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City Council Agenda Packet 09-22-2025AGENDA REGULAR MEETING – MONTICELLO CITY COUNCIL Monday, September 22, 2025 – 6:30 p.m. Mississippi Room, Monticello Community Center Mayor: Lloyd Hilgart Council Members: Kip Christianson, Charlotte Gabler, Tracy Hinz, and Lee Martie 1. General Business A. Call to Order & Pledge of Allegiance B. Approval of Agenda – Councilmembers or the City Administrator may add items to the agenda for discussion purposes or approval. The City Council may or may not take official action on items added to the agenda. C. Approval of Meeting Minutes • Special Meeting Minutes from June 2, 2025 • Special Meeting Minutes from September 8, 2025 • Regular Meeting Minutes from September 8, 2025 D. Citizen Comments – Individuals may address the City Council about any item not contained on the agenda. Each speaker will be allotted three minutes with a maximum of five speakers. The Mayor may allow for additional time and/or speakers. The City Council generally takes no official action of items discussed, except for referral to staff for future report. E. Public Service Announcements/Updates F. Council Liaison Updates • Economic Development Authority (EDA) • MOAA G. Department Updates • Construction Update • Elizabeth Wefel, Coalition of Greater Minnesota Cities 2. Consent Agenda – All items listed on the Consent Agenda are considered standard or may not need discussion prior to approval. These items are acted upon by one motion unless a councilmember, the city administrator, or a citizen requests the item by removed from consent for additional discussion. A. Consideration of approving payment of bills B. Consideration of approving new hires and departures for City departments C. Consideration of approving the sale/disposal of surplus city property D. Consideration of adopting Resolution 2025-57 accepting a donation from artist Stan Thorud of a framed and matted portrait of Bill and Taffee Fair, valued at $1,930.07 E. Consideration of approving a temporary liquor license for Trinity Lutheran Church for an event to be held on November 1, 2025, at the church located at 449 West Broadway F. Consideration of adopting Resolution 2025-58 election judges for the November 4, 2025 Special Election G. Consideration of approving a special event permit for the Monticello Lions 50 Years of Service Celebration at West Bridge Park on Saturday, October 11, 2025 H. Consideration of approving a special event and charitable gambling permit for the Chamber of Commerce & Industry for their annual banquet on December 5, 2025 I. Consideration of setting the Truth-In-Taxation Public Hearing for December 8, 2025 J. Consideration of approving the first amendment to the Deephaven Development Contract and Planned Unit Development for extension of completion of public improvements and playground facilities, and the release of Lot 2, Block 1, Deephaven 3 from the Deephaven and Deephaven 3 Development Contracts K. Consideration of approving a partial release of River View Square Development for Lot 1, Block 2 L. Consideration of approving a request for amendment to the Conditional Use Permit for Planned Unit Development for a Retail Use as a Principal Use in the B- 4, Regional Business District and Conditional Use Permit for Cross Access. Applicant: Josh Iaquinto M. Consideration of adopting Ordinance 858 amending the Monticello City Code Title XV, Chapter 153: Zoning, for the regulation of Cannabis related land uses in section 153.091 Use-Specific Standards and adopting Summary Ordinance 858A for publication N. Consideration of approving contract with Hakanson Anderson for engineering services for the Monticello Public Library Site Improvements Project in the amount of $32,700 O. Consideration of approving a contract with Huber Technology, Inc. for maintenance of the screw press at the Wastewater Treatment Plant in the amount of $61,106.54 2A. Consideration of items removed from the consent agenda for discussion 3. Public Hearings 4. Regular Agenda A. Consideration of adopting Resolution 2025-59 approving the City of Monticello Economic Development Authority special benefit levy of $504,000 and accepting the preliminary 2026 EDA general fund budget of $590,000 B. Consideration of adopting Resolution 2025-60 setting the 2026 City of Monticello Preliminary Tax Levy C. Consideration of adopting Resolution 2025-61 rejecting all bids for the Ditch 33 Improvements Project 5. Adjournment City Council Special Meeting – June 2, 2025 MINUTES MONTICELLO CITY COUNCIL SPECIAL MEETING Monday, June 2, 2025 – 5 p.m. Monticello Community Center Present: Lloyd Hilgart, Kip Christianson, Charlotte Gabler, Tracy Hinz, and Lee Martie (arrived at 5:20 p.m.) Absent: None Staff: Rachel Leonard, Angela Schumann, Tom Pawelk, Matt Leonard, Jim Thares, and Jennifer Schreiber 1. Call to Order Mayor Lloyd Hilgart called the special meeting to order at 5 p.m. 2. Data Center Discussion City Administrator Rachel Leonard initiated the discussion noting the purpose of the meeting is to discuss the City’s overall approach to potential data center projects and gather City Council feedback. She noted the intent is not to discuss specific projects, rather staff is looking for clarification and continued direction for implementing policies and interacting with interested developers. For example, she noted that per current Council direction, staff have been upfront with interested developers that no monetary incentives will be offered by the City. Ms. Leonard shared that there is current interest in properties located to the south and northwest of Monticello for potential data center projects. These proposed developments are significantly larger than most existing data centers in Minnesota, prompting staff to seek further guidance from the Council. She added that the zoning ordinance regulating data centers is under development. The interest expressed so far has come from developers focused on hyperscale data centers, which typically require more than 200 acres. In response to a question from Council Member Hinz about whether all data centers are hyperscale, Ms. Leonard clarified that while not all are, the two parties currently considering Monticello are pursuing hyperscale facilities. She also noted that, for any project to be considered, the land must be guided for light industrial use, and Xcel Energy must determine the feasibility of providing the necessary power infrastructure. Mayor Hilgart asked what would happen if one project was approved and others followed. Ms. Leonard explained that all the land under consideration lies within City Council Special Meeting – June 2, 2025 township boundaries and would require annexation, giving the City full authority over whether to move forward with any specific project. Community Development Director Angela Schumann asked the Council what elements or outcomes they would like to see if a data center were to be built in Monticello. A majority of Council members highlighted the potential to significantly grow the City’s tax base. Council Member Martie added that the construction phase, expected to last around 24 months, would also contribute positively to the local economy. Ms. Leonard raised the issue of infrastructure costs, to which most Council members responded that developers should be responsible for covering the full costs of infrastructure expansion. She noted that while the City has already taken the stance of not offering incentives, additional direction is needed to determine what level of financial risk or upfront cost it is willing to take. Council member Christianson emphasized that the developer contribution should include all related improvements, such as water towers, wastewater treatment plant upgrades, and water plant expansions. Council Member Hinz expressed that she struggled with hypotheticals and wanted more clarity on the projects. Council Member Christianson suggested additional research, likely from hyperscale data centers in other states, to better understand the scope of the development. The Council also discussed broader community benefits. Beyond the increase in tax revenue, members questioned other direct advantages for residents. Mayor Hilgart pointed out that significant variables remain, making these developments potentially risky. Council Member Gabler noted that if a developer funds infrastructure extensions to their site, it could benefit the City by bringing utilities closer to areas slated for future residential development. Council Member Martie noted the growth in tax base could help facilitate some of the City’s other priorities. The Council questioned what standards would be used to determine benefit. Ms. Schumann provided examples of standards, including buffers and landscaping, lighting, and noise control. Ms. Leonard stressed that with this much land at stake, the City must ensure there is a clear benefit. The Council expressed that they have ongoing questions but view this as a potential opportunity so directed staff to continue their research and work on the ordinance. Ms. Schumann noted that draft ordinances and policy recommendations will be brought forward at a future meeting. City Council Special Meeting – June 2, 2025 3. Adjournment By consensus, the meeting was adjourned at 6:10 p.m. Recorder: Jennifer Schreiber ____________________ Attest: ________________________ City Administrator City Council Special Meeting Minutes – September 8, 2025 MINUTES MONTICELLO CITY COUNCIL SPECIAL MEETING Monday, September 8, 2025 – 5:00 p.m. Monticello Community Center Present: Lloyd Hilgart, Charlotte Gabler, Kip Christianson, Tracy Hinz, and Lee Martie Absent: None Staff: Rachel Leonard, Sarah Rathlisberger, Angela Schumann, Matt Leonard, Bob Ferguson, Jim Thares, Tom Pawelk, and Stephanie Trottier 1. Call to Order Mayor Lloyd Hilgart called the special meeting to order at 5:00 p.m. 2. Compensation Study Overview and Budget Impact Human Resource Manager Tracy Ergen introduced Saado Abboud from Keystone Compensation Group, who conducted the City’s compensation study. Mr. Abboud presented a summary of his findings to the City Council. The report contained non- public data in accordance with MN State Statute 13.435, Salary and Benefit Survey Data, and was not made public. Mr. Abboud outlined the methodology used to compare job classifications, grade levels, and salaries across nineteen peer cities. The study found that Monticello’s average pay level is 91%, below that of the competitive range of 95%-105%. He noted that the City’s current pay structure includes 17 grades, which will remain unchanged. The estimated cost to transition to the updated pay system is $79,000. City Administrator Rachel Leonard informed the Council that two key decisions will be needed at an upcoming meeting: (1) whether to adopt the new pay system, and (2) whether to adjust salaries in 2026 by 2.5% or 3% to ensure the City remains competitive within the market. 3. Adjournment By consensus, the meeting was adjourned at 6:15 p.m. Recorder: Jennifer Schreiber ____________________ Attest: ________________________ City Administrator City Council Minutes: September 8, 2025 Page 1 | 7 MONTICELLO 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 87th 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 2 | 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 87th 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 87th 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 3 | 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 4 | 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. F. 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 5 | 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. J. 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 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 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 6 | 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 7 | 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 Schreiber __________________________________ Attest: ____________________________________ City Administrator City Council Agenda: 9/22/2025 1 2A. Consideration of approving payment of bills Prepared by: Finance Director Meeting Date: 9/22/2025 ☒ Consent Agenda Item ☐ Regular Agenda Item Reviewed by: N/A Approved by: City Administrator ACTION REQUESTED Motion to approve the bill and purchase card registers for a total amount of $1,974,380.15. REFERENCE AND BACKGROUND City staff submits the attached bill registers and purchasing card registers for approval by Council. The bill registers contain all invoices processed and the purchasing card registers contain all card purchases made since the last Council meeting. Subject to MN Statutes, most invoices require Council approval prior to releasing checks for payment. The day following Council approval, payments will be released unless directed otherwise. A credit purchasing agreement and policy was approved by Council initially and card purchases must comply with the policy. If Council has no questions or comments on the bill and purchase card registers, these can be approved with the consent agenda. If requested, this item can be removed from consent and discussed prior to making a motion for approval. I. Budget Impact: N/A II. Staff Workload Impact: No additional work. III. Comprehensive Plan Impact: N/A STAFF RECOMMENDED ACTION City staff recommends approval of bill and purchase card registers as presented. SUPPORTING DATA • Bill registers and purchase card registers Accounts Payable User: Printed: julie.cheney@monticellomn.gov 9/17/2025 9:47 AM Checks by Date - Summary by Check Date Check No Check DateVendor NameVendor No Check Amount 1426 CITY OF MONTICELLO 09/15/2025 14,532.18ACH 2282 MRI SOFTWARE 09/15/2025 48.00ACH 2405 WELLS FARGO - Monthly Charges/Returns09/15/2025 20,476.39ACH 2438 VANCO SERVICES LLC 09/15/2025 104.10ACH 2811 US BANK CORPORATE PMT SYSTEM 09/15/2025 46,645.07ACH 3241 LINCOLN FINANCIAL GROUP 09/15/2025 3,544.68ACH 4263 CAYAN 09/15/2025 1,791.42ACH 5147 MN PEIP 09/15/2025 68,492.51ACH 6041 HEALTHEQUITY INC 09/15/2025 32.80ACH 155,667.15Total for 9/15/2025: Report Total (9 checks): 155,667.15 Page 1AP Checks by Date - Summary by Check Date (9/17/2025 9:47 AM) The preceding list of bills payable was reviewed and approved for payment. Date: 9/22/25 Approved by:_____________________________________ Mayor Lloyd Hilgart Accounts Payable User: Printed: julie.cheney@monticellomn.gov 9/18/2025 9:26 AM Checks by Date - Summary by Check Date Check No Check DateVendor NameVendor No Check Amount 1062 BEAUDRY OIL COMPANY 09/23/2025 5,533.05ACH 1065 BELLBOY CORPORATION 09/23/2025 17,702.37ACH 1091 CAMPBELL KNUTSON PA 09/23/2025 15,028.11ACH 1106 CENTRAL MCGOWAN INC 09/23/2025 271.42ACH 1129 DAHLHEIMER BEVERAGE LLC 09/23/2025 74,570.53ACH 1153 ECM PUBLISHERS INC 09/23/2025 334.50ACH 1223 HAWKINS INC 09/23/2025 60.00ACH 1303 M AMUNDSON CIGAR & CANDY CO, LLP09/23/2025 5,093.32ACH 1377 MONTICELLO SENIOR CENTER 09/23/2025 11,666.66ACH 1386 M-R SIGN CO INC 09/23/2025 163.25ACH 1413 GOPHER STATE ONE CALL INC 09/23/2025 229.50ACH 1417 OSC OXYGEN SERVICE COMPANY 09/23/2025 265.14ACH 1518 TDS TELECOM 09/23/2025 347.15ACH 1537 UHL COMPANY INC 09/23/2025 2,504.49ACH 1550 VEOLIA WATER N AM OPERATING SERV LLC VEOLIA WATER N AM OPERATIONS INC09/23/2025 65,287.02ACH 1552 VIKING COCA COLA BOTTLING CO 09/23/2025 550.75ACH 1572 THE WINE COMPANY 09/23/2025 794.00ACH 1577 WRIGHT CO AUDITOR-TREAS - ACH 09/23/2025 205,982.93ACH 1684 VINOCOPIA 09/23/2025 816.32ACH 1726 MARCO TECHNOLOGIES 09/23/2025 6,773.98ACH 2159 NATHAN PHILLIP KROHN 09/23/2025 360.00ACH 2273 FIBERNET MONTICELLO - ACH 09/23/2025 5,331.75ACH 3762 GARRETTS DIAMOND CITY BREAD 09/23/2025 40.00ACH 4194 JENNIFER SCHREIBER 09/23/2025 48.72ACH 4502 ARVIG 09/23/2025 6,082.48ACH 4513 AARON STAEHNKE 09/23/2025 107.00ACH 4633 PERFORMANCE FOOD GROUP INC 09/23/2025 692.20ACH 4646 CAPITOL BEVERAGE SALES L.P.09/23/2025 12,877.31ACH 4962 RENGEL PRINTING COMPANY, INC 09/23/2025 64.83ACH 5201 DICK FAMILY, INC.09/23/2025 1,652.45ACH 5211 RANDI O'KEEFE KRIER 09/23/2025 4,010.42ACH 5426 NOVEL SOLAR TWO LLC 09/23/2025 28,808.10ACH 5585 SBRK FINANCE HOLDINGS INC 09/23/2025 68.00ACH 5709 BEN LUNDQUIST 09/23/2025 6,249.99ACH 5998 SADIE NIELSEN 09/23/2025 465.00ACH 6100 MATTHEW STAHLMANN-MOSHER 09/23/2025 33.00ACH 6285 NOKOMIS ENERGY LLC 09/23/2025 16,300.55ACH 6300 NOVEL SOLAR ONE LLC 09/23/2025 5,499.60ACH 6301 NOVEL SOLAR FIVE LLC 09/23/2025 247.47ACH 6306 STONEBROOKE ENGINEERING INC 09/23/2025 44,087.78ACH 6327 VICKI LEERHOFF 09/23/2025 59.00ACH 6436 CHERI BUTLER 09/23/2025 21.70ACH 6654 OMG MIDWEST INC 09/23/2025 925,412.64ACH 6684 NEW LEAF FARMSTEAD LLC 09/23/2025 221.00ACH 2925 1ST LINE/LEEWES VENTURES LLC 09/23/2025 442.25130612 5660 ABSOLUTE PRINT GRAPHICS 09/23/2025 2,800.37130613 5948 AE2 - ADVANCED ELEMENTS, INC.09/23/2025 19,588.81130614 Page 1AP Checks by Date - Summary by Check Date (9/18/2025 9:26 AM) Check No Check DateVendor NameVendor No Check Amount 4928 AMERICAN LEGAL PUBLISHING CORP 09/23/2025 2,946.90130615 5871 APOLLO PLUMBING INC.09/23/2025 2,490.00130616 3491 ARTISAN BEER COMPANY 09/23/2025 228.61130617 5486 HEIDI BARTHEL 09/23/2025 52.00130618 1067 BERNICK'S 09/23/2025 4,600.42130619 4328 BREAKTHRU BEVERAGE MN WINE & SPIRITS, LLC09/23/2025 2,792.88130620 6651 JODY BROSKO 09/23/2025 212.50130621 5846 CAREFREE LAWN LLC 09/23/2025 3,417.20130622 5942 CERTIFIED LABORATORIES 09/23/2025 191.45130623 4861 CORE & MAIN LP 09/23/2025 1,769.81130624 6465 DAVIS MECHANICAL SYSTEMS, INC 09/23/2025 507.50130625 1455 DRAFT CONTROL INC 09/23/2025 510.00130626 5854 DUININCK, INC 09/23/2025 25,453.53130627 5306 ANDREW DUSZYNSKI 09/23/2025 200.00130628 2174 FINANCE AND COMMERCE 09/23/2025 1,031.55130629 1179 FIRE SAFETY USA INC 09/23/2025 1,487.24130630 1205 GRAINGER INC 09/23/2025 330.03130631 6543 GROMBERG & ASSOCIATES LLC 09/23/2025 810.00130632 5773 HAGEN CHRISTENSEN & MCIIWAIN ARCHITECTS PA09/23/2025 3,055.00130633 5840 HAKANSON ANDERSON ASSOCIATES INC09/23/2025 44,859.50130634 6375 THE HOME CITY ICE COMPANY 09/23/2025 471.65130635 1253 J H LARSON COMPANY 09/23/2025 53.55130636 1263 JOHNSON BROTHERS LIQUOR CO.09/23/2025 21,284.62130637 5687 JOHNSON CONTROLS US HOLDINGS LLC09/23/2025 2,328.67130638 6248 JP BROOKS 09/23/2025 2,000.00130639 5294 KEYSTONE COMPENSATION GROUP LLC09/23/2025 14,550.00130640 4369 KLATT TRUE VALUE 09/23/2025 37.45130641 3933 CHARLES LONG 09/23/2025 288.00130642 6694 LRS OF MINNESOTA 09/23/2025 83,824.36130643 6090 SHAWN DANIEL MCCANN 09/23/2025 10,000.00130644 6719 MICHAEL'S STAINED GLASS STUDIO 09/23/2025 2,602.99130645 6294 MIDWEST GROUNDCOVER 09/23/2025 2,520.00130646 6428 MIDWEST NURSERY 09/23/2025 23,760.00130647 1913 NEW FRANCE WINE 09/23/2025 348.00130648 4345 OPG-3 INC 09/23/2025 17,040.00130649 1427 PHILLIPS WINE & SPIRITS CO 09/23/2025 19,281.21130650 6726 PREFERRED POWDER COATING 09/23/2025 390.00130651 5431 QUADIENT FINANCE USA INC 09/23/2025 154.54130652 3751 CHRISTINE SCHYMA 09/23/2025 182.00130653 1483 SENSIBLE LAND USE COALITION 09/23/2025 58.00130654 4148 SHERWIN WILLIAMS CO. #3442 09/23/2025 6.45130655 6417 JASON SMALL 09/23/2025 125.00130656 6013 JAMES W SORENSON 09/23/2025 1,000.00130657 3309 SOUTHERN GLAZER'S WINE AND SPIRITS, LLC09/23/2025 5,991.64130658 4672 SPECIALTY SOLUTIONS LLC 09/23/2025 10,577.42130659 6674 SVIHEL VEGETABLE FARM 09/23/2025 386.00130660 6057 TIMOTHY J PETRANGELO 09/23/2025 800.90130661 3783 ULINE 09/23/2025 495.59130662 1544 US POSTAL SERVICE 09/23/2025 2,599.18130663 4849 VON HANSON'S SNACKS INC 09/23/2025 117.00130664 1555 VONCO II LLC 09/23/2025 891.73130665 1573 WINE MERCHANTS INC 09/23/2025 129.79130666 1581 WRIGHT CO RECORDER 09/23/2025 46.00130667 2187 WRIGHT COUNTY SHERIFF OFFICE 09/23/2025 600.00130668 6253 YMCA OF THE NORTH 09/23/2025 1,278.23130669 1,818,713.00Total for 9/23/2025: Page 2AP Checks by Date - Summary by Check Date (9/18/2025 9:26 AM) Check No Check DateVendor NameVendor No Check Amount Report Total (102 checks): 1,818,713.00 Page 3AP Checks by Date - Summary by Check Date (9/18/2025 9:26 AM) The preceding list of bills payable was reviewed and approved for payment. Date: 9/22/25 Approved by:_____________________________________ Mayor Lloyd Hilgart City Council Agenda: 9/22/2025 1 2B. Consideration of approving new hires and departures for City departments Prepared by: Human Resources Manager Meeting Date: 9/22/2025 ☒ Consent Agenda Item ☐ Regular Agenda Item Reviewed by: N/A Approved by: City Administrator ACTION REQUESTED Motion to approve new hires and departures for city departments. REFERENCE AND BACKGROUND The Council is asked to ratify the attached list of new hires and departures for the City. This listing includes full-time, part-time, seasonal, and temporary employees. The listing may also include status changes and promotions. I. Budget Impact: Positions are generally included in the budget. II. Staff Workload Impact: If new position, there may be some training involved. If terminated position, existing staff will cover hours as needed, until replacement. III. Comprehensive Plan Impact: N/A STAFF RECOMMENDED ACTION City staff recommends approval of new hires and departures as identified on the attached list. SUPPORTING DATA • List of new hires and terminated employees. Name Title Department Hire Date Class Savannah Nelson Supervised Play MCC 9/15/2025 PT Name Reason Department Effective Date Class Audrianna Gohman MCC Voluntary 8/26/2025 PT Alisha Grue Parks Voluntary 8/29/2025 Seasonal Brenton Jones Parks Voluntary 8/29/2025 Seasonal NEW EMPLOYEES TERMINATING EMPLOYEES City Council Agenda: 9/22/2025 1 2C. Consideration of approving the sale or disposal of surplus City property Prepared by: N/A Meeting Date: 9/22/2025 ☒ Consent Agenda Item ☐ Regular Agenda Item Reviewed by: N/A Approved by: N/A There is no report this City Council Cycle. City Council Agenda: 9/22/2025 1 2D. Consideration of adopting Resolution 2025-57 accepting a donation from artist Stan Thorud of a framed and matted portrait of Bill and Taffee Fair valued at $1,930.07 Prepared by: Parks, Arts & Recreation Director Meeting Date: 9/22/2025 ☒ Consent Agenda Item ☐ Regular Agenda Item Reviewed by: City Clerk Approved by: City Administrator ACTION REQUESTED Motion to adopt Resolution 2025-57 accepting a donation from artist Stan Thorud of a framed and matted portrait of Bill and Taffee Fair, valued at $1,930.07. REFERENCE AND BACKGROUND The City Council is requested to accept the portrait of Bill and Taffee Fair from artist Stan Thorud. The value of the framed portrait includes 42 ½ hours totalling $1,700 plus $160 for the frame and $70.07 for the mat. The total value of the donation is $1,930.07. As required by state statute, when the City accepts a monetary donation, the City Council must adopt a resolution identifying both the amount of the donation and its intended use. I. Budget Impact: The portrait is being donated so there is no impact to the budget. II. Staff Workload Impact: Staff will host a gathering to unveil the portrait after it is hung in the Monticello Community Center. III. Comprehensive Plan Impact: N/A STAFF RECOMMENDED ACTION City staff recommend adopting Resolution 2025-57 accepting the donation from artist Stan Thorud for the framed portrait of Bill and Taffee Fair. SUPPORTING DATA • Resolution 2025-57 CITY OF MONTICELLO WRIGHT COUNTY, MINNESOTA RESOLUTION NO. 2025-57 RESOLUTION APPROVING CONTRIBUTIONS WHEREAS, the City of Monticello is generally authorized to accept contributions of real and personal property pursuant to Minnesota Statutes Sections 465.03 and 465.04 for the benefit of its citizens and is specifically authorized to maintain such property for the benefit of its citizens in accordance with the terms prescribed by the donor. Said gifts may be limited under provisions of MN Statutes Section 471.895. WHEREAS, the following persons and or entities have offered to contribute contributions or gifts to the City as listed: DONOR/ENTITY DESCRIPTION/PURPOSE CASH Stan Thorud Framed and Matted Portrait $1,930.07 WHEREAS, all said contributions are intended to aid the City in establishing facilities, operations or programs within the city’s jurisdiction either alone or in cooperation with others, as allowed by law; and WHEREAS, the City Council hereby finds that it is appropriate to accept the contributions offered. NOW THEREFORE BE IT RESOLVED by the City Council of Monticello as follows: 1. The contributions described above are hereby accepted by the City of Monticello. 