Watch the meeting
What happened
- Consent agenda approved 4-0: Dollar General tobacco license, Resolution 2025-14, July financials, checks 77308–77409 and 5858E–5963E, and July 8 and July 16 minutes.
- Resolution 2025-14 accepted $6,500 in Kenyon Fire Relief Association donations ($6,000 Rose Fest, $500 Rose Fest Tractor Pull).
- Finance Director title updated to Finance Officer by the personnel committee.
- 2026 budget work session scheduled for Tuesday, August 26, 2025 at 5:30 p.m.
- Pearl Creek & Gates Ave pay estimate #12 and change order #2 approved with final payment of $36,840.56, contingent on contractor closeout documentation.
- Change order #2 reduced the contract by $12,987.20 to a final price of $1,243,307.02 and revised completion dates, removing liquidated damages.
- Council directed Bolton & Menk to prepare a 2025 LRIP grant application for 6th Street reconstruction, not to exceed $1,500; the 2028 project 'would not be affordable without receiving a grant.'
- L&M Construction estimate approved to repair leaking front windows at city hall/library office.
- Sewer plant tested out of compliance for mercury in May; Pollution Control notified and a suspected business will be inspected.
- Abdo contract approved for September 1, 2025 through December 31, 2026; finance officer hire postponed due to 'substantial clean up' from the past two years.
- Personnel committee authorized to set parameters for an additional full-time office position.
- Meeting adjourned at 8:13 p.m.; all votes carried 4-0-0.
What was asked 20 raised · 9 settled
Every question, assignment, pending figure and unsourced claim from this meeting, quoted from the record, each checked against the county, census, listing, bid and budget data we hold.
He recommended postponing the hire of a finance officer to allow Abdo time to get our accounting back on track. There is substantial clean up to be done from the past two years.
Justification for the new Abdo contract and for postponing the finance officer hire.
Abdo charged a one-time $15,000 to reconcile January through July 2025 records, and outside services in the administration line ran $99,689 actual in 2025. The ongoing Abdo engagement began in September 2025 at $92,100 a year.
9-8-26 Council Packet
Motion by Helgeson seconded by Brunner to approve the contract with Abdo for a term from September 1, 2025 to December 31, 2026.
Abdo would handle city accounting while the finance officer hire is delayed.
At the meetingMotion carried 4-0-0.
The contract was approved 4-0-0 for September 1 2025 through December 31 2026 at $92,100 a year, or $7,675 a month. Abdo's follow-on three-year proposal escalates to $109,000 in 2027, $114,500 in 2028 and $121,000 in 2029, a 31% rise from the engagement rate, and the 2027 package with HR and payroll totals $164,800. We do not hold the executed 2025 contract document itself.
factbook Contracted finance versus an in-house finance director; 9-8-26 Council Packet · taken up again 2026-09-08
Motion by Helgeson seconded by Brunner to direct Bolton & Menk to prepare an application for the 2025 LRIP grant not to exceed $1500.
Reconstruction of 6th Street near the school is on the capital improvement plan and would not be affordable without a grant.
At the meetingMotion carried 4-0-0.
The application went forward. On November 12 2025 the council adopted Resolution 2025-26 authorizing pursuit of 2025 Local Road Improvement Program funding for the 6th Street reconstruction on a motion by Sjolander seconded by Helgeson, carried 5-0-0, with a 6th Street figure and estimate attached to the packet. No Bolton and Menk invoice against the $1,500 cap appears in our record.
11-12-25 Council Packet; 12.9.25 Council Agenda and Packet Updated · taken up again 2025-11-12
Motion by Sjolander seconded by Helgeson to authorize the personnel committee to start putting parameters together for an additional full-time position.
Administrator Lehner said office staff is overloaded and sought approval to start looking at hiring another full-time office staff member.
At the meetingMotion carried 4-0-0.
The full-time position did not materialize as authorized. The personnel committee's visible work product was a retitling of the Finance Director job description to Finance Officer, and by November 2025 the council was instead hiring a part-time administrative assistant, approved 4-1-0 with Sjolander voting no and the posting open until November 17 2025. No written parameters or job description for a new full-time office position appear in our record.
The council authorized parameters for an additional full-time position and the city hired part-time instead.
