City Council - Regular Meeting

Give me myself. [laughter] Rise as you're able for the pledge of allegiance to the flag of the United States of America and to the republic for it stands one nation under God indivisible with liberty and justice for all. Welcome everybody to our March 16th, 2026 uh non snow day city council meeting. Um, as you all know, we open our city council meeting with our open comment period, and this is an opportunity for members of the public to speak on items that we will not be taking public testimony on during a public hearing later in the agenda. Each person has up to two minutes to speak for a total of 20 minutes. Um uh and I'd request that speakers be concise to allow more people to speak during the designated time. Participants are also encouraged to limit comments generally to topics that are within the scope and jurisdiction of the council's ability to affect policy. Uh council members and staff do not respond to your comments during public

comment, but will instead follow up on any specific requests separately. You will be invited to speak in the order in which you signed up. And uh we will start with Miss Molly Dennis.

Well, thank you. It doesn't look like very many people showed up at the council meeting today. Oh, can you turn your mic on, Molly? Thank you. Am I back? Oh, it's not on yet. Got to push it kind of hard. Push [clears throat] hard. But if I can be credited. There you go. Since I only have two minutes, if I could be credited back my seven seconds. There you go. You got them.

Lovely. Thank you. I just was saying that not too many people showed up today's council meeting. I wish more public engagement would be happening here. But as a as personally as a volunteer in Rochester for nearly two decades, a teacher, parent, community advocate, I have devoted my life to social justice. I um am saddened to see that this council uh has has refused to answer people's questions, has refused to um connect to residents, and has fear-mongered and created propaganda. It is it truly is appalling. My first two years as a as an elected official of city council, I had I have hosted at least one in-person and one virtual listening session each month as a council member. Yet, I failed to see many of you hosting even one. My representative Dan Dorne uh has wrote a certified letter to me threatening me and my family from attending city council meetings. And then last week he has blocked access for for me to ac uh to have uh government information. And this refusal to give when I asked for for a reason why I was blocked, he would not give a reason. And that is recorded if you would like to hear that. Uh, Representative Dorian and Mayor Nordan have routinely blocked residents [snorts] respectful feedback that they disagree with. And this censorship is the erosion of the foundation of representational democracy. Our city council cannot claim that you are transparent, cannot claim that you are pro- community engagement, and you cannot claim you want to do what's best for Rochester citizens when again and again and again you have proven otherwise. Please, for my children here and for all

children of Rochester, for the future of our city, I ask that you show integrity and [snorts] transparency and account. Thank you, Miss Dennis. When representing Thank you, Miss Miss Dennis. Thank you. Uh, this is our open comment period. Anyone else wishing to be heard, please step forward. Seeing no one, I will close the open comment period and we will move on to uh uh call the meeting to order and clerk Queso, can you call the role? Good evening. Council member Keane here. Council member Miller is absent. Council member Wall here. Council member Frederick's here. Council member Palmer here. Council member Doring

here. Council President Schub. Mayor Norton is absent. Uh, council member uh Wall, did did you want a moment of uh personal privilege? No. Uh, just before the vote for the consent agenda, please. Okay. Okay. Thank you. Uh, we will move on to the city uh administrators report. Administrators Elms.

Uh, thank you, council president, council members, members of the public. I always start my report by thanking our teammates for acting with respect, integrity, safety, and excellence in mind in everything they do. And I think that our uh public works and utilities and and public safety teams deserve an extra um u thank you and kudos for being out and about all weekend and preparing for and then uh well, we prepared for zero to about 18 inches of snow and received close to 15 inches of snow. So, um I know we haven't been clearing as quickly as people typically would expect when we get to three those 3 to 5 ines, but if you've been downtown, you can see that anywhere there is to put snow, it has been put there. Um so, they have been out 24/7, 45 pieces of equipment going since 5:00 a.m. on Sunday. Um and um they will keep going until they are done bringing the snow down downtown. So appreciate all your patience uh uh staying inside when we asked you to on um Sunday and then being uh cautious this morning when you're out and about and just want to um owe a debt of gratitude to our teammates um who were on calls on Friday, Saturday and Sunday and then out and about in the field making sure that um people could travel safely if they needed to. Uh with that uh we do have a few things coming forward. I know it's a lot of snow outside, but on March 21st is going to be the first of three uh mindfulness nature walks hosted at Cory Hill Nature Center. Those are from 9:30 a.m. to 11:30 a.m. and they are for adults 18 years and older. Um they will also be held on April 18th and May 23rd. It's about 2 hours and about a half mile walk. Um so if people are interested in that, that is free and open to the community. Hopefully, we will be warmed up by Friday and ready for this. Uh, also, um, we have a number of open houses that are forthcoming on March 24th, uh, from 6:30 to 7:30. Um, there will be an open house that doesn't have a set presentation, so just stop by when

