Watch the meeting
What happened
- Doug Henke told the Council only eight lots are available for sale in Kenyon, per Realtor Chris Mallery, and urged action on land purchase for development
- KMU Chairman Jerry Houglum confirmed the KMU Commission favored a two-million-dollar loan for land purchase
- Consent agenda approved: Rose Fest street dance permit, parade route, street closures, car show; checks 78423–78494 and 7510E–7566E; July 14 minutes
- Police officer position still posted until filled with no applicants; chief and full-time officer on vacation, part-time officers filling in
- John Lee resigned from KMU effective August 14; Rachel Goven resigned as Administrative Assistant effective August 7, position posted to August 25
- Pay application #8 to Fitzgerald Excavating approved for $95,954.75 (work through July 17, 2026)
- Planning Commission tabled Kenyon Crossings variances and replat August 4; Council extended review period to a maximum of 120 days
- Resolution 2026-29 approved Gerald Bartel lot split; Resolution 2026-30 approved Chad Bauer lot combination for septic fit
- 2027 proposed budget increase reduced from 19.5% to 10.34% by cutting pool, streets and police items; preliminary levy expected in September
- Rebound sought three million dollars from investors at its investors meeting; Council accepted 2026 second quarter financial report
What was asked 30 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.
Council Member Gard questioned how people find out when meetings are scheduled. The response was, it is posted at city hall and on the city website.
Council comments about meeting notice reaching residents, especially younger residents who asked for social media notices.
At the meetingStaff said notices are posted at city hall and on the city website; council noted they are not on the utility bill.
Meeting notices are posted at city hall and on the city website, cityofkenyon.gov, which runs on GovOffice, and the September 8 2026 packet repeats that answer. The city budgets $7,260 for website administration salary in 2026 and $7,910 proposed for 2027, and no social media or utility bill notice channel appears in the record. Note that the legacy domain cityofkenyon.com expired June 3 2026 and now has no mail records, so the @cityofkenyon.com addresses printed in the August 2026 packet bounce.
KENYON_IT_SPEND.md and 9-8-26 Council Packet · taken up again 2026-09-08
It is now two years later and still no progress has been made. He was asking the Council to get this moving forward.
Henke told the council the town is down to about eight buildable lots and that KMU has twice verbally agreed to lend money for land purchase, but two years have passed with no progress.
At the meetingLehner said a preliminary plat and draft purchase agreement are done, the topic is on the KMU agenda for August 18 and will go on the EDA agenda; Lehner has spoken with Mortensen and Todd Kieffer.
The Hinderaker tract is PIN 666800300, 18.09 acres in agricultural class, valued at $214,000 for pay 2027 and paying $1,752 in city tax, against the $275,000 asking price named at this meeting. The thread was taken up again on September 8 2026, where Update on Loan from KMU appears as item 5 of the Administrator Update and Lehner confirmed a preliminary plat and draft purchase agreement exist; no KMU resolution authorizing the loan appears in our record.
KENYON_INCENTIVES.md and 9-8-26 Council Packet · taken up again 2026-09-08
Sturtz asked Lehner for a county contact to get the final number.
Abdo needs the county's final tax capacity to firm up the 2027 levy and tax rate.
The final county figure had not arrived by September 8 2026. The preliminary levy memo of that date carries the note that the payable 2027 tax rate is estimated on preliminary tax capacity information from Goodhue County and that the final figure will vary, so Resolution 2026-31 certifying $1,670,115 was adopted on the preliminary base of $1,865,379.
9-8-26 Council Packet · taken up again 2026-09-08
The proposed 2027 budget increase started at 19.5% but is now down to 10.34% by eliminating some pool, streets, and police 12 department items. Administrator Lehner suggested approving the preliminary levy at 10.34% in September.
Levy process timeline; once certified the preliminary levy can only go down before December final adoption.
At the meetingCouncil agreed to plan to certify at 10.34 percent in September.
The council adopted Resolution 2026-31 on September 8 2026 setting the 2027 preliminary levy at $1,670,115, an increase of 9.26 percent, and set the Truth in Taxation meeting for December 1 at 6:30 p.m. That is below the 10.34 percent Lehner proposed in August, and the draft had opened at 19.50 percent on July 14 2026.
