Waconia City Council Regular Meeting – January 5, 2026

The Waconia City Council met Monday, January 5, 2026, at 6:00 p.m. at City Hall, with Mayor Tim Litfin presiding. Council Members Nick Gleason and Jacob Coleman were absent, leaving Council Members Jeff Grengs and Derek Siddons to form a three-member quorum; all roll-call votes were 3-0. The meeting adjourned at 7:00 p.m., following a 4:45 p.m. work session at the Old Fire Station, 26 S Maple St.

Consent Calendar

• Approved routine consent agenda items, including the December 22, 2025 City Council minutes; January 5, 2026 expenditures; contractor pay request No. 7 to GMH Asphalt Corporation for Downtown Reconstruction Phase 3; contractor pay request No. 5 to Minger Construction for CSAH 10 & Waconia Parkway North Improvements; appointments through Resolutions 2026-001 through 2026-011; Ordinance No. 784 amending Chapter 415 regarding storm water reuse systems; a facade improvement grant for Lakeside Books; the Elm Creek Ridge final plat for Magellan Land Development LLC; the 2025 pond cleaning contract; temporary on-sale liquor licenses for the Waconia Lions Club and St. Joseph Catholic Church; and the Special Olympics Polar Plunge special event permit.
• Consent Agenda items 8.12 (Appointment of Consulting Engineer) and 8.22 (Special Olympics Polar Plunge special event permit) were pulled from the Consent Agenda and considered separately later in the meeting.

Community Interest Presentations

• Park Board Recognition: Mayor Litfin and the Council recognized outgoing Park and Recreation Board members Lacey Shaw and Tom Adamini. Ms. Shaw began serving as an alternate in 2017 and served two full terms since 2020; Mr. Adamini served two full terms beginning in 2020. The Mayor noted their combined service to the community as Park Board members and thanked them for their leadership.
• Legislative Update – Representative Jim Nash: Rep. Nash said the November budget forecast projects a cash surplus through 2026 but a structural deficit of approximately $3 billion by the end of 2026, making bonding decisions difficult. He stated that roads, bridges, and water treatment plants will receive the highest attention, and that the second year of the biennium is traditionally a policy-focused year. He expressed support for the Highway 5 improvement project and for a framework that would give cities general authority to create social districts rather than requiring city-by-city legislation. Mayor Litfin outlined the City’s legislative priorities: a $6 million state capital investment request for Highway 5 corridor improvements, a $24 million Water Treatment Plant No. 4 project producing 2,000 gallons per minute with a $5 million state funding request, and economic development efforts including social districting.

Council Business

• CSAH 10 Connector Trail – Resolution 2026-022: Public Services Director Jon Haukaaas presented a proposal to complete a trail connecting Waconia’s trail system to the Sterling Hill neighborhood and provide a safe alternative to walking or biking on the CSAH 10 shoulder. The trail was originally part of the CSAH 10/Waconia Parkway North roundabout project but was removed due to budget concerns. The City is negotiating a joint powers agreement with Carver County for a 50-50 cost split, pending county board approval. The estimated project cost is approximately $770,000, with a $175,000 MN DNR Local Trails Connections grant that expires in June 2026 (the minutes state June 20; the transcript references June 30). Staff noted that negotiations could save about $100,000 if county curb and gutter requirements are removed. The Council adopted Resolution 2026-022, 3-0, authorizing preparation of plans and specifications and advertisement for bids.
• All-Way Stop at 1st Street and Vine Street – Resolution 2026-023: Mr. Haukaaas reported that Bolton & Menk conducted a traffic evaluation in October 2025. Although the intersection did not meet standard primary criteria, secondary criteria under Mn MUTCD Option D supported an all-way stop because of limited sight lines, the steep northbound approach on Vine Street, on-street parking, and high pedestrian volumes during downtown events. The change adds stop signs on 1st Street to create an all-way stop, with temporary flashers and flags during the transition. Council Member Siddons expressed full support for the safety improvement. The Council adopted Resolution 2026-023, 3-0, approving the stop sign installation.

Items Removed from Consent Agenda

• Appointment of Consulting Engineer – Resolution 2026-008: Mayor Litfin pulled this item as a “good news” item. Bolton & Menk will provide a municipal discount for day-to-day general engineering items and has kept its fees for Council meeting attendance, Planning Commission attendance, and design services unchanged for 10 years. The Council adopted the resolution, 3-0, reappointing Bolton & Menk as Consulting Engineer.
• Special Olympics Polar Plunge – Resolution 2026-021: Mayor Litfin promoted the Special Olympics Polar Plunge, scheduled for Saturday, February 14, 2026, at Lola’s Lakehouse. He said he will participate and thanked Mark Anderson for organizing the event. The Council adopted the special event permit resolution, 3-0.

Board Reports, Franchise Fees, and Announcements

• Mayor’s Report: Mayor Litfin reported on the earlier Old Fire Station work session. He stated that he is in favor of keeping the 13,000-square-foot former fire station, calling it an asset despite maintenance needs and issues with the non-operational water treatment plant on the property. He also announced that “The Mayor Is In” would be held Wednesday morning, January 7, 2026, at 7:30 a.m. at City Hall.
• Franchise Fees: Mayor Litfin discussed franchise fees, which the City Administrator has asked the Council to consider since February 2025. He said the fees would be collected from all 5,449 residential electric utility customers and all 4,755 residential gas utility customers, as well as businesses, churches, and schools. He expressed concern that franchise fees are a “hidden tax” separate from property taxes, could increase year to year, and would be difficult to stop once enacted. He noted that three residents opposed the fee at the December 22, 2025 meeting and encouraged residents to contact Council members. He stated that franchise fees will be on the agenda for the next City Council meeting on Tuesday, January 20, 2026.
• Announcement: Public Services Director Jon Haukaaas announced a Downtown Reconstruction Phase 4 Open House on Wednesday, January 7, 2026, from 4:30 to 6:00 p.m. at City Hall. The project will include First Street from Olive to Spruce, Elm Street from First to Second, Second Street from Elm to Pine, removal of Pine Street and return of that roadway to grass, plus new lighting and banners, including lighting in City Square Park.

Key Outcomes

• Adopted the consent agenda as amended, with items 8.12 and 8.22 pulled and approved separately.
• Adopted Resolution 2026-022, 3-0, authorizing plans, specifications, and bid advertisement for the CSAH 10 Connector Trail.
• Adopted Resolution 2026-023, 3-0, approving an all-way stop at 1st Street and Vine Street.
• Adopted Resolution 2026-008, 3-0, appointing Bolton & Menk as Consulting Engineer.
• Adopted Resolution 2026-021, 3-0, approving the Special Olympics Polar Plunge special event permit.
• The next regular City Council meeting is scheduled for Tuesday, January 20, 2026, with franchise fees on the agenda.