Loading...
City Council Minutes 09-08-2025MONTICELLO CITY COUNCIL REGULAR MEETING MINUTES Monday, September 8, 2025 — 6:30 p.m. Mississippi Room, Monticello Community Center Present: Lloyd Hilgart, Kip Christianson, Charlotte Gabler, Tracy Hinz, and Lee Martie Absent: None 1. General Business A. Call to Order & Pledge of Allegiance Mayor Hilgart called the meeting to order at 6:30 p.m. B. Approval of Agenda Motion by Council Member Christianson to approve the agenda. Council Member Hinz seconded the motion. Motion carried unanimously. C. Approval of Meeting Minutes • Special Meeting Minutes from August 25, 2025 • Regular Meeting Minutes from August 25, 2025 Motion by Council Member Hinz to approve the special meeting minutes and the regular meeting minutes. Council Member Martie seconded the motion. Motion carried unanimously. D. Citizen Comments • David Nagel, 5115 87t" Street — Mr. Nagel expressed frustration with issues in the development where he purchased a new home. He reported that 18 homes built by Lennar are experiencing significant problems, including leaking windows that have caused extensive damage and the presence of black mold. Mr. Nagle questioned why the City continues to permit the builder to construct additional homes given these issues. He asked the City Council what steps could be taken to assist affected homeowners in working with the company to resolve the problems, noting that the impacted homes are somewhat not livable. He further stated that Lennar has asked the homeowners to sign nondisclosure agreements as a condition of repairing the windows. City Council Minutes: September 8, 2025 Page 1 1 7 Mr. Nagel inquired about the City's role in inspections and approvals when new homes are constructed. He also asked whether the City could request and review the builder's engineering reports. • Mayor Hilgart reported that he had contacted the builder and was informed that the new windows being installed in new homes have been corrected and do not leak. • City Administrator Rachel Leonard responded to the homeowners, noting the city is committed to assisting where the municipal authority exists. However, she cautioned there are limits to the city's jurisdiction. Ms. Leonard also stated staff can request additional guidance from the city attorney. • Alexander Coady, 2760 Oakview Court — Mr. Coady spoke in opposition to data centers and recommended that the City prohibit them. • Rachel Penson, 5095 87t" Street — Ms. Penson expressed frustration that the City has not taken action to resolve the issues with her home. She stated her belief that the City relies too heavily on the builder's statements and emphasized that someone needs to hold the builder accountable. She also noted that her home would not be able to be sold for its value. • Mayor Hilgart reiterated that staff would consult with the City Attorney to determine what actions, if any, the City may take. • Jamie Vokaty asked whether the City Council could prevent the builder from constructing additional homes. • Adam Fischer, 5080 87t" Street NE — Mr. Fisher questioned whether the City had authority under the building code and whether the builder had obtained the proper permits. He noted that the builder assured homeowners the homes were code compliant, but it has been confirmed that ten of the homes contain black mold. • Community Development Director Angela Schumann explained that the City's authority lies within the State Building Code and active building permits, which the Building Department continues to monitor. She added that the staff will need to further review the matter and consult with the City Attorney before providing a full response. • Chief Building Official Bob Ferguson stated that the City inspected the installation of the windows, but they do not inspect the windows themselves, as that is not a part of the City's inspection responsibilities. Mr. Ferguson noted that he will work with the properties to review their information for City Council Minutes: September 8, 2025 Page 2 1 7 proper documentation. He added that the control the City has is determined by the building code. E. Public Service Announcements City Clerk Jennifer Schreiber noted the following public announcements: • Wright County CSAH 75 Pavement Preservation Project • Channel Change for TDS Customers • Farmers Market F. Council Liaison Updates • Central Mississippi River Partnership (CMRP) — Mayor Hilgart reported that the group discussed its non-profit status and received an update on the next steps of Phase II of environmental study. • Planning Commission — Council Member Christianson noted that the Commission continued the public hearing on the data center ordinance, closed the hearing, and tabled the item. The Commission also reviewed a Conditional Use