Richfield accepts 2024 comprehensive financial report, approves contracts for Woodlake Nature Center exhibits

The Richfield City Council on Oct. 14 accepted the city’s annual comprehensive financial report for the year ended Dec. 31, 2024, after auditors reported an unmodified opinion and no material findings. The council also approved contracts with the Science Museum of Minnesota and Blue Rhino Studios—totaling approximately $709,158—to fabricate and install interpretive exhibits for the new Woodlake Nature Center building. Commissioners from two advisory bodies presented annual reports to the council earlier in the meeting.

The audit and contracts are significant: the audit provides independent assurance about the 2024 financial statements and internal controls, and the exhibit contracts advance the Woodlake Nature Center building project, a multiyear capital investment backed by prior council decisions and a local sales‑tax referendum.

Caroline Stutzman, partner involved in the audit, told the council the auditors obtained “reasonable assurance” and issued an “unmodified opinion,” the highest level of audit opinion. The report noted increased general‑fund revenues (up 8.8%) and expenditures (up 7.1%), resulting in an increase in general fund balance of approximately $541,000. The city’s unassigned general fund balance was 38.1% of 2024 expenditures, short of the council’s 40% target stated in the fund balance policy. Stutzman also said the auditors performed single‑audit testing for federal expenditures because the city spent more than $750,000 in federal funds; programs tested included Section 8 and the Coronavirus State and Local Fiscal Recovery Funds, and the auditors reported no findings related to those programs. The auditors also reported no Minnesota legal‑compliance findings.

The audit presentation included enterprise‑fund highlights: the liquor enterprise had near break‑even sales and an improved gross‑profit percentage; the water and sewer utility fund showed lower charges for services and an operating loss when including depreciation (covering depreciation at 83% for 2024 versus 100% in prior years); and the storm‑sewer fund posted operating income in a year with fewer projects. Finance staff and the auditor answered council questions about budget‑to‑actual results, the levy and tax‑capacity changes, and the interpretation of the fund‑balance policy.

On capital projects, the council authorized two separate contracts to deliver interpretive exhibits for the Woodlake Nature Center building. Bids were solicited and a single bid was received from a joint submittal by the Science Museum of Minnesota and Blue Rhino Studios. The two organizations will perform complementary work under matching contracts: the Science Museum contract totals $354,658 (phase‑split with phase 1 at $229,790) and Blue Rhino’s contract totals $354,500 (phase‑split with phase 1 at $312,500). Councilmembers praised the firms’ example work shown to the council and discussed design features described by staff, including interactive “snoops” (small interactive enclaves) and murals to engage visitors.

Earlier in the meeting, the Community Services Commission and the Sustainability Commission presented annual reports. Chair Tessa Johansen summarized the Community Services Commission’s work on parks capital planning, the pool and ice‑arena improvements, the new splash pad and the recreation fee assistance program (about $17,000 used by qualifying households in 2025). Amanda Keeper, chair of the Sustainability Commission, described outreach and education efforts, tabling at events, engagement with multi‑unit buildings on sustainability, rain‑garden promotion, and the commission’s involvement in updating backyard‑fowl regulations and tree protection conversations.

The council also proclaimed October 2025 as Indigenous Peoples’ Day in Richfield; Mayor Mary Supple presented the proclamation and Human Rights Commission members attended the presentation.

Ending: The council accepted the financial report by motion and vote, approved the two exhibit contracts and authorized the mayor and city manager to finalize them, and received the commissions’ reports. Staff said they will return with routine project updates for Woodlake and continue to monitor fund‑balance policy and capital funding plans.