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HomeMy WebLinkAbout10-27-2025 - Agenda Packet City Council - Regular MeetingAgenda City Council Meeting Monday, October 27, 2025, 6:00 PM City Council Chambers 12780 Kelley Parkway, Orono, MN 55356 952-249-4600 /oronomn.gov Roll Call Pledge of Allegiance Approval of Agenda Consent Agenda These items are considered routine and will be enacted by one motion with no discussion unless a council member or staff requests and the item will be removed from the consent agenda for separate discussion and action. 1. City Council Minutes 2. Claims/Bills 3. Upcoming Work Session and Council Training Schedule 4. Appoint Professional Auditing Firm 5. Solicitor - Time Extension 6. Compensation Increase - Public Works Maintenance Worker 7. Tree Maintenance - Contract Extension for Trimming and Removal 8. Repair Blacktop - Ivy Place Public Safety Report 9. Oath of Office - Police Officer 10. Agreements - Shoreline Fire Department - Resolutions 7632 and 7633 Presentations 11. Legislative Update - House District 45A 12. Utility Rate Study Public Hearing This is an opportunity for the public to address City Council on a proposed action or issue before a decision is made. Relevant comments of support and opposition from the public are reflected in the meeting record and considered by the council when making a decision. 13. Certification of Delinquent Utilities and Accounts Receivable - Resolution 7631 Public Comments This is an opportunity for the public to address the City Council. The council will not engage in discussion or take action on items presented at this time. However, the council may refer issues to staff for follow up or consideration at a future meeting. Speakers should state their name and home address at the podium before speaking. Speakers should be mindful of time and limit their remarks to three (3) minutes to allow sufficient opportunity for others to speak. We encourage speakers to address their comments to the mayor and council and to keep their remarks respectful and relevant. Please no personal attacks. Criticism of ideas is acceptable, but attacks against individuals are not tolerated. Please make your statements in a civil manner. Similarly, we ask everyone in the audience to be respectful of speakers and refrain from disruptive behavior, such as shouting, heckling, or making excessive noise. City Administrator/Engineer Report 14. Replace HVAC Units - Willow Fire Station 15. Sustainability and Resiliency Sign up for email notifications at oronomn.gov Mayor/Council Report Adjournment Upcoming Events Nov 04 Park Commission Work Session Nov 10 City Council Nov 11 Holiday - Offices Closed Nov 17 Planning Commission Nov 24 City Council Nov 27 Holiday - Offices Closed Nov 28 Holiday - Offices Closed Sign up for email notifications at oronomn.gov K AGENDA ITEM Date: October 27, 2025 Title: City Council Minutes Presenter: Christine Lusian, City Clerk Section: Consent Agenda Purpose: The purpose of this item is to approve the City Council meeting minutes. 2. Staff Recommendation: Approve the City Council work session and regular meeting minutes. COUNCIL ACTION REQUESTED Approve the City Council work session and regular meeting minutes. Exhibits A. 10-08-2025 CC Minutes - work session B. 10-13-2025 CC Minutes - work session C. 10-13-2025 CC Minutes Item: 1 3 Minutes City Council Work Session Wednesday, October 8, 2025, 9:00 AM City Council Chambers 12780 Kelley Parkway, Orono, MN 55356 ROLL CALL Council members present: Mayor Bob Tunheim, Alisa Benson, Jacqueline Ricks, Steve Persian, Jon Schwingler. Staff present: City Administrator Adam Edwards, Police Chief Correy Farniok, Community Development Director Laura Oakden, Parks and Facilities Superintendent Joe Ruthenberg, Public Works Superintendent DJ Goman, City Clerk Christine Lusian, Planners Melanie Curtis and Matt Kearney, Communications Specialist Rachel Cotter. SUSTAINABILITY & RESILIENCY Staff provided an overview demonstrating how sustainability and resiliency are integrated into the city's daily operations and embedded within services, policies, and community engagement rather than treated as separate initiatives. The city's mission and goals, unchanged since 2017, continue to guide this work. Discussion covered capital improvement planning, comprehensive plan updates (including new 2050 requirements), and surface water management, along with coordination among partner agencies such as the EPA, USAGE, FEMA, BWSR, MDH, MCWD, MPCA, and DNR. City operations address current needs while planning for long-term stability and opportunity. Ongoing efforts include environmental and infrastructure improvements, policy implementation, permitting, grant -supported projects, emergency management, nuisance animal control, medication disposal, facility efficiency, stormwater inspections, salt -use tracking and reduction, balancing road safety with lake health, preventative maintenance, native plantings, waste reduction and diversion, digital presence, and election administration. Continuous training and development across elected officials, appointed members, and staff strengthen leadership, workforce, and service delivery. The council recognized that as community needs and challenges evolve, the city is well positioned to respond effectively. They expressed support for current actions, appreciation for the scope of existing work, and a desire to expand public awareness. The council emphasized more visible communication through newsletters, social media, volunteer engagement, and potentially forming new committees or focus groups to advance sustainability outreach. Direction was given to continue integrating initiatives into the comprehensive plan, intentionally share progress and successes through public education and awareness campaigns, and present any new strategies to the council for consideration. ADJOURNMENT Work session ended at 11:25 a.m. ATTEST: Christine Lusian, City Clerk CITY COUNCIL Bob Tunheim, Mayor 4 Minutes City Council Work Session Monday, October 13, 2025, 4:00 PM City Council Chambers 12780 Kelley Parkway, Orono, MN 55356 ROLL CALL Council members present: Mayor Bob Tunheim, Alisa Benson, Jacqueline Ricks, Steve Persian, Jon Schwingler. Staff present: City Administrator Adam Edwards, Interim Fire Chief Shea Chwialkowski, City Attorney Soren Mattick. CLOSED SESSION Council entered into closed session at 4:00 p.m., as permitted by the attorney -client privilege (MN Stat. 13D.05, Subd. 3(b)) to discuss the lawsuit involving Long Lake vs. Orono regarding fire services. VOTE: Ayes 5, Nays 0. (The City Council was in closed session from 4:00 p.m. to 5:05 p.m.). Council opened the meeting at 5:05 p.m. VOTE: Ayes 5, Nays 0. ROLL CALL Council members present: Mayor Bob Tunheim, Alisa Benson, Jacqueline Ricks, Steve Persian, Jon Schwingler. Staff present: City Administrator Adam Edwards, Finance Director Maggie Jin, Parks and Facilities Superintendent Joe Ruthenberg, Public Works Superintendent DJ Goman, City Clerk Christine Lusian, Communications Specialist Rachel Cotter, Accountant Anne Hentges, City Attorney Soren Mattick. CAPITAL IMPROVEMENT PLAN The work session focused on reviewing Public Works capital equipment needs and upcoming planning items. Staff discussed replacing outdated vehicles and equipment that exceed replacement schedule including a scissor lift, dump truck, street sweeper, and pressure washer which improve efficiency and safety while reducing maintenance costs. New equipment including a roll -off skid and asphalt planer attachment were proposed to enhance operations through more efficient and innovative approaches. The group also discussed the aging holiday street light decorations exploring replacement options and cost -saving measures. Discussion concluded with reminders about the next work session, which will cover capital needs for streets, parks, facilities, police, and information technology. Council will formally consider the Capital Improvement Plan (CIP) in December. Jin noted that an update on the utility rate study will be presented at the October 27 meeting. ADJOURNMENT Work session ended at 5:53 p.m. ATTEST: CITY COUNCIL Christine Lusian, City Clerk Bob Tunheim, Mayor Minutes City Council Regular Meeting Monday, October 13, 2025, 6:00 PM City Council Chambers 2780 Kelley Parkway, Orono, MN 55356 Mayor Tunheim called the meeting to order at 6:00 p.m., followed by the Pledge of Allegiance. ROLL CALL Orono City Council members present: Mayor Bob Tunheim, City Council Members Alisa Benson, Steve Persian, Jacqueline Ricks, and Jon Schwingler. Members absent: None. Staff present were City Administrator/Engineer Adam Edwards, Finance Director Maggie Jin, and a substitute City Attorney from the firm of Campbell Knutson. PLEDGE OF ALLEGIANCE I ' ' ' 1 TKI 11[17 yX114 Biel 17:1 CONSENT AGENDA 1. City Council Minutes 2. Claims/Bills 3. Upcoming Work Session and Council Training Agenda 4. Non -Waiver of Tort Limits — Resolution 7625 5. Gillespie Center Services Agreement 6. Health Insurance Plan Approval 7. Solicitor License 8. Hire Building Maintenance/Custodian 9. Hire Police Cadets 10. Software solution with LOGIS — Resolution 7626 11. Police Department Body Worn Camera Audit 12. Repair Lift Station Pumps and Control Panels 13. Kenobi Pond Rehabilitation Award This item was removed from the Consent Agenda 14. Carman Bay Lake Improvement District Levy — Resolution 7628 15. Stubbs Bay Lake Improvement District Levy — Resolution 7629 16. Donation from Mary Safar — Resolution 7630 Benson moved, Persian seconded, to approve the Agenda and Consent Agenda with Item 13 removed and the addition of a discussion item on the Metropolitan Council Sewer Project. VOTE: Ayes 5, Nays 0. PRESENTATIONS 17. 40 Years of Service Recognition — Resolution 7621 CJ Gonsior was recognized for 40 years of service to the Orono Police Department as a Police Reserve Officer. Schwingler moved, Ricks seconded, to adopt Resolution 7621 recognizing CJ Gonsior for his 40 years of volunteer service to the Orono Police Department. VOTE: Ayes 5, Nays 0. Page 1 of 3 6 Minutes City Council Regular Meeting Monday, October 13, 2025, 6:00 PM City Council Chambers 2780 Kelley Parkway, Orono, MN 55356 PUBLIC COMMENTS Samantha Capen Muldoon, 1801 West Farm Road; Amy and Matt Herman, 3825 Cherry Ave.; and George Klein, 235 Crestview Ave., provided comments. 13. Kenobi Pond Rehabilitation Award Benson had some questions about this proposed project and the sustainability of the seed mix and plantings that will be used in the restoration. Benson moved, Ricks seconded, to approve the Kenobi Pond Rehabilitation contract award to Sunram Construction for $72,900. VOTE: Ayes 5, Nays 0. DISCUSSION ITEM 17.5 Metropolitan Council Sewer Project for Orono Interceptor Improvements Benson noted she had attended a meeting on this project, which will affect Orono residents. She discussed the need for communication with the public, as well as sustainability and mitigation factors, where the City has the opportunity for input. FINANCE REPORT 18. Third Quarter Financial Update Finance Director Jim presented the Third Quarter Financial Update, including unaudited figures for year- to-date revenue and expenses. The Council discussed the report and asked questions. CITY ADMINISTRATOR/ENGINEER REPORT None COUNCIL COMMITTEE REPORTS None MAYOR/COUNCIL REPORT Mayor and Council provided reports. ADJOURNMENT Ricks moved, Schwingler seconded, to adjourn the meeting at 6:54 p.m. to Monday, October 27, 2025, at 6:00 p.m. VOTE: Ayes 5, Nays 0. Page 2 of 3 7 Minutes City Council Regular Meeting Monday, October 13, 2025, 6:00 PM City Council Chambers 2780 Kelley Parkway, Orono, MN 55356 ATTEST: Christine Lusian, City Clerk Bob Tunheim, Mayor Minutes approved by Orono City Council October 27, 2025. Meeting videos and transcripts available at oronomn.gov. Page 3 of 3 AGENDA ITEM Date: October 27, 2025 Title: Claims/Bills Presenter: Kellie Hoen, Administrative Assistant Section: Consent Agenda Item: 2 Purpose: The purpose of this action item is to approve payment of claims made on the City for services and/or products provided to the City. 2. Background: The attached claims for payment have been received by the City. Staff has reviewed the claims and is recommending approval of the listing for payment. The claims will be paid by checks 126966 to 127053, and ACH transactions 20130758 to 20130764 totaling $942,412.05 . 3. Staff Recommendation: Staff recommends approval of a motion authorizing payment to the claims listed as presented. COUNCIL ACTION REQUESTED Motion to approve the claims list as presented. Exhibits A. Check Register 2025-10-22 9 City of Orono Check Register- COUNCIL REPORT Check Issue Dates: 10/14/2025 - 10/27/2025 Page: 1 Oct 22, 2025 01:55PM Check Check Invoice Invoice GLAccount Description Department Invoice Payee Issue Date Number Number Amount BUREAU OF CRIM. APPREHEN 10/16/2025 126966 0000089229 101-42110-311 CJDN ACCESS FEE Police Department 2,040.00 Total 126966: 2,040.00 CENTURYLINK 10/16/2025 126967 10.2025 WT 601-49400-321 WTP PHONE/INTERNET 10/04/2025-11/03/2025 Water 151.36 Total 126967: 151.36 MINNESOTA SECURITY CONSO 10/16/2025 126968 1298 101-42110-414 2025 BWC AUDIT Police Department 2,200.00 Total 126968: 2,200.00 OUVERSON SEWER AND WATE 10/16/2025 126969 843897 602-49450-406 SEWER REPAIR Sewer 1,200.00 Total 126969: 1,200.00 472LIFT.LLC 10/27/2025 126970 17458 101-42260-403 LLFD BOAT DOCK REMOVAL Fire Protection Services 580.00 Total 126970: 580.00 A 1 RENT IT 3607 10/27/2025 126971 227015-1 101-43000-224 PATCH TRUCK PROPANE Public Works Department 104.79 Total 126971: 104.79 ALL SEASON SPORTS LLC 10/27/2025 126972 POOPD1082 101-42110-226 UNIFORMS/MCCOY Police Department 116.00 Total 126972: 116.00 ANAND GOPINATH 10/27/2025 126973 4-507050-01 999-10015 UB REFUND - 705 OLD LONG LAKE RD - GOPINA 51.31 Total 126973: 51.31 API GARAGE DOOR INC. 10/27/2025 126974 433574220 101-43100-404 BRUSH SITE GATE REPAIRS Brush Site 242.50 Total 126974: 242.50 BEAUDRY OIL & SERVICE INC 10/27/2025 126975 3071370 701-49800-213 DEF FLUID Fleet Services 399.95 BEAUDRY OIL & SERVICE INC 10/27/2025 126975 3077653 701-49800-213 VEHICLE ENGINE COOLANT Fleet Services 452.25 10 City of Orono Check Register- COUNCIL REPORT Page: 2 Check Issue Dates: 10/14/2025 - 10/27/2025 Oct 22, 2025 01:55PM Payee Total 126975 BOEHLKE, ERIC Total 126976 BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. BOLTON & MENK INC. Total 126977: Bond Trust Services Corporation Total 126978: BRAD JANS Total 126979: Check Check Invoice Invoice GLAccount Issue Date Number Number Description 10/27/2025 126976 10.2025 REI 701-49800-437 VAC TRUCK TRAINING Fleet Services Department Invoice Amount 852.20 136.00 10/27/2025 126977 0374915 101-49280-304 LA24-000054 GARAGE CONDOS Special Services 266.00 10/27/2025 126977 0374916 101-49280-304 LA07-3311 CRYSTAL BAY BUSINESS CENTER -IN Special Services 3,295.00 10/27/2025 126977 0374917 602-16500 24-044- FOX ST SANITARY SEWER EXTENSION 956.00 10/27/2025 126977 0374918 602-49450-305 GIS MAINTENANCE SEWER Sewer 810.00 10/27/2025 126977 0374918 601-49400-305 GIS MAINTENANCE WATER Water 697.50 10/27/2025 126977 0374918 651-49910-305 GIS MAINTENANCE STORM SEWER Storm Water 495.00 10/27/2025 126977 0374918 101-43170-305 GIS MAINTENANCE GENERAL Engineering 360.00 10/27/2025 126977 0374918 101-43000-305 GIS FOR STREETS Public Works Department 135.00 10/27/2025 126977 0374918 101-45200-305 GIS MAINTENANCE PARKS Parks 202.50 10/27/2025 126977 0374918 101-42400-305 GIS FOR CDD Building & Zoning 607.50 10/27/2025 126977 0374918 101-43170-305 GIS MAINTENANCE GENERAL Engineering 679.25 10/27/2025 126977 0374934 602-49450-304 SEWER METERING FEASIBILITY Sewer 255.00 10/27/2025 126977 0374942 602-16500 25-012 SANITARY SEWER REHABILITATION 1,519.50 10/27/2025 126977 0374945 602-49450-304 SEWER METERING FEASIBILITY Sewer 420.00 10/27/2025 126977 0374948 435-48980-304 26-001 2026 STREET IMPROVEMENT PROJECT 2026 Street Improvements 1,778.50 10/27/2025 126977 0374949 225-45200-304 25-032 ANTOINE PARK MASTER PLAN Parks - Special Revenue Fund 91.00 10/27/2025 126977 0374950 402-48050-304 25-002 BROWN ROAD IMPROVEMENTS 3,423.50 10/27/2025 126977 0374951 440-48965-530 25-035 CITY HALL & PD PARKING LOT MAINTEN 437.00 10/27/2025 126977 0374952 225-45200-304 24-028 HACKBERRY PARK REVITALIZATION Parks - Special Revenue Fund 2,132.00 10/27/2025 126977 0375050 435-48979-304 25-001 2025 STREETS IMPROVEMENT 2025 Street Improvements 36,404.00 10/27/2025 126977 0375058 651-16500 25-022 CASCO COVE STORMWATER IMPROVEM 5,590.00 10/27/2025 126977 0375058 651-16500 25-020 2025 KENOBI POND STORMWATER IMPR 6,870.50 67,424.75 10/27/2025 126978 99560 324-47000-620 PAYING AGENT FEE - 2021A 475.00 10/27/2025 126979 LA25-000032 101-22205 ESCROW REFUND - LA25-000032 - 3745 SHORE 475.00 700.00 11 City of Orono Check Register- COUNCIL REPORT Check Issue Dates: 10/14/2025 - 10/27/2025 Page: 3 Oct 22, 2025 01:55PM Check Check Invoice Invoice GLAccount Description Department Invoice Payee Issue Date Number Number Amount BRIAN CLARK 10/27/2025 126980 10.2025 REI 101-43000-226 WORK BOOTS Public Works Department 299.99 Total 126980: 299.99 BRIDGESTONE GOLF INC 10/27/2025 126981 INV-1003316 613-49830-095 GOLF GLOVES Golf Course 54.92 Total 126981: 54.92 BRIDGETOWER OPCO LLC 10/27/2025 126982 745817415 601-16500 22-022 SOUTH WATER PLANT CONTROL UPGRA 292.60 Total 126982: 292.60 CAMPBELL KNUTSON 10/27/2025 126983 2717-000OG 101-41600-307 FIRE MATTER 09/25 Law/Legal Services 3,111.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-000OG 101-41600-307 RECYCLING CONTRACT Law/Legal Services 1,581.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-000OG 101-41600-307 TOBACCO ORDINANCE Law/Legal Services 170.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-000OG 101-41600-307 WASTE HAULER/GARBAGE ORDINANCE Law/Legal Services 2,125.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-000OG 101-41600-307 UNION NEGOTIATIONS 09/25 Law/Legal Services 1,547.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-000OG 101-41600-307 UB BANKRUPTCY INQUIRY Law/Legal Services 493.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-000OG 101-41600-307 HR MATTER 09/25 Law/Legal Services 476.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-000OG 101-41600-307 MIDCO LEASE 09/2025 Law/Legal Services 102.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-000OG 101-41600-307 AT&T FIBER MATTER 09/2025 Law/Legal Services 204.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-000OG 101-41600-307 ADMINISTRATION/GENERAL MATTERS 09/25 Law/Legal Services 5,182.95 CAMPBELL KNUTSON 10/27/2025 126983 2717-0004G 101-42110-307 POLICE MATTERS 09/25 Police Department 765.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-0201G 101-41600-307 MISC RECORDINGS 09/25 Law/Legal Services 397.80 CAMPBELL KNUTSON 10/27/2025 126983 2717-0800G 101-42400-307 B&Z ASSISTANCE 09/25 Building & Zoning 255.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-0802G 101-42400-307 B&Z ASSISTANCE 09/2025 Building & Zoning 844.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-0943G 101-49280-307 LA24-000059, 215 NORTH ARM LN Special Services 110.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-0971G 101-49280-307 LA25-000025, 1530 ORCHARD BEACH PL Special Services 192.50 CAMPBELL KNUTSON 10/27/2025 126983 2717-0974G 101-49280-307 LA25-000024, 1440 BALDUR PARK Special Services 82.50 CAMPBELL KNUTSON 10/27/2025 126983 2717-0975G 101-49280-307 LA25-000031, 650 BROWN RD Special Services 82.50 CAMPBELL KNUTSON 10/27/2025 126983 2717-0976G 101-49280-307 LA25-000032, 3745 SHORELINE DR Special Services 82.50 CAMPBELL KNUTSON 10/27/2025 126983 2717-0977G 101-49280-307 LA25-000035, 880 PARTENWOOD RD Special Services 82.50 CAMPBELL KNUTSON 10/27/2025 126983 2717-9998G 101-41600-306 PROSECUTION SERVICES 09/25 Law/Legal Services 202.00 CAMPBELL KNUTSON 10/27/2025 126983 2717-9999G 101-41600-306 PROSECUTION SERVICES 09/25 Law/Legal Services 3,445.07 Total 126983: 21,533.32 CENTRAL PENSION FUND SOU 10/27/2025 126984 10.16.25 FU 101-21705 CENTRAL PENSION FUND 10.16.2025 2,087.00 12 City of Orono Check Register- COUNCIL REPORT Check Issue Dates: 10/14/2025 - 10/27/2025 Page: 4 Oct 22, 2025 01:55PM Check Check Invoice Invoice GLAccount Description Department Invoice Payee Issue Date Number Number Amount Total 126984: 2,087.00 CHEVROLET 10/27/2025 126985 27285 701-49800-222 PD TAHOE 274 WINDOW SWITCH Fleet Services 52.41 Total 126985: 52.41 CITY OF BLOOMINGTON 10/27/2025 126986 25590 601-49400-319 WATER TESTING Water 84.00 Total 126986: 84.00 CITY OF LONG LAKE 10/27/2025 126987 09.2025 SE 601-49400-387 09.2025 WATER Water 2,536.95 CITY OF LONG LAKE 10/27/2025 126987 09.2025 SE 602-49450-387 09.2025 SEWER Sewer 3,817.58 CITY OF LONG LAKE 10/27/2025 126987 20250031 101-42260-318 4TH QTR 2025 FIRE SERVICE Fire Protection Services 156,265.75 CITY OF LONG LAKE 10/27/2025 126987 20250035 101-42260-318 JOINT DUTY CREW - SEPTEMBER 2025 Fire Protection Services 3,960.00 Total 126987: 166,580.28 CITY OF MINNETONKA BEACH 10/27/2025 126988 3RD QTR W 602-49450-387 2025 3RD QTR SEWER SERVICE Sewer 265.00 Total 126988: 265.00 DORI MOLITOR 10/27/2025 126989 1-130610-00 999-10015 UB REFUND - 3061 CASCO POINT RD - MOLITO 61.51 Total 126989: 61.51 EARL FANDERSEN &ASSOC 10/27/2025 126990 0141009-IN 101-43000-224 TRAFFIC DELINEATORS Public Works Department 1,862.55 Total 126990: 1,862.55 ECM PUBLISHERS INC 10/27/2025 126991 1068200 101-41900-352 TOBACCO SALES UPDATES Central Services 50.40 ECM PUBLISHERS INC 10/27/2025 126991 1068201 101-42400-352 PLANNING COMMISSION PUBLIC HEARING Building & Zoning 151.20 ECM PUBLISHERS INC 10/27/2025 126991 1069208 101-41900-352 2026 SPECIAL ASSESSMENT NOTICE Central Services 189.00 ECM PUBLISHERS INC 10/27/2025 126991 1069209 601-49400-340 POSTING FOR SOUTH WATER PLANT UPGRADE Water 287.20 Total 126991: 677.80 FIDELITY SECURITY LIFE INSU 10/27/2025 126992 166999872 101-21716 VISION PLAN 10/2025 307.74 13 City of Orono Check Register- COUNCIL REPORT Check Issue Dates: 10/14/2025 - 10/27/2025 Page: 5 Oct 22, 2025 01:55PM Check Check Invoice Invoice GLAccount Description Department Invoice Payee Issue Date Number Number Amount Total 126992: 307.74 FILEONQ INC 10/27/2025 126993 13572 101-42110-416 FILEONQ -ANNUAL LICENSE RENEWAL 2026 Police Department 1,300.67 Total 126993: 1,300.67 FLEETPRIDE INC 10/27/2025 126994 129321515 701-49800-222 FIRE DEPARTMENT LADDER TRUCK PTO GASK Fleet Services 13.95 Total 126994: 13.95 GALLS LLC 10/27/2025 126995 032837620 101-42110-226 UNIFORMS/NEW HIRE HANSON Police Department 102.95 Total 126995: 102.95 GEHRMAN ANIMAL HOSPITAL 10/27/2025 126996 9929857 101-42110-317 K9 EXPENSE/VET Police Department 400.83 Total 126996: 400.83 GENUINE PARTS COMPANY/NA 10/27/2025 126997 635328 701-49800-222 PD TAHOE FUSE Fleet Services 4.45 Total 126997: 4.45 GERTEN GREENHOUSES -446 10/27/2025 126998 10959/15 701-49800-212 FORKLIFT PROPANE Fleet Services 51.98 Total 126998: 51.98 GMH ASPHALT 10/27/2025 126999 2025 STREE 435-48979-590 25-001 2025 STREET IMPROVEMENT PROJECT 2025 Street Improvements 378,009.50 GMH ASPHALT 10/27/2025 126999 2025 STREE 435-20600 25-001 2025 STREET IMPROVEMENT PROJECT 18,900.48- Total 126999: 359,109.02 GO PERMITS LLC 10/27/2025 127000 RBG25-0001 101-20802 BP REFUND - RBG25-000113 - 607 PARK LANE 1.81 GO PERMITS LLC 10/27/2025 127000 RBG25-0001 101-32510 BP REFUND - RBG25-000113 - 607 PARK LANE 110.41 Total 127000: 112.22 GOPHER ACE 10/27/2025 127001 026823/1 101-45200-221 NUTS & BOLTS Parks .45 GOPHER ACE 10/27/2025 127001 026876/1 101-45200-223 PEST REPELLENT BIG ISLAND Parks 14.99 GOPHER ACE 10/27/2025 127001 26797/1 602-49450-226 GLOVES FOR JASON Sewer 14.99 14 City of Orono Check Register- COUNCIL REPORT Check Issue Dates: 10/14/2025 - 10/27/2025 Page: 6 Oct 22, 2025 01:55PM Check Check Invoice Invoice GLAccount Description Department Invoice Payee Issue Date Number Number Amount Total 127001: 30.43 H & H CONTRACTORS LLC 10/27/2025 127002 RAS25-0000 101-34410 BP REFUND - RAS25-000059 - 690 TONKAWA RD 463.27 Total 127002: 463.27 HAWKINS INC 10/27/2025 127003 7225888 601-49400-216 CHLORINE TANKS Water 50.00 Total 127003: 50.00 HENNEPIN COUNTY ACCOUNT 10/27/2025 127004 1000254167 101-42110-414 RADIO/MDC LEASES Police Department 3,073.86 HENNEPIN COUNTY ACCOUNT 10/27/2025 127004 1000254183 101-43000-414 PW RADIO LEASE Public Works Department 320.43 HENNEPIN COUNTY ACCOUNT 10/27/2025 127004 1000254218 101-42260-414 FIRE RADIO FEES 09/2025 Fire Protection Services 844.77 Total 127004: 4,239.06 HENNEPIN COUNTY ENVIRON 10/27/2025 127005 01296367 101-45200-319 BEACH WATER TESTING Parks 1,200.00 Total 127005: 1,200.00 HIGHVIEW PLUMBING INC 10/27/2025 127006 17810 602-49450-443 1&1 INSPECTION BY HIGHVIEW PLUMBING Sewer 500.00 Total 127006: 500.00 HOTSY MINNESOTA 10/27/2025 127007 26754 101-42260-215 CAR WASH SOAP Fire Protection Services 371.79 Total 127007: 371.79 HYDRO KLEAN 10/27/2025 127008 2025 CIPP P 602-16500 25-012 SEWER REHABILITATION PROJECT 99,432.38 HYDRO KLEAN 10/27/2025 127008 2025 CIPP P 602-20600 25-012 SEWER REHABILITATION PROJECT 4,971.62- Total 127008: 94,460.76 International Union Local #49 10/27/2025 127009 10.2025 DUE 101-21707 LOCAL 49 DUES - 10/2025 455.00 Total 127009: 455.00 JASON STOCKWELL 10/27/2025 127010 LA25-000037 101-22205 ESCROW REFUND - LA25-000037 - 3577 LIVINGS 700.00 15 City of Orono Check Register- COUNCIL REPORT Check Issue Dates: 10/14/2025 - 10/27/2025 Page: 7 Oct 22, 2025 01:55PM Check Check Invoice Invoice GLAccount Description Department Invoice Payee Issue Date Number Number Amount Total 127010: 700.00 JERRY GRAY 10/27/2025 127011 LA25-000035 101-22205 ESCROW REFUND - LA25-000035 - 880 PARTEN 700.00 Total 127011: 700.00 JOSEPH DUNHAM 10/27/2025 127012 RAS25-0000 101-34410 BP REFUND - RAS25-000075-1060 BROWN RD N 129.58 Total 127012: 129.58 JPS HOMES LLC 10/27/2025 127013 1-435770-04 999-10015 UB REFUND - 3577 LIVINGSTON AVE - JPS HOM 175.13 Total 127013: 175.13 KIRVIDA FIRE 10/27/2025 127014 13636 101-42260-402 REPAIR TO LLFD E11 Fire Protection Services 521.64 Total 127014: 521.64 LANO EQUIPMENT INC 10/27/2025 127015 03-1188220 405-48500-580 PARKS KUBOTA RTV Imp Eqpt Outlay 25,551.86 LANO EQUIPMENT INC 10/27/2025 127015 03-1189840 701-49800-221 UNIT 452 FILTERS Fleet Services 636.67 LANO EQUIPMENT INC 10/27/2025 127015 03-1189841 701-49800-221 KUBOTA MINI EXCUVATOR HYDRAULIC CYLIND Fleet Services 180.25 LANO EQUIPMENT INC 10/27/2025 127015 03-1190762 701-49800-221 UNIT 452 HYDRAULIC HOSE HOLDER Fleet Services 292.22 LANO EQUIPMENT INC 10/27/2025 127015 03-1192236 701-49800-221 KUBOTA RTV FILTERS Fleet Services 242.81 Total 127015: 26,903.81 LAW ENFORCEMENT LABOR S 10/27/2025 127016 10.2025 DUE 101-21707 LELS DUES - LOCAL 168 10/2025 365.00 LAW ENFORCEMENT LABOR S 10/27/2025 127016 10.2025 DUE 101-21707 LELS DUES - LOCAL 40 10/2025 1,478.71 Total 127016: 1,843.71 LAWRENCE & CYNTHIA HOLTZ 10/27/2025 127017 2-513970-03 999-10015 UB REFUND - 1397 ORONO LN - HOLTZ 17.50 Total 127017: 17.50 MACQUEEN EQUIPMENT LLC 10/27/2025 127018 P56436 101-42260-226 HELMET SHIELDS FOR NEW FF'S Fire Protection Services 444.00 Total 127018: 444.00 16 City of Orono Check Register- COUNCIL REPORT Check Issue Dates: 10/14/2025 - 10/27/2025 Page: 8 Oct 22, 2025 01:55PM Check Check Invoice Invoice GLAccount Description Department Invoice Payee Issue Date Number Number Amount MEB ENTERPRISE INC 10/27/2025 127019 1415 101-43000-224 FILL DIRT Public Works Department 1,250.00 MEB ENTERPRISE INC 10/27/2025 127019 1416 601-49400-405 SERVICE LINE REPAIR TASK498920 Water 1,575.00 MEB ENTERPRISE INC 10/27/2025 127019 1417 101-43000-408 BROWN ROAD PROJECT Public Works Department 4,750.00 MEB ENTERPRISE INC 10/27/2025 127019 1418 101-43000-408 CURB AND CB REPAIR TASK495998 Public Works Department 5,550.00 MEB ENTERPRISE INC 10/27/2025 127019 1419 101-43000-224 RED ROCK AND RIVER ROCK FOR YARD Public Works Department 3,856.62 Total 127019: 16,981.62 METLIFE 10/27/2025 127020 ACCIDENT 1 101-21721 ACCIDENT 11.2025 350.66 METLIFE 10/27/2025 127020 CRITICAL IN 101-21721 CRITICAL INS 11.2025 153.96 METLIFE 10/27/2025 127020 DENTAL INS 101-15998 DENTAL INS -COBRA BR 34.61 METLIFE 10/27/2025 127020 DENTAL INS 101-15998 DENTAL INS -COBRA ET 66.37 METLIFE 10/27/2025 127020 DENTAL INS 101-21709 DENTAL INSURANCE 11/25 3,087.16 METLIFE 10/27/2025 127020 HOSPITAL 1 101-21721 HOSPITAL 11.2025 240.10 Total 127020: 3,932.86 MICHAEL & LUCY DOUGHERTY 10/27/2025 127021 4-332850-00 999-10015 UB REFUND - 3285 GRAHAM HILL RD - DOUGHE 40.97 Total 127021: 40.97 MID AMERICA METER, INC. 10/27/2025 127022 256811 601-49400-216 SOFTENER #3 FOR SOUTH WATER PLANTS ME Water 900.75 Total 127022: 900.75 MTI DISTRIBUTING INC 10/27/2025 127023 1498782-00 101-45200-404 IRRIGATION WINTERIZATION Parks 1,042.97 Total 127023: 1,042.97 NCPERS GROUP LIFE INS. 10/27/2025 127024 67320011202 101-21710 PERA LIFE 11/2025 416.00 Total 127024: 416.00 NORTH MEMORIAL HEALTH CA 10/27/2025 127025 107024 101-42110-437 FIRST RESPONDER/MULTIPLE Police Department 1,300.00 NORTH MEMORIAL HEALTH CA 10/27/2025 127025 107025 101-42260-437 EMS REFRESHER Fire Protection Services 50.00 Total 127025: 1,350.00 NOVA TECHNOLOGIES 10/27/2025 127026 179224 710-49970-321 PHONE SCRIPT CHANGE IT Services 190.00 17 City of Orono Check Register- COUNCIL REPORT Page: 9 Check Issue Dates: 10/14/2025 - 10/27/2025 Oct 22, 2025 01:55PM Check Check Invoice Invoice GLAccount Description Payee Issue Date Number Number Total 127026: ODP BUSINESS SOLUTIONS LL 10/27/2025 127027 4374876710 101-42110-201 OFFICE SUPPLIES ODP BUSINESS SOLUTIONS LL 10/27/2025 127027 4376889430 101-41900-201 CUPS ODP BUSINESS SOLUTIONS LL 10/27/2025 127027 4398949620 101-42110-201 OFFICE SUPPLIES ODP BUSINESS SOLUTIONS LL 10/27/2025 127027 4398961470 101-42110-201 OFFICE SUPPLIES ODP BUSINESS SOLUTIONS LL 10/27/2025 127027 4435570520 101-41900-201 NAPKINS ODP BUSINESS SOLUTIONS LL 10/27/2025 127027 4435570520 101-41900-201 KLEENEX Total 127027: OMANN CONTRACTING COMPA 10/27/2025 127028 19163 101-43000-224 PATCHING OMANN CONTRACTING COMPA 10/27/2025 127028 19166 101-43000-224 PATCHING Total 127028: ONSITE DRUG TESTING & CON 10/27/2025 127029 02877 601-49400-319 DRUG TESTING - NELSON ONSITE DRUG TESTING & CON 10/27/2025 127029 02877 602-49450-319 DRUG TESTING - NELSON Total 127029: OPEIU - LOCAL 12 10/27/2025 127030 10.2025 DUE 101-21707 UNION DUES - LOCAL 12 10/2025 Total 127030: OTTEN BROTHERS 10/27/2025 127031 1-189713 101-41900-223 LANDSCAPING Total 127031: OUVERSON SEWER AND WATE 10/27/2025 127032 867370 602-49450-443 1&1 REDUCTION SEWER REPAIR Total 127032: POOL, BRODY 10/27/2025 127033 10.2025 REI 701-49800-437 VAC TRUCK TRAINING Total 127033: Riverside Design 10/27/2025 127034 4901 101-42110-352 OFFICE SUPPLIES Department Invoice Amount Police Department 83.38 Central Services 3.99 Police Department 27.29 Police Department 39.99 Central Services 56.47 Central Services 60.12 Public Works Department 270.00 Public Works Department 271.80 Water 217.50 Sewer 217.50 Central Services 33.56 Sewer 6,000.00 Fleet Services 937.93 Police Department 90.00 18 City of Orono Check Register- COUNCIL REPORT Check Issue Dates: 10/14/2025 - 10/27/2025 Page: 10 Oct 22, 2025 01:55PM Check Check Invoice Invoice GLAccount Description Department Invoice Payee Issue Date Number Number Amount Total 127034: 90.00 SECURITY & SOUND CO 10/27/2025 127035 30249 710-49970-319 SECURITY SYSTEM MONITORING - PD IT Services 336.00 Total 127035: 336.00 SHAUGHNESSY LAWN CARE 10/27/2025 127036 09.2025 101-45200-404 PARK MOWING 8/15/25-9/15/25 Parks 4,628.57 Total 127036: 4,628.57 STEVEN DORE 10/27/2025 127037 1-721720-02 999-10015 UB REFUND - 2172 SHADYWOOD RD - DORE 5.70 Total 127037: 5.70 STEVEN ENQUIST 10/27/2025 127038 1-826101-00 999-10015 UB REFUND - 2610 LAFAYETTE RD - ENGQUIST 19.83 Total 127038: 19.83 STREICHER'S 10/27/2025 127039 11787699 101-42110-226 UNIFORMS/MCCOY Police Department 169.98 STREICHER'S 10/27/2025 127039 11788744 101-42110-226 UNIFORMS/NEW HIRE HANSON Police Department 920.88 STREICHER'S 10/27/2025 127039 11788924 101-42110-226 UNIFORMS/NEW HIRE HANSON Police Department 201.98 Total 127039: 1,292.84 STREICHER'S 10/27/2025 127040 11788396 101-42260-226 DUTY UNIFORM FOR BRANDON DUETSCH Fire Protection Services 238.95 STREICHER'S 10/27/2025 127040 11789069 101-42260-226 DUTY UNIFORM FOR ADLER BURTON Fire Protection Services 114.99 Total 127040: 353.94 SUN LIFE FINANCIAL 10/27/2025 127041 ST DISABILI 101-21714 STD- 10/2025 1,144.20 SUN LIFE FINANCIAL 10/27/2025 127041 SUPP LIFE 1 101-21710 LIFE INSURANCE - 10/2025 1,285.40 Total 127041: 2,429.60 TERMINAL SUPPLY CO 10/27/2025 127042 62833-00 701-49800-221 EQUIPMENT HYDRAULIC HOSE PROTECTANT S Fleet Services 516.95 TERMINAL SUPPLY CO 10/27/2025 127042 62894-00 701-49800-221 EQUIPMENT HYDRAULIC FITTINGS Fleet Services 295.83 Total 127042: 812.78 19 City of Orono Check Register- COUNCIL REPORT Page: 11 Check Issue Dates: 10/14/2025 - 10/27/2025 Oct 22, 2025 01:55PM Payee THE HARTFORD Total 127043: UNIFIRST CORPORATION UNIFIRST CORPORATION UNIFIRST CORPORATION UNIFIRST CORPORATION UNIFIRST CORPORATION UNIFIRST CORPORATION UNIFIRST CORPORATION UNIFIRST CORPORATION UNIFIRST CORPORATION UNIFIRST CORPORATION UNIFIRST CORPORATION UNIFIRST CORPORATION Total 127044: US Bank Equipment Finance Total 127045: VERIZON WIRELESS VERIZON WIRELESS VERIZON WIRELESS VERIZON WIRELESS Total 127046: WARREN GARRETT Total 127047: WASTE MANAGEMENT Total 127048: WHCEA WHCEA Check Issue Date Check Number Invoice Number Invoice GLAccount Description Department Invoice Amount 10/27/2025 127043 LT DISABILIT 101-21713 LTD 10/2025 1,899.38 1,899.38 10/27/2025 127044 1410176085 613-49830-223 MATS AND TOWEL - GC Golf Course 121.44 10/27/2025 127044 1410176090 101-41900-223 MATS - CITY HALL Central Services 100.22 10/27/2025 127044 1410177617 101-43000-404 MATS - PW Public Works Department 37.15 10/27/2025 127044 1410177617 701-49800-215 SHOP TOWELS- PW Fleet Services 3.91 10/27/2025 127044 1410177617 701-49800-226 UNIFORMS - FLEET Fleet Services 33.81 10/27/2025 127044 1410177617 602-49450-226 UNIFORMS PW-SEWER DEPT Sewer 26.09 10/27/2025 127044 1410177617 601-49400-226 UNIFORMS PW-WATER DEPT Water 26.09 10/27/2025 127044 1410177617 651-49910-226 UNIFORMS - STORMWATER Storm Water 76.46 10/27/2025 127044 1410177617 101-43000-226 UNIFORMS -STREETS Public Works Department 72.60 10/27/2025 127044 1410177617 613-49830-226 UNIFORMS GOLF Golf Course 16.29 10/27/2025 127044 1410177617 101-45200-226 UNIFORMS PARKS Parks 16.29 10/27/2025 127044 1410177617 101-41900-223 MOPS -CLEANING TOWELS Central Services 29.88 10/27/2025 127045 566694311 710-49970-413 COPIERS - 10/25 10/27/2025 127046 6125681287 101-43100-321 10/27/2025 127046 6125681287 101-45200-321 10/27/2025 127046 6125681287 101-42110-321 10/27/2025 127046 6125681287 101-41900-321 10/27/2025 127047 LA25-000031 101-22205 ARLO CAMERAS - BRUSH SITE ARLO CAMERAS - LURTON DOG PARK ARLO CAMERAS -PD ARLO CAMERAS - SPARE ESCROW REFUND LA25-000031 - 650 BROWN R 10/27/2025 127048 8155584-159 603-49500-442 DUMPSTER FOR ROADSIDE DEBRIS 10/27/2025 127049 3503250769 101-43100-381 BRUSH SITE 09/01/25-10/01/25 10/27/2025 127049 3503250769 613-49830-381 GC SECURITY TO 10/31/2025 IT Services Brush Site Parks Police Department Central Services Recycling Brush Site Golf Course bbu.Z3 80.02 80.02 80.02 40.01 tuu.UU 4ya.dU Zt.bt 43.30 20 City of Orono Check