During the citizen comments segment, residents voiced strong concerns about the city’s zoning practices, particularly the inclusion of hyperscale data centers in zoning districts that also allow child daycare centers, gyms, and restaurants. A resident argued that this approach failed to reflect the compatibility and impact required by Minnesota statute 462, asserting that the current zoning practices equate vastly different uses as compatible. The resident emphasized the significant differences in impacts between a data center and a daycare, urging the council to update the zoning laws to prioritize community health, safety, and welfare.

Another resident highlighted the overwhelming nature of the proposed data center, criticizing the council for permitting industrial development in residential areas. He urged the council to negotiate better terms with developers, referencing a deal made by a neighboring city that secured substantial funding for local schools. The speaker called on the council to consider the long-term implications of the data center on the community.

Further concerns were raised about blight and safety related to industrial zoning in residential areas. A speaker expressed frustration over the council’s perceived lack of transparency regarding the impact of data centers on the community and the potential for legal disputes. The comments revealed a community deeply concerned about the ramifications of zoning decisions made without updated assessments of the urban landscape and industrial demands.

The meeting also focused on the proposed 2026 budget and tax levy. The council discussed a 12.98% increase in the gross tax levy, resulting in a net tax levy of $16.84 million. The tax rate was calculated at just over 51.5%, with the increase attributed to rising costs, inflation, and investments in staffing and infrastructure. Key budget priorities included transitioning the fire department to a full-time model, which would involve hiring six full-time firefighters to improve emergency response times.

The proposed budget also allocated nearly $1.7 million for park and trail enhancements and $11 million for street and utility upgrades. These investments were framed as necessary to prevent long-term costs associated with delayed maintenance and inadequate staffing. The average taxable market value of residential properties was estimated at $353,750, leading to an increase in city property taxes that would vary depending on individual property values.

Residents expressed concerns about the financial burden of infrastructure improvements, noting the potential cumulative effect of tax increases when combined with rising costs from schools and the county. The council emphasized the importance of ensuring that funds are not mismanaged or hidden, with a commitment to clear financial practices. They also clarified that the planned water tower construction was not a direct response to the data center but aimed at enhancing the overall water system.

The meeting addressed the implementation of a new fire inspection testing and maintenance solution, known as the ITM solution. This cloud-based platform is designed to improve compliance management for fire and life safety systems, with features like centralized data management and automated notifications for overdue inspections. The council approved the ordinance related to the ITM solution, which aims to alleviate the burden of manual processes on the fire department.

Additionally, the meeting included discussions on community initiatives, such as the “Toys for Town” program, which had record levels of participation, representing around 425 children. The meeting concluded with a motion to adjourn.