.00$0.00$0.00$0.00$0.00$0.00 1542582.5034" DBLE SOLID LINE MULTI COMP GR INL F1,309$2.75$3,599.75 1,309$3,599.75$0.00$0.00$0.00$0.00$0.00$0.00 1552582.518PAVT MSSG PREF THERMO GR INS F1,409$31.00$43,679.00 1,409$43,679.00$0.00$0.00$0.00$0.00$0.00$0.00 1562104.518REMOVE BITUMINOUS WALKS F14,016$0.51$7,148.16 14,016$7,148.16$0.00$0.00$0.00$0.00$0.00$0.00 $6,395,955.84$3,192,316.11$571,582.23$693,868.00$502,136.50$15,610.00$104,646.00$1,315,797.00 Cost After Grant applied$ 1,901,742.98 Cost After Grant applied$ 340,505.91 Cost After Grant applied$ 413,354.62 Cost After Grant applied$ 299,135.34 Federal (STBGP Funds) $2,005,164.00 Total Grant Elibgible Project Costs$4,959,902.84 County Eligible Project Cost$3,763,898.34 % of Grant Towards County Eligible Project Costs75.89% Net County Grant Amount based on Eligible Cost$1,521,649.45 BNSF Crossing$402,674.20 Total County Cost$2,644,923.09 City Eligible Project Costs$1,196,004.50 % of Grant Towards City Eligible Project Costs24.11% Net City Grant Amount based on Eligible Cost$483,514.55 City Local Non-eligible Costs (Sanitary sewer, signage)$120,256.00 BNSF Crossing$83,962.80 Net City Cost$916,708.75 City (Construction Engineering 8% , Surveying 2%)$98,085.48 City (Construction Contract Administration 2%)$26,325.21 City Total Costs$1,041,119.44 ERMU Local Non-eligible Costs (Watermain)$1,315,797.00 ERMU (Construction Surveying 2%)$26,315.94 ERMU (Construction Contract Administration 2%)$26,315.94 ERMU Total Costs$1,342,112.94 BVUIPSJUZ!GPS!FYQFOEJUVSF ....................................................................................................................................................................................................... ....................... 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++++++++++ UPUBM!PUIFS!JUFNT!DPTU11 QSPKFDU!TVCUPUBM363-787 DPOUJOHFODJFT32-425 CJMM!QSFQBSBUJPO!GFF3-851 HSPTT!QSPKFDU!DPTU387-841 MFTT!DPTU!QBJE!CZ!COTG1 UPUBM!CJMMBCMF!DPTU387-841 Page 2 of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otal project cost $4,959,902 Total grant dollars - $2,005,164 City eligible project costs - $1,196,004 ($483,514) County Grant Fund contribution towards City eligible project costs – City Roadway (Curb and Gutter, Storm sewer) - $926,646 City Roadway after grant funds applied - $552,026 (11% of total project cost) City requested items (Walks, Sanitary sewer) - $473,576 City Requested Items after grant funds applied to eligible items - $364,682 Construction Engineering, Surveying and Administration - $124,410 Total City Cost, after grant funds applied and City requested items included - $1,041,119 Request for Action ToItem Number City Council10.1 Meeting DatePrepared By September 21, 2026Cal Portner, City Administrator Item DescriptionReviewed by Police Captain Incentivized Early RetirementDavid Kuhnly Cal Portner Justin Dunford Action Requested Discuss and provide direction. Background/Discussion Elk River, like many cities across the country, took advantage of a federal grant to hire police officers in the mid-90s. The grants paid the salaries of officers for three years. While this assisted greatly with the fulfillment of vacancies and added staffing for Community Oriented Policing programs, it also created a peak in hiring in which many officers would be retirement eligible at the same time. Police officer retirement generally begins at age 55 after 30 years of service. Over the next four years, Elk River is expected to have as many as six retirements, most in senior leadership positions.It is anticipated that both captains and detective sergeant will retire at the end of 2028. In addition to the captains playing a significant leadership role in the department. The detective sergeant position is a specialized position that plays a critical role in ensuring that we are conducting thorough investigations, adhering to law enforcement best practices and