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Record of Proceedings

Red Wing City Council Annual Workshop on Strategic Plan, Financial Plan, and Legislative Priorities - Jan 29, 2026

City Council — Thursday, January 29, 2026
BodyRed Wing, Minnesota
SessionCity Council
DateThursday, January 29, 2026
StatusFILED
Video Record
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Speaker numbers apply only to this recording.

Speaker 1

0:00

We are at January 29th, Thursday.

0:03

It is 4:19, and we're in the Red Wing City Council chambers.

0:07

We have Becky Norton, Marshall Halleck, Beth Snyder, Michelle Lighty, myself, Jamie Fair, Vikito Lambert, Ron Goggin, Carrie Yakel, Kim Bythy, Chris Heineman, Sean Blaney, Mike Werner.

0:21

Sorry, I'm not using the official titles, but I hope I understand.

0:24

Brian Mattling, Kyle Platt, I think that's all.

0:29

Michelle Lighty is in the room.

0:32

So we will begin our workshop.

Unassigned speaker

0:35

Thank you

Speaker 2

0:35

now.

Speaker 1

0:36

And again, thanks for everybody coming.

0:37

I know very when Chris and I talked very high level things, but really important for the rest of the year and what we work on, obviously.

0:43

So maybe keep that in mind as we proceed.

0:46

And then I'll hand it over to you, Chris.

Speaker 3

0:48

Absolutely.

0:49

So the starting point here, I just wanted to say um just to make sure that we start from the top of the meeting.

0:58

This is not a strategic planning session.

1:00

Um we have a strategic plan, and um the 24 to 26 strategic plan is that was uh I don't know how many three meetings, I believe, um, in 2024, and so it didn't have mayor's involvement, didn't have uh, Snyder's involvement, but um this is the plan that we have been working on.

1:20

Um aside from referring to it occasionally last year, we took um we have staff uh retreat, uh first half of a staff retreat in November, I believe it was.

1:33

Was it early?

1:35

Forget the dates.

1:36

I think it was before Thanksgiving, wasn't it?

1:40

I'll have to I will be burped because my memory doesn't serve me.

1:45

But um half of that meeting was a kind of a staff engagement and training session on communication styles and and um working together.

1:54

The other half we sort of dug into that strategic plan, the 2024 and 2026 strategic plan, um, looked at what were the items that um uh we were mostly complete or in progress.

2:10

What are the items that are still outstanding and of those items what what items fit into our schedules and our uh priorities that we've been talking about for 2026?

2:21

Um, so that process started then.

2:23

We've had two additional staff meetings, um, a couple hours apiece, so probably uh at least five or six hours, kind of looking at those those uh priorities, action items, and processes, and then um ultimately, I'm gonna show you pictures if we wanted to.

Unassigned speaker

2:41

We have sticky notes, we had we had um like three or four different ways to kind of gather the information, and then ultimately we added into that all of the projects and priorities that really have been determined through the budget process and through the CIP process last year.

Speaker 3

2:58

Um so that's what we're gonna present here tonight for is the strategic plan update.

3:03

We'll go through the PowerPoint here and go through some highlights.

3:06

Um, all of the documents, okay.

3:09

So maybe I'll I'll just explain the uh the documents we've got.

3:14

Um the strategic plan itself.

3:16

That's it, okay.

3:17

Gotcha.

3:18

We have appendix A and Appendix B.

3:20

And I say, appendix B.

3:21

So appendix A, just so I don't have to be glancing at it and confused until I get to it in the PowerPoint.

3:28

Those are the items from the 2024 2026 strategic plan, but they're specifically the 2026 actions from that plan.

3:37

Or the things that we are currently working on, plan to be working on, we need to be working on in 2026.

3:44

And then appendix B is the actual work plan items that were approved through either the CIP budget or the annual budget process.

3:52

And they're all of those are not the daily routine tasks that every department does.

3:58

They are projects of some level.

4:01

I could put a cost estimate on it.

Unassigned speaker

4:03

Um we initially talked, well, is it a $5,000 project or is it a you know half million dollar project?

Speaker 3

4:10

And there's there's not a good answer to that because some $5,000 projects are essentially important and take some time to develop.

4:19

As you know, as much as sometimes a $200,000 project doesn't take that much staff time.

4:24

It's you know contracted.

4:26

So it's up to the department heads uh, or it was up to the departments to determine which items fit in there.