2. The contributions described above will be used as designated by the donor. This may entail reimbursing or allocating the money to another entity that will utilize the funds for the purpose stated above. Adopted by the City Council of Monticello this 22nd day of September, 2025. ______________________________ Lloyd Hilgart, Mayor ______________________________________ Jennifer Schreiber, City Clerk City Council Agenda: 9/22/2025 1 2E. Consideration of approving application for temporary liquor license for Trinity Lutheran Church for an event to be held on November 1, 2025, at 449 W. Broadway Street Prepared by: City Clerk Meeting Date: 9/22/2025 ☒ Consent Agenda Item ☐ Regular Agenda Item Reviewed by: N/A Approved by: City Administrator ACTION REQUESTED Motion to approve a temporary liquor license for Trinity Lutheran Church for an event to be held on November 1, 2025, contingent on receipt of updated liquor liability insurance. REFERENCE AND BACKGROUND Trinity Church will be hosting a fundraising spaghetti dinner to support church operations. The event will take place at the church, located at 449 W. Broadway Street. As part of the process, City Council approval is required for temporary liquor license applications before they can be submitted to the State Alcohol and Gambling Division for final authorization. I. Budget Impact: N/A II. Staff Workload Impact: Minimal administrative time. III. Comprehensive Plan Impact: N/A STAFF RECOMMENDED ACTION City staff recommend approval of the temporary liquor license contingent on receipt of updated Certificate of Liability insurance. SUPPORTING DATA • Application City Council Agenda: 9/22/2025 1 2F. Consideration of adopting Resolution 2025-58 appointing election judges, including head judges, for the November 4, 2025 Special Election Prepared by: City Clerk Meeting Date: 9/22/2025 ☒ Consent Agenda Item ☐ Regular Agenda Item Reviewed by: Finance Director Approved by: City Administrator ACTION REQUESTED Motion to adopt Resolution 2025-58 appointing election judges for the November 4, 2025, Special Election. REFERENCE AND BACKGROUND Minnesota Statutes Chapter 204B.21 requires cities to appoint election judges to serve during elections, including designation of a Head Election Judge for each precinct. All judges recommended for appointment completed the required training in 2024, which remains valid for two years. Several members of City staff will also be assisting with the absentee voting process and are trained and qualified to serve as election judges. Judges serving on the Absentee Ballot Board were previously appointed at the special meeting held on September 15, 2025. I. Budget Impact: Due to the unexpected need to hold a special election, compensation for judges was not included in the 2025 budget. Excluding staff time, the estimated cost is approximately $6,000, which will require the use of fund balance in the General Fund. Any spending below budget or revenues above budget at year-end will be used to replenish the fund balance used. II. Staff Workload Impact: The City Clerk and Administrative Assistant will have a more significant role in election operations compared to other staff members. Due to responsibilities associated with absentee/early voting, as well as the requirement to remain open beyond regular business hours, the Administrative Assistant and the Receptionist/Office Coordinator are expected to incur some overtime or comp time. All other staff involvement will primarily be limited to Election Day. III. Comprehensive Plan Impact: N/A City Council Agenda: 9/22/2025 2 STAFF RECOMMENDED ACTION Staff recommends adopting Resolution 2025-58 approving the list of election judges. SUPPORTING DATA • Draft Resolution 2025-58 CITY OF MONTICELLO WRIGHT COUNTY, MINNESOTA RESOLUTION NO. 2025-58 RESOLUTION APPOINTING ELECTION JUDGES FOR THE NOVEMBER 4, 2025, SPECIAL ELECTION WHEREAS, the City Council of the City of Monticello is required by MS 204B.21, Sec. 2, to officially approve the appointment of election judges; and WHEREAS, the Monticello City Council hereby adopts the judges listed on the attached Exhibit A, hereto attached, as the official judges for the November 4, 2025, with the understanding that amendments may be necessary to the appointments to fill vacancies and meet party requirements. NOW, THEREFORE, BE IT RESOLVED, by the City Council of Monticello that the names listed on Exhibit A, hereto attached, are the official Election Judges for the City of Monticello for the 2025 Special Election. ADOPTED BY THE CITY COUNCIL OF THE CITY OF MONTICELLO ON THIS 22nd DAY OF SEPTEMBER, 2025. CITY OF MONTICELLO _________________________________ Lloyd Hilgart, Mayor ATTEST: ________________________________ Jennifer Schreiber, City Clerk ELECTION JUDGES - 2025 Special Election as of September 17, 2025 name address Role Cindy Anderson Monticello Lead Judge Fred Anderson Monticello Head Judge John Barthel Monticello Head Judge Mary Barthel Monticello Head Judge Mike Beck Monticello Judge Kandis Bergen Staff/Absentee Judge Amy Biren Staff/Absentee Judge Julie Cheney Staff/Judge Deanine Christy Monticello Judge Jeanne Christy Monticello Judge James Dickrell Monticello Judge Janet Doucette Monticello Judge Andrea Dubay Monticello Judge Roseann Duran Monticello Head Judge Tracy Ergen Monticello Staff/Lead Judge Keri Erickson Monticello Judge Bob Ferguson Staff/Judge Jacquelin Gordon Monticello Judge Carolyn Granger Monticello Staff/Judge Beth Green Staff/Lead Judge Sherri Hackenmueller Monticello Judge Alyssa Hanson Monticello Judge Brenda Harkman Monticello Judge Iris Marie Hoglund Harris Monticello Judge Roger Hedtke Monticello Judge Sue Hedtke Monticello Judge Elizabeth Honer Monticello Judge Eldor Jordan Monticello Judge Lorene Kothenbeutel Monticello Judge Wanda Kraemer Clear Lake Judge Betty Lambert Monticello Judge Cheryl Latham Monticello Judge Renee Lee Monticello Judge Vicki Leerhoff Election Assistant Sharon Long Monticello Judge Mitchell Loukusa Monticello Judge Naomi Lundgren Monticello Judge Trevor Mack Staff/Judge Patricia Mayer Monticello Judge Wayne Mayer Monticello Judge Mary Micke Monticello Judge EXHIBIT A name address Role Danielle Murdoff Monticello Lead Judge David Richardson Monticello Judge Cynthia Schmitt Monticello Judge Barbara Smida Monticello Judge Patricia Sonju Thielman Monticello Judge Sandy Thurber Monticello Judge George Vanderloop Monticello Judge Teri Willenbring Monticello Head Judge City Council Agenda: 9/22/2025 1 2G. Consideration of approving a special event permit for the Monticello Lions 50 Years of Service Celebration at West Bridge Park on Saturday, October 11 from 12-2 p.m. Applicant: Monticello Lions Prepared by: Parks, Arts & Recreation Director Meeting Date: 9/22/2025 ☒ Consent Agenda Item ☐ Regular Agenda Item Reviewed by: City Clerk Approved by: City Administrator ACTION REQUESTED Motion to approve a special event permit for the Monticello Lions to use the West Bridge Park Community Room on October 11, 2025, for their 50 Years of Service Celebration. REFERENCE AND BACKGROUND The Monticello Lions have requested use of the Community Room at West Bridge Park at no charge for their 50 Years of Service Celebration. This is a public event being held Saturday, October 11, 2025 from 12:00 – 2:00 p.m. The Lions will be serving concessions at the event free of charge. They also plan to have some yard games set up and other family friendly activities for attendees. I. Budget Impact: Minimal potential loss of park rental revenue. II. Staff Workload Impact: None. III. Comprehensive Plan Impact: The Monticello 2040 Plan emphasizes the importance of community events. STAFF RECOMMENDED ACTION City staff recommend approval of the special event permit for the Monticello Lions to use the West Bridge Park Community Room on October 11, 2025. SUPPORTING DATA • Special event permit application. 1 CITY OF MONTICELLO City Clerk 505 Walnut Street, Suite 1 Monticello, MN 55362 (763) 295-2711 info@MonticelloMN.gov PROPERTY INFORMATION Property Address Property Legal Description Property ID Number PROPERTY OWNER INFORMATION Owner Name Owner Address Owner Phone Owner Email APPLICANT INFORMATION Applicant Name Applicant Address Applicant Phone Applicant Email Name of Event Location/Address of Event Dates & Times of Event Complete Application Required The review and consideration of an application submitted shall only occur if such application includes all items that are required in support of the application and is deemed complete by the City Clerk’s Office. Application Submission Schedule Application, required information, and payment must be submitted no later than 30 working days prior to desired approval date. Application Information Applicants shall note that in addition to a special event permits, any liquor license or permit, sign permits and building permits for tents may also be required and are not included within the special event permit application and approval. Any requested use of City facilities, City staff resources, City equipment, and/or City property (including rights of way) and/or any requested waiver of application fee or park rental fees requires review and approval by the City Council. In addition, events which occur after 10 PM may requires review and approval by the City Council as related to noise ordinances. Please provide clear information in the application regarding these requests. Application Checklist Special Event Permit West Bridge Park 107 River Street Monticello,MN 55362 City of Monticello Monticello Lions Club 320-249-1908 montilionssecretary@gmail.com Monticello Lions 50 Years of Service Celebration West Bridge Park October 11, 2025 noon- 2pm 2 APPLICANT CHECK APPLICATION SUBMITTAL REQUIREMENTS CITY CHECK-IN A written narrative including: 1.A description of the proposed special event, how it will function on the property, hours and dates of operation, and any other information necessary to fully describe the request; and 2.An explanation of how the proposed special event will meet each of the review criteria specified by code (on reverse), as well as any additional criteria that may apply for the specific use. 3.Any requested use of City facilities, City staff resources, City equipment and City property (including rights of way) and/or any requested waiver of application fee or park rental fees requires review and approval by the City Council A site plan showing all information necessary to accurately depict how the proposed use will function on the site. Information required on the site plan shall include but not be limited to: 1.The location of all existing and proposed structures; 2.Driveways and parking areas; 3.Proposed storage spaces; 4.Natural features such as woodlands, wetlands, shorelines, etc; 5.Proposed number of parking spaces (if applicable). If deemed necessary by the Community Development Department, a survey may be required to be submitted with the application in addition to a site plan. Any event proposing to erect a temporary tent structure is required to obtain a permit from the Monticello Department of Building and Safety and Code Enforcement. Certificate of insurance/liability coverage. Electronic copies of all written narratives and plan sets required above. Application fee: $50 $25 – for non-profit/charitable organization Special Event Review Process •The City Clerk will review all applications. •Applications determined to conform with the approval criteria outlined in Monticello Zoning Code Section 2.4(L)(4)(a) and listed below shall be approved by the Community Development Department with any conditions deemed necessary. A copy of the approved permit shall be provided to the applicant which includes all conditions and comments. •Applications not conforming with the approval criteria outlined in Section 2.4(L)(4)(a) shall be denied by the Community Development Department. •A notice of denial shall be provided to the applicant which includes all identified reasons for denial. 3 Special Event Temporary Use Permit Approval Criteria Approval of a Special Event Permit shall only be granted once the City Clerk has determined the use shall: •Not be detrimental to property or improvements in the surrounding area or to the public health, safety, or general welfare; •Be compatible with the principal uses taking place on the site; •Not have substantial adverse effects or noise impacts on nearby residential neighborhoods; •Not include permanent alterations to the site; •Not maintain temporary signs associated with the use or structure after the activity ends; •Not violate the applicable conditions of approval that apply to a site or use on the site; •Not interfere with the normal operations of any permanent use located on the property; and •Contain sufficient land area to allow the temporary use, structure, or special event to occur, as well as adequate land to accommodate the parking and traffic movement associated with the temporary use, without disturbing environmentally sensitive lands. •Not create an unreasonable risk of significant: 1. Damage to public or private property, beyond normal wear and tear; 2. Injury to persons; 3. Public or private disturbances or nuisances; 4. Unsafe impediments or distractions to, or congestion of, vehicular or pedestrian travel; 5. Additional and impracticable or unduly burdensome police, fire, trash removal, maintenance, or other public services demands; and 6. Other adverse effects upon the public health, safety, or welfare. •The special event shall not be of such a nature, size, or duration that the particular location requested cannot reasonably accommodate the event. •The special event shall not conflict with another permitted special event at the same location in a manner that will negatively impact the public health, welfare, or safety. Special Event Temporary Use Permit Conditions of Approval •In approving the Special Event Permit, the City Clerk’s Office is authorized to impose such conditions upon the issuance of the permit as may be necessary to reduce or minimize any potential adverse impacts upon other property in the area, as long as the condition relates to a situation created or aggravated by the proposed special event. The Community Development Department is authorized, where appropriate, to require: 1.Provision of temporary parking facilities, including vehicular access and egress. 2.Control of nuisance factors, such as but not limited to, the prevention of glare or direct illumination of adjacent properties, noise, vibrations, smoke, dust, dirt, odors, gases, and heat. 3.Regulation of temporary buildings, structures and facilities, including placement, height and size, location of equipment and open spaces, including buffer areas and other yards. 4.Provision of sanitary and medical facilities. 5.Provision of solid waste collection and disposal. 6.Provision of security and safety measures. 7.Use of an alternative location or date for the proposed special event. 8.Modification or elimination of certain proposed activities. 9.Regulation of operating hours and days, including limitation of the duration of the special event to a shorter time period than that requested or specified in this subsection. 10.Submission of a performance guarantee to ensure that any temporary facilities or structures used for such proposed special event will be removed from the site within a reasonable time following the event and that the property will be restored to its former condition. 4 Duration of Permit A temporary use permit for a special event authorized in accordance with this subsection shall be limited to a maximum duration of 14 days per site per calendar year, unless otherwise specifically authorized by the City Clerk. Property Owner’s Statement I am the fee title owner of the described property and I agree to this application. I certify that I am in compliance with all ordinance requirements and conditions regarding other City approval that have been previously granted. (Signature) (Date) Applicant’s Statement This application shall be processed in my name and I am the party whom the City should contact regarding the application. I have completed all of the applicable filing requirements and I hereby acknowledge that I have read and fully understand the applicable provisions of the City Ordinances and current policies related to this application and that the documents and information I have submitted are true and correct. (Signature) (Date) CITY APPROVAL (City Clerk Signature) (Date) (Community Development or Building Dept Signature) (Date) Special Event Permit Approved □Denied □ Approval is granted with the following conditions: Internal review checklist (as applicable): Public Works Routing Admin Parks Streets Director Law Enforcement Notification Building Department (Tents) Monticello Community Center Room/Park Reservations Post-Approval Routing/Requirements Applicant Public Works Law Enforcement Notification City Clerk Monticello Community Center Room/Park Reservations Liability Insurance Certificate Received Surrounding Property Owner Notification Complete 09/10/2025 From:Robin Loken To:Jennifer Schreiber; Tom Pawelk Cc:Beth Green Subject:Re: Special event permit Date:Thursday, September 11, 2025 10:33:54 AM Attachments:image001.png 50th event permit.pdf Thank you for letting me know. I apologize. I am attaching it to this message. From: Jennifer Schreiber <Jennifer.Schreiber@MonticelloMN.gov> Sent: Thursday, September 11, 2025 7:50 AM To: Robin Loken <robinrocks2010@hotmail.com>; Tom Pawelk <Tom.Pawelk@MonticelloMN.gov> Cc: Beth Green <Beth.Green@MonticelloMN.gov> Subject: RE: Special event permit Hi Robin,, Sorry – but I don’t see anything attached. Jennifer Schreiber City Clerk 763-271-3204 505 Walnut St, Suite 1, Monticello, MN 55362 MonticelloMN.gov | Facebook | Subscribe to E-News From: Robin Loken <robinrocks2010@hotmail.com> Sent: Wednesday, September 10, 2025 8:28 PM To: Tom Pawelk <Tom.Pawelk@MonticelloMN.gov> Cc: Beth Green <Beth.Green@MonticelloMN.gov>; Jennifer Schreiber <Jennifer.Schreiber@MonticelloMN.gov> Subject: Re: Special event permit The even application is attached. I completed what I know... Please let me know if you need anything further. I did not print it so here is the event description: We will serve free hot dogs, chips and beverages to community members from the pavilion/building at West Bridge Park. We will also set up some basic games (holey boards, yard jenga, etc..) Please let me know if you need anything else from me for this and if it will be possible to get the park for Oct. 11 from noon to 2 pm for our event. Thank you, Robin Loken From: Tom Pawelk <Tom.Pawelk@MonticelloMN.gov> Sent: Wednesday, September 10, 2025 7:40 AM To: Robin Loken <robinrocks2010@hotmail.com> Cc: Beth Green <Beth.Green@MonticelloMN.gov>; Jennifer Schreiber <Jennifer.Schreiber@MonticelloMN.gov> Subject: Special event permit Robin, please fill out the special event permit for the Lions Club and send it back. Tom Pawelk Parks, Arts & Recreation Director Parks, Arts & Recreation 763-271-3268 505 Walnut St, Suite 1, Monticello, MN 55362 MonticelloMN.gov | Facebook | Subscribe to E-News Email correspondence to and from the City of Monticello government offices is subject to the Minnesota Government Data Practices Act and may be disclosed to third parties. City Council Agenda: 9/22/2025 1 2H. Consideration of approving applications for a special event permit and for a temporary charitable gambling permit for the Monticello Chamber of Commerce for their annual banquet on December 5, 2025 Prepared by: City Clerk Meeting Date: 9/22/2025 ☒Consent Agenda Item ☐Regular Agenda Item Reviewed by: Parks, Arts, and Recreation Director Approved by: City Administrator ACTION REQUESTED Motion to approve the applications for a special event permit for use of the Monticello Community Center (MCC) gym and for a temporary charitable gambling permit for a raffle to be conducted by the Monticello Chamber of Commerce for their annual banquet on December 5, 2025. REFERENCE AND BACKGROUND The Monticello Chamber submitted a special event permit application for use of the Monticello Community Center (MCC) gym for their annual banquet on December 5, 2025. In 2025, the City instituted a special event permit requirement for gatherings at the MCC. The permit process ensures consistent coordination for large or unique events, supports staff in planning for safety, security, and facility impacts, and promotes equitable access and scheduling for all MCC users. In addition, the process establishes a clear record of event details, enhancing communication between organizers and City departments. As part of the updated process, requests for waived facility rental fees are documented alongside approved permits. This practice establishes a clear record of the value of waived fees and enables staff and the City Council to more accurately assess the budgetary impact of special events at the MCC. When a rental fee is waived, the renter is responsible for completing a community service project or providing other in-kind support that benefits the City or the Parks, Arts & Recreation Department. The applicant also submitted an application for a charitable gambling permit to hold a raffle for the event. To receive a permit from the State, the City must approve the application. In the past, the City has not opposed these exempt gambling license applications for charitable events. I.Budget Impact: Waiving the standard facility rental fees, $110 per hour for gym use, along with one-time fees of $150 for kitchen access and $150 for energy, represents a measurable reduction in direct revenue. However, in lieu of these fees, the City will coordinate with the Monticello Chamber to identify a meaningful community service City Council Agenda: 9/22/2025 2 project or in-kind contribution. This assistance may be provided either within the MCC or elsewhere in the community, ensuring that the value returned supports City operations, enhances public spaces, or benefits Parks, Arts & Recreation initiatives. This approach transforms foregone rental income into tangible community enrichment. II. Staff Workload Impact: Event coordination requires support from MCC staff for scheduling, setup, and communication with the Chamber. These impacts are considered manageable within current staffing levels. III. Comprehensive Plan Impact: The Monticello Chamber’s annual banquet at the Monticello Community Center directly supports the vision outlined in the City’s 2040 Comprehensive Plan by activating a key public facility as a space for civic engagement and community connection. The event fosters collaboration between the City and local organizations, reinforcing the plan’s emphasis on partnerships that enhance social capital and community pride. By waiving rental fees in exchange for in-kind contributions or service projects, the City promotes equitable access to public spaces while encouraging stewardship and reinvestment in shared amenities. This approach aligns with the plan’s goals for placemaking, inclusive programming, and the strategic use of community infrastructure to enrich the lives of Monticello residents. STAFF RECOMMEDATION: City staff recommend approval of both the special event permit for MCC gym use and the temporary charitable gambling permit for the raffle. SUPPORTING DATA • Applications 1 CITY OF MONTICELLO City Clerk 505 Walnut Street, Suite 1 Monticello, MN 55362 (763) 295-2711 info@MonticelloMN.gov PROPERTY INFORMATION Property Address Property Legal Description Property ID Number PROPERTY OWNER INFORMATION Owner Name Owner Address Owner Phone Owner Email APPLICANT INFORMATION Applicant Name Applicant Address Applicant Phone Applicant Email Name of Event Location/Address of Event Dates & Times of Event Complete Application Required The review and consideration of an application submitted shall only occur if such application includes all items that are required in support of the application and is deemed complete by the City Clerk’s Office. Application Submission Schedule Application, required information, and payment must be submitted no later than 30 working days prior to desired approval date. Application Information Applicants shall note that in addition to a special event permits, any liquor license or permit, sign permits and building permits for tents may also be required and are not included within the special event permit application and approval. Any requested use of City facilities, City staff resources, City equipment, and/or City property (including rights of way) and/or any requested waiver of application fee or park rental fees requires review and approval by the City Council. In addition, events which occur after 10 PM may requires review and approval by the City Council as related to noise ordinances. Please provide clear information in the application regarding these requests. Application Checklist Special Event Permit 2H (1) 2 APPLICANT CHECK APPLICATION SUBMITTAL REQUIREMENTS CITY CHECK-IN A written narrative including: 1.A description of the proposed special event, how it will function on the property, hours and dates of operation, and any other information necessary to fully describe the request; and 2.An explanation of how the proposed special event will meet each of the review criteria specified by code (on reverse), as well as any additional criteria that may apply for the specific use. 3.Any requested use of City facilities, City staff resources, City equipment and City property (including rights of way) and/or any requested waiver of application fee or park rental fees requires review and approval by the City Council A site plan showing all information necessary to accurately depict how the proposed use will function on the site. Information required on the site plan shall include but not be limited to: 1.The location of all existing and proposed structures; 2.Driveways and parking areas; 3.Proposed storage spaces; 4.Natural features such as woodlands, wetlands, shorelines, etc; 5.Proposed number of parking spaces (if applicable). If deemed necessary by the Community Development Department, a survey may be required to be submitted with the application in addition to a site plan. Any event proposing to erect a temporary tent structure is required to obtain a permit from the Monticello Department of Building and Safety and Code Enforcement. Certificate of insurance/liability coverage. Electronic copies of all written narratives and plan sets required above. Application fee: $50 $25 – for non-profit/charitable organization Special Event Review Process •The City Clerk will review all applications. •Applications determined to conform with the approval criteria outlined in Monticello Zoning Code Section 2.4(L)(4)(a) and listed below shall be approved by the Community Development Department with any conditions deemed necessary. A copy of the approved permit shall be provided to the applicant which includes all conditions and comments. •Applications not conforming with the approval criteria outlined in Section 2.4(L)(4)(a) shall be denied by the Community Development Department. •A notice of denial shall be provided to the applicant which includes all identified reasons for denial. 