Eagan City Council Meeting - December 16, 2025

On December 16, 2025, the Eagan City Council held its second meeting of the month and final meeting of the calendar year at the Eagan Municipal Center. The meeting featured a continued Truth in Taxation public hearing on the proposed 2026 budget and property tax levy, adoption of a substantial consent agenda, approval of housekeeping amendments to city code Chapter 11, and a comprehensive guide plan amendment for a small infill residential development. The council heard public comments from three residents, engaged in extended discussion on the budget process, and ultimately approved a general fund budget of $60,254,400 with an 8.9% levy increase.

Consent Calendar

• A. APPROVE Minutes: Regular Council Meeting minutes from December 2, 2025, approved.
• B. Personnel Items: Memorandum of Agreement approved.
• C. APPROVE Check Registers: Check summaries for November 28 and December 5, 2025, approved.
• D. APPROVE Contracts: Contracts as presented approved.
• E. ADOPT Resolution to Accept Donations: Donations accepted.
• F. ACCEPT Resignation: Resignation of an Advisory Parks and Recreation Commissioner accepted.
• G. APPROVE Plans and Specifications for City Contract 26-03, Northview Tennis Courts: Plans approved and authorization to advertise for bids granted.
• H. APPROVE Final Payment to River City Erectors for City Contract 24-67 (Work Scope 5A), City Project 1557: Final payment approved.
• I. APPROVE Change Order No. 7 for Eagan Community Center Reinvestment Project (#1576): Change order approved.
• J. APPROVE assessment agreements for Local Affordable Housing Aid projects: Assessment deferral agreements for 3670 and 3673 Widgeon Way approved.
• K. APPROVE Change Order No. 3, Contract 25-10, Argenta Trail: Change order approved.
• L. APPROVE 2026 Sperry Tower Lighting Schedule: Schedule approved.
• M–R. RECEIVE Draft Feasibility Reports for Street Improvement Projects: Draft feasibility reports for six projects (Ames Crossing #1627, Blackhawk Oaks #1628, Blackhawk Road/Blue Cross Road #1629, Cliff Lake Road/Rahn Road #1631, Meadowlark Road/Kathryn Circle #1632, Suncliff #1633) received and public hearings scheduled for January 20, 2026.
• S. ADOPT Safe Streets 4 All Action Plan: Action plan adopted via resolution.
• T. APPOINT an In-House Administrative Hearing Officer: Appointed to conduct appeals related to massage establishment/therapy license denials or revocations.
• U. APPROVE Easement Vacation and Final Plat: Woods of Witham Lane 2nd Addition approved.
• V. AUTHORIZE submittal of FY2026 Community Development Block Grant (CDBG) Application: Application authorized and resolution adopted.
• W. APPROVE Request for Proposals for planning consultant services for the 2050 Comprehensive Plan: RFP approved.
• X. APPROVE Resolution Directing the City Clerk to Issue 2026 Alcohol Licenses: Resolution approved.
• Y. EXTEND deadline for payment under the stipulated settlement: Extension granted.

All consent agenda items were adopted unanimously by voice vote with no discussion.

Public Comments & Testimony

• Tom Lopak (Eagan resident): Asked how the city tracks actual budget versus spending throughout the year and how procurement decisions (e.g., vehicle replacement) are made. He also asked whether surplus funds return to the general fund or carry forward. His questions were answered later in the meeting by staff.
• Jason Nord (Kerasway resident): Expressed concern about the cumulative effect of multiple years of high tax levy increases (7% in 2020, 5.4% in 2021, 3.9% in 2022, then 6%, 6.9%, 8%, and now 8.9%) relative to household income growth. He stated he could afford his own increase but worried about affordability for the middle class. He requested that the council reset expectations for 2027 and consider trimming the current levy if possible.
• Bob Richardson (4280 Blackhawk Road resident, age 81): Spoke in support of the comprehensive guide plan amendment for 4290 Blackhawk Road, stating his own smaller lot had not attracted development interest. He asked for consideration of changing his lot to R1 zoning so he could build a garage, noting he was told his current non-conforming use prevented expansion. Mayor and staff acknowledged the issue and suggested he could petition for a guide plan change.

