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09.22.2025 CC MinutesCHANHASSEN CITY COUNCIL REGULAR MEETING MINUTES SEPTEMBER 22, 2025 Mayor Ryan called the meeting to order at 7:00 p.m. The meeting was opened with the Pledge of Allegiance. COUNCIL MEMBERS PRESENT: Mayor Ryan, Councilmember McDonald, Councilmember Schubert, Councilmember von Oven, and Councilmember Kimber. COUNCIL MEMBERS ABSENT: None. STAFF PRESENT: Laurie Hokkanen, City Manager; Eric Maass, Community Development Director; Charlie Howley, Rachel Jeske, Planner; and Jenny Potter, City Clerk. PUBLIC PRESENT: Dr. Erin Rathke Kerry Zajicek, 1601 Lyman Boulevard Deena Laugen PUBLIC ANNOUNCEMENTS: 1. Congratulations on Civic Campus Phase 1 Completion, and welcome to the new Council Chambers Mayor Ryan welcomed everyone to the new Civic Campus and expressed excitement for the new space. 2. District 112 Referendum – Dr. Erin Rathke, Superintendent of District 112 Schools Mayor Ryan introduced Dr. Erin Rathke. Dr. Erin Rathke congratulated the city on their new location. She reviewed the financial reality and noted that the funding has not kept pace with inflation. She explained the student-centered spending and noted that instruction and instructional support were essential. She commented that the 10-year levy proposal was to increase the general education revenue by $742 per pupil, subject to an annual increase at the rate of inflation. This would equate to $23 per month for a $500,000 value home. She provided examples that would happen if the operating levy were approved, including an enhanced gifted and talented program, enhanced advanced academics at the middle level, and additional counseling support at the high school. She stated that if the operating levy was not approved, the district would need to cut $6.5 million over four years to maintain an eight percent fund balance. She said that there was a website with a live calculator that could give residents an idea of their direct costs. She explained the tax impact distribution City Council Minutes – September 22, 2025 2 and noted that the tax impact historically decreases over time. She said that the vote was on or before November 4, 2025. Dr. Rathke said that they were doing investments at elementary, middle, and high school, and her other presentation provides additional depth to these changes. CONSENT AGENDA: Councilmember McDonald moved, Councilmember Kimber seconded that the City Council approve the following consent agenda items 1 through 14 pursuant to the City Manager’s recommendations: 1. Approve City Council Special Work Session Minutes dated September 4, 2025 2. Approve City Council Meeting Minutes dated September 8, 2025 3. Approve City Council Work Session Minutes dated September 8, 2025 4. Receive Planning Commission Minutes dated September 2, 2025 5. Receive Environmental Commission Minutes dated July 9, 2025 6. Approve Claims Paid dated September 22, 2025 7. Minnesota Valley Operation Round Up Grant Award 8. Firefighting Personal Protective Equipment Donation 9. Approve Civic Campus Splashpad Purchase with Commercial Recreation Specialist, Inc. 10. Approve Entering Into Agreements with Construction Manager for Chanhassen Bluffs Community Center 11. Resolution 2025-63: Accepting Donation from Level 7 Development, LLC 12. Resolution 2025-64: Authorize Condemnation of Land Associated with the Southerly Extension of Laredo Drive 13. Resolution 2025-65: Accept $528.01 Donation from Chaska Community Hockey Association for Community Day Sponsorship 14. Resolution 2025-66: Authorize Design and Construction Administration Services Contract for the 2025 Stormwater Pond Maintenance and the Red Cedar Point Drainage Improvement Projects All voted in favor, and the motion carried unanimously with a vote of 5 to 0. City Council Minutes – September 22, 2025 3 VISITOR PRESENTATIONS. 1. Kerry Zajicek Citizen Action Request Kerry Zajicek, 1601 Lyman Boulevard, thanked the City Council for the opportunity to speak. He said they bought their five-acre property in 2022 and moved in during 2023. He said that it came with a detached shed, and they hoped to build an outdoor sports court, but the city said no. He said there were not many appropriate places to build a sports court based on a detached structure, driveway, and property line. He asked if he could construct a detached structure that was 1500 feet to allow the indoor sports court to have a three-point line. He explained that the detached structure would take a smaller footprint than the current outbuilding and an outdoor sports court. FIRE DEPARTMENT/LAW ENFORCEMENT UPDATES. None. PUBLIC HEARINGS. None. GENERAL BUSINESS. 1. Approve Site Plan for a Memory Care Facility at 1620 Arboretum Boulevard (#25-10) Rachel Jeske, Planner, reviewed the development location for the proposed memory care facility. She summarized the definition and the standards for a continuing care facility. She provided an overview of the site plan architecture, landscaping, utilities, and grading and drainage. She explained that the wetland delineation was approved in May 2025 and noted that the Planning Commission approved allowing them to build in the wetland setback. She said that the Water Resources Department recommended an enhanced buffer reestablishment plan. Councilmember von Oven clarified that the max roof height was 35 feet. Ms. Jeske confirmed this information. Mayor Ryan asked about the wetland setback. Ms. Jeske explained that it would be more of a benefit for the buffer to be established, even though the building would be in the setback. Mayor Ryan said that they would reestablish the buffer, and she asked if the wetland was in poor condition. Ms. Jeske