12.9.25 Council Agenda and Packet Updated; 9-9-25 Council Packet · taken up again 2025-11-12
He recommended postponing the hire of a finance officer to allow Abdo time to get our accounting back on track.
Lehner reviewed the new Abdo contract and recommended delaying the finance officer hire given substantial accounting cleanup.
At the meetingCouncil approved the Abdo contract through December 31, 2026.
Recruitment never resumed. The Abdo contract ran from September 1 2025 to December 31 2026, and on September 8 2026 the council was still weighing Abdo against an internal finance director rather than recruiting. Abdo's own memo that night priced its 2027 services at $164,800 against its estimate of $167,100 for a full-time finance director, a gap of $2,300.
9-8-26 Council Packet; factbook Contracted finance versus an in-house finance director · taken up again 2026-09-08
Fitzgerald has been completing various contract documents. It is anticipated that Fitzgerald will start a few of the streets this year .
Project update on the 2025 Street and Utility Improvements.
Fitzgerald started on August 25 2025. Pay application No. 1, dated September 9 2025, covers the period August 25 to August 29 2025. By December 2025 the year's work was complete and Fitzgerald had still not provided a planned start date for the remainder of the project.
9-9-25 Council Packet; 12.9.25 Council Agenda and Packet Updated · taken up again 2025-09-09
A council work session to review the 2026 draft budget has been scheduled Tuesday, August 26, 2025 at 5:30 pm.
Lehner presented a 2026 budget action item calendar for reference.
The work session was held on August 26 2025 at 5:30 pm, called to order by Acting Mayor Bailey, to review the draft 2026 levy and the department budgets funded by it. The draft carried a 27.06% maximum levy increase, driven by a new 2025A general obligation bond payment plus a 2023A bond payment missed in 2025, and Lehner urged the council to find cuts. The levy was ultimately certified at $1,528,541, a 9.18% increase.
9-9-25 Council Packet; factbook taxes/levy.html · taken up again 2025-08-26
ENGINEERING Project Update - 2025 Street and Utility Improvements Engineer Olinger stated that all property owners were notified again of their assessment amounts. Fitzgerald has been completing various contract documents.
Project update noting pre-construction paperwork in progress.
The contract documents were completed and work began. Fitzgerald's application for payment No. 1 was presented September 9 2025 covering August 25 to August 29 2025 on Bolton and Menk project 24X.134934, and a work change directive followed on October 6 2025. We do not hold the executed bonds or insurance certificates themselves.
9-9-25 Council Packet; 10.14.25 Council Packet Agenda · taken up again 2025-09-09
COUNCIL AND STAFF GENERAL COMMENTS Administrator Lehner appreciated the council's support with the Abdo contract and staff. He will try to make cuts where possible.
General comments thanking council for support on the Abdo contract and staffing.
Cuts were found. The draft 2026 budget opened at a 27.06% maximum levy and the certified 2026 levy came in at $1,528,541, a 9.18% increase, roughly $250,000 below what 27.06% on the prior year's $1,400,000 would have produced. Police Chief Sjoblom separately said he would review his department's expenses for cuts.
9-9-25 Council Packet; factbook taxes/levy.html
This project would not be affordable without receiving a grant. The city applied for a grant in 2023 but was not awarded the grant. He recommended applying again.
The city applied in 2023 and was not awarded, and is applying again for a project scheduled for 2028.
No award announcement for the 2025 Local Road Improvement Program cycle appears in our record. What the record establishes is that the 2023 application scored well but was not funded, and the city resubmitted for the 2025 solicitation with the project still identified for 2028 in the infrastructure management plan. The state award list for the 2025 solicitation would settle it.
12.9.25 Council Agenda and Packet Updated
Pearl Creek Sewer Pay Application #12-Change Order #2 Motion by Sjolander seconded by Helgeson to approve pay estimate #12 and change order #2 with final payment of $36,840.56 contingent upon submittal of contractor closeout documentation.
Pearl Creek & Gates Ave utility improvements pay estimate #12 and change order #2 closeout.
At the meetingMotion carried 4-0-0 approving payment contingent on the documents.
No closeout documentation package from BCM appears in our record, so whether the $36,840.56 was released cannot be confirmed. The contract context is known: BCM Construction won the 2023 Pearl Creek Sanitary Sewer and Gates Avenue work on June 13 2023 at $1,241,494.22 against a $1,536,065 engineer's estimate, and the engineer reported BCM fulfilled its contractual obligations in July 2025. The signed closeout submittal and the final payment voucher would settle it.