judicial expectations. Losing both captains and the detective sergeant, their institutional knowledge and tenure will have a significant impact on our agency’s operations. Separating these retirements will help minimize the impact on our agency. Because officers are in union positions, it is difficult to move them to interim positions as they cross differing union contracts. Department administration developed an attrition plan to account for the mass retirement exodus, which included overstaffing officer positions and expedited promotions to gain experience in leadership. The 2027 preliminary budget includes two new officer positions to enable expedited promotions. The ERPD Attrition Plan includes two additional officer hires in 2028. Captain Joe Gacke has 25 years of service with the City of Elk River. He has additional time with another agency, bringing his total years of service to 30 years next year. He has indicated he'd be interested in an incentivized retirement if offered and agreed to. When employees leave Elk River in good standing, their severance includes a portion of their sick/ESST time up to 960 hours. Long-term employees often have accrued more than 960 hours. Captain Gacke is currently scheduled to have approximately 1,731 hours at the end of 2027, when his retirement would take place. He would also carry over 240 hours and accrue to about 400 hours of vacation time through 2027. The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. The difference between his severance and severance request is about $88,956. The benefit to the city is a new captain would have a year to become accustomed to the role under the leadership of the chief and patrol captain, who is expected to retire in 2028. A retirement would have a cascading effect on the department with promotions to captain, sergeant and the hire of a replacement patrol officer. The 2028 salary savings having those three positions filled at the lower wage steps would equal $53,667 in 2026 wages. Further, the department would be able to forego one of the planned officer hirings in 2028, saving an additional $150,000. Financial Impact The severance would be in addition to accrued vacation leave. Mission/Policy/Goal Elk River Mission Statement Attachments 1.Org Chart Today 2.Org Chart After Retirements Request for Action ToItem Number City Council10.2 Meeting DatePrepared By September 21, 2026Justin Dunford, City Clerk Item DescriptionReviewed by Council Pay ReviewCal Portner Justin Dunford Action Requested Discuss and provide staff direction regarding the pay of city council members, including the mayor. Background/Discussion At the Council Retreat on June 22, 2026, staff was directed to prepare a review of the compensation received by the members of the council, including the mayor. A review of a number of peer cities has been conducted and will be presented to the council for further direction. Financial Impact N/A Mission/Policy/Goal Goal - The City of Elk River Mission Statement. Attachments 1.Review of City Council & Mayor Pay The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Administration 13065 Orono Parkway NW Elk River, MN 55330 763.635.1000 ElkRiverMN.gov City2026 Council Pay2026 Mayor Pay Anoka$ 9,900.00 $ 11,000.00 Champlin$ 8,295.00 $ 10,883.00 Cottage Grove$ 10,057.33 $ 13,351.43 Elk River$ 7,500.00 $ 10,000.00 Farmington$ 7,020.00 $ 8,040.00 $7,761.78 for Ward Representatives, $8,778.42 for At- Large FridleyRepresentatives $ 10,688.60 Hastings$ 7,700.00 $ 10,200.00 Prior Lake$ 9,156.00 $ 11,592.00 Ramsey$ 10,000.00 $ 12,000.00 Rosemount$ 7,900.00 $ 10,400.00 Savage$ 8,697.00 $ 11,428.00 White Bear Lake$ 7,500.00 $ 9,600.00 Request for Action ToItem Number City Council12.1 Meeting DatePrepared By September 21, 2026Lori Stich, Finance Manager Item DescriptionReviewed by August Financial ReportsLori 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 Community Event Center