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, December 16, 2025, at 6:00 p.m.
Roll call indicated Mayor Tom Quackenbush and Council Members Matt Smith, Denise Kerkhoff, Jim Sandgren, Larry Arentson, and Shannon Guetter were present, constituting a quorum.
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.
A motion was made by Council Member Smith and seconded by Council Member Kerkhoff to approve the agenda. Motion passed by unanimous vote.
A motion was made by Council Member Guetter and seconded by Council Member Arentson to approve the December 2, 2025, minutes as presented. Motion passed by unanimous vote.
A motion was made by Council Member Kerkhoff and seconded by Council Member Arentson to approve the following items on the Consent Agenda:
1. 2026 Business License Applications
2. Purchase of Toro Groundmaster 4000-D Mower
Motion passed by unanimous vote.
Mayor Quackenbush opened the Truth-in-Taxation public hearing at 6:03 p.m.
Finance Director Klages presented an overview of Resolution No. 84 of 2025 – Resolution Levying Ad Valorem Taxes for the Year 2026 for the City of Redwood Falls, Resolution No. 85 of 2025 – Resolution Approving 2026 Payments in Lieu of Taxes, and Resolution No. 86 of 2025 – Resolution Approving 2026 Final Budgets.
Ms. Klages stated the 2026 Total City Budget receives 90% of the total budget, or $35,325,617 from non-tax revenue sources. Property taxes fund 10% of the total budget, or $4,039,352. The total 2026 Levy of $4,039,352 increased by 7.1% compared to the previous year.
Mayor Quackenbush closed the Truth-in-Taxation hearing at 6:21 p.m.
A motion was made by Council Member Guetter and seconded by Council Member Arentson to waive the reading of Resolution No. 84 of 2025 – Resolution Levying Ad Valorem Taxes for the Year 2026 for the City of Redwood Falls. Motion passed by unanimous vote.
A motion was made by Council Member Sandgren and seconded by Council Member Smith to approve Resolution No. 84 of 2025 – Resolution Levying Ad Valorem Taxes for the Year 2026 for the City of Redwood Falls. Motion passed by unanimous vote.
A motion was made by Council Member Kerkhoff and seconded by Council Member Arentson to waive the reading of Resolution No. 85 of 2025 – Resolution Approving 2026 Payments in Lieu of Taxes. Motion passed by unanimous vote.
A motion was made by Council Member Smith and seconded by Council Member Guetter to approve Resolution No. 85 of 2025 – Resolution Approving 2026 Payments in Lieu of Taxes. Motion passed by unanimous vote.
A motion was made by Council Member Arentson and seconded by Council Member Guetter to waive the reading of Resolution No. 86 of 2025 – Resolution Approving 2026 Final Budgets. Motion passed by unanimous vote.
A motion was made by Council Member Kerkhoff and seconded by Council Member Arentson to approve Resolution No. 86 of 2025 – Resolution Approving 2026 Final Budgets. Motion passed by unanimous vote.
Zoning Administrator Randy Thole was present to introduce the Variance Request – 809 E. Bridge Street.
Mr. Thole stated the City received a request from Pat and Nancy Hansen for a variance to reduce the setback on the north side of the property from 30’ to 5’ so that an addition to the building could be constructed on the northeast corner of the building. The Hansen’s intend the addition to serve as a garage for storage of grounds maintenance and snow removal equipment. The current building is considered legal nonconforming. It currently sits approximately 5’ from the property line. Other legal nonconforming buildings in the area also sit approximately 5’ from the property line. The addition would be no more nonconforming than the existing building or other buildings in the area.
Mr. Thole stated following Mr. & Mrs. Hansen’s request, staff reviewed the property and determined that the area of the intended addition would be the best fit as it would not have an impact on the surrounding buildings and would put the area to good use. The current building is approximately 5’ from the right-of-way and the addition would continue off the current building and extend to the east. Additionally, keeping the grounds maintenance and snow removal equipment in the storage addition would be a benefit as it would be kept out of public view. Planning Commission and City Staff recommend approval of the variance request.