you can. It's at the city of Rochester's North Station, room 164B, so up at the um, uh, development services uh, building at 4001 West River Parkway. um that is going to be about the reconstruction of Superior Drive Northwest and 26th Street Northwest and uh discussing that with the community. We also have an open house scheduled on the same day from 5 to 6:00 p.m. um for Second Street Southeast and 16th Avenue Southeast Sanitary Sewer. Um that's a maintenance project. There will be a formal presentation that will start around 5:15 p.m. Um so if folks are interested in that, that will be in um uh well that doesn't look accurate. I don't know if someone from from the team can tell me where that is, but you can go to our website and find out where that is. Um, it is either at city [clears throat] hall or it is at the development services building, but I imagine it is actually at city hall based on um that looking like a carryover from the prior uh slide. And then we also have an open house for 9th Avenue Southeast traffic management. That is also on Tuesday, March 24th, 6:45 to 8:00 p.m. Ben Franklin Elementary School at 1801 9th Avenue Southeast. um that's also an open house and doesn't have a formal presentation and we're really looking um for feedback from residents that live in the vicinity of 9th Avenue Southeast and um want to understand concerns about traffic impacts in their neighborhood. And then finally, up until March 25th, we are um deeply engaged in naming these street sweepers. Um so residents are invited to submit creative names um to the team um to name the city street sweepers. um public works are going to review all the entries. We have six sweepers, so that is a one in six chance that your idea could be picked. Um you can go to rochesterimin.gov uh for the online submission form and we're hoping to get a lot of creative ideas. And that is all I have.

Thank you. With that, we'll move to the order of the agenda. Are there any changes to the agenda? Seeing none, is there a motion to approve the agenda? Moved by council member Frederick's. Second. Seconded by council member Keen. All in favor say I. I.

Post say nay. Motion passes. Moving on to our consent agenda. Uh I understand uh Council Member Palmer is pulling items F10, F11, and F16. Is there anything else? If not, I would invite a motion to improve in blocks items F1 through F9, F12 through F15, and F17 through F27. Moved by Council Member Frederick's second.

Seconded by Council Member Doring, Council Member Wall. I'm just pleased to note that in uh the bid that uh we are awarding tonight, there was about a 34% uh savings and $163,000. So, commend the staff for their uh good bidding process and for our building partners that enable us to move the work of the city forward. Thank you. Any other discussion? Seeing none, all in favor say I. I. Oppose say nay. Motion passes.

Moving on to our public hearings. We have one public hearing this evening. Um before our public hearing, uh just a moment to clarify the process. Uh first staff will uh introduce the item and then if there is an applicant or an applicant representative uh they will have up to 10 minutes uh to discuss the item at at which point I will open the public hearing. Members of the public have up to five minutes each uh to uh discuss the item. Uh then I will close the public hearing. The applicant has an opportunity to come back and uh discuss any questions or uh issues that come up during the public hearing and then I'll invite council members to ask questions of both staff and the applicant. With that, I will turn it over to I believe Mr. Anderson.

Thank you, Council President Schubin, council members, administrators elms. This evening, there is a request before the council to adopt a resolution for the issuance of G general obligation revenue bonds pursuant to conduit financing on behalf of the Mayo Clinic in the amount of $750 million. In reviewing the initial application, uh the city the city has assisted with the Mayo Clinic as recently as 2025 with a $500 million conduit debt bond issuance. uh without any issues and approximately every two years before that the city's conduit debt policy and taking a look at that uh the city has reviewed the again the application along with the legal bond council in reviewing that uh the risk management there is no liability to the city as per state statute 469.152 through 469.1655 the public benefit and purpose would be for the bold forward unbound and how it aligns with the city's vision. Uh the financial viability would be Mayo is financially stable with a double A rating and the city has no concerns of having to repay the bonds. In addition, the Mayo has been within the city limits for over a hundred years operating successfully. Legal and regulatory compliance, the project would be consistent with the city's zoning and other city, state, and federal requirements. Economic and fiscal impacts. Uh this constit continues to be an expansion for the Mayo Clinic uh current to with their medical use and provides a huge economic benefit to the city, the state and the region in terms of jobs and economic base. And then plant and equipment considerations. Uh there believed to be none at this time. There's also within your agenda packet a memo from our legal bond council giving you an outline read similar as to the one that was for the $500 million last year. the city has no obligation to make