Register- COUNCIL REPORT Page: 12 Check Issue Dates: 10/14/2025 - 10/27/2025 Oct 22, 2025 01:55PM Check Check Invoice Invoice GLAccount Description Department Invoice Payee Issue Date Number Number Amount WHCEA 10/27/2025 127049 3503250769 101-43000-381 ELECTRICAL SERVICE 09/01/25-10/01/25 Public Works Department 172.83 Total 127049: 243.70 WINTER EQUIPMENT COMPAN 10/27/2025 127050 IV64854 101-43000-222 433 PLOW CUTTING EDGE Public Works Department 1,636.80 Total 127050: 1,636.80 WOODDALE BUILDERS 10/27/2025 127051 RPS23-0000 101-22205 ESCROW REFUND - RPS23-000085 - 2726 CARO 10,000.00 Total 127051: 10,000.00 XCEL ENERGY 10/27/2025 127052 949346764 101-41900-381 PW BUILDING ELECTRICITY 09/17/25-10/16/25 Central Services 1,764.48 XCEL ENERGY 10/27/2025 127052 9493480019 101-43000-386 OCB TRAFFIC SIGNAL 09/17/25-10/16/25 Public Works Department 155.86 Total 127052: 1,920.34 ZUMBRO TOOLS 10/27/2025 127053 1020252166 701-49800-240 MECHANICS TOOLS Total 127053: MEDSURETY LLC 10/16/2025 20130758 DCAP M. JIN 101-21719 Total 20130758: AMAZON CAPITAL SERVICE 10/27/2025 20130759 1114-R44T-L 101-41900-201 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1114-R44T-L 101-41900-201 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1D4V-NNVW 701-49800-215 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1D4V-NNVW 701-49800-240 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1D4V-NNVW 613-49830-221 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1D4V-NNVW 701-49800-222 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1GKV-JKPX- 101-42110-201 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1HTK-7FNV- 101-43000-240 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1NQ1-FGH1- 601-49400-226 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1NQ1-FGH1- 602-49450-226 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1NQ1-FGH1- 602-49450-201 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1NQ1-FGH1- 601-49400-227 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1P3X-XCWT- 710-49970-221 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1P61-N7GG- 101-42110-201 AMAZON CAPITAL SERVICE 10/27/2025 20130759 1WGY-FFDG 101-41900-223 DCAP M. JIN Fleet Services LANYARDS - FOR SOLICITORS LICENSES Central Services POST -IT NOTES Central Services SHOP SUPPLIES Fleet Services MECHANICS TOOLS Fleet Services GOLF CART PARTS Golf Course VEHICLE PARTS Fleet Services OFFICE SUPPLIES Police Department PART FOR GRADE ROD/LASER Public Works Department KNIFE FOR LANCE Water KNIFE FOR LANCE Sewer CHARGER FOR OFFICE Sewer IMPELLER FOR MILWAUKEE PUMP - PUMPING H Water PRINTER AND WEBCAM FOR CITY IT Services OFFICE SUPPLIES- SHARPIES Police Department AIR FRESHENERS Central Services 53.25 2,094.27 15.57 61.11 256.37 20.69 25.99 77.90 56.96 34.99 13.99 14.00 6.16 18.13 169.08 20.43 21.40 21 City of Orono Check Register- COUNCIL REPORT Page: 13 Check Issue Dates: 10/14/2025 - 10/27/2025 Oct 22, 2025 01:55PM Check Check Invoice Invoice GLAccount Payee Issue Date Number Number Total 20130759 INNOVO BENEFITS ADMINISTR 10/27/2025 20130760 1561504 INNOVO BENEFITS ADMINISTR 10/27/2025 20130760 1561504 INNOVO BENEFITS ADMINISTR 10/27/2025 20130760 1561504 INNOVO BENEFITS ADMINISTR 10/27/2025 20130760 1561504 INNOVO BENEFITS ADMINISTR 10/27/2025 20130760 1561504 INNOVO BENEFITS ADMINISTR 10/27/2025 20130760 1561504 INNOVO BENEFITS ADMINISTR 10/27/2025 20130760 1561504 Total 20130760 Description Department 101-15998 HEALTH INSURANCE - 11.2025AJ 601-49400-135 HEALTH INSURANCE - 11.2025-BR Water 101-42110-135 HEALTH INSURANCE - 11.2025-DM Police Department 101-42110-135 HEALTH INSURANCE - 11.2025-JW Police Department 101-15998 HEALTH INSURANCE - 07.2025 - 10.2025 C.SCHU 101-21706 HEALTH INSURANCE - 11.2025 101-21706 HEALTH INSURANCE - 11.2025 J.AARESTAD LOGIS-WIRE 10/27/2025 20130761 152669 101-42110-310 LOGIS-WIRE 10/27/2025 20130761 152669 101-42110-310 LOGIS-WIRE 10/27/2025 20130761 152669 101-42110-310 LOGIS-WIRE 10/27/2025 20130761 152669 710-49970-329 LOGIS-WIRE 10/27/2025 20130761 152669 710-49970-329 LOGIS-WIRE 10/27/2025 20130761 152731 710-49970-311 LOGIS-WIRE 10/27/2025 20130761 152798 710-49970-319 Total 20130761: MEDSURETY LLC 10/27/2025 20130762 DCAP J Cuta 101-21719 Total 20130762: MN DEPT OF LABOR & INDUST 10/27/2025 20130763 Q3 Surcharg 101-20802 MN DEPT OF LABOR & INDUST 10/27/2025 20130763 Q3 Surcharg 601-39610 Total 20130763 MN DEPT OF REVENUE -WIRE 10/27/2025 20130764 09.2025 Sale 601-39610 MN DEPT OF REVENUE -WIRE 10/27/2025 20130764 09.2025 Sale 601-20806 MN DEPT OF REVENUE -WIRE 10/27/2025 20130764 09.2025 Sale 613-37910 MN DEPT OF REVENUE -WIRE 10/27/2025 20130764 09.2025 Sale 613-37920 MN DEPT OF REVENUE -WIRE 10/27/2025 20130764 09.2025 Sale 613-37930 MN DEPT OF REVENUE -WIRE 10/27/2025 20130764 09.2025 Sale 613-37935 MN DEPT OF REVENUE -WIRE 10/27/2025 20130764 09.2025 Sale 613-37940 MN DEPT OF REVENUE -WIRE 10/27/2025 20130764 09.2025 Sale 613-37960 POLICE MOBILES POLICE CAD POLICE RECORDS FIBER OPTIC SERVICE INTERNET NETWORK SERVICES - 09/30/25 GOPHER STATE LOCATES DCAP J. CUTA 2025 QUARTER 3 SURCHARGE - SEPTEMBER 2025 QUARTER 3 SURCHARGE - SEPTEMBER WATER METER SALES WATER TAXABLE SALES GREEN FEES GOLF CART RENTAL ALCOHOL/BEER POP CONCESSIONS - SALES TAX GOLF BALLS Police Department Police Department Police Department IT Services IT Services IT Services IT Services Invoice Amount 812.77 730.68 730.68 730.68 730.68 2,192.04- 67,683.92 1,297.62- 2,485.00 4,913.00 18,948.00 600.00 1,986.00 415.92 Ate] AC 29,360.07 ,1 — 104.17 9,888.14 9,498.57 46.00 1,152.00 2,415.00 1,160.00 317.00 12.00 89.00 58.00 City of Orono Check Register- COUNCIL REPORT Page: 14 Check Issue Dates: 10/14/2025 - 10/27/2025 Oct 22, 2025 01:55PM Check Check Invoice Invoice GLAccount Description Department Invoice Payee Issue Date Number Number Amount MN DEPT OF REVENUE -WIRE 10/27/2025 20130764 09.2025 Sale 613-37970 PRO SHOP SALES - SALES TAX 28.00 MN DEPT OF REVENUE -WIRE 10/27/2025 20130764 09.2025 Sale 601-20806 BULK WATER SALES 15.00 MN DEPT OF REVENUE -WIRE 10/27/2025 20130764 09.2025 Sale 101-39610 CREDIT - WRITE OFF 3.00- Total 20130764: 5,289.00 Grand Totals: 942,412.05 23 AGENDA ITEM Date: October 27, 2025 Title: Upcoming Work Session and Council Training Schedule Presenter: Adam Edwards, City Administrator / Engineer Section: Consent Agenda Item: 3 Purpose: The purpose of the action item is to schedule future work session agendas and council training / orientations. 2. Background: a. Work Sessions. This is an opportunity for council members to propose and agree to future work session topics. Work session meetings are at 5 pm on the same days as 6 pm regular council meetings. The table below lists upcoming proposed subjects and dates. Date Date Subject 2026 Subject 2025 Code Enforcement 12 Jan 14 Jul Council Goals for 2026 Average Lakeshore Setback 28 Jul General Fund Budget Update 26 Jan Community Management Plan - 4PM Start Community Survey Planning Average Lakeshore Setback 11 Aug Communications Update 9 Feb Tobacco Sales and Use 25 Aug Budget - Enterprise Funds (4 23 Feb Solid Waste Diversion PM Start) 8 Sep Preliminary Levy/ Budget 9 Mar 22 Sep City Facilities Review 23 Mar 13 Oct Draft Capital Improvement 13 Apr p Plans (4 PM Start) 27 Oct Draft Capital Improvement 27 Apr p Plans (4 PM Start) 10 Nov Fee Schedule Update 11 May 24 Nov Community Management Plan 25 May y Community Management Plan - Overview Community Survey Review 8 Dec None 8 Jun 22 Jun Preliminary Budget Guidance b. Council Trainings, Orientations and Special Work Sessions. This is an opportunity for council members to propose and agree to additional trainings or orientations for council. Staff will 24 then prepare and execute the trainings. The table below lists upcoming proposed subjects and dates. Date and Time Subject Location Staff Lead March 7, 8:30- Salt and Commodities Tours Wayzata and DJ 10:00 Medina April 4, 10:00- Orono's Conservation Design Code Council Chambers Laura 12:00 Orientation May 21 st and New Council Member Orientation (CM City Hall Dept Heads 22nd Schwingler) October 8th, Adam, 9:00-11:00 Resiliency / Sustainability City Hall Laura, DJ, Joe 3. Process: The work session dates and times are set by the City's annual Meeting Calendar, which the staff presents and the council approves, in the November time frame, for the following year. Historically the city has scheduled 2 hours per month for work sessions. Some times that has been one, two hour session per month with more recent schedules having two, one hour sessions per month. These regularly scheduled meetings have then been augmented by special meetings to cover specific topics that do not fit within the regular schedule, or require additional time to adequately cover a given topic. 4. Staff Recommendation: I recommend the next work session occur as scheduled. If the council would like to adjust the schedule please provide that guidance, and we can make the adjustment. COUNCIL ACTION REQUESTED Move to approve the draft work session schedule. 25 AGENDA ITEM Date: October 27, 2025 Title: Appoint Professional Auditing Firm Presenter: Maggie Jin, Finance Director Section: Consent Agenda Item: 4 Purpose: The purpose of this council item is to gain council approval to appoint the professional auditing firm for the fiscal years ending December 2025, 2026 and 2027 with future years extension available. 2. Background: Staff continuously reviews professional services contracted by the City, with the practice of a 5- year review cycle. The last Request for Proposals (RFP) for Auditing Service was complete in 2019. Since then, the City has been with Abdo for its auditing service. Even with satisfactory service, it is best practice to still go out for RFPs to ensure the City continues receiving exceptional service for a competitive price. The City is required to undergo an annual audit of its financial statements. The purpose of the audit is to obtain reasonable assurance that the financial statements are free from material misstatements. The audit also covers internal controls and Minnesota legal compliance. Upon completion of the audit, a management report will be prepared for the City Council and administration to be presented at a council meeting. At the August 11, 2025 City Council meeting, City Council approved going out for RFP for professional auditing service. The RFP opened on August 12 and closed on October 1. There were 5 proposals received. The lowest proposal came from Mauldin & Jenkins Certified Public Accountants (MJ CPA), however, lacked examples of other Minnesota cities serviced. Staff is recommending Abdo, which came in with the second lowest cost. A summary of cost comparison is provided in attachment Exhibit A. Abdo has a number of other cities within the area that they perform audit services for. Other cities includes, but is not limited to, Mound, Long Lake, Excelsior, Chanhassen, and Albertville. Additionally, Abdo has experience with auditing the City of Orono for the last 6 years and has shown a continued interest and commitment to provide exceptional auditing services to the City. 3. Staff Recommendation: Staff recommends a motion to appoint the audit firm of Abdo to perform the required audits for the City of Orono for the fiscal years ending December 2025, 2026 and 2027 with future years extension available. 26 COUNCIL ACTION REQUESTED Motion to appoint the audit firm of Abdo to perform the required audits for the City of Orono for the fiscal years ending December 2025, 2026 and 2027 with future years extension available. Exhibits A. Cost Comparison 4A Fiscal Year End Audit BerganKDV/Creative Planning Abdo Eide Bailly CLA MJ CPA 2025 48,525.00 41,000.00 43,875.00 47,250.00 36,000.00 2026 51,425.00 43,000.00 45,710.00 48,846.00 38,000.00 2027 54,505.00 45,000.00 48,795.00 50,442.00 40,000.00 Total 154,455.00 129,000.00 138,380.00 146,538.00 114,000.00 *Removed Single Audit Cost Examples of Other MN Cities Served St. Joseph Albertville Moorhead * Minnetrista None Mendota Heights Chanhassen Eagle Lake Mahtomedi Cloquet * Savage Morris Delano Detroit Lakes * Little Canada Hinkley Baxter * Maple Grove Watertown Minnetonka * Mound New Brighton * Long Lake Brooklyn Park * Excelsior *Recipients of ACFR Award N 00 AGENDA ITEM Date: October 27, 2025 Title: Solicitor - Time Extension Presenter: Christine Lusian, City Clerk Section: Consent Agenda 1. Purpose: The purpose of this action item is to approve an extended operating period. Item: 5 2. License Applicant(s): The following companies registered as solicitors for the standard 10 days and request to extend their time in Orono to continue outreach efforts. City code gives council the authority to authorize an additional 50 days beyond the initial registration period. Approval of this extension would authorize these solicitors to continue door- to-door sales into December. • Wolf Builders, a company providing storm restoration and exterior remodeling, with a team of three registered representatives. • Edward Jones, a financial services firm, with one registered representative. 3. Staff Recommendation: Staff recommends authorizing the extra 50 days. COUNCIL ACTION REQUESTED Consider a motion to approve extending the operating period by fifty 50 days. 29 AGENDA ITEM Date: October 27, 2025 Title: Compensation Increase - Public Works Maintenance Worker Presenter: Brent Weldon Section: Consent Agenda Item: 6 Purpose: To gain City Council approval for a step increase for Public Works Maintenance Worker Hunter Gille. 2. Background: Public Works employee Hunter Gille started with the City on October 23, 2023 as a Public Works Maintenance Worker. He has continued to exceed expectations, demonstrating strong performance, leadership, and initiative. Hunter has stepped into an informal leadership role with younger crew members, has become one of our most experienced for snow plow operators (often covering multiple runs during storms), and is always willing to come in for after-hours work as needed. He has also served as the main operator of the City's new vacuum truck, quickly mastering its use and ensuring it is effectively utilized for storm water and utility maintenance. In addition, Hunter has earned his Pesticide Applicator's License and his Winter Maintenance Supervisor Certificate. This certification has strengthened Orono's snow and ice management program and provided him with a deeper understanding of best practices for reducing salt usage and supporting MS4 storm water compliance. Overall, Hunter has proven to be a dependable and highly valuable member of the Public Works team. 3. Staff Recommendation: I recommend a step increase for Hunter Gille from Grade 7, Step 4 at $34.06 to Grade 7, Step 5 at $35.11 of the 2025 Local 49 AFL-CIO pay scale, effective on his anniversary October 23, 2025 for exceptional performance and professional development. COUNCIL ACTION REQUESTED Motion to approve an increase from Grade 7, Step 4 at $34.06 to Grade 7, Step 5 at $35.11 per hour of the 2025 Local 49 AFL-CIO pay scale retroactive to October 23, 2025 for Public Works Maintenance Worker Hunter Gille. 30 AGENDA ITEM Date: October 27, 2025 Title: Tree Maintenance - Contract Extension for Trimming and Removal Presenter: Brent Weldon Section: Consent Agenda Item: 7 Purpose: To obtain City Council authorization to proceed with contracted tree removal services along Watertown Road, contingent upon the successful outcome of the cooperative tree removal project scheduled for November 17-19, 2025, between the City of Orono and CJS Tree Services. 2. Background: Earlier this year, City Council approved additional funding for right-of-way tree removals due to the large number of hazardous trees identified citywide. Public Works has since partnered with CJS Tree Services to test the effectiveness and safety of their grapple saw truck during a cooperative removal project planned for mid -November. If the partnership proves successful, staff recommends using the remaining tree removal funds to expand work along Watertown Road, where numerous dead and declining ash trees present ongoing safety and maintenance concerns. 3. Scope: CJS Tree Services would perform grapple saw removals along Watertown Road, focusing on approximately 110 trees between Willow Drive South and McCulley Road. City staff would support the operation by providing traffic control, hauling and chipping of the brush, and maintaining roadway access throughout the project. 4. Cost: The proposed work includes approximately 110 trees to be removed between Willow Drive South and McCulley Road. From Willow Drive South to Old Crystal Bay Road, 57 trees are estimated at $8,375 total (—$147 per tree). • From Old Crystal Bay Road to Stubbs Bay Road, 20 trees are estimated at $4,690 total (—$235 per tree). From Stubbs Bay Road to McCulley Road, 33 trees are estimated at $11,055 total (—$335 per tree). The total estimated project cost is $24,120, with an overall average of approximately $219 per tree. 31 5. Funding: This project will be funded through the Streets Operating Budget, including the additional funds approved by City Council earlier this year for additional tree removal due to the number of trees identified citywide. This estimate reflects vendor costs only. City labor, equipment use, and hauling support will be covered through existing operational resources and are not included in the quoted amount. Only the vendor portion of the work —estimated at $24,120. 6. Staff Recommendation: The City previously solicited quotes for similar right-of-way tree removals earlier in 2025, receiving pricing from multiple vendors: CJS Tree Services — $21,429 and Priority Tree Experts — $40,000. Based on those results, CJS Tree Services provided the best overall value to the City. Given the specialized nature of grapple saw equipment and the limited number of qualified vendors offering comparable capabilities, staff recommends expanding the existing contract with CJS under the same cost structure. Reasonable efforts were made to identify alternative contractors, but no comparable local vendors were found with grapple saw capacity or availability this season. Staff recommends conditional approval to proceed with CJS Tree Services for the Watertown Road tree removals at an estimated cost of $24,120, contingent upon successful completion of the November 17-19 cooperative project with CJS Tree Services. COUNCIL ACTION REQUESTED Motion to accept the tree maintenance quote from CJS Services for $24,120.00 32 AGENDA ITEM Date: October 27, 2025 Title: Repair Blacktop - Ivy Place Presenter: Brent Weldon Section: Consent Agenda Item: 8 Purpose: The purpose of this action item is to accept a contractor quote for pavement improvements along the lower portion of Ivy Place. 2. Background: Residents on Ivy Place have shared concerns regarding pavement deterioration, uneven surfaces, and winter maintenance challenges. Following those inquiries, staff conducted a detailed field assessment. The inspection found that while the majority of Ivy Place remains in good condition, the lower hill section (approximately 3532-3560 Ivy Place) shows multiple patches and areas of minor settlement. Two specific locations would benefit from milling and patching to address surface irregularities. The asphalt curb continues to function properly, managing stormwater effectively during rainfall events. The catch basin structure located further up the roadway is currently being rehabilitated to improve drainage performance and extend the system's service life. Overall, the roadway is structurally sound, and targeted milling and overlay work in the lower portion will correct surface issues, enhance drivability, and extend the pavement's useful life until a full reconstruction is warranted. 3. Scope: The project includes butt -milling high areas and tie-ins to existing pavement, cleaning and preparing the surface, applying CQS-1H tack material, and paving a 2-inch bituminous overlay (SPWEA340B) over approximately 906 square yards of pavement area. Traffic control, cleanup, and restoration are considered incidental to the work and included in the contractor's price. 4. Cost: The City of Orono received two quotes for the mill and overlay work. The lowest quote from a qualified contractor was from MEB Enterprises Inc. for $28,875.00. Contractor Total Quote MEB Enterprises Inc. $28,875.00 Allied Blacktop Company $29,807.00 33 Funding: This project will be funded through the Pavement Fund. 6. Staff Recommendation: Staff recommends that the City Council accept the quote from MEB Enterprises Inc. in the amount of $28,875.00 for the Ivy Place mill and overlay project. COUNCIL ACTION REQUESTED Motion to accept the quote in the amount of $28,875.00 from MEB Enterprises Inc. for pavement improvements along the lower portion of Ivy Place. 34 AGENDA ITEM Date: October 27, 2025 Title: Oath of Office - Police Officer Presenter: Correy Farniok, Police Chief Section: Public Safety Report Purpose: Oath of Office for Officer Kohlton Beck 2. Staff Recommendation: Presentation - No Action Required COUNCIL ACTION REQUESTED Presentation - No Action Required Item: 9 35 AGENDA ITEM Date: October 27, 2025 Item: 10 Title: Agreements - Shoreline Fire Department - Resolutions 7632 and 7633 Presenter: Adam Edwards, City Administrator / Engineer Section: Public Safety Report Purpose: The purpose of this council item is to approve the Shoreline Fire Department Joint Powers Agreement, Fire Station leases, and appoint Directors to the Fire Department Board. 2. Background: A. Joint Powers Agreement (JPA). The current 2002 fire services contract expires at the end of 2025. The JPA (Exhibit B) creates a joint powers entity to provide fire protection and emergency medical services to the members and an orderly transition of operational responsibilities of the Long Lake Fire Department and the Orono Fire Department into the the Shoreline Fire Department. In April 2025, the first amendment to the existing contract was approved by the members. That amendment outlined the key provisions of a this new JPA and those elements have been incorporated into the JPA. B. Fire Stations Leases. Lease agreements for the two city -owned fire stations were developed and are ready for approval. The Willow Drive fire station is jointly owned 50150 between the cities of Orono and Long Lake. The Navarre fire station is solely owned by Orono. C. Fire Department Board Directors. The governing body of the new Shoreline Fire Department is a Board made up of Directors from each of the member cites. Each member city is authorized to appoint 2 elected officials to be its directors and a third elected official to serve as an alternate. 3. Summary: The proposed Joint Powers Agreement (JPA) establishes a new, independent Fire Department jointly governed by the member cities. Key provisions of the agreement include: A. Operational Start Date. The department will officially begin operations on January 1, 2026. B. Governance Structure. The department will be governed by a Board of Directors consisting of two voting representatives from each member city. • Voting Authority: The City of Orono will retain a minimum of 50% voting power as long as its financial contribution exceeds 50% of total funding. • Operating Committee: A committee composed of staff from the member cities will provide administrative support and oversight for the department and its Fire Chief. C. Board Responsibilities. The Board's authority includes: Employment and personnel decisions, capital purchases, policy approval, review and approval of the draft operating and capital budgets. D. Service Standards. The JPA defines the minimum services to be provided by the department, along with the required service levels. 36 E. Equipment, Facilities, and Funding. The agreement details how equipment, facilities, and departmental funds will be managed and allocated among members. F. Leadership. The department will be led by a Fire Chief appointed by the Board. The current LLFD Chief will serve as the initial interim chief during the transition. G. Financial Contributions. Each member city will contribute its allocated share of the total budget (operating and capital expenses) based on the following formula: 1/3 Property Value, 1/3 Population, 1/3 Call Volume. H. Budgeting and Planning. The department will prepare an annual operating budget and a capital improvement plan, both subject to Board approval and subsequent approval by the member cities. I. Membership Changes. The JPA specifies procedures for adding new members and for communities to become contract cities served by the department. J. Implementation Tasks. The agreement outlines the key steps and milestones required to ensure the department is fully operational by the established start date. 4. Cost: A. The Operating Budget and Capital costs for 2026 will need to be approved by the Board and the cities during their final budget approvals in December. The estimated operating budget cost for Orono fire services is $947,400. The Capital Improvement Plan (CIP) allocation for Orono fire capital is estimated at $410,000. B. In the JPA, Orono agrees to provide Long Lake $50,000 per year for 5 years with the intent of offsetting their fire capital expenditures. This brings Orono's fire capital improvement allocation to a total of $460,000. Funding: Funding for fire services is provided through property tax levy. 6. Staff Recommendation: I recommend adoption of the JPA, approval of leases, and appointment of members. COUNCIL ACTION REQUESTED Move to 1) Adopt resolution 7632 approving the Joint Powers Agreement establishing the Shoreline Fire Department, and approving the lease agreements. 2) Adopt resolution 7633 appointing representatives to the Shoreline Fire Department Board, Operating Committee, and Fiscal Agent Role. Exhibits A. Resolution 7632 - Shoreline Fire Agreements B. Agreement - Shoreline Fire C. Shoreline Fire Department Station 1 Lease D. Shoreline Fire Department Station 2 Lease E. Resolution 7633 - Shoreline Fire Appointments 37 CITY OF ORONO RESOLUTION OF THE CITY COUNCIL NO.7632 A RESOLUTION APPROVING JOINT POWERS AGREEMENT TO ESTABLISH SHORELINE FIRE DEPARTMENT AND APPROVING LEASES FOR 340 WILLOW DRIVE AND 3770 SHORELINE DRIVE WHEREAS, the City of Orono has entered an Agreement and Contract for Fire Protection, dated October 15, 2002 with the City of Long Lake and City of Medina, as amended by an Addendum to Contract for Fire Protection between Orono and Long Lake, dated December 12, 2011 and as amended by First Amendment to Agreement and Contract for Fire Protection among the Members, dated April 14, 2025 ("collectively, the "Existing Fire Services Agreement"); and WHEREAS, the City of Orono is a party to certain litigation related to the Existing Fire Services Agreement, in a case entitled City Long Lake v. City of Orono, Hennepin County District Court File No. 27-CV-23-9758 (the "Lawsuit"); and WHEREAS, the City of Orono and City of Long Lake are parties to a Contract for Joint Ownership, dated August 8, 2001, relating to the joint ownership, operation and maintenance of the real property located at 340 Willow Drive North in Orono, which is improved with a fire station known as "Fire Station No. I"; and WHEREAS, the City of Orono is the fee owner of certain real property located at 3770 Shoreline Drive North in Orono, which is improved with a fire station known as "Fire Station No. 2"; and WHEREAS, the term of the Existing Fire Services Agreement is scheduled to expire on December 31, 2025; and WHEREAS, the City of Long Lake and City of Orono have negotiated an agreement entitled Shoreline Fire Department Joint Powers Agreement (the "Joint Powers Agreement"), which establishes a joint powers entity, to be known as the Shoreline Fire Department (the "Department"), which will provide fire protection services to each of the cities according to the terms of the Joint Powers Agreement; and WHEREAS, the City of Orono and City of Long Lake propose to lease the property at 340 Willow Drive North to the Department, as contemplated by the Joint Powers Agreement and according to the terms of a negotiated lease agreement (the "340 Willow Lease"); and 237618v2 38 CITY OF ORONO RESOLUTION OF THE CITY COUNCIL NO.7632 WHEREAS, the City of Orono proposes to lease the property at 3770 Shoreline Drive to the Department, as contemplated by the Joint Powers Agreement and according to the terms of a negotiated lease agreement (the "3770 Shoreline Lease"); and WHEREAS, the City of Orono has negotiated the Joint Powers Agreement and the proposed lease agreements in contemplation of and predicated upon a complete and final settlement of all claims and disputes that have been or could be raised in the Lawsuit. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Orono as follows: 1. The Joint Powers Agreement is approved in the form presented to the City Council. The mayor and city attorney are authorized to make non -substantive modifications to the Joint Powers Agreement prior to execution, subject to approval of the authorized representatives of the City of Long Lake. 2. The 340 Willow Lease is approved in the form presented to the City Council. The mayor and city attorney are authorized to make non -substantive modifications to the 340 Willow Lease prior to execution, subject to approval of the authorized representatives of the City of Long Lake 3. The 3770 Shoreline Lease is approved in the form presented to the City Council. The mayor and city attorney are authorized to make non -substantive modifications to the 3770 Shoreline Lease prior to execution, subject to approval of the authorized representatives of the City of Long Lake 4. The mayor and city clerk are authorized and directed to execute the Joint Powers Agreement, 340 Willow Lease, and 3770 Shoreline Lease promptly after the effective date of this resolution. 5. The mayor, city staff, city attorney, and the City's defense counsel in the Lawsuit are authorized and directed to take all necessary steps to obtain the Court's approval of a stipulation of dismissal of the Lawsuit that is conditioned solely upon the approval of the Joint Powers Agreement, 340 Willow Lease and 3770 Shoreline Lease by the City Councils of the City of Long Lake and the City of Orono, with each party to bear its own costs and attorneys' fees. 6. The foregoing resolutions are effective upon the date that all of the following conditions have been met: 237618v2 39 CITY OF ORONO RESOLUTION OF THE CITY COUNCIL NO.7632 a. The City Council of the City of Long Lake must approve the Joint Powers Agreement and 340 Willow Lease, including non -substantive modifications, if any, made as contemplated by this resolution. b. The City Council of the City of Long Lake must formally acknowledge that it finds the terms of the 3770 Shoreline Lease (to which the City of Long Lake is not a party) to be acceptable and in compliance with the Joint Powers Agreement. c. The Court in the Lawsuit must have approved the dismissal of the Lawsuit in the manner contemplated by paragraph 5 of this resolution. Adopted by the City Council of Orono, Minnesota at a regular meeting held on October 27, 2025. ATTEST: CITY OF ORONO Christine Lusian, City Clerk Bob Tunheim, Mayor 237618v2 40 SHORELINE FIRE DEPARTMENT JOINT POWERS AGREEMENT THIS AGREEMENT ("Agreement') is entered into by and between the CITY OF ORONO, a Minnesota municipal corporation ("Orono') and the CITY OF LONG LAKE, a Minnesota municipal corporation ("Long Lake"), collectively, the "Members" or each a "Member". RECITALS WHEREAS, the Members hereto are authorized by law to provide fire protection services to their residents; and WHEREAS, Minnesota Statutes Section 471.59 authorizes governmental units by agreement of their governing bodies jointly and/or cooperatively to exercise any power common to the contracting Members and to provide for a joint board representing the Members to the agreement; and WHEREAS, the Members, together with the City of Medina, have previously entered into an Agreement and Contract for Fire Protection, dated October 15, 2002 (the "2002 Agreement'), as amended by an Addendum to Contract for Fire Protection between Orono and Long Lake, dated December 12, 2011 (the "Addendum") and a First Amendment to Agreement and Contract for Fire Protection among the Members, dated April 14, 2025 ("the First Amendment') (the 2002 Agreement, Addendum and First Amendment being collectively referred to in this Agreement as the "Existing Fire Services Agreement'); and WHEREAS, the Members entered into a Contract for Joint Ownership, dated August 8, 2001 (the "Joint Ownership Contract'), relating to the joint ownership, operation and maintenance of the real property at 340 Willow Drive in Orono, which is improved with a fire station designated by that agreement as Long Lake Fire Station #1 and designated by this Agreement as provided in Section 14.10 below; and WHEREAS, the Members entered into an Agreement executed in April 2002 regarding the joint development of Fire Station #1 (the "2002 Development Agreement'), which has been fully performed; WHEREAS, the Long Lake Fire Department currently has 1 full-time employees and 36 paid -on call employees; and WHEREAS, the Orono Fire Department currently has 12 part-time employees; and WHEREAS, the adoption of this Agreement has been authorized by the governing body of each party; and WHEREAS, the Members hereto desire to enter into a new joint powers agreement for the purpose of creating and implementing a joint powers entity to provide fire protection and 235703v20 41 emergency medical services to the Members and to provide for an orderly transition of operational responsibilities of the Long Lake Fire Department and the Orono Fire Department to the joint powers entity created by this Agreement. NOW, THEREFORE, the Members, in consideration of the following provisions and covenants, do hereby agree as follows: SECTION 1 GENERAL 1.1 Effective Date. This Agreement is effective when it has been approved by resolutions of the governing bodies of all Members, notwithstanding the date of execution of this Agreement. The approving resolutions must include the appointment of the Member's Directors as provided in Section 2.2 of this Agreement. Copies of the approving resolution for each Member will be attached to and become a part of this Agreement. 1.2 Operative Date. The Members acknowledge that time is needed to effectively transition the operations of the Long Lake Fire Department and the Orono Fire Department to the Department (as defined in Section 2.1 below). By majority vote, the Board as established in Section 2.2 of this Agreement shall determine the date (the "Operative Date") that the Department established by this Agreement has secured the necessary personnel, equipment, insurance and other requirements to commence operations as an independent fire department, with a goal of January 1, 2026 as the Operative Date. 1.3 Transitional provisions. Sections 2 through 12 below govern the establishment and ongoing governance and operation of the Department established by this Agreement. Section 15 addresses those matters related to the transition period between the Effective Date and the Operative Date. With the exception of Section 15.6 "Fire District Formation", the provisions of Section 15, cease to be effective on and after the Operative Date. SECTION 2 ORGANIZATION 2.1 Establishment. There is hereby established by the execution of this Agreement the "Shoreline Fire Department" (hereinafter referred to as the "Department") to be managed and operated pursuant to the terms of this Agreement. 