Discussion Items

• 2026 Budget and Tax Levy (Continued Truth in Taxation Hearing):
  • City Administrator Diane Miller summarized the nine-month budget process (April–December).
  • Finance Director Josh Feldman presented drivers of the 8.9% levy increase: personnel costs (80% of General Fund, including 3% COLA, 10% health insurance increase, and two new positions minus 0.6 FTE), Minnesota Paid Leave, Dakota 911 dispatch increases, IT costs (new Draft One software for police), 2050 Comprehensive Plan costs, building operations increases, community center bonds (1.9% of the 8.9% increase), and capital levy adjustments. Public safety aid is phasing out from $3.2M in 2023 to zero by 2028, with tax levy replacing about half the original amount. Since 2018, the fire department transitioned from part-time volunteer to full-time, resulting in a 353% increase in calls for service but halved response times (from ~15 to ~6 minutes). The council explored the impact of a hypothetical $2M cut, which would mean elimination of 23 positions (7 police, 9 fire, 1 mechanic, 1 GIS, and others) and a reduction of the average annual tax increase on a $425,000 home from $143 to $82.
  • Mayor and Council asked detailed questions about the relationship between fire and police call volumes, staffing levels, and service quality. Fire Chief Searle explained that quicker response times have saved lives (citing a recent child rescue) and lowered homeowners insurance rates (Eagan has an ISO rating of 2, saving a $400,000 homeowner about $1,500 per year compared to a community with a rating of 6–7). Police Chief Amari noted the department is authorized for 79 officers but currently has 70, leading to overtime costs; he did not request additional sworn officers this year.
  • Councilmember Bachin and others defended the budget as necessary to maintain high service levels and long-term investments. The Mayor acknowledged that the council cannot easily make large cuts late in the process but committed to reviewing affordability metrics for 2027.
• Chapter 11 Ordinance Amendments (Old Business):
  • City Planner Schultz explained seven minor housekeeping corrections to the zoning code (e.g., clarifying deck setbacks and cross-references). The Planning Commission recommended approval on November 25, 2025. No public comment was offered; the council approved the amendments after brief discussion about the requirement for a public hearing.
• Comprehensive Guide Plan Amendment – Blackhawk View/Melvin Moore (New Business):
  • Staff presented a request to change the land use designation from High Density (HD) to Medium Density (MD) for 0.82 acres at 4290 Blackhawk Road. The property is currently zoned Agriculture with a single-family home built in 1956. The applicant (Maurer, represented by civil engineer Mark Anderson) proposes seven small single-family detached homes on approximately 36-foot-wide lots (4,700–6,000 sq ft each), with a shared driveway and two phases. The surrounding area includes apartments, duplexes, and single-family homes. Staff noted that the current High Density designation assumed possible expansion of adjacent apartments, which never occurred; the Medium Density proposal (8.5 units/acre) is more compatible with existing development. The council discussed the unusual downzoning but concluded it was appropriate for the site. The Mayor noted the Met Council must approve any comprehensive plan amendment.

Key Outcomes

• Consent Agenda: Adopted unanimously.
• 2026 Budget and Tax Levy:
  • Public hearing closed.
  • Motion by Councilmember Bachin, seconded, to adopt the 2026 General Fund budget of $60,254,400 and a final levy of $57,540,700 (8.9% increase). Approved by voice vote (all in favor).
• Chapter 11 Ordinance Amendments: Approved by voice vote.
• Comprehensive Guide Plan Amendment: Motion to direct staff to submit to the Metropolitan Council a comprehensive guide plan amendment changing the land use designation from High Density to Medium Density for 4290 Blackhawk Road. Approved by voice vote.
• Meeting Adjourned: Motion carried at approximately 8:30 PM.

Next Steps

• Staff will prepare the formal budget adoption documents.
• The comprehensive guide plan amendment will be forwarded to the Metropolitan Council for approval; the applicant will then pursue planned unit development zoning and final plat.
• The City Council will revisit fund balance allocation at a future meeting (likely February or March 2026).
• Public hearings for six street improvement projects are scheduled for January 20, 2026.