payments should the Mayo Clinic default on the payments of the bonds. Uh the second one is there is no adverse impact to Rochester's credit rating or debt limit. Third one is Rochester may be contacted by the IRS in the event of an audit by the Mayo Clinic. However, we will simply defer them to the Mayo Clinic. Uh number four is the bonds count towards Rochester's bank qualified bond limit. However, the proposed Mayo bonds would not impact the city's bonds. Uh, number five is the expenses and costs. Mayo will be required to pay all expenses of Rochester paid um or incurred with respect to the bonds. With that, you will find four documents before you that I included in the packet as well. Uh the most important one and I will go through those rather quickly if I can. Uh the most important one too is the bond resolution that is before you. That is the only one that you're being asked to approve tonight. Um and it is the bond resolution is the official authorization to approve the bonds by the issuer. It is essentially the legal permission and framework for issuing the bonds. Um the main purpose and content is authorizing the approval of it within there. It author it also authorizes the approval of the supplemental trust indenture, the amended and restated loan agreement and the bond purchase agreement. Um it states the purpose of the funds, the maximum amount of $750 million. Section 1.07 07 states that the city is not liable for the bonds and doesn't constitute an obligation to the city. Uh it delegates the signing authority for the final documents to the mayor and the city clerk. [clears throat] As it states, there may be additional modifications to the other three

documents, which is why you only need to sign or approve the bond resolution. And then there are other general issuance terms. There's also included the second document in there, the 29th supplemental trust indenture, which is common in these and that uh in conduit financing is a legal form [clears throat] as a legal amendment or addition to the original bond indenture uh and trust for the and what it does is it modifies the terms, authorizes new bonds, addresses changes in the financing structure or contract that governs the bonds themselves and it appoints the trustee. You can kind of think of it as operating manual for the bonds. Um, and again, it modifies or supplements the original agreement instead of rewriting the indenture. Therefore, the parties involved in this one would be the city of Rochester would be the conduit issuer and the trustee would be the computer share trust company national association as stated in the front of that. And with the 29th supplemental uh trust indenture, that means there's obviously it goes back to 1987, as far back as that. And it was rather a lengthy document, but um it protects the bond holders, establishes the rules and repayment and administration. There are recital in the front of it for the about five pages worth of history of the supplemental trust and denture on how we got here today. Uh there's 25 pages of definitions. There's terms of the series for the 2026 bonds. Uh various about 30 pages of various interest rates should they apply and the application of proceeds, redemption, purchase, remarketing of the bonds. And on page 57, it also states that there's no liability to the city in there as well. Um it also stits out the states out the bond holders rights and remedies and

then the various funds and accounts including like the revenue, the interest and the bond syncing uh accounts that need to be set up for this on behalf of the Mayo Clinic. Uh the third document is the amended and restated loan agreement and again this is governs the actual borrowing relationship between the issuer that being the city and the borrower. Um that being the Mayo Clinic and it mentions a supplemental trust indenture. So all three of these or all four of these are actually intertwined as you will. Um the issuer loans the bonds and proceeds to the borrower. The borrower agrees to repay in the full amount to the bonds. Uh the use of the funds is mentioned in there. The loan repayment schedule is mentioned. Borrower representation, warranties and covenants indemnification to the city is listed on page three in that one as well. And then you go to the bond purchase agreement. The bond purchase agreement governs the sale of the bonds to the underwriter who then resells them to the investor. So the parties involved in this one would be the issuer which would be the city of Rochester again and the underwriter in this case there are three parties that make up the underwriter in here spelled out in there. Key provisions again is the bond purchase process indemnification of the city on page 11 is listed in there as well. uh the interest rates and maturity schedules that need to be filled in as well, which is why you're not approving that one tonight. Underwriters discount, closing conditions, uh representations and warranties, deliveries, legal opinions, termination provisions, things like that. So, those are the four documents that are before you tonight. And again the the flow of the money is the issuer adopts the bond resolution this evening approving the financing. Um the trust and denture then gets signed that governs the bonds and appoints the trustee. The issuer then sells the bonds