Special Revenue Fund, and the Enterprise Funds. These funds provide an important picture of the city’s financial health. For August, actual revenues (excluding property taxes and transfers in) and expenditures should run about 67% 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 for the variance. General Fund Revenues: License & permit collections are 79% of budget estimates, consisting primarily of building-related permits. Charges for services are about 94% of estimates, with plan check fees and recreation fees making up the majority of August collections. Transfers in consist of ERMU’s 5% July monthly electric revenues and the budgeted transfers to the General Fund. Expenditures: The Elk River Vision A resilient, welcoming, and thriving community that leads through innovation, meaningful engagement, exceptional service, and responsible planning for future generations. Total departmental expenditures are about 64% of budget. Most departments are within or below budget estimates. FTCENTER Through the end of August, expenditures of $1,374,837 exceed revenues of $1,299,900 by $74,937. The majority of August collections consist of ice and facility rentals, while expenditures are primarily attributable to personal services and utilities. Financial Impact N/A Mission/Policy/Goal Responsible for every dollar - good stewards. Attachments 1.8-2026 General Fund 2.8-2026 FTCenter 3.8-2026 Enterprise Funds General FundGeneral Fund As of:8/31/202667.00%OF YEAR COMPLETED REVENUESREVENUESBudgetBudgetYTD Actual YTD Actual % of budgetBudget Balance Taxes 101-3-0000-3111Current Ad Valorem Taxes16,864,450.008,592,542.3650.95%8,271,907.64 101-3-0000-3112Delinquent Ad Valorem Taxes0.0052,703.420.00%(52,703.42) 101-3-0000-3121Gravel Tax220,000.0055,088.8925.04%164,911.11 101-3-0000-3131Penalties/Interest0.002,365.020.00%(2,365.02) Total Taxes 17,084,450.008,702,699.6950.94%8,381,750.31 Licenses & Permits 101-3-0000-3211Liquor License85,000.0095,929.84112.86%(10,929.84) 101-3-0000-3212THC License5,000.005,400.00108.00%(400.00) 101-3-0000-3213Cigarette License4,000.00600.0015.00%3,400.00 101-3-0000-3214Rental License65,000.0021,105.0032.47%43,895.00 101-3-0000-3216Mining License27,000.0027,398.70101.48%(398.70) 101-3-0000-3217Garbage Hauler License2,500.000.000.00%2,500.00 101-3-0000-3218Other Business License/Permit18,000.0010,995.0061.08%7,005.00 101-3-0000-3229NPDES Permit17,000.0018,550.00109.12%(1,550.00) 101-3-0000-3231Building Permit550,000.00410,054.7674.56%139,945.24 101-3-0000-3232Plumbing/Heating Permit180,000.00143,379.3579.66%36,620.65 101-3-0000-3233Permit Surcharge700.003,157.82451.12%(2,457.82) 101-3-0000-3235Animal License500.00450.000.00%50.00 101-3-0000-3237Other Non-Business Lic/Permit30,000.0042,815.16142.72%(12,815.16) Total Licenses & Permits 984,700.00779,835.6379.20%204,864.37 Intergovernmental Revenue 101-3-0000-3322MV Credit6,000.000.000.00%6,000.00 101-3-0000-3323Fire State Aid300,000.001,000.000.33%299,000.00 101-3-0000-3325Police 2% Aid425,000.000.000.00%425,000.00 101-3-0000-3326Police Training Reimb35,000.0031,990.2191.40%3,009.79 101-3-0000-3329State Crime Prevention Grant50,000.0054,051.23108.10%(4,051.23) 101-3-0000-3330Other State Grants0.0029,819.320.00%(29,819.32) Total Intergovernmental Revenue 816,000.00118,912.7614.57%697,087.24 Charges for Services 101-3-0000-3412Planning & Zoning Fees25,000.0026,875.00107.50%(1,875.00) 101-3-0000-3413Plan Check Fee230,000.00165,523.0371.97%64,476.97 101-3-0000-3415Special Assessment Search500.00120.0024.00%380.00 101-3-0000-3417Copies1,500.00922.5861.51%577.42 101-3-0000-3418Other General Govt Services0.000.000.00%0.00 101-3-0000-3430Lockout Fees3,000.001,280.0042.67%1,720.00 101-3-0000-3431Police Services50,000.0012,121.4224.24%37,878.58 101-3-0000-3432School Liaison200,000.00211,338.20105.67%(11,338.20) 101-3-0000-3434Animal Impound Fee500.00450.0090.00%50.00 101-3-0000-3436Fire