City Council - Regular Meeting

It is 730. I will call a regular city council meeting of September 21st, 2026 to order. We do have a quorum. Please stand for the Pledge of Allegiance. I pledge allegiance to the flag of the United States of America and to the republic for which it stands, one nation, under God, indivisible, with liberty and justice for all. All individuals are asked to either silence or turn off all cell phones, pagers, and other electronic devices that may disrupt the meeting. Approval of the agenda. Approve the agenda as posted in accordance with the open meeting law and herein place all agenda items on the table for discussion. What is the wish of the council?

I'll make a motion to approve the agenda. Second.

Motion by Council Member Glaze, second by Mayor Zilka. Any discussion? Hearing none, all those in favor? Aye. Opposed? Carries. Approval of minutes. Special work session meeting of September 8th, 2026, the regular meeting of September 8th, 2026, and the special work session budget meeting of August 31st, 2026. Approve. What is the wish of the council?

I'll make a motion to approve the minutes. I'll second that.

Motion by Council Member Hanson, second by Mayor Zilka. Any discussion? Hearing none, all those in favor? Aye. Opposed? Carries. Approval of bills, electronic checks 4469 through 4493, and checks 114957 through 115042, totaling $721,751.28. Approved. What is the wish of the council? I'll make a motion to approve the bills. Second. Motion by Council Member Glaze, second by Mayor Zilka. Any discussion? Hearing none, all those in favor say aye. Aye. Opposed? Carries. Awards, donations, presentations, and proclamations. We have none this evening, so we'll move on to the consent agenda. Under that, we have animal report August 2026 receive application for exempt permit friends of Linden Hills raffle December 11th 2026 approved. Fire report August 2026 receive Morrison County prosecution report July 2026 in August 2026 receive. Recycling report, August 2026 received. Water report, August 2026 received. Wastewater report, August 2026 received. What is the wish of the council?

I'll make a motion to approve the consent agenda as presented. Second.

Motion by Mayor Zilka, second by Councilmember Liljegren. Any discussion? Hearing none, all those in favor?

Aye.

Opposed? Carries. Public hearings and lettings. We do have a public hearing tonight. It's about resolution 2026-57. Adopt final assessment role for delinquent utility charges, miscellaneous charges, and administrative offenses. Adopt. Sony.

Thank you, council president. Uh, as we do at this time of the year, every year, uh, we have provided a detailed list of the, um, delinquent utility, miscellaneous and administrative offenses on the agenda. Um, just looking for a resolution to adopt these, this list as stated.

Okay. Then at this time I will open it is a 7 34. I will open the public hearing. Does anyone wish to speak at this time? Anyone wish to speak? Anyone wish to speak? Hearing none, I will close the public hearing at 7.34. What is the wish of the council?

I'll make a motion to adopt Resolution 2026-57. Second. Second.

Motion by Council Member Hanson, second by Council Member Liljegren. Any discussion? Hearing none, resolution call, roll please.

Liljegren?

Yes.

Meyer?

Yes. Zilka? Yes. Canafla? Yes. Glaze? Yes.

Hanson? Yes. Goshek? Or not Goshek, I'm so sorry.

Carries.

Missing.

With that being done, we'll move on to old business. First item is the petition for street parking signs, First Street Southeast, deny.

Greg. Thank you, Mr. President. On August 3rd, the city received a petition to restrict parking on First Street Southeast near the property located at 213 First Street Southeast. We sent out letters to the adjoining property owners to get their input, what they would like to see in that location. We received three comments back from adjoining properties. One of them was indifferent, but would be okay with a two or three hour parking restriction. The other two wanted to keep the parking the way it was currently. Now the difference, or the one major difference between when we received the petition and what we see today, we did complete the First Avenue Southeast construction project. So in that August 3rd timeframe, a lot of the area right in front of the Buckman building was not able to be used for parking just because of our construction. Now that that has been alleviated, there's additional parking along First Avenue, which then opens up some of the parking on First Street. And so with those changes and with those comments back from the adjoining property owners, we are recommending to the council to deny the request to restrict parking on First Street Southeast.