to the underwriter through the bond purchase agreement that I just went over. The the underwriter sells the bonds to the investors. The issuer alans the bond proceeds to the borrower that being the Mayo Clinic through the amended and restated loan agreement. The borrower repays the loan. Um, and that's kind of the flow of money through that sixstep process. So, with that, I can answer any questions or we can turn it over to the applicant is here in the audience with us.

Great. Thank you, Mr. Anderson. Uh if the applicant is here uh please step forward, identify yourself and you and your team have 10 minutes. [clears throat] Good evening to the council president, council members, city administrators very nice to be here. We appreciate the opportunity to uh work with the city again on an issuance and are excited to move forward on a $750 million bond issuance. Our goal this time, as it was before, is to continue to build the best hospital in the world. And our plan is to use these capital proceeds to help in that direction. We note that we've had a long period of opportunity to work with the city, which we're grateful for. We think this is an exciting project that has a tremendous opportunity for Mayo to make and build as we note the best hospital in the world. We were just rated again by Newsweek recently is for the eighth time in a row is the best hospital in the world. That's a good thing. But our real goal with strong financial performances we've been getting and performing recently, we look forward to using that and to play offense and to keep doing good things for both Mayo and the city. We would note that again financial strength is important. Uh we feel very uh capable in terms of continuing to cover the bonds and do all those issues. We have a double A rating. That's important. But really what's most important is that the needs of our patient come first. The primary value of Mayo drives what we do and how we do it. And we look to use that uh success that we have in terms of practice, education and research. happy to talk a little further about the bond issuance or what might be helpful and any colleague my colleague Todd Heather any comments you'd like to make.

No, you could go well Paul. Thank you. And Paul can you identify yourself? I don't remember if you did. Paul Gorman. I'm the chief investment officer and treasurer for May Clinic. Okay. Thank you. Uh we may call you back after the public hearing. Great. Thanks. Thank you. Thank you. [snorts]

The uh I I will now open the public hearing. This is a public hearing. Anyone wishing to be heard on this item, please step forward. Anyone wishing to be heard on this item, please step forward. Seeing no one, I will close the public hearing and invite my colleagues to ask questions of either the staff or the applicant. Council member Wall, this could be either, but probably uh for the applicant. Uh because of a question from a resident, I want to affirm that the $750 million is not necessarily an addition to Bold Forward Unbound, but is part of Bold Forward Unbound.

Correct. It is part of just an overall financing solution for Mayo. We'll be using cash uh operating profits and proceeds where we get there and of course the debt that we issue to help us finance the project. Thank you very much, Council Member Keane. Uh, yeah, this is a question for staff just to make sure I understand when, uh, you went through the different documents there. The last document is the resolution bond issuance. And I was trying to understand because the first thing I get to when I use that link is I get to our our city um, clerk basically confirming that we had this meeting, we had the public hearing. Um, am I am I reading that right?

Yes. So, this is a public hearing. So, they did put the affidavit in uh the paper and stuff to publicize the public and I see the need for I mean we're dealing with large dollar amounts and I'm I'm want to make sure we cover our basis correctly. I but I I was also concerned on the second page of that um is sort of like the documentation of who the speakers were, the summary, but it lists the mayor as calling the meeting to order. Is that something we just do naturally or is that got to be edited because uh the city or the council president's actually calling the meeting to order? Well, in fact, I am acting mayor, so the mayor is calling the meeting to order, but go ahead.

Um, generally they have templates and then we modify them. So, I'll put who the first who made the motion for the first and the second and I'll update that accordingly with the resolution. So, you'll update the that the council president calls the meeting to order. Thank you.

Yeah, that'd be good. Just to make sure our records are in intact. Um also just just on this thing um I I wanna you mentioned the thing about like we uh the different um city things that say hey this is a hospital it meets that can you talk about some of the things like um this is a a hospital I know we've done some of these things for other things like goodwill or something what what is the higher level standard is it the public good or what what are we approving this for and we know in this case it's bold forward but Why do we allow private entities or nonprofits to use the city's municipal thing? What what is the logic for it?