The levy was certified at 9.26 percent, not the 10.34 percent the council agreed in August to approve in September.
Res. 2026-31, 9-8-26 Council Packet · taken up again 2026-09-08
The planning commission held public hearings on the variances and preliminary plat on August 4. They tabled these variances and the replat until the developer submits supplemental materials.
Planning commission held public hearings August 4 and tabled all items; council extended the review period to 120 days.
At the meetingCouncil extended the review period to a maximum of 120 days; Olinger hopes revised plans are ready next month.
The Planning Commission tabled the Kenyon Crossings variances and preliminary plat on August 4 2026 for unmet submittal requirements, and on August 6 the council extended the review period to a maximum of 120 days on a motion by Bailey seconded by Gard, carried 4-0-0. The hearing was continued to September 1 2026, and the September 8 2026 agenda carries Resolution 2026-33 approving the contract for private development, sub-grant agreement and developers agreement with Kenyon Real Estate 2, LLC.
9-8-26 Council Packet · taken up again 2026-09-08
The last Rose Fest meeting will be on Monday, August 17. 11 Department Head Reporting Lehner stated that he would like some department heads to give an in-person update at the council meetings starting in September. The council was agreeable with this.
Weekly written department updates have been inconsistent, so Lehner proposed in-person reporting.
At the meetingThe council was agreeable.
Department head reporting started as planned. The September 8 2026 agenda carries section VII, Department Head Updates, listing Todd Kieffer for the EDA report, Wayne Ehrich for public works and fire, Jeff Sjoblom as police chief, and Randy Eggert for KMU.
9-8-26 Council Packet, agenda section VII · taken up again 2026-09-08
A council member asked that Todd Kieffer of CEDA be added; Lehner agreed and will confirm with him.
Setting up the in-person department update rotation starting in September.
At the meetingLehner agreed.
Todd Kieffer was added and appears first in the rotation. He is item VII.A, EDA Report, on the September 8 2026 agenda.
9-8-26 Council Packet, agenda section VII.A · taken up again 2026-09-08
PRESENTATIONS/PUBLIC HEARINGS/RECOGNITIONS/PROLAMATIONS ADMINISTRATOR UPDATE Police Department Staffing Update Lehner stated that the police officer position is still posted until filled. There are no applicants at this point.
Police staffing update; chief and full-time officer on vacation with part-time officers covering.
The position was still posted until filled with no applicants, and the matter returned as item 2 of the Administrator Update on September 8 2026. The posting dates from July 28 2026 at $33.54 an hour entry, $38.57 at three to five years and $42.61 at five to ten years, which is the highest hourly rate in any Kenyon-area posting we hold.
data/jobs.csv and 9-8-26 Council Packet · taken up again 2026-09-08
The member asked that future reports explain each movement.
Council member wanted more detail after asking why money market and CD balances dropped.
Abdo's scope of services in the September 8 2026 packet already commits to preparing a quarterly financial report including narrative and a dashboard of key performance indicators, plus a report on the city's investment positions and liquidity. That scope sits inside the $109,000 Financial Solutions fee proposed for 2027, so the requested detail is a service the city is already buying.
9-8-26 Council Packet, Abdo scope of services · taken up again 2026-09-08
CITIZEN COMMENT Doug Henke asked, "Do you know how many lots are available for sale in Kenyon today?" According to Realtor Chris Mallery there are eight.
Opening of citizen comment on the shortage of residential lots in town.
At the meetingA council member guessed four; Henke said realtor Chris Mallery told him about eight, possibly a few more.
County records show 33 vacant residential parcels of class 206 inside the city, of which 18 are valued at $15,000 or more, the range that indicates a platted buildable lot rather than a sliver. Only 3 vacant lots were actually listed for sale in the September 13 2026 Zillow snapshot, all on Engel Drive and all 657 days on market, so the count of lots for sale and the count of buildable lots are different numbers and neither matches eight. A current MLS export from the realtor would settle which lots are genuinely on the market.
