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ARDEN HILLS CITY COUNCIL—APRIL 13, 2026 6 Councilmember Holden indicated it was implied that she doesn't think this is important but that she thinks this is a very important program. She simply wanted residents to understand the timeline for mowing, because it is important that people know that compliance may not happen until the end of June. People that called her weren't concerned with the program, they were just concerned with their neighbor mowing their lawn. She hasn't heard of anyone against the program. She wanted people to understand the process. Councilmember Rousseau recommended this item move forward. Mayor Grant stated for those new to Arden Hills, this may be a new program, but this was a program the City has been following for quite some time. He believed it was important to acknowledge why the City was following this program and why grass may not be mowed very often in May. MOTION: Councilmember Holden moved and Councilmember Rousseau seconded a motion to adopt Resolution 2026-016, Relating to Mow Less May for Arden Hills Residents and Businesses. The motion carried (5-0). 10. PUBLIC HEARINGS A. 2026 PMP Street and Utility Improvements Project Draft Special Assessment Roll Brad Fisher, Bolton & Menk, stated on February 9, 2026, the City Council adopted Resolution 2026-006 Approving the Plans and Specifications and Ordering the Advertisement for Bids for the 2026 PMP Street & Utility Improvement Project, which includes the Arden Manor Park Hardcourt Improvements and the Arden Oaks Park ADA Improvements. Bids were solicited and opened on March 4, 2026. A portion of the costs for the 2026 PMP Street & Utility Improvement Project is proposed to be assessed against the benefitting properties according to the City's Assessment Policy. In order to assess these costs, the City must follow the process outlined in State Statute 429. On March 9, 2026, after the bids were opened, the City Council adopted Resolution 2026-010 Declaring Costs to be Assessed and set today as the date for the assessment hearing. A public hearing prior to adopting the assessments is a requirement of State Statute 429. Mr. Fisher explained the project is proposed to be assessed consistent with the City's Assessment Policy and past practices, which states that 50% of the costs for roadway improvements will be assessed in residential areas, 70% in industrial areas, and the remaining portion financed by City funds. The current assessment policy states that the typical overhead rate for a public improvement project is 37% of the construction costs. Staff believes this percentage is higher than necessary and recommends that approximately 27% of the construction costs be used as overhead when calculating the assessment rates. Staff has made this recommendation on the past PMPs since 2021. The Council must establish the interest rate at tonight's Council Meeting. Many cities set their interest rate for assessments at two (2) percentage points over the bond interest rate. The City's assessment policy states that the interest rate used for the assessment shall be designated at the prime rate plus two (2) percentage points. For the past four PMPs, the assessment interest rates were set at two (2) percentage points over the assumed bond interest rates, which were based on current market conditions at the time, the City's AAA bond rating, plus 15 basis points.