2.2 Governance. The governing body of the Department shall be the "Shoreline Fire Department Board" (hereinafter referred to as the "Board"). The Board shall consist of the following members, each of whom is a "Director": a. Voting Directors: The Board shall initially have four voting directors: two members appointed by Long Lake's governing body and two members appointed by Orono's governing body. No employee of the Department or any police department serving the Members may serve on the Board as a Voting Director. Each Member shall appoint at least one, but not more than two, Voting Director(s) who is/are a seated city council member. If Members are added to the Department, the Board membership will be reconstituted as 235703v20 ►y: provided in Section 11 of this Agreement. In the event of a tie vote, the Members shall work together in good faith to break the tie using the dispute resolution process set forth in Sections 10.1 and/or 10.2 to address disputes involving the subject matters specified therein. b. Contract City Non -voting Directors: The governing body of each Contract City (as defined in Section 13.1 below) may appoint one Contract Director to the Board and one Alternate Contract Director. The Contract Director is a non -voting director. Alternate Contractor Directors may not participate in Board meetings except in the absence of the Contract Director whom they serve as an alternate. Staff Ex-Officio (non -voting,) Directors: The governing body of each Member shall appoint its chief administrative officer and another non -elected official or employee serving the Member to serve as non -voting Ex-Officio Directors on the Board. d. Alternate Directors: The governing body of each Member shall appoint one Alternate Member for each of the Member's Voting Director(s) and Ex- Officio Member. A Voting Alternate Member must be an elected official from the appointing Member's governing body and shall have the authority to vote in the absence of the Voting Director. An Ex-Officio Alternate Member must be a non -elected official or employee serving the Member. Alternate Directors may not participate in Board meetings except in the absence of the Voting Director or Ex-Officio Director for whom they serve as an alternate. Board Procedures: The Board shall annually elect from among the Voting Directors a Chair and Vice -Chair. The Chair shall act as the presiding officer at Board meetings and the Vice -Chair shall act as the presiding officer at any meetings not attended by the Chair. The Chair and the Vice -Chair may not be Directors appointed by the same governing body. The position of Chair may not be held by a Voting Director for the same Member for more than two (2) consecutive years. The Board shall adopt bylaws establishing procedures and operations of the Board. f. Terms. Each Voting Director, Contract Director and Alternate Director (whether a Voting-, Ex-Officio- or Contract Alternate Director) shall be appointed for a one-year term, but may be removed at any time by majority vote of the governing body that made the appointment. Ex-Officio Directors are appointed for indefinite terms that terminate when they no longer hold the designated position with the Member. 2.3 Compensation. Directors shall serve without compensation from the Department, but nothing herein shall be construed to prevent a Member from compensating its directors for service on the Board to the extent such compensation is otherwise authorized by law. 235703v20 43 2.4 Board Quorum. A majority of Directors shall constitute a quorum for the transaction of business, provided that a majority of Voting Directors must be present. The Board shall act by majority vote. 2.5 Meetings, The Board shall initially hold regular meetings at least once per quarter. The Board may subsequently, by majority vote, agree to modify the frequency of regular meetings. The first regular meeting of each year must be held in January and must include the election of the Chair and such other officers as required by the Board's bylaws. The Board may also, from time to time, hold special meetings and emergency meetings. All meetings of the Board are governed by the Minnesota Open Meeting Law, Minnesota Statutes Chapter 13D. 2.6 Voting, Each Voting Director shall have an equal vote. Unless otherwise specified herein, the Board may take action on any issue by majority vote of all Voting Members. Voting by proxy is not allowed. 2.7 Operating Committee. The Staff Ex-Officio Directors shall comprise the Operating Committee. The Operating Committee shall meet with the Fire Chief on a monthly basis and report to the Board at each regular meeting. a. The Operating Committee shall have authority to approve budgeted expenditures during monthly meetings. Non -budgeted expenditures which do not exceed ten thousand dollars ($10,000.00) may be approved by the Operating Committee, however, all unbudgeted expenditures in excess of this amount must be approved by the Board. A list of unpaid and paid claims shall be provided to each member of the Operating Committee on a monthly basis. b. The Operating Committee shall review and provide support and guidance to the Chief and any other employees of the Department by providing any administrative assistance requested by the Department (e.g. HR, Finance, Fleet, Facilities Maintenance) until such time as the Department employs staff to handle such matters. Employee concerns/complaints about the Chief shall be raised first to the Operating Committee, which shall implement follow-up and investigation, as appropriate. If applicable, the Operating Committee shall take appropriate action, up to but excluding termination, to discipline the Chief or otherwise address the complaint. The Chief shall maintain the right to appeal any adverse employment action taken by the Operating Committee against the Chief to the Board. The Operating Committee may also recommend the termination of the Chief to the Board, but a final determination must be made by a decision of a majority of the Board. d. The Operating Committee shall facilitate the integration and coordination of the Department with the other services within their municipalities. 235703v20 44 2.8 Department Office. The primary office of the Department shall be at 340 Willow Drive North, in Orono (the mailing address of which is Long Lake, MN 55356), but may be changed by the Board from time to time, after giving notice to the Members. 2.9 Fiscal Agent. Orono shall act as the initial fiscal agent for the Department, and Long Lake shall act as the initial assistant fiscal agent for the Department. The fiscal agent and assistant fiscal agent shall be required co-signers on all accounts and shall collaborate on all bank account reconciliations. The Department shall maintain a dedicated records terminal and storage at Long Lake Fire Station #1 and each Member shall have access at all times to the fiscal and accounting records. The fiscal agent and assistant fiscal agent shall perform requisite services at no cost to the Department. The Department shall indemnify and hold the fiscal agent and the assistant fiscal agent harmless from any claims, causes of action, or liability arising out of actions either takes in performing duties under this section except for claims, causes of action or liability arising out of the gross negligence or intentional misconduct of the fiscal agent or the assistant fiscal agent, respectively, in performing their duties under this paragraph. The appointment of Members to the roles of fiscal agent and assistant fiscal agent shall be reviewed by the Board annually and the Board may change the fiscal agent as it deems necessary. 2.10 Administrative support services. The Board may but shall not be required to contract with one or more Members to provide required support services to the Department, until the Department employs staff to fulfill the duties. Any contract or informal agreement for services may not provide for compensation to the Member in excess of the Member's actual hourly costs, including benefits. All support services shall be coordinated with the Fire Chief, with oversight from the Operating Committee and the Board. SECTION 3 GENERAL POWERS OF THE BOARD 3.1 Powers. The Board shall have and is hereby given all powers, duties and functions enumerated in this Agreement and provided by law, and all such further powers necessary to carry out the intent and purpose of the Department with respect to acquisition of property and operation of the Department heretofore set forth, including but not limited to the following: a. To employ and determine the terms of employment of fire protection, administrative, and other personnel, accountants, consultants, engineers, legal counsel, and other qualified personnel. b. To cause reports, plans, studies, and recommendations to be prepared. To purchase capital equipment and land, and to cause the construction of buildings to implement the purposes of the Department. d. To lease or purchase equipment (including capital equipment) and supplies necessary for the proper operation, care, maintenance, and preservation of Department facilities and equipment. 235703v20 45 To adopt Department bylaws, rules and regulations for the operation, maintenance and use of Department fire protection services, equipment, and facilities. f. To enter into mutual aid agreements with other organizations with similar purposes. g. To dispose of capital equipment and land consistent with the terms of this Agreement. h. To sell or lease any of its equipment (including capital equipment) as may be deemed expedient. To approve a yearly operating budget for Department services. j. To act as agent for receipt, custody, and disbursement of funds, gifts, or other funds paid or given by the Members on behalf of or for the use of the Department. k. To cause an annual independent audit to be made of all its accounts, books, vouchers and funds. To establish a Firefighters' Relief Association for the benefit of members of the Department and to make such contribution to the fund of the Firefighters' Relief Association as the Board deems appropriate and as required by law. in. To contract to provide fire protection and medical response services for non - Member entities, consistent with Section 7 of this Agreement. n. To purchase insurance to cover liability and worker's compensation for the needs of the Department. o. To develop, either directly or through appointed representatives of the Board, an agreement to evolve the status of the Department into a Fire District. 3.2 Disbursements. Except as otherwise provided, unanticipated disbursements of the Department must be approved by the Board and co -signed by two officials designated in the Board's bylaws. SECTION 4 SERVICES 4.1 Scope. Subject to the provisions of Section 4.3, the Department shall provide fire protection and emergency medical services within the boundaries of the Members and Contract Cities. 235703v20 46 4.2 Services. The Department shall provide to Members the following services, which shall be subject to revision or supplementation by Board action: a. Structural Firefighting b. Grass/Forest Firefighting c. General Firefighting to include Vehicles & Equipment, Carbon Monoxide Calls and Other Non -Structural Firefighting d. Rescue to include Vehicle & Equipment Extrication, General Search & Rescue and surface water rescue. e. Fire Prevention and Education f. Emergency Medical Services at a minimum of Emergency Medical Responder (EMR) level but with goal of achieving a Emergency Medical Technician (EMT) level. g. Hazardous Material Response at a First responder, Operation level. h. Disaster Response at the local level by being prepared to fully integrate with other disaster response agencies. i. Maintenance of Fire response equipment j. Fire code enforcement and inspection services k. Training and integration with other emergency response functions. 4.3 Response Standard. The Department shall initially use the following as operational benchmark standards until the new consolidated NFPA 1750 is approved and released, at which time the Board shall review and update the Department's response standards in the Board's discretion, using the NFPA 1750 as a guiding but not binding document: a. A 80th percentile on scene response time of 10 minutes for all emergent calls with an EMR or higher level capability for emergency medical incidents or the new Consolidated NFPA 1750 once approved and released; whichever is more stringent. b. A 80th percentile on scene response time of 14 minutes for the first arriving engine with 4 qualified firefighters as an operational benchmark standard for a fire suppression incidents or the new Consolidated NFPA 1750 once approved and released; whichever is more stringent. c. As a minimum, the Department shall maintain a two --firefighter duty crew model to cover the service area during hours established by the Board in consultation with the Fire Chief. The Fire Chief may add duty crew coverage for specific purposes. Permanent changes to the two -firefighter duty crew coverage model must be approved by the Board before taking effect. 4.4 Changes in Services or Standards. Changes to the services provided, service levels or standards must be approved by the Board. Any permanent decrease in services or standards must be approved by the governing bodies of all Members. If a Member seeks to add service area based upon its acquisition of new territory, that Member must obtain approval from the Board to add the service area; the Board's failure to approve the additional service area does not restrict 235703v20 IFA the Member's authority to acquire new territory, and the Member may contract with another fire service provider to provide fire services for that territory. 4.5 Allocation of Resources. The Members recognize the possibility that occasions will arise on which demand for the services outlined in this Agreement will exceed the resources available for the provision of such services. In such circumstances, Department officials shall use their best judgment to prioritize the delivery of services. The Members hereby agree that the Department shall have complete and definitive discretion in prioritizing the delivery of services pursuant to this Agreement. The Department must provide reasonably equitable service to all Members and must meet all contract standards set forth in fire service contracts between the Department and any Contract Cities. SECTION 5 FIRE EQUIPMENT, LAND, BUILDINGS, AND FUNDS 5.1 Equipment and Personal Property. a. The Department shall acquire (by gift, devise, purchase or lease) all equipment and personal property necessary for the operation of the Department on terms and conditions as approved by the Board. The Department may not lease equipment or personal property from a Member except as provided in Sections 11 and 14 of this Agreement. b. The purchase of equipment by the Department must be done in accordance with a capital improvement program approved as provided in Section 8.1 of this Agreement. The Department may sell its equipment and personal property to a third party upon approval of the Board or to a Member upon unanimous approval of the Board. The proceeds from any sale of Department equipment or personal property must be deposited in a capital fund for the Department. The Department may donate surplus equipment in accordance with Minnesota Statutes, Section 471.3459. d. The Department, with the approval of the Fire Chief, may allow a Member occasional and temporary use of Department apparatus and equipment. Each Member will be required to enter into an equipment use agreement with the Department before being allowed to utilize any apparatus or equipment owned or controlled by the Department. The equipment use agreement shall require that a Member utilizing Department equipment shall indemnify the Department against, and hold the Department harmless from, any claims, damages, liabilities, losses, fees, and costs, including reasonable attorneys' fees, which occur as a result of the Member's use. 5.2 Existing Land and Building. The existing parcels of land and buildings that are listed on the attached Exhibit A ("Fire Station Properties") shall, as of the Operative Date, become the initial fire stations for the Department. Ownership of the Fire Station Properties will remain with 235703v20 48 the Member(s) identified in Exhibit A as the owner(s) of each respective Fire Station Property. Each Member with an ownership interest in a Fire Station Property agrees to lease its Fire Station Property to the Department for One Dollar ($1.00) and upon other terms and conditions as set forth in a lease instrument approved by the Board and the respective Member owner(s). The terms of the leases must be substantially similar to each other. Each Member with an ownership interest in a Fire Station Property agrees to operate the Fire Station Property primarily as a fire station, unless otherwise approved by the Board. Each Member with an ownership interest in a Fire Station Property agrees not to structurally modify or remodel the Fire Station Property, unless otherwise approved by the Board. The rights and obligations of the parties regarding the leased premises shall be governed by the lease agreements for each Fire Station. In the event of a dissolution of the Department based upon a withdrawal from this Agreement by less than all Members, any Fire Station Property shall remain subject to the same lease for fire department purposes except that the tenant's interest in the lease shall be assigned to the owner Member city(ies) which did not withdraw. SECTION 6 PERSONNEL AND ADMINISTRATION 6.1 Fire Chief. a. The Board shall appoint a Fire Chief to assume all duties thereof upon the expiration of the Interim Chief Term, as defined below. The Fire Chief shall be responsible to the Board for the efficient and economical operation of the Department to ensure the delivery of the services and standards established in this agreement and direction provided by the Board. The Fire Chief's duties include: direction, deployment, and supervision of Department personnel, establishment and enforcement of rules of conduct for personnel, establishment and implementation of Department procedures, protocols and best practices, making recommendations to the Board with regard to the hiring, promotion, termination, supervision, discipline, and staffing levels of Department personnel, and carrying out the policies and procedures adopted by the Board. b. The Fire Chief is a full-time employee of the Department and may enter into an employment contract with the Board that is not inconsistent with this Section 6.1. The Board must choose the Fire Chief on the basis of training, experience, administrative, and other qualifications. The Fire Chief shall be appointed for an indefinite period of time and may be removed by the Board at any time for any reason or no reason, consistent with at -will employment 6.2 Other Positions. The Board shall develop and update as necessary a Department organizational chart establishing the various positions within the Department. The Board may, from time to time, establish, eliminate or reconstitute other employee positions as it deems to be appropriate. The Chief shall recommend action on all final hiring, promotion, and officer appointment decisions for final approval by the Board. The Chief shall determine officer and firefighter assignments. 235703v20 49 6.3 Training, The Department shall at all times be in compliance with such equipment, personnel and training standards as may be required by the laws of the State of Minnesota and the Federal Government. The Fire Chief shall ensure that all specialty position certifications and training are kept up to date. 6.4 Department Rules. Upon the recommendation of the Fire Chief, the Board will adopt rules and regulations governing the departmental structure, personnel administration and other similar matters related to the Department and its personnel and operation. 6.5 Compensation of Employees. The compensation of the employees of the Department shall be set by the Board. 6.6 Firefighters' Relief Association. The Board shall establish a compliant firefighters' relief association as defined by Minnesota Statutes Section 424A.001, subd. 4, for all paid on - call members of the Department. The relief association shall be designated as the "Shoreline Firefighters' Relief Association" and shall initially be established by amending the by-laws of the Long Lake Volunteer Fire Relief Association to substitute the Shoreline Fire Department for the Long Lake Fire Department as the entity with which the Relief Association is affiliated, and to assign all rights and obligations of the City of Long Lake set forth within the Relief Association by-laws to the Shoreline Fire Department. The Board shall thereafter assume responsibly for all Council obligations and retain discretion in all Council determinations related to the Relief Association which are set forth within the by-laws including, without limitation, subsequent amendments to the by-laws and/or funding adjustments. In the event the Board determines to or is obligated to increase funding to the Relief Association, the funding obligation shall become part of the Department's budget and be allocated pursuant to the percentage allocation determination set forth in Section 7. Subject to the terms of the approved bylaws, the Members' shall be represented on the Board of Trustees of the Relief Association by the Chief and two elected or appointed officials selected by the Board annually. Paid on -call firefighter employees of the Department shall be eligible for membership in the relief association. Other Department employees shall be members of the appropriate public employees' retirement fund, if eligible, but are not eligible to participate in the fire relief association of the Department. The governing bodies of the Members shall jointly approve an agreement with the Shoreline Firefighters' Relief Association to facilitate joining the lump -sum division of the Statewide Volunteer Firefighter Defined Benefit Plan, as soon as reasonably possible. The Department shall be the entity that is responsible for satisfying any minimum obligation payable under Minn. Stat. § 424A.092. The certification required by that statute shall be made to the Chair of the Board, who must promptly provide a copy to the governing body of each Member. Any minimum obligation required by Minn. Stat. § 424A.092 shall be included in the Department budget. Any increase in the Department budget that is attributable to a minimum obligation is excepted from the dispute provisions of Section 8 below. The Department and, to the extent required by law, each Member is required to comply with applicable laws to ensure that state fire aid and supplement aid is contributed to the special fund of the Shoreline Firefighters' Relief Association or Minnesota Public Employees Retirement Fund, as applicable. 235703v20 50 SECTION 7 FUNDING 7.1 Member Contributions. Each Member shall contribute an allocated share of the total operating budget (capital and operating expenses) to the Department as established by the Board, using the formula set forth in this section. The Board may agree to different funding terms with any Contract City as provided in Section 13.3 below. a. The share allocated to each Member shall be based upon that Member's percentage of the following: (1) Assessor's estimated market value for property within the Department's service area as of June 30th of the prior year; (2) Population of the Department's service area based upon the most recent state demographer estimates of population within each Member Community as of June 30th of the prior year; (3) Total number of calls made from the Department's service area over the previous three (3) calendar years prior to the immediately preceding year. For years prior to the establishment and operation of the Department, LLFD and OFD data shall be used b. The allocations shall be made by averaging the above percentages: by adding each of the percentages identified above in "(1)" through "(3)" and dividing by three (3). C. Capital Fund. The Capital Fund contributions will be determined by the multiyear Capital Improvement Plan as created and maintained by the Department. The Capital Fund will have a separate account for holding the balance of annual contributions from the Members. The Member contributions will be based on the formula defined in Section 7.1. 7.2 Additional Contribution. In addition to its allocated share of the Capital Improvement Program/Finance Plan under Sections 7 and 8 of this Agreement, Orono agrees to make payments on behalf of Long Lake as provided in this paragraph. Orono will make payments on behalf of Long Lake for Long Lake's allocated share of the Operating Budget and Capital Improvement Program/Finance Plan during the first five (5) years of this Agreement, in the amount of $50,000.00 annually. In the event Orono withdraws or this Agreement is dissolved during this initial five (5) year period and Orono has not allocated to Long Lake the full aggregate value herein contemplated, Orono shall pay to Long Lake any unallocated value upon such withdrawal or dissolution. 7.3 Quarterly Payment. The Department shall bill each of the Members on a quarterly basis at least thirty (30) days before payments are due. 7.4. Contracting Entities. The Department shall bill other contracting entities as provided by contract, consistent with Section 7.1 above. Such funds will be used to operate the Department in the same manner as contributions obtained from each of the Members. 235703v20 51 SECTION 8 BUDGET 8.1 Approval of Department Operating and Capital Budget. The Department shall submit a proposed budget, including operating and capital costs (the "Department Budget" or Budget"), to the Members through the Members' Operating Committee Directors by July 15. The annual Department Budget must be approved by an affirmative vote of the majority of each Party's governing body. The Members' governing bodies shall vote on the proposed budget by September 1. 8.2 Budget Disputes. If any dispute arises concerning approval of the Department Budget, or if a Member's governing body fails to approve the budget, the Members and the Department shall hold a joint meeting or series of joint meetings in September and October. In the event the Members and the Department are unable to resolve the dispute following said meeting(s), the Members will follow the dispute resolution process in Section 10.1, starting at step 2. For removal of doubt, a nominated arbitrator shall have the authority to determine the Department Budget and may consider, without limitation, the Department's needs with consideration of the service standard obligation set forth in Section 4.3, as it may be amended by the Board. a. If the Members are unable to agree on the proposed budget, and a final decision has not been issued pursuant to Section 10.1 prior to the commencement of the succeeding calendar year, the amount of the previous year's budget will be increased by the increase in July Minneapolis/St Paul Consumer Price Index for All Urban Consumers (CPI-U) over the previous 12-month period, or five percent (5%) whichever is less, until such time as the arbitrator renders a final decision and that determination is implemented by the Board. b. In the event that the Consumer Price Index decreases, the operating budget shall remain the same, pending the arbitrator's final decision. The arbitrator's final decision shall be implemented as per the ruling. 8.3 Budget Reports. The Department shall submit to each of the Members through its Operating Committee directors a quarterly budget report. Furthermore, the Department shall submit to each of the Members through their Operating Committee directors a copy of the Department's annual financial report no later than June 30'h of each year. SECTION 9 INSURANCE AND LIABILITY 9.1 Insurance. The Department shall maintain general liability insurance for its services, in an amount equal to or greater than the maximum liability applicable to municipalities as set forth in Minnesota Statutes, Section 466.04, subd. 1, as amended. The Department shall also maintain inland marine, automobile, and property insurance coverages. The Department shall also maintain workers' compensation coverage as required by law. All insurance policies shall be issued to the Department and shall name as additional insured each Member, its officers, and 235703v20 52 employees. 9.2 Liability, Defense and Indemnification. a. The Department shall defend and indemnify its officers (including Voting, Alternate and Ex-Officio Directors on its Board) and employees to the extent required by Minnesota Statutes, Section 466.07. b. The Department shall hold harmless, defend and indemnify Members, their officials, employees, and agents from and against any claims, suits, demands or causes of action for any damages or injuries, including reasonable attorneys' fees, based on allegations of negligence or omissions or willful misconduct of the Department's employees, officers, or agents. The Department's duty to indemnify will be limited to its applicable insurance coverage. Under no circumstances, however, shall the Department be required to pay on behalf of itself or any Member, any amounts in excess of the limits on liability established in Minnesota Statutes, Chapter 466 applicable to any one Member. The limits of liability for Members and the Department may not be added together to determine the maximum amount of liability. The intent of this subdivision is to impose on the Department a limited duty to defend and indemnify the Members for claims arising out of the performance of this contract subject to the limits of liability under Minnesota Statutes, Chapter 466. SECTION 10 DISPUTE RESOLUTION 10.1 Dispute Resolution Process; Select Subiect Matters. a. This Section 10.1 applies to the following categories of disputes, subject to the provisions of Section 8, supra: (1) Any dispute raised by a Member concerning a decision of the Board; (2) The Board's inability to reach a majority decision due to a deadlock on a matter that directly and primarily relates to the Department budget, hiring or termination of personnel, changes to services provided or service level, adding Additional Members and changes in the Department's service area.. The Board and each individual Member shall not be prohibited from seeking remedy from a court of competent jurisdiction in all other circumstances, subject to compliance with Section 10.2 below. For removal of doubt, this Dispute Resolution Process set forth in this Section 10.1 shall not apply to any Board or Member action to enforce a Member's non-compliance with this Agreement including, without limitation, refusal to timely fund Department expenses as set forth in this Agreement. b. The dispute resolution process consists of two steps. 235703v20 53 (1) A Member may initiate Step 1 of the dispute resolution process by submitting to the Department and each Member a written statement outlining the dispute or disagreement and the specific Board decision at issue. This written statement of dispute shall be forwarded by the complaining Member to the Board at the Board's next scheduled meeting. By majority vote of its Voting Members, the Board may also elect, without obligation, to call for dispute resolution of any issue directly and primarily involving any of the subject matters listed in paragraph 10.1(a)(2) above, and initiate Step 1 of the process. At Step 1, the Board is allowed a three (3) month period to resolve the dispute. If the dispute is not resolved within the three (3) month period, the dispute shall proceed to Step 2. (2) At Step 2, the Board must refer the dispute for mediation and binding arbitration. In the event of a dispute brought pursuant to Section 10.1(a)(1) above, the Department and the disputing Member(s) shall equally share the costs of mediation and arbitration and the disputing Member(s) remain responsible for their allocation of the Department's share. In the event of a dispute brought pursuant to Section 10.1(a)(2) above, the deadlocked Members shall equally share the costs of mediation and arbitration. The reviewing arbitrator shall have authority to determine whether a Member or Members is/are in Default of this Agreement. 10.2 Other Disputes. For all other disputes arising out of this Agreement, the Members agree to meet and confer and submit to non -binding mediation upon a decision to bring any legal action. This mediation requirement shall not prohibit the filing of a claim, but shall obligate the parties involved to seek resolution through this process as a part of any claim filed. Notwithstanding the foregoing, the Members agree that mediation shall not be required prior to prosecution of a claim if the delay is likely to increase the risk of imminent harm to a Member, Contracting City, or the public. Should any Member prevail in a cause of action, brought before a court of competent jurisdiction, against another Member for breach of this Agreement, that prevailing Member shall be entitled to recover all costs incurred in the prosecution of that enforcement action, including without limitation reasonable attorneys' fees. To the extent any inconsistencies exist between this Section 10.2 "Other Disputes" and the provisions of Section 10.1 "Dispute Resolution Process; Select Subject Matters", the provisions of Section 10.2 shall prevail and control. 10.3 No Waiver. An election by or failure of the Department or any Member thereof to enforce any provision of this Agreement shall not act as a waiver or release of the right to enforce any provision in this Agreement thereafter. SECTION 11 ADDITIONAL MEMBERS 11.1 Process. Any governmental unit may be added as a Member, with the approval by a majority vote of the Board and after adoption of a resolution by the new Member's governing body. 235703v20 54 11.2 Capital Contribution. Each new Member must contribute to the Department an amount equal to the new Member's allocated share of the Department's then -existing equipment and personal property, which share will be calculated in accordance with Section 7 of this Agreement. The new Member's capital contribution may be reduced by the value of any equipment or personal property owned by the new Member, where ownership is transferred to the Department. If the new Member desires to contribute equipment that the Member leases rather than owns: the new Member must assign the lease to the Department; the new Member's capital contribution will be reduced by the calculated current value of all lease payments; the new Member annually must reimburse the Department for lease payments made under the lease; and all Members' shares of the operating budget under Sections 7 and 8 will be calculated without regard to the lease payments. The Board and the governing body must agree upon the amount of the new Member's capital contribution and the time for payment, which may not exceed 5 years, prior to the approvals required under Section 11.1 above. 