Mitchell council approves wastewater construction services, lake design work and airport hangar grant; zoning change cleared for first reading

Mitchell — The Mitchell City Council on Monday approved a series of agreements and permits, including an amendment to construction-phase services for the South Wastewater Treatment Plant, design and permitting work on a planned lake drawdown and dredging project, and a state grant-linked agreement for a revenue-producing airport hangar.

The council voted to approve Amendment No. 1 to the HDR Engineering agreement for South plant construction-phase services on an hourly, not-to-exceed basis totaling $1,448,000. City staff described the amendment as covering project management, construction administration and development of an operations manual for the wastewater plant improvements.

"City staff does recommend city council approval," City staff member (presenting) said when introducing the HDR amendment. Councilmember Smith moved the measure; Goldhammer seconded, and the motion carried on a voice vote.

Council also approved Work Order No. 3 with Barr Engineering for final design and bidding of the lake drawdown and dredge project and related permitting work, an hourly contract not-to-exceed $798,500. Barr’s work order will finalize plans, shore assessments and permitting; it does not include construction-phase services.

"We do not have our permits yet," a staff member stated in response to a council question about downstream permitting, adding that permit applications had been submitted or would be submitted shortly and that Barr had been in contact with the U.S. Army Corps of Engineers. The staff member said project costs would be charged against contingency funds.

On aviation, the council approved a financial assistance agreement with the South Dakota Department of Transportation for an airport infrastructure grant to build a revenue-producing hangar. The stated project cost on the agenda was $1,070,650, with an indicated 95% state share and 5% city share.

The council approved a short acknowledgment agreement requested by the South Dakota Housing Development Authority related to Tax Increment District No. 36; staff said the acknowledgment does not change the city’s treatment of increment under the existing project plan and developer agreement.

In land-use actions, the council, sitting as the board of adjustment, unanimously approved a variance request from James Bauer for a rear-yard setback reduction (requested 14 feet versus the 25-foot requirement) for an attached garage at 700 West Norway Avenue. The council also approved a variance for Mitchell Telecom for a front-yard setback for a standalone equipment building at 1524 Commerce Street; planning staff noted the building already exists on the site.

The council approved a special-event permit for an event on Aug. 9 at Corn Palace Plaza, and adopted Resolution R2025-58 to give an honorific name to city land in memory of former Mayor Lou Siebert.

On land-use policy, the council held the first reading of Ordinance O2025-10 to amend zoning code Title 10 to make alcohol sales a conditional use in neighborhood shopping districts. Planning staff said the change would require conditional-use notices to neighbors and a planning commission recommendation before any liquor-license step could be taken. The ordinance is at first reading; no final passage was recorded.

The meeting concluded with a motion to go into executive session under SDCL 1-3-5-2 for personnel and legal matters; the council voted to enter executive session and stated there would be no action following the session.

Votes at a glance (as recorded during the meeting): - Consent agenda: motion by Goldhammer, second by (as announced) Turks; motion carried (voice vote roll call recorded ayes across council). - Board of adjustment recess/adjourn motions and variances: motions carried (unanimous voice votes). - HDR Amendment (A2022-51, Amendment No. 1): motion moved by Smith; second Goldhammer; outcome: approved. - Airport financial assistance agreement (A2025-46): moved by McCardell; second Goldhammer; outcome: approved. - SDHDA acknowledgement (A2025-47) for TID #36: moved by Savers; second Goldhammer; outcome: approved. - Barr Engineering Work Order No. 3 (A2025-48): moved by Schrader; second (as announced) Becky; outcome: approved. - Resolution R2025-58 (honorific naming): moved by Bertil; second Savers; outcome: approved. - Ordinance O2025-10 (first reading): moved by Goldhammer; second Smith; outcome: first reading held; further steps required for final passage. - Executive session under SDCL 1-3-5-2: motion by Goldhammer; second Barrington; outcome: approved; no action afterward.

The meeting record shows council members asked staff questions about permitting timelines, contingency funding and the sequence of the wastewater projects; staff said the South plant work was timed to follow completion of the North Wastewater Treatment Plant and that SRF funding was aligned with the project.