Pursuant to due call and notice thereof, a regular meeting of the Redwood Falls City Council was called to order in the Municipal Chambers on Tuesday, September 16, 2025, at 5:00 p.m.
Roll call indicated Mayor Tom Quackenbush and Council Members Matt Smith, Denise Kerkhoff, Jim Sandgren, and Shannon Guetter were present, constituting a quorum. Council Member Larry Arentson was absent.
Also present were City Administrator Keith Muetzel, Finance Director Kari Klages, City Attorney Trenton Dammann, Public Works Project Coordinator Jim Doering, and Deputy City Clerk Caitlin Kodet.
City Administrator Muetzel requested the addition of Agenda Item 9F - Establish City Council Work Session Agenda.
A motion was made by Council Member Smith and seconded by Council Member Kerkhoff to approve the agenda with the addition of Agenda Item 9F - Establish City Council Work Session Agenda. Motion passed by unanimous vote.
A motion was made by Council Member Guetter and seconded by Council Member Kerkhoff to approve the September 2, 2025, minutes as presented. Motion passed by unanimous vote.
A motion was made by Council Member Sandgren and seconded by Council Member Smith to approve the following items on the Consent Agenda:
1. Therapeutic Massage License
2. Wastewater Department Jetter Truck Purchase
Motion passed by unanimous vote.
Public Works Project Coordinator Jim Doering introduced Resolution No. 54 of 2025 – Authorization to Execute Minnesota Department of Transportation Grant Agreement for Airport Improvement Excluding Land Acquisition.
Mr. Doering stated Council approved the FAA grant submission for the 80’ x 80’ hangar at the regularly scheduled meeting held on March 18, 2025. MnDOT Aeronautics has issued the state companion grant agreement 1060757 for Council approval and signature. Staff recommend the approval of Resolution No. 54 that will allow for the access of reimbursable funds through MNDOT Aeronautics. The federal committed funds for the project are 95% or $585,000.00. State funding and the local share split the remaining 5% to the sum of $15,394.74 each.
Mr. Doering stated the City has an anticipated tenant for the hangar. As part of the rental agreement, the tenant has agreed to cover the local share costs for construction of the 80’ x 80’ hangar.
A motion was made by Council Member Kerkhoff and seconded by Council Member Guetter to waive the reading of Resolution No. 54 of 2025 – Authorization to Execute Minnesota Department of Transportation Grant Agreement for Airport Improvement Excluding Land Acquisition. Motion passed by unanimous vote.
A motion was made by Council Member Sandgren and seconded by Council Member Smith to approve Resolution No. 54 of 2025 – Authorization to Execute Minnesota Department of Transportation Grant Agreement for Airport Improvement Excluding Land Acquisition. Motion passed by unanimous vote.
Finance Director Klages introduced Resolution No. 55 of 2025 – Resolution Approving Contract for Audit Services.
Ms. Klages stated it is recommended that government entities undertake a full-scale competitive process for the selection of independent auditors at the end of the term of each audit contract. CliftonLarsonAllen, LLP (CLA) has provided audit services for the City for the past twenty years. During that time, a formal request for proposal (RFP) process has not been completed. CLA has always provided quality audit services, but due to the length of time since audit services have been competitively bid, staff decided to complete a formal RFP process.
Ms. Klages stated the City received four proposals from qualified firms including CLA, Abdo, BerganKDV, and Oberloh & Oberloh. The all-inclusive five-year costs for audit services ranged from $261,650 to $378,530. After a thorough review and evaluation based on criteria including experience, approach, responsiveness, and cost, Abdo was determined to be the highest rated proposer. The cost for audit services in 2026 will be $47,600, approximately $30,000 less than 2025. Staff recommend awarding the audit services contract to Abdo for a term of five years, subject to an annual review by the City.
A motion was made by Council Member Smith and seconded by Council Member Kerkhoff to waive the reading of Resolution No. 55 of 2025 – Resolution Approving Contract for Audit Services. Motion passed by unanimous vote.