2H (2) 3 Special Event Temporary Use Permit Approval Criteria Approval of a Special Event Permit shall only be granted once the City Clerk has determined the use shall: •Not be detrimental to property or improvements in the surrounding area or to the public health, safety, or general welfare; •Be compatible with the principal uses taking place on the site; •Not have substantial adverse effects or noise impacts on nearby residential neighborhoods; •Not include permanent alterations to the site; •Not maintain temporary signs associated with the use or structure after the activity ends; •Not violate the applicable conditions of approval that apply to a site or use on the site; •Not interfere with the normal operations of any permanent use located on the property; and •Contain sufficient land area to allow the temporary use, structure, or special event to occur, as well as adequate land to accommodate the parking and traffic movement associated with the temporary use, without disturbing environmentally sensitive lands. •Not create an unreasonable risk of significant: 1. Damage to public or private property, beyond normal wear and tear; 2. Injury to persons; 3. Public or private disturbances or nuisances; 4. Unsafe impediments or distractions to, or congestion of, vehicular or pedestrian travel; 5. Additional and impracticable or unduly burdensome police, fire, trash removal, maintenance, or other public services demands; and 6. Other adverse effects upon the public health, safety, or welfare. •The special event shall not be of such a nature, size, or duration that the particular location requested cannot reasonably accommodate the event. •The special event shall not conflict with another permitted special event at the same location in a manner that will negatively impact the public health, welfare, or safety. Special Event Temporary Use Permit Conditions of Approval •In approving the Special Event Permit, the City Clerk’s Office is authorized to impose such conditions upon the issuance of the permit as may be necessary to reduce or minimize any potential adverse impacts upon other property in the area, as long as the condition relates to a situation created or aggravated by the proposed special event. The Community Development Department is authorized, where appropriate, to require: 1.Provision of temporary parking facilities, including vehicular access and egress. 2.Control of nuisance factors, such as but not limited to, the prevention of glare or direct illumination of adjacent properties, noise, vibrations, smoke, dust, dirt, odors, gases, and heat. 3.Regulation of temporary buildings, structures and facilities, including placement, height and size, location of equipment and open spaces, including buffer areas and other yards. 4.Provision of sanitary and medical facilities. 5.Provision of solid waste collection and disposal. 6.Provision of security and safety measures. 7.Use of an alternative location or date for the proposed special event. 8.Modification or elimination of certain proposed activities. 9.Regulation of operating hours and days, including limitation of the duration of the special event to a shorter time period than that requested or specified in this subsection. 10.Submission of a performance guarantee to ensure that any temporary facilities or structures used for such proposed special event will be removed from the site within a reasonable time following the event and that the property will be restored to its former condition. 2H (3) 4 Duration of Permit A temporary use permit for a special event authorized in accordance with this subsection shall be limited to a maximum duration of 14 days per site per calendar year, unless otherwise specifically authorized by the City Clerk. Property Owner’s Statement I am the fee title owner of the described property and I agree to this application. I certify that I am in compliance with all ordinance requirements and conditions regarding other City approval that have been previously granted. (Signature) (Date) Applicant’s Statement This application shall be processed in my name and I am the party whom the City should contact regarding the application. I have completed all of the applicable filing requirements and I hereby acknowledge that I have read and fully understand the applicable provisions of the City Ordinances and current policies related to this application and that the documents and information I have submitted are true and correct. (Signature) (Date) CITY APPROVAL (City Clerk Signature) (Date) (Community Development or Building Dept Signature) (Date) Special Event Permit Approved □Denied □ Approval is granted with the following conditions: Internal review checklist (as applicable): Public Works Routing Admin Parks Streets Director Law Enforcement Notification Building Department (Tents) Monticello Community Center Room/Park Reservations Post-Approval Routing/Requirements Applicant Public Works Law Enforcement Notification City Clerk Monticello Community Center Room/Park Reservations Liability Insurance Certificate Received Surrounding Property Owner Notification Complete 2H (4) 2H (5) 2H (6) 2H (7) 2H (8) 2H (9) City Council Agenda: 9/22/2025 1 2I. Consideration of setting the Truth-In-Taxation Public Hearing for December 8, 2025 Prepared by: Finance Director Meeting Date: 9/22/2025 ☒ Consent Agenda Item ☐ Regular Agenda Item Reviewed by: N/A Approved by: City Administrator ACTION REQUESTED Motion to set the Truth-In-Taxation Public Hearing on December 8, 2025. REFERENCE AND BACKGROUND Cities with a population over 500 are required by state statute to hold a public hearing at which the proposed budget and levy are discussed. The meeting must be held after November 24, before December 28, and after 6:00 p.m. The public must be allowed to speak at the public hearing. Based on these requirements, staff recommends holding the public hearing at the regular City Council meeting on December 8, 2025. After the public hearing, the City Council will need to adopt the final 2026 property tax levy and 2026 budget. Council must set the truth-in-taxation (TNT) meeting prior to October 1. If not, the county auditor will set a date within the same range of days allowed by law for cities. The county auditor shall mail TNT notices to be delivered between November 10 and November 24. I. Budget Impact: None. II. Staff Workload Impact: None. III. Comprehensive Plan Impact: None. STAFF RECOMMENDED ACTION City staff recommend setting the Truth-In-Taxation Public Hearing during the regular City Council meeting on December 8, 2025. SUPPORTING DATA • None City Council Agenda: 9/22/2025 1 2J. Consideration of approving the first amendment to Deephaven Development Contract and Planned Unit Development for extension of completion of public improvements and playground facilities, and to release Lot 2, Block 1, Deephaven 3 from the Deephaven and Deephaven 3 Development Contracts Prepared by: Community Development Director Meeting Date: 9/22/2025 ☒Consent Agenda Item ☐Regular Agenda Item Reviewed by: Public Works Director/City Engineer, Assistant City Engineer, Parks, Arts & Recreation Director Approved by: City Administrator ACTION REQUESTED 1.Motion to approve the First Amendment to Deephaven Development Contract and Planned Unit Development for one year as related to completion of public improvements and playground facilities, contingent on: a.Release of City-owned Outlot C from any mortgage obligations and assignment of deeds and financing statements for the parcel; and b.Receipt of all required consents to the agreement, which shall be the responsibility of the developer 2.Motion to approve the release of Lot 2, Block 1, Deephaven 3 from the Deephaven Development Contract. REFERENCE AND BACKGROUND The City received a request from the developer to amend the Deephaven Development Contract in order to extend the timeframe for completing the improvements as specified in the original agreement. The developer is requesting to extend the deadline for completing the required improvements to Edmonson Avenue from October 1, 2025 to October 25, 2026. The Edmonson Avenue improvements include construction of a half-street urban section along the full Deephaven frontage. The Edmonson Avenue frontage lies along Lot 4, Block 1 of Deephaven 3 and Lot 1, Block 1 of Deephaven as currently platted. The extension request also applies to the associated pathway and sidewalk sections required by the contract. City Council Agenda: 9/22/2025 2 As part of this amendment, a companion extension is included in the amendment document that allows the City to retain the $20,000 escrow required by the contract for the purchase and installation of a playground facility. The playground is planned to be located near the City- owned Outlot C within the larger Pointes at Cedar public recreation area. The Parks & Recreation Director obtained a quote for the cost of a playground structure appropriate for the site. Additional improvements to the public recreation area at The Pointes at Cedar are contingent upon grant applications to be submitted in 2026. Extending the escrow to October 2026 will allow that process to continue. The City Attorney’s office has reviewed the request and prepared the amendment document. As the original plat of Deephaven has since been replatted into additional lots and blocks through the plats of Deephaven 2 and 3, consent to the development agreement contract is required from the various owners and mortgagers of the affected parcels. The City Attorney’s office also noted that title work for the Deephaven plat indicates that there is a mortgage and other financing documents in place over Outlot C, which is owned by the City. These must be released as a condition of the amendment as a warranty deed was provided by the developer for this parcel. In preparing the amendment, the City Attorney recommended that the City release any lots within Deephaven that have satisfied the obligations of the original Deephaven contract. Lot 2, Block 1 of Deephaven 3 has met development obligations under the original contract and the subsequent Deephaven 3 contract and may be released from those contracts. However, that parcel remains subject to the separate and development contract specific Lot 2, Block 1, Deephaven 3, as securities relating to public improvements and landscaping must remain in place until their performance period has been satisfied. I. Budget Impact: Charges by City Attorney Campbell Knutson for review of release will be coded to the developer of Deephaven’s legal fee escrow submitted with the plat. II. Staff Workload Impact: Staff time in reviewing the plat and development contract documents and public improvement history is estimated at four hours. III. Comprehensive Plan Impact: The proposed action will not impact the responsibility of the developer to the remaining applicable terms and conditions of the development contracts. These terms and conditions support the overall development of the Deephaven area as a “Commercial-Residential Flex” area, consistent with the Monticello 2040 Vision + Plan. Continued commercial and residential uses and development are required to be consistent with this designation and with the area’s zoning as Pointes at Cedar District. City Council Agenda: 9/22/2025 3 STAFF RECOMMENDED ACTION City staff recommend approval of the first amendment to development contract for Deephaven, subject to the noted contingencies, and approval of the release for Lot 2, Block 1, Deephaven 3. SUPPORTING DATA A. Aerial Site Image B. Request for Amendment and Extension C. First Amendment to Development Agreement D. Release of Development Agreement – Lot 2, Block 1, Deephaven 3 E. Development Agreement, Deephaven F. Plats of Deephaven 1-3 Legend City Boundary Parcels September 16, 2025 m Map Powered By Datafi 1 in = 295 Ft Deephaven Area2J (1) Angela Schumann City of Monticello Community Development Director Date: 08/18/2025 Dear Ms. Schumann, We wanted to provide you with an update regarding progress on the PUD for the Deephaven Development located at 1255,1243, & 1237 Edmunson Ave, Monticello MN 55362. We have had several meetings with owners, subcontractors, and adjacent Property owners. We are reviewing the PUD and Developers Agreement and would like to request an extension as it relates to the following: “The Developer will construct a pathway connection from Lot 1, Block 1 to Outlot A at the corner of Cedar Street and Chelsea Road. The Developer shall construct the portion of pathway within Lot 1, Block 1 to the edge of Lot 1, Block 1 with the development of the residential portion of the project. Construction cost credit shall be applied for a 10’ bituminous pathway for this internal plat connection. The Developer will receive construction cost credit for the full length to the plaza. The Developer shall provide a Letter of Credit to secure the future construction of the pathway extension from Lot 1, Block 1 to the plaza area. The Developer shall complete the pathway from Lot 1, Block 1 to the plaza area no later than October 1st, 2025. With the first phase plat of Deephaven, the Developer shall provide a blanket easement for establishment of a future trail corridor and alignment from the edge of Lot 1, Block 1 to the plaza area. Land area credit is applicable to this extension for the portion beyond Lot 1, Block 1. Maintenance of the pathway connection within Lot 1, Block 1 and the future connection through Outlot B to the plaza will be the responsibility of the property owner(s).” “The Developer will construct a trail along the west side of Edmonson Avenue. No credit is applicable for this required right of way improvement. The Developer shall provide a Letter of Credit to secure the future construction. The Developer shall complete the pathway no later than October 1st, 2025.” “The Developer is required to reconstruct the west side of Edmonson Avenue to an urban section along the plat edge. Timing and design specifications of these improvements will be at the City Engineer’s discretion and evaluation of the traffic study. The Developer shall commence and the improvement shall be substantially complete no later than October 1st, 2025. The Developer shall supply a Letter of Credit to guarantee the improvement.” We are formally requesting a twelve (12) month extension to October 1st, 2026. This will better line up with the potential sale of the lot located between the Deephaven Office building and the Healing 2J (2) Moments Counseling center. It will also be better to align with the improvements made by the Hotel project as well as the Apartments to our South. It is our intention to work with our vendors and subcontractors as well as the adjacent properties to provide the best possible end product of our residents and the residents of Monticello. Sincerely, Josh Thieschafer Director of Construction Buchholz Properties josh@buchprop.com 320-980-5600 2J (3) 237255v4 (reserved for recording information) FIRST AMENDMENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT (Developer Installed Improvements) DEEPHAVEN (PC 2019-24) THIS FIRST AMENDMENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT agreement (“First Amendment”) is made as of ____________________, 2025, by and between the CITY OF MONTICELLO, a Minnesota municipal corporation (“City”), DALE BUCHHOLZ CONSTRUCTION, LLC, a North Dakota limited liability company (the “Developer”), DEEPHAVEN DEVELOPMENT LLC, a Minnesota limited liability company (“Deephaven LLC”) and VALLEY VIEW TOWNHOMES LLP, a Minnesota limited liability partnership (“Townhomes”). RECITALS A. The City and Developer previously entered into a Development Contract and Planned Unit Development agreement dated January 13, 2020 and recorded July 8, 2020 as Wright County Document No. A1432424 (“Development Contract”) for the development of the DEEPHAVEN plat. The plat of DEEPHAVEN consisted of Lot 1, Block 1 and Outlots A, B and C, all in DEEPHAVEN. 2J (4) 237255v4 B. In part, the Development Contract required the construction of certain improvements, including Edmonson Avenue Street improvements, sidewalk, a pathway, trail and playground facility within the plat of DEEPHAVEN. C. Portions of the property within the plat of DEEPHAVEN have been subsequently replatted. The land within the plat of DEEPHAVEN now consists of: Lot 1, Block 1, and Outlots A and C, DEEPHAVEN; Lot 1, Block 1, DEEPHAVEN 2, and Lots 1, , 3, and 4, Block 1, DEEPHAVEN 3, all in Wright County, Minnesota, and one other real property, which has been released from the Development Contract and is not affected by this First Amendment. D. City is the fee owner of Outlot A and Outlot C, DEEPHAVEN. E. Deephaven LLC and Townhomes are the fee owners of Lot 1, Block 1, DEEPHAVEN and are also the fee owners of Lot 1, Block 1, DEEPHAVEN 3; each of which has executed a consent to this First Amendment, attached hereto. F. The fee owner of Lot 1, Block 1, DEEPHAVEN 2 is JHM Property L.L.C., a Minnesota limited liability company, which has executed a consent to this First Amendment, as attached hereto. G. The fee owner of Lots 3 and 4, Block 1, DEEPHAVEN 3 is Monticello Hospitality Group, LLC, a Minnesota limited liability company, which has executed a consent to this First Amendment, as attached hereto. H. In connection with the DEEPHAVEN 2 plat, the City and Developer entered into a Development Contract for Deephaven 2, dated July 12, 2021 and recorded August 9, 2021 as Wright County Document No. A1479581 (“the Deephaven 2 Contract”). The Deephaven 2 Contract included provisions for the construction of those pathway and trail segments, as required by the Development Contract, located on or adjacent to the properties within DEEPHAVEN 2. This recital is provided for context only; this First Amendment does not amend the Deephaven 2 Contract. 2J (5) 237255v4 I. In connection with the DEEPHAVEN 3 plat, the City entered into a Development Contract Deephaven 3 with Deephaven Development LLC, a Minnesota limited liability company and Valley View Townhomes LLP, a Minnesota limited liability partnership, dated February 21, 2023 and recorded March 3, 2023 as Wright County Document No. A1523718 (“the Deephaven 3 Contract”). The Deephaven 3 Contract included provisions for the construction of those pathway and trail segments, as required by the Development Contract, located on or adjacent to the properties within DEEPHAVEN 3. This recital is provided for context only; this First Amendment does not amend the Deephaven 3 Contract. J. The pathway and trail segments governed by the Deephaven 2 Contract and Deephaven 3 Contract have been completed, but certain other improvements required to be constructed under the Development Contract remain uncompleted. K. Developer and City wish to amend the Development Contract in order to extend certain deadlines related to the installation of the uncompleted pathway, trail and playground facility improvements. NOW, THEREFORE, in consideration of the premises and the mutual obligations of the parties hereto, the parties agree as follows: 1. Section 26, clause (ii) of the Development Contract, relating to the construction of a pathway connecting Lot 1, Block 1, DEEPHAVEN to Outlot A, DEEPHAVEN is amended by deleting the phrase “October 1st, 2025” and replacing the deleted language with “October 1, 2026.” 2. Section 26, clause (v) of the Development Contract, relating to the construction of a trail along the west side of Edmonson Avenue, is amended by deleting the phrase “October 1st, 2025” and replacing the deleted language with “October 1, 2026.” 2J (6) 237255v4 3. Section 26, clause (vi) of the Development Contract, relating to the installation of a play facility, is amended by deleting the phrase “December 31, 2025” and replacing the deleted language with “December 31, 2026.” 4. Section 28, paragraph F of the Development Contract, relating to the reconstruction of the west side of Edmonson Avenue, is amended by deleting the phrase “October 1st, 2025” and replacing the deleted language with “October 1, 2026.” 5. Except as expressly amended by this First Amendment, the terms and conditions of the Development Contract remain in full force and effect. This Amendment shall be binding on the parties, their respective heirs, successors and assigns and shall be recorded against the Property in the office of the Wright County Recorder as promptly as possible after it has been executed by the parties. 6. Nothing in this First Amendment is intended to amend the provisions of the Deephaven 2 Contract or the Deephaven 3 Contract, each of which is referenced in the recitals above solely for purposes of providing context to this First Amendment. IN WITNESS WHEREOF, the parties have caused this Amendment to be executed this _____ day of ____________, 2025 Remainder of page intentionally left blank. Signatures on the following pages. 