06-22-2025 CC WSCity Council Work Session Minutes – June 22, 2026
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CHANHASSEN CITY COUNCIL
WORK SESSION
MINUTES
June 22, 2026
Mayor Ryan called the work session to order at 5:30 p.m.
COUNCIL MEMBERS PRESENT: Mayor Ryan, Councilmember McDonald,
Councilmember von Oven, Councilmember Kimber, Councilmember Schubert
COUNCIL MEMBERS ABSENT:
STAFF PRESENT: Laurie Hokkanen, City Manager; Matt Unmacht, Assistant City Manager;
Charlie Howley, Public Works Director/City Engineer; Eric Maass, Community Development
Director; Patrick Gavin, Communications Manager; Jerry Ruegemer, Park & Recreation
Director; Kelly Grinnell, Finance Director; Priya Wall, Recreation Manager; Andrew Heger, Fire
Chief; Jenny Potter, City Clerk
PUBLIC PRESENT: Keving Green, Thielen & Green; Amanda Preisler, Thielen & Green; Bill
Katter, Hempel; Rick McKelvey, Hempel; Sonja Dusil, Hempel; Josh McKinney, Measusure
Group
Avienda Planned Unit Development Discussion
Eric Maass, Community Development Director, and representatives from the Avienda
development reviewed proposed amendments to the Avienda Planned Unit Development (PUD),
which governs future commercial development surrounding the Avienda neighborhood and the
future Chanhassen Community Center.
The proposed amendments included changes to permitted uses, site design, parking, stormwater
features and development standards. The developer also presented an updated conceptual plan that
included retail, restaurant and public gathering spaces.
The City Council discussion focused largely on the vision and spirit of the Avienda development
and how to maintain that as amendments were proposed. City Council members discussed topics
including site design, entertainment uses, walkability, public spaces and the overall character of
the development.
The developers discussed current market conditions and the challenges associated with attracting
certain commercial and entertainment uses, while noting that additional opportunities may emerge
as the project continues to evolve. By the conclusion of the discussion, council members expressed
interest in continued refinement of the proposal to better align future development with the
community's long-term vision for the site.
Mayor Ryan recessed the work session at 6:51 P.M.
Mayor Ryan reconvened the work session at 7:51 P.M.
City Council Work Session Minutes – June 22, 2026
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2027 Preliminary Budget and Levy Discussion
Kelly Grinnell, Finance Director, discussed preliminary planning for the 2027 budget and property
tax levy process during a work session. Ms. Grinnell reviewed the upcoming budget calendar,
presented updated market value information and shared the city's new Community Benchmarks
Report, which compares Chanhassen's taxes, spending and financial metrics with similar
Minnesota communities.
The county's preliminary valuation data showed continued growth across the city, with total
property values increasing by approximately $400 million over the previous year. Residential
properties increased by 4.3%, while commercial and industrial properties grew 6.2%. The city's
median home value increased to approximately $524,400 and the average home value increased
to approximately $598,000. Residential properties continue to make up the largest share of the
city's tax base at approximately 84%.
A significant portion of the discussion focused on the new Community Benchmarks Report, which
compares Chanhassen with similar communities and other high-performing suburban cities across
the metro area. The report shows Chanhassen compares favorably in several key areas, including
relatively low city property taxes despite higher average home values and a city tax rate that has
remained essentially flat over the past five years. Council members expressed strong appreciation
for the report, noting that it provides valuable context for understanding how Chanhassen
compares with peer communities and helps answer common resident questions about taxes and
city finances. Several council members specifically thanked Finance Director Kelly Grinnell for
developing the report and discussed opportunities to share the information more broadly with
residents.
Ms. Grinnell also provided an early look at the 2027 general fund budget. Preliminary projections
show overall expenditures increasing approximately 4.9%, driven largely by wages and benefits,
which account for roughly 55% of the general fund budget. The City Council also discussed a
potential federal SAFER grant application that could help fund four additional firefighters over a
three-year period. Staff will continue refining budget projections throughout the summer, with the
next budget work session scheduled for August.
Mayor Ryan adjourned the work session at 8:36 P.M.
Submitted by Laurie Hokkanen
City Manager
Prepared by Jenny Potter
City Clerk