A motion was made by Council Member Sandgren and seconded by Council Member Kerkhoff to approve the Variance Request for 809 E. Bridge Street. Motion passed by unanimous vote.
Public Utilities Superintendent Jason Halvorson was present to introduce Resolution No. 87 of 2025 –Authorization to Execute Purchase of Materials for the 2026 Distribution Improvements
Mr. Halvorson stated DGR Project No. 421128 - 2026 Distribution Improvements was approved by Council on October 21, 2025. To complete the project certain materials were needed to be bid. Those bids were received and opened on Tuesday, December 9, 2025, at 1:15 p.m. at City Hall. Three bids were received, and the results of the bids have been reviewed by DGR for errors, tabulated and provided for Council consideration. Total cost of all the bids is $489,626.30. Staff recommend approval of the bids as detailed.
Bid #1 Padmounted Switchgear and Box Pads to RESCO - $88,991.11
Bid #2 15 KV Primary Wire to Irby Utilities - $295,191.00
Bid #3 Single Phase Transformers and Box Pads to RESCO - $25,368.11
Bid #4 Three Phase Transformers and Box Pads to RESCO - $80,076.08
A motion was made by Council Member Smith and seconded by Council Member Guetter to waive the reading of Resolution No. 87 of 2025 –Authorization to Execute Purchase of Materials for the 2026 Distribution Improvements. Motion passed by unanimous vote.
A motion was made by Council Member Sandgren and seconded by Council Member Arentson to approve Resolution No. 87 of 2025 –Authorization to Execute Purchase of Materials for the 2026 Distribution Improvements. Motion passed by unanimous vote.
Public Works Project Coordinator Jim Doering introduced Resolution No. 88 of 2025 – Authorization to Execute Master Agreement for Professional Services 2026 City of Redwood Falls and Bolton & Menk, Inc.
Mr. Doering stated Resolution No. 88 executes the Master Service Agreement for 2026. The Master Service Agreement lists responsibilities for both parties and outlines basic services to be provided by Bolton & Menk Inc. as assigned by the City of Redwood Falls. This will be done on a project-by-project basis that is to be outlined by individual “Task Orders” presented to Council for subsequent approval throughout the year.
Mr. Doering stated the term for this Master Agreement will have a start of January 1, 2026 and is slated to terminate December 31, 2026, but roll over annually if both parties agree. This does not relieve the Council from formerly appointing Bolton & Menk Inc. Shane Traulich as our City Engineer at their first business meeting in 2026. This Agreement has been reviewed by Bolton & Menk Inc. with no changes suggested and Staff also recommend its approval.
A motion was made by Council Member Kerkhoff and seconded by Council Member Arentson to waive the reading of Resolution No. 88 of 2025 – Authorization to Execute Master Agreement for Professional Services 2026 City of Redwood Falls and Bolton & Menk, Inc. Motion passed by unanimous vote.
A motion was made by Council Member Smith and seconded by Council Member Guetter to approve Resolution No. 88 of 2025 – Authorization to Execute Master Agreement for Professional Services 2026 City of Redwood Falls and Bolton & Menk, Inc. Motion passed by unanimous vote.
Finance Director Klages introduced Resolution No. 89 of 2025 – Resolution Establishing Rates for Purchased Power Avoidance Cost.
Ms. Klages stated Resolution No. 89 would enact the electric utility purchased power avoidance cost rates as of January 1, 2026. Schedule 2 contains the rates for solar power reimbursement. The City of Redwood Falls will reimburse using the Annual All Hours rate of $.04231 per kilowatt hour. Staff recommend approval.
A motion was made by Council Member Guetter and seconded by Council Member Kerkhoff to waive the reading of Resolution No. 89 of 2025 – Resolution Establishing Rates for Purchased Power Avoidance Cost. Motion passed by unanimous vote.
A motion was made by Council Member Arentson and seconded by Council Member Guetter to approve Resolution No. 89 of 2025 – Resolution Establishing Rates for Purchased Power Avoidance Cost. Motion passed by unanimous vote.
