On Monday, September 9, 2024, the Caledonia City Council met in regular session to discuss the proposed 2025 budget and levy. Mayor DeWayne (Tank) Schroeder called the meeting to order at 6 p.m. followed by the Pledge of Allegiance.
Council members present were Bob Klug, Amanda Ninneman, Mayor Schroeder, and Ryan Stenzel. David Fitzpatrick was absent.
The council unanimously approved the minutes from the August 26 regularly scheduled city council meeting.
Motion by Klug and second by Ninneman to approve the consent agenda, including the payments and disbursement, and the 2025 master service agreement with Solution Builders. The motion was unanimously approved.
There were no public comments.
Public Works/Zoning Director Casey Klug reported that he has been devoting a lot of time to the 2025 budget. The League of Minnesota Cities insurance safety and loss control workshops did a walk-through of the city’s facilities mainly public works to look at safety regulations like exit lighting, fire exits, and property storage to minimize risks and reduce losses. Klug was asked if the Semcac sign had been installed, to which he answered that he had not heard back from Semcac volunteer Bob Burns.
City Clerk/Administrator Jake Dickson reported that the city received the $20,000 activating entrepreneurial ecosystem grant they applied for. The funds will be used to support a Chamber of Commerce staff position, marketing, and other support activities.
Finance Officer Stephanie Mann presented the first round of the city’s 2025 budget. The council was presented with four proposed tax levy increases, 8.9%, 10.0%, 12.0%, and 15.0% and the implications to the budget. According to the staff report, “The largest driver of increases are, again, wages which are set mostly by labor agreements between the city and the two unions.”
Included in the 2025 proposed budget is a proposed tax levy of 8.9%, which equals an increase of $107,315 with a loss of $48,485.
The proposed capital equipment and improvements included everything from four desktop computers, tasers/body cameras, squad cameras, and three portable radios for the police department, gravel/sand/dirt, North Warrior Avenue extension, repair/repave parking lot on South Decorah St., pave South Hokah Street between Grove and Washington, reconstruct West Grove Street between Sprague/Ramsey, 2024 street sweeper, new box and hoist for plow truck, Harley rake/soil conditioner, 1/3 of the ballpark fence, and the sidewalk from the pickleball court to veterans park/pool.
Mann explained that Caledonia’s per capita amounts are low compared to the surrounding communities. She explained that the council needs to set the proposed levy at the September 24 council meeting as it is due to the county by September 30. She also reminded the council that they can always lower the levy, but the levy cannot be raised after it is submitted to the county.
No action was taken on the proposed tax levy. The council will review the proposed budget before deciding on the tax levy at the next council meeting.
In other business, the board:
•Approve a payment in the amount of $399,751.86 minus $27,000 for liquidated damages for a total of $372,751.86 to Wapasha Construction Company for work completed on the wastewater treatment plant for the period from July 26, 2024, to August 25, 2024.
•Approved the fire department’s request to purchase a fire truck in two steps since the city does not know if they will receive the $500,000 grant. The fire department and the fire district will purchase the fire truck chassis and if the city does not receive the grant, the chassis can be sold.
•Reviewed the August 19 through September 1 overtime report. The mayor said noted that it is “pretty minimal.” The council did not have any questions, and no action was required.
The Caledonia City Council meeting was unanimously adjourned at 7:42 p.m.
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