9-9-25 Council Packet; factbook KENYON_BIDS.md
Motion by Brunner seconded by Kirchmann to proceed with the estimate from L&M Construction to repair the front windows of city hall.
Water leaks into the front window of the library office and Lehner recommended repairs before further damage occurs.
At the meetingMotion carried 4-0-0.
The motion carried 4-0-0 but no signed L&M Construction estimate, dollar amount or work schedule appears in our record, and no later passage reports the repair complete. The written estimate and the paid invoice would settle both the price and whether the work was done.
9-9-25 Council Packet
LEGAL FINANCIAL OLD BUSINESS NEW BUSINESS Repairs to Front of City Offices Administrator Lehner stated that water leaks into the front window of the library office. An estimate was received from a contractor.
Council approved proceeding with an estimate from L&M Construction without a figure in the record.
The L&M Construction estimate for the city hall front windows is not in our archive and no figure for it appears anywhere in the record. No competing estimate appears in the bid record.
Administrative Policy No. 34 was put before the council in August 2024 and sets a two-quote requirement at $5,000 and above, though our archive does not confirm the adoption vote, but only L&M was named and no amount was ever stated, so compliance cannot be checked.
KENYON_BIDS.md
Motion carried 4-0-0. 8 Local Road Improvement Program – Grant Application Engineer Olinger stated that reconstruction of 6th Street near the school has been on the capital improvement plan for many years and is currently scheduled for completion in 2028. This project would not be affordable without receiving a grant.
Rationale for reapplying for the LRIP grant.
The 2028 scheduling and the dependence on outside funding are confirmed in three separate later passages, which call 6th Street a high priority for several years and identify it in the infrastructure management plan as a 2028 project whose financial feasibility is highly dependent on outside funding. We do not hold the capital improvement plan itself or the cost estimate, though the November 12 2025 packet attached a 6th Street figure and estimate. That attachment would settle the project cost.
11-12-25 Council Packet; 12.9.25 Council Agenda and Packet Updated
Motion carried 4-0-0. Approval to Hire Full-time Office Staff Administrator Lehner stated that the office staff is overloaded.
Basis for requesting authorization to pursue an additional full-time office position.
We hold no workload data, hours records or position inventory for the city office, so the overload claim cannot be measured. The council accepted it far enough to authorize parameters for a full-time position 4-0-0, then filled the gap with a part-time administrative assistant on a divided 4-1-0 vote. Timesheets or a staffing study would settle it.
9-9-25 Council Packet; 12.9.25 Council Agenda and Packet Updated
ENGINEERING Project Update - 2025 Street and Utility Improvements Engineer Olinger stated that all property owners were notified again of their assessment amounts.
Project update on assessments for the 2025 Street and Utility Improvements.
We hold no assessment notices and no mailing list for the 2025 street and utility improvements. The assessment framework is on record: the city anticipated assessing benefiting property for part of the utility improvements, with utility assessments deposited to the respective enterprise funds and street assessments to the governmental debt service fund. The assessment roll and the mailed notices would settle who was billed and how much.
3-10-26 Council Packet Updated; 9-9-25 Council Packet
PRESENTATIONS/PUBLIC HEARINGS/RECOGNITIONS/PROLAMATIONS ADMINISTRATOR UPDATE Update on Finance Officer Position Administrator Lehner stated that the personnel committee reviewed the Finance Director job description and updated the title from Finance Director to Finance Officer. 2026 Budget Process Administrator Lehner stated that a 2026 budget action item calendar was attached for reference.
Administrator update on the finance officer position.
We hold no copy of the revised Finance Officer job description. The retitling is confirmed and the position was never filled, with the council still comparing Abdo against an internal finance director a year later. Abdo priced that internal role at $167,100, made up of $90,000 in wages at $40.45 per hour, $14,000 in taxes and $63,000 in family insurance.
Abdo assumed $63,000 of family insurance for one employee, close to the entire city administration medical, dental, life and disability line of $88,069 actual in 2025 and $73,310 budgeted for 2026.
9-9-25 Council Packet; factbook 9-8-26 Council Packet budget tables
Pollution Control was notified. The potential problem area has been identified, and the business will be contacted for an inspection.