Unassigned speaker

4:32

So it may not be exhaustive uh or uh inclusive of everything that that should be on that list, but it's a pretty good effort.

Speaker 3

4:40

We spent the month of January trying to kind of fine-tune that list and and get it to that amount.

4:47

And as you can see, the appendix A is not the same format as appendix B.

4:52

Appendix A is divided by department, so there's a little bit of duplication because some of those projects or initiatives are they require multiple departments.

5:03

But it's not often that the duplication in there and then appendix B is actually divided up by quarters because there's staging of certain things and and um we're not on on task on time in the first quarter and then some things won't be able to happen in the second quarter, third quarter, fourth quarter so with that overview.

5:27

Just wanted to go into the PowerPoint I don't have the controls I will we

Unassigned speaker

5:33

can

Speaker 1

5:35

usually um or to Marshall.

Speaker 4

5:39

You always use a pointer right there.

5:43

Yep and no anyway look at the it's a little bit

Unassigned speaker

5:51

okay.

Summary of Proceedings

Red Wing City Council Annual Workshop on Strategic Plan, Financial Plan, and Legislative Priorities - Jan 29, 2026

The Red Wing City Council convened for its Annual Workshop on January 29, 2026, at 4:19 p.m. in the City Council Chambers, adjourning at 8:07 p.m. Council President Janie Farrar presided. The workshop focused on three primary agenda items: an update on the 2026 Strategic Plan and Annual Workplan, a detailed review of the city's Long-Range Financial Plan, and a discussion of the city's 2026 State Legislative Priorities. Council Member Don Kliewer was absent. Key staff present included Council Administrator Chris Heineman, Administrative Business Director Marshall Hallock, and Community Development Director Kyle Klatt.

Strategic Plan & Annual Workplan Update

  • Highway 1961 Site: Council Member Becky Norton requested a detailed account of the history of the property's acquisition by the Port Authority and its eventual transfer to the city to clarify resident concerns about the city's financial commitment. Staff agreed to prepare this information.
  • Housing Initiatives: A wide-ranging discussion covered needed zoning changes for multi-family housing, expanding incentives for developers, and affordable housing. Council Member Vicki Jo Lambert sought clarity on deeply subsidized housing. Council Member Norton stressed the city's need to prioritize entry-level, owner-occupied starter homes over high-end units, lamenting that most new homes are purchased by landlords. Staff noted the difficulty in finding developers willing to build at that price point.
  • Briarwood Subdivision: Public Works Director Shawn Blaney reported that the long-stalled Briarwood subdivision requires significant infrastructure investment (road connection) that faces political opposition from the existing neighborhood.
  • Police Staffing: Assistant Police Chief Brian Metling reported the department is now fully staffed, attributing this to innovative hiring practices and a new promotional video.
  • Lawsuit & Cannabis Partnership: Council Administrator Heineman reported that a resolution to a current lawsuit related to cannabis retail is advancing, with a specific agreement potentially ready for council consideration within the next 30 days.
  • Benefits Study & Employee Health: Council debated conducting a benefits study internally versus hiring an outside consultant. Council Members Norton and Lambert requested specific price quotes from external firms. President Janie Farrar advocated for an outside firm to ensure neutrality. Council Member Norton raised specific concerns about the financial burden of health insurance (ICRA) on city employees.
  • Staff Appreciation: Council expressed consensus to revive a city-wide staff appreciation event.
  • ADA Accessibility: Public Information Officer Michelle Leise informed the council of upcoming 2027 federal mandates requiring live captioning and audio descriptions for all broadcast meetings, stating that a 2026 budgetary decision is necessary to prepare for these compliance costs.
  • Key 2026 Priorities: The Council Administrator presented a list of top priorities for 2026, which council members broadly agreed upon: the Wastewater Treatment Plan, the Law Enforcement Center feasibility, the Highway 1961 redevelopment, rezoning for multi-family housing, the Prairie Island cannabis partnership, and the employee benefits study.

Long-Range Financial Plan Update

  • Administrative Business Director Marshall Hallock presented on "economic resiliency planning," framing it as a response to the state's energy transition and power plant retirements. The city has received a state grant for this effort.
  • The plan consists of four components: a land development feasibility analysis, a long-range financial model, a strategy plan, and an annexation plan.
  • Key dates for council action include a workshop to review a draft on May 5, 2026, and a final plan presentation on June 1, 2026.