11.3 Board Membership. Each new Member shall appoint one Voting Director, one Alternate Director and two Ex-Officio Directors to the Board, in the same manner as provided in Section 2.2 of this Agreement. Provided, at all times during which Orono's cost share exceeds fifty percent (50%) of the Department budget, fifty percent (50%) of the Board shall be comprised of Voting Directors appointed by Orono; Orono shall have the right to appoint additional Voting Directors as needed to maintain that percentage. If Orono's cost share drops below fifty percent (50%) during any budget year, the Board shall be converted to be comprised of one Voting Director from each Member and Alternate, Contract and Ex-Officio Directors as provided in Section 2 of this Agreement. Conversely, if Orono's cost share rises above fifty percent (50%) during any budget year, the Board shall be converted whereby fifty percent (50%) of the Board shall be comprised of Voting Directors appointed by Orono. 11.4 Funding. The funding shares of all Members shall be adjusted as provided in Section 7 to reflect the addition of any new Member. 11.5 Adiustment of Membership. If any Member consolidates with another Member governmental unit, the consolidated governmental unit shall automatically become a single Member under this Agreement, and funding shares of all Members shall be reallocated as provided in Section 7 of this Agreement 11.6 Agreement to be Bound by Existing Policies. Each new Member agrees to be bound by the provisions of this Agreement and by the adopted operating policies in effect at the time the new Member joins the Department. SECTION 12 DURATION, WITHDRAWAL AND DISSOLUTION OF DEPARTMENT 12.1 Duration. The initial Term of this Agreement shall be from the Effective Date until December 31, 2045. This Agreement will automatically renew for successive terms of five (5) years each, unless dissolved as provided in Section 12.3. 12.2 Withdrawal. 235703v20 55 a. Notice. Notice of intent to withdraw from participation in the Department must be given in the month of January, with a minimum of Thirty-six (36) months' notice of intent to withdraw. The withdrawing Member shall continue to make all payments and contributions required by this Agreement while it is a Member. b. No vesting. Any party withdrawing from the Agreement shall have no vested rights or ownership in any of the property or assets of the Department. This section shall not affect the withdrawing Member's retention rights to land and buildings, subject to the provisions of this Agreement. C. Operating budget contribution. By December 31 of each of the two years following the effective date of its withdrawal, a withdrawing Member shall pay to the Department an amount equal to the withdrawing Member's allocated share, under Section 7 of this Agreement, of the Department operating budget for the year prior to the effective date of the withdrawing Member's withdrawal. 12.3 Dissolution. The Members may terminate this Agreement and dissolve the Department at any time, by resolutions adopted by the governing bodies of all Members. The dissolution shall be effective upon the date specified in the Members' resolutions of dissolution or, if no date is specified, upon the date the last resolution is adopted. 12.4 Distribution of Assets Upon Dissolution. Upon a mutually agreed upon dissolution, all assets owned by the Department shall be liquidated according to State law or may be transferred, by agreement among all Members, to a fire district. All cash remaining from the liquidation of assets after payment of all Department debts shall be distributed to the Members based on the average funding allocations of the Members for the last three years' budgets. If the Department is dissolved due to the withdrawal of a Member(s) and not by mutual agreement, the terms of Section 12.2 shall apply and the Department's rights to equipment and the Operating budget contribution shall be allocated to the Member(s) which did not withdraw. SECTION 13 CONTRACT CITIES 13.1 A municipality shall be added to the Department's service area with a fee for service contract only upon receiving unanimous approval of the Department Board. Each such municipality is known as a "Contract City" or, collectively, "Contract Cities." 13.2 A Contract City shall have representation on the Board as provided by Section 2.2(b) above. 13.3 By majority vote, the Board shall approve the fee structure for each new Contract City. 13.4 Contract Cities shall have no ownership interest in the Department, its assets or the assets of its members. 13.5 Notwithstanding the foregoing provisions of this Section 13, the Department shall, on or before the Operative Date, accept assignment of and responsibility for compliance with the Fire Service Contract dated June 6, 2018 between the City of Long Lake and the City of the Village of Minnetonka Beach (the "Existing Minnetonka Beach Contract"). The parties hereto agree and 235703v20 56 consent to the initiation of assignment and termination of the Existing Minnetonka Beach Contract by the City of Long Lake, with a termination effective date of no later than June 6, 2028. In the event the Existing Minnetonka Beach Contract is not terminated by Long Lake, the Department as assignee, no later than December 1, 2026, shall provide notice of termination of the Existing Minnetonka Beach Contract to Minnetonka Beach and offer to enter into a fire service contract with Minnetonka Beach on terms in compliance with this Section 13. SECTION 14 MISCELLANEOUS TERMS 14.1 Electronic signatures; Counterparts. This Agreement may be executed in counterparts, including both counterparts that are executed on paper and counterparts that are in the form of electronic records and are executed electronically (including, without limitation, DocuSign® and AdobeSign(&). All executed counterparts shall constitute one agreement, and each counterpart shall be deemed an original. 14.2 Amendment. This Agreement may be amended at any time by the mutual agreement of the governing bodies of all Members. Any such amendment shall be in writing and will be attached to this Agreement. 14.3 Notices. All notices, demands, requests, consents, approvals, or other instruments required or permitted to be given by the Department or by any Member pursuant to this Agreement shall be in writing and shall be as follows: To Department: At the Department's official address, as provided in Section 2.8 of this Agreement To a Member: At the Member's official primary address 14.4 Entire Agreement. Except as otherwise provided herein, this Agreement constitutes the entire agreement between the Members with respect to the subject matter hereof, and there are no other representations, warranties, or agreements except as herein provided. 14.5 Severability. The provisions of this contract shall be deemed severable. If any part of this contract is rendered void, invalid, or otherwise unenforceable, such rendering shall not affect the validity and enforceability of the remainder of this contract. 14.6 Construction. The provisions of this Agreement shall be construed in accordance with the laws of the State of Minnesota, without regard to choice of law provisions. 14.7 Subcontracting & Assignment. The Department shall not subcontract or assign any portion rights or responsibilities under this contract without prior written permission from the Members. 14.8 Termination of Prior Agreements. The 2002 Agreement and Contract for Fire Protection, the 2011 Addendum, the 2024 First Amendment, and the 2002 Agreement for joint development of Station 1 are terminated as of the Operative Date. 235703v20 57 14.9 Adoption of Uniform Fire Code. The Members agree to adopt the most current Uniform Fire Code and authorize the Department to enforce said Uniform Fire Code in their cities within ninety (90) days of execution of this Agreement. All Members further agree that they will approve amendments to their City Codes of Ordinances adopting any updates or revisions to the Uniform Fire Code within sixty (60) days of receiving notice from the Department that the Uniform Fire Code has been amended. Any Member or Contract City may appoint the Department Chief (or the Chief s designee) as the designated fire marshal for the Member's jurisdiction and the Department Fire Chief or the Chiefs designee shall serve in that capacity at a cost established by the Department. 14.10 Station Locations and Names. Decisions to locate, relocate, close, name, or rename a fire station operated by the Department shall require unanimous approval from the Board. The station names set forth in Exhibit A shall be the initial names for each station. SECTION 15: TRANSITIONAL PERIOD 15.1 Organizational Meeting. A meeting of the Board should occur within ten (10) days after the Effective Date. At its initial meeting, the Board shall elect officers and establish a schedule of regular or special meetings for the purposes of organizing the Department and reading the Department for the Operative Date. 15.2 Organizational Tasks. The Board shall proceed with due diligence to complete the following tasks: a. Establish a projected Operative Date, as contemplated by Section 1.2 of this Agreement. b. Adopt bylaws for the Board as contemplated by Section 2.2(d) of this Agreement. C. Establish the initial organizational structure for the department. d. Recruit and hire a Fire Chief for the Department, with a term commencing not earlier than ten (10) months after the Operative Date. e. In order to ensure a smooth transition to the new Department, the current Long Lake Fire Chief shall be offered employment with the Department as the Interim Fire Chief for a period of one (1) year from the Operative Date (the "Interim Chief Term"), with full authority through the Interim Fire Chief term. f. Hire personnel as the Board deems necessary for the operation of the Department. The Board may extend offers of employment to any existing employee of the Long Lake Fire Department and the Orono Fire Department. All offers of employment must be effective no earlier than the Operative Date established by the Board. g. Designate a fire relief association as contemplated by Section 6.6 of this Agreement. h. Prepare an inventory of all equipment of the Department. 235703v20 58 Prepare budgets for the Department as required by Sections 15.4 and 15.5 below. 15.3 Transfer of Equipment. Effective on the Operative Date, each Member agrees to convey and transfer to the Department its respective ownership interests in the equipment and personal property identified in the attached Exhibit B ("the Equipment") for no consideration, in accordance with Minnesota Statutes, Section 471.85. Based on the Members' review and evaluation of the comparative values of the Equipment to be transferred to the Department, and the allocation formula in Section 7 of this Agreement, no payments shall be required by the Members with respect to any Equipment conveyed to the Department as of the Operative Date. 15.4 2025 Budget and Funding Shares. Within thirty (30) days of the Effective Date, the Board must prepare a Department budget for the period commencing on the Effective Date and ending December 31, 2025 and the Members' initial contributions toward that budget, which will be calculated in accordance with Section 7; no Member's initial contribution may exceed $XXXX. The Board's determination is final, and approval of the Member's governing bodies is not required. The Members agree to pay their respective shares within thirty (30) days after receipt of an invoice from the Department. 15.5 2026 Budget and Funding Shares. The Board shall prepare a budget for Fiscal Year 2026, commencing with the established Operative Date, and shall allocate the initial budget among the Members in accordance with Sections 7 and 8 of this Agreement. The Board must provide the proposed budget to the Members no less than 45 days before the Operative Date. The Members shall have thirty (30) days to approve the budget. If there is a dispute regarding the 2025 budget, the dispute resolution provisions of Section 8.3 apply, except that the Board - approved budget will serve as the interim budget, pending the final decision of an arbitrator. 15.6 Fire District Formation. The Members agree to consider transitioning the Department to a Fire Protection and Emergency Medical Services Special Taxing District as identified in MN Stat. 144F.01. The Members agree to prioritize the completion of a study for such a transition within the first five years from the Operative Date of the Department. IN WITNESS WHEREOF, the Members have caused this Agreement to be executed by their duly authorized officers. [signature pages follow] 235703v20 59 Signature Page — City of Orono CITY OF ORONO By Its Mayor By Its City Clerk 235703v20 60 Signature Page — Long Lake CITY OF LONG LAKE By Its Mayor By Its City Clerk 235703v20 61 Exhibit A Fire Station Properties Fire Station # 1 — "The Long Lake Station" Address: 340 Willow Drive North, Orono, MN Legal Description: Lot 1, Block 1, WILLOWFIRE ADDITION, Hennepin County, Minnesota Owner(s): City of Long Lake 50%, undivided City of Orono (50%, undivided) Fire Station #2 — "The Orono Station" Address: 3770 Shoreline Drive, Orono, MN Legal Description of Leased Premises: The building, driveway and parking lot located on that part of the Property described below, which lies between a line drawn 275 feet northerly of and parallel to the South line of said Property and a line drawn 455 feet northerly of and parallel to the South line of said Property. Property Description: The Westerly 1/2 of Lot 1, Block 9, Townsite of Langdon Park, Hennepin County, Minnesota, EXCEPT that part thereof lying West of a line drawn North at right angles to the South line of Section 17, Township 117 North, Range 23 West from a point of said South line 1,315.97 feet West from the South 1/4 corner of said Section 17 AND East 1/2 of Lot 1, Block 9, Townsite of Langdon Park, Hennepin County, Minnesota Owner(s): City of Orono 235703v20 62 Exhibit B Equipment to be Transferred to Department LLFD Owned Equipment to be Transferred (purchased under contract) New Description / Purpose Equipment Current Owner Disposition Details Department Transferred Equipment Excess 2004 Rescue LLFD Rescue LLFD Auction- Proceeds to 12 New Department Capital Fund. Tanker 1 2009 Tanker Tender Stationl LLFD Tanker LLFD 11 Excess 1997 Utility LLFD Utility LLFD Auction- Proceeds to 11 New Department Capital Fund. Engine 2 2017 Engine / Pumper LLFD Engine LLFD Station2 22 Excess 2001 Tanker LLFD Tanker LLFD Auction- Proceeds to 12 New Department Capital Fund. UTV 1 2015 Brush/Medical ATV on LLFD Utility LLFD Trailer 12 Admin 1 2000 Pickup truck for LLFD U21 LLFD support functions Chassis Command 1 2022 Chiefs vehicle LLFD LLFD Command 1 Command 2013 Tahoe Command Command 3 LLFD vehicle Boat 1 2005 EZ Loader Boat LLFD Boat 11 LLFD Boat 2 2022 Zodiac with trailer LLFD Boat 12 LLFD 235703v20 63 City Owned Equipment to be Transferred The following equipment shall be transferred from current owners to the new department. Contribution amounts will be based on agreed upon January 1, 2026 values. New Description / Equipment Current Department Purpose Transferred Owner Equipment Excess 2003 Engine LLFD Engine 21 City of Orono Excess 2003 Rescue LLFD Rescue 21 City of Orono Ladder 1 2009 Ladder Orono Ladder City of Orono Truck Command 2 2022 Duty officer OFD Command 1 City of Orono Vehicle Engine I* Engine / Pumper Orono Engine 1 City of Orono Station 1 Tanker 2 2024 Tanker Orono Tanker City of Orono Tender Station2 Engine 2025 Engine / Orono Engine 2 City of Orono (CIP)* Pumper (On Order to arrive 2027 Rescue 2* 2025 Medical / Orono Brush City of Orono Brush / Utility Medical Station2 Equipment Turn Out Gear, City of Orono SCBAs, & Radios Rescue 1 2024 Medical / Long Lake City of Long Brush/ Utility Brush/Medical 11 Lake Station 1 Command 3 Fire Marshal/ Long Lake City of Long Inspector / Command 2 Lake Probationary Duty Officer Engine 3 Back up Engine Long Lake Engine City of Long 11 Lake *Lease to own vehicle -Lease to remain in Orono's name during payment period but is considered by the Members to be an asset of the Department. Title to be transferred once paid off. In the event of Orono withdrawal from the JPA during the term of the lease, the lease shall be assigned to the Department. 235703v20 64 LEASE REFERENCE LANDLORD: City of Long Lake and City of Orono LANDLORD'S ADDRESSES FOR NOTICES: City of Long Lake 450 Virginia Avenue, P. O. Box 606 Long Lake, MN 55356 City of Orono 2750 Kelley Parkway Orono, MN 55356 LANDLORD'S ADDRESS FOR PAYMENT OF RENT: As designated in writing by Landlord LEASE REFERENCE DATE: November 1, 2025 TENANT: Shoreline Fire Department TENANT'S ADDRESS: 340 Willow Drive North Long Lake, MN 55356 LEASED PREMISES: 340 Willow Drive North, Orono, MN LEASED PREMISES AREA: 88,906 sq. ft. USE (AUTHORIZED BUSINESS): Public fire station and emergency service POSSESSION DATE: January 1, 2026 COMMENCEMENT DATE: January 1, 2026 END INITIAL TERM/RENEWAL DATE: December 31, 2045 TERM OF LEASE: Initial term of 20 years, with automatic renewal terms of five years each, subject to exceptions; see Article 2 IIli 1►N See Article 3 for Rent and Additional Rent The Reference Page information is incorporated into and made a part of the Lease between Tenant and Landlord dated the 1 st day of November, 2025 ("Lease"). In the event of any conflict between any Reference Page information and the Lease, the Lease shall control. The Lease includes Exhibits A and B which are all made a part of this Lease. 1 235577v14 65 M 235577v14 LANDLORD (City of Long Lake): By: Its: Mayor By: Its: City Administrator. Date: LANDLORD (City of Orono): By: Its: Mayor By: Its: City Administrator. Date: TENANT Shoreline Fire Department: By: Its: Date: By: Its: Date: 66 LEASE AGREEMENT This LEASE AGREEMENT ("Lease") is made and effective as of the 1st day of November, 2025, by and between the City of Orono ("Orono') and City of Long Lake ("Long Lake"), each a Minnesota municipal corporation (collectively, "Landlord"), and Shoreline Fire Department, a joint powers entity established under Minnesota law pursuant to that certain Shoreline Fire Department Joint Powers Agreement dated of even date herewith ("Tenant"). The Landlord and Tenant hereby agree as follows: ARTICLE 1— LEASED PREMISES A. Subject to the terms, covenants and conditions of this Lease, Landlord leases to Tenant, and Tenant leases from Landlord, the real property consisting of land, building and improvements located at 340 Willow Drive North, Orono, Minnesota 55356, legally described Exhibit "A" (the "Leased Premises"). The Leased Premises includes the fixtures owned by Landlord and identified on the attached Exhibit `B" ("Landlord Fixtures"). The Leased Premises does not include any personal property owned by Landlord ("Landlord Personal Property"), and there is no Landlord Personal Property located on the Leased Premises. ARTICLE 2 — TERM OF LEASE; TERMINATION A. Initial Term. The term of this Lease shall be for twenty (20) years as set forth on the Reference Page (hereafter referred to as the "Initial Term") upon the rentals and subject to the conditions set forth in this Lease, and the Exhibits attached hereto. B. Renewal. This Lease shall automatically renew for successive terms of five (5) years (each, a "Renewal Term"), on the same terms and conditions set forth in this Lease, except as set forth below: 1. Either Tenant or Landlord may elect not to renew by providing written notice to the other at least one (1) year prior to the expiration of the Initial Term or Renewal Term, as applicable. The notice shall be given in the manner provided in Article 22 of this Lease. 2. Landlord shall have the right to increase the Rent for any Renewal Term by providing Tenant with written notice at least one year and one month prior to the expiration of the Initial Term or Renewal Term, as applicable. 3. In the case of an event as described at paragraph C.2 of this Article 2, the Renewal Term of this Lease shall be one (1) year, rather than five (5) years. 1 235577v14 67 C. Termination. 1. If the Tenant entity is dissolved by mutual agreement of all the Tenant entity's members, this Lease shall automatically terminate on the effective date of the dissolution. 2. At any time that either the City of Long Lake or the City of Orono unilaterally withdraws as a member of the Tenant entity, this Lease shall terminate at the end of the Initial Term or Renewal Term during which the unilateral withdrawal occurs; provided, that if less than one (1) year remains in the then -existing term at the time of the unilateral withdrawal, then this Lease may be automatically renewed for a Renewal Term as provided in paragraph B.3. of this Article 2, and this Lease shall terminate at the end of that Renewal Term. a. The period of time from the unilateral withdrawal of either the City of Long Lake or the City of Orono until the termination date as provided under this Article 2, paragraph C.2 shall be referred to as a "Remnant Period." b. Notwithstanding the provisions of Articles 13 and 25.E. of this Lease, during the Remnant Period, the non -withdrawing Tenant entity member (the "Remnant Landlord") shall have the authority (but not the obligation) to act alone in exercising the Landlord rights and obligations of this Lease, except that the Remnant Landlord shall have no authority to amend any provision of this Lease in the absence of an assignment by the withdrawing Tenant entity member in accordance with Article 13.13. In Addition, the Remnant Landlord shall be obligated to charge Rent for any subsequent Renewal Term at a market rate, comparable to rents charged for properties and buildings of similar size, geographic location, and use. c. At any time after a unilateral withdrawal of either the City of Long Lake or City of Orono, the Tenant's interest under this Lease shall be assigned to the non - withdrawing member or members of the Tenant entity. d. During the Remnant Period and the first Renewal Period following the unilateral withdrawal of the withdrawing member (the "Purchase Option Period"), the non - withdrawing member of the Tenant entity (whether City of Long Lake or City of Orono), shall have an option to purchase the withdrawing member's ownership interest in the Property, at a market rate to be determined as provided in this paragraph. If the City of Long Lake and the City of Orono are unable to agree upon the market rate for the withdrawing member's interest, each party shall select an appraiser to estimate the value of the withdrawing member's interest, and the two appraisers shall select a third appraiser to review the two appraisals and determine the amount to be paid. The option to purchase must be exercised by written notice to the withdrawing member, given within the Purchase Option Period. 2 235577v14 68 ARTICLE 3 - USE A. The Leased Premises shall be used by the Tenant as a public fire station and emergency service facility during the Term of this Lease and, except as provided by Article 24 of this Lease, shall be used for no other purpose without the prior written consent of Landlord. B. The Leased Premises shall not be used in violation of any applicable federal, state, or local law, ordinance, rule, or regulation, and Tenant shall comply with the same at its sole cost and expense. C. Tenant covenants and agrees that Tenant, its agents, contractors, licensees and invitees shall not handle, use, manufacture, store or dispose of any flammables, explosives, radioactive materials, hazardous wastes or materials (as may be defined by Federal or State Law), toxic wastes or materials, petroleum products, chlorinated solvents, or other similar substances or derivatives thereof (collectively "Hazardous Materials"), on, under, or about the Leased Premises, without Landlord's prior written consent (which consent may be withheld or denied for any or no reason); provided, however, that Tenant may handle, store, or use products containing small quantities of Hazardous Materials, which products are of a type customarily associated with public fire department operations; provided further that Tenant shall handle, store, and use and dispose of any such Hazardous Materials in a safe and lawful manner in compliance with all governmental rules, laws and regulations, and shall not allow such Hazardous Materials to contaminate the Leased Premises, or the surrounding environment. If Tenant's handling (including transportation to and from the Leased Premises), storage, use or disposal of any such Hazardous Materials on or from the Leased Premises results in the contamination of the Leased Premises, the soil or surface or ground water of the Leased Premises, then Tenant agrees to: 1) notify Landlord immediately of any contamination, claim of contamination, loss or damage, 2) after consultation with Landlord, clean up the contamination in full compliance with all applicable statutes, regulations and industry standards and 3) indemnify, defend and hold Landlord harmless from and against any claims, suits, causes of action, costs and fees, including attorneys' fees, arising from or connected with any such contamination, claim of contamination, loss or damages. The provisions of this paragraph shall survive the expiration or earlier termination of this Lease. Any and all consents of Landlord pursuant to this paragraph must be in writing signed by both Landlord and Tenant. D. Tenant shall not perform any act or carry on any practice that may injure the Leased Premises. E. Tenant shall keep the Leased Premises in an orderly and presentable manner. F. The Tenant shall not place on the exterior or interior of the Leased Premises or on the Property (including, but without limitation, windows, doors, and entrance lobbies) any permanent signs other than those for public safety or Tenant operational purposes, or those which shall first have been approved by the Landlord, including replacements thereof. ARTICLE 4 - RENT 235577v14 69 A. Rent. Tenant agrees to pay to Landlord as rent (hereinafter called "Rent") for the Leased Premises, without notice or demand, annual Rent of one dollar ($1.00) payable in January, on an annual basis. Rent may be paid as a setoff against operational costs due and payable to Tenant from Landlord (as members of the Tenant's entity) for the provision of fire services in accordance with the Shoreline Fire Department Joint Powers Agreement. Tenant shall pay Additional Rent to the extent required by Articles 6 and 8. Additional Rent is due within 30 days after invoice by Landlord. Rent is subject to increase as provided in Article 2.B.2 of this Lease. ARTICLE 5 - POSSESSION Landlord shall deliver possession of the Leased Premises on the Possession Date set forth on the Reference Page. Tenant agrees to take and shall take the Leased Premises in its "as is" condition. ARTICLE 6 - UTILITIES AND SERVICES A. Commencing with the date on which Landlord delivers the Leased Premises to Tenant, Tenant shall be responsible for the payment of all separately metered utilities for the Leased Premises. B. Tenant agrees to maintain and clean the Leased Premises and keep the same in a sanitary and orderly manner. Tenant shall deposit all trash, refuse and recyclable materials into appropriate exterior containers provided by Landlord on the Leased Premises, and Tenant shall be responsible for the cost of trash removal and recycling collection services. Tenant shall also be responsible for pest and vermin control within and on the Leased Premises. Should Tenant fail to clean and maintain the Leased Premises and remove trash and recyclable materials therefrom as required herein, Landlord shall have the right to complete such services and charge Tenant such costs as Additional Rent. Tenant agrees not to waste any utilities and will adopt affirmative practices and policies to prevent waste of resources, consistent with the needs of a public fire station operation. C. Tenant shall be responsible for all utility and routine property maintenance services to the Leased Premises including water, sewer, gas, electric, telecommunication services (including, but not limited to, telephone, Internet, cable communication and streaming services), and snow removal. D. No temporary interruption or failure of such services incidental to the making of repairs, alterations or improvements, or due to accidents or strike or conditions or events not under Landlord's control shall be deemed as an eviction of the Tenant or relieve the Tenant from any of the Tenant's obligations hereunder. ARTICLE 7 - NON -LIABILITY OF LANDLORD Except in the event of gross negligence or willful misconduct of Landlord, its agents, employees or contractors, Landlord shall not be liable for any loss or damage for failure to furnish heat, air conditioning, electricity, water, sprinkler system, sewer or gas service. Landlord shall not 2 235577v14 70 be liable for personal injury, death or any damage from any cause about the Leased Premises except if caused by Landlord's gross negligence or willful misconduct. ARTICLE 8 - CARE OF LEASED PREMISES AND EQUIPMENT A. Tenant agrees: 1. To keep the Leased Premises in as good condition and repair as they were in at the time Tenant took possession of same, reasonable wear and tear and damage from fire and other casualty for which insurance is normally procured excepted; 2. To keep the Leased Premises in a safe, clean and sanitary condition and in compliance with all applicable laws, ordinances, rules and regulations of governmental authority, or of any insurance policy(ies) insuring against losses resulting from damage or destruction to the Leased Premises or from personal injuries, deaths or property damage occurring in, on or about the Leased Premises; 3. Not to commit any nuisance or waste on the Leased Premises, overload the Leased Premises or the electrical, water and/or plumbing facilities in the Leased Premises, or throw foreign substances in plumbing facilities; and 4. To abide by such rules and regulations as may from time to time be reasonably promulgated by Landlord; 5. Tenant shall be responsible for routine maintenance and minor repairs (those costing $5,000 or less) to the Leased Premises including, but not limited to, plumbing, electrical, gas or HVAC equipment, and other mechanical equipment ("Building Equipment") and windows, roof, walls, structural support foundation, paving, landscaping ("Structural Elements"). Landlord shall be responsible for major repairs (those costing in excess of $5000.00) to Building Equipment and Structural Elements and for replacement of Building Equipment at the end of its useful life Notwithstanding the foregoing, Tenant shall be responsible, at its cost, for all repairs and/or maintenance of any portion of the Leased Premises including, but not limited to, Building Equipment and Structural Elements, that are necessary due to the acts of the Tenant, its employees, volunteers, contractors, or other invitees; the Tenant shall restore the Leased Premises to the condition it was in immediately prior to the time that it was damaged. All repairs must be performed in accordance with all laws, directions, rules and regulations of regulatory bodies or officials having jurisdiction in that regard. B. If Tenant shall fail to keep and preserve the Leased Premises in the state of condition required by the provisions of this Lease, Landlord may at its option put or cause the same to be put into the condition and state of repair agreed upon, and in such case the Tenant, on demand, shall pay the cost thereof, as Additional Rent. 5 235577v14 71 ARTICLE 9 - NON -PERMITTED USE Tenant agrees to use the Leased Premises only as provided in Article 3. Tenant further agrees not to commit or permit any act to be performed on the Leased Premises or any omission to occur which shall be in violation of any statute, regulation or ordinance of any governmental body or which will increase the insurance rates on the Leased Premises or which will be in violation of any insurance policy carried on the Property by the Landlord. Tenant, at its expense, shall comply with all governmental laws, ordinances, rules and regulations applicable to the use of the Leased Premises and its occupancy and shall promptly comply with all governmental orders, rulings and directives for the correction, prevention and abatement of any violation upon, or in connection with, the Leased Premises or Tenant's use or occupancy of the Leased Premises, including the making of any alterations or improvements to the Leased Premises, all at Tenant's sole cost and expense. ARTICLE 10 - INSPECTION Upon prior written notice from Landlord to Tenant, the Landlord or its employees or agents shall have the right without any diminution of rent or other charges payable hereunder by Tenant to enter the Leased Premises at all reasonable times for the purpose of inspection, cleaning, repairing, testing, altering or improving the same, but nothing contained in this Article shall be construed so as to impose any obligation on the Landlord to make any repairs, alterations or improvements. ARTICLE 11 - ALTERATIONS Tenant may make minor alterations to the Leased Premises such as painting without Landlord's prior approval. Excepting the fulfillment of those Tenant maintenance and repair obligations required by this Lease, Tenant may not make any other alterations, repairs, additions or improvements in or to the Leased Premises or add, disturb or in any way change any locks, plumbing or wiring therein without the prior written consent of the Landlord, as to the character of the alterations, additions or improvements to be made, the manner of doing the work, and the contractor doing the work. All such work shall comply with all applicable governmental laws, ordinances, rules and regulations. Tenant agrees to indemnify and hold Landlord free and harmless from any liability, loss, cost, damage or expense (including attorneys' fees) by reason of any said alteration, repairs, additions or improvements. ARTICLE 12 - SIGNS Tenant may only install signs on the Leased Premises in compliance with the terms of the Lease. Upon termination of this Lease, Tenant shall remove any signs and repair any damage to the Leased Premises caused by the installation and removal thereof, or, at Landlord's option, such signs shall become part of the realty and belong to Landlord without compensation to Tenant with title passing to Landlord under this lease as by a bill of sale. Tenant agrees that no other signs or other advertising materials shall be erected, attached or affixed to any portion of the interior or exterior of the Leased Premises without the express prior written consent of Landlord. 