The sewer plant tested out of compliance for mercury in May and the potential source has been narrowed down.
We hold no inspection report, no name for the business, and no follow-up mercury results from the sewer plant. The only later sewer material in our record is a March 2026 priority list covering inflow and infiltration reduction, clay pipe replacement, a future sump pump program, televising and treatment plant considerations, none of which mentions mercury. The industrial user inspection report and the plant's subsequent discharge monitoring reports would settle it.
3-10-26 Council Packet Updated · would settle it: Inspection report and follow-up mercury test results from the sewer plant
High Mercury Results – FYI Wayne Ehrich Public Works Supervisor Ehrich reported that the sewer plant was out of compliance with mercury levels when tested in May.
FYI report to council on high mercury results at the wastewater treatment plant.
We hold no May 2025 laboratory results and no copy of the notice filed with the Minnesota Pollution Control Agency. No later council passage returns to the mercury exceedance. The plant's discharge monitoring report for May 2025 and the MPCA correspondence would settle both the exceedance and its resolution.
no source in our holdings · would settle it: The May lab results and the notice filed with the Minnesota Pollution Control Agency
LEGAL FINANCIAL OLD BUSINESS NEW BUSINESS Repairs to Front of City Offices Administrator Lehner stated that water leaks into the front window of the library office.
Reason given for the city hall front window repair request.
We hold no contractor inspection, moisture survey or damage assessment for the front of the city offices. The only building condition work documented in our later record is the 2026 Facade Improvement Program, which spent $19,565 of a $20,000 budget on six privately owned buildings and included no city property. The contractor's written inspection would settle the extent of the water damage.
9-8-26 Council Packet · would settle it: Contractor inspection or damage assessment of the building front
Decisions 8 motions
Who did what
| Person | At this meeting |
|---|---|
| Donald Kirchmann Mayor | Called the meeting to order and seconded the motion to proceed with the L&M Construction estimate; thanked everyone for taking on extra tasks. |
| Scott Lehner City Administrator | Reported on the Finance Officer title change and 2026 budget calendar, recommended the city hall window repair, presented the new Abdo contract, and sought approval to hire additional full-time office staff. |
| Holli Gudknecht Administrative Assistant / Deputy City Clerk | Prepared agenda materials and recorded the minutes. |
| Derek Olinger Engineer (Bolton & Menk, Kenyon City Engineer) | Updated council on 2025 street and utility improvements, recommended Pearl Creek closeout with pay estimate #12 and change order #2, and recommended reapplying for an LRIP grant for 6th Street. |
| Lee Sjolander Council Member | Moved to adopt the amended agenda, the consent agenda, the Pearl Creek final payment, and the office staff hiring authorization; encouraged support for Rose Fest. |
| Elana Brunner Council Member | Seconded several motions and moved to proceed with the L&M Construction window repair estimate; commented on cleaning up the finance position. |
| Kim Helgeson Council Member | Moved the LRIP grant application and Abdo contract approvals, seconded other motions, and moved to adjourn. |
| Mary Bailey Council Member | Absent. |
| Wayne Ehrich Public Works Supervisor | Reported the sewer plant was out of compliance with mercury levels in May and that Pollution Control was notified. |
| Aaron Miller Project Manager, BCM Construction | Named as recipient of the final pay estimate letter and contractor signatory on the application for payment. |
Organizations named: City of Kenyon, Kenyon Fire Relief Association, Kenyon Fire Department, Dollar General, Bolton & Menk, Inc., Fitzgerald Excavating, BCM Construction Inc., Abdo, L&M Construction Company, Minnesota Pollution Control Agency, Kenyon Municipal Utilities (KMU), Kenyon EDA, Northland Securities
Figures
| Amount | What |
|---|---|
| $36,840.56 | Final payment to BCM Construction, Pearl Creek Sewer pay application #12 |
| $1,500 | Not-to-exceed cost for Bolton & Menk to prepare 2025 LRIP grant application |
| $6,500 | Total Kenyon Fire Relief Association donations accepted under Resolution 2025-14 |
| $6,000 | Fire Relief Association donation designated for Rose Fest |
| $500 | Fire Relief Association donation designated for Rose Fest Tractor Pull |
| $12,987.20 | Contract price decrease under Change Order No. 2 (final quantity adjustment) |
| $1,243,307.02 | Final Pearl Creek & Gates Ave contract price incorporating Change Order No. 2 |
| $1,206,466.46 | Previous payments to BCM Construction prior to final application |
| $124,330 | Required warranty bond amount (10 percent of final contract price) |
Said at the meeting
This project would not be affordable without receiving a grant.