Only three vacant lots appear as listed for sale in our September 2026 listing snapshot, not the eight cited at the meeting.
taxes/data/kenyon_tax.json and dashboard/data/zillow.json · taken up again 2026-09-08
CITIZEN COMMENT Doug Henke asked, "Do you know how many lots are available for sale in Kenyon today?" According to Realtor Chris Mallery there are eight.
Henke's argument that the city has run out of residential lots.
At the meetingA council member had guessed four; no verification was offered.
Our listing snapshot of September 13 2026 shows 3 vacant lots for sale in Kenyon, priced $187,778, $201,457 and $252,230, all on Engel Drive. Assessment records separately show 18 vacant residential parcels valued at $15,000 or more, the count that would support a buildable-lot figure closer to eighteen than eight. The realtor's own MLS count for the date of the claim is what would reconcile the two.
Neither our listing count of three nor our buildable-parcel count of eighteen matches the eight lots attributed to realtor Chris Mallery.
dashboard/data/zillow.json and taxes/data/kenyon_tax.json · taken up again 2026-09-08
Schedule of Upcoming Meetings KMU Meeting: Tuesday, August 18th @ 3:00 p.m.
Whether KMU will formally authorize the loan that would fund the Hinderaker land purchase.
At the meetingLehner confirmed it is agendized; no decision made at this meeting.
The August 18 2026 KMU meeting at 3:00 p.m. appears in the schedule of upcoming meetings, and the loan returned to the council on September 8 2026 as item 5 of the Administrator Update, Update on Loan from KMU. No KMU resolution or vote authorizing the loan appears in any document we hold, so the commission's formal action is what is missing.
9-8-26 Council Packet · taken up again 2026-09-08
Another asked whether the realtor gave an average lot value.
Discussion of how many lots are available and what they are worth.
At the meetingNo answer recorded.
The three vacant lots listed for sale in Kenyon average $213,822 in asking price, at $187,778, $201,457 and $252,230 for parcels of 2.27, 2.46 and 3.08 acres. That is an asking-price average for large Engel Drive parcels, not an assessed value for a standard platted lot, and the realtor's own average was never recorded.
dashboard/data/zillow.json
Tax capacity from the county is still preliminary; Sturtz asked Lehner for a county contact to get the final number.
2027 budget second draft assumptions.
At the meetingLehner was asked to provide a county contact; number not yet available.
For pay 2026 the certified net tax capacity implied by the county auditor's rate is $1,805,032, and locating it parcel by parcel recovers $1,804,993, or 99.998 percent. For pay 2027 the county figure was still preliminary at $1,865,379 when the September 8 2026 levy was set, and the packet states plainly that the final tax capacity and rate will vary. The certified 2027 figure from the county auditor is what remains missing.
taxes/levy.html and 9-8-26 Council Packet · taken up again 2026-09-08
A work session with department heads will be scheduled in October for working the levy down further if needed.
Plan to certify the preliminary levy at 10.34 percent in September and then reduce it before final adoption.
At the meetingThe council agreed to the approach.
The plan for an October department head work session was restated in the September 8 2026 minutes, but the schedule of upcoming meetings published that night lists only the KMU meeting on September 15, the EDA meeting on September 22 and the next council meeting on October 13. No noticed October work session date appears in anything we hold.
9-8-26 Council Packet · taken up again 2026-09-08
Items still open include benefits for the vacant officer position, which vary with whether the hire needs family or single coverage.
Remaining unknowns in the 2027 budget that keep it above the council's 9 percent target.
At the meetingNo figure available; staff will adjust when known.
The benefit figure was still open on September 8 2026 because the position remained posted until filled with no applicants. The only insurance benchmark in the record is Abdo's assumption of approximately $63,000 for family health, dental and life coverage for one employee, against a whole city-administration medical, dental, life and disability line of $88,069 actual in 2025, $73,310 budgeted 2026 and $78,130 proposed 2027. The posted officer wage is $33.54 an hour at entry.
Abdo's $63,000 family-coverage assumption for a single employee is close to the entire city-administration benefit line of $78,130 proposed for 2027.
9-8-26 Council Packet and data/jobs.csv · taken up again 2026-09-08
He asked who will fix it, since everyone paid for the project, and said he wants it done properly.
Henke described damage by a gas company crew after Fitzgerald finished the 2025 street project, including a sinkhole he stepped into.