Contracts480,050.00488,701.65101.80%(8,651.65) 101-3-0000-3437Fire Services5,000.000.000.00%5,000.00 101-3-0000-3438Fire Inspections0.000.000.00%0.00 101-3-0000-3451Street Services35,000.0017,184.5849.10%17,815.42 101-3-0000-3452Engineering Services Reimb20,000.0030,715.44153.58%(10,715.44) 101-3-0000-3461Recreation Fees52,500.0063,525.24121.00%(11,025.24) 101-3-0000-3462Sr Center Activities55,500.0032,024.7157.70%23,475.29 101-3-0000-3463Farmer's Market15,000.0038,430.00256.20%(23,430.00) 101-3-0000-3469Elk RiverFest15,000.0015,735.00104.90%(735.00) 101-3-0000-3472Park Use Fee77,000.0074,709.4697.03%2,290.54 101-3-0000-3475Building Rent0.00 4,472.520.00%(4,472.52) 101-3-0000-3483Sewer Inspection Fee15,000.0017,650.00117.67%(2,650.00) 101-3-0000-3484Contractor License Check1,200.001,075.0089.58%125.00 Total Charges for Services 1,281,750.001,202,853.8393.84%78,896.17 Fines & Forfeits 101-3-0000-3510 Court Fines170,000.0074,544.0343.85%95,455.97 Total Fines & Forfeits 170,000.0075,544.0344.44%94,455.97 Other Revenue 101-3-0000-3621Interest Income200,000.000.000.00%200,000.00 101-3-0000-3625Refunds & Reimbursements175,000.0015,491.708.85%159,508.30 101-3-0000-3626 Contributions27,000.0031,000.00114.81%(4,000.00) 101-3-0000-3629Miscellaneous Revenue12,000.007,598.7363.32%4,401.27 Total Other Revenue 414,000.0054,090.4313.07%359,909.57 Transfers In 101-3-0000-3926Transfer-Capital Outlay Reserv89,000.0089,000.00100.00%0.00 101-3-0000-3942Transfer-WWTS187,200.00187,200.00100.00% 0.00 101-3-0000-3943Transfer-Liquor850,000.00850,000.00100.00%0.00 101-3-0000-3944Transfer-Garbage62,400.0062,400.00100.00% 0.00 101-3-0000-3945Transfer-Utilities1,500,000.00960,834.2264.06%539,165.78 101-3-0000-3946Transfer-Stormwater130,000.00130,000.00100.00% 0.00 101-3-0000-3948Transfer-EDA49,900.0049,900.00100.00%0.00 101-3-0000-3949Transfer-HRA40,550.0040,550.00100.00%0.00 Total Transfers In 2,909,050.002,370,033.2981.47%539,016.71 TOTAL GENERAL FUND REVENUES23,659,950.0013,303,969.6656.23%10,355,980.34 General FundGeneral Fund As of:8/31/202667.00%OF YEAR COMPLETED EXPENDITURE SUMMARYEXPENDITURE SUMMARY YTD Actual YTD Actual % of budgetBudget Balance BudgetBudget General Government City Council243,150.00158,335.3665.12%84,814.64 Communications554,850.00373,438.0267.30%181,411.98 Administrative Services722,950.00444,759.0761.52%278,190.93 Human Resources471,650.00303,264.9964.30%168,385.01 Elections53,550.008,559.0915.98%44,990.91 Finance1,040,450.00657,034.2963.15%383,415.71 Information Technology846,850.00506,178.4959.77%340,671.51 Legal340,000.00213,260.3762.72%126,739.63 Community Development / Planning516,950.00345,203.0566.78%171,746.95 Building Maintenance1,165,950.00721,469.2461.88%444,480.76 Total General Government5,956,350.003,731,501.9762.65%2,224,848.03 Public Safety Police Administration1,419,850.00966,765.9568.09%453,084.05 Patrol4,299,800.002,771,964.2064.47%1,527,835.80 Investigations1,633,050.001,077,593.7365.99%555,456.27 Police Support Services1,038,050.00686,907.6466.17%351,142.36 Police Reserves15,250.004,278.3428.05%10,971.66 Public Safety Building229,300.00124,332.3254.22%104,967.68 Fire Administration1,533,000.00786,749.9951.32%746,250.01 Fire Operations646,300.00570,364.2088.25%75,935.80 Emergency Management34,250.0027,768.5681.08%6,481.44 Building Safety614,200.00378,241.1361.58%233,708.87 Code Enforcement142,150.0088,998.2062.61%53,151.80 Environmental77,050.0047,131.1061.17%29,918.90 Total Public Safety11,682,250.007,531,095.3664.47%4,148,904.64 Public Works Street Maintenance1,885,900.001,151,674.8261.07%734,225.18 Snow Removal398,200.00275,857.4169.28%122,342.59 Equipment Services465,400.00287,014.2361.67%178,385.77 Engineering411,300.00259,644.7263.13%151,655.28 Total Public Works3,160,800.001,974,191.1862.46%1,186,608.82 Culture & Recreation Parks Department1,779,650.001,064,494.5159.81%715,155.49 Parks & Rec Admin586,900.00389,583.0766.38%197,316.93 Recreation