At the February 23 Caledonia City Council meeting, street and public works staff, along with Director Casey Klug, received high praise from the mayor, council members, and residents for their efforts in clearing streets after last Friday’s (February 20) heavy snowfall.
The meeting was called to order at 6 p.m. in the Caledonia City Hall council chambers by Mayor Jeremy Leis, followed by the Pledge of Allegiance. Council members present included Amanda Ninneman, David Fitzpatrick, John Rauk and Mayor Leis. Councilmember Bob Klug was not in attendance.
The council unanimously approved the minutes from the February 9, 2026, regular city council meeting. The consent agenda was also unanimously approved in a single motion. Items on the consent agenda included payment of bills; a temporary liquor license for American Legion Post 191 for an event on July 10 at Veterans Park; $2,000 annual contribution to the victim/witness services through Michelle Herman; a subdivision request for PID 21.1150.001 and a conditional use permit for PID 21.1150.005 submitted by Fred and Vicki Kruckow; a mosquito abatement contract with Driftless Region Vector Control; a setback variance at 420 Lincoln St. W. owned by Caledonia Haulers; 2026 3.2 liquor license renewals for Kwik Trip, Caledonia Mart, and Quillin’s IGA; and a license for the retail sale of cannabinoid products at 102 Grove St. East.
Caledonia business owner Tracey Knutson asked for an update on the former assisted living facility and the Dewitz Building. Dickson replied that the former assisted living building is up for auction through FRE Auctions, the Future of Real Estate online auction site. It is listed with a minimum bid of $499,000 and a bid deadline of March 26. Dickson replied by saying that the city has gotten inquiries from two different buyers, one looking at it for multifamily housing and another considering it for substance abuse counseling. Earlier, the city also received an inquiry about it for a mental health facility. Dickson encouraged residents to check out their website and look at the listing. Regarding the Dewitz Building, he said that the city is preparing for a second, more thorough inspection to further evaluate the building very soon.
The council held two public hearings Monday night during the council meeting, one regarding the sale of 615 W. Washington and another on the proposed purchase of PIDs 21.0042.000 and 21.0041.000. No public comments were received during either hearing.
City Clerk/Administrator Jake Dickson apologized to the council for the late notice regarding Item C under new business, a local option sales tax, explaining “it has to be done now.” The council approved Resolution 2026-06 in support of a 0.25% local option sales tax on taxable sales which is the first step in the process, with the final step being an election allowing voters to decide on the tax.
Revenue generated by the tax would be used to fund the construction of a public safety center, which would benefit the city for the next 60 years.
Dickson said that the tax would expire once the approved funding amount is raised and must be used for the public safety center. Estimates show the tax could bring in $160,000 per year, though Dickson expects that figure could increase. He added that 0.25% is the lowest rate allowed and did not recommend going higher.
Finance Director Stephanie Mann presented the year-end financials to the council. Mayor Leis praised Mann for her amazing work, noting that the city is lucky to have her. Mann said the auditors will be in next month to check her work and the audit will be finalized in April. Councilmember Ninneman made a motion, per Mann’s recommendation to transfer $250,000 to the general fund and leave the reserves at 57%. Seconded by Councilmember Fitzpatrick and carried. Mann emphasized that most of the departments performed well and came in under budget, and that those that were over budget were not significantly over. She said she was happy with the numbers.
In other business, the council reviewed the overtime report for the pay period ending February 15 and approved the city’s first quarterly newsletter. The publication is titled “The Caledonia Caller,” a creative reference to a turkey caller and a subtle reference to Caledonia’s status as the turkey capital of Minnesota.
The meeting adjourned at 6:46 p.m.
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