The primary focus of the meeting was the proposed budget plan for public works and wastewater management. A staff member presented a 10% budget cut scenario, highlighting the need to eliminate $50,000 in matching funds for county and state road projects, and a $2,000 reduction in the cemetery budget. A point of contention was the $17,000 annual expenditure for downtown garbage service. It was proposed to cut this service due to abuse by some downtown businesses filling public cans with personal trash. The mayor suggested engaging the local chamber of commerce for feedback, emphasizing the need for consensus among business owners directly affected by these decisions.

Further budgetary cuts involved not rehiring a maintenance technician position, which, despite reducing staffing, aimed to sustain service levels like snow removal and grass cutting. The meeting also touched on the city’s reserves, clarifying that while some exist, none are specifically allocated for public works operations. The budget discussion also included postponing upgrades to air release structures in the sewer system, a recurring $35,000 line item.

The meeting then pivoted to infrastructure, focusing on lift stations and funding strategies. The newly acquired property near lift station 12 was a topic of uncertainty, as decisions regarding its use would require additional funding. The council discussed the potential necessity of a second shop pickup truck and the costs of retaining walls at the pocket park, as well as projected expenditures of around $788,941 for lift station one and lift station 12 each. The sewer department might need an additional operator if the lift station 12 project proceeds, with an estimated annual cost of $90,153.

In terms of road improvements, the council reviewed plans for road bond projects, emphasizing the need for assessments on roads adjacent to the G Lake chain. This proposal aimed to distribute the financial burden more equitably due to rising property values, primarily impacting lakeside homes. A member noted that special assessments could lead to increased long-term costs if proper road infrastructure is not implemented. The mayor opposed special assessments, stressing the importance of fair cost distribution and resident engagement in decision-making.

The council also examined the city’s road standards, advocating for public roads unless part of a gated community. Concerns about private road maintenance, particularly for newcomers, were raised, with discussions about the inconsistency in private road quality affecting city service provision. The proposed $3.8 million road bond for 2026 was highlighted, with potential property tax increases of 10-15% due to rising construction costs. Mayor Carnahan emphasized transparency and collaboration with residents, advocating for expert consultation on the bond to manage municipal debt effectively.

In addition to infrastructure, the council addressed the interim assignment and pay adjustment for Kiki, temporarily assuming city administrator duties. A labor attorney provided guidance, and a motion was approved for Kiki’s temporary pay differential, with discussions on possibly reverting to a clerk structure rather than maintaining a city administrator model. The council considered hiring an independent consultant to evaluate governance structure during this transitional phase.