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ARDEN HILLS SPECIAL CITY COUNCIL — SEPTEMBER 29, 2025 5 Councilmember Weber indicated he was inclined to agree with this recommendation. He discussed how there was a projected shortfall in the PIR Fund and noted the Council needs to further investigate the extent of the shortfall. He stated he could support directing the excess franchise fees towards fire department expenditures for next year. However, this was just a band - aid unless the Council intended to direct the excess franchise fees to excess fire expenditures every year. He explained he supported the proposed PIR Fund increases in order to properly fund City projects in the future. Councilmember Monson stated it was her understanding it was not beneficial to use the $165,000 in excess franchise fees to pay down the bond until after year 10. She explained staff was proposing to transfer the excess franchise fees into the general fund in order to cover public safety personnel costs. Further discussion ensued regarding the impact of using the franchise fees for paying for fire expenses versus using these funds to pay down debt. Councilmember Weber commented he believed using the excess franchise fees for fire expenditures was in keeping with the Council's intentions for the franchise fees. He explained he preferred to set the preliminary levy higher, noting there was an opportunity to bring the levy down. Councilmember Weber excused himself from the meeting at 8:25 p.m. Mayor Grant indicated if the $165,000 in excess franchise fees were used this year, it would not cover the cost of increases in 2027. He stated in 15 years the franchise fee would expire and the levy would then have to increase or the City would have to renew the franchise fee. MOTION: Councilmember Monson moved and Councilmember Rousseau seconded a motion to adopt Resolution 2025-063 Setting the Preliminary Lew at 18.32% for Taxes Payable in 2026. Mayor Grant stated he supported the preliminary levy amount being set at 16.99%. A roll call vote was taken. The motion carried 2-1 (Mayor Grant opposed). MOTION: Councilmember Monson moved and Councilmember Rousseau seconded a motion to adopt Resolution 2025-064 Adopting Truth in Taxation Public Hearing Date for Proposed Taxes Payable in 2026 for December 8, 2025. The motion carried (3-0). MOTION: Councilmember Monson moved and Councilmember Rousseau seconded a motion to adopt Resolution 2025-065 Appropriating Funds to Pay Debt Service on the City's General Obligation Capital Improvement Plan Bonds, Series 2025A, and Authorizing Cancellation of the 2025 Debt Service Levy Related to Such Bonds. The motion carried (3-0). 7. COUNCIL COMMENTS