Programs147,750.00137,704.9193.20%10,045.09 Farmers Market73,800.0049,686.1767.33%24,113.83 Sr Citizen Programs272,450.00176,482.3064.78%95,967.70 Total Culture & Recreation2,860,550.001,817,950.9663.55%1,042,599.04 Economic Development Economic Development0.0041,544.850.00%(41,544.85) Energy City0.000.000.00%0.00 Total Economic Development0.0041,544.850.00%(41,544.85) TOTAL GENERAL FUND EXPENDITURES23,659,950.0015,096,284.3263.81%8,561,415.68 REVENUES OVER/(UNDER) EXPENDITURES0.00(1,792,314.66)1,794,564.66 CITY OF ELK RIVER FTCENTER - BUDGET TO ACTUAL MONTH ENDED AUGUST 31, 2026 Current Year to Date% of BudgetActual Budget Revenues: Ice Rental$990,000$514,43651.96% Admissions 10,0007,55675.56% Dry Floor Events/Craft Shows 000.00% Facility Rental 313,300271,07886.52% Advertising/Naming Rights/Sponsorships 212,50097,92346.08% Recreation fees (Skating/Hockey)160,000108,951 68.09% Concessions/catering/vending 470,000278,32359.22% Other Revenues (interest, etc.)20,05021,632107.89% Total Revenues$2,175,850$1,299,90059.74% Operating expenses: $1,006,450$665,99966.17% Personal services Supplies 273,900161,85859.09% Other services & charges 661,250474,10071.70% Capital Outlay 153,15065,17942.56% Transfers Out 07,7000.00% Total Expenditures$2,094,750$1,374,83765.63% Revenues over/(under) expenditures$81,100($74,937) FTCenter August 2026 $2,500,000 Budget, $2,175,850 Budget, $2,094,750 $2,000,000 Actual Actual $1,374,837 $1,500,000 $1,299,900 $1,000,000 $500,000 $0 Total Revenues Total Expenditures CITY OF ELK RIVER ENTERPRISE FUNDS - BUDGET TO ACTUAL MONTH ENDED AUGUST 31, 2026 LiquorSewerGarbageStormwater Current Year to Date % of Current Year to Date % of Current Year to Date % of Current Year to Date % of Budget Actual Budget Budget Actual Budget Budget Actual Budget Budget Actual Budget Sales and cost of sales: Sales$ 8,845,000$ 5,822,42465.83% Cost of sales (6,344,000) (3,856,471)60.79% Gross profit78.61% 2,501,000 1,965,953 Operating revenues: User charges - - -$ 2,868,500$ 1,686,24158.78%$ 2,132,000$ 1,228,06357.60%$ 680,500$ 411,86960.52% Delinquency collections - - - - 2,124 - - 1,698 - - 103 - Other 5,400 2,70550.10% 200,000 573,405286.70% - - - - - - Total operating revenues50.10%73.71%57.68%60.54% 5,400 2,705 3,068,500 2,261,770 2,132,000 1,229,761 680,500 411,971 Operating expenses: Personal services 1,395,350 824,13859.06% 928,650 584,53462.94% 29,400 18,61963.33% - - - Supplies 40,000 11,67729.19% 329,000 197,61760.07% 2,000 -0.00% 1,000 -0.00% Other service charges 708,100 509,93572.01% 992,750 805,97781.19% 1,923,400 1,121,83558.33% 67,100 10,14715.12% Depreciation * 60,000 -0.00% 1,710,000 -0.00% - - - 500,000 -0.00% Total operating expenses61.07%40.10%58.34%1.79% 2,203,450 1,345,751 3,960,400 1,588,128 1,954,800 1,140,454 568,100 10,147 Operating income (loss) 302,950 622,907205.61% (891,900) 673,642-75.53% 177,200 89,30850.40% 112,400 401,824357.49% 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) (72,135)99.91% - - - - - - Total nonoperating revenues (expenses)0.00%-124.80%0.00%0.00% 75,000 - 57,800 (72,135) 15,000 - 35,000 - Income (loss) before contributions & transfers 377,950 622,907164.81% (834,100) 601,507-72.11% 192,200 89,30846.47% 147,400 401,824272.61% Contributions - connection fees - - - 1,000,000 848,64184.86% - - - - - - Sale of assets - -0.00% - 11,8700.00% - -0.00% - -0.00% Transfers out (1,100,000) (1,100,000)100.00% (187,200) (191,300)102.19% (62,400) (62,400)100.00% (130,000) (130,000)100.00% NET INCOME (LOSS) (722,050) (477,093)66.07% (21,300) 1,270,718-5965.81% 129,800 26,90820.73% 17,400 271,8241562.21% Items reclassified to balance sheet at year end: Bond Proceeds - - Capital Outlay (130,000) (811,026) - (182,200) (269,717) - - - - (100,000) - - Bond Payment - - - (535,000) (535,000) - - - - - - - Revenues over/(under) expenditures (852,050) (1,288,119) (738,500) 466,001 129,800 26,908 (82,600) 271,824 * Recorded at year-end