0 235577v14 W ARTICLE 13 - ASSIGNMENT AND SUBLETTING A. Except as provided in Article 2 of this Lease, Tenant may not assign, sublet, license, mortgage or encumber this Lease, the Leased Premises, or any part thereof, whether by voluntary act, operation of law, or otherwise, without the written consent of Landlord. B. Landlord's right to assign this Lease is and shall remain unqualified upon any sale or transfer of the Leased Premises consented to by both Orono and Long Lake and, providing the purchaser succeeds to the interests of Landlord under this Lease; Landlord shall thereupon be entirely freed of all obligations of Landlord hereunder and shall not be subject to any liability resulting from any act or omission or event occurring after such conveyance. Independent of an assignment consented two by both Landlord entities, Orono and Long Lake, individually, may only assign their respective interests in the Lease to each other and only upon the consent of such assignment by the assignee. Upon agreement to such assignment between Orono and Long Lake, the assignor shall thereupon be entirely freed of all obligations of Landlord hereunder and shall not be subject to any liability resulting from any act or omission or event occurring after such conveyance. ARTICLE 14 - LOSS BY CASUALTY If the Leased Premises or a majority portion thereof is damaged or destroyed by fire or other casualty, Landlord shall have the right to terminate this Lease, provided it gives written notice thereof to Tenant within ninety (90) days after such damage or destruction. If Landlord does not elect to terminate this Lease, the Landlord shall, at its expense, restore the Leased Premises to as near the condition which existed immediately prior to such damage or destruction, as reasonably possible, and the rentals shall abate during such period of time as the Leased Premises are untenantable, in the proportion that the untenantable portion of the Leased Premises bears to the entire Leased Premises. ARTICLE 15 - WAIVER OF SUBROGATION Landlord and Tenant hereby release the other from any and all liability or responsibility to the other or anyone claiming through or under them by way of subrogation or otherwise for any loss or damage to property caused by fire or any of the extended coverage or supplementary contract casualties, even if such fire or other casualty shall have been caused by the fault or negligence of the other party, or anyone for whom such parry may be responsible; provided however, that this release shall be applicable and in force and effect only with respect to loss or damage occurring during such times as the releasing parry's policies shall contain a clause or endorsement to the effect that any such release would not adversely affect or impair said policies or prejudice the right of the releasing party to recover thereunder. Landlord and Tenant agree that they will request their insurance carriers to include in their policies such a clause or endorsement. If extra cost shall be charged therefor, each party shall advise the other of the amount of the extra cost, and the other party, at its election, may pay the same, but shall not be obligated to do so. ARTICLE 16 - EMINENT DOMAIN 7 235577v14 73 Neither Orono nor Long Lake may seek to take title to the Leased Premises, nor any portion thereof, nor any real property immediately adjacent to the Leased Premises by eminent domain during the term of the Lease, regardless of whether either city remains a member of the Tenant entity. If the entire Leased Premises is taken by eminent domain by a government entity other than Orono or Long Lake, this Lease shall automatically terminate as of the date of taking. If a portion of the Leased Premises is taken by eminent domain, the Landlord shall have the right to terminate this Lease, provided it gives written notice thereof to the Tenant within ninety (90) days after the date of taking. If a portion of the Leased Premises is taken by eminent domain and this Lease is not terminated by Landlord, the Landlord shall, at its expense, restore the Leased Premises to as near the condition which existed immediately prior to the date of taking as reasonably possible, and the rentals shall abate during such period of time as the Leased Premises are untenantable, in the proportion that the untenantable portion of the Leased Premises bears to the entire Leased Premises. All damages awarded for such taking under the power of eminent domain shall belong to and be the sole property of Landlord, irrespective of the basis upon which they are awarded; provided, however, that nothing contained herein shall prevent Tenant from making a separate claim to the condemning authority for its moving expenses and trade fixtures. For purposes of this Article, a taking by eminent domain shall include Landlord's giving of a deed under threat of condemnation. ARTICLE 17 - SURRENDER On the last day of the Term of this Lease or on the sooner termination thereof in accordance with the terms hereof, Tenant shall peaceably surrender the Leased Premises in good condition and repair consistent with Tenant's duty to make repairs as provided in Article 8 hereof. On or before said last day, Tenant shall at its expense remove all of its equipment and personal property from the Leased Premises, repairing any damage caused thereby, and any property not removed shall be deemed abandoned. All alterations, additions and fixtures other than Tenant's trade fixtures, which have been made or installed by either Landlord or Tenant upon the Leased Premises shall remain as Landlord's property and shall be surrendered with the Leased Premises as a part thereof, or shall be removed by Tenant, at the option of Landlord, in which event Tenant shall at its expense repair any damage caused thereby. If the Leased Premises are not surrendered, on the last day of the Term of this Lease or on the sooner termination thereof in accordance with the terms hereof, Tenant shall indemnify Landlord against loss or liability resulting from delay by Tenant in so surrendering the Leased Premises, including, without limitation, claims made by any succeeding tenant founded on such delay. Tenant shall promptly surrender all keys for the Leased Premises to Landlord at the place then fixed for payment of rental and shall inform Landlord of combinations on any locks and safes on the Leased Premises. ARTICLE 18 - NONPAYMENT OF RENT, DEFAULTS If any one or more of the following events shall occur, it shall be a "Default" under the terms of this Lease: (1) a rent payment or any other undisputed payment due from Tenant to Landlord shall be and remain unpaid in whole or in part for more than sixty (60) days after written notice of the delinquency; (2) Tenant shall fail to utilize the Leased Premises as a fire station in violation of Article 3; or (3) Tenant shall violate or default on any of the other covenants, agreements, stipulations or conditions herein, and such violation or default shall continue for a 235577v14 74 period of sixty (60) days after written notice from Landlord of such violation or default; then it shall be optional for Landlord, without further notice or demand, to cure such default (if applicable) or to declare this Lease forfeited and the Term hereof ended and Landlord shall be entitled to sue Tenant for all sums due under this Lease or which become due prior to judgment, but such suit shall not bar subsequent suits for any further sums coming due thereafter. Excepting amounts deemed delinquent at the time of termination, Tenant's obligation to pay Rent or Additional Rent shall permanently cease upon termination of this Lease. Tenant shall be responsible for, in addition to any then delinquent Rent or Additional Rent due and other sums agreed to be paid hereunder, the cost of any necessary maintenance, repair, restoration, (including related cost of removal or modification of Tenant Improvements) or cure, as well as reasonable attorneys' fees incurred or awarded in any suit or action instituted by Landlord to enforce the provisions of this Lease, regain possession of the Leased Premises, or the collection of the Rents due Landlord hereunder. Tenant agrees to pay interest at the highest permissible rate of interest allowed under the usury statutes of the State of Minnesota, or in case no such maximum rate of interest is provided, at the rate of nine percent (9%) per annum, on all Rents and other sums due Landlord hereunder not paid within ten (10) days from the date same become due and payable. Each right or remedy of Landlord provided for in this Lease shall be cumulative and shall be in addition to every other right or remedy provided for in this Lease now or hereafter existing at law or in equity or by statute or otherwise. ARTICLE 19 - LANDLORD'S DEFAULT Landlord shall not be deemed to be in default under this Lease until Tenant has given Landlord written notice specifying the nature of the default and Landlord does not cure such default within sixty (60) days after receipt of such notice or within such reasonable time thereafter as may be necessary to cure such default where such default is of such a character as to reasonably require more than sixty (60) days to cure. ARTICLE 20 - HOLDING OVER Tenant will, at the expiration of this Lease, whether by lapse of time or termination, give up immediate possession to Landlord. If Tenant fails to give up possession the Landlord may, at its option, serve written notice upon Tenant that such holdover constitutes any one of the following (i) renewal of this Lease for one year, and from year to year thereafter, or (ii) creation of a month -to - month tenancy, or (iii) creation of a tenancy at sufferance. If Landlord does not give said notice, Tenant's holdover shall create a tenancy at sufferance. In any such event the tenancy shall be upon the terms and conditions of this Lease, except that the Rent shall be Ten Thousand Dollars ($10,000) per month (in the case of tenancy at sufferance such Rent shall be prorated on the basis of a 365 day year for each day Tenant remains in possession); excepting further that in the case of a tenancy at sufferance, no notices shall be required prior to commencement of any legal action to gain repossession of the Leased Premises. In the case of a tenancy at sufferance, Tenant shall also pay to Landlord all damages sustained by Landlord resulting from retention of possession by Tenant. The provisions of this paragraph shall not constitute a waiver by Landlord of any right of reentry as otherwise available to Landlord; nor shall receipt of any rent or any other act in apparent affirmance of the tenancy operate as a waiver of the right to terminate this Lease for a breach by Tenant hereof. 0 235577v14 75 ARTICLE 21 - INDEMNITY, INSURANCE AND SECURITY A. Tenant will keep in force at its own expense for so long as this Lease remains in effect public liability insurance with respect to the Leased Premises in which Landlord shall be named as an additional insured, in companies and in form acceptable to Landlord with a minimum combined limit of liability of Two Million Dollars ($2,000,000.00). Said insurance shall also provide for contractual liability coverage by endorsement. Tenant will further deposit with Landlord the policy or policies of such insurance or certificates thereof, or other acceptable evidence that such insurance is in effect, which evidence shall provide that Landlord shall be notified in writing thirty (30) days prior to cancellation, material change, or failure to renew the insurance. Tenant further covenants and agrees to indemnify and hold Landlord harmless for any claim, loss or damage, including reasonable attorneys' fees, suffered by Landlord, caused by: i) any act or omission by Tenant, Tenant's employees, volunteers, or anyone claiming through or by Tenant in, at, or around the Leased Premises; ii) the conduct or management of any work or thing whatsoever done by Tenant in or about the Leased Premises or from transactions of the Tenant concerning the Leased Premises; or iii) Tenant's failure to comply with any and all governmental laws, rules, ordinances or regulations applicable to the use of the Leased Premises and its occupancy. If Tenant shall not comply with its covenants made in this Article 21, Landlord may, at its option, cause insurance as aforesaid to be issued and in such event Tenant agrees to pay the premium for such insurance promptly upon Landlord's demand. B. Tenant shall be responsible for the security and safeguarding of the Leased Premises and all property kept, stored or maintained in the Leased Premises. Landlord will make available to Tenant, at Tenant's request, the plans and specifications for construction of the Leased Premises that Landlord has (if any). Tenant represents that it is satisfied that the construction of the Leased Premises, including the floors, walls, windows, doors and means of access thereto are suitable for the authorized fire station and emergency service use. Tenant further represents that it is satisfied with the security of said Leased Premises for the protection of any property which may be owned, held, stored or otherwise caused or permitted by Tenant to be present upon the Leased Premises. The placement and sufficiency of all safes, vaults, cash or security drawers, cabinets or the like placed upon the Leased Premises by Tenant shall be at the sole responsibility and risk of Tenant. Tenant shall maintain in force throughout the Term, insurance upon all contents of the Leased Premises, including that owned by others and Tenant's equipment and any alterations, additions, fixtures, or improvements in the Leased Premises acknowledged by Landlord to be the Tenant's. C. Landlord shall carry and cause to be in full force and effect a fire and extended coverage insurance policy on the Leased Premises, but not Tenant's trade fixtures, furnishings, operating equipment, wall, floor and window coverings, nor any other contents owned, leased or otherwise in possession of Tenant. ARTICLE 22 — NOTICES All notices from Tenant to Landlord required or permitted by any provisions of this Lease shall be directed to Landlord postage prepaid, certified or registered mail, at the respective addresses 10 235577v14 76 provided for Landlord on the signature pages of this Lease or at such other addresses as Tenant shall be advised, in writing, to use by Landlord. All notices to Landlord shall be directed to all Landlord entities. All notices from Landlord to Tenant required or permitted by any provision of this Lease shall be directed to Tenant, postage prepaid, certified or registered mail, at the Leased Premises and at the address, if any, set forth on the signature page of this Lease. Each Landlord entity and Tenant shall each have the right at any time and from time to time to designate one (1) additional party to whom copies of any notice shall be sent. ARTICLE 23 - APPLICABLE LAW This Lease shall be construed under the laws of the State of Minnesota, without regard to choice of law provisions. ARTICLE 24 — USE OF LEASED PREMISES BY OTHERS Landlord and Tenant are governmental entities, and the building on the Leased Premises is a public building. Tenant agrees that Landlord reserves the right for the City of Orono and City of Long Lake to use the Leased Premises as a public polling place for regular and special local, state and federal elections. Tenant also agrees to cooperate with Landlord in allowing reasonable and occasional use of gathering spaces within the Leased Premises by the City of Orono or City of Long Lake, provided that Tenant may refuse to allow any use that will interfere with Tenant's operations, in Tenant's sole discretion. ARTICLE 25 - GENERAL A. This Lease does not create the relationship of principal and agent or of partnership or of joint venture or of any association between Landlord and Tenant, the sole relationship between Landlord and Tenant being that of landlord and tenant. B. No waiver of any default of Tenant hereunder shall be implied from any omission by Landlord to take any action on account of such default if such default persists or is repeated, and no express waiver shall affect any default other than the default specified in the express waiver and that only for the time and to the extent therein stated. C. The marginal or topical headings of the several Articles, paragraphs and clauses are for convenience only and do not define, limit or construe the contents of such Articles, paragraphs or clauses. D. All preliminary negotiations are merged into and incorporated in this Lease. E. This Lease can only be modified or amended by an agreement in writing signed by the parties hereto. 11 235577v14 77 F. All provisions hereof shall be binding upon the successors and assigns of each party hereto. G. If any term or provision of this Lease shall to any extent be held invalid or unenforceable, the remainder shall not be affected thereby, and each other term and provision of this Lease shall be valid and be enforced to the fullest extent permitted by law. H. Time is of the essence with respect to the due performance of the terms, covenants and conditions herein contained. IN WITNESS WHEREOF, this Lease has been duly executed by the parties hereto as of the day and year indicated above. [Remainder of Page Intentionally Left Blank] [Signature Pages Follow] 12 235577v14 78 Signature Page — Landlord (City of Long Lake) LANDLORD (City of Long Lake): By: Its: Mayor LM Its: City Administrator Date: Address for Notices, if other than Premise: City of Long Lake 450 Virginia Avenue P. O. Box 606 Long Lake, MN 55356 235577vI4 79 Signature Page — Landlord (City of Orono) 2 235577v14 LANDLORD (City of Orono): By: Its: Mayor LM Its: City Administrator Date: Address for Notices, if other than Premise: City of Orono 2750 Kelley Parkway Orono, MN 55356 80 Signature Page — Tenant TENANT Shoreline Fire Department: By: Its: Date: By:_ Its: Date: Address for Notices, if other than Premise: Shoreline Fire Department 340 Willow Drive North Long Lake, NIN 55356 235577v14 81 EXHIBIT "A" PROPERTY DESCRIPTION Lot 1, Block 1, WILLOWFIRE ADDITION, Hennepin County, Minnesota 235577v14 82 EXHIBIT "B" LANDLORD FIXTURES Built-in cabinetry, shelves, and countertops. Flooring materials, such as tiles, sealed concrete, or other permanent finishes. Permanent electrical wiring, light fixtures, and wall -mounted outlets. Permanent IT and communications wiring, fixtures. Plumbing installations, including sinks, toilets, faucets, and showers. HVAC equipment, systems, and ductwork. Built-in fire suppression, security, and communication systems. Permanently installed partitions or wall structures. Built in Equipment storage lockers Common Facility Appliances such as stoves, ovens, refrigerators, dishwashers 235577vl4 83 LEASE REFERENCE LANDLORD: City of Orono City of Orono 2750 Kelley Parkway Orono, MN 55356 LEASE REFERENCE DATE: November 1, 2025 TENANT: Shoreline Fire Department TENANT'S ADDRESS: 340 Willow Drive North Long Lake, MN 55356 LEASED PREMISES: 3770 Shoreline Drive, Orono, MN 55391 LEASED PREMISES AREA: Approx. 46,980 sq. ft. USE (AUTHORIZED BUSINESS): Public fire station and emergency service POSSESSION DATE: January 1, 2026 COMMENCEMENT DATE: January 1, 2026 END INITIAL TERM/RENEWAL DATE: December 31, 2045 TERM OF LEASE: Initial term of _20 years; with automatic renewal terms of five years each, subject to exceptions; see Article 2] 1011►0 See Article 3 for Rent and Additional Rent The Reference Page information is incorporated into and made a part of the Lease between Tenant and Landlord dated the 1 stday of November, 2025 ("Lease"). In the event of any conflict between any Reference Page information and the Lease, the Lease shall control. The Lease includes Exhibits A, B and C, which are all made a part of this Lease. 1 237419v9 84 LANDLORD City of Orono: By: Its: Mayor By: Its: City Administrator. Date: TENANT Shoreline Fire Department: By:_ Its: Date: By:_ Its: Date: 237419v9 85 LEASE AGREEMENT This LEASE AGREEMENT ("Lease") is made and effective as of the 1' day of November, 2025, by and between the City of Orono, a Minnesota municipal corporation ("Landlord"), and Shoreline Fire Department, a joint powers entity established under Minnesota law pursuant to that certain Shoreline Fire Department Joint Powers Agreement dated of even date herewith ("Tenant"). The Landlord and Tenant hereby agree as follows: RECITALS A. Landlord is the fee owner of certain real property located at 3770 Shoreline Drive, Orono, Minnesota 55391, legally described on the attached Exhibit A (the "Property"). The Property is improved with a public fire station building and related parking and landscaping improvements. B. Tenant is a joint powers entity established for the purpose of providing fire and emergency services, and Landlord, in its capacity as City of Orono, is a member of the Tenant's joint powers entity. C. Pursuant to the terms of this Lease, Landlord desires to lease to Tenant, and Tenant desires to Lease from Landlord, a portion of the Property as legally described on the attached Exhibit B and consisting of land, building and related parking and landscaping improvements (the "Leased Premises"). ARTICLE 1— LEASED PREMISES A. Subject to the terms, covenants and conditions of this Lease, Landlord leases to Tenant, and Tenant leases from Landlord, the (the "Leased Premises"). The Leased Premises includes the fixtures owned by Landlord and identified on the attached Exhibit "C" ("Landlord Fixtures"). The Leased Premises does not include any personal property owned by Landlord ("Landlord Personal Property"), and there is no Landlord Personal Property located on the Leased Premises. ARTICLE 2 — TERM OF LEASE; TERMINATION A. Initial Term. The term of this Lease shall be for twenty (20)years as set forth on the Reference Page (hereafter referred to as the "Initial Term") upon the rentals and subject to the conditions set forth in this Lease, and the Exhibits attached hereto. B. Renewal. This Lease shall automatically renew for successive terms of five (5) years (each, a "Renewal Term"), on the same terms and conditions set forth in this Lease, except as set forth below: 1 237419v9 86 1. Either Tenant or Landlord may elect not to renew by providing written notice to the other at least one (1) year prior to the expiration of the Initial Term or Renewal Term, as applicable. The notice shall be given in the manner provided in Article 22 of this Lease . 2. Landlord shall have the right to increase the Rent for any Renewal Term by providing Tenant with written notice at least one year and one month prior to the expiration of the Initial Term or Renewal Term, as applicable. 3. In the case of an event as described at paragraph C.2 of this Article 2, the Renewal Term of this Lease shall be one (1) year, rather than five (5) years. C. Termination. 1. If the Tenant entity is dissolved by mutual agreement of all the Tenant entity's members, this Lease shall automatically terminate on the effective date of the dissolution. 2. At any time that either the City of Long Lake or the City of Orono unilaterally withdraws as a member of the Tenant entity, this Lease shall be assigned to the non - withdrawing member(s) of the Tenant entity, and this Lease shall terminate at the end of the Initial Term or Renewal Term during which the unilateral withdrawal occurs; provided, that if less than one (1) year remains in the then -existing term at the time of the unilateral withdrawal, then this Lease may be automatically renewed for a Renewal Term as provided in paragraph B.3. of this Article 2, and this Lease shall terminate at the end of that Renewal Term. ARTICLE 3 - USE A. The Leased Premises shall be used by the Tenant as a public fire station and emergency service facility during the Term of this Lease and, except as provided by Article 24 of this Lease, shall be used for no other purpose without the prior written consent of Landlord. B. The Leased Premises shall not be used in violation of any applicable federal, state, or local law, ordinance, rule, or regulation, and Tenant shall comply with the same at its sole cost and expense. C. Tenant covenants and agrees that Tenant, its agents, contractors, licensees and invitees shall not handle, use, manufacture, store or dispose of any flammables, explosives, radioactive materials, hazardous wastes or materials (as may be defined by Federal or State Law), toxic wastes or materials, petroleum products, chlorinated solvents, or other similar substances or derivatives thereof (collectively "Hazardous Materials"), on, under, or about the Leased Premises, without Landlord's prior written consent (which consent may be withheld or denied for any or no reason); provided, however, that Tenant may handle, store, or use products containing small quantities of Hazardous Materials, which products are of a type customarily associated with public fire department operations; provided further that Tenant shall handle, store, and use and 2 237419v9 87 dispose of any such Hazardous Materials in a safe and lawful manner in compliance with all governmental rules, laws and regulations, and shall not allow such Hazardous Materials to contaminate the Leased Premises, or the surrounding environment. If Tenant's handling (including transportation to and from the Leased Premises), storage, use or disposal of any such Hazardous Materials on or from the Leased Premises results in the contamination of the Leased Premises, the soil or surface or ground water of the Leased Premises, then Tenant agrees to: 1) notify Landlord immediately of any contamination, claim of contamination, loss or damage, 2) after consultation with Landlord, clean up the contamination in full compliance with all applicable statutes, regulations and industry standards and 3) indemnify, defend and hold Landlord harmless from and against any claims, suits, causes of action, costs and fees, including attorneys' fees, arising from or connected with any such contamination, claim of contamination, loss or damages. The provisions of this paragraph shall survive the expiration or earlier termination of this Lease. Any and all consents of Landlord pursuant to this paragraph must be in writing signed by both Landlord and Tenant. D. Tenant shall not perform any act or carry on any practice that may injure the Leased Premises. E. Tenant shall keep the Leased Premises in an orderly and presentable manner. F. The Tenant shall not place on the exterior or interior of the Leased Premises or on the Property (including, but without limitation, windows, doors, and entrance lobbies) any permanent signs other than those for public safety or Tenant operational purposes, or those which shall first have been approved by the Landlord, including replacements thereof. ARTICLE 4 - RENT A. Rent. Tenant agrees to pay to Landlord as rent (hereinafter called "Rent") for the Leased Premises, without notice or demand, annual Rent of one dollar ($1.00) payable in January, on an annual basis. Tenant shall pay Additional Rent to the extent required by Articles 6 and 8. Additional Rent is due within 30 days after invoice by Landlord. Rent is subject to increase as provided in Article 2.13.2 of this Lease. ARTICLE 5 - POSSESSION Landlord shall deliver possession of the Leased Premises on the Possession Date set forth on the Reference Page. Tenant agrees to take and shall take the Leased Premises in its "as is" condition. ARTICLE 6 - UTILITIES AND SERVICES A. Commencing with the date on which Landlord delivers the Leased Premises to Tenant, Tenant shall be responsible for the payment of all separately metered utilities for the Leased Premises. 237419v9 88 B. Tenant agrees to maintain and clean the Leased Premises and keep the same in a sanitary and orderly manner. Tenant shall deposit all trash, refuse and recyclable materials into appropriate exterior containers provided by Landlord on the Leased Premises, and Tenant shall be responsible for the cost of trash removal and recycling collection services. Tenant shall also be responsible for pest and vermin control within and on the Leased Premises. Should Tenant fail to clean and maintain the Leased Premises and remove trash and recyclable materials therefrom as required herein, Landlord shall have the right to complete such services and charge Tenant such costs as Additional Rent. Tenant agrees not to waste any utilities and will adopt affirmative practices and policies to prevent waste of resources, consistent with the needs of a public fire station operation. C. Tenant shall be responsible for all utility and routine property maintenance services to the Leased Premises including water, sewer, gas, electric, telecommunication services (including, but not limited to, telephone, Internet, cable communication and streaming services), and snow removal. D. No temporary interruption or failure of such services incidental to the making of repairs, alterations or improvements, or due to accidents or strike or conditions or events not under Landlord's control shall be deemed as an eviction of the Tenant or relieve the Tenant from any of the Tenant's obligations hereunder. ARTICLE 7 - NON -LIABILITY OF LANDLORD Except in the event of gross negligence or willful misconduct of Landlord, its agents, employees or contractors, Landlord shall not be liable for any loss or damage for failure to furnish heat, air conditioning, electricity, water, sprinkler system, sewer or gas service. Landlord shall not be liable for personal injury, death or any damage from any cause about the Leased Premises except if caused by Landlord's gross negligence or willful misconduct. ARTICLE 8 - CARE OF LEASED PREMISES AND EQUIPMENT A. Tenant agrees: 1. To keep the Leased Premises in as good condition and repair as they were in at the time Tenant took possession of same, reasonable wear and tear and damage from fire and other casualty for which insurance is normally procured excepted; 2. To keep the Leased Premises in a safe, clean and sanitary condition and in compliance with all applicable laws, ordinances, rules and regulations of governmental authority, or of any insurance policy(ies) insuring against losses resulting from damage or destruction to the Leased Premises or from personal injuries, deaths or property damage occurring in, on or about the Leased Premises; 3. Not to commit any nuisance or waste on the Leased Premises, overload the Leased Premises or the electrical, water and/or plumbing facilities in the Leased Premises, or throw foreign substances in plumbing facilities; and 2 237419v9 89 4. To abide by such rules and regulations as may from time to time be reasonably promulgated by Landlord; 5. Tenant shall be responsible for routine maintenance and minor repairs (those costing $5,000 or less) to the Leased Premises including, but not limited to, plumbing, electrical, gas or HVAC equipment, and other mechanical equipment ("Building Equipment") and windows, roof, walls, structural support foundation, paving, landscaping ("Structural Elements"). Landlord shall be responsible for major repairs (those costing in excess of $5000.00) to Building Equipment and Structural Elements and for replacement of Building Equipment at the end of its useful life Notwithstanding the foregoing, Tenant shall be responsible, at its cost, for all repairs and/or maintenance of any portion of the Leased Premises including, but not limited to, Building Equipment and Structural Elements , that are necessary due to the acts of the Tenant, its employees, volunteers, contractors, or other invitees; the Tenant shall restore the Leased Premises to the condition it was in immediately prior to the time that it was damaged. All repairs must be performed in accordance with all laws, directions, rules and regulations of regulatory bodies or officials having jurisdiction in that regard. B. If Tenant shall fail to keep and preserve the Leased Premises in the state of condition required by the provisions of this Lease, Landlord may at its option put or cause the same to be put into the condition and state of repair agreed upon, and in such case the Tenant, on demand, shall pay the cost thereof, as Additional Rent. ARTICLE 9 - NON -PERMITTED USE Tenant agrees to use the Leased Premises only as provided in Article 3. Tenant further agrees not to commit or permit any act to be performed on the Leased Premises or any omission to occur which shall be in violation of any statute, regulation or ordinance of any governmental body or which will increase the insurance rates on the Leased Premises or which will be in violation of any insurance policy carried on the Property by the Landlord. Tenant, at its expense, shall comply with all governmental laws, ordinances, rules and regulations applicable to the use of the Leased Premises and its occupancy and shall promptly comply with all governmental orders, rulings and directives for the correction, prevention and abatement of any violation upon, or in connection with, the Leased Premises or Tenant's use or occupancy of the Leased Premises, including the making of any alterations or improvements to the Leased Premises, all at Tenant's sole cost and expense. ARTICLE 10 - INSPECTION Upon prior written notice from Landlord to Tenant, the Landlord or its employees or agents shall have the right without any diminution of rent or other charges payable hereunder by Tenant to enter the Leased Premises at all reasonable times for the purpose of inspection, cleaning, repairing, testing, altering or improving the same, but nothing contained in this Article shall be construed so as to impose any obligation on the Landlord to make any repairs, alterations or improvements. 5 237419v9 90 ARTICLE 11 - ALTERATIONS A. Tenant may make minor alterations to the Leased Premises such as painting without Landlord's prior approval. Excepting the fulfillment of those Tenant maintenance and repair obligations required by this Lease, Tenant may not make any other alterations, repairs, additions or improvements in or to the Leased Premises or add, disturb or in any way change any locks, plumbing or wiring therein without the prior written consent of the Landlord, as to the character of the alterations, additions or improvements to be made, the manner of doing the work, and the contractor doing the work. All such work shall comply with all applicable governmental laws, ordinances, rules and regulations. Tenant agrees to indemnify and hold Landlord free and harmless from any liability, loss, cost, damage or expense (including attorneys' fees) by reason of any said alteration, repairs, additions or improvements. B. Landlord reserves the right to construct one or more additions to the building on or adjacent to the Leased Premises (each a "Landlord Addition"), at Landlord's sole cost, for Landlord's use for governmental purposes provided that prior approval of the Tenant's Board is required for a Landlord Addition. Prior to construction, the Tenant's Board shall determine in good faith whether the proposed Landlord Addition will unreasonably interfere with Tenant's operations at the Leased Premises. Tenant Board must notify Landlord of such a determination within 60 days after Landlord provides Tenant with written notice of the proposed Landlord Addition. Landlord agrees to coordinate the construction activities of any Landlord Addition so as not to unreasonably interfere with Tenant's use of the Leased Premises. Any Landlord Addition shall be automatically excluded from the Leased Premises; Tenant shall have no responsibility for the maintenance, repair, replacement, or insurance of the Leased Premises and shall have no responsibility for utility services for the Landlord Addition. Any Landlord Addition is entitled to shared use of the parking lot on the Leased Premises, in common with Tenant, provided the use does not interfere with Tenant's use. In that event, then notwithstanding the provisions of Articles 6 and 8, Landlord shall assume responsibility from Tenant for the maintenance (including snow removal), repair and replacement of the parking lot. If the Landlord Addition is not separately metered for utilities, then Landlord shall be responsible for paying a proportionate share of the utilities, as follows: gas (proportionate based on cubic feet of heated spaces in Landlord Addition compared to total heated space for Landlord Addition and for building leased by Tenant); electric (proportionate based on square feet of Landlord Addition compared to square feet of building leased by Tenant); sewer and water (proportionate based on standards used for determining SAC and WAC fees). ARTICLE 12 - SIGNS Tenant may only install signs on the Leased Premises in compliance with the terms of the Lease. Upon termination of this Lease, Tenant shall remove any signs and repair any damage to the Leased Premises caused by the installation and removal thereof, or, at Landlord's option, such signs shall become part of the realty and belong to Landlord without compensation to Tenant with title passing to Landlord under this lease as by a bill of sale. Tenant agrees that no other signs or other advertising materials shall be erected, attached or affixed to any portion of the interior or exterior of the Leased Premises without the express prior written consent of Landlord. 