A motion was made by Council Member Guetter and seconded by Council Member Kerkhoff to approve Resolution No. 55 of 2025 – Resolution Approving Contract for Audit Services. Motion passed by unanimous vote.
Finance Director Klages gave an overview of the preliminary levy and budgets for 2026 as addressed in Resolution No. 56 of 2025 – Setting Proposed Certified Levy Ad Valorem Taxes for the Year 2026 and Resolution No. 57 of 2025 – Approving 2026 Preliminary Budgets.
Ms. Klages stated State law requires local units of government to adopt the preliminary levy and budget and to certify the proposed tax levy to the County Auditor by September 30th of each year. Cities must also provide the County Auditor with the date, place, and time of the regularly scheduled meeting at which a final budget and levy will be determined. The preliminary levy can be lowered when setting the final levy, but it cannot be increased.
Ms. Klages stated the proposed budget includes a tax levy increase of 7.6%. Based on preliminary tax capacity calculations provided by the County Assessor, the City’s tax capacity has increased by 3.95%, resulting in an estimated increase in the City’s overall tax rate of 2.9%. Staff will continue to fine-tune the budget over the next few months. The proposed final levy and budget will be reviewed by the budget committee and a recommendation will be presented to Council. The date when the final levy and budget will be discussed and approved and at which the public will have the opportunity to comment on the budget will be set for December 16, 2025, at 6:00 p.m. in the City Council Chambers.
A motion was made by Council Member Sandgren and seconded by Council Member Smith to waive the reading of Resolution No. 56 of 2025 – Setting Proposed Certified Levy Ad Valorem Taxes for the Year 2026 Motion passed by unanimous vote.
A motion was made by Council Member Guetter and seconded by Council Member Smith to approve Resolution No. 56 of 2025 – Setting Proposed Certified Levy Ad Valorem Taxes for the Year 2026. Motion passed by unanimous vote.
A motion was made by Council Member Sandgren and seconded by Council Member Kerkhoff to waive the reading of Resolution No. 57 of 2025 – Approving 2026 Preliminary Budgets. Motion passed by unanimous vote.
A motion was made by Council Member Smith and seconded by Council Member Guetter to approve Resolution No. 57 of 2025 – Approving 2026 Preliminary Budgets. Motion passed by unanimous vote.
Human Resources Coordinator Sheila Stage was present to introduce Resolution No. 58 of 2025 – A Resolution Setting and Adopting the 2026 Pay Plans and Pay Step Structure for Part-Time & Seasonal Non-Union Employees.
Ms. Stage highlighted the changes to the 2026 Pay Plans. All regular part-time employees will be eligible for a $0.50 base pay increase. Seasonal employees that are returning will receive a $0.25 per hour increase plus a base pay increase of $0.25 per hour for 2026. Part-time Liquor Store clerks will see an increase to the minimum pay plan step by $0.25 and the max pay scale by $0.50 per hour for 2026. Part-time Fire Department hourly wage will increase by $1.25 per hour and increase any elected fire department positions by $25.00 per month and increase the Fire Chief position by $50.00 per month.
A motion was made by Council Member Smith and seconded by Council Member Kerkhoff to waive the reading of Resolution No. 58 of 2025 – A Resolution Setting and Adopting the 2026 Pay Plans and Pay Step Structure for Part-Time & Seasonal Non-Union Employees. Motion passed by unanimous vote.
A motion was made by Council Member Kerkhoff and seconded by Council Member Guetter to approve Resolution No. 58 of 2025 – A Resolution Setting and Adopting the 2026 Pay Plans and Pay Step Structure for Part-Time & Seasonal Non-Union Employees. Motion passed by unanimous vote.
City Attorney Dammann introduced Ordinance No. 99, Fourth Series – An Ordinance Amending Redwood Falls City Code of Ordinances §10.46 Pertaining to Animal Licensing and Regulation.