2J (7) 237255v4 City Signature Page CITY OF MONTICELLO By: ______________________________________ Lloyd Hilgart Mayor (SEAL) And _____________________________________ Rachel Leonard, City Administrator STATE OF MINNESOTA ) ( ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this ________ day of ______________, 2025, by Lloyd Hilgart and by Rachel Leonard, respectively the Mayor and City Administrator of the City of Monticello, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. _________________________________________ Notary Public 2J (8) 237255v4 Developer Signature Page DEVELOPER: DALE BUCHHOLZ CONSTRUCTION, LLC By: __________________________________________ _________________________________ [print name] Its: ______________________________ [title] STATE OF ______________ ) ( ss. COUNTY OF ____________ ) The foregoing instrument was acknowledged before me this ________ day of ______________, 2025, by _______________________ the _____________________ of Dale Buchholz Construction, LLC, a North Dakota limited liability company, on behalf of the entity. ______________________________________________ Notary Public DRAFTED BY: Campbell Knutson Professional Association Grand Oak Office Center I 860 Blue Gentian Road, #290 Eagan, Minnesota 55121 Telephone: (651) 452-5000 CAH 2J (9) 237255v4 MORTGAGE HOLDER CONSENT TO FIRST AMENDMENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT BANK FORWARD, which holds the following mortgages on real property, the development of which is governed by the foregoing First Amendment to Development Contract and Planned Unit Development: • Mortgage dated December 11, 2019 and recorded December 12, 2019 with the Wright County Recorder as document number A1413543, as modified by Wright County Recorder document number A1499335. (as to Lot 1, Block 1 and Outlot C, DEEPHAVEN and Lot 1, Block 1, DEEPHAVEN 3) • Construction Mortgage dated July 19, 2021 and recorded July 20, 2021 with the Wright County Recorder as document number A1477264, as modified by Wright County Recorder document number A1499336 (as to Lot 1, Block 1 and Outlot C, DEEPHAVEN) • Mortgage dated February 11, 2022 and recorded February 22, 2022 with the Wright County Recorder as document number A1499345 (as to Lot 1, Block 1 and Outlot C, DEEPHAVEN) • Construction Mortgage dated June 30, 2020 and recorded July 1, 2020 with the Wright County Recorder as document number A1431672 as modified by Wright County Recorder document number A146449 (as to Lot 1, Block 1, DEEPHAVEN 3). hereby consents to the foregoing First Amendment to Development Contract and Planned Unit Development and agrees that that the foregoing shall remain in full force and effect even if it forecloses on any of its mortgages. Dated this _____ day of ____________, 2025. BANK FORWARD By _________________________ [print name] Its President 2J (10) 237255v4 STATE OF NORTH DAKOTA ) ) ss. COUNTY OF CASS The foregoing instrument was acknowledged before me this _____ day of _________________, 2025, by ___________________________ the president of Bank Forward, a North Dakota corporation, on behalf of the entity. ________________________________________ Notary Public DRAFTED BY: CAMPBELL, KNUTSON Professional Association Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: (651) 452-5000 CAH 2J (11) 237255v4 FEE OWNER CONSENT TO FIRST AMENDMENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT DEEPHAVEN DEVELOPMENT LLC, a Minnesota limited liability company, a fee owner of Lot 1, Block 1, DEEPHAVEN and of Lot 1, Block 1, DEEPHAVEN 3, affirms and consents to the provisions of the foregoing First Amendment to Development Contract and Planned Unit Development and agrees to be bound by the provisions thereof as the same may apply to that property owned by it. Dated this ______ day of _________________, 2025. DEEPHAVEN DEVELOPMENT LLC, a Minnesota limited liability company By Mark Buchholz, Its President STATE OF NORTH DAKOTA ) (ss. COUNTY OF CASS ) The foregoing instrument was acknowledged before me this _____ day of _______________, 2025, by Mark Buchholz, the President of Deephaven Development LLC, a Minnesota limited liability company, on behalf of the entity. ____________________________________ Notary Public DRAFTED BY: CAMPBELL, KNUTSON Professional Association Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: (651) 452-5000 2J (12) 237255v4 FEE OWNER CONSENT TO FIRST AMENDMENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT VALLEY VIEW TOWNHOMES, LLP, a Minnesota limited liability partnership, a fee owner of Lot 1, Block 1 , DEEPHAVEN and of Lot 1, Block 1, DEEPHAVEN 3, affirms and consents to the provisions of the foregoing First Amendment to Development Contract and Planned Unit Development and agrees to be bound by the provisions thereof as the same may apply to that property owned by it. Dated this ______ day of _________________, 2025. VALLEY VIEW TOWNHOMES, LLP, a Minnesota limited liability partnership By Dale Buchholz, Its Partner STATE OF NORTH DAKOTA ) (ss. COUNTY OF CASS ) The foregoing instrument was acknowledged before me this _____ day of _______________, 2025, by Dale Buchholz, the Partner of Valley View Townhomes, LLP, a Minnesota limited liability partnership, on behalf of the entity. ____________________________________ Notary Public DRAFTED BY: CAMPBELL, KNUTSON Professional Association Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: (651) 452-5000 CAH 2J (13) 237255v4 FEE OWNER CONSENT TO FIRST AMENDMENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT JHM L.L.C., a Minnesota limited liability company, fee owner of Lot 1, Block 1, DEEPHAVEN 2, affirms and consents to the provisions of the foregoing First Amendment to Development Contract and Planned Unit Development and agrees to be bound by the provisions thereof as the same may apply to that property owned by it. Dated this ______ day of _________________, 2025. JHM L.L.C., a Minnesota limited liability company By Kathleen Rose-Penkala Massmann STATE OF MINNESOTA ) (ss. COUNTY OF ) The foregoing instrument was acknowledged before me this _____ day of _______________, 2025, by Kathleen Rose-Penkala Massmann, manager of JHM L.L.C., a Minnesota limited liability company, on behalf of the entity. ____________________________________ Notary Public DRAFTED BY: CAMPBELL, KNUTSON Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 CAH 2J (14) 237255v4 FEE OWNER CONSENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT MONTICELLO HOSPITALITY GROUP, LLC, a Minnesota limited liability company, a fee owner of Lots 3 and 4, DEEPHAVEN 3, affirms and consents to the provisions of the foregoing First Amendment to Development Contract and Planned Unit Development and agrees to be bound by the provisions thereof as the same may apply to that property owned by it. Dated this ______ day of _________________, 2025. MONTICELLO HOSPITALITY GROUP, LLC, a Minnesota limited liability company By Robert L. Thompson, Managing Member By Ted O. Christianson, Managing Member STATE OF MINNESOTA ) (ss. COUNTY OF DOUGLAS ) The foregoing instrument was acknowledged before me this _____ day of _______________, 2025, by Robert L. Thompson, a managing member of Monticello Hospitality Group, LLC, a Minnesota limited liability company, on behalf of the entity. ____________________________________ Notary Public STATE OF MINNESOTA ) (ss. COUNTY OF DOUGLAS ) The foregoing instrument was acknowledged before me this _____ day of _______________, 2025, by Ted O. Christianson, a managing member of Monticello Hospitality Group, LLC, a Minnesota limited liability company, on behalf of the entity. DRAFTED BY: ____________________________________ CAMPBELL, KNUTSON Notary Public Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: (651) 452-5000 CAH 2J (15) 237278v1 PARTIAL RELEASE THIS PARTIAL RELEASE instrument is given by CITY OF MONTICELLO, a Minnesota municipal corporation (“City”). The City hereby releases and discharges the following described real property in the County of Wright, State of Minnesota: Lot 2, Block 1, DEEPHAVEN 3 from all claims, obligations and liens of and under the following: • that certain Development Contract and Planned Unit Development dated January 13, 2020 by and between City and Dale Buchholz Construction, LLC, a North Dakota limited liability company and recorded July 8, 2020 as Document No. A1432424 in the office of the Wright County Recorder (the “Deephaven Development Contract”) and • that certain Development Contract Deephaven 3 dated February 21, 2023 by and among the City, Deephaven Development LLC, a Minnesota limited liability company and Valley View Townhomes LLP, a Minnesota limited liability partnership,and recorded March 3, 2023 as Document No. A1523718 in the office of the Wright County Recorder (the “Deephaven 3 Development Contract”). This Partial Release does not waive applicable requirements under the zoning ordinance of the City of Monticello or Planned Unit Development zoning for the above-described real property. All other land encumbered by the Deephaven Development Contract and not specifically released by this instrument shall remain encumbered by the Deephaven Development Contract. All other land encumbered by the Deephaven 3 Development Contract and not specifically released by this instrument shall remain encumbered by the Deephaven 3 Development Contract. 2J (16) 237278v1 CITY OF MONTICELLO By Lloyd Hilgart, Mayor By Rachel Leonard, City Administrator STATE OF MINNESOTA ) ( ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this ________ day of ______________, 2025, by Lloyd Hilgart and by Rachel Leonard, the Mayor and City Administrator, respectively, of the City of Monticello, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. _________________________________________ Notary Public 2J (17) 2J (18) 2J (19) 2J (20) 2J (21) 2J (22) 2J (23) 2J (24) 2J (25) 2J (26) 2J (27) 2J (28) 2J (29) 2J (30) 2J (31) 2J (32) 2J (33) 2J (34) 2J (35) 2J (36) 2J (37) 2J (38) 2J (39) 2J (40) 2J (41) 2J (42) 2J (43) 2J (44) 2J (45) 2J (46) 2J (47) 2J (48) 2J (49) 2J (50) 2J (51) 2J (52) 2J (53) 2J (54) 2J (55) Legend City Boundary Parcels September 16, 2025 ± Map Powered By Datafi 1 in = 295 Ft Deephaven Area Angela Schumann City of Monticello Community Development Director Date: 08/18/2025 Dear Ms. Schumann, We wanted to provide you with an update regarding progress on the PUD for the Deephaven Development located at 1255,1243, & 1237 Edmunson Ave, Monticello MN 55362. We have had several meetings with owners, subcontractors, and adjacent Property owners. We are reviewing the PUD and Developers Agreement and would like to request an extension as it relates to the following: “The Developer will construct a pathway connection from Lot 1, Block 1 to Outlot A at the corner of Cedar Street and Chelsea Road. The Developer shall construct the portion of pathway within Lot 1, Block 1 to the edge of Lot 1, Block 1 with the development of the residential portion of the project. Construction cost credit shall be applied for a 10’ bituminous pathway for this internal plat connection. The Developer will receive construction cost credit for the full length to the plaza. The Developer shall provide a Letter of Credit to secure the future construction of the pathway extension from Lot 1, Block 1 to the plaza area. The Developer shall complete the pathway from Lot 1, Block 1 to the plaza area no later than October 1st, 2025. With the first phase plat of Deephaven, the Developer shall provide a blanket easement for establishment of a future trail corridor and alignment from the edge of Lot 1, Block 1 to the plaza area. Land area credit is applicable to this extension for the portion beyond Lot 1, Block 1. Maintenance of the pathway connection within Lot 1, Block 1 and the future connection through Outlot B to the plaza will be the responsibility of the property owner(s).” “The Developer will construct a trail along the west side of Edmonson Avenue. No credit is applicable for this required right of way improvement. The Developer shall provide a Letter of Credit to secure the future construction. The Developer shall complete the pathway no later than October 1st, 2025.” “The Developer is required to reconstruct the west side of Edmonson Avenue to an urban section along the plat edge. Timing and design specifications of these improvements will be at the City Engineer’s discretion and evaluation of the traffic study. The Developer shall commence and the improvement shall be substantially complete no later than October 1st, 2025. The Developer shall supply a Letter of Credit to guarantee the improvement.” We are formally requesting a twelve (12) month extension to October 1st, 2026. This will better line up with the potential sale of the lot located between the Deephaven Office building and the Healing Moments Counseling center. It will also be better to align with the improvements made by the Hotel project as well as the Apartments to our South. It is our intention to work with our vendors and subcontractors as well as the adjacent properties to provide the best possible end product of our residents and the residents of Monticello. Sincerely, Josh Thieschafer Director of Construction Buchholz Properties josh@buchprop.com 320-980-5600 237255v4 (reserved for recording information) FIRST AMENDMENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT (Developer Installed Improvements) DEEPHAVEN (PC 2019-24) THIS FIRST AMENDMENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT agreement (“First Amendment”) is made as of ____________________, 2025, by and between the CITY OF MONTICELLO, a Minnesota municipal corporation (“City”), DALE BUCHHOLZ CONSTRUCTION, LLC, a North Dakota limited liability company (the “Developer”), DEEPHAVEN DEVELOPMENT LLC, a Minnesota limited liability company (“Deephaven LLC”) and VALLEY VIEW TOWNHOMES LLP, a Minnesota limited liability partnership (“Townhomes”). RECITALS A. The City and Developer previously entered into a Development Contract and Planned Unit Development agreement dated January 13, 2020 and recorded July 8, 2020 as Wright County Document No. A1432424 (“Development Contract”) for the development of the DEEPHAVEN plat. The plat of DEEPHAVEN consisted of Lot 1, Block 1 and Outlots A, B and C, all in DEEPHAVEN. 237255v4 B. In part, the Development Contract required the construction of certain improvements, including Edmonson Avenue Street improvements, sidewalk, a pathway, trail and playground facility within the plat of DEEPHAVEN. C. Portions of the property within the plat of DEEPHAVEN have been subsequently replatted. The land within the plat of DEEPHAVEN now consists of: Lot 1, Block 1, and Outlots A and C, DEEPHAVEN; Lot 1, Block 1, DEEPHAVEN 2, and Lots 1, , 3, and 4, Block 1, DEEPHAVEN 3, all in Wright County, Minnesota, and one other real property, which has been released from the Development Contract and is not affected by this First Amendment. D. City is the fee owner of Outlot A and Outlot C, DEEPHAVEN. E. Deephaven LLC and Townhomes are the fee owners of Lot 1, Block 1, DEEPHAVEN and are also the fee owners of Lot 1, Block 1, DEEPHAVEN 3; each of which has executed a consent to this First Amendment, attached hereto. F. The fee owner of Lot 1, Block 1, DEEPHAVEN 2 is JHM Property L.L.C., a Minnesota limited liability company, which has executed a consent to this First Amendment, as attached hereto. G. The fee owner of Lots 3 and 4, Block 1, DEEPHAVEN 3 is Monticello Hospitality Group, LLC, a Minnesota limited liability company, which has executed a consent to this First Amendment, as attached hereto. H. In connection with the DEEPHAVEN 2 plat, the City and Developer entered into a Development Contract for Deephaven 2, dated July 12, 2021 and recorded August 9, 2021 as Wright County Document No. A1479581 (“the Deephaven 2 Contract”). The Deephaven 2 Contract included provisions for the construction of those pathway and trail segments, as required by the Development Contract, located on or adjacent to the properties within DEEPHAVEN 2. This recital is provided for context only; this First Amendment does not amend the Deephaven 2 Contract. 237255v4 I. In connection with the DEEPHAVEN 3 plat, the City entered into a Development Contract Deephaven 3 with Deephaven Development LLC, a Minnesota limited liability company and Valley View Townhomes LLP, a Minnesota limited liability partnership, dated February 21, 2023 and recorded March 3, 2023 as Wright County Document No. A1523718 (“the Deephaven 3 Contract”). The Deephaven 3 Contract included provisions for the construction of those pathway and trail segments, as required by the Development Contract, located on or adjacent to the properties within DEEPHAVEN 3. This recital is provided for context only; this First Amendment does not amend the Deephaven 3 Contract. J. The pathway and trail segments governed by the Deephaven 2 Contract and Deephaven 3 Contract have been completed, but certain other improvements required to be constructed under the Development Contract remain uncompleted. K. Developer and City wish to amend the Development Contract in order to extend certain deadlines related to the installation of the uncompleted pathway, trail and playground facility improvements. NOW, THEREFORE, in consideration of the premises and the mutual obligations of the parties hereto, the parties agree as follows: 1. Section 26, clause (ii) of the Development Contract, relating to the construction of a pathway connecting Lot 1, Block 1, DEEPHAVEN to Outlot A, DEEPHAVEN is amended by deleting the phrase “October 1st, 2025” and replacing the deleted language with “October 1, 2026.” 2. Section 26, clause (v) of the Development Contract, relating to the construction of a trail along the west side of Edmonson Avenue, is amended by deleting the phrase “October 1st, 2025” and replacing the deleted language with “October 1, 2026.” 237255v4 3. Section 26, clause (vi) of the Development Contract, relating to the installation of a play facility, is amended by deleting the phrase “December 31, 2025” and replacing the deleted language with “December 31, 2026.” 4. Section 28, paragraph F of the Development Contract, relating to the reconstruction of the west side of Edmonson Avenue, is amended by deleting the phrase “October 1st, 2025” and replacing the deleted language with “October 1, 2026.” 5. Except as expressly amended by this First Amendment, the terms and conditions of the Development Contract remain in full force and effect. This Amendment shall be binding on the parties, their respective heirs, successors and assigns and shall be recorded against the Property in the office of the Wright County Recorder as promptly as possible after it has been executed by the parties. 6. Nothing in this First Amendment is intended to amend the provisions of the Deephaven 2 Contract or the Deephaven 3 Contract, each of which is referenced in the recitals above solely for purposes of providing context to this First Amendment. IN WITNESS WHEREOF, the parties have caused this Amendment to be executed this _____ day of ____________, 2025 Remainder of page intentionally left blank. Signatures on the following pages. 237255v4 City Signature Page CITY OF MONTICELLO By: ______________________________________ Lloyd Hilgart Mayor (SEAL) And _____________________________________ Rachel Leonard, City Administrator STATE OF MINNESOTA ) ( ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this ________ day of ______________, 2025, by Lloyd Hilgart and by Rachel Leonard, respectively the Mayor and City Administrator of the City of Monticello, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. _________________________________________ Notary Public 237255v4 Developer Signature Page DEVELOPER: DALE BUCHHOLZ CONSTRUCTION, LLC By: __________________________________________ _________________________________ [print name] Its: ______________________________ [title] STATE OF ______________ ) ( ss. COUNTY OF ____________ ) The foregoing instrument was acknowledged before me this ________ day of ______________, 2025, by _______________________ the _____________________ of Dale Buchholz Construction, LLC, a North Dakota limited liability company, on behalf of the entity. ______________________________________________ Notary Public DRAFTED BY: Campbell Knutson Professional Association Grand Oak Office Center I 860 Blue Gentian Road, #290 Eagan, Minnesota 55121 Telephone: (651) 452-5000 CAH 237255v4 MORTGAGE HOLDER CONSENT TO FIRST AMENDMENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT BANK FORWARD, which holds the following mortgages on real property, the development of which is governed by the foregoing First Amendment to Development Contract and Planned Unit Development: • Mortgage dated December 11, 2019 and recorded December 12, 2019 with the Wright County Recorder as document number A1413543, as modified by Wright County Recorder document number A1499335. (as to Lot 1, Block 1 and Outlot C, DEEPHAVEN and Lot 1, Block 1, DEEPHAVEN 3) • Construction Mortgage dated July 19, 2021 and recorded July 20, 2021 with the Wright County Recorder as document number A1477264, as modified by Wright County Recorder document number A1499336 (as to Lot 1, Block 1 and Outlot C, DEEPHAVEN) • Mortgage dated February 11, 2022 and recorded February 22, 2022 with the Wright County Recorder as document number A1499345 (as to Lot 1, Block 1 and Outlot C, DEEPHAVEN) • Construction Mortgage dated June 30, 2020 and recorded July 1, 2020 with the Wright County Recorder as document number A1431672 as modified by Wright County Recorder document number A146449 (as to Lot 1, Block 1, DEEPHAVEN 3). hereby consents to the foregoing First Amendment to Development Contract and Planned Unit Development and agrees that that the foregoing shall remain in full force and effect even if it forecloses on any of its mortgages. Dated this _____ day of ____________, 2025. BANK FORWARD By _________________________ [print name] Its President 237255v4 STATE OF NORTH DAKOTA ) ) ss. COUNTY OF CASS The foregoing instrument was acknowledged before me this _____ day of _________________, 2025, by ___________________________ the president of Bank Forward, a North Dakota corporation, on behalf of the entity. ________________________________________ Notary Public DRAFTED BY: CAMPBELL, KNUTSON Professional Association Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: (651) 452-5000 CAH 237255v4 FEE OWNER CONSENT TO FIRST AMENDMENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT DEEPHAVEN DEVELOPMENT LLC, a Minnesota limited liability company, a fee owner of Lot 1, Block 1, DEEPHAVEN and of Lot 1, Block 1, DEEPHAVEN 3, affirms and consents to the provisions of the foregoing First Amendment to Development Contract and Planned Unit Development and agrees to be bound by the provisions thereof as the same may apply to that property owned by it. Dated this ______ day of _________________, 2025. DEEPHAVEN DEVELOPMENT LLC, a Minnesota limited liability company By Mark Buchholz, Its President STATE OF NORTH DAKOTA ) (ss. COUNTY OF CASS ) The foregoing instrument was acknowledged before me this _____ day of _______________, 2025, by Mark Buchholz, the President of Deephaven Development LLC, a Minnesota limited liability company, on behalf of the entity. ____________________________________ Notary Public DRAFTED BY: CAMPBELL, KNUTSON Professional Association Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: (651) 452-5000 237255v4 FEE OWNER CONSENT TO FIRST AMENDMENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT VALLEY VIEW TOWNHOMES, LLP, a Minnesota limited liability partnership, a fee owner of Lot 1, Block 1 , DEEPHAVEN and of Lot 1, Block 1, DEEPHAVEN 3, affirms and consents to the provisions of the foregoing First Amendment to Development Contract and Planned Unit Development and agrees to be bound by the provisions thereof as the same may apply to that property owned by it. Dated this ______ day of _________________, 2025. VALLEY VIEW TOWNHOMES, LLP, a Minnesota limited liability partnership By Dale Buchholz, Its Partner STATE OF NORTH DAKOTA ) (ss. COUNTY OF CASS ) The foregoing instrument was acknowledged before me this _____ day of _______________, 2025, by Dale Buchholz, the Partner of Valley View Townhomes, LLP, a Minnesota limited liability partnership, on behalf of the entity. ____________________________________ Notary Public DRAFTED BY: CAMPBELL, KNUTSON Professional Association Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: (651) 452-5000 CAH 237255v4 FEE OWNER CONSENT TO FIRST AMENDMENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT JHM L.L.C., a Minnesota limited liability company, fee owner of Lot 1, Block 1, DEEPHAVEN 2, affirms and consents to the provisions of the foregoing First Amendment to Development Contract and Planned Unit Development and agrees to be bound by the provisions thereof as the same may apply to that property owned by it. Dated this ______ day of _________________, 2025. JHM L.L.C., a Minnesota limited liability company By Kathleen Rose-Penkala Massmann STATE OF MINNESOTA ) (ss. COUNTY OF ) The foregoing instrument was acknowledged before me this _____ day of _______________, 2025, by Kathleen Rose-Penkala Massmann, manager of JHM L.L.C., a Minnesota limited liability company, on behalf of the entity. ____________________________________ Notary Public DRAFTED BY: CAMPBELL, KNUTSON Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 CAH 237255v4 FEE OWNER CONSENT TO DEVELOPMENT CONTRACT AND PLANNED UNIT DEVELOPMENT MONTICELLO HOSPITALITY GROUP, LLC, a Minnesota limited liability company, a fee owner of Lots 3 and 4, DEEPHAVEN 3, affirms and consents to the provisions of the foregoing First Amendment to Development Contract and Planned Unit Development and agrees to be bound by the provisions thereof as the same may apply to that property owned by it. Dated this ______ day of _________________, 2025. MONTICELLO HOSPITALITY GROUP, LLC, a Minnesota limited liability company By Robert L. Thompson, Managing Member By Ted O. Christianson, Managing Member STATE OF MINNESOTA ) (ss. COUNTY OF DOUGLAS ) The foregoing instrument was acknowledged before me this _____ day of _______________, 2025, by Robert L. Thompson, a managing member of Monticello Hospitality Group, LLC, a Minnesota limited liability company, on behalf of the entity. ____________________________________ Notary Public STATE OF MINNESOTA ) (ss. COUNTY OF DOUGLAS ) The foregoing instrument was acknowledged before me this _____ day of _______________, 2025, by Ted O. Christianson, a managing member of Monticello Hospitality Group, LLC, a Minnesota limited liability company, on behalf of the entity. DRAFTED BY: ____________________________________ CAMPBELL, KNUTSON Notary Public Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: (651) 452-5000 CAH 237278v1 PARTIAL RELEASE THIS PARTIAL RELEASE instrument is given by CITY OF MONTICELLO, a Minnesota municipal corporation (“City”). The City hereby releases and discharges the following described real property in the County of Wright, State of Minnesota: Lot 2, Block 1, DEEPHAVEN 3 from all claims, obligations and liens of and under the following: • that certain Development Contract and Planned Unit Development dated January 13, 2020 by and between City and Dale Buchholz Construction, LLC, a North Dakota limited liability company and recorded July 8, 2020 as Document No. A1432424 in the office of the Wright County Recorder (the “Deephaven Development Contract”) and • that certain Development Contract Deephaven 3 dated February 21, 2023 by and among the City, Deephaven Development LLC, a Minnesota limited liability company and Valley View Townhomes LLP, a Minnesota limited liability partnership,and recorded March 3, 2023 as Document No. A1523718 in the office of the Wright County Recorder (the “Deephaven 3 Development Contract”). This Partial Release does not waive applicable requirements under the zoning ordinance of the City of Monticello or Planned Unit Development zoning for the above-described real property. All other land encumbered by the Deephaven Development Contract and not specifically released by this instrument shall remain encumbered by the Deephaven Development Contract. All other land encumbered by the Deephaven 3 Development Contract and not specifically released by this instrument shall remain encumbered by the Deephaven 3 Development Contract. 