At the meetingOlinger said he and Lehner have spoken with the gas company, the gas company also damaged the storm sewer so the area must be dug up anyway, the gas company will pay, and what remains is coordinating who does the work.
The record carries only the engineer's verbal commitment that he will work with the gas company on repairs, with no written repair agreement, cost figure or schedule in anything we hold. The street work itself was done by Fitzgerald Excavating under the 2025 Street and Utility Improvements contract awarded July 8 2025 at $2,294,629.25, and punch-list repairs were still open at pay application 9 covering work through September 2 2026.
KENYON_BIDS.md and 9-8-26 Council Packet
Engineer Olinger was aware of some of these issues and will be working with the gas company to do repairs. 2025 Street and Utility Improvements – Fitzgerald Excavating & Trucking -Pay Application No. 8 Pay request No. 8 includes work completed through July 17, 2026.
Damage caused by a private gas utility after the 2025 street and utility project was finished.
At the meetingOlinger said the gas company will pay and the city will not incur the costs.
No written commitment from the gas company to pay appears in any document we hold, and no change order or credit against the Fitzgerald contract records the cost. The only related written term in the September 8 2026 packet is the Kenyon Crossings condition that the developer pays for private gas, electric and communication installation, which governs a different project.
9-8-26 Council Packet
ENGINEERING 2025 Street & Utility Project Engineer Olinger stated that this pay estimate includes primarily sanitary sewer lining, grouting and manhole rehabilitation. The contractor will be back in town over the next several weeks to complete various punch list repairs.
2025 Street & Utility Project status at pay application eight.
At the meetingOlinger said paving will happen later in the year.
Work was still running on September 8 2026, when pay application 9 covering July 18 to September 2 2026 came to the council under Bolton and Menk project 24X.134934.000. No paving date for Langford Avenue and 8th Street and no punch-list completion schedule appears in the record, and retainage was still being tracked, so the contractor's schedule is what is missing.
9-8-26 Council Packet · taken up again 2026-09-08
His last day will be August 14. Potentially, a job offer will be made to an applicant from the first round of interviews.
John Lee resigned with a last day of August 14; Lehner has spoken with two of three commissioners about the offer.
At the meetingLehner said Blake confirmed last week he is still interested; wages have not been discussed.
John Lee's last day was August 14 2026 and a job offer to a first-round applicant was described as potential, not made. KMU Staffing Update returned as item 3 of the Administrator Update on September 8 2026, but no wage decision, offer or acceptance for the line worker position appears in anything we hold.
9-8-26 Council Packet · taken up again 2026-09-08
Administrative Assistant-Rachel Goven Update Lehner stated that Rachel Goven resigned effective August 7, 2026 due to a family job relocation. The position is posted with a deadline of August 25.
Rachel Goven resigned effective August 7 due to a family job relocation.
The record confirms Rachel Goven resigned effective August 7 2026 for a family job relocation and that the position was posted with an August 25 deadline. No applicant count and no final pool appear in anything we hold, so the count of three is unverified and the post-deadline applicant list is what is missing.
9-8-26 Council Packet
Rebound is seeking roughly $3 million from local investors
Summary of the investor meeting held the previous night.
The September 8 2026 packet confirms the funding mix as DEED grant funds, city TIF, a traditional bank note and investor equity, and confirms the $3,000,000 investor target. The city's share is fixed at $1,855,000 in tax increment over 26 years, so the $8 million total, the $180,000 DEED grant and the $4.5 million loan remain unverified. Rebound's sources and uses statement is what is missing.
9-8-26 Council Packet and KENYON_INCENTIVES.md · taken up again 2026-09-08
Rebound hopes to start in September or October at the latest, depending on funding.
Project schedule tied to whether the $3 million investor raise succeeds.
No construction start date appears in anything we hold. The September 8 2026 agenda does carry Resolution 2026-33 approving the contract for private development, the sub-grant agreement and the developers agreement with Kenyon Real Estate 2, LLC, which is the step that has to precede a start, and the investor raise was still open at $3,000,000.
9-8-26 Council Packet · taken up again 2026-09-08
A council member asked why the money market and CDs fell.
