CITY OF WANAMINGO
City Council Regular Meeting
Monday, November 17, 2025, 7:00 P.M.
Wanamingo City Council Chambers – 401 Main Street
Wanamingo, MN
CALL TO ORDER: Acting Mayor Ohr.
PRESENT: Council: Eric Dierks, Rebecca Haugen, Jeremiah Flotterud, and Stuart Ohr
City Administrator: Michael Boulton
Deputy Clerk: Laurie Musselman
ABSENT: Mayor Ryan Holmes
ALSO PRESENT: Brad Kennedy, Brandon Theobald – WHKS, Tammy Omdal – Northland Securities, Ole Olson, Larry Grove, and Beth Haas – Zumbrota News Record.
ADOPT AGENDA: Dierks motioned to adopt the agenda, seconded by Flotterud. Passed 4-0-0.
CONSENT AGENDA: Haugen motioned, seconded by Dierks. Passed 4-0-0.
PRESENTERS:
A) Brad Kennedy reported on:
1) Hauled and land applied thirty-six (36) loads of biosolids from the WWTP.
2) WWTP winterized for season
3) Riverside Park winterized – water turned off/drained, volleyball nets taken down, and screen shelter doors screwed shut.
4) Community garden winterized – tanks drained and mowed off garden plots.
5) Compost & Brush Site new sign installed. Ran into rock underground drilling holes for post. Had to abandon installed posts underground. Utilized concrete block and attached poles to the block for the sign.
6) Rochester Sand & Gravel paved the holes on Centennial Street from the replacement of the sewer line and installation of water service line, concrete curb repairs, and landscaping was completed last month. The project is complete.
7) Utilized the street sweeper and leaf vacuum to suck up the leave numerous times this fall. Went around and cleaned out storm sewer grates of leaves by hand as well.
8) Snow Equipment hooked up, serviced, and ready for the first snowfall.
9) New chlorine booster pumps installed at the well house by the ballfields. New copper lines were installed to meet the correct sizing of the pumps.
NEW BUSINESS:
RESOLUTION:
25-077 = Approving the Renewal of Agreement with Goodhue County for Building Inspection and Authorizing the Mayor and City Administrator to sign the Agreement: Flotterud moved to approve, Seconded by Haugen. Passed 4-0-0.
25-078 = Approving Proposed Updates to the Wanamingo Personnel Policy: Dierks moved to approve, Seconded by Flotterud. Boulton stated that the proposed changes were recommended by the Personnel Committee. The proposed changes include language for the Minnesota Paid Lave and increasing the contribution toward one dependent premiums from $600/month to match the yearly monthly premium amount for the 0-20 age band premium. Boulton stated that the Council had considered the increase for the dependent premium to the 0-20 age band language in 2024 but opted to increase to $600/month knowing the issue would come up again in 2025. Boulton stated that the 2026 0-20 age band premiums are roughly $684/month. Passed 4-0-0.
25-079 = Re-Establishing the Polling Precinct and Precinct Location for the City of Wanamingo: Haugen moved to approve, Seconded by Flotterud. Passed 4-0-0.
PUBLIC HEARING – Core 824 LLC Proposed Business Subsidy – Acting Mayor Ohr opened the public hearing at 7:08PM. Tammy Omdal of Northland Securities updated the Council on the proposed business subsidy. Omdal stated that the proposed business subsidy was for up to $535,000. The proposed project is a Tax Increment Financing redevelopment of the former Wanamingo school site. The proposal would be paid out as a pay-go note. The pay-go note would only be paid once property taxes for each half of the year are paid. The City hired LHB to conduct the required report of inspection for determining qualifications of a TIF district. The report showed that the building has at least 15% deficiencies of the replacement value. The TIF district will provide no funds up front to the developer. Once purchased and improvements are made, the taxable market value will increase. The base tax rate and the increased tax rate will be paid in regular property taxes. The increased taxable market rate will be captured as TIF. 90% of the TIF will be paid to the developer with interest. The remaining 10% will be administrative fee to pay off the City’s expenses in setting up the district and ongoing reporting costs. The TIF redevelopment district in for a maximum term of 25 years (2/1/2054). The business subsidy is to create at least ten (10) new jobs at minimum $15/hour. The County Commissioner Board, ISD 2172 School District Board, and public were all notified of the proposed TIF and public hearing. Boulton had not received an written comments before the public hearing. No additional public comments were offered. Acting Mayor Ohr closed the public hearing at 7:15PM.