I would say the logic is for them to and then hospitals in particular, I guess, because they have a large need or a large amount of cash that they're looking for so they can do a large expansion on the project. So, it's not for much smaller. Um but basically so they can have access to the tax exempt financing which is a huge savings compared to the um taxable bonds that they would receive. And so hospitals naturally are a large one. The schools uh private schools would be another one. And again I've only been here for a couple years but having gone back. Um but I've seen schools have another one. And then other housing would be another one through like a 501c3. So it has to be a qualifying. It can't just be any any type of business. But it's uh yes, it is to provide them with better financing, which is a savings, so they can then go ahead and turn that more into um something more tangible other than paying interest and stuff like that.

Very good. Thank you. And I appreciate you going through the details here that again, these are very large sums of money. We're not used to dealing with this on a regular basis, but I think the main thing is we're protecting the city and we're trying to help uh like our partner here grow into the future. So, thank you, Council Member Doring. Yeah, my question is also for Mr. Anderson. You had uh answered the first part of it and this is just for the general public who might be watching this that the benefit for Mayo is taxexempt financing. What's the financial benefit for the city for for issuing uh these revenue bonds?

Uh again, it would have to be so it's consistent with the city's vision, their vision um and like an economic benefit for the state, the region, the city as a whole. um jobs would potentially increase or at least stay within the city as well too. So I would say that those are usually the two larger one. There's no uh other real financial benefit other than maintaining a a strong presence and economic benefit from that standpoint. Okay. It was just a question I received from a member of the public. So thank you. Yep. Council member Frederick's.

Yes. I just want to say thank you for your continuing excellent work in this community and the addition of thousands of new jobs again in this community. It's doesn't go unnoticed and it's remarkable. Thank you. We appreciate that. Thank you very much. You bet. I have a question. Uh so I know uh a couple weeks ago we uh we changed our conduit bond uh policy. Uh can you talk about h what those changes are and do they have any bearing on this bond issuance?

Uh yeah, we did or the council did go ahead and approve a conduit financing debt policy uh revised one and there was a little bit of I'll call it leaprogging for lack of better terms simply because the the policy had not been approved yet their application came in. So, their application came in, then the new policy was approved, and now, uh, they're here before us this evening. So, it was kind of a a little bit of a a leap frog. Um, and some of the changes that were were to allow for, uh, potential different financing options for RPU to take a look at that, um, was one of them, and there were two others. One was to raise the fees in there because we were told that the fees were quite low on what we currently had previously. Uh so the fees got raised in there and then there was a final item in there that escapes me at this time to be honest with you.

So to clarify so uh we adjusted our fees in keeping with other other cities of the first class as as I understand and this issuance uh does not apply to that new policy because the applicant was in prior to us changing that policy. So, just wanted to Yeah, that's the way I understood it clear. That's accurate.

Thank you. One more one question for you folks. Uh and uh is so you're here for 750 million of the five roughly 5 billion. Do you see yourselves coming back for additional municipal bond issuances? We do periodically come back to the to to the bond markets and uh sometimes those are public, sometimes they're private issuances. When they're public issuance, we would come back. As you know, we were here recently. Uh we appreciate the opportunity to have that chance to come back to the committee and the council and have a chance to discuss it. So, I think that from our perspective, it's part of a systematic approach to having debt as a part of our overall financial structure. We have a relatively low debt to capital ratio. So that helps us be mindful about the conservative nature of the way Mayo operates, but at the same time that's very helpful in allowing us to help finance these projects which which are good for Mayo and we believe good for the community as well.

Great. Well, we're we're happy to partner with you. Thank you. Uh with that, is there a motion? Council member Keane. I'd move to adopt a resolution for issuance of general obligation revenue bonds pursuant to conduit financing on behalf of Mayo Clinic in the amount of $750 million for the Mayo Clinic project consisting of renovations and upgrades to various facilities as allowed under Minnesota statutes sections 469.152 through 469.165.