Review of the June 30, 2026 cash and investments, which fell $1,306,963 from year end.
At the meetingSturtz said funds were pulled from the 4M money market for bond payments and will be replenished, and a maturing CD likely rolled into another.
We hold no transaction detail for the 4M money market or the certificates of deposit, so the $1,306,963 decline cannot be traced line by line from our data. The bond-payment explanation is consistent with the levy record, where the city's bond rate rose 35.91 percent for pay 2026 while the general rate fell 0.38 percent, driving the certified rate from 79.3028 to 84.6822 percent. The 4M and bank statements for the quarter would settle it.
taxes/levy.html and 9-8-26 Council Packet · taken up again 2026-09-08
A council member asked who advises on investments and whether the city pays an advisor.
Discussion of investment maturities and the city's cash management.
At the meetingSturtz pointed to the report page listing Northland Securities, the 4M fund and Security State Bank; Laura George at Northland handles securities, 4M handles the money market, the local bank holds checking, and Lehner reviews rate sheets himself.
The meeting record names Northland Securities with Laura George on securities, the 4M fund on the money market and Security State Bank on checking, with Lehner reviewing rate sheets himself. No advisory fee agreement and no advisor fee line appears in anything we hold, so whether Northland is paid directly is unresolved. Northland is the same firm that recommended $800,000 of TIF assistance for the Rebound project, where the council approved $1,855,000.
9-8-26 Council Packet and KENYON_INCENTIVES.md
she asked how it would work legally since the money has to be repaid
Council member recalled Henke's original request and questioned the legal mechanics of a utility loaning money to the EDA.
At the meetingNo legal answer given; Lehner noted the item would go to KMU and EDA agendas.
Whether a municipal utility may lend to the EDA and on what terms is a legal opinion for City Attorney Riggs, not a fact in our records. The city budgets $60,000 for legal services in both 2027 and the prior year against $68,326.50 actual in the earliest year shown and $12,108.20 spent at the time of the September 8 2026 budget table, so there is room in the legal line to obtain the opinion.
9-8-26 Council Packet, account 101-41610-304
A council member asked whether the project proceeds without the $3 million. Lehner said Rebound's words were that it may not move forward.
Report on Rebound's investor meeting for the roughly $8 million Sunset Home project.
At the meetingLehner said Rebound's words were that it may not move forward.
Whether the project proceeds without the investor equity is Rebound's decision, not a fact in the record. What the city has already committed is fixed: $1,855,000 in tax increment assistance over 26 years approved May 18 2026, more than double the $800,000 Northland Securities recommended, plus Resolution 2026-18 of June 30 2026 creating Municipal Development District No. 2 and redevelopment TIF District No. 2-1 and Resolution 2026-20 for an interfund loan.
KENYON_INCENTIVES.md and 9-8-26 Council Packet · taken up again 2026-09-08
Josh from L&M is waiting on one HVAC quote from a contractor before assembling a refurbishment package. Lehner hopes to bring numbers in September.
Lehner was asked months ago what it would take to update the old police building.
At the meetingNo numbers yet; Lehner hopes to bring them in September.
We hold no refurbishment quote for the old police building and no HVAC quote, and the September 8 2026 packet records only that Lehner has been working with L&M on getting quotes. The assembled cost package from L&M would settle it. For scale, the comparable 2024 municipal building work bid out at $40,640 for the roof by Chandler Roofing, $11,485 and $6,995 for HVAC and a mini split, and $7,480.86 for flooring.
KENYON_BIDS.md and 9-8-26 Council Packet · taken up again 2026-09-08 · would settle it: The HVAC quote and the assembled refurbishment cost package
Demolition with asbestos abatement was quoted at $464,000, a figure Lehner heard for the first time that night
Cost components of the Rebound project, which Lehner said he heard for the first time that night.
We hold no demolition or asbestos abatement quote for the Sunset Home site, so the $464,000 figure is unverified. The written quote from the abatement contractor would settle it. The development contract in the September 8 2026 packet does define demolition and site preparation as qualifying costs the city intends to partially reimburse through the TIF note.
9-8-26 Council Packet · would settle it: The written demolition/abatement quote
When he arrived the general fund balance was about 17 percent of expenditures. Policy calls for 40 percent. It is now 17 to 19 percent on a good day.
