Eagan City Council Meeting – September 2, 2025

The Eagan City Council met in regular session on September 2, 2025, at the Eagan Municipal Center. The council adopted the consent agenda, held public hearings on delinquent bills, approved two interim use permits, and certified the preliminary 2026 budget and property tax levy.

Consent Calendar

The council unanimously adopted the consent agenda, which included approval of prior minutes; personnel items; check registers for August 15 and August 22, 2025; contracts; donations; a resolution authorizing a special deer hunting season on private property; a fiber optic IRU agreement with Dakota County for the River Valley Acres Gun Range and Cedar Avenue Trailhead; rescheduling the October 8 and November 4, 2025 council meetings; acceptance of draft final assessment reports (Projects 1567, 1568, 1570, 1572) with public hearings set for October 7, 2025; contract awards; final payments; an encroachment agreement for 3000 Ames Crossing Rd; and a temporary on-sale beer and wine license for the Minnesota Freeze Australian Rules Football Club.

Public Hearings

• Delinquent nuisance abatement bills: Staff reported 24 properties owed just over $9,000 in unpaid false-alarm invoices. The city charges $125 for the fourth and subsequent false alarm in a calendar year, and an additional 10% late fee applies when unpaid within 30 days. The council closed the hearing and approved certifying the delinquent bills to Dakota County for collection with property taxes.
• Delinquent utility bills: Staff reported approximately 1,118 utility billing accounts were delinquent, with an assessable amount of roughly $396,000. A council member asked about the share of delinquencies, and staff estimated between 5% and 10% of accounts. The council closed the hearing and approved certifying the delinquent utility bills to Dakota County.

Public Comments & Testimony

• No members of the public commented on the consent agenda or the two public hearings.
• During the budget item, a member of the public asked for the total proposed levy and what prompted the need for a levy. Staff provided the total levy figure and explained components such as new positions, community center bond costs, cost-of-living adjustments, and paid family leave.

Discussion Items

• River Valley Church interim use permit: The council approved a five-year interim use permit allowing a church at 875 Blue Gentian Rd in the BP Business Park district. The church has operated there since 2011; its previous permit expired on July 2, 2024 after the planned relocation to the former Kowalski site fell through. The church uses about 16,000 square feet of the 59,000-square-foot building, with about 400 seats plus a 100-seat youth auditorium. The Planning Commission recommended approval, and the council approved with no public opposition.
• Minnesota Top Team interim use permit: The council considered renewal of an interim use permit at 3500 Dodd Rd to allow outdoor storage of two cargo containers and an outdoor fitness training area. The property is zoned I-1 limited industrial and contains a 15,000-square-foot building operated as a fitness gym since 2014. The previous three-year permit expired in July 2025. Several council members expressed concern that the containers were originally expected to be temporary and that the site had expanded to include an unbilled outdoor fitness area. The applicant said the containers hold maintenance and fitness equipment and that he would comply with conditions. The council approved the three-year permit on a 3-2 vote, with some council members indicating they would oppose another extension.
• Preliminary 2026 budget and property tax levy: The council certified the preliminary payable 2026 general fund budget of $59,527,400 and a total property tax levy of $57,540,700. The levy is an 8.9% increase over 2025, with 1.9% tied to bonds for the Eagan Community Center renovation. The city's portion of taxes on the average-value home of $426,272 would rise by about $140, though staff noted a portion of that reflects increased assessed value. The levy breakdown is: operating $46,253,100; capital $6,364,710; abatement $1,048,000; and debt service $3,874,890. The council set the truth-in-taxation public hearing and budget discussion for Tuesday, December 2, 2025, at 6:30 p.m., and announced that the levy cannot be increased after certification, only decreased.

Key Outcomes

• Adopted the consent agenda and all listed routine items.
• Certified delinquent nuisance abatement bills and delinquent utility bills for collection with property taxes.
• Approved the River Valley Church five-year interim use permit.
• Approved the Minnesota Top Team three-year interim use permit on a 3-2 vote.
• Certified the preliminary 2026 general fund budget and property tax levy and scheduled the December 2, 2025 truth-in-taxation hearing.
• The council moved into closed session to discuss Damron and Arvidson litigation against the city, with formal adjournment scheduled after the closed session.