237278v1 CITY OF MONTICELLO By Lloyd Hilgart, Mayor By Rachel Leonard, City Administrator STATE OF MINNESOTA ) ( ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this ________ day of ______________, 2025, by Lloyd Hilgart and by Rachel Leonard, the Mayor and City Administrator, respectively, of the City of Monticello, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. _________________________________________ Notary Public City Council Agenda: 9/22/2025 1 2J. Consideration of approving the first amendment to Deephaven Development Contract and Planned Unit Development for extension of completion of public improvements and playground facilities, and to release Lot 2, Block 1, Deephaven 3 from the Deephaven and Deephaven 3 Development Contracts Prepared by: Community Development Director Meeting Date: 9/22/2025 ☒ Consent Agenda Item ☐ Regular Agenda Item Reviewed by: Public Works Director/City Engineer, Assistant City Engineer, Parks, Arts & Recreation Director Approved by: City Administrator ACTION REQUESTED 1. Motion to approve the First Amendment to Deephaven Development Contract and Planned Unit Development for one year as related to completion of public improvements and playground facilities, contingent on: a. Release of City-owned Outlot C from any mortgage obligations and assignment of deeds and financing statements for the parcel; and b. Receipt of all required consents to the agreement, which shall be the responsibility of the developer 2. Motion to approve the release of Lot 2, Block 1, Deephaven 3 from the Deephaven Development Contract. REFERENCE AND BACKGROUND The City received a request from the developer to amend the Deephaven Development Contract in order to extend the timeframe for completing the improvements as specified in the original agreement. The developer is requesting to extend the deadline for completing the required improvements to Edmonson Avenue from October 1, 2025 to October 25, 2026. The Edmonson Avenue improvements include construction of a half-street urban section along the full Deephaven frontage. The Edmonson Avenue frontage lies along Lot 4, Block 1 of Deephaven 3 and Lot 1, Block 1 of Deephaven as currently platted. The extension request also applies to the associated pathway and sidewalk sections required by the contract. City Council Agenda: 9/22/2025 2 As part of this amendment, a companion extension is included in the amendment document that allows the City to retain the $20,000 escrow required by the contract for the purchase and installation of a playground facility. The playground is planned to be located near the City- owned Outlot C within the larger Pointes at Cedar public recreation area. The Parks & Recreation Director obtained a quote for the cost of a playground structure appropriate for the site. Additional improvements to the public recreation area at The Pointes at Cedar are contingent upon grant applications to be submitted in 2026. Extending the escrow to October 2026 will allow that process to continue. The City Attorney’s office has reviewed the request and prepared the amendment document. As the original plat of Deephaven has since been replatted into additional lots and blocks through the plats of Deephaven 2 and 3, consent to the development agreement contract is required from the various owners and mortgagers of the affected parcels. The City Attorney’s office also noted that title work for the Deephaven plat indicates that there is a mortgage and other financing documents in place over Outlot C, which is owned by the City. These must be released as a condition of the amendment as a warranty deed was provided by the developer for this parcel. In preparing the amendment, the City Attorney recommended that the City release any lots within Deephaven that have satisfied the obligations of the original Deephaven contract. Lot 2, Block 1 of Deephaven 3 has met development obligations under the original contract and the subsequent Deephaven 3 contract and may be released from those contracts. However, that parcel remains subject to the separate and development contract specific Lot 2, Block 1, Deephaven 3, as securities relating to public improvements and landscaping must remain in place until their performance period has been satisfied. I. Budget Impact: Charges by City Attorney Campbell Knutson for review of release will be coded to the developer of Deephaven’s legal fee escrow submitted with the plat. II. Staff Workload Impact: Staff time in reviewing the plat and development contract documents and public improvement history is estimated at four hours. III. Comprehensive Plan Impact: The proposed action will not impact the responsibility of the developer to the remaining applicable terms and conditions of the development contracts. These terms and conditions support the overall development of the Deephaven area as a “Commercial-Residential Flex” area, consistent with the Monticello 2040 Vision + Plan. Continued commercial and residential uses and development are required to be consistent with this designation and with the area’s zoning as Pointes at Cedar District. City Council Agenda: 9/22/2025 3 STAFF RECOMMENDED ACTION City staff recommend approval of the first amendment to development contract for Deephaven, subject to the noted contingencies, and approval of the release for Lot 2, Block 1, Deephaven 3. SUPPORTING DATA A. Aerial Site Image B. Request for Amendment and Extension C. First Amendment to Development Agreement D. Release of Development Agreement – Lot 2, Block 1, Deephaven 3 E. Development Agreement, Deephaven F. Plats of Deephaven 1-3 City Council Agenda: 9/22/2025 1 2K. Consideration to approve a Partial Release of River View Square Development for Lot 1, Block 2 Prepared by: Community Development Director Meeting Date: 9/22/2025 ☒Consent Agenda Item ☐Regular Agenda Item Reviewed by: Public Works Director/City Engineer, Assistant City Engineer Approved by: City Administrator ACTION REQUESTED Motion to approve a Partial Release of River View Square Development Contract for Lot 1, Block 2, River View Square. REFERENCE AND BACKGROUND The City received a request for a partial release from the River View Square Development Contract for the parcel platted as Lot 1, Block 2, River View Square. The parcel is currently owned by Monticello Senior Housing Owner LLC and operated as Willows Landing, a senior living facility. The current property owner is requesting release of the property in conjunction with the due diligence period associated with the potential sale of the property. Staff have reviewed the release and find it to be satisfactory. All contractual obligations related to public improvements, including pathway connections, have been fulfilled. Requirements pertaining to trunk utility payments and individual site improvements have also been met, as the site is fully developed. The Conditional Use Permit and Site Performance Agreement specific to the senior living project development remain in effect and are not impacted by this request. All other obligations of the River View Square contract remain in place for the other lots within the plat. I.Budget Impact: Limited to minor charges by City Attorney Campbell Knutson for review of release. II.Staff Workload Impact: Staff time in reviewing the release documents and public improvement history is estimated at two hours. III.Comprehensive Plan Impact: Release of the development agreement allows the current property owner to continue efforts to sell the property. The release does not impact the Conditional Use Permit and Site Performance Agreement for the current use of the City Council Agenda: 9/22/2025 2 property. The residential use of the property is supported by the Monticello 2040 Vision + Plan’s Value Statement of providing “a range of attainable housing options in terms of type, cost and location.” STAFF RECOMMENDED ACTION City staff recommends approval of the release of Lot 1, Block 2, River View Square from the Development Contract. SUPPORTING DATA A. Aerial Site Image B. Release of Development Agreement C. Development Agreement, River View Square D. Plat of River View Square Legend City Boundary Parcels September 16, 2025 Map Powered By Datafi m 1 in = 369 Ft Lot 1, Block 2, River View Square2K (1) 1 PARTIAL RELEASE OF DEVELOPER’S AGREEMENT River View Square September ____, 2025 The City of Monticello, a Minnesota municipal corporation (the “City”), and MMC Land Company, LLC (the “Developer”) entered into the Developer’s Agreement for River View Square dated May 11, 1999, which was recorded on June 14, 1999 in the Office of the County Recorder for Wright County, Minnesota as document number 681165. One of the parcels of land the Developer’s Agreement encumbers is Lot 1, Block 2, River View Square, Wright County, Minnesota. Developer completed all work required under the Developer’s Agreement with respect to Lot 1, Block 2, River View Square. Therefore, the City hereby releases that lot from the Developer’s Agreement and agrees that the Developer’s Agreement is of no further force or effect with respect to that lot. Signature Page Follows 2K (2) 2 Signature Page to Release of Developer’s Agreement River View Square City of Monticello By: Lloyd Hilgart, its Mayor and By: Rachel Leonard, City Administrator Wright County, Minnesota The foregoing instrument was acknowledged before me on September ___, 2025 by Lloyd Hilgart and by Rachel Leonard, the Mayor and City Administrator of the City of Monticello, a Minnesota municipal corporation, on behalf of the City of Monticello. Drafted by: Fabyanske, Westra, Hart & Thomson, P.A. Suite 1900 80 South 8th Street Minneapolis, MN 55402 2K (3) 2K (4) 2K (5) 2K (6) 2K (7) 2K (8) 2K (9) 2K (10) 2K (11) 2K (12) 2K (13) 2K (14) 2K (15) 2K (16) 2K (17) 2K (18) 2K (19) 2K (20) 2K (21) 2K (22) 2K (23) 2K (24) 2K (25) 2K (26) 2K (27) 2K (28) 2K (29) 2K (30) City Council Agenda: 9/22/2025 1 2L. Consideration of approving a request to amend the Conditional Use Permit for Planned Unit Development for a Retail Use as a Principal Use in the B-4, Regional Business District and Conditional Use Permit for Cross Access. Applicant: Josh Iaquinto Prepared by: Grittman Consulting, Stephen Grittman, City Planner Meeting Date: 9/22/2025 ☒ Consent Agenda Item ☐ Regular Agenda Item Reviewed by: Community Development Director, Assistant City Engineer, Community & Economic Development Coordinator Approved by: City Administrator ACTION REQUESTED The Planning Commission unanimously recommends approval of the Amendment to the CUP for Planned Unit Development. Motion to approve a request to amend the Conditional Use Permit for Planned Unit Development for a Retail Use as a Principal Use in the B-4, Regional Business District and Conditional Use Permit for Cross Access, subject to the conditions in Exhibit Z and based on findings in Resolution PC-2025-33. REFERENCE AND BACKGROUND Property: Legal Description: Lot 3, Block 1, Union Crossings Third Addition PID #: 155212001030 Planning Case Number: 2025-39 Request(s): Consideration of a Request for Amendment to the Conditional Use Permit for Planned Unit Development for a Retail Use as a Principal Use in the B-4, Regional Business District and Conditional Use Permit for Cross Access. Deadline for Decision: October 5, 2025 (60-day deadline) December 4, 2025 (120-day deadline) Land Use Designation: Regional Commercial Zoning Designation: B-4: Regional Business City Council Agenda: 9/22/2025 2 Overlays/Environmental Regulations Applicable: Freeway Bonus District Current Site Uses: Vacant Land Surrounding Land Uses: North: Commercial East: Vacant Land South: Freeway West: Commercial Project Description: The applicant proposes to construct a new retail facility of approximately 4,400 square feet on the site, including associated parking, and utilizing the existing driveway access point to 7th Street that is shared with the property to the west (the recently approved Big Bore restaurant). The proposed site is a part of the Union Crossings Planned Unit Development and requires Conditional Use Permits for the amendment to that PUD, as well as to utilize the cross-access driveway. ANALYSIS: The subject site is located north of Interstate 94, south of 7th Street and west of Highland Way. The existing Planned Unit Development contains Home Depot, Target, an inline retail center, a freestanding multi-tenant retail center and multiple pad sites. The subject site is located south of the Home Depot building and adjoins the Big Bore restaurant (formerly McDonalds), which lies to the west of the subject property. Zoning. The subject site is zoned B-4, Regional Business. The purpose of the B-4 regional business district is to provide for the establishment of commercial and service activities which draw from and serve customers from the entire community or region. The site is further covered by a Conditional Use Permit for Planned Unit Development, which controls the larger Union Crossings commercial areas both to the north and south of 7th Street. A small corner of the lot is impacted by the Mississippi River Wild and Scenic Overlay District; however, the development is consistent with the previously approved Union Crossings PUD under that zoning designation. CUP/PUD. The Union Crossings Planned Unit Development allows for flexibility in performance standards with the understanding that the development will be held to higher standards of site and building design than would ordinarily be required. It is the applicant’s responsibility to design the development with significant benefits and communicate those benefits to the City for allowing a CUP/PUD. The original CUP/PUD included this site as a shared driveway with the City Council Agenda: 9/22/2025 3 former McDonald’s restaurant. There are no proposed changes to the existing access drive, other than connections for access to the subject property’s parking lot. Access and Circulation. Access to the site is provided off 7th Street, in the northwest corner of the site. The site includes an existing curb cut 40 feet in width. The proposed width accommodates a right-turn lane and encroaches across the property line to the east. The access aligns with the existing access on the north side of 7th Street, into the Home Depot property. Internal drive aisles are proposed at a minimum width of 24 feet, with parking stall depths of 20 feet – consistent with the City’s zoning regulations. The applicant’s site plan continues joint access arrangement with the property to the west. Cross access agreements will require verification and updating with both adjoining properties. Pedestrian Circulation. The applicant’s plans include the addition of pedestrian crossing markings across the shared access point. The sidewalk along the south side of 7th Street is proposed to terminate at this parcel, given the significant narrowing of available land to the east. This crosswalk marking will support connection of the site to the existing 7th Street crossing from this parcel and the adjoining Big Bore parcel. The applicant is required to continue to maintain these markings as part of their approval. An internal sidewalk connects the west parking area and the front of the building to the public sidewalk area. Parking. The parking requirement for retail spaces is one space per 200 square feet, excepting non-productive spaces such as restrooms, mechanical rooms, etc. The site plan illustrates 42 spaces, more than double the minimum requirement for this building and use. The applicant would be able to eliminate several of these spaces if desired and retain additional green space on the site. Landscaping. For commercial development, landscape planting is required at the rate of 10 caliper inches of trees per acre, and 2 shrubs per 10 perimeter feet of building. The subject property is 1.1 acres is size, and the building has a perimeter length of 284 total linear feet. These dimensions yield a planting requirement of 11 caliper inches of trees, and 56 shrubs. The applicants provided a landscape plan showing tree and shrub plantings in the proposed planting areas. Tree planting includes more than 30 caliper inches of trees overall, and proposed shrub plantings total 35 shrubs and 37 perennial grasses and forbs. The City has accommodated perennial plantings to supplement the minimum shrub planting numbers where appropriate, particularly in PUD projects that are consistent with the general intent of the PUD zoning. Staff supports the plans as consistent with the PUD and other approved planting plans in the district. The applicant is required to submit a landscaping security per ordinance to guarantee compliance with the plan. City Council Agenda: 9/22/2025 4 Lighting. A photometric plan was submitted for the site, indicating the use of wall lighting on the building, and no freestanding pole lighting. The zoning ordinance restricts any light, or combination of lights, from casting glare onto public street in excess of 1 footcandle, when measured at the centerline of the street. The photometric plan indicates readings that are at 0.0 footcandles along all property lines. Signage. The site and building plans show wall signage only. The total maximum allowable sign area for any wall shall be determined by taking 10 percent of the gross silhouette area of the front of the building up to 100 square feet, whichever is less. For single or business structures, the total maximum allowable signage on the property shall be 300 square feet. The applicant has legal frontage on 7th Street and Interstate 94, making it eligible for wall signage on two sides of the building. The proposed wall signage is well within the allowances of the code in this respect. Building Design. The applicant is proposing the primary use of E.I.F.S. on the exterior of the building in two colors, with contrasting brick veneer piers and parapet coping on the upper portion of the structure, which varies in height across the façade of the building. The plans also show a connected trash enclosure on the east side of the building, covered with similar materials. The location of the trash enclosure is inconspicuous and should blend into the site’s development plan. The proposed plans further include an outdoor patio on the west side of the building that will be utilized by customers as a part of their patronage of the facility. No food service is planned for this project. Engineer’s Letter. The City Engineer will provide comment on site drainage and utilities services. I. Budget Impact: The applicant submits an escrow with their land use application that is used to cover the costs of the application review, including staff and consulting time. II. Staff Workload Impact: Staff time included Community Development and Engineering review, estimated at 8 hours in total. III. Comprehensive Plan Impact: The Monticello 2040 Vision + Plan states a goal for “Successful Commercial Centers and Corridors” that “can adapt over time and provide a place for shopping, services, civic activities, entertainment, and arts and culture.” This development proposal supports the continued development and use of the regional commercial area along 7th Street east. PLANNING COMMISSION REVIEW AND RECOMMENDATION The Planning Commission reviewed and held the hearing for the Conditional Use Permit amendment during the regular meeting of September 2, 2025. City Council Agenda: 9/22/2025 5 No public was present to address the Commission on the request. Noting the potential pathway of travel between sidewalks and the building and parking areas, the Commission recommended a review of the internal pedestrian connections as part of final site planning. Following discussion, the Commission recommended approval of the amendment to CUP for PUD unanimously. STAFF RECOMMENDED ACTION City staff recommend approval of the amendment to the Union Crossing CUP/PUD for the MN Sports Cards retail facility. This recommendation is based on the compliance of the site and building plans with applicable PUD and zoning district requirements, and consistency with the general Union Crossings Plan. This recommendation is subject to the conditions identified in Exhibit Z of this report. SUPPORTING DATA A. Resolution PC-2025-33 B. Aerial Site Image C. Applicant Narrative D. Plans, Including: a. Site Plan (Certificate of Survey) b. Grading & Drainage c. SSWP d. Storm Sewer Plan e. SWPPP f. Existing Conditions & Removals Plan g. Landscaping Plan h. Floor Plan i. Elevations j. Photometrics E. City Engineer’s Letter, dated August 22, 2025 F. Chief Building Official’s Letter, dated August 26, 2025 G. 2040 Vision + Plan Chapter 3 - Future Land Use Map H. 2040 Vision + Plan Chapter 3 - Regional Commercial Z. Conditions of Approval EXHIBIT Z City Council Agenda: 9/22/2025 6 Conditions of Approval Amendment to Conditional Use Permit for PUD and Cross Parking Lot 3, Block 1, Union Crossings 3rd Addition 1.Cross parking and access rights and agreements are verified between the subject parcel and adjoining parcels, and the applicant further verifies commitment to any future reasonable modifications as adjoining parcels develop or redevelop. 2.The applicant completes and maintains crosswalk markings connecting to the public sidewalk and existing crosswalk system as shown in the site plan. 3.Site landscaping is completed as approved, with required maintenance securities as specified in the Zoning Ordinance. This requirement is an ongoing requirement of CUP and site plan approval. Materials that are removed or fail to survive shall be replaced, regardless of landscape guarantees. A landscaping security shall be provided as per ordinance. 