Explaining why he reinvests at 18 to 24 months to keep cash reachable.
We hold no fund balance policy and no audited unassigned general fund balance for Kenyon, so the 17 to 19 percent figure and the 40 percent target cannot be checked from our data. The audited financial statements from BerganKDV, engaged December 10 2024 at $27,540, and the adopted fund balance policy would settle it.
KENYON_BIDS.md · would settle it: The city's fund balance policy and current audited unassigned balance
Decisions 8 motions
Who did what
| Person | At this meeting |
|---|---|
| Mary Bailey Acting Mayor / Council Member | Called the meeting to order; moved to extend the Kenyon Crossings review period to 120 days and to adopt Resolution 2026-29; seconded the adjournment motion |
| Don Kirchmann Mayor | Absent from the meeting |
| Lee Sjolander Council Member | Moved to adopt the agenda and to approve pay application #8; thanked everyone who helped with National Night Out |
| Deanna Gard Council Member | Seconded consent agenda, Resolution 2026-29 extension and Resolution 2026-30; questioned how people find out when meetings are scheduled |
| Kim Helgeson Council Member | Moved the consent agenda, Resolution 2026-30, acceptance of the quarterly report and adjournment; thanked Farmer's Market supporters |
| Scott Lehner City Administrator | Reported on police, KMU and administrative staffing, Rose Fest, department head reporting, the Rebound investors meeting, budget levy timing and old police building quotes |
| Derek Olinger Engineer | Presented pay application No. 8, the sewer lining work status, gas line repair issues and the Kenyon Crossings applications |
| Holli Gudknecht Administrative Assistant / Deputy Clerk | Recorded and signed the minutes; prepared agenda item summaries |
| Doug Henke Citizen, former mayor | Asked about available lots and urged the Council to move forward on land purchase; reported issues with the gas company installing its line |
| Jerry Houglum KMU Chairman | Agreed the KMU Commission favored the loan and said more lots are needed in town |
| Jessi Sturtz Abdo | Attended via Zoom; reviewed the second draft of the 2027 budget and the 2026 second quarter financial report |
| Attorney Riggs City Attorney | Presented the Bartel lot split and Bauer lot combination applications |
| Gerald Bartel Applicant | Sought approval to split PID# 66.180.0052, approved by Resolution 2026-29 |
| Chad Bauer Applicant | Sought to combine the Bartel split with parcel 66.180.0053 to better fit a septic; approved by Resolution 2026-30 |
| John Lee KMU employee | Submitted his resignation, last day August 14 |
| Rachel Goven Administrative Assistant | Resigned effective August 7, 2026 due to a family job relocation |
| Chris Mallery Realtor | Cited by Doug Henke as the source for the count of eight available lots |
Organizations named: Kenyon Municipal Utilities (KMU), Abdo, Bolton & Menk, Fitzgerald Excavating & Trucking, Kenyon Planning Commission, Kenyon EDA, Rebound, Kenyon Municipal Liquor Store, L&M, Kenyon Real Estate 2, LLC, Rose Fest Committee
Figures
| Amount | What |
|---|---|
| $95,954.75 | Pay application #8 to Fitzgerald Excavating for 2025 Street and Utility Improvements, work through July 17, 2026 |
| $2,000,000 | Loan Doug Henke said he asked the KMU commission for, to purchase land for development |
| $3,000,000 | Amount Rebound is seeking from investors |
| $2,294,629.25 | Original contract price, 2025 Street & Utility Improvements |
| -$37,814.00 | Net change by Change Orders on the 2025 Street & Utility contract |
| $2,256,815.25 | Current contract price after change orders |
| $2,065,643.53 | Total work completed and materials stored to date |
| $103,282.18 | Total retainage (5%) held on the project |
| $1,866,406.60 | Less previous payments on the 2025 Street & Utility contract |
Said at the meeting
Do you know how many lots are available for sale in Kenyon today?
Doug Henke · minutes, verbatim
Administrator Lehner stated that a preliminary plat and a draft purchase agreement have been done.