Engineer Derek Olinger (as recorded in minutes) · minutes, verbatim
He recommended postponing the hire of a finance officer to allow Abdo time to get our accounting back on track.
City Administrator Scott Lehner (as recorded in minutes) · minutes, verbatim
There is substantial clean up to be done from the past two years.
City Administrator Scott Lehner (as recorded in minutes) · minutes, verbatim
The potential problem area has been identified, and the business will be contacted for an inspection.
Public Works Supervisor Wayne Ehrich (as recorded in minutes) · minutes, verbatim
Council member Brunner commented that it would be nice to get the finance position cleaned up.
Council member Elana Brunner · minutes, verbatim
Although there were delays at the end of the project, we do not feel assessment of liquidated damages would be appropriate.
Bolton & Menk staff report · packet, verbatim
Resolutions and ordinances
- Accepting Kenyon Fire Relief Association Donations to the City of Kenyon Financials and Payment of check numbers, 77308 through 77409; 5858ERes. 2025-14
Agenda
Each item links to where it appears in the packet.
- I. CALL TO ORDER AND ROLL CALL
- II. CITIZEN COMMENTS
- III. ADOPT AGENDA
- III.A Adopt the Agenda for August 12, 2025
- IV. CONSENT AGENDA
- IV.A Approve the Consent Agenda Items Including:
- V. APPROVAL OF MINUTES and APPOINTMENTS
- V.A Approval of Minutes:
- VI. PRESENTATIONS/PUBLIC HEARINGS
- VII. ADMINISTRATOR UPDATE
- VII.A Update on Finance Officer
- VIII. ENGINEERING
- VIII.A Project Update - 2025 Street & Utility Improvements
- VIII.B Pearl Creek & Gates Ave Utility Improvements - Closeout
- VIII.C Local Road Improvement Program - Grant Application
- IX. LEGAL
- X. FINANCIAL
- X.A Financial Reports and Checks for July
- XI. OLD BUSINESS
- XII. NEW BUSINESS
- XII.A Repairs to Front of City Offices
- XII.B High Mercury Results – FYI Wayne Ehrich
- XII.C Abdo Contract
- XIII. F.Y.I. - Department Updates
- XIII.A FYI for August 12, 2025
- XIV. COUNCIL AND STAFF GENERAL COMMENTS
- XV. ADJOURNMENT
- A. Tobacco License – Dollar General
- B. Resolution 2025-14: Accepting Kenyon Fire Relief Association Donations to the City of
- A. City Council Meeting Minutes of July 8, 2025
- B. City Council Special Meeting of July 16, 2025
- VI. PRESENTATIONS/PUBLIC HEARINGS RECOGNITIONS/PROCLAMATIONS
- A. Update on Finance Officer Position
- C. Approval to Hire Full-time Office Staff
- A. Project Update - 2025 Street and Utility Improvements
- B. Pearl Creek & Gates Ave Utility Improvements – Closeout
- C. Local Road Improvement Program – Grant Application
- A. Repairs to Front of City Offices
- B. High Mercury Results – FYI Wayne Ehrich
- C. Abdo Contract
- XIII. OTHER BUSINESS
- A. Schedule of Upcoming Meetings
Full packet text (308k characters)
The minutes
Official minutes as adopted, from 9-9-25 Council Packet; text extracted from the PDF.
Council Meeting was duly held in the City Council chambers at 7:00 p.m. on the 12th day of August 2025. The meeting was called to order by Mayor Donald Kirchmann.
- Present
- Mayor Donald Kirchmann, Council Members Lee Sjolander and Elana Brunner, and Kim Helgeson
- Absent
- Mary Bailey
- Also present
- City Administrator Scott Lehner, Administrative Assistant Holli Gudknecht, Engineer Derek Olinger, Brittni Schmitz, Michelle Otte, Wayne Ehrich, Keith Allen
The meeting opened with the Pledge of Allegiance.