Permit (CUP) for Sports Card, an amendment to the Cannabis ordinance, and an extension request for Wendy's CUP. • Industrial & Economic Development Committee (IEDC) — Council Member Gabler reported that the IEDC met on September 3. Economic Development Manager Jim Thares provided an update on prospects and the project pre -design process, and the City Administrator Rachel Leonard gave an update on two data center proposals as well as other Council -related topics. G. Department Updates • Construction Update — Matt Leonard, Public Works Director/City Engineer, gave an update on current construction projects. • Data Center Ordinance Update — City Administrator Rachel Leonard provided clarification on the ordinance process related to data centers. She explained that staff is currently working on two tasks at the direction of City Council: (1) engaging with private developers to evaluate whether proposed projects may be a good fit for Monticello, and (2) developing land use regulations specific to data center facilities. Ms. Leonard emphasized the City's responsibility to establish regulation or ordinances to determine if, how, and where data centers may be appropriate in the community. She noted that this process allows staff and the Council to evaluate what is in the best interest of the City overall. City Council Minutes: September 8, 2025 Page 3 1 7 Ms. Leonard outlined two key components of the ordinance work: (1) amending the Comprehensive Plan to better define data centers and limit them to the Light Industrial Districts, and (2) drafting an ordinance to regulate development of such facilities. The draft ordinance also called for public engagement. She added that the drafting of ordinances is a routine process the City undertakes to regulate a variety of City issues, including land use and development. Mayor Hilgart also addressed inaccurate rumors circulating within the community. He encouraged the public to become involved in the process by talking to staff or the council or attending public meetings. 2. Consent Agenda: Motion by Council Member Martie to approve the Consent Agenda excluding items I and J. Council Member Hinz seconded the motion. Motion carried unanimously. A. Consideration of approving the payment of bills. Action taken: Approved the bill and purchase card registers for a total of $949,903.69. B. Consideration of approving new hires and departures for City departments. Action taken: Approved the hires for the DMV and Hi -Way Liquors and terminations for the Monticello Community Center and Parks Department. C. Consideration of approving the sale/disposal of surplus city property for the Public Works Department. Action taken: No report. D. Consideration of a special event permit for Downtown Trick or Treat on Thursday, October 23, 2025, including the use of West Bridge Park and closure of West River Street from Walnut Street to Highway 25. Applicant: Monticello Chamber of Commerce & Industry. Action taken: Approved the special event permit for the Downtown Trick or Treat. E. Consideration of adopting Resolution 2025-52 accepting a grant in the amount of $5,000 from Initiative Foundation to support Monticello Heritage Days 2026. Action taken: Adopted Resolution 2025-52 accepting the grant. Consideration of approving a Therapeutic Massage Enterprise license for Healing Balance Massage & Wellness at 512 Cedar Street. Action taken: Approved the Massage Enterprise license for Healing Balance Massage & Wellness. G. Consideration of approving a one-year extension of Conditional Use Permit (CUP) approval for an amendment to a CUP for a Planned Unit Development for a restaurant as a principal use and drive -through services as an accessory use in a B-4, Regional Business zoning district. Applicant: HAZA Foods (Wendy's). Action City Council Minutes: September 8, 2025 Page 4 1 7 taken: Approved the one-year extension of CUP for HAZA Foods based on findings in Resolution PC-2025-35 and subject to conditions of Exhibit Z. H. Consideration of approving a contract with MP Asphalt for crack filling, infrared patching, and installation of the Road -Guard micro -surfacing product on designated trails in the northwestern quadrant of Monticello for $45,250. Action taken: Approved the contract with MP Asphalt for $45,250. I. Consideration of approving a Special Event Permit for outdoor entertainment at Nordic Tap House (106 Walnut Street) and use of City resources for a free block party on Saturday, October 4, 2025. Applicant: Nordic Tap House. Action taken: ITEM WAS REMOVED FROM THE CONSENT AGENDA. Consideration of adopting Resolution 2025-53 accepting bids for the CSAH 39 Utility Extension Project and awarding contract to Park Construction Company at a cost of $1,246,202.15, contingent on approval from the Minnesota Department of Employment and Economic Development. Action taken: ITEM WAS REMOVED FROM THE CONSENT AGENDA. K. Consideration of adopting Resolution 2025-55 authorizing Wright County Parks and Recreation to conduct a special archery deer hunt in designated Monticello - area parks from October 17-26, 2025, under the County's established guidelines. Action taken: Adopted Resolution 2025-55 approving the special archery deer hunt. L. Consideration of authorizing a Memorandum of Understanding with CentraCare Health System for hospital participation in federal program. Action taken: Authorized the Memorandum of Understanding with CentraCare Health System. 