2026 Legislative Priorities Update

  • Sturgeon Lake Road: Marshall Hallock reported an estimated $4 million in savings from the Prairie Island bridge project. To prevent the road repair costs from falling entirely on local taxpayers, he recommended the council seek a state technical amendment to repurpose these funds for the repair of Sturgeon Lake Road. Council expressed general support for this effort.
  • Port Authority Board Terms: Council Administrator Heineman and Community Development Director Klatt recommended that the council pursue state legislation to revert Port Authority board member terms from three years back to the standard six years, citing a need for greater institutional memory and continuity. Council Member Norton requested more historical background on the port authority's structure before supporting the measure.

Key Outcomes

  • Staff Direction: Staff were directed to collect bids/quotes for an employee benefits analysis.
  • Legislative Approval Sought: The council generally supported pursuing a technical amendment for Sturgeon Lake Road repairs.
  • Priorities Confirmed: The council's consensus validated the administration's list of top priorities for 2026.
  • Port Authority Terms: A formal recommendation to the state legislature was tabled pending further historical analysis.

Meeting Transcript

We are at January 29th, Thursday. It is 4:19, and we're in the Red Wing City Council chambers. We have Becky Norton, Marshall Halleck, Beth Snyder, Michelle Lighty, myself, Jamie Fair, Vikito Lambert, Ron Goggin, Carrie Yakel, Kim Bythy, Chris Heineman, Sean Blaney, Mike Werner. Sorry, I'm not using the official titles, but I hope I understand. Brian Mattling, Kyle Platt, I think that's all. Michelle Lighty is in the room. So we will begin our workshop. Thank you now. And again, thanks for everybody coming. I know very when Chris and I talked very high level things, but really important for the rest of the year and what we work on, obviously. So maybe keep that in mind as we proceed. And then I'll hand it over to you, Chris. Absolutely. So the starting point here, I just wanted to say um just to make sure that we start from the top of the meeting. This is not a strategic planning session. Um we have a strategic plan, and um the 24 to 26 strategic plan is that was uh I don't know how many three meetings, I believe, um, in 2024, and so it didn't have mayor's involvement, didn't have uh, Snyder's involvement, but um this is the plan that we have been working on. Um aside from referring to it occasionally last year, we took um we have staff uh retreat, uh first half of a staff retreat in November, I believe it was. Was it early? Forget the dates. I think it was before Thanksgiving, wasn't it? I'll have to I will be burped because my memory doesn't serve me. But um half of that meeting was a kind of a staff engagement and training session on communication styles and and um working together. The other half we sort of dug into that strategic plan, the 2024 and 2026 strategic plan, um, looked at what were the items that um uh we were mostly complete or in progress. What are the items that are still outstanding and of those items what what items fit into our schedules and our uh priorities that we've been talking about for 2026? Um, so that process started then. We've had two additional staff meetings, um, a couple hours apiece, so probably uh at least five or six hours, kind of looking at those those uh priorities, action items, and processes, and then um ultimately, I'm gonna show you pictures if we wanted to. We have sticky notes, we had we had um like three or four different ways to kind of gather the information, and then ultimately we added into that all of the projects and priorities that really have been determined through the budget process and through the CIP process last year. Um so that's what we're gonna present here tonight for is the strategic plan update. We'll go through the PowerPoint here and go through some highlights. Um, all of the documents, okay. So maybe I'll I'll just explain the uh the documents we've got. Um the strategic plan itself. That's it, okay. Gotcha. We have appendix A and Appendix B. And I say, appendix B. So appendix A, just so I don't have to be glancing at it and confused until I get to it in the PowerPoint. Those are the items from the 2024 2026 strategic plan, but they're specifically the 2026 actions from that plan. Or the things that we are currently working on, plan to be working on, we need to be working on in 2026. And then appendix B is the actual work plan items that were approved through either the CIP budget or the annual budget process. And they're all of those are not the daily routine tasks that every department does. They are projects of some level. I could put a cost estimate on it. Um we initially talked, well, is it a $5,000 project or is it a you know half million dollar project? And there's there's not a good answer to that because some $5,000 projects are essentially important and take some time to develop. As you know, as much as sometimes a $200,000 project doesn't take that much staff time. It's you know contracted. So it's up to the department heads uh, or it was up to the departments to determine which items fit in there. So it may not be exhaustive uh or uh inclusive of everything that that should be on that list, but it's a pretty good effort.

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