Blaine City Council Meeting – April 6, 2026

The City Council met on April 6, 2026, at 7:00 PM at Blaine City Hall. Mayor Tim Sanders presided, and all council members were present (Councilmembers Terra Fleming, Chris Ford, Leslie Larson, Chris Massoglia, Tom Newland, Jess Robertson). The meeting covered a proclamation, public comments, consent agenda, public hearings on financing, development projects, and administrative actions. The meeting adjourned at 9:15 PM.

Consent Calendar

• Approved 6-0-1 (Councilmember Newland abstained on Schedule of Bills Paid for March 6 and 13, 2026, due to a potential conflict of interest). Items included:
  • Schedule of Bills Paid
  • Approval of Minutes
  • 2026-2027 Kennel Licenses
  • 2026-2027 Vending Truck Licenses
  • Surplus Property Declaration and Sale (RES 26-66)
  • Final Plat Approval for Northtown Villas (11 lots + outlot) (RES 26-50)
  • Repeal of Interim Ordinance on Accessory Dwelling Units
  • Well 11 Repairs by Bergerson-Caswell
  • Plans and Specifications for 2026 Quincy Area Street Reconstruction (RES 26-56)
  • Petition for Speed Humps on Quincy Blvd (RES 26-57)
  • Vacation of Various Easements for 105th Redevelopment (RES 26-58, V26-01)
  • Annual Payment of JLEC Shared Costs for Public Safety Data System

Public Comments & Testimony

• Bruce Manthei (4401 99th Ave NE): Expressed continued safety concerns about an electrical box at 99th/Lexington Avenues, stating it creates a blind intersection hazard.
• Tim Davis (4419 119th Ave NE): Opposed the city’s budgeting for the 105th Avenue project, arguing the city is risking financial stability and that the parking garage subsidy will ultimately burden taxpayers.
• Kevin Godfrey (2440 119th Ct NE): Questioned the loss of Invictus Brewing and Tipsy Steer’s inability to obtain a liquor license; speculated on possible ownership connections with the 105th developer and a new sports bar.
• Dee McKinley (3900 125th Ave NE): Represented sellers of the property for the proposed Ravenwood development and spoke in full support of the project, noting the family’s 50-year history on the land and the need to transition from farming.
• City Attorney Eric Larson (during Communications): Addressed the Tipsy Steer/Invictus issue. He stated the city has no ownership relationship with neighboring businesses; Invictus sold the property to an LLC owned by two principals of the 105th redevelopment developer; a lease dispute exists over whether the alcohol license transferred to Tipsy Steer; the city cannot adjudicate the dispute and the liquor license application will remain on hold until the matter is resolved.

Discussion Items

Proclamation

• Jah'Zarah Jackson, a 4th-grade Blaine resident, was recognized as Honorable Mention recipient of the 2025 Mayor for a Day Essay Competition. She spoke briefly about caring for people and helping others. Council and audience applauded.

Public Hearings

8.1 Senior Housing Revenue Note (Crest View Senior Community)

• Finance Director Jason Zimmerman presented a request from Catholic Eldercare for the city to serve as conduit issuer of up to $40 million in multifamily housing revenue notes to facilitate acquisition of Crest View Senior Community, along with assignment of an existing Tax Increment Financing (TIF) note (estimated between $2.2 and $2.6 million). The city bears no repayment liability; the TIF note assignment is standard practice. Public hearing held with no input. Councilmember Massoglia inquired about not extending the TIF note, but staff and bond counsel (Brit Stocks, Dorsey & Whitney; Aaron Youngdahl, Northland Securities) explained it is a critical and routine element. Motion adopted unanimously.

8.2 Wine and 3.2% Malt Liquor Licenses for Smoke and Spice Korean BBQ

• City Clerk Cathy Sorensen presented: on-sale licenses for the restaurant at 301 Northtown Dr NE, Suite 232. Public hearing held with no input. Council approved unanimously, contingent on successful background check. Community Development Director Sellman confirmed the business hopes to open in May 2026.

8.3 Property Tax Abatements for West Parking Facility (105th Redevelopment District)

• City Manager Erik Thorvig provided extensive background: the 105th Avenue/Radisson Road area was identified as a strategic priority in 2021; a visioning process led to a master plan in 2022; Elevage Development Group was selected as master developer in 2022; a ground lease was executed with the Minnesota Amateur Sports Commission for 16 acres; property acquisition and demolition were completed by early 2025; major infrastructure work continues. The West Parking Facility — a 600-stall, podium-style structure with ground-floor retail and an entertainment amenity — is now estimated at $15 million (originally discussed as $7 million). Annual debt service is approximately $1.2 million (2028–2047). Repayment sources would be determined annually by the council through the budget process and could include excess district revenues, utility franchise fees, EDA levy increases, the strategic initiatives fund, or the general fund levy. Public hearing held with no input.
• Councilmember Newland: Opposed, stating $15 million is beyond his comfort level despite supporting the overall development.
• Councilmember Ford: Opposed, arguing all district revenue streams are exhausted and the ramp would fall onto taxpayers.
• Councilmember Larson: Opposed, noting the specific parking structure was only discussed in February 2026 and that alternative revenue sources were already earmarked for reducing property taxes.
• Councilmember Robertson: Supported, emphasizing the council’s commitment to keep the project off the general levy, that excess district revenues would be the first repayment source, and that the parking is needed for the district to function (including events stadium, Scheels, hotel).
• Councilmember Massoglia: Supported, expressing frustration with past tax levy increases (from $37 million to $50+ million) while this project has not raised the levy; he noted the district would create nearly 1,000 jobs and capture tourism revenue.
• Councilmember Fleming: Supported, stating she believes staff will find other revenue sources and that the general levy is the last option.
• Vote: Motion adopted 4-3 (Councilmembers Ford, Larson, Newland opposed).