Second move by council member Keen and seconded by council member Frederick's. Council member Keane, any more to add? No, just again it is kind of daunting to look at these kind of dollar amounts. I know we've been talking about this for a couple of years and there are other things going on but it shows um the financial stature of Mayo in the in the not just in the city of Rochester in the state of Minnesota but all in the United States. Thank you very much. We appreciate that. All All in favor say I. I. Oppose say nay. Motion passes. Thank you. Thank you very much.

Thank you. Moving on to our reports and recommendations. Uh H1, which is a bid advertisement for 65th Street Northwest and Fair Way uh drive roundabout project. And this is an item pulled by Council Member Palmer. Go ahead, Council Member. Thank you. [clears throat] Thank you. Um I'll move approval. A motion for approval has been made by Council Member Palmer, seconded by Council Member Wall. Council Member Palmer.

Yeah, I'm I'd be voting no against this because um for me it's a it's a it's a goof up from the engineering company that started this. Now the neighborhood is going to have another traffic disruption. Um I wasn't in favor of the originally and I I don't support it now. Uh um Mr. Dumbrossski, do you do you want to uh describe the project in uh kind of summary?

Yeah, thank you, Council President, members of the council. This is a project that's addressing um some challenges we've seen along 65th Street. Um following the the reconstruction that we completed a few years ago, um we're going to be installing a mini roundabout at the intersection of Fairway Drive and 65th Street Northwest. um which will help with some of the speeding issues we've seen uh and and just provide more intersection safety as as people are walking and biking through that intersection. And um as council member Palmer noted, it's it's something uh we you've previously agreed upon uh with the engineering firm. Um the engineering services were donated in kind as a result of um some issues we had with our original project design when we did reconstruct the whole roadway. So, we're here um tonight just looking for authorization to advertise for bids. Uh the project would be planned for construction while school is not in session this summer so we're not disrupting the school traffic. Um so over the summertime is what the plan is.

Thank you. Uh any other council members? Council member Palmer. Well, I think you're kind of softelling it, wasn't it? that um the public works department told them we had a sighteline um discrepancy and uh they didn't fix it and so the road was built with a sighteline um um problem and uh the road will be closed so they could construct a mini roundabout. That's accurate. We look we we worked uh on different alternatives to address the uh that issue and uh the preferred alternative was the intersection reconstruction as a mini roundabout which will address the the site distance issues that were you've noted.

So just a roundabout n numbers help me with this roundabout. It's going to cost what $2 million probably to do and did the engineering cost uh hundred,000. What what is the the the two numbers? Would you give me a ballpark? I don't remember what the estimate is for your engineer on this bid. The Sorry, I was pulling it up. The the construction estimate is 772,000.

Okay. uh the engine the engineering um costs including some construction contingencies were in the $150,000 range. There were there was more in services provided by the consulting firm which we've applied to other projects which the council previously approved. So they're also working on um some traffic uh projects, some traffic studies essentially at some different intersections. Thank you. Anyone else wishing to be heard on this item? Council member Wall and and with the other work that the uh engineering firm is doing, this will be relatively costneutral for the city.

Yeah. What we did was estimated the cost to address the stopping site distance issue and in lie of them cutting us a check, they're providing us services that at at that value. So, both for the 65th Street Fairway project we're talking about tonight, but also those other intersection um studies that they're completing for us. So, we aren't spending any more as a city. Mr. Near.

Thanks, Council President. I just wanted to add that there's additional value coming from the project as well. The mini roundabout is also to help with observed speeds out on 65th Street after it was opened. Um, so we're really addressing two issues with it. So, it's not just necessarily the offset of the professional services against what that option is. It's also a a safety measure to help with uh what's been observed out there. Council member Wall, you know, it's something we better get done as quickly as we can because we closed that road down today.

No, I'm just kidding. Uh I think I heard it was opened at 3:15, I think, as I recall the uh item. Uh it's a road that I uh do use often and already has two roundabouts on it. Uh, and I think the extra roundabout will be helpful because it's a a long stretch and there are still some people who who uh think that uh this should be a much faster road. So interruptions along the way I think could help us in the long run. All in favor say I. I. I. Post say nay. Nay.