Mr. Dammann stated Section 10.46 of City code was last amended on April 18, 2023, when the Council passed and adopted Ordinance No. 84, Fourth Series, Titled “An Ordinance Amending Redwood Falls City Code of Ordinances §10.46 Pertaining to Animal Licensing and Regulation.” Ordinance No. 84, Fourth Series did not address the issues of the use of a City provided suspension form for owners of dogs no longer being kept in the City nor the eligibility requirements for members of the community to serve on potentially dangerous and dangerous dog review panels.
Mr. Dammann stated the proposed changes to §10.46 include a requirement that dog owners with a conditional lifetime license that no longer reside within the corporate limits of the city or no longer keep or maintain a dog within the corporate limits of the city request suspension of the conditional lifetime license through the use of a city provided dog license suspension form. This practice has been in place at city hall but has not been made part of ordinance. One of the reasons for the requested change is to be able to hold dog owners accountable for providing false information on these suspension forms. The ordinance amendment will make it a violation of city ordinance to do so.
Mr. Dammann stated the other change to §10.46 addresses eligibility requirements for citizens to serve on potentially dangerous and dangerous dog review panels. The ordinance currently requires the panel to consist of council members and electors who reside in the city. It has become increasingly difficult to find citizens who reside within the city limits to serve on these panels. The requested change is to allow anyone who is able to vote in the State of Minnesota to serve on a review panel. If there are no concerns, the proposed ordinance will be discussed again at the next Council Meeting on October 7, 2025, and a request for approval by motion will be made in accordance with Chapter 4 of the City Charter.
A motion was made by Council Member Guetter and seconded by Council Member Kerkhoff to waive the reading of Ordinance No. 99, Fourth Series – An Ordinance Amending Redwood Falls City Code of Ordinances §10.46 Pertaining to Animal Licensing and Regulation. Motion passed by unanimous vote.
City Administrator Muetzel introduced Agenda Item 9F - Establish City Council Work Session Agenda.
Mr. Muetzel stated the next City Council work session is scheduled for September 30th, 2025. In order to prepare for the meeting and ensure adequate time is allowed for each agenda item, Staff is requesting Council formally establish the work session agenda.
Mayor Quackenbush stated due to a lack of work session topics, Council requests the cancellation of the September 30th, 2025 City Council Work Session.
A motion was made by Council Member Smith and seconded by Council Member Guetter to approve the request to cancel the September 30th, 2025 City Council Work Session Agenda as presented. Motion passed by unanimous vote.
Council Member Kerkhoff requested an update on the Port Authority lot sale and the proposed business development on Bridge Street.
City Administrator Muetzel stated the Port Authority finalized the sale of the vacant lot at 315 E. Bridge Street to a developer that has also purchased 321 E. Bridge St. The developer is prepared to start the demolition process of the home at 321 E. Bridge St. on Monday, September 22 and begin construction of a Ziggi’s Coffee.
Mayor Quackenbush requested an update on the Reflection Cove infrastructure project.
Public Works Project Coordinator Doering stated the infrastructure improvements were setback a bit by the recent rainfall but are still moving forward and have made a lot of progress at the Reflection Cove development.
Council Member Smith requested clarification on the date of a hearing scheduled for code enforcements violations at a property located on West Bridge Street.
City Administrator Muetzel stated the initial court hearing for the code enforcement violations at a property located on West Bridge Street is scheduled for Monday, September 29, 2025.
Mayor Quackenbush requested an update on any progress towards a housing development project from the Southwest Minnesota Housing Partnership.
City Administrator Muetzel stated there isn’t anything new from the Southwest Minnesota Housing Partnership (SWMHP) since the last meeting a few weeks ago. The SWMHP is waiting for correspondence from Minnesota Housing to determine if they will be making an agenda recommendation at the next meeting.
Bills and Claims were presented to the Council for informational purposes. No questions, comments or concerns were raised.
There being no further business, a motion was made by Council Member Guetter and seconded by Council Member Sandgren to adjourn the meeting at 5:34 p.m. Motion passed by unanimous vote.