PUBLIC HEARING – Modification of Development Program for Development District No. 3 and adoption of TIF Plan for TIF No. 3-2 - Acting Mayor Ohr opened the public hearing at 7:16PM. Omdahl stated that TIF 3-2 includes the proposed project area. TIF #3 is the municipal boundaries. Omdal stated that the proposed TIF 3-2 plan budget has a couple of corrections. The site plan will be $185,000, not $131,061. The interest will be reduced by $59,000 from $543,520 to reflect the site plan reduction. Flotterud asked what yearly property taxes would be. Olson stated that the County Assessor had provided a $40,000/year property tax estimate based off the proposed TIF plan. Flotterud asked what the best and worst case of the proposed TIF plan would be. Boulton stated that the worst case of the proposed TIF plan is a vacant tax forfeited building while the City would be out the roughly $25,000 that it cost to set up the TIF district. The best case would be a vibrant building with lots of activity including daycare and several commercial businesses helping to contribute to the property tax payments to pay off the business subsidy and administrative costs for TIF 3-2. Olson stated that the facility support staff are settled into their roles. Nearly all inspections had been completed on the facility with only one State inspection remaining. Staff for the daycare are trained with the facility ready to open. The gym is being utilized for basketball and volleyball. There are proposed activities with the stage being planned. Flotterud asked about the condition and status of the roof. Olson stated that the roof has had repairs completed. The private entity has less restrictions than a school when it comes to roof. Olson stated that school insurance compared to private insurance has different requirements for roofs as well. Olson stated that he has an on-call contractor for roof repairs – Dave Johnson of Allweather Roofing out of Austin, MN. Olson stated that he has made several repairs and upgrades to the h-vac system as well. Flotterud asked if the daycare and operation of the facility is a twenty-five-year plan. Olson stated that the project is a long-term investment, and he hopes the daycare to be in operation twenty-five years from now. Boulton had not received any written comments before the public hearing. No additional public comments were offered. Acting Mayor Ohr closed the public hearing at 7:20PM.
25-080 = Approving Modification of the Development Program District No. 3 and the Tax Increment Financing Plan for Tax Increment Financing (Redevelopment) District No. 3-2: Flotterud moved to approve, Seconded by Dierks. Flotterud asked how many TIF districts does the City have in place. Boulton stated that the City currently has two active TIF districts, TIF 1-2 Medical Center and TIF 4-2 Fulton. Boulton stated that the City has utilized TIF successfully with the industrial park and other commercial/industrial development and redevelopment projects. Passed 4-0-0.
25-081 = Authorizing Interfund Loan for Advance of Certain Costs in Connection with a Proposed Tax Increment Financing District: Haugen moved to approve, Seconded by Flotterud. Omdal stated that the City is required by State Law to approve an interfund loan in order for the City to reimburse itself authorized administrative costs for the TIF district. Passed 4-0-0.
25-082 = Finding the Modification of the Development Program for Development District No. 3 and the Tax Increment Financing Plan for Tax Increment Financing (Redevelopment) District No. 3-2 Consistent with the Wanamingo Comprehensive Plan: Dierks moved to approve, Seconded by Haugen. Passed 4-0-0.
25-083 = Approving Contract for Private Development with Core824 LLC: Dierks moved to approve, Seconded by Haugen. Omdal stated that there are updates from the developers, proposed improvements and financials that will be included in the exhibits of the final agreement. The excluded information from the draft is not material to come back to the City Council for approval of the final draft. Passed 4-0-0.