Citizen Comment
Adopt Agenda
Addition: / XII / New Business / D / Approval to Hire Full-time Office Staff
Motion by Sjolander seconded by Brunner to approve the amended agenda.
Motion carried 4-0-0Consent Agenda
Motion by Sjolander second by Helgeson to approve the Consent Agenda, which includes:
Motion carried 4-0-0Presentations / Public Hearings / Recognitions / Prolamations
Administrator Update
Update on Finance Officer Position
Administrator Lehner stated that the personnel committee reviewed the Finance Director job description and updated the title from Finance Director to Finance Officer.
2026 Budget Process Administrator Lehner stated that a 2026 budget action item calendar was attached for reference. A council work session to review the 2026 draft budget has been scheduled Tuesday, August 26, 2025 at 5:30 pm.
Engineering
Project Update - 2025 Street and Utility Improvements
Engineer Olinger stated that all property owners were notified again of their assessment amounts. Fitzgerald has been completing various contract documents. It is anticipated that Fitzgerald will start a few of the streets this year .
Pearl Creek & Gates Ave Utility Improvements – Closeout
Engineer Olinger stated that BCM fulfilled their contractual obligations in July, therefore the project is ready for final payment and closeout. Pearl Creek Sewer Pay Application #12-Change Order #2
Motion by Sjolander seconded by Helgeson to approve pay estimate #12 and change order #2 with final payment of $36,840.56 contingent upon submittal of contractor closeout documentation.
Motion carried 4-0-0Local Road Improvement Program – Grant Application Engineer Olinger stated that reconstruction of 6th Street near the school has been on the capital improvement plan for many years and is currently scheduled for completion in 2028. This project would not be affordable without receiving a grant. The city applied for a grant in 2023 but was not awarded the grant. He recommended applying again.
Motion by Helgeson seconded by Brunner to direct Bolton & Menk to prepare an application for the 2025 LRIP grant not to exceed $1500. Motion carried 4-0-0.
Legal
Financial
Old Business
New Business
Repairs to Front of City Offices
Administrator Lehner stated that water leaks into the front window of the library office. An estimate was received from a contractor. Lehner recommended completing this work before any further damage is done.
Motion by Brunner seconded by Kirchmann to proceed with the estimate from L&M Construction to repair the front windows of city hall. Motion carried 4-0-0.
High Mercury Results – FYI Wayne Ehrich
Public Works Supervisor Ehrich reported that the sewer plant was out of compliance with mercury levels when tested in May. Pollution Control was notified. The potential problem area has been identified, and the business will be contacted for an inspection.
Abdo Contract
Administrator Lehner reviewed a new proposed Abdo contract that would supersede the old contract. He recommended postponing the hire of a finance officer to allow Abdo time to get our accounting back on track. There is substantial clean up to be done from the past two years.
Motion by Helgeson seconded by Brunner to approve the contract with Abdo for a term from September 1, 2025 to December 31, 2026. Motion carried 4-0-0.
Approval to Hire Full-time Office Staff
Administrator Lehner stated that the office staff is overloaded. He was seeking approval to start looking at hiring another full-time office staff.
Motion by Sjolander seconded by Helgeson to authorize the personnel committee to start putting parameters together for an additional full-time position. Motion carried 4-0-0.
Schedule for Upcoming Meetings
KMU Meeting: Tuesday, August 21st @ 11:00 a.m. EDA Meeting: Tuesday, August 26th @ 8 a.m. City Council Meeting: Tuesday, September 9th @ 7 p.m.
Council And Staff General Comments
Administrator Lehner appreciated the council's support with the Abdo contract and staff. He will try to make cuts where possible. He also expressed appreciation for the hard work of all staff.
Council member Sjolander wished all staff members well. He encouraged people to come out and support Rose Fest.
Council member Brunner commented that it would be nice to get the finance position cleaned up.
Council member Helgeson thanked everyone for working hard. She wished everyone a Happy Rose Fest Eve and encouraged everyone to enjoy Rose Fest.
Mayor Kirchmann thanked everyone for taking on extra tasks.
Motion by Helgeson seconded by Brunner to adjourn the meeting at 8:13 p.m. Motion carried 4-0-0.
Holli Gudknecht, Deputy City Clerk Donald Kirchmann, Mayor
Pursuant to due call and notice thereof, a City