What is the wish of the council?

I'll make a motion to deny. Make sure we get the wording right. That's why I said that.

Motion by Council Member Hanson, second by Council Member Liljegren. Any discussion?

Oh, yeah, just one thing. I was parked across the street from there this afternoon about 3 o'clock, and it was full of cars. I don't know where they were going, but I'm just saying there were cars there. on first street. So I just want to bring that up.

Well, I, I, and why I would make the move to deny this at this time. I think we've sort of broached the subject about parking and, uh, parking district in the planning commission meetings. And I, so I'm looking at it from that seat that I think we need to have a broader discussion about, uh, parking, it might be time to update signage and on just more than one street. I know we have some business owners with, I'd like to see some different things done on Broadway and I, I think we'd be better off just tackling parking in general first at the planning commission level.

Okay.

I would agree with that statement. I've, I've had a lot of complaints from business owners as far as, Maybe not people not individuals not following the parking rules or they're not being enforced or the the rules are just not User friendly for the business owners with cars parking there and staying there for more than 24 hours Taking up their business frontage.

Yeah, kind of you can move your mic. Yeah, I'm sorry. Yeah. Yeah Yes, so

I would like to see that go to the Planning and Zoning Commission and look at that from a broader perspective. I know, well, I can speak to you about it later, but another business owner has quite a few concerns as far as the parking in front of his business. Any other discussion? Dave?

I still would. I think we have to vote on this to deny it. because I wouldn't be in favor of denying it before and then send it back to planning and zoning, see if they can couple with something. But I would deny this motion. I would approve that tonight.

Any other discussion? Hearing none. All those in favor of denying the petition? Aye. Opposed? Carries. Next item, Old Business, Lindbergh Centennial Commemoration Contribution. Approve. Okay. So we had the presentation from the committees. We had additional information in our packets. I'm in favor of doing it. I think... It's important for Lindbergh and Little Falls to celebrate that connection, even if the Lindbergh family isn't going to be here.

That is part of our- Mr. President, are you calling for a motion because you're- Okay, all right, yep.

I'll make that motion.

Making a speech before we get into the subject here.

I will make a motion to approve it. I already did. I'll second that then.

My bad. Okay. I'll continue. Thank you. Um, I just think it's important that we do celebrate that. Um, I know how important it was. I taught at Lindbergh elementary school for my whole career here in middle falls. And, um, Lindbergh was always a special focus, um, his time, his flight, his birthday, uh, the fresco that we have in that building, um, several times throughout my career, the Lindbergh family. was here in Little Falls, celebrating in and among those activities. I do realize that as far as the family reaching out to all of the other aspects across the country that Lindbergh had connections to, I just feel that it's something that Little Falls should celebrate and it's also one more thing that can pull our community together to celebrate. So I'm in favor of it. I think the plans that have been developed look pretty good to me. I would approve or recommend that we do give the $50,000, up to $50,000, maybe with stipulations that it can't be used for salaries or that kind of stuff. We do have the receipts that prove that the expenses were made for that specific activity. That's what I've got to say.

If I may, Council President, number one, whoever gave us that, I think that was Susie gave us that list of all the things that were going on, that was perfect. That's all the information. I mean, you gave us all the information, which is perfect. And the other thing I'd like to say, I thought we already designated this $50,000 to the Lindbergh celebration a while ago. Did we not? We didn't. It's already there, right? We're just saying that because there's no air show, they're going to put on something else, correct?

It was budgeted through the sister city fund. The funds are there. There was just no formal vote on actually dispersing those funds.

Since they have the money, I trust what that committee is trying to do. I'm very much in favor of it. I think it's It's like Susie said, St. Louis has one and these other places have one. We have one because he was born here and raised here and it's our little niche here. I'm very much in favor of doing that. I think from what it looks like, they're going to have a very, very nice display of stuff that they're doing. I'm all in favor.

Any other discussion?