4.Amend and execute as required any required cross-access and cross-parking agreements required for the site and adjoining parcels. 5.Compliance with the terms of the City’s Engineering Staff letter dated August 22, 2025. 6.Compliance with the terms of the Chief Building Official’s letter dated August 26, 2025. 7.Comments and recommendations of other Staff and Planning Commission. 2L (1) 2L (2) 2L (3) Request for CUP for PUD Amdt Legal: Lot 3, Blk 1, Union Crossings 3rd Addn. | PID: 155212001030 Created by: City of Monticello 236 ft 2L (4) City of Monticello Conditional Use Permit Narrative MN Sports Cards The proposed building / business that will go on Lot 3, Block 1, Union Crossings Third Addition is MN Sports Cards. MN Sports Cards is a retail store that sells sports cards. The business is open Tuesday – Sunday, operating between 11am – 6pm. There are usually 6 employees working during business hours. The CUP is for the cross-access agreement with the adjacent lot and an amendment to the CUP for PUD for Union Crossings. The proposed site development is consistent with planned land use and type of development. The project meets all applicable conditional use criteria. 1. The conditional use will not substantially diminish or impair property values within the immediate vicinity of the subject property; Correct 2. The conditional use will not be detrimental to the health, safety, morals, or welfare of persons residing or working near the use; Correct 3. The conditional use will not impede the normal and orderly development of surrounding property for permitted uses predominant in the area; Correct 4. The conditional use will not pose an undue burden on public utilities or roads, and adequate sanitary facilities are provided; Correct 5. The conditional use can provide adequate parking and loading spaces, and all storage on the site can be done in conformance with city code requirements; Correct 6. The conditional use will not result in any nuisance including but not limited to odor, noise, or sight pollution; Correct 7. The conditional use will not unnecessarily impact natural features such as woodlands, wetlands, and shorelines; and all erosion will be properly controlled; Correct 8. The conditional use will adhere to any applicable additional criteria outlined in §§ 153.090 through 153.093 for the proposed use. Correct 2L (5) 2L (6) 2L (7) 2L (8) 2L (9) 2L (10) 2L (11) 2L (12) 2L (13) 2L (14) 2L (15) 2L (16) 2L (17) 2L (18) 2L (19) 2L (20) 2L (21) www.ci.monticello.mn.us OFFICE: 763-295-2711 FAX: 763-295-4404 505 Walnut Street Suite 1 Monticello, MN 55362 August 22, 2025 Re: MN Sports Cards The Engineering Department has reviewed the Civil Plans dated 7-31-25 and offers the following comments: General Comments 1. Show Emergency Overflow from low points to offsite and verify 1.5’ freeboard. 2. Remove note 25 from sheet C3.1 3. Coordinate with pedestrian ramp construction with adjacent property owner. The City is not responsible for errors and omissions on the submitted plans. The owner, developer, and engineer of record are fully responsible for changes or modifications required during construction to meet the City’s standards. Please have the applicant provide a written response addressing the comments above. Please contact the Engineering Department with any questions. Sincerely, Ryan Melhouse Assistant City Engineer 2L (22) August 26, 2025 Re: MN Sports Cards General Comments The City is not responsible for errors and omissions on the submitted plans. The Owner/ Developer, and Engineer of record are fully responsible for changes or modifications required during construction to meet the City Standards and the applicable Minnesota codes. 1. The City requires you to install a fire key box on the outside of your building. Please contact the Department of Building Safety/Fire Inspector for these requirements. 2. The City requires address (XXXX) posted on 7th street East side of your building. Please refer to the city code/ordinance for specific size. 3. Prior to excavation and construction, the permittee shall submit to the City of Monticello through certificate of survey that the proposed construction follows all land use, zoning, conditional use, or planned use as part of the building permit application. The certificate of survey shall be signed by a registered Minnesota land surveyor. These items are subject to approval of the Monticello Department of Building Safety. This is a preliminary list of items that need to be addressed. Sincerely, Bob Ferguson Chief Building Official/Zoning Administrator 2L (23) MONTICELLO 2040 VISION + PLAN 13 FUTURE LAND USE MAP EXHIBIT 3.3 City of Monticello Boundary Monticello Orderly Annexation Area (MOAA) Parcels Streets Railroad Water Bodies Development Reserve (DR) Open Space and Resource Conservation (OSRC) City Parks and Recreation (PR) Estate Residential (ER) Low-Density Residential (LDR) Traditional Residential (TR) Mixed Neighborhood (MN) Mixed-Density Residential (MDR) Manufactured Home (MH) Downtown Mixed-Use (DMU) Community Commercial (CC) Regional Commercial (RC) Commercial and Residential Flex (CRF) Employment Campus (EC) Light Industrial Park (LIP) General Industrial (GI) Public and Institutional (P) Xcel Monticello Nuclear Generating Plant (MNGP) North 2L (24) LAND USE, GROWTH AND ORDERLY ANNEXATION 36 2018 Correlating Zoning District ZONING INFORMATION 2018 Correlating Zoning District B-3 Highway Business District B-4 Regional Business District LAND USE MIX Commercial • “Big Box” Stores • Department Stores • Hotels • Restaurants Recreational • Plaza • Public Space REGIONAL COMMERCIAL (RC) The Regional Commercial designation includes large-scale commercial uses serving a regional market, typically on large sites along the Interstate or major arterials roadways such as State Highway 25. Retail uses within this category usually have large floor areas and high sales volumes and may be considered shopping “destinations” by consumers from the region. Uses such as furniture and electronic stores, farm supply, home improvement stores, department stores, “big box” retailers, hotels and restaurants are included. Smaller and more local-serving retail uses, and personal services are generally not appropriate but could be allowed if complementary to a regional use. VISUAL EXAMPLE LOT PATTERN DEVELOPMENT FORM • Floor Area Ratio (FAR) 0.30 to 0.50 • Height - 1-2 stories, 4 stories for hotels or office • Lot Area - N/A Primary Mode Vehicular with access to collectors and arterials Transit or shuttle service Secondary Mode Shared bike/ pedestrian facilities MOBILITY 2L (25) City Council Agenda: 9/22/2025 2M. Consideration of adopting Ordinance 858 amending Title XV, Chapter 153: Zoning, Chapter § 153.091 Use-Specific Standards for sections related to the regulation of Cannabis buffers and industrial cannabis businesses. Applicant: City of Monticello Prepared by: Community & Economic Development Coordinator Meeting Date: 9/22/2025 ☒ Consent Agenda Item ☐ Regular Agenda Item Reviewed by: Community Development Director, City Planner Approved by: City Administrator ACTION REQUESTED The Planning Commission unanimously recommends approval of the proposed ordinance amendment. Motion to adopt Ordinance 858 amending Title XV, Chapter 153: Zoning, Chapter §153.091 Use- Specific Standards for sections related to the regulation of Cannabis buffers and industrial cannabis businesses based on findings in said Resolution PC-2025-34. PREVIOUS COUNCIL ACTION November 25, 2024: Council adopted Ordinances 835 and 837 regulating cannabis- related and lower-potency hemp edible uses July 14, 2025: Council adopted Ordinances 852 and 853 regulating Cannabis and Lower- Potency Hemp Edible land uses REFERENCE AND BACKGROUND Property: Legal Description: City of Monticello Planning Case Number: 2025-41 Request(s): Amendment to the regulations for Cannabis buffers Deadline for Decision: N/A Land Use Designation: N/A Zoning Designation: Multiple Overlays/Environmental Regulations Applicable: N/A City Council Agenda: 9/22/2025 Current Site Uses: N/A Surrounding Land Uses: N/A Project Description: Consideration of amendments to the zoning ordinance related to the regulation of cannabis-related business buffers and industrial cannabis businesses subject to the conditions in Exhibit Z and based on findings in said resolution. ANALYSIS The State of Minnesota has legalized recreational adult-use cannabis and a regulatory framework for cannabis and lower-potency hemp products. Under Minnesota Statutes Chapter 342, the possession, use, manufacturing, and sale of certain cannabis products are now legal. The law also created the Office of Cannabis Management (OCM), which is responsible for regulating Minnesota’s cannabis and hemp consumer industry, including licensure. On November 25, 2024, the City adopted the General Regulations applicable to all cannabis uses. Since that time, the City has processed one amendment to the cannabis-related ordinances, allowing accessory use for the sale of lower potency hemp edibles. As staff have applied the ordinance, additional areas for refinement have been identified to better align the City’s regulatory intent for cannabis-related businesses. Staff is now proposing further amendments focused on buffer standards and reasonable location restrictions for industrial cannabis-related business uses. Buffer Requirements The ordinance as adopted establishes the minimum buffers between cannabis businesses and schools, parks, childcares, and residential treatment facilities. The City can be less restrictive than the state in setting buffer distances, but not more so. The adopted buffers within the ordinance fall within the parameters of state maximums as follows: (10) No cannabis-related business use shall be located closer to any property occupied by any of the following uses, measured as a horizontal distance from the closest point of the property on which the cannabis business is located to the closest point of the property occupied by: a. School: 1,000 feet. b. Day care: 500 feet from any day care facility that is located in a zoning district where cannabis businesses are not allowed. This buffer shall not apply to day care facilities that are located in a zoning district in which a cannabis business is allowed. c. Residential Treatment Facility: 500 feet. City Council Agenda: 9/22/2025 d. Public Park: 500 feet from amenities regularly used by minors within a public park. Public parks included shall be as identified in the City’s most currently adopted Park System or Master Plan. This buffer shall not apply to sidewalks or trails, or other public lands. As staff have addressed inquiries about cannabis locations relative to the buffers, we have noted that several buffers effectively extend over Interstate 94 on both the north and south side as shown in Exhibit D. The proposed language amendment would limit the extent of the buffer at its intersection with I-94. Staff believes that, even with this additional limitation, the buffer distances for parks, childcares, schools and residential treatment centers would remain adequate. Preliminary review of impacted areas include East 7th Street parcels east of TH 25 (Item A), Fallon Avenue and Chelsea Road (Item B), part of Union Crossings (1447 – 1571 East 7th) (Item C), as well as sections of publicly-held land near East Broadway and I-94 (Item D). Industrial Cannabis Business Location Staff is also recommending a revision to the ordinance for Industrial Cannabis Businesses located adjacent to residential properties. Under the current ordinance, industrial cannabis- related businesses are prohibited in the I-2 (Heavy Industrial) District if the parcel abuts a residential zoning district. Staff propose to apply the same standards to the I-1 (Light Industrial) and I-2 Districts. The amended ordinance would prohibit the use of any I-1 parcel for cannabis- related businesses if it borders a residential district, mirroring the current regulations for the I-2 district. Exhibit E, parcel map, highlights the I-1 parcels in purple, and residential properties in green and maroon shade. While the number of parcels currently affected is limited, as Monticello continues to grow, additional industrial land may be acquired in the future alongside continued residential development, with this change offering considerations and protections for future development. Staff consulted with the City Attorney’s office to determine whether a similar reasonable restriction for location could be applied to limit retail cannabis-related businesses adjacent to residential zoning districts. The attorney confirmed the City has the authority to add that limit as well. However, the ordinance amendments as proposed include only the limitation to properties in industrial zoning districts adjacent to residential. Staff will defer to the City Council on whether they would like to add the additional restriction as well. City Council Agenda: 9/22/2025 Clerical Reference In a review of the ordinance hierarchy, it appears that references to Section 153.091(C) as detailed within the commercial and industrial use regulation sections are in error. The reference is intended to refer to the "General regulations application to all uses” section, 153.091(A). The proposed amendment corrects this error. I. Budget Impact: Costs for publication of the ordinance amendment and consulting planner review will be covered by the Planning & Zoning department’s budget within the General Fund. II. Staff Workload Impact: Development Services staff have spent approximately 6 hours preparing and issuing notices for the amendment. III. Comprehensive Plan Impact: The Monticello 2040 Vision + Plan includes a specific value of “A healthy community focused on the physical and mental health and wellness of its residents.” The Plan also includes the theme of “Community Health,” which is woven throughout the Plan and its implementation goals, policies and strategies. The adoption of amendment of the ordinances is intended to be consistent with both the integration of these uses into the community while balancing land use and enforcement impacts. PLANNING COMMISSION REVIEW AND RECOMMENDATION The Planning Commission reviewed and held the hearing for the proposed ordinance amendment during the regular meeting of September 2, 2025. No public was present to address the Commission on the request. During discussion on the amendment, staff noted that the City Attorney had confirmed that the City could institute regulations prohibiting cannabis-related businesses directly adjacent to residentially zoned property. After a brief discussion on buffer requirements, the Commission did not direct further amendments for consideration for that purpose. The Commission recommended approval of the amendment as proposed unanimously. STAFF RECOMMENDED ACTION City staff recommend adopting the proposed cannabis zoning regulations relating to buffers along the I-94 Interstate and Industrial Cannabis Businesses. The recommendation is based on findings specified in the resolutions recommending approval, including the City’s authority to consider zoning ordinances for the purpose of promoting the public health, safety, and general welfare for the municipality. It is fully recognized that as Minnesota’s cannabis law is implemented, further amendments to address rulemaking by the Office of Cannabis Management and additional legislative action may be needed. City Council Agenda: 9/22/2025 SUPPORTING DATA A. Resolution PC-2025-034 B. Ordinance 858 C. Official Zoning Map D. Cannabis Buffers on Interstate-94 E. Residential/Industrial Map – Abutting Parcels F. Adopted Cannabis Ordinances ORDINANCE NO. 858 1 CITY OF MONTICELLO WRIGHT COUNTY, MINNESOTA AN ORDINANCE AMENDING TITLE XV OF THE MONTICELLO CITY CODE, CHAPTER 153: ZONING CHAPTER 153: ZONING PROVIDING FOR THE REGULATION OF CANNABIS-RELATED BUSINESSES THE CITY COUNCIL OF THE CITY OF MONTICELLO HEREBY ORDAINS: Section 1. Section § 153.091(A) USE-SPECIFIC STANDARDS, General regulations applicable to all uses, is hereby amended as follows: (4) Cannabis-related businesses (c) Any cannabis-related business or lower-potency hemp edible business licensed by the State of Minnesota under Minn. Stat. 342 shall be subject to the following requirements, in addition to any specific standards in this section, and other reasonable regulations required as a condition of any zoning permit issued for such uses. 10. Buffers. No cannabis-related business use shall be located closer to any property occupied by any of the following uses, unless the buffer is bisected by Interstate 94, in which case the buffer measurement shall not be extended on the opposing side of the interstate. Buffers are measured as a horizontal distance from the closest point of the property on which the cannabis business is located to the closest point of the property occupied by: a. School: 1,000 feet. b. Daycare: 500 feet from any day care facility that is located in a zoning district where cannabis businesses are not allowed. This buffer shall not apply to day care facilities that are located in a zoning district in which a cannabis business is allowed. c. Residential treatment facility: 500 feet. d. Public park: 500 feet from attractions within a public park regularly used by minors. Public parks included shall be as identified in the city's most currently adopted park system or master plan. This buffer shall not apply to sidewalks or trails, or other public lands. ORDINANCE NO. 858 2 Section 2. Section § 153.091(E) Regulations for commercial uses is hereby amended as follows: (7) Cannabis Retail Business. Including Cannabis Retailer, Medical Cannabis Retailer, Medical Cannabis Combination Business with Retail Location, Cannabis Microbusiness Retail Location, and Cannabis Mezzobusiness Retail Location shall be subject to the following standards: (a) Cannabis Retailers as enumerated above shall comply with all of the requirements of § 153.091(C) (A). Section 3. Section § 153.091(F) Regulations for industrial uses is hereby amended as follows: (19) Industrial cannabis businesses. Including the following cannabis-related uses: cultivator; manufacturer; wholesaler; transporter; testing facility; delivery service; mezzobusiness; microbusiness; any such business that conducts these activities for lower-potency hemp enterprises; any such business that conducts these activities for medical cannabis enterprises; or any other cannabis-related business enterprise that is not expressly and solely a retail business, shall be subject to the following standards: (a) Industrial cannabis businesses shall comply with all of the requirements of § 153.091(C) (A). (b) The entire site other than that taken up by a building, structure, or plantings shall be paved. (c) A drainage system subject to the approval of the Community Development Department shall be installed. (d) The lighting shall be accomplished in such a way as to have no direct source of light visible from adjacent land in residential use or from the public right -of-way and shall be in compliance with § 153.063. (e) In an I-1 District, when abutting a residential use, the property shall be screened with an opaque buffer (Table 4-2, Buffer Type "D") in accordance with § 153.060(G). (f) In the I-1 and I-2 District, no parcel may be used for cannabis-related business if such parcel abuts a residential district. (g) All signing and informational or visual communication devices shall be minimized and shall be in compliance with § 153.064. (h) Provisions are made to control and reduce noise. (i) Waste-handling equipment and processes shall be enclosed and indoors. (j) No outside storage shall be allowed for any cannabis-related business. Parking of delivery or transport vehicles shall occur only in designated spaces, and shall not be considered outside storage. (k) Cannabis cultivation uses as part of any industrial cannabis business shall be subject to the following additional requirements: 1. Cannabis cultivators shall limit site and/or building lighting to ensure that light at the property line is measured at 0.0 footcandles. ORDINANCE NO. 858 3 2. All lighting shall be hooded, downcast, and not create glare to any other property. 3. All buildings shall comply with the city's zoning and building regulations, and be adaptable to other non -cultivation us Section 4. The City Clerk is hereby directed to make the changes required by this Ordinance as part of the Official Monticello City Code, Title XV, Zoning Ordinance, and to renumber the tables and chapters accordingly as necessary to provide the intended effect of this Ordinance. The City Clerk is further directed to make necessary corrections to any internal citations that result from said renumbe ring process, provided that such changes retain the purpose and intent of the Zoning Ordinance as has been adopted. Section 5. This Ordinance shall take effect and be in full force from and after its passage and publication. The ordinance in its entirety and map shall be posted on the City website after publication. Copies of the complete Ordinance and map are available online and at Monticello City Hall for examination upon request. ADOPTED BY the Monticello City Council this 22nd day of September, 2025. __________________________________ Lloyd Hilgart, Mayor ATTEST: ___________________________________ Jennifer Schreiber, City Clerk AYES: NAYS: Cou n t y H w y 7 5 Chels e a R d Sta t e H w y 2 5 85th St NE 90th S t N E Lin n S t Pin e S t E 7th S t School Blvd Riverview Dr Ced a r S t W Ri v e r S t M a r v i n R d Jason Ave NE Dundas Rd W Br o a d w a y S t H a r t B l v d Co u n t r y L n Ha u g A v e N E Elm S t W 4t h S t Fe n n i n g A v e N E Oa k w o o k D r Mallard Ln 95th St NE Fa l l o n A v e N E Ed m o n s o n A v e N E Mississi p p i D r W 5t h S t W 7 t h S t Sa n d b e r g R d Pe l i c a n L n Falcon Dr Fe n n i n g A v e N E Waln u t S t Oa k R i d g e D r N Or i o l e L n Club View Rd Br o a d w a y S t Hillcrest Rd E Riv e r S t Hedm a n L n Mi l l T r a i l L n Fa l l o n A v e N E Wrig h t S t New S t Ma r v i n E l w o o d R o a d Ram s e y S t W 6t h S t River Mill D r Wildwood Way Hilltop Dr Mill Run Rd Oakview Ln Fa r m s t e a d A v e Martin Dr E 3rd S t E 3rd S t Re d R o c k L n Gil l a r d A v e N E Map l e S t Fallon Dr Will o w S t Eas t w o o d L n Gr a y s t o n e A v e Ma r v i n E l w o o d R d Fie l d c r e s t C i r Fa i r w a y D r Jaso n A v e N E Vin e S t Meadow Ln Jer r y L i e f e r t D r Praire Road Starling Dr Palm S t Fa l l o n A v e N E Golf Course Rd Fall o n A v e N E Kevin Longley Dr Cra i g L n Re d O a k L n Fron t S t W 5 t h S t Thomas Park Dr Loc u s t S t Mockingbird Ln W 3r d S t Ea s t w o o d C i r Briar Oaks Blvd F a r m s t e a d D r Hen n e p i n S t Ei d e r L n Oak L n River Forest Dr Meadow Oak Ave Kampa Cir O a k R i d g e C i r Mill Ct River Ridge Ln Oa k v i e w C t Du n d a s C i r Ke n n e t h L n Ot t e r C r e e k R d Min n e s o t a S t Ea g l e C i r Cro c u s L n M e a d o w O a k L n Stoneridge Dr Che s t n u t S t 120th St N E Da r r o w A v e N E Diamond Dr Pebblebrook Dr Wi d g e o n L n Wash i n g t o n S t Bu n k e r C i r Hom e s t e a d D r Th o m a s C i r E n d i c o t t T r Ce n t e r C i r Oak v i e w C i r Sa n d t r a p C i r Country Cir Cheyenne Ct Te r r i t o r a l R d Ta n a g e r C i r Hillc r e s t C i r Osprey Cir Ac o r n C i r Ba l b o u l C i r S w a l l o w C i r Riverside C i r Me a d o w O a k C t Ma t t h e w C i r East Oak Dr Stonerid g e C i r Oa k w o o d D r Mea d o w O a k D r Co u n t y H w y 7 5 Har t B l v d Mi n n e s o t a S t Elm S t Wri g h t S t 90th St NE Ced a r S t Min n e s o t a S t 1 2 3 4 7 5 8 9 10 11 12 6 13 14 15 16 17 18 19 21 20 22 23 2426 25 City of Monticello Official Zoning Map :Legend BASE ZONING DISTRICTS PUD Districts Residential Districts -- Low Residential Densities A-O R-A R-1 Business Districts B-1 B-2 B-3 B-4 CCD* -- Medium Residential Densities T-N R-2 R-PUD -- High Residential Densities R-3 R-4 M-H Mills Fleet Farm Red Rooster Swan River Monticello High School 01 02 03 04 05 06 07 08 Spaeth Industrial Park Camping World Affordable Storage Autumn Ridge Villas OTHER Water Industrial Districts IBC I-1 I-2 OVERLAY DISTRICTS Shoreland District** Special Use Overlay District ! !! !! Freeway Bonus Sign District 09 Rivertown Suites 10 Monticello RV 11 Deephaven 12 Twin Pines 13 UMC 14 Edmonson Ridge 18 Monticello Lakes 17 Stony Brook Village 16 Storagelink