Motion passes 5 to one with council member Palmer voting nay. Moving on to H2, which is a bid advertisement for the reconstruction of Superior Drive Northwest from 26th Street Northwest to 28th Street Northwest and 26th Street Northwest from Superior Drive Northwest to West Circle Drive Northwest. Uh, this is an item pulled by Council Member Palmer. Council member, go ahead. Um, motion to approve. Second. Motion made by Council Member Palmer, seconded by Council Member Wall. Council member Palmer, you have the floor.

I pulled it for a couple reasons. One, I don't support the um idea that we're rebuilding a road that we're not assessing the property owners on both sides. I understand that this road was built about 22 years ago. Um and we have a lot of roads in Rochester that are over 55 years old, most of old KCO Manor, Elton Hills Drive, um Elton Hills area that have not had to be rebuilt. Um it it's it's frustrating that that we're using sales tax dollars to do this because it be my guess that um we probably didn't do a bangup job of doing inspections on this road when it was built. So um so there's two questions there and and the number one is is I don't understand why the adjacent property owners aren't paying since our policy is that they do pay when we're rebuilding a road. They don't when we mill and overlay.

Mr. Jen Broski, go ahead.

Thank you, Council President. Um, Council Member Palmer, that that's accurate. Um, you know, we are not proposing special assessments. This isn't a complete reconstruction of the entire segment when we think uh all of the curb, all of the pavement. It It's a hybrid approach. We're going to be doing some preservation work where we aren't seeing the pavement issues and then pavement reconstruction. But we're preserving the curb. we're preserving, we're not taking sidewalk out. Um so it's really not a full reconstruction project per the policy and thus why we're not proposing special assessments. Um I think um the other thing to note uh would be as you talked about observation when the project you know was completed in the early 2000s uh we're very frustrated as well. there was a period of time where um the observation on projects wasn't happening and the proper oversight and thus we um this before Tyler's time here my time um the city owner program was rewritten such that now we control that contract and ensure that we have someone on site watching the project making sure it's built to our standards and specifications. So, unfortunately, this isn't the last project where we'll we'll have to reconstruct a roadway or portions of a roadway sooner than we would prefer, which is a 50-year life cycle when we factor in all the preservation we we work we do after the original construction project.

Council member, and I wanted that pointed out to to people that we're we're working backwards and we've changed our policy, so it should not continue. But I'm a little inquisitive. Have we done soil borings on this? Because if we're going to be taking bad soil out and we have curbs that's existing, I'm going to assume you're going to um take out more um fill than than just the width of the or the depth of the um curb. So, how how would you plan on doing that?

We're we we will just be addressing from curb to curb. We have done soil borings. Um it will also include some subdrains that will help capture any water to protect that subgrade and that pavement section. Um just it just so happens that the the soils out there were not great and the way they there was a lot of cut and fill that happened with that project as our team looked back on um you know what the existing contours were versus the the finished profile and most likely the compaction wasn't happening in the proper way. Like I noted we we didn't have the oversight during that era. So, um, we'll be able to address that by, um, reestablishing pavement subgrade and a pavement section that's going to last for 50 years, included, including the subdrains that can help capture that, um, groundwater, and that, you know, we we make sure we capture so we aren't impacting the subgrade and the pavement section.

Go ahead, council member. I just want to follow up on that. So, if we have curb that's sitting there at 10 in deep or 12 in deep as a curb, um, you're going to take out the subgrade to that. If we're going to undermine the curb, I don't really want to have to replace curb because we undermined the the the subgrade. So, I'm assuming you're all looking at that and that's going to be taken care of. Correct. Thank you for your help,

Council Member Wall. Quite apart from uh Mr. Palmer's uh legitimate concerns. I'd like to lift up this uh project as really a success uh for our local government. Last week, a sharpeyed citizen uh contacted me and said that he noted the reconstruction of Superior Drive uh Northwest and then said, you know, have you guys ever thought about doing 26th between Superior and uh and uh West Circle

West Circle Drive? I said, I don't know. uh I will ask and so I sent that question along to Mr. Dumbrosski and a colleague and within an hour or so I got a map back and they said this map will be part of your your uh council packet this coming Monday night and yes indeed we're going to be doing 26. So I passed that along to this uh eagleeyed resident who is very happy we have made friends and that's the way government should work. So, I thank you, Council Member Wall. You have so much cloud. How do we do that? Get items on our agenda. [laughter] Mr. Dumbowski,

I I would just add one other item. I I don't want to prolong this item. However, the other thing that's really changed since the early 2000s and prior to that is the way we design our roadways. As you think about all the neighborhood traffic calming projects we're now doing because we built streets too wide previously. This is an area where it's wider than it needs to be. So, we're taking the opportunity as we're um working on the project to address some intersection safety and shorten some pedestrian crossings, which will not only be safer for people, they're less time spent crossing the roadway, but it also helps with some traffic calming um along the corridor with speeds. All in favor say I.