Yes, Mr. President. I would like to suggest that I I'm in favor of the celebration. I'm not in favor of lumping the art project in with the celebration. We got two different things going on here. My colleague who normally sits to my left, who is part of that art project had concerns about it. Plus there was language. Somebody went out of their way to describe that nobody from the council would profit yet. This is going to that same project, this art, project was not budgeted for, the celebration was. I'm in favor of the celebration. I think we should have a parade. I think the art is something completely different if we could do two motions on one agenda item, I would gladly motion that we approve the 40,000 for the celebration. I'm not in the chamber commission, this art project, and they need to figure out how they're going to pay for it. Not lumping it in with the celebration to get it covered. They put the cart in front of a horse on this one.

So just to clarify, how much money do you have right now collected for the art project? So you've got like $2,200 and it costs $20,000? $31,000. So you're about $10,000 short.

So here's the thing, whatever you guys want to do, definitely, but $50,000, if you don't lump the archive in it, we will figure out a way. I just want to make sure the Friends of Lindbergh Heritage is getting their money, because if they don't use it for one thing, there's a lot of other things that they can use it for, for the celebration events itself. I would sincerely request to not make it 40. If it's 50, keep it at 50 so they can use it for other things. Maybe there's other second displays or groups that they would like to pay for to get some more stuff there. So I would just please ask the council to consider that request.

My other thing is that those funds are coming from the sister city fund, correct?

Correct.

if we authorize 50 000 or up to 50 000 and they don't spend all of that money because they don't have to then the the money that's left over would go back into the sister city fund yes and we can arrange it where um we have to see receipts or get the invoices directly to the city so that we pay them and we could have with the vote not to exceed a certain amount please call the question

Council President, if I may. Yeah, so five weeks ago, the artwork was my primary concern because there was no number attached to it or anything like that. But again, like I said, two weeks ago, I'm not going to put myself in a position to micromanage how the committee wants to put their funds.

I'm sorry, David. Are you changing your mind?

No, changing my mind how? I don't know why you're laughing. I don't understand that.

You were micromanaging two weeks ago, and now you're not.

I'm not micromanaging. I just said two weeks ago I wouldn't micromanage how they put their funds. I'm repeating, I'm reiterating what I said two weeks ago.

Okay.

Okay, thank you. Anyways, the artwork is going into La Brege Park, which is the sister city to Little Falls, Minnesota. That's our sister city, so La Brege, that's the connection that we have with this artwork. The artwork does represent Lindbergh's flight. One concern that I may have is the durability of the artwork, which I've brought to approve his attention. I want it to look nice for decades to come. If there's plexiglass or whatever, I don't want it to get foggy or where it's gonna be a maintenance issue for the city workers to take care of, but again, I'm sure you have thought about all these details and I'm not going to tell you how to do your job. If this is how the committee wants to spend that $50,000, I'm in full support of it. Any other discussion?

Hearing none, all those in favor? Aye. Opposed?

Aye.

Carries. New business agreement, BNSF Railway Company, Fifth Avenue, Northeast grade crossing closure authorized. Greg.

Thank you, Mr. President. The agreement with Burlington Northern, as you recall, there was a number of public hearings that we had, or there was a public hearing that we had last year, I don't remember the exact date on it, to close Fifth Avenue Northeast. We removed the road as part of that project. Now we still have the the crossing portion of it or the planks for the railroad crossing portion of it. Um, in order to consider that railroad closed, um, we have to, um, complete an agreement with Burlington Northern to request that they remove those planks. So it's just typical rails spurs there. Um, so we would ask the council approve, uh, the BNSF agreement with, um, for the fifth Avenue Northeast grade closure, um, that is presented in the packet. What is the wish of the Council?

I'll make a motion. Second.

Motion by Council Member Mildred and second by Council Member Glaze. Any discussion?

Yeah, I agree. Are we going to charge us for moving those things?

No, they won't charge us for that, but there is fees for the permits and such for first and fourth, so not directly, but indirectly they will.

So they're nickel and diamonds again?

Typical railroad.

Okay.

Any other discussion? Hearing none, all those in favor? Aye. Opposed?

Aye.

Carries. Next item, change order two, public improvement 399, 4th Street Northeast, Knife River Corporation North Central. Approve. Greg.