Monticello 15 Nuss Truck and Equipment Addition 1 inch = 2,500 feet 0.2% Floodplain Boundary** 19 Hoglund Bus Park 20 Block 52 21 Country Club Manor 2nd Addition 22 Haven Ridge 2nd Addition 23 Great River Addition Mississippi Wild, Scenic & Rec Overlay District** *See CCD and Pointes at Cedar Sub-District Appendix Zoning Maps **See Floodplain, Shoreland, and MWSRR Appendix Zoning Map ***Floodplain is established and effective per FIRM panels 27171C0155D, 27171C0160D, 27171C0160D, 27171C0170D, 27171C0190D PCD* 1% Floodplain Boundary** 24 Big River Addition 25 Haven Ridge West 26 Cedar Street Storage Adopted January 13th, 2025 CANNABIS BUFFERSRELATING TO I-94 A B Interstate 94 shown with white dashed line Interstate 94 shown with white dashed line CANNABIS BUFFERS CITY OF MONTICELLO C D Interstate 94 shown with white dashed line Interstate 94 shown with white dashed line 94 94 August 28, 2025 Map Powered By Datafi m 1 in = 3,508 Ft Residential/Industrial Map – Abutting Parcels City Boundary Zoning District - A-O: Agriculture/Open Space Zoning District - R-A: Residential Amentities Zoning District - R-1: Single Family Residential Zoning District - T-N: Traditional Neighborhood Residence Area Zoning District - R-2: Single Family and 2 Family Residential Zoning District - R-PUD: Residential Planned Unit Development Zoning District - R-3: Medium Density Residential Zoning District - R-4: High Density Residential Zoning District - M-H: Manufactured Home Park District Zoning District - I-1: Light Industrial Zoning District - I-2: Heavy Industrial Gabler, Hilgart, Hinz, Martie and Murdoff None None Ordinance No. 835: Exhibit A Table 5-1C, Cannabis Business Uses A- O R-A R-1 R-2 TN R-3 R-4 B-1 B-2 B-3 B-4 CCD PCD IBC I-1 I-2 Additional Requirements Commercial Uses Cannabis Retailer N N N N N N N N N P P N N N N N § 153.091(E)(7) Cannabis Microbusiness - Retail Location Only N N N N N N N N N P/C* P/C* N N N N N § 153.091(E)(7) *CUP required for on- site consumption CUP Cannabis Mezzobusiness – Retail Location Only N N N N N N N N N P P N N N N N § 153.091(E)(7) Medical Cannabis Retailer N N N N N N N N N P P N N N N N § 153.091(E)(7) Medical Cannabis Combination Business – Retail Location Only P P § 153.091(E)(7) Lower Potency Hemp Edible Retailer N N N N N N N N P P P N N N N N § 153.091(E)(7) Temporary Cannabis Event N N N N N N N N N A A N N N N N § 153.093(E)(12) § 96.21 - § 96.25 Industrial Uses Cannabis Cultivator N N N N N N N N N N N N N N C P §153.091(F)(7) § 153.091(F)(7) Cannabis Manufacturer N N N N N N N N N N N N N N C P § 153.091(F)(7) Cannabis Microbusiness N N N N N N N N N N N N N N C P § 153.091(F)(7) Cannabis Mezzobusiness N N N N N N N N N N N N N N C P § 153.091(F)(7) Cannabis Wholesaler N N N N N N N N N N N N N N C P § 153.091(F)(7) Cannabis Transporter N N N N N N N N N N N N N N C P § 153.091(F)(7) Cannabis Testing Facility N N N N N N N N N N N N N N C P § 153.091(F)(7) Cannabis Delivery Service N N N N N N N N N C* C* N N N C P § 153.091(F)(7) *Accessory only to Licensed Cannabis or Lower-Potency Hemp Retail in B-3 or B-4 Medical Cannabis Processor N N N N N N N N N N N N N N C P § 153.091(F)(7) Medical Cannabis Combination Business N N N N N N N N N N N N N N C P § 153.091(F)(7) Lower Potency Hemp Edible Manufacturer N N N N N N N N N N N N N N C P § 153.091(F)(7) N- Not Allowed P - Permitted C - Conditional I - Interim A - Administrative Gabler, Hilgart, Hinz, Martie and Murdoff None None Voting in Favor: Christianson, Gabler, Hilgart, Hinz, and Martie Voting in Opposition: None Voting in Favor: Christianson, Gabler, Hilgart, Hinz, and Martie Voting in Opposition: None City Council Agenda: 9/22/2025 1 2N. Consideration of approving a contract with Hakanson Anderson for engineering services for the Monticello Public Library Site Improvements project in the amount of $32,700 Prepared by: Public Works Director/City Engineer Meeting Date: 9/22/2025 ☒ Consent Agenda Item ☐ Regular Agenda Item Reviewed by: Facilities Maintenance Manager, Community Development Director, Finance Director Approved by: City Administrator ACTION REQUESTED Motion to approve a contract with Hakanson Anderson for engineering services for the Monticello Public Library Site Improvements project in the amount of $32,700. REFERENCE AND BACKGROUND The City received a Community Facility Projects Grant from the Minnesota Department of Education for improvements to the Monticello Public Library. The $500,000 grant would fund the following library improvements, with no local match anticipated: • Upgrading the HVAC system controls • Installing a fire monitoring system • Completing site improvements, including ADA upgrades and parking lot rehabilitation A request for proposals was issued for the site improvements, which are proposed to include completing: • A mill and overlay of the bituminous parking lot surface • Spot repair of concrete curb, gutter, and sidewalk • Replacement of all non-compliant ADA ramps and sidewalk Three proposals were received for design and construction engineering services: • WSB - $42,873 • Bolton and Menk, Inc. - $36,807 • Hakanson Anderson - $32,700 Design engineering is expected to be completed in 2025, with bidding anticipated for early 2026 and construction scheduled for completion later that year. Throughout the project the contractor will coordinate with the Monticello Public Library to minimize construction impacts. City Council Agenda: 9/22/2025 2 Coordination will also be required with the Parks and Recreation Department to address potential impacts on the Monticello Farmers Market. I. Budget Impact: The project isn’t included in the 2025 budget. However, the project would be funded from grant funds received, so there is no impact to the fund balance in the Capital Projects Fund. II. Staff Workload Impact: Staff time scoping and reviewing construction bid documents is anticipated to be approximately 20 hours. III. Comprehensive Plan Impact: The Monticello 2040 Comprehensive Plan outlines several chapters that directly support ADA upgrades and site improvements for the Monticello Public Library. Chapter 4: Mobility and Connectivity emphasizes the importance of accessible pedestrian infrastructure, including sidewalks and pathways that comply with ADA standards, ensuring equitable access to public facilities like the library. Chapter 8: Community Facilities and Infrastructure identifies the need for maintaining and upgrading public buildings to meet modern accessibility standards, directly supporting ADA improvements at the library. These chapters collectively guide the city’s commitment to inclusivity and accessibility in public infrastructure through 2040. STAFF RECOMMENDED ACTION City staff recommend approving the contract with Hakanson Anderson. SUPPORTING DATA N/A City Council Agenda: 9/22/2025 1 2O. Consideration of approving a contract with Huber Technology, Inc. for maintenance of the screw press at the Wastewater Treatment Plant in the amount of $61,106.54 Prepared by: Public Works Director/City Engineer Meeting Date: 9/22/2025 ☒ Consent Agenda Item ☐ Regular Agenda Item Reviewed by: Finance Director Approved by: City Administrator ACTION REQUESTED Motion to approve a contract with Huber Technology, Inc. for maintenance of the screw press at the Wastewater Treatment Plant in the amount of $61,106.54. REFERENCE AND BACKGROUND In 2013, the City of Monticello transitioned away from land-applying sludge produced from the wastewater treatment process and installed a sludge dewatering screw press. Since installation, only routine maintenance has been completed, such as minor replacement of small components. During this time, the screw press has logged approximately 9,000 hours of operation, although the manufacturer recommends major maintenance, including replacement of brushes and bearings, every 3,000 hours. Staff propose to complete more comprehensive maintenance to preserve the life of the equipment. To complete the work, Veolia will take the screw press offline and utilize an existing 650,000-gallon holding tank to store the sludge. The maintenance work is expected to take approximately two weeks. The scope of work includes disassembling and rebuilding of the screw press components. Because of this, it is recommended to have the manufacturer, Huber Technology, perform the work. The company provided a quote of $61,106.54. If authorized, the project is anticipated to be completed in late 2025 or early 2026. I. Budget Impact: The 2025 Sewer Fund Budget includes $332,000 for the replacement of roofs at the wastewater treatment plant. Bids for these roofs came in under the estimate, and it is proposed these funds be utilized for this project. However, if the rooftops required the full budgeted amount, the Sewer Fund repair and maintenance budget has sufficient funds to cover the costs associated with this project. II. Staff Workload Impact: City and Veolia staff will be involved in project inspection and contract administration. Staff time is estimated at approximately 20 hours for the project. City Council Agenda: 9/22/2025 2 III. Comprehensive Plan Impact: Chapter 6: Public Utilities of the Monticello 2040 Comprehensive Plan emphasizes the importance of maintaining essential infrastructure to ensure reliable service delivery and long-term operational efficiency. This project aligns with the city's vision for sustainable infrastructure investment, as outlined in Chapter 10: Implementation, which encourages maintenance to extend the life of public facilities and support future growth. STAFF RECOMMENDED ACTION City staff recommend approving the contract with Huber Technologies, Inc. for maintenance of the screw press for $61,106.54. SUPPORTING DATA • Quote City Council Agenda: 9/22/2025 1 4A. Consideration of adopting Resolution 2025-59 approving the City of Monticello Economic Development Authority special benefit levy of $504,000 and accepting the preliminary 2026 EDA general fund budget of $590,000 Prepared by: Finance Director Meeting Date: 9/22/2025 ☐Consent Agenda Item ☒Regular Agenda Item Reviewed by: Community Development Director Approved by: City Administrator ACTION REQUESTED Motion to adopt Resolution 2025-59 approving the City of Monticello Economic Development Authority special benefit levy of $504,000 and accepting the preliminary 2026 EDA general fund budget of $590,000. REFERENCE AND BACKGROUND On August 13, 2025, the Economic Development Authority (EDA) adopted its 2026 HRA tax levy and preliminary general fund budget. The proposed 2026 HRA levy will be the eleventh year of the special benefit levy. State law limits the HRA levy to 0.0185% of the City’s estimated market value of taxable property within its jurisdiction, which is currently estimated at $2,727,750,300 for tax collection year 2026. The EDA recommended setting the levy consistent with the limit of 0.0185%. The proposed 2026 HRA levy is $504,000, an increase of $5,000 (1.0%) over the 2025 levy of $499,000. The City Council must approve or deny the HRA levy. In addition to approving the special benefit levy, the City Council is asked to accept the EDA’s preliminary 2026 general fund budget. The proposed budget of $590,000 is an increase of $58,000 over the 2025 budget of $532,000 and represents a balanced budget. The preliminary 2026 budget includes recommendations from the recent classification and compensation study and cost of labor adjustments for staff, along with continued support for redevelopment activities in conjunction with ongoing workplan activities. Additional funding from interest 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 EDA (HRA) Levy $280,000 $280,000 $323,000 $348,000 $355,000 $366,300 $388,000 $402,000 $451,000 $499,000 $504,000 $0 $200 $400 $600 Th o u s a n d s EDA (HRA) Levy City Council Agenda: 9/22/2025 2 earned on investments in the EDA Fund also supports the increase in general fund budget. City staff and the EDA anticipate continued progress on the 2025-2027 work plan adopted by the EDA on March 12, 2025. Key priorities include a focus on life-cycle housing, redevelopment efforts on Block 34 and elsewhere downtown, marketing of City/EDA-owned downtown properties, continuation of the Downtown Façade Improvement Program, and strategic land acquisition to facilitate local development. While the EDA has specific authorities granted by state statute, the City Council retains several options to exercise oversite throughout the year. These include: 1. Filing of annual budget (required) 2. Joint meetings for purchase or sale of property 3. Presentation of annual Economic Development Activities report 4. Work Plan ratification (required) 5. Annual consideration for adoption of levy (required) The levy information must be adopted and provided to Wright County by September 30, 2025. The HRA levy is clearly identified on the tax statements as a separate levy. Final Council adoption of the HRA levy, together with the City’s levy, will occur on December 8, 2025. I. Budget Impact: Increases EDA tax levy revenue by $5,000 from $499,000 to $504,000. II. Staff Workload Impact: None. III. Comprehensive Plan Impact: None. STAFF RECOMMENDED ACTION City staff recommends adopting Resolution 2025-59 approving the City of Monticello Economic Development Authority special benefit levy of $504,000 and accepting the preliminary 2026 EDA general fund budget of $590,000. SUPPORTING DATA A. Draft Resolution 2025-59 B. EDA Resolution 2025-7 C. Preliminary 2026 EDA General Fund Budget D. EDA 2025-2027 Work Plan 4938-5478-6139.1 CITY OF MONTICELLO WRIGHT COUNTY, MINNESOTA RESOLUTION NO. 2025-59 APPROVING A SPECIAL BENEFIT LEVY BY THE CITY OF MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY WHEREAS, pursuant to Minnesota Statutes, Sections 469.090 to 469.1082, as amended, (the “EDA Act”), the City of Monticello, Minnesota (the “City”) previously established the City of Monticello Economic Development Authority (the “Authority”); and WHEREAS, pursuant to the EDA Act, the Authority is authorized to exercise all powers and duties of a housing and redevelopment authority under the provisions of Minnesota Statutes, Sections 469.001 to 469.047 (the “HRA Act”); and WHEREAS, Section 469.033, subd. 6, of the HRA Act permits the Authority to levy and collect a special benefit tax of up to 0.0185 percent of taxable market value in the City, levied upon all taxable real property within the City, WHEREAS, the special benefit tax levy authorized by Section 469.033, subd. 6 of the HRA Act is separate and distinct from the City’s levy and is not subject to levy limits; and WHEREAS, the Authority has adopted a budget for fiscal year 2026 that provides for the levy of a special benefits tax in the amount of 0.0185 percent of taxable market value in the City, to be used for its redevelopment activities, and has submitted such budget to the City pursuant to Minnesota Statutes, Section 469.033, Subdivision 6; and WHEREAS, the Authority has adopted a resolution approving the levy of a special benefit tax in the amount of 0.0185 percent of taxable market value in the City, subject to approval of such special benefit tax by the City. NOW, THEREFORE, BE IT RESOLVED by the City Council (the “City Council”) of the City of Monticello as follows: 1. The City Council of the City hereby accepts the budget submitted by the Authority for the fiscal year 2026. 2. The City Council of the City hereby approves the levy by the Authority of a special benefit tax pursuant to Minnesota Statutes, Section 469.033, Subdivision 6, in an amount not to exceed $504,000 with respect to taxes payable in calendar year 2026. 4A (1) 4938-5478-6139.1 2 Approved by the City Council of Monticello, Minnesota this 22nd day of September, 2025. Mayor ATTEST: City Clerk 4A (2) 4A (3) 4A (4) 2023 2024 2025 2025 2026 % Account Number Account Description ACTUAL ACTUAL BUDGET THRU 9/10 BUDGET CHANGE 213-00000-310110 CURRENT AD VALOREM TAXES 401,266$ 448,962$ 499,000$ 256,161$ 504,000$ 1.0% 213-00000-310210 DELINQUENT AD VALOREM TAXES 473 2,607 - 1,158 - --- 213-00000-310310 MANUFACTURED HOME TAX - - - - - --- 213-00000-319100 PENALTIES & INT - TAX 68 787 - 118 - --- 213-00000-334235 STATE GRANT 344,993 294,248 - 12,678 - --- 213-00000-362110 INTEREST EARNINGS - INVESTMENTS 206,517 159,232 27,000 - 75,000 177.8% 213-00000-362200 RENTAL OF CITY PROPERTY - - - 3,072 - --- 213-00000-362300 CONTRIBUTIONS 3,300 11,940 - (275) - --- 213-00000-362400 SALE OF PROPERTY - - - - - --- 213-00000-362900 OTHER MISCELLANEOUS REV - - - - - --- 213-00000-392000 OPERATING TRANSFERS IN 3,950 5,114 6,000 - 6,000 0.0% 213-41911-349655 ENGINEERING - BILLABLE PROJECTS 1,281 8,238 - - 5,000 --- TOTAL EXPENDITURES 961,848$ 931,128$ 532,000$ 272,912$ 590,000$ 10.90% 2023 2024 2025 2025 2026 % Account Number Account Description ACTUAL ACTUAL BUDGET THRU 9/10 BUDGET CHANGE 213-41911-431990 MISC PROFESSIONAL SERVICES 1,281$ 8,238$ -$ -$ 5,000$ --- 213-46301-410100 SALARIES, FULL TIME - REG 125,789 132,600 158,036 108,685 169,043 7.0% 213-46301-410200 SALARIES, FULL TIME - OT 903 630 500 716 500 0.0% 213-46301-410300 SALARIES, PART TIME - REG 12,005 5,021 7,200 2,636 7,197 0.0% 213-46301-411100 SEVERANCE PAY - 1,599 - - - --- 213-46301-411110 SEVERANCE BENEFITS - - 1,000 - 1,000 0.0% 213-46301-412100 PERA CONTRIBUTIONS 9,411 9,828 11,890 8,206 13,256 11.5% 213-46301-412200 FICA CONTRIBUTIONS 10,189 10,399 12,679 8,393 13,521 6.6% 213-46301-413100 HEALTH/DENTAL/LIFE INSURAN 19,646 15,101 33,715 14,433 35,063 4.0% 213-46301-413250 HSA CONTRIBUTIONS 5,722 4,259 - 3,675 - --- 213-46301-413300 LIFE INSURANCE CONTRIBUTIONS 120 123 - 109 - --- 213-46301-413400 DISABILITY INS CONTRIBUTIONS 735 718 - 602 778 --- 213-46301-415100 WORKERS COMP INSURANCE 2,268 2,467 3,442 2,245 3,724 8.2% 213-46301-421990 GENERAL OPERATING SUPPLIES 35 - 500 106 550 10.0% 213-46301-430300 PROF SRV - ENGINEERING FEE - - 5,000 - 5,000 0.0% 213-46301-430400 PROF SRV - LEGAL FEES 21,780 32,933 22,500 11,113 23,800 5.8% 213-46301-431990 MISC PROFESSIONAL SERVICES 134,078 22,228 54,000 29,652 54,500 0.9% 213-46301-431991 MISC PROFESSIONAL SERVICES - PROPERTY MGMT 2,566 2,566 4,300 1,711 4,650 8.1% 213-46301-431993 MISC PROFESSIONAL SERVICES - ECON DEV SVCS 19,777 22,851 19,000 - 16,000 -15.8% 213-46301-432100 TELEPHONE STIPEND 780 780 780 380 780 0.0% 213-46301-432150 IT SERVICES 3,473 3,353 3,456 2,592 3,551 2.7% 213-46301-432200 MAIL & DELIVERY SERVICES 462 147 300 23 480 60.0% 213-46301-433100 TRAVEL/TRAINING EXPENSE 5,120 1,182 3,750 3,757 4,800 28.0% 213-46301-434990 ADVERTISING & MARKETING 5,000 18,351 47,000 5,850 51,200 8.9% 213-46301-435100 LEGAL NOTICE PUBLICATION 398 1,477 650 187 850 30.8% 213-46301-436100 INSURANCE - LIABILITY/PROPERTY/VEHICLE 3,395 4,259 2,350 2,801 3,432 46.0% 213-46301-437100 PROPERTY TAXES - 58,658 2,250 3,573 3,000 33.3% 213-46301-438100 UTILITIES - GAS/ELECTRICITY 10 1,653 100 2,084 1,750 1650.0% 213-46301-438200 WATER/SEWER 78 1,009 150 512 1,200 700.0% 213-46301-440100 REPAIR & MTC - BLDG & SYSTEMS - - - - 150 --- 213-46301-440200 REPAIR & MTC - FACILITIES MAINTENANCE 1,512 1,119 650 488 199 -69.4% 213-46301-443300 DUES, MEMBERSHIP & SUBSCRIP 6,796 7,416 11,000 6,999 12,750 15.9% 213-46301-461500 REDEVELOPMENT ACTIVITIES 4,500 6,578 124,602 - 150,776 21.0% 213-46301-443990 MISCELLANEOUS OTHER EXP 603,370 867,884 1,200 116,803 1,500 25.0% 213-46301-472030 OPERATING TRANSFER OUT - - - - - --- 213-46601-443990 MISCELLANEOUS OTHER EXP - - - - - --- TOTAL EXPENDITURES 1,001,199$ 1,245,427$ 532,000$ 338,331$ 590,000$ 10.9% EDA GENERAL FUND DRAFT 2026 EXPENDITURES BUDGET EDA GENERAL FUND DRAFT 2026 REVENUES BUDGET 4A (5) 1 | P a g e MONTICELLO ECONOMIC DEVELOPMENT AUTHORITY 2025-2027 ECONOMIC DEVELOPMENT WORK PLAN EDA Purpose: The EDA is charged with coordinating and administering the City of Monticello’s economic development and redevelopment plans and programs. The EDA is also responsible for housing and housing redevelopment. EDA Work Plan Mission Statement: The EDA’s work plan is adopted in support of achieving the goals of the Monticello 2040 + Comprehensive Plan. The EDA will be proactive by developing and undertaking actions for achievement of the Comprehensive Plan’s Economic Development goals and will be reactive in responding to economic development opportunities as they arise in the most timely and effective manner possible. The EDA shall utilize the Economic Development Implementation Chart contained in the Comprehensive Plan as a guiding document creating its 2022-2024 Work Plan. Comprehensive Plan Goals: 1. Business Attraction and Retention 2. Tax Base Expansion 3. Downtown Vitality 4. Redevelopment and Reinvestment 5. Life Cycle Housing 6. Workforce Development 7. Promotion and Partnerships 8. Opportunity Focus Areas 4A (6) 2 | P a g e GOAL #1: BUSINESS ATTRACTION AND RETENTION Policy 1.1. Business and Employment Retention Strategies: 1. Maintain a strong Business Retention and Expansion (BR&E) program to monitor opportunities for continued growth and expansion of businesses as well as the continued relationship development between the City and existing businesses. 2. Identify and support companies that are expanding and adding employees. 3. Identify and promote programs that assist existing companies in expansion and creation of new jobs. 4. Assist and support companies in accessing business assistance programs including financing and educational programs. 5. Bring Businesses and Educations Organizations together to create training programs to foster new living wage opportunities. Policy 1.2: Local Business Support Strategies: 1. Facilitate relationships with existing businesses on the expansion, redevelopment and improvement of their buildings and facilities. 2. Utilize façade rehabilitation programs, small business loans, grants and other tools to encourage property reinvestment and support local businesses. 3. Foster partnerships and maintain networking relationships through BR&E (business retention and expansion) visits and business feedback roundtable meetings with the goal of sharing information and maintaining communication in support of existing businesses. GOAL #2: TAX BASE EXPANSION Policy 2.1: Diversify economic sectors to broaden the base of available living wage employment in the community. Strategies 1. Capitalize on the proximity to the I-94 regional transportation facilities, available land and educated and skilled workforce to create opportunities for job growth. 2. Inventory existing industry clusters by attracting similar and complementary businesses. 3. Work with existing business clusters to expand the attraction of supply chain companies. 4. Recognize changing land use patterns for industrial parks, and other or alternative uses such as co-working spaces. 4A (7) 3 | P a g e Policy 2.2: Maintain a business development and job creation toolbox to assist existing and future businesses. Strategies: 1. Identify and communicate new or innovative state and federal programs or grants which could be leveraged to support business development. 2. Proactively support small business start-up efforts through programs, collaborative efforts and various tools available for small businesses. Policy 2.3. Work collaboratively with partners to foster the attraction of new businesses. Strategies: 1. Continue to support the IEDC interactions within the Wright County Workforce Pathways efforts in addressing workforce needs and training. 2. Consider IEDC recommendations and be prepared to be a partner in potential solutions based on WCWFP findings. 3. Partner with Wright County EDA on infrastructure and development project funding as warranted. GOAL #3: DOWNTOWN VITALITY Policy 3.1: Implement the recommendations of the Downtown Small Area Plan. Strategies: 1. Support and advocate for improvements to the downtown area as envisioned in the Small Area Plan and Walnut Street Corridor Plan. 2. Develop and support the appropriate policies, programs, and incentives that enable the type of development described in the Plan. 3. Continue to build a funding base for use in property acquisition and redevelopment efforts in targeted areas. 4. Implement a façade improvement program for desired revitalization areas. 5. Continue to meet with downtown property owners with the goal of relationship building in informal group settings (Downtown Rounds) or individually and to understand their concerns with traffic, parking, land use and possible reinvestment in their property as well as willingness to sell, partner, desired price, etc. 6. Encourage continued incorporation of arts as an economic development tool for Downtown Monticello and the community at large. 