0 237419v9 91 ARTICLE 13 - ASSIGNMENT AND SUBLETTING A. Except as provided in Article 2 of this Lease, Tenant may not assign, sublet, license, mortgage or encumber this Lease, the Leased Premises, or any part thereof, whether by voluntary act, operation of law, or otherwise, without the written consent of Landlord. B. Landlord's right to assign this Lease is and shall remain unqualified upon any sale or transfer of the Leased Premises and, providing the purchaser succeeds to the interests of Landlord under this Lease; Landlord shall thereupon be entirely freed of all obligations of Landlord hereunder and shall not be subject to any liability resulting from any act or omission or event occurring after such conveyance. ARTICLE 14 - LOSS BY CASUALTY If the Leased Premises or a majority portion thereof is damaged or destroyed by fire or other casualty, Landlord shall have the right to terminate this Lease, provided it gives written notice thereof to Tenant within ninety (90) days after such damage or destruction. If Landlord does not elect to terminate this Lease, the Landlord shall, at its expense, restore the Leased Premises to as near the condition which existed immediately prior to such damage or destruction, as reasonably possible, and the rentals shall abate during such period of time as the Leased Premises are untenantable, in the proportion that the untenantable portion of the Leased Premises bears to the entire Leased Premises. ARTICLE 15 - WAIVER OF SUBROGATION Landlord and Tenant hereby release the other from any and all liability or responsibility to the other or anyone claiming through or under them by way of subrogation or otherwise for any loss or damage to property caused by fire or any of the extended coverage or supplementary contract casualties, even if such fire or other casualty shall have been caused by the fault or negligence of the other party, or anyone for whom such party may be responsible; provided however, that this release shall be applicable and in force and effect only with respect to loss or damage occurring during such times as the releasing party's policies shall contain a clause or endorsement to the effect that any such release would not adversely affect or impair said policies or prejudice the right of the releasing party to recover thereunder. Landlord and Tenant agree that they will request their insurance carriers to include in their policies such a clause or endorsement. If extra cost shall be charged therefor, each party shall advise the other of the amount of the extra cost, and the other party, at its election, may pay the same, but shall not be obligated to do so. ARTICLE 16 - EMINENT DOMAIN Landlord may not seek to take title to the Leased Premises, nor any portion thereof, by eminent domain during the term of the Lease, regardless of whether Landlord remains a member of the Tenant's joint powers entity. If the entire Leased Premises is taken by eminent domain by a government entity other than Landlord, this Lease shall automatically terminate as of the date of taking. If a portion of the Leased Premises is taken by eminent domain, the Landlord shall have the 7 237419v9 92 right to terminate this Lease, provided it gives written notice thereof to the Tenant within ninety (90) days after the date of taking. If a portion of the Leased Premises is taken by eminent domain and this Lease is not terminated by Landlord, the Landlord shall, at its expense, restore the Leased Premises to as near the condition which existed immediately prior to the date of taking as reasonably possible, and the rentals shall abate during such period of time as the Leased Premises are untenantable, in the proportion that the untenantable portion of the Leased Premises bears to the entire Leased Premises. All damages awarded for such taking under the power of eminent domain shall belong to and be the sole property of Landlord, irrespective of the basis upon which they are awarded; provided, however, that nothing contained herein shall prevent Tenant from making a separate claim to the condemning authority for its moving expenses and trade fixtures. For purposes of this Article, a taking by eminent domain shall include Landlord's giving of a deed under threat of condemnation. ARTICLE 17 - SURRENDER On the last day of the Term of this Lease or on the sooner termination thereof in accordance with the terms hereof, Tenant shall peaceably surrender the Leased Premises in good condition and repair consistent with Tenant's duty to make repairs as provided in Article 8 hereof. On or before said last day, Tenant shall at its expense remove all of its equipment and personal property from the Leased Premises, repairing any damage caused thereby, and any property not removed shall be deemed abandoned. All alterations, additions and fixtures other than Tenant's trade fixtures, which have been made or installed by either Landlord or Tenant upon the Leased Premises shall remain as Landlord's property and shall be surrendered with the Leased Premises as a part thereof, or shall be removed by Tenant, at the option of Landlord, in which event Tenant shall at its expense repair any damage caused thereby. If the Leased Premises are not surrendered, on the last day of the Term of this Lease or on the sooner termination thereof in accordance with the terms hereof, Tenant shall indemnify Landlord against loss or liability resulting from delay by Tenant in so surrendering the Leased Premises, including, without limitation, claims made by any succeeding tenant founded on such delay. Tenant shall promptly surrender all keys for the Leased Premises to Landlord at the place then fixed for payment of rental and shall inform Landlord of combinations on any locks and safes on the Leased Premises. ARTICLE 18 - NONPAYMENT OF RENT, DEFAULTS If any one or more of the following events shall occur, it shall be a "Default" under the terms of this Lease: (1) a rent payment or any other undisputed payment due from Tenant to Landlord shall be and remain unpaid in whole or in part for more than sixty (60) days after written notice of the delinquency; (2) Tenant shall fail to utilize the Leased Premises as a fire station in violation of Article 3; or (3) Tenant shall violate or default on any of the other covenants, agreements, stipulations or conditions herein, and such violation or default shall continue for a period of sixty (60) days after written notice from Landlord of such violation or default; then it shall be optional for Landlord, without further notice or demand, to cure such default (if applicable) or to declare this Lease forfeited and the Term hereof ended and Landlord shall be entitled to sue Tenant for all sums due under this Lease or which become due prior to judgment, but such suit shall not bar subsequent suits for any further sums coming due thereafter. Excepting amounts deemed delinquent at the time of termination, Tenant's obligation to pay Rent or 237419v9 93 Additional Rent shall permanently cease upon termination of this Lease. Tenant shall be responsible for, in addition to any then delinquent Rent or Additional Rent due and other sums agreed to be paid hereunder, the cost of any necessary maintenance, repair, restoration, (including related cost of removal or modification of Tenant Improvements) or cure, as well as reasonable attorneys' fees incurred or awarded in any suit or action instituted by Landlord to enforce the provisions of this Lease, regain possession of the Leased Premises, or the collection of the Rents due Landlord hereunder. Tenant agrees to pay interest at the highest permissible rate of interest allowed under the usury statutes of the State of Minnesota, or in case no such maximum rate of interest is provided, at the rate of nine percent (9%) per annum, on all Rents and other sums due Landlord hereunder not paid within ten (10) days from the date same become due and payable. Each right or remedy of Landlord provided for in this Lease shall be cumulative and shall be in addition to every other right or remedy provided for in this Lease now or hereafter existing at law or in equity or by statute or otherwise. ARTICLE 19 - LANDLORD'S DEFAULT Landlord shall not be deemed to be in default under this Lease until Tenant has given Landlord written notice specifying the nature of the default and Landlord does not cure such default within sixty (60) days after receipt of such notice or within such reasonable time thereafter as may be necessary to cure such default where such default is of such a character as to reasonably require more than sixty (60) days to cure. ARTICLE 20 - HOLDING OVER Tenant will, at the expiration of this Lease, whether by lapse of time or termination, give up immediate possession to Landlord. If Tenant fails to give up possession the Landlord may, at its option, serve written notice upon Tenant that such holdover constitutes any one of the following (i) renewal of this Lease for one year, and from year to year thereafter, or (ii) creation of a month -to - month tenancy, or (iii) creation of a tenancy at sufferance. If Landlord does not give said notice, Tenant's holdover shall create a tenancy at sufferance. In any such event the tenancy shall be upon the terms and conditions of this Lease, except that the Rent shall be Ten ThousandDollars ($10,000) per month (in the case of tenancy at sufferance such Rent shall be prorated on the basis of a 365 day year for each day Tenant remains in possession); excepting further that in the case of a tenancy at sufferance, no notices shall be required prior to commencement of any legal action to gain repossession of the Leased Premises. In the case of a tenancy at sufferance, Tenant shall also pay to Landlord all damages sustained by Landlord resulting from retention of possession by Tenant. The provisions of this paragraph shall not constitute a waiver by Landlord of any right of reentry as otherwise available to Landlord; nor shall receipt of any rent or any other act in apparent affirmance of the tenancy operate as a waiver of the right to terminate this Lease for a breach by Tenant hereof. ARTICLE 21 - INDEMNITY, INSURANCE AND SECURITY A. Tenant will keep in force at its own expense for so long as this Lease remains in effect public liability insurance with respect to the Leased Premises in which Landlord shall be named as an additional insured, in companies and in form acceptable to Landlord with a minimum combined 0 237419v9 94 limit of liability of Two Million Dollars ($2,000,000.00). Said insurance shall also provide for contractual liability coverage by endorsement. Tenant will further deposit with Landlord the policy or policies of such insurance or certificates thereof, or other acceptable evidence that such insurance is in effect, which evidence shall provide that Landlord shall be notified in writing thirty (30) days prior to cancellation, material change, or failure to renew the insurance. Tenant further covenants and agrees to indemnify and hold Landlord harmless for any claim, loss or damage, including reasonable attorneys' fees, suffered by Landlord, caused by: i) any act or omission by Tenant, Tenant's employees, volunteers, or anyone claiming through or by Tenant in, at, or around the Leased Premises; ii) the conduct or management of any work or thing whatsoever done by Tenant in or about the Leased Premises or from transactions of the Tenant concerning the Leased Premises; or iii) Tenant's failure to comply with any and all governmental laws, rules, ordinances or regulations applicable to the use of the Leased Premises and its occupancy. If Tenant shall not comply with its covenants made in this Article 21, Landlord may, at its option, cause insurance as aforesaid to be issued and in such event Tenant agrees to pay the premium for such insurance promptly upon Landlord's demand. B. Tenant shall be responsible for the security and safeguarding of the Leased Premises and all property kept, stored or maintained in the Leased Premises. Landlord will make available to Tenant, at Tenant's request, the plans and specifications for construction of the Leased Premises that Landlord has (if any). Tenant represents that it is satisfied that the construction of the Leased Premises, including the floors, walls, windows, doors and means of access thereto are suitable for the authorized fire station and emergency service use. Tenant further represents that it is satisfied with the security of said Leased Premises for the protection of any property which may be owned, held, stored or otherwise caused or permitted by Tenant to be present upon the Leased Premises. The placement and sufficiency of all safes, vaults, cash or security drawers, cabinets or the like placed upon the Leased Premises by Tenant shall be at the sole responsibility and risk of Tenant. Tenant shall maintain in force throughout the Term, insurance upon all contents of the Leased Premises, including that owned by others and Tenant's equipment and any alterations, additions, fixtures, or improvements in the Leased Premises acknowledged by Landlord to be the Tenant's. C. Landlord shall carry and cause to be in full force and effect a fire and extended coverage insurance policy on the Leased Premises, but not Tenant's trade fixtures, furnishings, operating equipment, wall, floor and window coverings, nor any other contents owned, leased or otherwise in possession of Tenant. ARTICLE 22 — NOTICES All notices from Tenant to Landlord required or permitted by any provisions of this Lease shall be directed to Landlord postage prepaid, certified or registered mail, at the address set forth on the signature page of this Lease or at such other addresses as Tenant shall be advised, in writing, to use by Landlord. All notices from Landlord to Tenant required or permitted by any provision of this Lease shall be directed to Tenant, postage prepaid, certified or registered mail, at the Leased Premises and at the address, if any, set forth on the signature page of this Lease. Landlord and Tenant shall each have the right at any time and from time to time to designate one (1) additional party to whom copies of any notice shall be sent. 10 237419v9 95 ARTICLE 23 - APPLICABLE LAW This Lease shall be construed under the laws of the State of Minnesota, without regard to choice of law provisions. ARTICLE 24 — USE OF LEASED PREMISES BY LANDLORD AND OTHERS Landlord and Tenant are governmental entities, and the building on the Leased Premises is a public building. Tenant agrees that Landlord reserves the right for the City of Orono to use the Leased Premises as a public polling place for regular and special local, state and federal elections. Tenant also agrees to cooperate with Landlord in allowing reasonable and occasional use of gathering spaces within the Leased Premises by the City of Orono. This Article 24 is also subject to the Landlord's right to use any such Landlord Addition for any governmental purpose, provided that such use, pursuant to paragraph I I.B. of this Lease, does not unreasonably interfere with Tenant's use of the Leased Premises. ARTICLE 25 - GENERAL A. This Lease does not create the relationship of principal and agent or of partnership or of joint venture or of any association between Landlord and Tenant, the sole relationship between Landlord and Tenant being that of landlord and tenant. B. No waiver of any default of Tenant hereunder shall be implied from any omission by Landlord to take any action on account of such default if such default persists or is repeated, and no express waiver shall affect any default other than the default specified in the express waiver and that only for the time and to the extent therein stated. C. The marginal or topical headings of the several Articles, paragraphs and clauses are for convenience only and do not define, limit or construe the contents of such Articles, paragraphs or clauses. D. All preliminary negotiations are merged into and incorporated in this Lease. E. This Lease can only be modified or amended by an agreement in writing signed by the parties hereto. F. All provisions hereof shall be binding upon the successors and assigns of each party hereto. G. If any term or provision of this Lease shall to any extent be held invalid or unenforceable, the remainder shall not be affected thereby, and each other term and provision of this Lease shall be valid and be enforced to the fullest extent permitted by law. 11 237419v9 96 H. Time is of the essence with respect to the due performance of the terms, covenants and conditions herein contained. IN WITNESS WHEREOF, this Lease has been duly executed by the parties hereto as of the day and year indicated above. [Remainder of Page Intentionally Left Blank] [Signature Pages Follow] 12 237419v9 97 Signature Page — Landlord LANDLORD City of Orono: By: Its: Mayor By: Its: City Administrator, Date: Address for Notices, if other than Premise: City of Orono 2750 Kelley Parkway Orono, MN 55356 237419v9 98 Signature Page — Tenant 2 237419v9 TENANT Shoreline Fire Department: By: Its: Date: By:_ Its: Date: Address for Notices, if other than Premise: Shoreline Fire Department 340 Willow Drive North Long Lake, NIN 55356 99 EXHIBIT "A" PROPERTY DESCRIPTION The Westerly'/2 of Lot 1, Block 9, Townsite of Langdon Park, Hennepin County, Minnesota, EXCEPT that part thereof lying West of a line drawn North at right angles to the South line of Section 17, Township 117 North, Range 23 West from a point of said South line 1,315.97 feet West from the South'/4 corner of said Section 17 a - East 1/a of Lot 1, Block 9, Townsite of Langdon Park, Hennepin County, Minnesota 237419v9 100 EXHIBIT "B" LEGAL DESCRIPTION OF LEASED PREMISES The building, driveway and parking lot located on that part of the Property described in Exhibit A above, which lies between a line drawn 275 feet northerly of and parallel to the South line of said Property and a line drawn 455 feet northerly of and parallel to the South line of said Property. 237419v9 101 EXHIBIT C LANDLORD FIXTURES Built-in cabinetry, shelves, and countertops. Flooring materials, such as tiles, sealed concrete, or other permanent finishes. Permanent electrical wiring, light fixtures, and wall -mounted outlets. Permanent IT and communications wiring, fixtures. Plumbing installations, including sinks, toilets, faucets, and showers. HVAC equipment, systems, and ductwork. Built-in fire suppression, security, and communication systems. Permanently installed partitions or wall structures. Built in Equipment storage lockers Common Facility Appliances such as stoves, ovens, refrigerators, dishwashers 237419v9 102 CITY OF ORONO RESOLUTION OF THE CITY COUNCIL NO.7633 A RESOLUTION APPOINTING REPRESENTATIVES TO THE SHORELINE FIRE DEPARTMENT BOARD, OPERATING COMMITTEE, AND FISCAL AGENT ROLE WHEREAS, the cities of Orono and Long Lake have entered into a Joint Powers Agreement ("Agreement") establishing the Shoreline Fire Department (the "Department") to provide coordinated Ere protection and emergency medical services; and WHEREAS, Section 2.2 of the Agreement establishes a Shoreline Fire Department Board (the "Board") as the governing body of the Department, and requires each Member to appoint its Voting Directors, Contract Director, Staff Ex-Officio Directors, and Alternate Directors; and WHEREAS, Section 2.7 of the Agreement establishes an Operating Committee comprised of the Staff Ex-Officio Directors; and WHEREAS, Section 2.9 of the Agreement designates Orono as the initial Fiscal Agent for the Department; NOW, THEREFORE, BE IT RESOLVED, that the Orono City Council appoints the following individuals represent the City of Orono on the Shoreline Fire Department Board as follows: 1. Board of Directors Appointments. The following individuals as its Voting Directors: • Mayor Bob Tunheim • Council Member Persian The following individual as Alternate Voting Director, authorized to serve and vote in the absence of the primary Voting Directors: • Council Member Jacqueline Ricks 2. Operating Committee Appointments. The following individuals as its Staff Ex- Officio Directors (non -voting): • City Administrator Adam Edwards • Chief of Police Correy Famiok 103 CITY OF ORONO RESOLUTION OF THE CITY COUNCIL NO.7633 The following individual is appointed as Alternate Staff Ex-Officio Member, authorized to serve in the absence of the primary Staff Ex-Officio members: Finance Director Maggie Jin 3. Fiscal Agent Appointment. Pursuant to Section 2.9 of the Joint Powers Agreement as the Fiscal Agent: • Finance Director Maggie Jin FURTHER, this resolution shall take effect immediately upon its adoption and shall be attached to the Shoreline Fire Department Joint Powers Agreement in accordance with Section 1.1 of the Agreement. Adopted by the City Council of Orono, Minnesota at a regular meeting held on October 27, 2025. ATTEST: CITY OF ORONO Christine Lusian, City Clerk Bob Tunheim, Mayor 104 AGENDA ITEM Date: October 27, 2025 Title: Legislative Update - House District 45A Presenter: Christine Lusian, City Clerk Section: Presentations Purpose: Receive a presentation from House District 45A Item: 11 2. Background: Andrew Myers, State Representative for House District 45A, will provide a brief update about last session and legislative priorities for 2026. 3. Staff Recommendation: Receive the information from House District 45A COUNCIL ACTION REQUESTED Receive the information from House District 45A 105 AGENDA ITEM Date: October 27, 2025 Title: Utility Rate Study Presenter: Maggie Jin, Finance Director Section: Presentations 1. Purpose: The purpose of this item is to present the Utility Rate Study to Council. 2. Background: Justin Nilson, with Abdo, will be giving a final update on the utility rate study. Item: 12 The utility rate study recommends the following increases in user fees for the following funds: 2026 2027 2028 2029 2030 Water 25% 3% 3% 3% 3% Sewer 3% 3% 3% 3% 3% Stormwater 3% 3% 3% 3% 3% 3. Staff Recommendation: Provide staff directions on additional suggestions and recommendations on the utility rates. Staff will be requesting Council to set the utility rates prior to adoption of the overall Fee Schedule at the November 1 Oth Council meeting. This will allow staff ample time to send out notices with the last remaining utility bills of the year prior to the new fees being charged. COUNCIL ACTION REQUESTED Provide staff directions on additional suggestions and recommendations on the utility rates. Exhibits A. Utility Rate Study - 2025 106 2025 - 2030 Utility Rate Study City of Orono Orono, Minnesota AF.I.A0 VW Financial Solutions Edina Office Mankato Office Scottsdale Office 5201 Eden Avenue, Ste 250 100 Warren Street, Ste 600 14500 N Northsight Blvd, Ste 233 Edina, MN 55436 Mankato, MN 56001 Scottsdale, AZ 85260 P 952.835.9090 P 507.625.2727 P 480.864.5579 107 City of Orono, Minnesota 2025 - 2030 Utility Rate Study Memo Table of Contents Introductory Section Page No. Assumptions and Future Actions 4 Financial Section Water Fund Cash Flow Projections - Detailed 8 Cash Flow Projections - Summary 9 Sewer Fund Cash Flow Projections - Detailed 10 Cash Flow Projections - Summary 11 Stormwater Fund Cash Flow Projections - Detailed 12 Cash Flow Projections - Summary 13 Capital Project/Equipment Plan Schedule of Planned Capital Outlay 2025 to 2030 14 Water Fund Cash Flow From Operations 15 Cash Balances Including Target Cash Reserves 15 Sewer Fund Cash Flow From Operations 16 Cash Balances Including Target Cash Reserves 16 Stormwater Fund Cash Flow From Operations 17 Cash Balances Including Target Cash Reserves 17 Other Recommended Total Monthly Bill Current and Future (Average Usage) 18 Total Bill Comparison to Other Cities (Average Usage) 18 Water Bill Comparison to Other Cities (Average Usage) 19 Sewer Bill Comparison to Other Cities (Average Usage) 19 2 108 INTRODUCTORY SECTION CITY OF ORONO, MINNESOTA 2025 - 2030 UTILITY RATE STUDY 109 Financial AbdoSolutionsxom Ablaoft o Solutions October 22, 2025 Honorable Mayor and City Council City of Orono Introduction We have prepared the attached 2025 - 2030 Utility Rate Study for the City that is intended to give a big picture view of the financial status of the Water, Sewer and Stormwater Enterprise funds as they stand currently and how forecasted assumptions will change things six years from now. We have not examined the projection and do not express an opinion or any other form of assurance on the accompanying schedules or assumptions. Furthermore, there will usually be differences between the forecasted and actual results because events and circumstances frequently do not occur as expected and those differences may be material. We have no responsibility to update this report for events and circumstances occurring after the date of this report. The City's assumptions made are as follows: Assumptions - Forecasting • The projections for all funds (Water, Sewer and Stormwater) is arrived at to ensure the City meets projected targeted cash reserves and a positive cashflow at the end of the plan in year 2030. • Target cash reserve is calculated and presented as 100% of the following years' debt payments, 25% of projected operating expenses, and a five-year average of capital expenses from 2025 - 2030. • The prior three years actual ledger balances were used for projecting 2025 activity and beyond. For cashflow purposes, some modifications were made for debt requirements, capital purchases, transfer of funds, and grant receipts reviewed with management. o 2025 activity is also projected using the prior three years actual ledger balances while also comparing to the unaudited current activity known from the general ledger so far. Balances are compared and reviewed for relative accuracy without knowing actuals for accrual and year-end adjustments. • Operating expenses as well as certain operating revenues (unrelated to customer billings) will increase by a 3.0 percent inflation and salary and benefit expenditures will also increase at 4.0 percent for the life of the plan. Salary expenditures are projected at an increase of 5.0 percent for 2026 based on management estimates. • Interest earned on cash held in the City's name is assumed to earn interest at a rate of 3.0 percent. • Capital improvements/infrastructure, equipment, and other capital maintenance items have been identified in the City's capital plan and are identified to be accounted for in the related enterprise fund. All significant purchases (over $1,000,000) are assumed to be purchased with debt proceeds due to the current and projected cash reserves. • Scheduled transfers from the Water, Sewer and Stormwater funds to other City capital project funds are included yearly. These balances could be changed based on the need of equipment purchases in future years. • Included in the assumptions is a one-time transfer from other funds to the Water fund in the amount of $750,000. Also included is the assumption of coding antenna lease revenue in the Water fund at $114,000/year starting in 2026. • New Residential connections are assumed to be 10 per -year. There are no commercial connections assumed. Lighting the path forward 4 110 Assumptions - Forecasting (Continued) • Connection fee revenue and analysis was not considered in detail as part of the plan due to the revenue from connection fees being insignificant in the prior years and not expected or forecasted in the future in discussions with management. • The average usage for residential and commercial customers is calculated at approximately 4,000 gallons/month. Charts and graphs were prepared using the calculated average. • Comparison Cities were selected from surrounding Cities with similar population and geography as determined by management. • The City's has no significant capital projects requiring debt in the life of the plan. Water Fund • The recommended scenario assumes a projected increase in future rates. The current rate structure was reviewed but recommended to be unchanged. The current rate structure does promote water conservation and is inline with current usage. The current and future recommended rates are outlined below. Proposed Change in Rates - Blended Monthly bill based on 4,000 gallons Monthly $ increase for a 4,000 gallon user Annual $ increase for an average 4,000 gallon user Residential/Commercial Base fee Per 1,000 gallons - 0 to 3,300 Per 1,000 - 3,301 to 8,300 gallons Per 1,000 - 8,301 gallons and above Current Rates 2026 2027 2028 2029 2030 25% 3% 3% 3% 3% 52.35 65.44 67.40 69.42 71.51 73.65 $ 13.09 $ 1.96 $ 2.02 $ 2.08 $ 2.15 $ 157.05 $ 23.56 $ 24.26 $ 24.99 $ 25.74 17.00 21.25 21.89 22.54 23.22 23.92 8.26 10.33 10.63 10.95 11.28 11.62 11.56 14.45 14.88 15.33 15.79 16.26 17.34 21.68 22.33 23.00 23.68 24.40 • The recommended scenario presented proposes a 25% increase to both usage rates and the fixed base fee in 2026, and a 3% increase in both usage rates and base fees for the remainder of the plan (2027 - 2030). The projected increase is made to ensure the City meets projected targeted cash reserves and a positive cashflow at the end of the plan in year 2030. Sewer Fund • The recommended scenario has no projected change to the Sewer rate structure but increases are recommended for future rates. The current and future recommended rates are outlined below. Current Rates 2026 2027 2028 2029 2030 Proposed Change in Rates - Blended 3% 3% 3% 3% 3% Monthly bill based on 4,000 gallons $ 73.21 $ 75.41 $ 77.67 $ 80.00 $ 82.40 $ 84.87 Monthly $ increase for a 4,000 gallon user $ 2.20 $ 2.26 $ 2.33 $ 2.40 $ 2.47 Annual $ increase for an average 4,000 gallon user $ 26.36 $ 27.15 $ 27.96 $ 28.80 $ 29.66 Residential Base Base fee 73.21 75.41 77.67 80.00 82.40 84.87 • The recommended scenario presented proposes a 3% increase to the fixed base rates throughout the life of the plan (2026 - 2030). The projected increase is made to ensure the City keeps consistent with inflation and increase in future expenses. The projected increase is made to ensure the City meets projected targeted cash reserves and a positive cashflow at the end of the plan in year 2030. AbdoSolutions.com rF] u 5 111 Stormwater Fund • The recommended scenario has no projected change to the Stormwater rate structure but does recommend increases for future rates. The current and future recommended rates are outlined below. Current Rates 2026 2027 2028 2029 2030 Proposed Change in Rates 3% 3% 3% 3% 3% Monthly bill based on a residential user $ 16.32 $ 16.81 $ 17.31 $ 17.83 $ 18.37 $ 18.92 Monthly $ increase for a residential user $ 0.49 $ 0.50 $ 0.52 $ 0.53 $ 0.55 Annual $ increase for a residential user $ 5.88 $ 6.05 $ 6.23 $ 6.42 $ 6.61 Residential 16.32 16.81 17.31 17.83 18.37 18.92 ■ The recommended scenario presented proposes a 3% increase to the fixed base rates each year throughout the life of the plan (2027 - 2030). The projected increase is made to ensure the City meets projected targeted cash reserves and a positive cashflow at the end of the plan in year 2030. Things to Consider with Future Action • The recommended scenario ensures the City has adequate reserves and cashflows absent any new debt and capital assets based on the assumptions. The recommended increases below are aimed towards keeping up with inflation and the future capital asset needs in future years. • Actual project costs should be reviewed and monitored for any changes. Any significant change in expenditures could have an impact on recommended rates. • Reminder that in future years to consider the impact of bonds issued in the enterprise funds and transfers out to other funds and their impact on future utility rates. • Recommendations for future action to review the City Water fund for additional ideas for ensuring the fund has resources sufficient to cover costs in the future. Sincerely, Abdo Financial Solutions Minneapolis, Minnesota October 22, 2025 AbdoSolutllons.com rF� u 1.1 112 FINANCIAL SECTION CITY OF ORONO, MINNESOTA 2025 - 2030 UTILITY RATE STUDY 113 City of Orono, Minnesota Water Fund Cash Flow Projections - Detailed For the Years Ending December 31, 2025 through 2030 Rate Study Projections Actual Results Estimated Estimated Estimated Estimated Estimated Estimated 2022 2023 2024 2025 2026 2027 2028 2029 2030 Projected Rate Increase Usage Rates 25% 3% 3% 3% 3% Fixed Rates 25% 3% 3% 3% 3% Cash Flows from Operating Activities Receipts from customers and users $ 1,798,081 $ 1,630,529 $ 1,294,702 $ 1,095,803 $ 1,390,043 $ 1,432,804 $ 1,476,826 $ 1,522,147 $ 1,568,807 Other receipts 18,922 20,395 24,682 20,113 134,717 135,339 135,979 136,638 137,317 Payments to suppliers/service providers (562,832) (783,869) (627,466) (661,491) (681,335) (701,774) (722,829) (744,514) (766,852) Payments to employees (328,900) (341,147) (340,735) (352,830) (369,906) (384,702) (400,090) (416,094) (432,737) Net Cash from Operating Activities 925,271 525,908 351,183 101,595 473,519 481,667 489,886 498,177 506,535 Cash Flows from Noncapital Financing Activities Transfers out (15,000) (1,010,499) (135,979) (900) - (35,640) - (17,820) (11,880) Transfers in 750,000 Net Cash from Noncapital Financing Activities (15,000) (1,010,499) (135,979) 749,100 (35,640) (17,820) (11,880) Cash Flows from Capital and Related Financing Activities Intergovernmental 460,000 - Acquisition of capital assets (497,615) (859,360) (131,122) (377,200) (641,800) (578,600) (509,500) (50,400) (261,300) Special assessments received 9,524 27,601 7,331 15,171 15,626 16,095 16,578 17,075 17,587 Principal paid on long-term debt (85,000) (85,000) (85,000) (11,544) (9,350) (6,919) (4,306) (1,500) - Interest paid on long-term debt (17,181) (15,429) (13,569) (90,000) (90,000) (95,000) (95,000) (100,000) Net Cash from Capital and Related Financing Activities (130,272) (932,188) (222,360) (463,573) (725,524) (664,424) (592,228) (134,825) (241L Cash Flows from Investing Activities Investment earnings (loss) (49,505) 70,250 8,862 8,067 19,922 12,960 6,797 3,930 14,414 Net Increase (Decrease) in Cash and Cash Equivalents 730,494 (1,346,529) 1,706 395,189 (232,083) (205,437) (95,545) 349,462 265,356 Cash and Cash Equivalents, January 1 883,219 1,613,713 267,184 268,890 664,079 431,996 226,559 131,014 480,476 Cash and Cash Equivalents, December 31 $ 1,613,713 $ 267,184 $ 268,890 $ 664,079 $ 431,996 $ 226,559 $ 131,014 $ 480,476 $ 745,832 Target Cash Reserve $ 813,183 $ 772,119 $ 786,624 $ 793,660 $ 805,038 $ 811,536 $ 823,152 $ 731,397 $ 741, 776 Projected Cash in Excess of Target $ 800,530 $ $ $ $ $ $ - $ - $ 4,356 Average Monthly Bill (4,000 Gallons) $ 52.35 $ 65.44 $ 67.40 $ 69.42 $ 71.51 $ 73.65 Average Percentage Increase 25% 3% 3% 3% 3% Average Monthly Dollar Increase $ 13.09 $ 1.96 $ 2.02 $ 2.08 $ 2.15 Average Annual Dollar Increase $ 157.05 $ 23.56 $ 24.26 $ 24.99 $ 25.74 Five Year Average Capital Expenses $ 431,500 114 Projected rate increase Usage Fixed Cash receipts Receipts from customers Special assessments Other receipts Total Cash Receipts Cash disbursements Operating payments Debt service payments Acquisition of capital assets Transfers out Total Cash Disbursements Net Increase (Decrease) In Cash and Cash Equivalents Cash and Cash Equivalents, January 1 Cash and Cash Equivalents, December 31 City of Orono, Minnesota Water Fund Cash Flow Projections - Summary For the Years Ending December 31, 2025 through 2030 Estimated Estimated Estimated Estimated Estimated Estimated 2025 2026 2027 2028 2029 2030 25% 3% 3% 3% 3% 25% 3% 3% 3% 3% $ 1,095,803 $ 1,390,043 $ 1,432,804 $ 1,476,826 $ 1,522,147 $ 1,568,807 15,171 15,626 16,095 16,578 17,075 17,587 778,180 154,639 148,299 142,776 140,568 151,731 1,889,154 1,560,308 1,597,198 1,636,180 1,679,790 1,738,125 1,014,321 1,051,241 1,086,476 1,122,919 1,160,608 1,199,589 101,544 99,350 101,919 99,306 101,500 - 377,200 641,800 578,600 509,500 50,400 261,300 900 - 35,640 - 17,820 11,880 1,493,965 1,792,391 1,802,635 1,731,725 1,330,328 1,472,769 395,189 (232,083) (205,437) (95,545) 349,462 265,356 268,890 664,079 431,996 226,559 131,014 480,476 $ 664,079 $ 431,996 $ 226,559 $ 131,014 $ 480,476 $ 745,832 C 115 City of Orono, Minnesota Sewer Fund Cash Flow Projections - Detailed For the Years Ending December 31, 2025 through 2030 Rate Study Projections Actual Results Estimated Estimated Estimated Estimated Estimated Estimated 2022 2023 2024 2025 2026 2027 2028 2029 2030 Projected Rate Increase Fixed Rates 3% 3% 3% 3% 3% Cash Flows from Operating Activities Receipts from customers and users $ 2,298,522 $ 2,264,458 $ 2,344,148 $ 2,311,919 $ 2,378,204 $ 2,455,111 $ 2,529,565 $ 2,606,275 $ 2,685,312 Other receipts 5,454 2,329 15,460 19,261 19,839 20,434 21,047 21,678 22,328 Payments to suppliers/service providers (1,235,866) (1,327,558) (1,442,077) (1,414,509) (1,473,154) (1,534,368) (1,598,268) (1,664,982) (1,734,634) Payments to employees (324,170) (349,994) (338,934) (353,299) (370,475) (385,294) (400,706) (416,735) (433,404) Net Cash from Operating Activities 743,940 589,235 578,597 563,372 554,414 555,883 551,638 546,236 539,602 Cash Flows from Noncapital Financinq Activities Transfers out (82,500) (1,046,750) (792,360) (186,100) (114,720) (121,100) (14,600) (12,960) (4,860) Cash Flows from Capital and Related Financing Activities Capital grants received 508,911 Acquisition of capital assets (575,896) (1,073,996) (547,952) (430,000) (870,000) (600,000) (520,000) (520,000) (520,000) Connection fees received 11,210 21,530 20,153 Special assessments 42,024 56,226 - Net Cash from Capital and Related Financing Activities (522,662) (487,329) (527,799) (430,000) (870,000) (600,000) (520,000) (520,000) (520,000) Cash Flows From Investing Activities Investment earnings (loss) (120,929) 134,358 69,119 49,639 49,546 38,123 34,310 35,851 37,325 Net Increase (Decrease) in Cash and Cash Equivalents 17,849 (810,486) (672,443) (3,089) (380,760) (127,094) 51,348 49,127 52,067 Cash and Cash Equivalents, January 1 3,119,705 3,137,554 2,327,068 1,654,625 1,651,536 1,270,776 1,143,682 1,195,030 1,244,157 Cash and Cash Equivalents, December 31 S 3,137,554 S 2,327,068 S 1,654,625 S 1,651,536 S 1,270,776 S 1,143,682 S 1,195,030 S 1,244,157 S 1,296. 