Thank you, Mr. President. As you mentioned, this is change order number two for our fourth street Northeast project. One of the things that our auditors like to see is that the contract amount is the same as what we've paid. Um, at the end of the project, this essentially does that. It reduces the quantities in the contract to equate, uh, to the amount that we've fully paid to the contractor. So that is a reduction of $163,852 and 72 cents. Um, the total project cost or the total, um, construction costs. Once this change order is approved. will be $5,615,324.23. TODD BANDUCCI. What does it wish the council?

TODD BANDUCCI.

I'll make a motion to approve change order two. Did I get that right? TODD BANDUCCI. Yep. TODD BANDUCCI. Two, yes. TODD BANDUCCI.

Yep.

TODD BANDUCCI. Second.

TODD BANDUCCI. Motion by Councilmember Hansen, second by Mayor Zilk. Any discussion? Hearing none, all those in favor?

Aye.

Opposed? Carries. Next item, Ordinance Number 69, 7th Series of Men's City Code Chapter 10, Section 10.40, Subsection N, Subsection 9, License Fees. Introduce Sony.

Thank you, council president. So we are introducing an amendment to city code chapter 10, section 10.4, subsection N subsection nine, as it is written in the packet. And this amendment clarifies the fees and fines associated with rental properties. And most importantly, it allows the city to assess these fees and fines to those rental properties if they remain unpaid at the end of the year. Currently, the city is not able to legally assess some of the fees or some of the fines if rental property owners fail to pay for their property, their rental property licenses.

Do I have a motion to introduce?

I'll make a motion to introduce.

Thank you. Next item, Resolution 2026-58, Preliminary 2027 Levy, Adopt. Soni.

Thank you, Council President. Looking for a motion to adopt Resolution 2026-58, the numbers for the general levy or the general fund work out to be $5,580,030. EDA would be $127,900. fire relief $6,000 and parking at $30,000 as well as $1,222,400 for debt service funding for a total of $7,266,333 or a 9.7% preliminary levy. What is the wish of the council?

I'd like a motion to adopt Resolution 2026-58.

TODD BANDUCCI- Motion by Councilmember Meyer, second by Councilmember Liljegren. Any discussion?

TODD BANDUCCI- Yeah, Mr. Council President. Just to make it clear to everybody that's listening, that could go down, not up, correct? LILJEGREN. That is correct. TODD BANDUCCI- OK. Just want to make everybody understand that.

TODD BANDUCCI- Any other discussion? Hearing none, resolution call. Roll, please.

LILJEGREN. Aspire? Yes. Zilka? Yes. Canafla? Yes. Glaze? Yes. Hanson? Yes. Goshek? No, my God.

That's it.

Gary.

Next item, Resolution 2026-59, Preliminary 2027 Housing and Redevelopment Authority Levy, adopt.

Sonny.

Thank you, Council President. Resolution 2026-59 would set the preliminary 2027 housing and redevelopment authority levy at $128,800, and this is the same as 2026, so no increase.

What's the wish of the council?

I'll make a motion to approve the resolution. Second.

Motion by Council Member Glaze, second by Mayor Zilka. Any discussion? Hearing none, resolution, call the roll, please.

Meyer.

Yes.

Zilka.

Yes.

Canafla.

Yes.

Glaze. Yes. Hanson. Yes. Wiltschgrin. Yes.

Carries.

Next item, resolution 2026-60, preliminary 2027 budget adopt, Sony.

Resolution 2026-60 to adopt the preliminary 2027 budget as listed revenues and expenses balance for the general fund and the special revenue. However, there are slightly more revenues in the enterprise fund as we are working to make Gulf have some profit in it to reduce our Gulf fund debt.

What's the wish of the council?

I'll make a motion to approve 2026-60. Second.

Motion by Mayor Zilka, second by Council Member Glaze. Any discussion? Hearing none, resolution call. Roll, please.

Zilka.

Yes.

Canoffa.

Yes.

Glaze.

Yes.

Hanton.

Yes.

Lillthorne.

Yes.

Meyer.