Scott Lehner, City Administrator · packet, verbatim
Engineer Olinger stated that this pay estimate includes primarily sanitary sewer lining, grouting and manhole rehabilitation.
Derek Olinger, Engineer · packet, verbatim
Council Member Sjolander thanked everyone who helped put on National Night Out.
Council Member Lee Sjolander · packet, verbatim
Council Member Helgeson thanked everyone for supporting the Farmer's Market and she invited everyone to come out and enjoy Rose Fest.
Council Member Kim Helgeson · minutes, verbatim
Resolutions and ordinances
- Approving Minor Subdivision - Lot Split Application –PID 66Res. 2026-29
- Approving Lot Combination Chad Bauer Attorney Riggs stated that Chad Bauer was seeking approval to combine the split from Gerald Bartel withRes. 2026-30
Agenda
Each item links to where it appears in the packet.
- I. CALL TO ORDER AND ROLL CALL
- II. CITIZEN COMMENTS
- III. ADOPT AGENDA
- IV. CONSENT AGENDA
- V. APPROVAL OF MINUTES and APPOINTMENTS
- VI. PRESENTATIONS/PUBLIC HEARINGS
- VII. ADMINISTRATOR UPDATE
- VIII. ENGINEERING
- IX. LEGAL
- X. FINANCIAL
- XI. OLD BUSINESS
- XII. NEW BUSINESS
- XIII. F.Y.I. - Department Updates
- XIV. COUNCIL AND STAFF GENERAL COMMENTS
- XV. ADJOURNMENT
- A. Approve Rose Fest Events
- A. City Council Meeting Minutes of July 14, 2026
- VI. PRESENTATIONS/PUBLIC HEARINGS RECOGNITIONS/PROCLAMATIONS
- A. Police Department Staffing Updae
- B. KMU Staffing/John Lee Update
- C. Administrative Assistant-Rachel Goven Update
- D. Rose Fest Update
- B. Kenyon Crossings Development Applications
- A. Lot Split: Gerald Bartel
- B. Lot Combination: Chad Bauer
- XIII. OTHER BUSINESS
- A. Schedule of Upcoming Meetings
Full packet text (1680k characters)
The minutes
Official minutes as adopted, from 9-8-26 Council Packet; text extracted from the PDF.
Council Meeting was duly held in the City Council chambers at 7:00 p.m. on the 6th day of August 2026. The meeting was called to order by Acting Mayor Bailey.
- Present
- Council Members Lee Sjolander, Mary Bailey, Deanna Gard, Kim Helgeson
- Absent
- Don Kirchmann
- Also present
- City Administrator Scott Lehner, Engineer Derek Olinger, Administrative Assistant Holli Gudknecht, Wayne Ehrich, Heather Dewitz, Doug Henke, Jerry Houglum, Billy Dyrdahl
- Via Zoom
- Jessi Sturtz
The meeting opened with the Pledge of Allegiance.
Citizen Comment
Doug Henke asked, "Do you know how many lots are available for sale in Kenyon today?" According to Realtor Chris Mallery there are eight. He stated that when he was mayor, he asked the KMU commission for a two-million-dollar loan to purchase land for development, and they were in favor of that. It is now two years later and still no progress has been made. He was asking the Council to get this moving forward. Jerry Houglum, KMU Chairman, agreed that the KMU Commission was in favor of this loan and that more lots are needed in town to get people here. Administrator Lehner stated that a preliminary plat and a draft purchase agreement have been done.
Adopt Agenda
Motion by Sjolander seconded by Helgeson to approve the agenda. Motion carried 4-0-0.
Consent Agenda
Motion by Helgeson second by Gard to approve the Consent Agenda, which includes:
Motion carried 4-0-0Presentations / Public Hearings / Recognitions / Prolamations
Administrator Update
Police Department Staffing Update
Lehner stated that the police officer position is still posted until filled. There are no applicants at this point. The police chief and full-time officer are both currently on vacation. Part-time officers are filling in.
KMU Staffing/John Lee Update
Lehner stated that he had received John Lee's resignation. His last day will be August 14. Potentially, a job offer will be made to an applicant from the first round of interviews.
Administrative Assistant-Rachel Goven Update
Lehner stated that Rachel Goven resigned effective August 7, 2026 due to a family job relocation. The position is posted with a deadline of August 25.
