09.g City Administrator Report1
Staff Report
Date of Meeting: March 18, 2025, City Council Meeting
To: Mayor and City Council
From: Kyle Morell, City Administrator
Re: City Administrator Report
______________________________________________________________________________
Gateway Trail Project
City Engineer Ryan Goodman and I met with Nathan Moe and Kent Skaar from the Minnesota
Department of Natural Resources (DNR) on Monday, July 10, 2023. We discussed the next steps in the
work plan, including the environmental review, soil borings, and topographical survey. Ryan and the
DNR are working to complete these items before the end of the year. This group plans to meet monthly
to ensure the project stays on schedule.
The LCCMR funding has a hard deadline of June 30, 2027. All spending must be completed before that
date. The City plans for 2026 construction to complete the project before the grant funding disappears.
Our DNR Grant Administrator has also contacted me. LCCMR administers the project, and the funding
comes from the DNR.
The latest funding updates are close to $1 million over previous estimates. This is primarily due to
changes in unit pricing for the original estimates in 2019 and 2021 and changes to the project's scope.
This increase was detailed in a memo from Project Engineer Isiah Bubany at the March 18, 2025, City
Council meeting.
Water Tower Barn Wetland Trail Project
The City’s LCCMR proposal was selected to move forward in the review process. I presented it to the
LCCMR committee on June 28. The Committee met on July 31 to determine funding amounts for all
projects. The City received $907,000 of the $998,000 it requested. The request will now be moved into
the LCCMR bill that will be presented to the Legislature for approval in this upcoming session. If
approved, we have until 2028 to complete the project.
The LCCMR bills are working their way through the House and Senate. Approval is expected before
the end of the 2025 Legislative session.
2
At the March 5, 2025 Work Session the Council approved soil boring work for the wetland boardwalk.
Bliss Sewer Project
The City’s presentation to the Senate Capital Investment Committee went well. The Committee
Chairman, Senator Pappas, understood our unique situation. Senator Housley was also on the call. If a
bonding bill is considered, she will continue to push for funding in the upcoming session. Staff will
contact newly re-elected Representative Hill to affirm our desire to be included in any upcoming House
bonding bill.
Senators Housley and Pappas introduced Senate File 892 on February 3, 2025. A bill for an act relating
to capital investment, appropriating money for capital improvements to wastewater infrastructure in the
city of Scandia, and authorizing the sale and issuance of state bonds. The bill was referred to the
Committee on Capital Investment.
Representatives Hill and Anderson introduced House File 1081 on February 17, 2025. A bill for an act
relating to capital investment; appropriating money for capital improvements to wastewater
infrastructure in the city of Scandia; authorizing the sale and issuance of state bonds.
The bill was read for the first time and referred to the Committee on Capital Investment.
The latest project estimates from our engineer suggest the cost of the project may exceed the $1.6
million that is in both bills. In a presentation to the House Capital Investment Committee on March 4,
2025, City Lobbyist Les Heen notified the Committee that most recent cost estimate for the project is $2
million.
Exterior Storage in Rural Residential Neighborhood Districts
Staff sent 296 letters in total to all residents within the Rural Residential Neighborhood zoning district
on February 28, 2025, inviting them to a public comment session at the April 2, 2025, City Council
Works session. The session intends to seek resident input on whether the exterior storage standards for
recreational vehicles are adequate.