25-084 = Approving Membership in Minnesota Municipal Utilities Association: Flotterud moved to approve, Seconded by Haugen. Passed 3-1-0 (Flotterud)
25-085 = Approving Parking Easement and Maintenance Agreement between the City of Wanamingo, ISD 2172, and Core824 LLC: Dierks moved to approve, Second by Haugen. Boulton stated that the parking lot easement and maintenance agreement was one of the conditions from the preliminary plat approval. Boulton stated that the City would oversee leading maintenance such as crack filling and asphalt. The agreement does not carry any weight with assessment. This is a written agreement only. Ohr asked the plan for snow removal from Core824 LLC. Olson asked how the City wished to see snow removal occur. The Council stated that they had no formal request. Olson stated that the plan is to pile the snow on the east side of the parking lot. Boulton stated that the southeast corner of the parking lot has a stormwater catch basin. Ohr stated that the hillside to the swimming pool also has a catch basin. Passed 4-0-0.
25-086 = Approving Wanamingo School Addition Final Plat: Flotterud moved to approve, Seconded by Haugen. Theobald presented the final plat of the Wanamingo School Addition. Theobald stated that the preliminary plat was approved with conditions at the August 2025 Wanamingo City Council meeting. Theobald recommends approval of the final plat with the conditions. The conditions include recording the storm sewer and access/utility easements, ISD 2172 paying the WAC/SAC fees on the three new residential lots ($1,850/acre) and ISD 2172 reimbursing the City for direct professional service cost attorney and engineering costs. Passed 4-0-0.
Public Hearing – Acting Mayor Ohr opened ORDINANCE #213 = Re-Zoning Certain Property From R-2 Residential to M-U Mixed-Use at 7:53PM. Boulton stated that the Council had approved the creation of the M-U Mixed-Use zoning district at the October meeting. ISD 2172, as the property owner, request in writing the zoning request from R-2 Residential to M-U Mixed-Use. Olson stated that he has an e-bay seller business and chiropractor in place for two of the rooms. He is working toward a laundromat in one of the rooms as well. Olson stated that the intention is to have a small business incubator area. One of these businesses that need space to get started is blood drawing. The daycare may need to expand into the third wing (east wing) in the future. Acting Mayor Ohr closed the public hearing at 7:57PM.
ORDINANCE #213 – Re-zoning Certain Property From R-2 Residential to M-U Mixed Use - Haugen moved to approve, seconded by Dierks. Passed 4-0-0.
OLD BUSINESS:
2026 Proposed Property Tax Effects Table – The proposed 2026 Wanamingo tax rate is 76.826%. This is based off tax capacity of $1,601,013 (fully taxable tax capacity). The City preliminary levy was $1,230,000. You take the preliminary levy and divide it by the fully taxable tax capacity to get the 2026 proposed tax rate.
2026 Proposed Tax Rate - Property Tax Effect – The 2026 proposed tax rate is 76.826 while the 2025 tax rate is 75.044. This means that on $100,000 estimate market value would see a $12.79 increase in 2026 taxes compared to 2025. This means that on the $200,000 estimate market value would see a $32.21 increase. This means that on the $300,000 estimated market value would see a $51.64 increase. This means that on $400,000 estimated market value would see a $71.06 increase. However, most residentials properties saw a 0-3% increase in valuation. So, the tax rate change increased 1.782%. A 0%-2% increase in valuations would lead to increase of 1.782% to 3.782% in City portion of the property tax increase for 2026, depending on valuation increases from the previous year.
*Next City Council meeting on 12/8/2025
Adjourn: At 7:58PM a motion to adjourn was made by Dierks and seconded by Haugen. Passed 4-0-0.
Signed: Attest:
_____________________ ____________________________________
Ryan Holmes, Mayor Michael Boulton, City Administrator