Rose Fest Update
Lehner stated that the new Rose Fest banner was put up on Tuesday. The last Rose Fest meeting will be on Monday, August 17.
Department Head Reporting Lehner stated that he would like some department heads to give an in-person update at the council meetings starting in September. The council was agreeable with this.
Rebound Investors Meeting
Rebound held a very informational investors meeting last night. They are looking for three million dollars from investors.
Engineering
2025 Street & Utility Project Engineer Olinger stated that this pay estimate includes primarily sanitary sewer lining, grouting and manhole rehabilitation. The contractor will be back in town over the next several weeks to complete various punch list repairs. Doug Henke reported some issues with the gas company putting their line in. Engineer Olinger was aware of some of these issues and will be working with the gas company to do repairs. 2025 Street and Utility Improvements – Fitzgerald Excavating & Trucking -Pay Application No. 8 Pay request No. 8 includes work completed through July 17, 2026.
Motion by Sjolander seconded by Helgeson to approve pay application #8 to Fitzgerald Excavating in the amount of $95,954.75. Motion carried 4-0-0.
Kenyon Crossings Development Applications
Preliminary Plat Variance Staff Reports and Draft Resolutions Kenyon Crossings – Application Materials-Plans Engineer Olinger updated the council on the Kenyon Crossings development applications. The planning commission held public hearings on the variances and preliminary plat on August 4. They tabled these variances and the replat until the developer submits supplemental materials.
Motion by Bailey seconded by Gard to extend the review period to a maximum of 120 days for these three variances and preliminary plat. Motion carried 4-0-0.
Legal
Lot Split: Gerald Bartel
Resolution 2026-29: Approving Minor Subdivision - Lot Split Application –PID 66.180.0052 Gerald Bartel Attorney Riggs stated that Gerald Bartel was seeking approval to split PID# 66.180.0052. The split section would be sold to the neighbor located in the center of this parcel.
Motion by Bailey seconded by Helgeson to adopt Resolution 2026-29 approving the minor subdivision for Gerald Bartel. Motion carried 4-0-0.
Lot Combination: Chad Bauer
Resolution 2026-30: Approving Lot Combination Chad Bauer Attorney Riggs stated that Chad Bauer was seeking approval to combine the split from Gerald Bartel with his parcel 66.180.0053 to better fit a septic on his property.
Motion by Helgeson second by Gard to adopt Resolution 2026-30 granting approval for a lot combination for Chad Bauer. Motion carried 4-0-0.
Old Business
2027 Budget Update Jessi Sturtz from Abdo reviewed the second draft of the 2027 budget. The proposed 2027 budget increase started at 19.5% but is now down to 10.34% by eliminating some pool, streets, and police 12 department items. Administrator Lehner suggested approving the preliminary levy at 10.34% in September. Some numbers are still pending, and adjustments will be made accordingly when these are received. A work session with department heads will be scheduled in October for working the levy down further if needed. The final levy is due by the end of December.
New Business
2026 2nd Quarter Report - Abdo Jessi Sturtz from Abdo reviewed the second quarter 2026 financial report.
Motion by Helgeson seconded by Bailey to accept the second quarter financial report.
Motion carried 4-0-0Schedule of Upcoming Meetings
KMU Meeting: Tuesday, August 18th @ 3:00 p.m. EDA Meeting: Tuesday, August 25th @ 8 a.m. Planning Commission meeting: Tuesday, September 1st @ 6:00 pm City Council Meeting: Tuesday, September 8th @ 7 p.m.
Council And Staff General Comments
Council Member Sjolander thanked everyone who helped put on National Night Out.
Council Member Gard questioned how people find out when meetings are scheduled. The response was, it is posted at city hall and on the city website.
Administrator Lehner stated he was asked a few months ago what it would take to update the old police building. He has been working with L&M on getting quotes. He also thanked the Rose Fest committee for all their work.
Council Member Helgeson thanked everyone for supporting the Farmer's Market and she invited everyone to come out and enjoy Rose Fest.
Motion by Helgeson seconded by Bailey to adjourn the meeting at 8:28 p.m. Motion carried 4-0-0.