224 Target Cash Reserve S 1,007,388 $ 1,033,253 S 1,029,952 $ 1,048,907 S 1,067,916 $ 1,087,744 S 1,108,429 $ 1,130,010 S 1,152. 226 Projected Cash in Excess of Target $ 602,629 S 202,861 $ 55,939 S 86,601 $ 114,148 S 143. 998 Average Monthly Bill (4,000 Gallons) S 73.21 S 75.41 S 77.67 S 80.00 S 82.40 S 84.87 Average Percentage Increase 3% 3% 3% 3% 3% Average Monthly Dollar Increase $ 2.20 $ 2.26 $ 2.33 $ 2.40 $ 2.47 Average Annual Dollar Increase $ 26.36 $ 27.15 $ 27.96 $ 28.80 $ 29.66 Five Year Average Capital Expenses $ 588,000 10 116 Projected rate increase Fixed rate Cash receipts Receipts from customers Other receipts Total Cash Receipts Cash disbursements Operating payments Acquisition of capital assets Transfers out Total Cash Disbursements Net Increase (Decrease) In Cash and Cash Equivalents Cash and Cash Equivalents, January 1 Cash and Cash Equivalents, December 31 City of Orono, Minnesota Sewer Fund Cash Flow Projections - Summary For the Years Ending December 31, 2025 through 2030 Estimated Estimated Estimated 2025 2026 2027 3% 3% Estimated 2028 3% Estimated 2029 Estimated 2030 3% 3% $ 2,311,919 $ 2,378,204 $ 2,455,111 $ 2,529,565 $ 2,606,275 $ 2,685,312 68,900 69,385 58,557 55,357 57,529 59,653 2,380,819 2,447,589 2,513,668 2,584,922 2,663,804 2,744,965 1,767,808 1,843,629 1,919,662 1,998,974 2,081,717 2,168,038 430,000 870,000 600,000 520,000 520,000 520,000 186,100 114,720 121,100 14,600 12,960 4,860 2,383,908 2,828,349 2,640,762 2,533,574 2,614,677 2,692,898 (3,089) (380,760) (127,094) 51,348 49,127 52,067 1,654,625 1,651,536 1,270,776 1,143,682 1,195,030 1,244,157 $ 1,651,536 $ 1,270,776 $ 1,143,682 $ 1,195,030 $ 1,244,157 $ 1,296,224 11 117 City of Orono, Minnesota Stormwater Fund Cash Flow Projections - Detailed For the Years Ending December 31, 2025 through 2030 Rate Study Projections Actual Results Estimated Estimated Estimated Estimated Estimated Estimated 2022 2023 2024 2025 2026 2027 2028 2029 2030 Projected Rate Increase Fixed Rates 3% 3% 3% 3% 3% Cash Flows from Operating Activities Receipts from customers and users $ 727,184 $ 742,450 $ 776,103 $ 814,718 $ 839,159 $ 864,334 $ 890,264 $ 916,971 $ 944,481 Other receipts 246 9 2,529 - - - - - - Payments to suppliers/service providers (295,582) (210,669) (199,015) (198,598) (205,146) (212,318) (217,181) (223,728) (230,281) Payments to employees (78,982) (166,635) (195,970) (174,403) (182,823) (190,136) (197,741) (205,652) (213,878) Net Cash from Operating Activities 352,866 365,155 383,647 441,717 451,190 461,880 475,342 487,591 500,322 Cash Flows from Noncapital Financing Activities Transfers out - (1,003,600) (454,564) (510,300) (142,980) (243,200) (310,800) (182,430) (158,685) Cash Flows from Capital and Related Financing Activities Acquisition of capital assets (160,089) (289) (233,547) (100,000) (356,000) (158,000) (205,000) (185,000) (245,000) Connection fees received 16,119 5,251 21,180 14,609 15,047 15,498 15,963 16,442 16,935 Net Cash from Capital and Related Financing Activities (143,970) 4,962 (212,367) (85,391) (340,953) (142,502) (189,037) (168,558) (228,065) Cash Flows From Investing Activities Investment earnings (loss) (83,351) 115,941 65,447 40,338 36,929 37,054 40,451 40,930 46,256 Net Increase (Decrease) in Cash and Cash Equivalents 125,545 (517,542) (217,837) (113,636) 4,186 113,232 15,956 177,533 159,828 Cash and Cash Equivalents, January 1 1,954,420 2,079,965 1,562,423 1,344,586 1,230,950 1,235,136 1,348,368 1,364,324 1,541,857 Cash and Cash Equivalents, December 31 $ 2,079,965 $ 1,562,423 $ 1,344,586 $ 1,230,950 $ 1,235,136 $ 1,348,368 $ 1,364,324 $ 1,541,857 $ 1,701,685 Target Cash Reserve $ 295,126 $ 299,546 $ 294,050 $ 297,792 $ 301,414 $ 304,531 $ 308,145 $ 311,840 $ 315, 666 Projected Cash in Excess of Target $ 933,158 $ 933,723 $ 1,043,838 $ 1,056,179 $ 1,230,017 $ 1,386,119 Average Monthly Bill (Residential User) $ 16.32 $ 16.81 $ 17.31 $ 17.83 $ 18.37 $ 18.92 Average Percentage Increase 3% 3% 3% 3% 3% Average Monthly Dollar Increase $ 0.49 $ 0.50 $ 0.52 $ 0.53 $ 0.55 Average Annual Dollar Increase $ 5.88 $ 6.05 $ 6.23 $ 6.42 $ 6.61 Five Year Average Capital Expenses $ 200,800 12 118 City of Orono, Minnesota Stormwater Fund Cash Flow Projections - Summary For the Years Ending December 31, 2025 through 2030 Estimated Estimated Estimated Estimated Estimated Estimated 2025 2026 2027 2028 2029 2030 Projected rate increase Fixed rate 3% 3% 3% 3% 3% Cash receipts Receipts from customers $ 814,718 $ 839,159 $ 864,334 $ 890,264 $ 916,971 $ 944,481 Other receipts 54,947 51,976 52,552 56,414 57,372 63,191 Total Cash Receipts 869,665 891,135 916,886 946,678 974,343 1,007,672 Cash disbursements Operating payments 373,001 387,969 402,454 414,922 429,380 444,159 Acquisition of capital assets 100,000 356,000 158,000 205,000 185,000 245,000 Transfers out 510,300 142,980 243,200 310,800 182,430 158,685 Total Cash Disbursements 983,301 886,949 803,654 930,722 796,810 847,844 Net Increase (Decrease) In Cash and Cash Equivalents (113,636) 4,186 113,232 15,956 177,533 159,828 Cash and Cash Equivalents, January 1 1,344,586 1,230,950 1,235,136 1,348,368 1,364,324 1,541,857 Cash and Cash Equivalents, December 31 $ 1,230,950 $ 1,235,136 $ 1,348,368 $ 1,364,324 $ 1,541,857 $ 1,701,685 13 119 City of Orono, Minnesota Capital Project/Equipment Plan Schedule of Planned Capital Outlay 2025 to 2030 2025 2026 2027 2028 2029 2030 Estimated Estimated Estimated Estimated Estimated Estimated Fund/Denartmen Year Item Cost Amounts Amounts Amounts Amounts Amounts Amounts Funding Source Debt and Grant Financing None Cash Reserves Water 2025 IT Capital Improvements- Water Portion $ 67,200 $ 67,200 $ - $ - $ - $ - $ - Water 2027 IT Capital Improvements - Water Portion 80,000 - - 80,000 - - - Water 2025 Watermain Replacement CSAH 19 (Kelly Ave) 200,000 200,000 - - - - - Water 2027 Water Meter Replacement 170,000 - - 170,000 - - - Water 2026 Wellhead Protection Plan Updates 20,000 - 20,000 - - - - Water 2025 Navarre Plant Control Upgrade 110,000 110,000 - - - - - Water 2026 Navarre Plant Control Upgrade 594,000 - 594,000 - - - - Water 2028 South Tower Repaint and Rehabilitation 400,000 - - - 400,000 - - Water 2027 Well #4 Inspection & Maintenance (every 10 yrs) 20,000 - - 20,000 - - - Water 2031 Watermain Replacement CSAH 19 (Maple Ridge to end) 1,285,000 - - - - - - Water 2028 North Water Plant Painting 30,000 - - - 30,000 - - Water 2027 South Water Plant Painting 60,000 - - 60,000 - - - Water 2027 Well #1 Inspection and Maintenance (every 10 yrs) 20,000 - - 20,000 - - - Water 2027 North Waterplant Switch Gear Upgrade 200,000 - - 200,000 - - - Water 2029 Well #2 Inspection and Maintenance (every 10 yrs) 20,000 - - - - 20,000 - Water 2030 Water Main Loop Concordia 230,000 - - - - - 230,000 Water 2028 Water Supply Plan Update 20,000 - - - 20,000 - - Water 2028 North Well House Upgrade (Sewer) 10,000 - - - 10,000 - - Water 2028 Well #3 Inspection & Maintenance (every 10 yrs) 20,000 - - - 20,000 - - Water 2026 Water Valve Replacements (5 / Year) 27,800 - 27,800 - - - - Water 2027 Water Valve Replacements (5 / Year) 28,600 - - 28,600 - - - Water 2028 Water Valve Replacements (5 / Year) 29,500 - - - 29,500 - - Water 2029 Water Valve Replacements (5 / Year) 30,400 - - - - 30,400 - Water 2030 Water Valve Replacements (5 / Year) 31,300 - - - - - 31,300 Sewer 2025 Sewer Rehabilitation 300,000 300,000 - - - - - Sewer 2026 Sewer Rehabilitation 300,000 - 300,000 - - - - Sewer 2027 Sewer Rehabilitation 300,000 - - 300,000 - - - Sewer 2028 Sewer Rehabilitation 300,000 - - - 300,000 - - Sewer 2029 Sewer Rehabilitation 300,000 - - - - 300,000 - Sewer 2030 Sewer Rehabilitation 300,000 - - - - - 300,000 Sewer 2026 Sewer Meter installation (into Long Lake) 60,000 - 60,000 - - - - Sewer 2025 Lift Station #27 Rehab 60,000 60,000 - - - - - Sewer 2025 Lift Station #4 Rehab 70,000 70,000 - - - - - Sewer 2026 Lift Station #12 Rehab, Including Generator 120,000 - 120,000 - - - - Sewer 2026 Lift Station #22 Rehab 70,000 - 70,000 - - - - Sewer 2027 Lift Station #18 Rehab Inc. Gen Replacement 150,000 - - 150,000 - - - Sewer 2027 Lift Station #26 Rehab inc. Gen Replacement 150,000 - - 150,000 - - - Sewer 2028 Lift Station #6 Rehab inc. Gen Replacement 150,000 - - - 150,000 - - Sewer 2028 Lift Station #32 Rehab 70,000 - - - 70,000 - - Sewer 2029 Lift Station Rehab (2 per year) 70,000 - - - - 70,000 - Sewer 2029 Lift Station Rehab (2 per year) 150,000 - - - - 150,000 - Sewer 2030 Lift Station Rehab (2 per year) 70,000 - - - - - 70,000 Sewer 2030 Lift Station Rehab (2 per year) 150,000 - - - - - 150,000 Sewer 2026 Lift Station #18 Forcemain Replacement 320,000 - 320,000 - - - - Storm Water 2026 Casco Cove Outlet and Bioretention Basin (SWMP 0-2 & CB-3) 161,000 - 161,000 - - - - Storm Water 2026 Hackberry Park and Neighborhood Stormwater Improvements 95,000 - 95,000 - - - - Storm Water 2028 Surface Water Management Projects, Unnamed (Per Year) 85,000 - - - 85,000 - - Storm Water 2029 Surface Water Management Projects, Unnamed (Per Year) 85,000 - - - - 85,000 - Storm Water 2030 Surface Water Management Projects, Unnamed (Per Year) 85,000 - - - - - 85,000 Storm Water 2027 Pond Cleaning/Maintenance (1/3 years) 58,000 - - 58,000 - - - Storm Water 2030 Pond Cleaning/Maintenance (1/3 years) 60,000 - - - - - 60,000 Storm Water 2028 Surface Water Management Plan Update 20,000 - - - 20,000 - - Storm Water 2025 Storm Sewer Improvements/Replacements (Per Year) 100,000 100,000 - - - - - Storm Water 2026 Storm Sewer Improvements/Replacements (Per Year) 100,000 - 100,000 - - - - Storm Water 2027 Storm Sewer Improvements/Replacements (Per Year) 100,000 - - 100,000 - - - Storm Water 2028 Storm Sewer Improvements/Replacements (Per Year) 100,000 - - - 100,000 - - Storm Water 2029 Storm Sewer Improvements/Replacements (Per Year) 100,000 - - - - 100,000 - Storm Water 2030 Storm Sewer Improvements/Replacements (Per Year) 100,000 - - - - - 100,000 Total Capital Projects and Equipment $ 907200 $ 1,867,800 $ 1,336,600 $ 1,234,500 $ 755,400 $ 1,026,300 Total Capital Projects and Equipment Water $ 377,200 $ 641,800 $ 578,600 $ 509,500 $ 50,400 $ 261,300 Sewer 430,000 870,000 600,000 520,000 520,000 520,000 Storm Water 100,000 356,000 158,000 205,000 185,000 245,000 $ 907,200 $ 1,867,800 $ 1,336,600 $ 1,234,500 $ 755,400 $ 1,026,300 14 120 City of Orono, Minnesota 2025 - 2030 Utility Rate Study Financial Section (Continued) Water Fund Cash Flow From Operations $1,800,000 $1,600,000 $1,400, 000 $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 2023 2024 2025 2026 2027 2028 2029 2030 Debt Payments —Operating Expenses F Transfers Out t Revenue From Operations It should be noted that the above chart does not include costs for capital asset acquisition costs. $900,000 $800,000 $700,000 $600,000 $ 500,000 $400,000 $300,000 $200,000 $100,000 Cash Balance Including Target Cash Reserve 2023 2024 2025 2026 2027 2028 2029 2030 � Cash Balances Target Cash Reserve 15 121 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 City of Orono, Minnesota 2025 - 2030 Utility Rate Study Financial Section (Continued) Sewer Fund Cash Flow From Operations 2023 2024 2025 2026 2027 2028 2029 2030 n Operating Expenses Transfers Out +Revenue From Operations • It should be noted that the above chart does not include costs for capital asset acquisition costs. $1,800,000 $1,600,000 $1,400,000 $1,200,000 $1,000,000 ~ $800,000 $600,000 $400,000 $200,000 Cash Balance Including Target Cash Reserve 2024 2025 2026 Cash Balances 2027 2028 2029 2030 Target Cash Reserve I 16 122 City of Orono, Minnesota 2025 - 2030 Utility Rate Study Financial Section (Continued) Stormwater Fund Cash Flow From Operations $1,600,000 $1,400,000 $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 2023 2024 2025 2026 2027 2028 2029 2030 Operating Expenses Transfers Out Revenue From Operations • It should be noted that the above chart does not include costs for capital asset costs and acquisitions. $1,800,000 $1,600,000 $1,400,000 $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 Cash Balance Including Target Cash Reserve 2024 2025 2026 2027 2028 2029 2030 —Cash Balances (Target Cash Reserve 17 123 $200 $160 $141.9 $120 $73.2 $80 $16.3 $40 $52.4 I 0 Orono Shorewood Spring Park Mound M inn etrista Long Lake Excelsior City of Orono, Minnesota 2025 - 2030 Utility Rate Study Financial Section (Continued) Other Recommended Monthly Utility Bill - Current and Future (Average Usage 4,000 gallons) $167.3 $172.3 $177.4 $157.7 $162.4 --1" $77.7 $80.0 $82.4 $84.9 $75.4 $16.8 $17.3 $17.8 $18.4 $65.4 $67.4 $69.4 $71.5 0 0 0 0 0 Water Stormwater Sewer Total Bill Monthly Bill Comparison to Other Cities (Average Usage 4,000) Gallons $177.4 167.3 $72.8 $80.4 EL $ $86. $80.0 / $141.9 2.0 $157.7 $- $25 $50 $75 $100 $125 $150 $175 $200 Comparison 2025 Rates ■Orono 2030 Proposed Orono 2028 Proposed ■Orono 2026 Proposed Orono 2025 Rates 18 124 Orono Wayzata Shorewood Spring Pa rk Mound Minnetrista Long Lake Excelsior Orono Wayzata Shorewoo d Spring Pa rk Mound M inn etrist a Long Lake Excelsior City of Orono, Minnesota 2025 - 2030 Utility Rate Study Financial Section (Continued) Water Bill Comparison to Other Cities 4,000 Gallons (Average Usage) $- $25 $50 $75 $100 F Comparison 2025 Rates ■ Orono 2030 Proposed Orono 2028 Proposed ■Orono 2026 Proposed Orono 2025 Rates Sewer Bill Comparison to Other Cities 4,000 Gallons (Average Usage) $- $25 $50 $75 ■Comparison 2025 Rates ■Orono 2030 Proposed Orono 2028 Proposed ■ Orono 2026 Proposed F Orono 2025 Rates 10$84.87 $100 19 125 AGENDA ITEM Date: October 27, 2025 Item: 13 Title: Certification of Delinquent Utilities and Accounts Receivable - Resolution 7631 Presenter: Maggie Jin, Finance Director Section: Public Hearing Purpose: The purpose of this agenda item is to gain council approval to certify delinquent utility bills and accounts receivable to Hennepin County for collection with the 2026 property taxes payable. 2. Background: a. Each year the city certifies to the county, all unpaid annual service charges for the septic program, the recycling program, and all delinquent sewer and water accounts, and accounts receivable of $50.00 or more, to be collected with the following year's taxes. In addition to the outstanding amounts delinquent, eight percent (8%) interest and an administrative fee of $30.00 is added to all accounts. Additionally, once received by the County, certification fee of $2.50 is added onto the balance. b. The first notice was sent to delinquent accounts on September 4, 2025 with a correction notice sent out on September 8, 2025. 397 utility accounts, totaling $181,590.78 and 1 accounts receivable bill, total of $352.00, were delinquent at the time. The second notice was sent on October 8, 2025. The public hearing notice was published by the newspaper on October 4 and 11, 2025. As of October 21, 2025, the total to be assessed is $104,844.52 between 130 properties. A copy of the current assessment roll is included with this council item. This amount will be decreased by any payments received up to the final payment date of November 15, 2025. c. State statute requires the City to hold a public hearing regarding the assessment of these fees prior to certifying the assessment roll to the County. The hearing is an opportunity for property owners to ask questions and provide comments regarding the proposed assessment. 3. Staff Recommendation: Staff recommends adoption of Resolution 7631, Certification of Delinquent Utility Bills and Accounts Receivable Invoices to Hennepin County for Collection with the 2026 Property Taxes. COUNCIL ACTION REQUESTED Motion to hold the public hearing. Motion to close the public hearing. Motion to adopt Resolution 7631, Certification of Delinquent Utility Bills and Accounts Receivable Invoices to Hennepin County for Collection with the 2026 Property Taxes. Exhibits A. Resolution 7631 - Certification of Delinquent Utility Bills and Accounts Receivable B. Assessment Roll 126 CITY OF ORONO RESOLUTION OF THE CITY COUNCIL NO.7631 A RESOLUTION FOR THE CERTIFICATION OF DELINQUENT UTILITY BILLS AND ACCOUNTS RECEIVABLE INVOICES TO HENNEPIN COUNTY FOR COLLECTION WITH THE 2026 PROPERTY TAXES WHEREAS, the City Council of the City of Orono, Minnesota has enacted Chapter 2 of the Orono City Code which pertains to the payment and collection of water, sewer and storm water charges and annual service charges for recycling, and the on -site sewage treatment (septic) program; and WHEREAS, the City Council of the City of Orono, Minnesota has also enacted Chapter 6 of the Orono City Code which pertains to the payment and collection of general service charges; and WHEREAS, the charges identified in the attached list of properties are delinquent in nature; and WHEREAS, an advanced ten-day mailed notice and a published notice of the hearing was given, and the hearing will be held thereon the 27 day of October 2025, at which all persons desiring to be heard are given an opportunity to be heard thereon. NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Orono as follows: That the Hennepin County Special Assessment Division is hereby authorized to place the delinquent water, sewer and storm water charges, annual service charges for recycling, the on -site sewage treatment (septic) program charges, and accounts receivable invoices, on the 2025 property tax rolls, payable in 2026, at eight percent (8%) per annum, against the specified properties as set forth in the following Exhibits. Adopted by the City Council of Orono, Minnesota at a regular meeting held on October 27, 2025. ATTEST: CITY OF ORONO Christine Lusian, City Clerk Bob Tunheim, Mayor 127 City of Orono 2025 Delinquent Bills Levy #26173 Tax Parcel Amount Fee Total Reason 34-118-23-34-0009 $114.10 $ 30.00 $ 144.10 Unpaid Utility Bill 20-117-23-32-0016 $2,427.67 $ 30.00 $ 2,457.67 Unpaid Utility Bill 20-117-23-31-0038 $1,699.59 $ 30.00 $ 1,729.59 Unpaid Utility Bill 20-117-23-43-0043 $2,538.07 $ 30.00 $ 2,568.07 Unpaid Utility Bill 17-117-23-43-0011 $537.68 $ 30.00 $ 567.68 Unpaid Utility Bill 20-117-23-31-0009 $963.59 $ 30.00 $ 993.59 Unpaid Utility Bill 36-118-23-44-0015 $2,454.41 $ 30.00 $ 2,484.41 Unpaid Utility Bill 20-117-23-24-0045 $1,699.48 $ 30.00 $ 1,729.48 Unpaid Utility Bill 20-117-23-11-0041 $931.94 $ 30.00 $ 961.94 Unpaid Utility Bill 17-117-23-44-0092 $138.88 $ 30.00 $ 168.88 Unpaid Utility Bill 17-117-23-43-0020 $1,084.05 $ 30.00 $ 1,114.05 Unpaid Utility Bill 17-117-23-43-0019 $1,831.38 $ 30.00 $ 1,861.38 Unpaid Utility Bill 17-117-23-43-0065 $924.17 $ 30.00 $ 954.17 Unpaid Utility Bill 17-117-23-43-0058 $1,798.78 $ 30.00 $ 1,828.78 Unpaid Utility Bill 17-117-23-43-0106 $862.15 $ 30.00 $ 892.15 Unpaid Utility Bill 17-117-23-43-0034 $2,043.21 $ 30.00 $ 2,073.21 Unpaid Utility Bill 17-117-23-34-0036 $1,669.01 $ 30.00 $ 1,699.01 Unpaid Utility Bill 17-117-23-34-0039 $1,682.44 $ 30.00 $ 1,712.44 Unpaid Utility Bill 17-117-23-34-0060 $643.03 $ 30.00 $ 673.03 Unpaid Utility Bill 17-117-23-34-0060 $463.25 $ 30.00 $ 493.25 Unpaid Utility Bill 17-117-23-34-0057 $719.06 $ 30.00 $ 749.06 Unpaid Utility Bill 17-117-23-34-0055 $149.45 $ 30.00 $ 179.45 Unpaid Utility Bill 36-118-23-33-0006 $1,246.09 $ 30.00 $ 1,276.09 Unpaid Utility Bill 36-118-23-41-0047 $4,510.58 $ 30.00 $ 4,540.58 Unpaid Utility Bill 17-117-23-44-0067 $138.88 $ 30.00 $ 168.88 Unpaid Utility Bill 33-118-23-11-0147 $130.62 $ 30.00 $ 160.62 Unpaid Utility Bill 21-117-23-22-0008 $504.66 $ 30.00 $ 534.66 Unpaid Utility Bill 17-117-23-34-0094 $303.43 $ 30.00 $ 333.43 Unpaid Utility Bill 17-117-23-21-0011 $454.66 $ 30.00 $ 484.66 Unpaid Utility Bill 17-117-23-21-0010 $305.92 $ 30.00 $ 335.92 Unpaid Utility Bill 34-118-23-21-0010 $1,937.26 $ 30.00 $ 1,967.26 Unpaid Utility Bill 17-117-23-31-0016 $1,315.20 $ 30.00 $ 1,345.20 Unpaid Utility Bill 17-117-23-42-0009 $245.94 $ 30.00 $ 275.94 Unpaid Utility Bill 17-117-23-42-0008 $2,509.80 $ 30.00 $ 2,539.80 Unpaid Utility Bill 17-117-23-43-0137 $2,675.90 $ 30.00 $ 2,705.90 Unpaid Utility Bill 17-117-23-43-0129 $163.58 $ 30.00 $ 193.58 Unpaid Utility Bill 17-117-23-43-0128 $2,300.10 $ 30.00 $ 2,330.10 Unpaid Utility Bill 17-117-23-43-0002 $1,617.66 $ 30.00 $ 1,647.66 Unpaid Utility Bill 17-117-23-44-0106 $130.62 $ 30.00 $ 160.62 Unpaid Utility Bill 17-117-23-31-0048 $1,707.54 $ 30.00 $ 1,737.54 Unpaid Utility Bill 17-117-23-31-0030 $463.25 $ 30.00 $ 493.25 Unpaid Utility Bill 20-117-23-22-0002 $1,604.09 $ 30.00 $ 1,634.09 Unpaid Utility Bill 05-117-23-14-0022 $97.25 $ 30.00 $ 127.25 Unpaid Utility Bill 05-117-23-14-0031 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 128 City of Orono 2025 Delinquent Bills Levy #26173 Tax Parcel Amount Fee Total Reason 10-117-23-24-0022 $567.92 $ 30.00 $ 597.92 Unpaid Utility Bill 10-117-23-31-0048 $591.91 $ 30.00 $ 621.91 Unpaid Utility Bill 10-117-23-31-0049 $390.94 $ 30.00 $ 420.94 Unpaid Utility Bill 05-117-23-24-0111 $96.29 $ 30.00 $ 126.29 Unpaid Utility Bill 07-117-23-12-0006 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 02-117-23-31-0039 $791.27 $ 30.00 $ 821.27 Unpaid Utility Bill 07-117-23-14-0001 $491.08 $ 30.00 $ 521.08 Unpaid Utility Bill 07-117-23-12-0022 $95.96 $ 30.00 $ 125.96 Unpaid Utility Bill 07-117-23-24-0017 $592.19 $ 30.00 $ 622.19 Unpaid Utility Bill 33-118-23-44-0015 $1,138.63 $ 30.00 $ 1,168.63 Unpaid Utility Bill 02-117-23-31-0038 $291.76 $ 30.00 $ 321.76 Unpaid Utility Bill 02-117-23-31-0037 $496.79 $ 30.00 $ 526.79 Unpaid Utility Bill 07-117-23-44-0011 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 05-117-23-14-0059 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 07-117-23-13-0095 $291.76 $ 30.00 $ 321.76 Unpaid Utility Bill 26-118-23-33-0005 $1,200.79 $ 30.00 $ 1,230.79 Unpaid Utility Bill 27-118-23-42-0010 $1,237.61 $ 30.00 $ 1,267.61 Unpaid Utility Bill 27-118-23-42-0015 $231.53 $ 30.00 $ 261.53 Unpaid Utility Bill 36-118-23-34-0013 $897.31 $ 30.00 $ 927.31 Unpaid Utility Bill 05-117-23-41-0026 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 07-117-23-11-0014 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 07-117-23-14-0062 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 07-117-23-14-0060 $288.59 $ 30.00 $ 318.59 Unpaid Utility Bill 07-117-23-41-0012 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 07-117-23-41-0086 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 08-117-23-32-0025 $291.76 $ 30.00 $ 321.76 Unpaid Utility Bill 07-117-23-44-0072 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 08-117-23-33-0075 $500.91 $ 30.00 $ 530.91 Unpaid Utility Bill 08-117-23-33-0066 $1,083.31 $ 30.00 $ 1,113.31 Unpaid Utility Bill 07-117-23-43-0026 $999.11 $ 30.00 $ 1,029.11 Unpaid Utility Bill 09-117-23-41-0004 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 08-117-23-43-0022 $392.88 $ 30.00 $ 422.88 Unpaid Utility Bill 08-117-23-43-0010 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 07-117-23-31-0004 $283.65 $ 30.00 $ 313.65 Unpaid Utility Bill 02-117-23-31-0041 $1,070.08 $ 30.00 $ 1,100.08 Unpaid Utility Bill 02-117-23-31-0041 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 06-117-23-41-0045 $1,104.13 $ 30.00 $ 1,134.13 Unpaid Utility Bill 06-117-23-41-0049 $393.29 $ 30.00 $ 423.29 Unpaid Utility Bill 07-117-23-32-0061 $1,000.23 $ 30.00 $ 1,030.23 Unpaid Utility Bill 10-117-23-31-0008 $276.67 $ 30.00 $ 306.67 Unpaid Utility Bill 33-118-23-44-0032 $500.08 $ 30.00 $ 530.08 Unpaid Utility Bill 05-117-23-23-0040 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 07-117-23-11-0010 $96.29 $ 30.00 $ 126.29 Unpaid Utility Bill 10-117-23-24-0032 $1,245.42 $ 30.00 $ 1,275.42 Unpaid Utility Bill 129 City of Orono 2025 Delinquent Bills Levy #26173 Tax Parcel Amount Fee Total Reason 10-117-23-24-0033 $246.65 $ 30.00 $ 276.65 Unpaid Utility Bill 03-117-23-34-0024 $1,229.43 $ 30.00 $ 1,259.43 Unpaid Utility Bill 03-117-23-34-0011 $76.25 $ 30.00 $ 106.25 Unpaid Utility Bill 33-118-23-44-0030 $96.29 $ 30.00 $ 126.29 Unpaid Utility Bill 33-118-23-33-0006 $80.49 $ 30.00 $ 110.49 Unpaid Utility Bill 22-117-23-31-0001 $239.88 $ 30.00 $ 269.88 Unpaid Utility Bill 22-117-23-31-0002 $59.69 $ 30.00 $ 89.69 Unpaid Utility Bill 03-117-23-34-0001 $244.41 $ 30.00 $ 274.41 Unpaid Utility Bill 03-117-23-23-0015 $326.37 $ 30.00 $ 356.37 Unpaid Utility Bill 04-117-23-11-0003 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 05-117-23-12-0018 $319.44 $ 30.00 $ 349.44 Unpaid Utility Bill 06-117-23-11-0004 $319.44 $ 30.00 $ 349.44 Unpaid Utility Bill 31-118-23-24-0007 $319.44 $ 30.00 $ 349.44 Unpaid Utility Bill 34-118-23-22-0008 $163.12 $ 30.00 $ 193.12 Unpaid Utility Bill 26-118-23-33-0021 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 02-117-23-33-0002 $328.44 $ 30.00 $ 358.44 Unpaid Utility Bill 02-117-23-32-0007 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 03-117-23-44-0007 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 03-117-23-42-0008 $326.37 $ 30.00 $ 356.37 Unpaid Utility Bill 10-117-23-22-0004 $163.12 $ 30.00 $ 193.12 Unpaid Utility Bill 03-117-23-33-0002 $244.41 $ 30.00 $ 274.41 Unpaid Utility Bill 04-117-23-41-0005 $132.54 $ 30.00 $ 162.54 Unpaid Utility Bill 05-117-23-12-0017 $163.12 $ 30.00 $ 193.12 Unpaid Utility Bill 32-118-23-42-0008 $244.41 $ 30.00 $ 274.41 Unpaid Utility Bill 35-118-23-43-0029 $522.98 $ 30.00 $ 552.98 Unpaid Utility Bill 32-118-23-24-0012 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 02-117-23-22-0002 $244.41 $ 30.00 $ 274.41 Unpaid Utility Bill 33-118-23-31-0011 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 06-117-23-23-0004 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 09-117-23-21-0017 $327.72 $ 30.00 $ 357.72 Unpaid Utility Bill 35-118-23-34-0020 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 35-118-23-34-0006 $244.41 $ 30.00 $ 274.41 Unpaid Utility Bill 06-117-23-23-0016 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 31-118-23-43-0018 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 31-118-23-43-0011 $147.82 $ 30.00 $ 177.82 Unpaid Utility Bill 32-118-23-24-0003 $244.41 $ 30.00 $ 274.41 Unpaid Utility Bill 04-117-23-32-0013 $328.39 $ 30.00 $ 358.39 Unpaid Utility Bill 33-118-23-41-0003 $163.83 $ 30.00 $ 193.83 Unpaid Utility Bill 36-118-23-31-0013 $110.93 $ 30.00 $ 140.93 Unpaid Utility Bill 27-118-23-43-0018 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 32-118-23-44-0009 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 32-118-23-34-0012 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 31-118-23-41-0001 $133.03 $ 30.00 $ 163.03 Unpaid Utility Bill 07-117-23-22-0016 $329.06 $ 30.00 $ 359.06 Unpaid Utility Bill 130 City of Orono 2025 Delinquent Bills Levy #26173 Tax Parcel Amount Fee Total Reason 17-117-23-34-0060 $352.00 $ 30.00 $ 382.00 Unpaid Accounts Receivable Invoice $100,854.52 $3,990.00 $104,844.52 Parcel Count 130 *2 Parcels have multiple accounts delinquent. 131 AGENDA ITEM Date: October 27, 2025 Title: Replace HVAC Units - Willow Fire Station Presenter: Shea Chwialkowski, Interm Fire Chief Section: City Administrator/Engineer Report Item: 14 Purpose: To replace the original and inoperative rooftop HVAC units at the Willow Fire Station and restore proper heating and cooling essential for firefighter readiness, building longevity, and operational reliability. 2. Background: The HVAC units at the Willow Fire Station are original to the building and have surpassed their service life. Four of the five units have failed and cannot be repaired cost-effectively, while the remaining unit operates intermittently. Replacement is necessary to maintain safe working conditions and protect fire apparatus. This project will restore reliable and efficient climate control at the Willow Fire Station, providing a safe and comfortable environment for personnel, protecting critical firefighting apparatus from temperature -related damage, and ensuring the facility meets current operational and building standards. The project will be led and managed by the city of Long Lake. Orono's contribution will be in accordance with the current Fire Service contract. The contract allocation formula will require the City to pay for 85% of the cost of the project. The Orono Fire negotiating team agreed to funding this project under the current contract conditioned on Long Lake approving the Shoreline Fire JPA and associated Leases. 3. Scope: The project includes removal and disposal of the existing five roof top units, installation of five new 5-ton Trane RTUs with low -leak economizers, fabrication and installation of curb adapters, and system start-up, testing, and commissioning. 