New Richland council adopts water and sewer rate changes, appoints Brandy Jacobson to vacant seat

The New Richland City Council voted Aug. 26 to adopt Resolution 24-17, adjusting the city fee schedule to shift revenue from the water fund to the sewer enterprise fund and raise sewer-related charges to address an underfunded sewer account. The council also approved routine financial items and appointed Brandy Jacobson to a vacant council seat through the end of the year.

Council members heard that the sewer enterprise fund is currently running below target while the water fund is overfunded; staff framed the change as a modest reallocation that would increase sewer charges overall by about $0.50 per month for customers who pay only the base rate and by $0.50 per thousand gallons for higher usage brackets. The resolution was moved and adopted by voice vote.

During department reports the Care Center director told the council the facility had an average July census of about 38 residents, 43 referrals (20 accepted, 6 admitted, 23 declined) and that operations produced an approximate $40,000 profit in July. The director said staffing shortages and a shift toward younger referral demographics are creating placement challenges for the facility.

Public-works staff reported finding an old sewer pipe section full of water and recommended televising that section with contractor assistance from Bolton & Menk to locate inflow sources; staff also said recent sampling results are strong and that the plant is on track for the reporting year. Street-maintenance staff noted completed GPS work on curb stops funded through a lead-and-copper grant and flagged roughly 20 dead trees at the city lake that will need removal or contracting decisions.

On routine business the council reviewed and approved the July check register and financial statements after questions about some line items (retirement plaques, professional services and meter charges) and discussed that certain water-plant expenses are paid from the city budget and later reimbursed through ARA/ABDO accounting adjustments at year end. The council approved a small purchase of six new council chairs at a total listed cost of $373.92.

For the open council seat, members considered three applicants and then nominated and voted to appoint Brandy Jacobson to serve until the end of the year; council members noted that an appointee must stand for election in the next regular election if they wish to remain on the council. The council also tabled further discussion of a proposed 2025 council-pay policy that would convert per‑meeting pay into an annual salary-style payment to facilitate a change to one meeting per month if the council chose to do so.

City administration items included ongoing work on workers-compensation insurance, meetings with Bolton & Menk on the 2025 street-improvement project and outreach with county economic-development contacts. Staff said USDA grant documents would be submitted imminently and that an EDA representative had drafted an initial outsider overview of New Richland to identify opportunities for directing a $15,000 planning allocation related to a larger $115,000 EDA grant. The administrator also reported two open flood claims being processed through the League of Minnesota Cities and that staff will complete an ADA-focused self-evaluation required for a tornado-siren grant application.

The council did not receive public comment at the meeting. The council’s next procedural steps include coordination with Bolton & Menk on street project numbers, completing USDA grant paperwork, and the appointee preparing for the upcoming election cycle.