10.3 (heard immediately after 8.3) Resolution Authorizing Sale of Taxable General Obligation Abatement Bonds, Series 2026D (West Parking Facility)

• City Manager Thorvig presented the parameters resolution (not a bond sale itself). The bonds are a general obligation of the city but repayment can be from various revenue streams. The parameters include conditions such as developer agreement to construct the facility, ground lease, final plat approval, and approved design documents. The same council discussion applied. Vote: Motion adopted 4-3 (same opposition).

Development Items

9.1 Elizabeth Marie Estates – Preliminary Plat

• Subdivision of 3.61 acres into 7 single-family lots at 2791 93rd Ave NE (R-1 zoning). Originally approved in 2019 but expired. No significant changes from the earlier plat. Planning commission recommended approval. Approved unanimously.

9.2 Billboard Conditional Use Permit – 8500 Naples St NE

• CUP for a 65-foot dynamic billboard in Heavy Industrial (I-2A) zoning district. Planning commission recommended approval; no comments at public hearing. Approved unanimously.

9.3 Cannabis/Hemp Manufacturing Facility CUP – 2161 107th Lane NE

• CUP to operate a cannabis manufacturing facility (low-potency hemp edibles) in Heavy Industrial (I-2) zoning. Five employees, no exterior changes. Planning commission recommended approval with conditions, including odor mitigation if complaints arise. Councilmember Newland asked about odor complaint process. Approved unanimously.

9.4-9.7 Ravenwood Development (Pulte Group) – 3700 & 3900 125th Ave NE

• Request: Comprehensive Plan Amendment (PI/PC and LDR to L-MDR) to allow 79 single-family lots and 56 twin homes on 83 acres. Supermajority of 5 required for comp plan change.
• Councilmember Massoglia: Opposed; wants to preserve low-density, avoid patchwork small lots.
• Councilmember Newland: Supported; market demands twin homes, infrastructure costs make large-lot developments like The Lakes unrealistic.
• Councilmember Fleming: Opposed; project does not align with the city’s vision for that area.
• Councilmember Larson: Opposed; the combined parcels are rare; the city already has many townhomes (52 available vs 77 single-family homes); need more larger-lot options.
• Councilmember Ford: Supported; city needs density and tax base; no developer may come soon with a different plan.
• Vote on 9.4: Failed 2-5 (Councilmembers Ford and Newland in favor; Mayor Sanders, Fleming, Larson, Massoglia, Robertson opposed).
• As a result, items 9.5 (Rezoning Second Reading), 9.6 (Preliminary Plat), and 9.7 (Conditional Use Permit) were denied unanimously on staff recommendation.

Administration

10.1 Cooperative Construction Agreement with MnDOT (TH65 Reconstruction)

• Director of Engineering Daniel Schluender presented: agreement for the city’s share of traffic signals ($97,989.15) and sanitary sewer/water main relocations ($945,112.08) as part of TH65 reconstruction from 93rd Ave to 121st Ave/Paul Parkway. Total city share: approximately $1,043,000. Funding sources identified. Approved unanimously.

10.2 Ratification of Local 165 (Police Officers) Labor Agreement for 2026-2028

• Director of Administrative Services Scott Johnson presented the three-year contract including longevity pay, sick leave updates (480 hours for new hires, 960 for existing), and various stipend increases. Councilmember Newland praised the quality of lateral officer moves to Blaine, attributing it to the strong culture. Approved unanimously.

10.4 Execution of Parking Abatement Assistance Agreements and Related Documents (105th Redevelopment District)

• City Manager Thorvig summarized the bundle of agreements: East Parking Abatement, West Parking Abatement, Stadium Abatement, Retail Abatement, and Amendment to Master Development Agreement. Councilmember Ford expressed concern about including the West Parking component. City Attorney Larson advised that the agreements are legally integrated and represent the whole development. Councilmember Newland, while not enthusiastic about every part, supported the overall project. Approved unanimously.

10.5 First Reading – Ordinance Amendments (E-bikes, E-scooters, Parks Conduct)

• Police Chief Brian Podany introduced amendments to Chapters 50 (Offenses), 54 (Parks and Recreation), and 82 (Traffic and Vehicles) to align with state law on mobility devices and clarify conduct in public spaces. Second reading scheduled for April 20, 2026. Ordinance was introduced and placed on file.

Key Outcomes

• Consent Agenda approved 6-0-1.
• 8.1 (Senior Housing Revenue Note) approved unanimously.
• 8.2 (Smoke and Spice Liquor Licenses) approved unanimously contingent on background.
• 8.3 (West Parking Facility Tax Abatement) and 10.3 (Bond Sale Authorization) approved 4-3.
• 9.1, 9.2, 9.3 approved unanimously.
• 9.4 (Ravenwood Comp Plan Amendment) failed 2-5; related items 9.5, 9.6, 9.7 denied unanimously.
• 10.1, 10.2, 10.4 approved unanimously.
• 10.5 introduced for second reading on April 20, 2026.
• Meeting adjourned at 9:15 PM.