4.1 DRAFT MINUTES 07-07-2025 - Laserfiche WebLink

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City Council Minutes June 16, 2025 --------- Page 4 of 12 Mayor Dietz presented the Citizen Awards to Terry Elliot. 6.4 Annual Comprehensive Financial Report for Year ended December 31, 2024 Ms. Stich thanked the Finance Department for their efforts on the audit. She then introduced Mr. Andrew Grice, Bergan KDV, who presented the Annual Comprehensive Financial Report for the year ended December 31, 2024. They have issued a clean, unmodified opinion, the best they can issue. There were no deficiencies or material weaknesses to report. They also had no findings to report on Minnesota legal compliance. Mayor Dietz asked for an explanation regarding the five items on page 68 of the audit in the Notes to Basic Financial Statements - Deposits and Investments section, showing that the city has $72 million in investments. Mr. Grice explained each item; he explained that the 4M is the 4M investments; the other government-backed securities are items like Fanny Mae, which are non-treasury-related government- backed securities; the municipal bonds are the local government securities for any in school districts or other municipalities; the certificates of deposits are any broker certificates of deposit. Mayor Dietz clarified that municipal bonds are investments that the city invests its cash into municipal bonds. Mr Grice stated that that was correct. Mayor Dietz asked for clarification regarding the long-term debt and asked Mr. Portner if they started with $35 million for the sales tax for the Active Elk River program. Mr. Portner stated that the bond sales were $35 million. Mayor Dietz wondered why it does not show more paid back. Mr. Portner explained that they are paying interest as well. Mayor Dietz asked what certain items were in the long- term debt section. It was explained that the G.O. Capital Improvement Bonds, Series 2020A, $8,745,000, were for Station 2 and the police station, and the G.O. Capital Improvement Refunding Bonds, Series 2020B, $3,235,000, were for public works. Mayor Dietz asked Mr. Grice to compare the city's debt to other cities and asked how we are standing in that comparison. Mr. Grice stated that, as for the street component of finance that it is more favorable for those types of activities. Mr. Grice explained that the debt limit calculation is on the back of the statistical section, which explains what is available for debt. Mr. Grice stated he does not have any financial health concerns to report; however, he suggested monitoring the level of support the other funds provide to the General Fund. Moved by Councilmember Wagner and seconded by Councilmember Beyer to accept, by motion, the Annual Comprehensive Financial Report for the City of Elk River for the year ended December 31, 2024. Motion Carried 5-0. 7.PUBLIC HEARINGS 7.1 Interim Use Permit: Residential Occupation, MJ and Carl Johnson, 19289 Upland Street NW The staff report was presented. Mayor Dietz opened the public hearing. There being no one to speak to this matter, Mayor Dietz closed the public hearing. Page 7 of 309