Yes. Carries. Next item, TIF District Number 37, Assignment from Highland Senior Living of Little Falls LLC to Highland Venture LLC and Highland OP LLC. Authorize Sony.

Thank you, Council President. In 2009, the city of Little Falls entered into a tax increment financing agreement with Highland Senior Living for the Highland Senior Living facility. At this time, Highland Senior Living is in the process of selling the facility to Highland Venture LLC and Highland Op LLC. As part of this sale, the party taking ownership would like to assume the tax increment note with the city. Per the TIF increment agreement, the city council must formally approve this consent to assign the TIF note and TIF agreement to Highland Venture LLC and Highland Off LLC. Furthermore, the seller wanted us to understand that the new purchaser is a nonprofit senior housing organization who will retain the current care provider manager, LifeSpark, for the foreseeable future, and there should be no disruption of resident care, property management, or TIF compliance with this transfer. We are requesting that the city council consent to the assignment of the TIF note and TIF agreement to Highland Op LLC and to further authorize TAFT law to draft the formal assignment and assumption documents with any legal fees incurred by the city being paid by Highland Senior Living and or Highland Venture LLC and Highland Op LLC. So the city will not incur any fees directly that are not reimbursed for this transfer.

What is the wish of the council?

I'll make a motion to approve. Authorized.

I'll second. Motion by Mayor Zilka, second by Council Member Meyer. Any discussion?

Yes, Mr. President. Go ahead. Do we know when we enter into these TIF agreements, is there language in the TIF agreements surrounding say at all? Because when I first looked at this, I thought, well, it's the same thing, somebody's assuming ownership, sounds reasonable. Then I got to thinking about it a little bit more, and I'm kind of questioning the wisdom of transferring that TIF district to another entity. They're not the ones who did the, and believe me, I heard you, they intend on doing this, intend on keeping this, but what's there to require them

to do that the the requirement would be that they're assuming all of the same um caveats and rules that the original organization did so the there is language in the tiff agreement itself on assumption so it basically says that we need to bring it to council it doesn't really go much more in depth than that however if they do assume that agreement they are bound by the exact same rules and caveats and reporting requirements that the current, um, Highland senior living is bound by.

And then the other question I have is there must not be a whole lot left in this, right?

I believe it is two years. Um, I don't recall off the top of my head right now, but there is not much left.

The two years. But I mean, do we have an idea on the funds? Cause you know, some of these, they, they get done early because they've already utilized all their qualifying expenses for the TIF to begin with.

Essentially with this particular TIF district, by the end of the timeline, there will still be a large amount of note that is left unpaid based on the interest rate of this one. Essentially the TIF funding that is given to Highland has basically covered the interest and almost no principle of the TIF note. So what that means is that Highland is on the hook for more than they would have been had their tax increment been increased higher. The city is not out any funds. This is not an expense to the city. They just did not receive as much TIF as they could have based on the agreement. Okay.

I understand. Thank you.

Any other questions? If not, all those in favor? Aye. Opposed? Carries. Item H, use of city-owned parking lot, Purple Carrot Farmers Market, September 26th, 2026 approved. Greg.

Thank you, Mr. President. We received a request from the Purple Carrot for the use of our parking lot located at 105 Kidder Street. They're looking at having their open house on September 26th of 2026, which is a weekend. They're looking at having some farmers market vendors in there as well as some other events in the parking lot. No more than five hours is what they're looking for. The request would be the council authorized the use of the parking lot at 105 Kidder Street Northeast by Purple Carrot for its open house contingent upon cleaning up after the event. Liability insurance with no less than $1 million coverage listing the city as additional insured and holding the city harmless.

It's the wish of the council.

I'll make a motion to approve. Second.

Motion by council member Meyer, second by council member Liljegren. Any discussion? Hearing none, all those in favor? Aye. Opposed? Carries. Any announcements?

Jerry, if I could, I want to thank Greg again for the discussion on the bridge over the railroad tracks. I thought you did a great job. You led the meeting very well, and keep up the good work.

Thank you.

Before you guys go, maybe you wouldn't mind. Any other?

If not, we will adjourn at 8.01.