Shakopee City Council Meeting - May 5, 2026

The Shakopee City Council met on Tuesday, May 5, 2026, at 7:00 PM at City Hall. The meeting included a recess for the Economic Development Authority (EDA) meeting, which handled items related to the same Gravel Pit TIF district. Key actions included approval of a new Tax Increment Financing plan for the Gravel Pit redevelopment, direction on council salary adjustments, and acceptance of the Parks and Recreation Annual Report.

Consent Calendar

• The consent agenda was approved with the removal of item 5D (Council salary adjustment) and item 5N (Snow Plowing/Ice Control Policy) for separate discussion. All other routine items on the consent agenda were approved unanimously.

Public Comments & Testimony

• No members of the public came forward to speak during the public comment period for items not on the agenda, nor during the public hearings.

Public Hearings

• 8A - Gravel Pit TIF 22: The council opened and closed a public hearing with no public testimony. Staff presented the updated plan for the Shakopee Gravel Pit redevelopment, now estimated at $600 million investment, with a new $110 million TIF plan. The developer has secured a home builder willing to build all product types. A new access road was added to support the commercial area. The council approved resolution R2026-074 (rescinding the 2024 plan and adopting the new TIF plan) by a vote of 3-2.
• 8B - Assessment hearing on delinquent false alarms and mowing services: The council opened and closed the public hearing with no testimony. Staff reported seven unpaid charges totaling $1,400 (two false alarms, five mowing charges). The council adopted resolution R2026-063 certifying the assessments by voice vote.

Discussion Items

• 5D - Council Salary Adjustment (removed from consent): Councilmember Delaney expressed concern that a $3,500 increase (from $9,000 to $12,500) was excessive, noting the city is near the midpoint of comparable cities. Councilmember Reynolds (city administrator) argued the increase is needed to benchmark at the midpoint and ensure council compensation remains competitive. Councilmember Whiting proposed amending to also increase the mayor's salary and retain per diems. After debate, the council reached a consensus: direct staff to draft an ordinance increasing council salaries to $10,500 (a $1,500 increase), adding an annual COLA equal to the staff increase, and retaining the $50 per diem for liaison meetings. No formal vote was taken on the final ordinance; the matter will return at a future meeting.
• 5N - Snow Plowing/Ice Control Policy (removed from consent): Councilmember Whiting objected to a change in Section 14 that changed "landscaping... is permitted" to "is not permitted," fearing it would prohibit residents from planting in boulevards and assume city liability. Staff noted the city does not police boulevards. The council approved the policy with an amendment to strike the word "not" from Section 14, reverting to the original language that planting is permitted but at owner's risk. Motion passed by voice vote.
• 11A - Parks and Recreation Annual Report Presentation: Parks and Rec Director Kelsey presented the 2025 annual report. Highlights included a 138% increase in season pass/punch card sales on Pirate Day at Sand Venture Aquatic Park (31% of revenue target met in one day), a departmental restructure creating an assistant director role, progress toward CAPRA accreditation (on-site review occurring May 5-6), and cost recovery rising from 51% to 62% (national average is 27%). The council commended the department's performance.
• 11B - Final Plat of Highview Park 6th Addition: Staff presented the final plat for 29 single-family homes in the Highview Park subdivision, consistent with zoning. The council approved resolution R2026-071 by voice vote.
• EDA Meeting (Recess and Reconvene): The council recessed for the EDA meeting. During the EDA meeting:
  • Approved a change order with Gensler for $55,000 (split 50/50 with Canterbury Development) for additional study of the Canterbury area entertainment district concept, which includes a proposed 150-room hotel, multifamily housing, and mixed-use development.
  • Approved EDA resolution E2026-002 (same as council resolution) for the Gravel Pit TIF District 22, by a vote of 3-2.
  • Approved an increase in the interfund loan for TIF 22 from $300,000 to $600,000 to cover pre-development costs, by vote of 4-1.
  • Approved the EDA bill list and adjourned to June 2, 2026.

Key Outcomes

• Gravel Pit TIF Approved: Resolution R2026-074 and EDA resolution E2026-002 passed 3-2, enabling a $600 million redevelopment with a $110 million TIF plan. The project includes a 24-acre park, 739 housing units, a grocery store, and commercial space over a 5-10 year buildout.
• Council Salary Direction: Staff was directed to draft an ordinance raising council salaries from $9,000 to $10,500, add an annual COLA matching staff increases, and retain $50 per diem for liaison meetings.
• Snow Plowing Policy Amended: Policy approved with a one-word change, restoring the allowance for landscaping in city rights-of-way subject to owner risk.
• Highview Park Final Plat Approved: 29 single-family lots approved.
• Delinquent Assessments Ordered: $1,400 in unpaid false alarm and mowing charges certified for collection.
• Canterbury Study Advanced: Gensler change order approved for further entertainment district planning.
• Next Meeting: The city council will reconvene on May 19, 2026, at 7:00 PM.