2A. Consideration of items removed from the consent agenda for discussion 1. Consideration of approving a Special Event Permit for outdoor entertainment at Nordic Tap House (106 Walnut Street) and use of City resources for a free block party on Saturday, October 4, 2025. Applicant: Nordic Tap House Council Member Gabler removed the item to question whether Nordic notified the surrounding properties of the event. City Clerk Jennifer Schreiber responded that notification was included in the initial letter sent prior to approval, but Nordic will be required to send an additional notice. Motion by Council Member Christianson to approve the special event permit for October 4, 2025, which will be held 2 p.m. — 9 p.m. Council Member Martie seconded the motion. Motion carried unanimously. City Council Minutes: September 8, 2025 Page 5 1 7 J. Consideration of adopting Resolution 2025-53 accepting bids for the CSAH 39 Utility Extension Project and awarding the contract to Park Construction Company at a cost of $1,246,202.15, contingent on approval from the Minnesota Department of Employment and Economic Development Council Member Gabler removed the item to ask why it was listed on the Consent Agenda while the Contract for Golf Course Road Trail Project appeared on the Regular Agenda. City Administrator Rachel Leonard explained that both items would normally be on the Consent Agenda since they are included in the budget. However, because one Council Member needed to abstain from the Golf Course Road Trail item, it was moved to the Regular Agenda. Motion by Council Member Gabler to adopt Resolution 2025-53 accepting bids for the CSAH 39 Utility Extension Project and awarding the contract to Park Construction Company in the amount of $1,246,202.15. Council Member Christianson seconded the motion. Motion carried unanimously. 3. Public Hearing: 4. Regular Agenda: A. Consideration of adopting Ordinance 857 amending the Monticello City Code, Title VII, Chapter 71: Recreational Motor Vehicles and Title IX, Chapter 94: Streets and Sidewalks for the regulation of electronic bicycles and micromobility devices and adopting Summary Ordinance 857A for publication Tom Pawelk, Parks, Arts, and Recreation Director, provided a brief presentation on the proposed ordinance amendment regulating electric bicycles. The presentation included definitions for Class 1, Class 2, and Class 3 e-bikes and outlined mechanisms that are either prohibited or require a motorcycle license. There was minimal discussion among City Council. City Clerk Jennifer Schreiber noted that Wright County would be responsible for enforcement and issuing citations under the ordinance. Council Member Christianson ask about the ability to cross Highway 25, noting that the current ordinance language would prohibit it. Both staff and council agreed the language could be revised to allow crossing, following consultation with the City Attorney. Motion by Council Member Christianson moved to adopt Ordinance 857 for the regulation of electronic bicycles and micromobility devices with the amendment to allow the crossing of State Highway 25 and to adopt Summary City Council Minutes: September 8, 2025 Page 6 1 7 Ordinance 857A for publication. Council Member Martie seconded the motion. Motion carried unanimously. B. Consideration of adopting Resolution 2025-54 accepting bids and awarding the contract to Thomas and Sons Construction, Inc. for the Golf Course Road Trail Project contingent on MNDOT approval in the amount of $1,801,483.05 Matt Leonard, Public Works Director/City Engineer, introduced the item and provided a brief overview. Council Member Gabler noted that she would abstain from the vote due to her employment with the selected contractor. Motion by Council Member Hinz to adopt Resolution 2025-54 accepting bids and awarding the contract to Thomas and Sons Construction, Inc. in the amount of $1,801,483.05. Council Member Martie seconded the motion. Motion carried unanimously. 5. Adjournment The meeting was adjourned at 8:15 p.m. Recorder: Jennifer Schreibe City Administrator City Council Minutes: September 8, 2025 Page 7 1 7