City Council Work Session

CITY COUNCIL WORK SESSION MINUTES Tuesday, September 02, 2025 at 5:30 PM Baxter City Hall, 13190 Memorywood Drive, Baxter, MN “A Growing Community” CALL TO ORDER Mayor Olson called the meeting to order at 5:30 p.m. ROLL CALL Mayor Darrel Olson and Council Members Connie Lyscio, Zach Tabatt, Patrick Sundberg, and Mark Cross were present. City Administrator Brad Chapulis, Assistant City Administrator Kelly Steele, Finance Director Jeremy Vacinek, Community Development Director Josh Doty, Assistant City Engineer Trevor Thompson, GIS/IT Director Todd DeBoer, Assistant Finance Director Brenda Brooks, and Police Chief Matt Maier were present. BUSINESS ITEMS 1. 2026 Governmental Funds Budget Discussion Finance Director Vacinek provided an initial review of the proposed 2026 Governmental Funds Budget. Finance Director Vacinek reviewed the proposed 2026 Governmental Fund Revenue and Expenditures Budgets and Operating and Debt Service Property Tax Levy. Various legislative impacts for 2026 were summarized. The total proposed property tax levy required to fund the initial draft budget of $10,042,100, a $741,500 (9%) increase from 2025. The property tax levy must be set by the end of September. The council discussed fund balances, the use of the fund balance to lower the levy and establishing a fund balance policy. The council also asked staff to review reducing specific department budget requests and indicated they would like to see the overall levy increase maximum around 5%. ADJOURN MOTION by Council Member Cross, seconded by Council Member Lyscio to adjourn at 6:54 p.m. Motion carried unanimously. Approved by: Respectfully submitted, _____________________________ Mark Cross Kelly Steele Vice Mayor Assistant City Administrator