4. Cost: The LLFD Fire Chief solicited three quotes for the project. Long Lake selected New Century Services to perform the work for a total cost of $103,983. The City of Orono to fund approximately 85% of the project is $88,400. Funding: Funding for Orono's portion of the project will be through the Fire Capital Fund. 6. Staff Recommendation: Staff recommends approval of the purchase and installation of five rooftop HVAC for the Willow Fire Station. COUNCIL ACTION REQUESTED Motion to authorize Orono funds up to $88,400 for the purchase and installation of five rooftop HVAC 132 units for the Willow Fire Station conditioned upon the City of Long Lake Approving the Shoreline Fire JPA and associated Leases. Exhibits A. LLFD HVAC Scans 133 DITTER COOLING • HEATING • ELECTRICAL SINCE 1946 RESIDENTIAL a COMMERCIAL "We're not comfortable until you are!" Long Lake Fire Department 340 Willow Drive N Long Lake MN 55356 We hereby propose to furnish equipment, labor, & materials for the following items: Remove and dispose of all five existing Trane RTU's and thermostats. Install five curb adaptors, five new Honeywell TH8320 programmable thermostats. Install five new Trane 5YCC406OAl 115A RTU's. Connect existing gas lines to new units. Modify existing electrical where necessary to connect to new units. Install low leak economizers, smoke detection monitors and filter racks in new RTU's. Start up new units and check all operations in heating and cooling. Total pay_ went_ due to Ditter: _ $99,875.00 Warranty:10 year heat exchanger, 5 year compressor, 1 y g , y p year parts and labor Payment terms: 50% down, full balance due on completion Tim Underhill Ditter Cooling & Heating 820 Tower Drive Hamel, MN. 55340 763-452-2484 timu�ditterincxom 134 All material is guaranteed to be as specified. All work to be completed in a workmanlike manner According to standard practices. Any alteration or deviation from above specifications involving extra Costs will be executed only upon written orders and will become an extra charge over and above the estimate. All agreements contingent upon strikes, accidents or delays beyond our control. Owner to carry fire, tornado and other necessary insurance. Our workers are fully covered by Workmen's Compensation Insurance. Acceptance of Proposal — The above prices, Specifications and conditions are satisfactory and are hereby Accepted. You are authorized to do the work as specified. Payment will be made as outlined above. Finance charges of 3 -1/2% per month may be assessed on over due accounts. Authorized Signature. Tim Underhill NOTE: This proposal may be withdrawn by us if not accepted within 10 days. Customer Signature: You, the buyer, may cancel this transaction at any time prior to midnight of the third business day after The date of the transaction. See attached note of cancellation form. NOTICE OF RIGHT OF RESCISSION (identification of Transaction) Notice to customer required by Federal Uw: You have entered into a transaction on which may result in a lien, mortgage, or other security on your property. You have legal right under federal law to cancel this transaction, if you desire to do so, without any penalty or obligation within three business days from the above date or any later date on which all material disclosures required under the Truth of Lending Act have been given to you. If you so cancel the transaction, any lien, mortgage, or other security interest on your property arising from this transaction is automatically void. You are entitled to receive a refund of any down payment or other consideration if you cancel. if you decide to cancel this transaction, you may do so by notifying: Ditter Inc. At $20 Tower Drive Hamel, MN 55340 (Address of Creditor's Place of Business) By mail or telegram sent not later than midnight of You may also use any other form of written notice identifying the transaction to the above address not later than that time. This notice may be used for that purpose by dating and signing below: I hereby cancel this transaction. Customer's Signature Date 135 NEW CENTURY SERVICE 5500 QUEENS AVENUE NE, OTSEGO, MN 55330 Phone: (763) 416-2732 1 Fax: (763) 416-2734 Proposal To: Long Lake Fire Station #1 340 Willow Dr N Long Lake MN 55356 12386 Service Location: Long Lake Fire Station #1 340 Willow Dr N Long Lake MN 55356 12386 We are pleased to present the replacement quote for five (5) 5T Trane roof top units Includes: *Regular time labor *Roof top units (5) `Curb adapter and extention *Smoke detectors *Shipping and receiving *Crane and rigging *Recycling of old unit *Line voltage electrical *Control disco nnectlreconnect *Gas piping disco nnectlreconnect *Start up *Permit *One year parts and labor warranty QUOTE Quote Number: 23109 Work Order 1d: Date: 07/15/2025 Expiration Date: 08/14/2025 Submitted By: Dusko Page: 1 of **NCS WOULD LIKE TO INCLUDE A FREE OF CHARGE PM FOR 2026 IF PM AGREEMENT FOR 2027 IS SIGNED AT THIS TIME** Excludes: *Overtime *Emergency replacements *Any code upgrades to existing system *Industry supply chain price increases Description HVAC Labor Regular Electrical Labor Truck Charge 5T RTU Curb Adapter Permits & Bonds Gas piping material Electrical material Crane Rental Shipping & Handling Disposal Fees Curb extension Initial: Total 103,983.75 136 Modern Heating & Air Building Efficiency and SustainabiRy A Service Logic Company SUBMITTED TO: JOB NAME: DATE: 1011412025 Long Lake Fire Station 1 B025-657 RTU Replacements 340 Willow Drive N JOB LOCATION: Long Lake, MN 55356 Station 1 ATTENTION: MISCELLANEOUS JOB INFORMATION. Management Trane Packaged RTU's 5 Ton Mfg. (2002) MHAC is pleased to provide a proposal for HVAC for the above -mentioned project on the plans provided to us. The following items are included in our proposal: Replace Packaged Gas Electric Roof Top Units • Disconnect power and remove (5) packaged RTU's • Furnish and install (5) custom curb adapters • Furnish and install (5) 5 Ton Trane Roof Top Units • Furnish and install (5) low leak economizers • Use of existing unit electrical disconnects • Extend gas piping and electrical as needed • Use of existing building automation • Check, test and start system • Permits Crane, freight, delivery and tax Price Not To Exceed NTE $ 77,000.00 Note: Curb adapter lead time 10-15 working days. Exclusions: • Power and control wiring • Service, repair and warranty of existing equipment • Plumbing and overtime labor PAYMENT TO BE MADE AS FOLLOWS: All material is guaranteed to be as specified. All work to be completed in a workmanlike manner according to standard practrces. Any alternation or deviation from above specifications involving extra costs will be executed only upon written orders, and will become an extra charge over and above the estimate. Ail agreements contingent upon strikes, accidents or delays beyond our control. owner to carry fire, tornado and other necessary insurance. our workers arc fully covered by Workmen's Compensation Insurance. AUTHORIZED SIGNATURE:,Zsd O Bob Oakes— Project Manager ACCEPTANCE OF PROPOSAL —The above prices, specifications and conditions are satisfactory and are hereby accepted. You are authorized to do the work as specified. Payment will be made as outlined above. SIGNATURE DATE OF ACCEPTANCE: 2318 First Street Northeast, Minneapolis, MN 55418 • Phone 612-781-3358 • www.modernhtg.com 137 AGENDA ITEM Date: October 27, 2025 Title: Sustainability and Resiliency Presenter: Adam Edwards, City Administrator / Engineer Section: City Administrator/Engineer Report Item: 15 Purpose: The purpose of this council item is to summarize the sustainability and resilience activities of the city as briefed during the October 8th special work session and to identify any future actions the city council would like to take in these focus areas. 2. Background: The City Council held a Work Session on October 8th to review current sustainability policies and practices, and to discuss opportunities that focus on sustainability and resiliency throughout the city. Staff presented a high-level overview of current practices. The Council reviewed the City's current Mission, Vision, and Goals. To aid the discussion, Staff provided a list of commonly used terms (as defined within Minnesota's Climate Action Framework) and identified the partners and agencies who interact with the city on projects and natural systems protections. Staff provided an overview of the planning goals within the current 2040 Comprehensive Plan that relate to sustainability and resiliency for the future. Staff also highlighted the required elements for the upcoming 2050 Comprehensive Plan Update. This included a review of land use, transportation, wastewater, water supply, surface water management systems as well as create planning goals for parks, climate adaptation/mitigation, and natural systems planning. Each department head presented a summary of their department's practices for implementing sustainability efforts. This included an overview of the current land use and development regulations, emergency management planning, winter operations (including best practices for salting the streets), facility initiatives, and waste reduction/recycling policies. Every department highlighted staff education on sustainability practices and coordination with other government entities and agencies. Additional information was provided to highlight active sustainability projects which include the ongoing development of a tree management plan and the kickoff of the 2050 Comprehensive Plan Update. The Council was provided with a list of opportunities and programs for consideration, including energy audits and ordinance examples. The Council asked questions and provided discussion throughout the presentation. Council discussed the need for public awareness and community education on current sustainability practices. Council also expressed a desire to encourage more volunteer participation to support projects and improvements throughout the city. As a result, staff prepared a communication plan that will regularly promote and highlight the City's sustainability efforts and to provide more resources for residents. 138 At the work session Council provided direction to staff to bring the briefing information forward to the council meeting for formal acknowledgement and desire to expand public awareness of the city's sustainability and resiliency efforts. 3. Staff Recommendation: I recommend council review the attached resiliency and sustainability communications plan and provide comments or direction. COUNCIL ACTION REQUESTED Review and provide direction. Exhibits A. Sustainability Work Session Slides B. Sustainability Work Session Minutes C. Sustainability Communications Plan 139 _�, G`/ SHE SustainabiIity and esiliency Discussion City of Orono City Council Work Session I October 8, 2025 140 Agenda 01 Mission, Vision, Goals 02 Comprehensive Plan 03 Current Practices 04 Programs and Opportunities 05 Discussion Mission, Vision, Goals Mission The city of Orono will provide effective guidance through public policy established from citizen involvement, by empowering staff to implement best practices to prepare Orono for any challenges of the future and by ensuring a positive customer experience, superior municipal services and provide a safe community for the residents, businesses and customers to live, work and play in. Vision To be the residential community of choice and remain widely recognized for its preservation of natural rural beauty, quality of life, and recreational assets. Goals • To provide consistent high levels of customer service to our residents and balance the enforcement of city codes • To maintain sustainable funding for infrastructure while maintaining a stable tax levy • To create a culture of continuous improvement by providing efficient and reliable government services • To adopt best practices into city processes to ensure high -quality services are provided in an ever - changing environment 142 Common Terms: MN Climate Action Framework • Sustainability: Creating and maintaining the conditions under which humans and nature can exist in productive harmony to support present and future generations. • Resilience (to climate change): The capacity of individuals, communities, businesses, buildings, infrastructure or the natural environment to prevent, withstand, respond to, and recover from disruptive events and continue to perform despite persistent stresses imposed by climate change. Both mitigation and adaptation are necessary for long-term resilience. • Adaptation: Taking action to prepare for and adjust to both the current and projected impacts from climate change. For both natural and built systems, humans may intervene to help adjustment. • Mitigation (of climate change): A human intervention to reduce emissions or enhance the removal of a greenhouse gas from the atmosphere (e.g., through carbon sequestration in plants) • Renewable energy: collected from resources that are naturally replenished on a human timescale. Examples include wind, wood, solar, hydropower, and geothermal energy. • Equity: The proactive reinforcement of policies, practices, attitudes and actions that produce fairness in power, access, opportunities, treatment, impacts and outcomes for all. 2040 Comprehensive Plan: Orono Planning Goals 1. Protect and preserve Lake Minnetonka, and all Lakes and natural resources, its water quality, and its recreational assets. This goal includes preservation of the associated marshes, wetlands and natural drainageways as the primary, most practical and cost efficient method of preventing flooding and of filtering out the nutrient pollution from stormwater runoff. Maintaining a low -density rural area away from the lake, and managing the quality of runoff that flows directly to the lake, are important elements of this goal. 2. Maintain our local character and identity (strong neighborhoods, preponderance of wildlife, open spaces, lakes, and wetlands). 3. Protect and preserve our natural resources including all lakes, creeks, marshes, wetlands, woodlands, groundwater and steep slopes. 4. Preserve open space, light, air, and solar access for all citizens while maintaining night sky. 5. Protect the general public health, safety and welfare through the development of ordinances, policies, and infrastructure that provides safe, efficient streets and neighborhoods, transportation alternatives, parks and opens spaces. 6. Guide investment and reinvestment in the City at densities consistent with environmental protection and the planned land use pattern. 144 2050: NEW Required Plan Elements 1. Land Use a) Density, Land Use classification, Identify Aggregate Resource, Solar Resource Protections, 2. Housing a) Housing assessment, Accessible Housing, Growth Management Projections 3. Transportation a) Variety of Transit options, Trails Planning, Biking and Pedestrian Accessibility, Acknowledgement of GHG Reduction Goals 4. Wastewater 5. Water Supply 6. Surface Water 7. Parks a) Regional Park and Trail Systems, Connectivity of Green Space and Corridors, Park CIP Planning 8. Climate a) Climate Mitigation b) Climate Adaptation 9. Natural Systems a) Identify Natural systems including water and terrestrial bodies, identify protective areas, Protective strategies and goals 0 20 00.016 & #0*01k IMAGINE5o • the Pequitable re9 ion's Ian for an and resilient future Current Practices 146 Surface Water Management ■ Surface Water Management Plan Requirements 1. Protect, preserve, and use natural surface and groundwater storage and retention systems 2. Minimize public capital expenditures needed to correct flooding and water quality problems 3. Identify and plan for means to effectively protect and improve surface and groundwater quality 4. Establish more uniform local policies and official controls for surface and groundwater management 5. Prevent erosion of soil into surface water systems 6. Promote groundwater recharge 7. Protect and enhance fish and wildlife habitat and water recreational facilities 8. Secure the other benefits associated with the proper management of surface and groundwater. Surface Water Management • U.S. ENVIRONMENTAL PROTECTION AGENCY (EPA) The NPDES program, the Impaired Waters List, and the Nondegradation Review are all the result of the Clean Water Act, administered by the EPA. • U.S. ARMY CORPS OF ENGINEERS (USACE) Under Section 404 of the Clean Water Act, including subsequent modifications, the EPA and the USACE regulate the placement of fill into all wetlands • FEDERAL EMERGENCY MANAGEMENT AGENCY (FEMA) federal disaster mitigation and relief programs, including the National Flood Insurance Program (NFIP) • STATE BOARD OF SOIL AND WATER RESOURCES (BWSR) The BWSR works through local government agencies to implement Minnesota's water and soil conservation policies. • MINNESOTA POLLUTION CONTROL AGENCY (MPCA) responsible for monitoring environmental quality and enforcing environmental regulations to protect the land, air and water. • MINNESOTA DEPARTMENT OF NATURAL RESOURCES (DNR) The Division of Waters administers programs in lake management, shoreland management, dam safety, floodplain management, wild and scenic rivers, the Public Waters Inventory (PWI), and permitting of development activity within public waters. • MINNESOTA DEPARTMENT OF HEALTH (MDH) public health, including implementation of the Safe Drinking Water Act. • METROPOLITAN COUNCIL manages public transit, housing programs, wastewater collection and treatment, regional parks, and regional water resources. • MINNEHAHA CREEK WATERSHED DISTRICT (MCWD) broad authority to regulate land use planning, flood control and conservation issues • CITY OF ORONO Regulates Land use though Ordinance; Maintains city infrastructure. Official Responsibility Nfechauism Control • NPDES MS4 Permit — Orono Stornnvater Pollution Prevention Program (SWPPP) • NPDES Construction Permit Erosion and . NPDES Multi-Sectof Permit Sediment City. MCVdD . Orono Cily Code: Chapter 79 — Construction Site Control Rimoff Control. Building Permits incorporate Chapter 79 requirements. • MCIVD Erosion Control Rule • Orono City Code: Chapter 78. Article IX— Shoreland Shoreland City. MCWD Management . MCWD Shorelirie and Streambank Stabilization Rule • Orono City Code: Chapter 78. Article VIII — Floodplain City. MCWD. DNR Floodplain Management • bICIVD Floodplain Alteration Rule DNR. USACE. and . Orono City Cock: Chapter 7S. Article XI — Wetlands Technical Evaluation Protection Wetlands Panel (TEP) Members: BWSR & . NICIVD Wetland Protection Rule • Wetland Conservation Act — NICWD is L& MCWD or HC'D • Orono City Code: Chapter 14. Article III. Division 5. Subdivision 5 — Stormwater Illicit Discharge and Illicit Illicit Connection City Discharge • bIS4 Permit — SWPPP Illicit Discharge Detection and Elimination Program • NICIVD Illicit Discharge Rule • NPDES C'onstrtiction Permit . NPDES Multi -Sector Permit 5 torlln4 ater • Orono City Code: Chapter 78. Article X. Division 6. Runoff City. MCWD Section 78-1579 — Drainage �Ianageme�lt . MCWD StomnsaterManaaemlentRule • MCWD `Vatefbody Crossines and Strucmlres Rule • Orono,Wellhead Protection Plan Cirotutdtvater City°. MC'y�ID. �IDH • MCWD .appropriations Rule • NPDES Construction Permit MPCA. MCWD. • MPC'A — Managmg Dredge Materials and Managing Dredgine DI\R. USACE Starmtcater Sediments • MC1VD Dredging Rule Natural Area • Orono City Code: Chapter 7S. Article XII — Ciry Preservation Conser�ationDesign 148 Land Use ■ Guiding Documents • Mission, Vision, Goal, Comprehensive Plan ■ Land Use Regulations • Zoning, Floodplain, Shoreland, Wetland, Conservation Design, Hardcover, Stormwater Pollution Prevention, Development/ Subdivision ■ Additional Regulations • Solid Waste regulations, Environmental, Septic Systems ■ Permitting • Digital permitting (eliminated paper plans, created uniform access to public records), review and verify erosion control measures ■ Coordination with other agencies • MCWD, LMCD, Hennepin County, BWSR, DNR, Met Council ■ Department Trainings • Members of Sustainable Land Use Coalition, Participates on Monthly Trainings from DNR and Hennepin County for sustainability and resiliency topic, American Planning Association, Septic Certification, Department of Labor and Industry Training Public Works ■ Brush Site • Repurposes brush, logs, leaves, and grass clippings into mulch and blended organic soil for landscaping projects. This helps keep debris, pollutants, and pesticides out of the storm sewer system, reducing impacts on our lakes and streams. ■ Clean Up Days ■ Right of Way Sweeping • In 2024, collected 25 pounds of phosphorus and 41 cubic yards of debris through regular sweeping. Crews sweep throughout the year, focusing on known trouble spots. Weather events often bring leaves and twigs into streets, storm basins, and curbs, requiring follow-up cleanings to keep systems clear. • Reduces roadside debris from illegal dumping and partners with ■ Water and Sewer Utilities agencies to repurpose items such as appliances, bikes, and gently used Implements the Wellhead Protection Plan, establishing protection construction materials. Scrap metal is melted down and reused in the • zones around drinking water wells. Performs annual water leak creation of new products. surveys, fire hydrant and lift station inspections, and underground infrastructure assessments to reduce leaks and prevent environmental ■ Winter Operations contamination. • Conducts roadway brining, salting, and plowing operations. Staff attend annual winter maintenance and salt application training, and all ■ Stormwater Preventive Maintenance equipment is calibrated each year. These practices reduce salt use Completed 298 Stormwater inspections in 2025 to identify areas while keeping roadways, sidewalks, and trails safe in accordance with • needing cleaning or repair, helping to reduce pollutants entering local best management practices. waterways. 150 Engineering ■ Development and Permit Grading Review • Ensure Compliance with City Code and MS4 permit • Development Erosion Control Inspections ■ Surface Water Management Plan • Separate slides ■ MS4 Permit (Municipal Separate Storm Sewer System) • Public Education and Outreach • Public Participation and Involvement • Illicit Discharge Detection and Elimination • Construction Site Storm Water Runoff Control • Post -Construction Storm Water Management • Pollution Prevention and Good Housekeeping for Municipa Operations ■ Capital Improvement Planning for City Infrastructure • Integrations of water quality / stormwater management into Transportation projects • Integration of water quality / stormwater management into Parks and Facilities projects • Develop, plan and execute Stormwater improvement projects • Inflow and Infiltration reduction work for Sanitary sewer system • Preventive maintenance projects (Streets, Utilities, Infrastructure) ■ Standards and Development • All- City Standard Plates • Streets — MnDOT Standards Specification • Utilities — CEAM Specifications • Stormwater— MPCA Stormwater Manual • MN American Public Works Association (APWA) • City Engineer Association of Minnesota (CEAM) • UofM Stormwater design Certification • Mn Rural Water Association (MRWA) • Mn Cities Stormwater Coalition (MCSC) Parks / Facilities ■ Assessment and Inventory of Resources • Create and maintain an inventory of natural resources, park and facility assets, including trails, sport fields, natural areas and lake access points allowing us to prioritize high -value natural areas and focus resources where they gain the most conservation value. ■ Winter Operations • Staff is sent to winter maintenance and salting training, making sure the correct equipment and that it is maintained to reduce our quantity of salt, but still ensure sidewalks and trails safe and in line with best management practices. ■ Mowing and Landscape • Keep park areas and trails as natural as possible, which include less frequent mowing zones, pollinator -friendly planting beds, compost use, and low -maintenance native planting. Use native plants when replacing or installing new vegetation. Remove and replace invasive species, follow post removal monitoring and native re-establishment. ■ Facility Operations Monitor park buildings for efficiency upgrades, (LEDs, HVAC maintenance) solar for PW works building. Public Works building is also equipped with LED lights, motion sensor lights and qualified for energy rebates based on it's sustainable construction. Custodian staff trained in cleaning chemical use and use natural products when possible. ■ Park Operations Follow DNR and Community Forestry best practices for tree planting, and long term canopy health. This includes species selection, inventorying, and routine maintenance. Reduce fertilizer/pesticide use and maintain right size irrigated turf for water use reduction. Staff is trained in pesticide application and limit it's use when not necessary, use limited to golf course and athletic fields. Buy low -toxicity products, durable recycled materials for benches/play structures, and prioritize local contractors. ■ Engage Community and Partners Use Park Commission and volunteers to help with native gardens, adopt - a -park measures, park monitoring. Provide public education through clear signage at parks and through social media and newsletter. N Emergency Services ■ Emergency Management Coordination • Emergency Management Plans, HC Emergency Management State and Federal Partners (FEMA Recovery) • Certified as a Emergency Manager — MN HSEM, Board Chair with HCEM — UASIAETP Funding ■ Education and Outreach • Hunter Safety, Drivers Ed, Crime Prevention Discussions (Gillespie, Senior Centers etc.) ■ Drug Take Back ■ Deer Management/ Pest Control • Bow Hunter, arial surveys (Three Rivers), trapping permits for beaver/coyotes and other pests if damaging property. No natural predators. Suburban area with large areas of woods and marshes. Residents move to the area to be part of nature. ■ Electric Vehicles • Continuing evaluating the use of electric vehicle for patrol use. Considering the pros/cons(cost, battery life, charging and cold weather). ■ Training and Development • Reduces access to prescription drugs, reduces contamination to • Recruitment at colleges and High School job fairs water sources due to improper disposal. Provides drug disposal bags for smaller amounts. 0 CADET program Administration ■ Waste Reduction • One -hauler system for single -sort provides access to all residents, improves diversion from landfills, streamlines cost and operations. • Organics drop-off free to all residents; future transition to curbside collection to strengthen environmental responsibility and social equity. ■ Digital Presence • Open meetings, online engagement and public record access reduces paper, ensures continuity during disruptions ■ Absentee Voting • Provides access to all eligible voters, fosters lower emissions, congestion, and strengthens inclusivity, social sustainability ■ Communications Strategy • Builds awareness, promotes behavior change, strengthens preparedness & response, supports community engagement, documents success, reinforces institutional continuity. ■ Policy Implementation • Ordinances, contracts, policies are properly recorded and enforced, supporting environmental, social, and economic sustainability. ■ Staff Development • Support prepared workforce through training that extends beyond current needs, fostering economic sustainability. Programs and Opportuneltes 155 ■ 0 Current Projects ■ TREE MANAGEMENT PLAN • Tree Inventory completed in 2025 • Form committee and define goals and objectives 2025 • Develop tree planting strategy 2025/2026 Selection of native and climate -resilient tree species, planting priorities, develop best practices for soil prep, spacing and watering. • Collaborate with county and state government, environmental groups, residents, universities and local businesses. Secure funding through grants, collaborate with sponsors and non -profits, incentives or guidelines for residents to plant and maintain trees. • Maintenance and Sustainability Develop long-term care plan, pruning, watering disease control. Train staff, volunteers and public on proper tree care techniques. Establish tree protection policies for construction and development. • Monitoring and Evaluation Regularly track tree survival and growth rates, assess environmental benefits use date -driven analysis, adjust policies and strategies based on findings. ■ 2050 COMPREHENSIVE PLAN UPDATE • Kickoff in 2025 • Public Input and Sub -committee 2026 Review and Update current Comp Plan Goals • Review and Redline 2026/2027 Update Chapter by Chapter to follow forecasting and policy Goals • Publish for Review and Public Comment 2028 The draft plan is published for public comment and shared and affected and adjacent jurisdictions: 6 Month Process • Submit Final 2050 Update 2028 ■ 0 Opportunities ■ EXISTING PROGRAMS AND EXAMPLES ■ POLICY AND ORDINANCE EXAMPLES • Recognition/ certification — Green Step Cities • Tree Preservation Ordinance- consider an ordinance that Minnesota GreenStep Cities & Tribal Nations is a voluntary challenge, prioritizes tree preservation and the tree canopy. The scope could assistance and recognition program to help communities achieve their be at time of subdivision development or for individual homeowners to follow sustainability and quality -of -life goals. It is based upon a menu of 29 optional best practices. 0 Landscaping Ordinance- Consider creating specific • Energy Audits — Xcel Energy Partners in Energy landscaping requirements for sensitive areas. Consider creating a resource guide for best practices (Blue Thumb) The program offerings include support to develop an energy action plan or electric vehicle plan, tools to help implement your plan • Open Space Ordinance- Consider a regulation that requires the creation of open space or conservation easements at time of • Studies — Climate Action and Sustainability Studies subdivision • City Operation Resilience Plar Wayzata- June 2025 • Steep Slope Ordinance- Additional protections on sensitive • Climate Action and Adaptation Pla Minnetonka- April 2024 natural features. • Climate Action and Resiliency Plan Plymouth- In Development • Climate Action Plan Hennepin County— May 2021 0 157 Partners • Minnehaha Creek Watershed District • Hennepin County • Emergency Services, Transportation, Environmental Service, Public Works, HCRRA • MN Department of Natural Resources • Board of Soil and Water • US Army Corps of Engineers • Lake Minnetonka Conservation District r r 4 • Metropolitan Council • Three Rivers Park District • American Public Works Assoc. (APWA) • Minnesota Rural Water Assoc. • American Water Works Assoc. • School Districts (Orono, Westonka) Discussion Questions 1. What is the Council's Resiliency and Sustainability Vision? a) Desired Outcomes? b) Goals? 2. How does the Council want to incorporate the sustainability and resiliency with upcoming Comp Plan Update? a) Establish separate committee/ working group to establish sustainability and resiliency goals? b) Set up series of sustainability and resiliency council work session in 2026 and 27? 3. Outside the Comp Plan what sustainability and resiliency initiatives does the council wish to undertake? a) What does the Council want to prioritize (fund)? b) Focus Partners? 159 1� M �OAio SH0/ Thank You 160 Resources and References • MN Climate Framework • Dept of Ag- Conservation Programs • Center for Energy and Environment- Municipal Sustainable Building Policies • MCWD- Climate Action Framework • Hennepin Countv- Climate Action • DNR- Nurture Nature • BWSR- Climate Chanize Trends and Action Plan 2022 • Blue Thumb - Landscape Planting Best Practices and education • Lawns of Legumes Minutes City Council Work Session Wednesday, October 8, 2025, 9:00 AM City Council Chambers 12780 Kelley Parkway, Orono, MN 55356 ROLL CALL Council members present: Mayor Bob Tunheim, Alisa Benson, Jacqueline Ricks, Steve Persian, Jon Schwingler. Staff present: City Administrator Adam Edwards, Police Chief Correy Farniok, Community Development Director Laura Oakden, Parks and Facilities Superintendent Joe Ruthenberg, Public Works Superintendent DJ Goman, City Clerk Christine Lusian, Planners Melanie Curtis and Matt Kearney, Communications Specialist Rachel Cotter. SUSTAINABILITY & RESILIENCY Staff provided an overview demonstrating how sustainability and resiliency are integrated into the city's daily operations and embedded within services, policies, and community engagement rather than treated as separate initiatives. The city's mission and goals, unchanged since 2017, continue to guide this work. Discussion covered capital improvement planning, comprehensive plan updates (including new 2050 requirements), and surface water management, along with coordination among partner agencies such as the EPA, USAGE, FEMA, BWSR, MDH, MCWD, MPCA, and DNR. City operations address current needs while planning for long-term stability and opportunity. Ongoing efforts include environmental and infrastructure improvements, policy implementation, permitting, grant -supported projects, emergency management, nuisance animal control, medication disposal, facility efficiency, stormwater inspections, salt -use tracking and reduction, balancing road safety with lake health, preventative maintenance, native plantings, waste reduction and diversion, digital presence, and election administration. Continuous training and development across elected officials, appointed members, and staff strengthen leadership, workforce, and service delivery. The council recognized that as community needs and challenges evolve, the city is well positioned to respond effectively. They expressed support for current actions, appreciation for the scope of existing work, and a desire to expand public awareness. The council emphasized more visible communication through newsletters, social media, volunteer engagement, and potentially forming new committees or focus groups to advance sustainability outreach. Direction was given to continue integrating initiatives into the comprehensive plan, intentionally share progress and successes through public education and awareness campaigns, and present any new strategies to the council for consideration. ADJOURNMENT Work session ended at 11:25 a.m. ATTEST: Christine Lusian, City Clerk CITY COUNCIL Bob Tunheim, Mayor 162 City of Orono Sustainability Communications Plan Timeframe: November 2025 — October 2026 Goal: Promote awareness, education, and participation in sustainability efforts through timely, seasonal messaging and community engagement. Coordinate consistent communication that supports city sustainability and resiliency initiatives, aligns with the comp plan, and engages residents, staff, and partners. Key Objectives 1. Promote Engagement- Encourage small, practical steps residents can take year-round. 2. Build Awareness- Educate the community on local environmental initiatives (pollinator habitats, native plantings, stormwater management). 3. Document Progress- Strengthen Orono's brand as a clean, green, and community - minded city. 4. Foster Collaboration- Increase resident and partner participation in sustainability programs (organics recycling, cleanup events, etc.). Target Audiences • Residents, to include Council and Commissions • Partners, to include schools, local community groups, etc • Environmental organizations and volunteers Primary Communication Channels • City of Orono Website • Facebook & Instagram posts (graphics + short video clips) • Happenings Newsletter (Every other month) • Community event materials (signs, flyers, booths) • Partnerships (Orono Schools, scouts, local environmental groups, etc.) • Public Meeting Updates • Press Releases (major milestones and awards) 163 Month -by -Month Plan Month Theme & Focus Key Messages Content Ideas & Channels November Sustainable Share simple winter prep Social posts on salt use dos/don'ts, and 2025 Seasons Begin tips. winter energy savings. "Green Holiday Guide" social posts; tip December Reduce & Encourage waste reduction sheet on wrapping alternatives; remind 2025 Reuse Holidays and mindful gifting. residents about recycling rules for boxes/lights and Xmas Trees. "3 Sustainable Habits for 2026" campaign; January New Year, Promote resolutions that spotlight organics recycling signup; short 2026 Greener You support sustainability. video from Mayor/Staff about the year's sustainability vision? "Eco Love Notes" social series (quick tips); February Love Your Focus on small daily actions highlight snow removal & storm drain 2026 Planet that reduce energy/waste. awareness. Prep for spring: lawn care, Spring prep checklist; promote; newsletter March 2026 Ready for Renewal stormwater protection, tree feature on native landscaping. Yard and care. Lawn Management. Event coverage; video or post on tree Earth Month & Celebrate Earth Day, trees, planting and pollinators; encourage April 2026 Arbor Day and the Mayor's Monarch residents to pledge pollinator actions; Pledge. cross -promotion with schools. Strong push on cleanup event (social, web, Community Promote Spring Cleanup newsletter); highlight compost/organics May 2026 Clean Up & event and pollinator garden recycling; feature volunteer photos. Green U p prep. p Residential Best Practices. Celebrate Pollinator Week Monarch Pledge updates; pollinator garden June 2026 Pollinator Month (June 22-28); promote spotlights; social media challenge ("Show native plants. Us Your Pollinator Plants"). `Only Rain Down the Drain" posts; 4th of July 2026 Keep It Clean: Protect water quality July tie-in ("Keep Our Lakes Sparkling"). Lakes & Lawns through smart lawn care. Illicit discharge recognition. August Energy & Encourage smart cooling 2026 Efficiency and home energy use. Simple energy -saving graphics Fall Cleanup & Event posts and flyers; recycling reminders September Recycling promote Fall Cleanup event (hazardous waste, leaves, yard debris); pet 2026 Refresh and recycling best practices. waste reminder. Recap with cleanup stats. Educate residents on October sustainable leaf disposal, infographic on compost vs. yard waste; 2026 Fall & Leaf Care composting, and seasonal storm drain protection tips; newsletter yard care. feature on fall yard prep. Blue items are a part of the Storm Water Pollution Prevention Program (SWPPP) 164