answered that the wetland and the creek were in poor condition. She said she was unsure of the specifics, but that the Water Resources Department would work with the applicant, and the applicant would have to do maintenance. Mayor Ryan discussed the potential impact on the park. Ms. Jeske answered that a majority of the tree removal was on the western side and the eastern corner. She said that most trees would be saved, so it was unlikely that there would be major changes to Lake Ann Park. The applicant is also adding an improved landscape buffer. City Council Minutes – September 22, 2025 4 Eric Maass, Community Development Director, clarified that the only impacts would be on private property and not on Lake Ann Park Property. Deena Laugen, a representative for the developer, explained that the goal of Eden Springs was to make the continuing care facility feel like a home. She stated that there were profound benefits to a boutique community. She described the plan to replant the landscape buffer for the wetland. She expressed excitement to be a part of Chanhassen. Councilmember McDonald confirmed that they would have memory care. He asked if they would have different stages, such as assisted living, memory care, and hospice. Ms. Laugen answered that those different options would be available, and there would be security in place for memory care. Councilmember McDonald asked if they were accepting Medicaid payments. Ms. Laugen answered that they would be making cash payments currently. Councilmember McDonald asked if they could transition to Medicaid payments. Ms. Laugen answered that at the current time, they were set up for cash payments but were looking for additional options. Councilmember McDonald asked what would happen if people ran out of money to pay for the living scenario. Ms. Laugen responded that they were considering additional payment options, such as forming a non-profit with different scholarship opportunities. She said they were looking at different ways to serve the residents. Councilmember McDonald said that a lot of older residents would need an option like this, but did not have the finances in place. He hoped that Chanhassen could be for the rich and the poor. Councilmember von Oven moved, Councilmember McDonald seconded that the Chanhassen City Council approves the requested site plan for the 42-bed Eden Springs Assisted Living and Memory care facility, subject to the conditions of approval and adopts the attached Findings of Fact and Decision. All voted in favor, and the motion carried unanimously with a vote of 5 to 0. 2. Approve Final Plat for Avienda Apartments (Planning Case 25-08) Eric Maass, Community Development Director, reviewed the final plat for the Avienda Apartments. He stated that the final plat had the necessary drainage and utility easements and provided easement areas for public utilities. He said that the approval recommendation was contingent on approval of a Development Contract between the Developer and the city. He said City Council Minutes – September 22, 2025 5 that a proposed grocer would like to see a land purchase for the apartment project before accepting a lease. Councilmember Schubert moved, Councilmember Kimber seconded that the Chanhassen City Council approves the Avienda Apartments final plat as proposed and adopts the attached Findings of Fact and Decision. All voted in favor, and the motion carried unanimously with a vote of 5 to 0. 3. Resolution 25-67: Support for Suburban Transit Providers Councilmember Kimber expressed the importance of maintaining a strong and resilient transit system. He reaffirmed the crucial role of Suburban Transit Providers, such as SW Transit. He said that it was important for Chanhassen and other communities to be served by suburban transit providers, and they need to have a strong voice in the future. Councilmember McDonald expressed the value of SW Transit and noted that residents could travel to many different locations using the services. He commented that Metro Transit could not support the location well. He said if SW Transit were eliminated, it would leave a large void for residents, especially those who could not afford a vehicle. He stated that the taxpayer dollar goes a long way for SW Transit services. Mayor Ryan said that it was a strong plea, and the city felt strongly about SW Transit. She asked if there was something residents should be aware of at the legislature that caused the resolution. Councilmember McDonald answered that there was a constant battle with transit in the cities. Chanhassen got out of the Metro Transit through special legislation to form its own transit companies. He said that they struggle to get the funding from the Metropolitan Council. He said it was important that the cities send a clear message that others cannot touch the opt-outs. He stated that if they lost the charter, it would create a void in Chanhassen, and Metro Transit could not handle the increased volume. Councilmember Kimber moved, Councilmember McDonald seconded that the Chanhassen City Council adopt Resolution 25-XX: Support for Suburban Transit Providers and direct staff to share with local legislators. All voted in favor, and the motion carried unanimously with a vote of 5 to 0. COUNCIL PRESENTATIONS. None. ADMINISTRATIVE PRESENTATIONS. None. CORRESPONDENCE DISCUSSION. 1. Correspondence Letter City Council Minutes – September 22, 2025 6 Councilmember Kimber moved, Councilmember Schubert seconded to adjourn the meeting. All voted in favor, and the motion carried unanimously with a vote of 5 to 0. The City Council meeting was adjourned at 8:13 p.m. Submitted by Laurie Hokkanen City Manager Prepared by Jenny Potter City Clerk