7. Support opportunities for park and pathway development as consistent with the Downtown Small Area Plan. 8. Encourage the redesign of the pathway connection under the MN-TH #25 bridge to incorporate safety elements and improved lighting. 9. Ensure that greenway and pedestrian/cycle connections are considered within the downtown and from the downtown to other areas within the community. 10. Support park improvements in the downtown area. 4A (8) 4 | P a g e GOAL #4: REDEVELOPMENT & REINVESTMENT Policy 4.1: Redevelopment: Continue to support redevelopment efforts for publicly owned properties in Block 52, Block 34 and other EDA owned sites. Strategies: 1. Remain open to and analyze strategic opportunities for redevelopment throughout the community. 2. Proactively market Block 34, the Cedar/Broadway site, 4th Street site, West River Street parcel and the West 7th Street land tract to the commercial and residential development community towards a goal of attaining the highest and best use. 3. Engage with developers in an effort to identify an appropriate scale of redevelopment in Block 34 and support such efforts through the use of available economic development tools. GOAL #5: LIFE-CYCLE HOUSING Policy 5.1: Actively promote and seek opportunities for the development of a wide variety of housing types, styles and price points as a mechanism to support and attract employment. Strategies: 1. Develop revised policy statements for housing which address the identified 2023 Housing Study needs. 2. Continue to market workforce housing development on EDA owned land or at suitable sites in the City, including the Downtown. 3. Support efforts by private and non-profit entities to develop affordable housing projects utilizing state and federal programs. 4. Examine the use and application of available housing TIF dollars per the 2016 TIF Management Plan and the Direct Housing Aide funding as well as the adopted Policy Statements for Available TIF Funds. 5. Continue to periodically examine housing stock for aging or blighted properties and research development of programs for redevelopment and/or revitalization of existing housing. 6. Market the availability of incentives/subsidies available for development of housing. GOAL #6: WORKFORCE DEVELOPMENT Policy 6.1. Diversified and Skilled Workforce Strategies: 1. Support interactions with local organizations to address workforce needs and training. 2. Partner with Wright County Workforce Pathways (WCWFP) on solutions for workforce needs and training. 4A (9) 5 | P a g e 3. Promote Central Minnesota Jobs and Training Services as an option to Community College or university for students seeking alternative careers in the trades, manufacturing, and similar sectors. 4. Support the development of a plan to market living wage employment opportunities aimed at the local commuter workforce GOAL #7: PROMOTION & PARTNERSHIPS Policy 7.1: Create and maintain a comprehensive Marketing & Communication Strategy for priority sectors and locations. Strategies: 1. Identify community partners that can be regularly engaged and advised on economic development activities and events. 2. Engage with partners in the development and implementation of strategic marketing plans, including creation of an overall economic development brand, for various focus audiences and sectors of development; residential, commercial and industrial and redevelopment. 3. Incorporate the marketing of EDA incentive programs in a more proactive manner, both within the community and beyond, a. Present existing and new incentive programs to smaller community groups, local banks, realtors, and local businesses either in an informal group session or a formal roundtable format. b. Develop and communicate a “complete” development package program which provides support and assistance to prospects and developers from inquiry to construction. c. Measure the effectiveness of the marketing efforts to guide adjustments as needed. 4. Market industrial development at the Monticello Business Center (Otter Creek Business Park) to a broad variety of prospects as guided by the Comprehensive Plan. a. Focus on prospects which serve or rely on the St. Cloud and Twin Cities markets. b. Focus on supply chain prospects. 5. In collaboration with the IEDC, communicate with current business and industry in support of Business Retention & Expansion. a. Engage in informal business and industry small group meetings and explore potential format of helpful formal round tables meetings. b. Work with the Monticello Times to do a business spotlight or profile article two times per year. c. Leverage the networks of existing commercial and industrial entities currently doing business in and around Monticello. Policy 7.2: Engage as a partner in local and regional planning and development opportunities. Strategies: 1. Monitor the regional planning efforts of the Central Mississippi River Regional Planning Partnership (CMRRPP) and engage with feedback as requested. 4A (10) 6 | P a g e 2. Consider funding and/or completing studies that provide policy and strategy framework for desired land uses/or projects in the downtown and for other programs. 3. Monitor commuter rail development in and around the Twin Cities metro region for potential benefits and opportunities to serve Monticello. GOAL #8. OPPORTUNITY FOCUS AREAS Policy 8.1: Opportunity Focus Areas 1. Maintain open lines of communication with property and business owners to understand their long-term development objectives. 2. Consider strategies, loans, grants and other financing methods to boost reinvestment and improvements. 3. Encourage public infrastructure investment in these areas in an effort to support private investment. 4. Focus on additional outreach with the downtown businesses with a goal of further enhancing and supporting a dynamic vibrant core downtown area. Policy 8.2: Support community quality-of-life initiatives which act as economic development tools. Strategies: 1. Encourage and support coordinated planning and development of parks, trails in or near business districts. 2. Increase the visibility of the intersection of all amenities including parks and trails with the economic hubs of the city. 3. Support the development of Bertram Chain of Lakes Regional Park, including community Connections. Appendix: Monticello 2040 Vision + Plan, Economic Development and Implementation 4A (11) City Council Agenda: 9/22/2025 1 4B. Consideration of adopting Resolution 2025-60 setting the 2026 preliminary tax levy Prepared by: Finance Director Meeting Date: 9/22/2025 ☐ Consent Agenda Item ☒ Regular Agenda Item Reviewed by: N/A Approved by: City Administrator ACTION REQUESTED Motion to adopt Resolution 2025-60 setting the 2026 preliminary tax levy. REFERENCE AND BACKGROUND The City is required to certify a preliminary levy to the County Auditor/Treasurer on or before September 30 each year. The preliminary levy will be used for the Truth-In-Taxation notices sent to property owners in November. If the City fails to certify a preliminary levy by September 30, the county auditor will use the prior year’s final levy for property tax notices. The final levy adopted in December can be lower but not higher than the preliminary levy. Because a final tax capacity is not yet available from Wright County, staff are only able to estimate the tax capacity using known changes to the taxable market value as follows: new construction (residential $24.3M, commercial & industrial $8.1M, apartments $39.8M) and inflation in valuations (residential $38.4M, commercial & industrial $13.6M, apartments $6.5M). The decrease in existing residential values is due to the shift of market value exclusion during the state’s 2023 legislative session. Additionally, the taxable market value of the Xcel Nuclear Generating Plant will increase $70M (10.2%) even after Xcel contested their preliminary valuation and subsequently settled with the Department of Revenue on an adjustment. After multiplying the market value changes by the average rate in each tax class (ranging from 1-2%), the City’s tax capacity is estimated to increase $3.236 million, or about 8.64% from 2025. 2024/2025 1,305,808,600$ 444,721,000$ 206,588,800$ 2025/2026 1,368,485,000$ 466,335,400$ 252,968,900$ Total Change 62,676,400$ 21,614,400$ 46,380,100$ New Construction 24,250,900$ 8,052,600$ 39,839,300$ Existing Change 38,425,500$ 13,561,800$ 6,540,800$ % New Construction 1.86% 1.81% 19.28% % Existing Change 2.94% 3.05% 3.17% Monticello Assessment Value Changes Commercial & IndustrialResidential Apartments City Council Agenda: 9/22/2025 2 The increase in the market value of Xcel translates to an estimated $75,000 of property tax burden that will shift from other property taxpayers to Xcel even if the City were to keep its levy the same as 2025. However, inflationary impacts on providing existing city services and programs coupled with long-term strategic and financial planning support a preliminary levy increase, of which Xcel is estimated to pay 3.75% (more than 1/3). Because the preliminary levy is proposed at the estimated increase in tax base, the tax rate is projected to stay the same as 2025, and properties will generally see a city tax increase equal to the percentage change in value of their property. While striving to minimize the impact on taxpayers without reducing service levels or impacting future planning, staff developed a draft 2026 budget, which includes Council direction through the 5 workshops held in July – September. To fund that budget and plan for the future, the proposed 2026 City levy of $15,337,000 is a $1,220,000 (8.64%) increase from 2025. The EDA levy was approved by the EDA at its meeting on August 13, 2025 and is also being considered for approval by the Council on the agenda tonight. The 2026 EDA levy of $504,000 levy is $5,000 (1.0%) higher than the prior year for a total combined City and HRA increase of $1,225,000 (8.4%). The EDA’s 2026 request is the approximate maximum amount allowed by statute. A detailed allocation of the proposed 2026 city tax levy is shown below: As noted during budget workshops, certain debt service funds continue to have a levy below what is listed in the bond documents to reflect the use of prepaid assessments and existing fund balance. This helps the city avoid the requirement for arbitrage rebates to be paid to the IRS. Future levies for these bonds may need to be raised slightly to ensure adequate resources to make bond payments in the future, which will be analyzed annually during the formation of each year’s levy. 2025 2026 Property Property %$$ Fund Taxes Taxes Change Change General Fund $8,985,000 $9,435,000 5.0% $450,000 Community Center 535,000 552,000 3.2% 17,000 Capital 2,400,807 3,044,489 26.8% 643,682 2020A GO Bonds 98,220 119,754 21.9% 21,534 2019A GO Bonds 680,836 699,143 2.7% 18,307 2018A GO Bonds 419,127 433,602 3.5% 14,475 2017A GO Bonds 403,942 430,832 6.7% 26,890 2016A GO Bonds 433,189 428,189 -1.2% (5,000) 2015B GO Bonds 160,879 193,991 20.6% 33,112 Total City Levy $14,117,000 $15,337,000 8.6% $1,220,000 City Council Agenda: 9/22/2025 3 The chart below demonstrates the relationship between the tax levy, tax capacity values and tax capacity rates, including the recommended preliminary levy for 2026. The tax levy and tax capacity value are plotted using the dollars shown on the left axis while the tax capacity rate is shown as a percentage using the right axis. The three are related as such: As noted previously, the tax capacity rate is projected to stay the same because the preliminary levy is proposed at the same percentage of increase as the tax capacity value. To illustrate the impact on a sample property, one residential parcel has a 5.3% increase in taxable market value (which reflects a 4.5% increase in value from $295,400 to $308,800 and a 6% decrease in the homestead exclusion). This property has a projected city tax increase of $55 or 5.3%. Additionally, one commercial property (which has no homestead exclusion) has a 2.2% increase in taxable market value (from $3,844,000 to $3,926,600) and would see an increase in city taxes of 2.2%. These increases do not include the county, school or EDA taxes. Finally, preliminary estimates of the city’s 2026 tax capacity and tax capacity rate are subject to change based on additional information from Wright County prior to the adoption of the final levy at the Truth-In-Taxation (TNT) meeting in December. I. Budget Impact: $15,337,000 in the General Fund, MCC Fund, Capital Projects Fund, and Debt Service Fund. II. Staff Workload Impact: None. III. Comprehensive Plan Impact: None. Tax Levy Tax Capacity ValueTax Capacity Rate = $15.34 $40.68 37.70 0.0 10.0 20.0 30.0 40.0 50.0 60.0 $- $5 $10 $15 $20 $25 $30 $35 $40 $45 Ta x C a p a c i t y R a t e ( % ) Ta x L e v y & Ta x C a p a c i t y V a l u e (m i l l i o n s ) City Tax Levy, Capacity Values and Capacity Rates City Tax Levy Tax Capacity Value Tax Capacity Rate City Council Agenda: 9/22/2025 4 STAFF RECOMMENDED ACTION City staff recommend adopting Resolution 2025-60 to set the 2026 preliminary tax levy. The Resolution includes an 8.64% increase based on the preliminary budget, but staff will defer to the Council’s direction on the preliminary levy amount. SUPPORTING DATA • Draft Resolution 2025-60 CITY OF MONTICELLO WRIGHT COUNTY, MINNESOTA RESOLUTION NO 2025-60 RESOLUTION ADOPTING THE 2026 PRELIMINARY TAX LEVY AND AUTHORIZING CANCELLATION OF CERTAIN DEFERRED TAX LEVIES WHEREAS, the City Administrator and Finance Director have prepared and submitted to the City Council a preliminary budget setting forth therein their estimated needs of the City of Monticello for operations and debt service for the fiscal year commencing January 1, 2026; and WHEREAS, the City Council has reviewed the same and has made such changes therein as appear to be in the best interest of the City of Monticello; and NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF MONTICELLO that there be and hereby is a preliminary levy for the fiscal year commencing January 1, 2026, and the following sums for the respective purposes indicated therein upon the taxable property of the City of Monticello, to wit: PRELIMINARY TAX LEVY REVENUE General Fund $9,435,000 Community Center $552,000 OTHER FUNDS Debt Service $2,305,511 Capital Projects $3,044,489 TOTAL TAX LEVY $15,337,000 BE IT FURTHER RESOLVED, that the Auditor/Treasurer of Wright County is hereby authorized and directed, pursuant to the provisions of Section 475.61, Minnesota Statutes Annotated, to cancel or otherwise amend the levies for said indebtedness, due to excess funds on hand in the debt service funds, heretofore made to be levied in the year 2025 for collection in the year 2026 as follows: Debt Service Levies Bond Resolution 2025 Levy Levy Added (Canceled) G.O. Bonds, Series 2015B $223,991 $193,991 $(30,000) G.O. Bonds, Series 2016A 408,189 428,189 20,000 G.O. Bonds, Series 2017A 230,832 230,832 - G.O. Bonds, Series 2017A - Abatement 200,000 200,000 - G.O. Bonds, Series 2018A 108,602 73,602 (35,000) G.O. Bonds, Series 2018A - Abatement 360,000 360,000 - G.O. Bonds, Series 2019A 654,143 619,143 (35,000) G.O. Bonds, Series 2019A - Abatement 80,000 80,000 - G.O. Bonds, Series 2020A 129,754 119,754 (10,000) TOTAL $2,395,511 $2,305,511 ($90,000) The above resolution was introduced by Councilmember _______________, was duly seconded by Councilmember _______________, with the following voting in favor thereof: ____. The following voting in opposition: ____. The Finance Director is hereby instructed to transmit a certified copy of this resolution to the County Auditor of Wright County, Minnesota. ADOPTED BY the Monticello City Council this 22nd day of September 2025. CITY OF MONTICELLO ______________________________ Lloyd Hilgart, Mayor ATTEST: ________________________________ Jennifer Schreiber, City Clerk City Council Agenda: 9/22/2025 1 4C. Consideration of adoption Resolution 2025-61 rejecting all bids for the Ditch 33 Improvements Project Prepared by: Public Works Director/City Engineer Meeting Date: 9/22/2025 ☐ Consent Agenda Item ☒ Regular Agenda Item Reviewed by: Community Development Director, Finance Director Approved by: City Administrator ACTION REQUESTED Motion to adopt Resolution 2025-61 rejecting all bids for the Ditch 33 Improvements Project. PREVIOUS COUNCIL ACTION January 14, 2019: Council authorized the payment of $167,000 to Wright County for the discharge of stormwater from the Carlisle Village development per the agreement with Wright County and rescinded the transfer of a portion of County Ditch 33 to the City. July 26, 2021: Council authorized the completion of a feasibility study for improvements on County Ditch 33 for a total amount of $25,970. August 8, 2022: Council approved the purchase of an easement for $18,000 for construction of a new stormwater outlet from CSAH 39 to the Mississippi River. April 10, 2023: Council approved accepting a water quality grant in the amount of $970,625 with Wright County for improvements to Ditch 33. June 12, 2023: Council approved the purchase of a permanent easement for the improvements to County Ditch 33 for a total amount of $63,000. November 27, 2023: Council approved a contract with WSB for engineering services for the Ditch 33 Improvements project in the amount of $196,534. March 5, 2024: Council approved a contract amendment with WSB for engineering services for the Ditch 33 Improvements project in the amount of $35,500. February 2, 2025: Council approved a contract with TreeStory Inc. for tree removal in the amount of $29,850. May 12, 2025: Council approved approving the plans and specifications and authorization to bid for the Ditch 33 Improvements Project. City Council Agenda: 9/22/2025 2 REFERENCE AND BACKGROUND Wright County Ditch (CD) 33 is a public drainage system managed by Wright County, which serves as the Drainage Authority. The administration of CD 33 is subject to Minnesota Statute Chapter 103E. Eastern portions of the City currently direct runoff to CD 33 as well as areas located within the orderly annexation area. The ditch was established in 1917, and many sections of it are in disrepair. The City has been working with Wright County to determine potential solutions to alleviate flooding caused by the failing ditch system while ensuring adequate capacity for future development. Rather than having parallel systems for Ditch 33 and a future stormwater system with an outlet into the Mississippi River, the City and County are partnering on a single Mississippi River stormwater outfall. The City acquired the necessary easements, and the proposed a new outlet to the river would be located just east of the Tyler East subdivision. The City received $575,000 in federal funding through the Promoting Resilient Operations for Transformative, Efficient, and Cost-Saving Transportation (PROTECT) program and $970,625 of local funding from Wright County through their Water Quality grant program. Finally, Wright County received $400,000 from the Minnesota Pollution Control Agency, resulting in a total of $1,945,625 of grant funds for this project. The Ditch 33 Improvements Project includes the construction of a 48” stormwater outfall to the Mississippi River connecting to the existing Wright County Ditch 33 alignment just south of the Tyler East subdivision. A bid opening for the project was held on August 7, 2025, and 14 bids were received ranging between $1,896,525.25 to $4,423,049. Rachel Contracting, LLC was the lowest bidder at $1,896,525.25, which is slightly more than the engineer’s estimate of $1,760,864. However, following the bid opening, concerns with a specific aspect of the scope of work were identified during discussions with the Technical Evaluation Panel (TEP), which assists with administering the Wetland Conservation Act. As a condition of the grant agreement for this project, Wright County requires abandoning the section of ditch that will be bypassed by this project, but TEP representatives noted concerns with that approach. Given the level of concerns and the potential costs for abandoning that section of Ditch 33, staff recommends rejecting all bids and re-bidding the project when the abandonment requirements are better defined. I. Budget Impact: The 2025 Stormwater Fund budget is $1,600,000 for this project, and the 2026 draft budget will include this project reflecting the recent bid prices should the ditch abandonment requirements allow for such timing. The project costs will be offset by $1,945,625 in grant funding as noted above. City Council Agenda: 9/22/2025 3 II. Staff Workload Impact: City and County staff have been collaborating on the completion of the project. Staff time to coordinate with the TEP panel and re-bidding is estimated at approximately 100 hours. III. Comprehensive Plan Impact: Improvements to Ditch 33 represent an investment in supporting the future growth identified in the comprehensive plan. Enhanced stormwater capacity and conveyance in this area will reduce flood risk and provide the necessary infrastructure to support the development potential outlined in the Future Land Use Map. These improvements directly support the Monticello 2040 vision by enabling development while protecting environmental resources and maintaining long-term community livability. STAFF RECOMMENDED ACTION City staff recommend rejecting all bids. SUPPORTING DATA A. Resolution 2025-61 B. Map of Ditch 33 Area C. Bid Tabulation CITY OF MONTICELLO WRIGHT COUNTY, MINNESOTA RESOLUTION NO. 2025-61 RESOLUTION REJECTING BIDS AND AUTHORIZING READVERTISEMENT FOR BIDS FOR THE DITCH 33 IMPROVEMENTS PROJECT WHEREAS, pursuant to an advertisement for bids for the Ditch 33 Improvements Project, fourteen bids were received complying with the advertisement. The bid which included improvements of constructing a 48” stormwater outfall to the Mississippi River connecting the existing Wright County Ditch 33 alignment just south of the Tyler East subdivision, fourteen They were as follows: 1. Rachel Contracting, LLC $1,896,525.25 2. LaTour Construction, Inc $2,063,364.15 3. Northern Lines Contracting $2,081,630.00 4. Minger Construction Co. Inc. $2,208,000.00 5. S R Weidema, Incorporated $2,222,070.80 6. Kuechle Underground Inc. $2,232,202.70 7. RL Larson Excavating Inc. $2,387,497.95 8. D&D Contracting LLC $2,399,675.79 9. Geislinger & Sons $2,419,181.00 10. New Look Contracting, Inc. $2,424,857.00 11. Burschville Construction Inc. $2,616,229.50 12. Meyer Contracting Inc. $3,219,562.78 13. T. Scherber Demolition and Excavating LLC. $3,337,413.95 14. Dunnick Inc. $4,423,049.00 WHEREAS, the low bid submitted by Rachel Contracting, LLC, was higher than the engineer’s estimate of $1,760,864; and WHEREAS, Project funding received from Wright County requires the abandonment of a section of Ditch 33; and WHEREAS, additional permits are required prior to the abandonment of the ditch and the timing and costs associated with these permits are unknown at this time. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF MONTICELLO, MINNESOTA: 1. The City Council herby rejects all bids received. ADOPTED BY the City Council of Monticello, Minnesota this 22nd day of September, 2025. CITY OF MONTICELLO ____________________________ Lloyd Hilgart, Mayor ATTEST: _____________________ Jennifer Schreiber, City Clerk PROJECT: SAP NO.: 222-080-002 OWNER: City of Monticello WSB PROJECT NO.: 024142-000 Bids Opened: Thursday, August 7, 2025, at 10:00 am Contractor Bid Security (5%)Grand Total Bid 1 Rachel Contracting, LLC X $1,896,525.25 2 LaTour Construction, Inc.X $2,063,364.15 3 Northern Lines Contracting X $2,081,630.00 4 Minger Construction Co. Inc.X $2,208,000.00 5 S R Weidema, Incorporated X $2,222,070.80 6 Kuechle Underground Inc.X $2,232,202.70 7 RL Larson Excavating Inc.X $2,387,497.95 8 D&D Contracting LLC X $2,399,675.79 9 Geislinger & Sons X $2,419,181.00 10 New Look Contracting, Inc.X $2,425,857.00 11 Burschville Construction Inc X $2,616,229.50 12 Meyer Contracting Inc.X $3,219,562.78 13 T.Scherber Demolition and Excavating LLC X $3,337,413.95 14 Duininck, Inc.X $4,423,049.00 Engineer's Opinion of Cost $1,760,864.00 Denotes corrected figure Earth Evans, Director, Water Resources BID TABULATION SUMMARY I hereby certify that this is a true and correct tabulation of the bids as received on August 7, 2025. Ditch 33 Outlet K:\024142-000\Admin\Construction Admin\Bidding\024142-000 Bid Summary 080725.xlsx