I. Oppose say nay. Motion passes unanimously. Uh, moving on to item H3, which is a contract amendment with tool design group for professional engineering design services for the re-imagining 6th Avenue West project. Council member Palmer, I'll make a motion to approve. Second. Moved by Council Member Palmer, seconded by Council Member Keane. Council Member Palmer,

I won't be supporting this um for a [clears throat] couple reasons, but number one is at $1.4 million, I think we should have gone out for a competitive bid. I know that the um company that you like to award this to has already done some work, but that was more work um with the public more than just the engineering and some some um drawings. So, I I won't be supporting this, but I do have a question for Miss Steinhauser. When do you think that 6th Avenue will be completely open with no construction on it? Paul, pardon me. I would actually have to refer to Mr. Samson Brown. Um, are you talking when the city's project is done or when the city and mayo's project is done in that space?

When a resident can go down that road and not see any construction going on. Um, council member Palmer, the last piece of work out of that road will likely be the staging for the Osman building uh near Second Street Southwest. There will be a West tower crane in place through probably 2030. uh that tower crane will likely, we have not heard yet, but likely be picking loads off of uh 6th Avenue. Uh so that'll be the last thing. The city's project again is we're following uh immediately behind the uh UPY Mayo utility contract contract will probably be 20 uh 2028 time frame

based on we're familiar with that. We've talked about it before, but if my um memory serves me right, the bike lane cycle track is going to be on the east side, and that won't be done until 2030. Is that correct? Uh the full length from uh Civic Center down to Second Street Southwest. Yes, we'll need to um unless Mayo has a different plan for their West Tower crane, we will have to wait until they're done using the shoulder behind the road or the parkway behind the road to install that segment.

Mr. Samson Brown, can you uh Council Member Palmer talked about uh going with the current contract rather than going out to bid. Can you uh uh talk about the agreement that we had with uh tool design?

Sure. Uh we actually initially started um in June of 25 understanding this project was coming uh in consultation with my colleagues from public works. Um due the complexity of of the active transportation component, we did write a full RFP uh except we invited uh firms with national expertise. So we actually invited three firms to respond to our RFP that covered both phase one which we've just been through leading up till tonight. Phase it also covered phase two which was the uh full design of the project and then phase three which is the construction administration. So there was an RFP. Um there was competition. We ended up interviewing two firms and uh we ended up with tool design as the recommended firm. And one of the reasons that uh we issued the RFP without having them make a proposal on phase two, which is the full design, was there's just so much variability to what the what you as the council may ultimately adopt as the recommended corridor. It would be hard uh near impossible to get pricing on phase two. So, we did a multi-step approach. Phase one for the corridor selection process. Phase two for the design of Sixth Avenue.

Got it. Any further questions? Seeing none, all in favor say I. I. Oppose say nay. Nay. Motion passes 5 to one with council member Palmer voting nay. Moving on to our uh ordinance uh second readings. Uh Mr. Spindler Craig. Thank you, Mr. President. There are two second readings. Item K1, an ordinance creating and enacting chapter 5-24 of title 5 of the Rochester code of ordinances relating to film permits. Move approval. Uh motion made by council member Keane. Seconded by council member Doring. All in favor say I. I.

Post say nay. Motion passes. Uh go ahead Mr. Spindler Craig. Item K2, an ordinance reszoning approximately 13 acres of land located west of Highway 63 and north of 60th Street Southwest identified by pin 045418 from AG agriculture to R1 mixeduse single family and amending ordinance number 4478 known as the unified development code of the city of Rochester, Minnesota. Move approval. Motion made by council member Keane. Second. Seconded by council member Fredericks. All in favor say I. I. I. Oppose say nay. Motion passes. Is there a motion for adjournment? Some move. Second. Second. All in favor say I.

I. I. Oppose say nay. We are adjourned. Just like Sean do. Okay.