The Spring Valley City Council welcomed Kali Lentz of Smith Schafer as she shared the annual audit report during their March 10 meeting.
According the Lentz, the city received and unmodified clean opinion for the 2024 audit.
The audit showed the general property tax levy represented 43% of the total governmental revenues in 2024 with $1,815,949. The tax increment financing (TIF) increased $17,490 for a total of $43,057. The local government aid (LGA) represented 25% of the city’s revenues with a total of $1,024,726.
The general governmental expenditures came in higher at $240,772; this is due to increases in legal fees, the election year and repairs to city hall. A total of $554,091 was spent for public safety. Public Works saw expenditures of $585,877 this nearly $40,000 increase is mainly due to engineering fees for the Downtown demonstration project and the purchase of a new tailer and mower. Expenditures for Parks saw a increase to $235,561, much of the increase was for dugout repairs and increase salaries for pool employees. Library expenditures increase to total $238,104. Community and Economic Development expenditures were up slightly to $94,417.
The general fund expenditure budget was $1,507,641 and the actual general fund expenditures came in under at $1,349,324. The unassigned fund had a balance of $2,225,523 and expenditures of $1,349,324.
The library fund balance sits at $230,158, the park fund had a slight increase to $44,208, the economic development fund increased to $94,036, the Economic Development Authority (EDA) revolving loan fund is it up $162,205, the MIF EDA loan fund showed an increase to $19,518 and the exception MIF fund increased slightly to $118,146. The Capital Improvement fund increased by $765,063 due to a transfers from the general fund and the ambulance fund for a total of $2,353,971.
The council voted to approve the audit.
New Cannabinoid Business
Brent and Holly Eisenman, owners of Smoking Guns Smoke Shop, asked the city for their support for a new business venture. The couple will be submitting an application to the state of Minnesota Cannabis Management Department to open a micro-business selling low dose cannabis products.
“With the micro-business there are different sections. We are applying for all of the endorsements including cultivation, which is growing so we can sell what we grow or we can make tinctures and concentrates. What we are really interested in is the retail side of it,” Holly said. “Right now we sell quite a bit of hemp derived products. Our main population is the elderly and those who have debilitating diseases. So they come to us for management of pain and for help sleeping, mainly.”
If the application is approved, the Eisenmans will have 18 months to get the business set up, which will include creating a separate space within their existing business.
Earlier in the meeting, the council voted a resolution to support the Fillmore County’s ordinance regulating the public use of cannabinoids.
Holly explained, “We are already registered with Fillmore County and they have one of the strictest ordinances in the state of Minnesota.”
Holly recognized this business would be a big change for the city saying, “I know this is a big thing for the city of Spring Valley and the entire state of Minnesota. We would just like to see the support on your end as we go through the preliminary process and see where this will go.”
No action was taken was taken at this time.
Staff Reports
According to Parks and Recs director John Fenske, Brave Community Theater has been working on a grant to make some changes to their stage area in the community center. The group has been meeting with Fenske and JJBK Construction Partners to formulate a plan before bringing the project before the council. JJBK will soon be repairing portions of the community center ceiling, as well.
Winter rec has finished for the season and summer rec and swimming lesson sign-up will be open on May 14.
Fenske noted Public Works Director Chad Hindt is searching for more mature trees to plant at South Park. Last year many of the trees at the park had to be removed due to disease.
With temperatures getting warmer earlier this year, Fenske said he is considering opening up the park bathrooms early, but it is weather dependent.
Fenske thanked Steve Tart and the Tart family for their donation of a flag pole at South Park.
In a written report, Library Director Melissa Vander Plas noted the library staff completed two of their trainings for the new Southeastern Libraries Cooperating (SELCO) system, which will take affect May 1. The library board voted to eliminate fines for overdue items, but will continue to charge for lost or damaged items.
Vander Plas thanked the Bloomfield Cloverleaves for hosting their CrockPot Meal demonstration on March 4 and Bluff Brothers Brewing for hosting a puzzle race in February to benefit the Friends of Spring Valley Public Library. Another puzzle race is scheduled for March 16.
EDA Director Chris Hahn noted they are finalizing the online payment processing with Point and Pay for all building permits and inspection services with SAFEbuilt. Hahn is also working with SMG Web Design to offer an online registration potion for Park and Rec events. This will be available on the EDA website www.springvalleyeda.org this spring.
Ambulance Co-Director Sue Puffer stated the ambulance had 44 calls in February. Five of those times were call-outs with the second truck.
Ambulance staff completed the last class needed to recertify earlier this month. They are continuing to hold several CPR classes and an emergency medical responder (EMR) class, sponsored by SE EMS, will begin at the end of the month.
Tony Struzyk, speaking on behalf of Fire Chief Dustin Johnson, told the council the department had one carbon monoxide call in February. The department held a identification and placement training and had a mock house fire.
Struzyk asked the council to approve the purchases up to $5,000 for a tripod, pulleys, harnesses and ropes. The council approved the purchases up to $5,000 out of the fire department’s donation account.
Council member Luan Ruesink shared her condolences for the family of Tom Warren and recognized all of the work and support Warren gave to the city of Spring Valley.
Mayor Justin Mlinar announced there will be a town hall event held on April 9 at 7 p.m. Mlinar and Dols will be heading the event to discuss city ordinances. They are inviting all members of the public to come share their thoughts and ideas on the topic. Mlinar is hoping to hold town hall sessions quarterly throughout the year to get more citizen input.
Other Business
• Sarah Kohn, on behalf of the Kingsland Drama Department, thanked John Fenske and the city for their support and use of the Spring Valley Community Center for their productions. “Without the community center offered to us we would not be able to exist,” Kohn said.
• The council voted to approve the ambulance subsidy contract with no changes from the previous year.
• The Mediacom franchise term will be extended for additional five years after council approval.
• Ryan Rubin, of Rubin Mechanical, spoke to the council about his plans to purchase two lots on Sata Drive to build a 60’x150’ building, which would hold his current business, as well as create indoor storage units. The council approved the proposal pending a conditional use permit.
• According to City Administrator Deb Zimmer, the city’s share of the 2025 Tracy Road Improvement project will be $506,000; $220,000 will be through assessments. Zimmer suggested the council consider paying their portion in cash with half the funds coming from the General Fund and half coming from the Capital Fund. The council approved paying the city’s share in cash from both funds.
Leave a Reply