Police Chief Jason Cotner was present to introduce Resolution No. 90 of 2025 – A Resolution Accepting a Donation to the City.
Chief Cotner stated on December 11, 2025, representatives from Farmers Union Industries (FUI) presented the Redwood Falls Police Department with a donation of $1,000. FUI has made donations to the Redwood Falls Police Department in the past and there is no requirement for matching funds or special reporting. Staff recommend accepting the donation from FUI.
A motion was made by Council Member Sandgren and seconded by Council Member Smith to waive the reading of Resolution No. 90 of 2025 – A Resolution Accepting a Donation to the City. Motion passed by unanimous vote.
A motion was made by Council Member Arentson and seconded by Council Member Kerkhoff to approve Resolution No. 90 of 2025 – A Resolution Accepting a Donation to the City. Motion passed by unanimous vote.
City Administrator Muetzel introduced Resolution No. 91 of 2025 – Authorization to Execute Animal Services Agreement.
Mr. Muetzel stated since 2011, the City of Redwood Falls has contracted with the Redwood Area Friends of the Animal Shelter for boarding of animals that are impounded by the police department. For the past several years, the City of Redwood Falls has provided a $30,000 annual funding allocation to the Redwood Area Animal Shelter. However, the City’s adopted 2026 budget includes a 20% funding reduction to the animal shelter which reduces the annual funding to $24,000. Based on this budget action, staff updated the City’s Animal Services Agreement with the Redwood Area Friends of the Animal Shelter. The updated agreement includes a $24,000 funding allocation and more accurately describes the current operating arrangement with the animal shelter.
A motion was made by Council Member Guetter and seconded by Council Member Smith to waive the reading of Resolution No. 91 of 2025 – Authorization to Execute Animal Services Agreement. Motion passed by unanimous vote.
A motion was made by Council Member Sandgren and seconded by Council Member Arentson to approve Resolution No. 91 of 2025 – Authorization to Execute Animal Services Agreement. Motion passed by unanimous vote.
Public Works Project Coordinator Jim Doering introduced the 80’ x 80’ Airport Hangar Project – Change Order #1.
Mr. Doering stated Change Order #1 is being presented due to delivery delays of the steel building. The contract for construction was executed on August 19, 2025. The building and door delivery orders were placed after this date with an expected delivery in November 2025. Considering the date of the contract award and materials delivery time, the Contractor has requested a completion date extension. The original completion date was December 1, 2025, and the new completion date with the approval of the change order will be April 1, 2026. Staff recommend approval of Change Order #1 for additional time needed to meet the definition of “Substantial Completion/Completion Date” based on the circumstances listed on the Change Order. Approval will also allow the City Administrator to execute the Change Order.
A motion was made by Council Member Sandgren and seconded by Council Member Guetter to approve the 80’ x 80’ Airport Hangar Project – Change Order #1. Motion passed by unanimous vote.
Mayor Quackenbush requested an update on the construction progress of Ziggi’s Coffee at 321 E. Bridge Street. City Administrator Muetzel stated the construction crew is working to get the foundation completed and get a building up and enclosed as soon as possible.
Council Member Smith stated a safety concern with the Ziggi’s Coffee construction site because of the open foundation and footing trenches. Public Works Project Coordinator Doering stated the contractor is required to slope the sides of the trenches if an individual would accidentally fall into the construction site they would be able to get out safely.
Mayor Quackenbush inquired about the completion of the orthodontic clinic construction project at 750 S. Dekalb Street. City Administrator Muetzel stated the West Central Smiles Orthodontic Clinic is completed and they have been issued a Certificate of Occupancy.
Council Member Kerkhoff expressed disappointment about the news of GuidePoint Pharmacy closing at the end of December 2025.
Mayor Quackenbush expressed thankfulness and gratitude for all the work, City Council and Staff have completed all year for this community.
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 Sandgren and seconded by Council Member Arentson to adjourn the meeting at 6:45 p.m. Motion passed by unanimous vote.