Tom Olinger of Abdo, above, was present at the latest Wells City Council meeting to present the annual audit report to the council members.

The annual audit report was one of the main items on the agenda when the Wells City Council held their regular meeting on Aug. 24.

“It was a clean audit,” Tom Olinger of Abdo told the council. “The city was in compliance with all state statutes.”

Olinger pointed out that Wells, like many small cities, has limited segregation of duties and that the city has multiple bank accounts for deposits and checks.

“What that means is that council oversight is very important,” Olinger commented. “And you, as a council, have been very good at that through monthly council reports and monitoring. Also, steps have been taken to reduce the number of bank accounts.”

Olinger did say that the city has seen tax increases, but that has also been common for most cities.

He also mentioned that while liquor store profits were down, it still made money and that the theater continues to lose money.

The council also considered a request from the Wells EDA (Economic Development Authority) and the Wells HRA (Housing and Redevelopment Authority) to approve partnering with Minnesota Valley Action Council (MVAC) to prepare a Small Cities Development Program grant application on behalf of the city of Wells.

Judd Schultz of MVAC explained the process.

“The city had to be the one to apply even though the HRA and EDA will cover the costs of the application,” Schultz said. “The city has to act as the fiscal agent.”

As for the grant itself, Schultz told the council if it was approved, the grant could bring up to $1.2 million to the city.

“If the grant is awarded, MVAC would also serve as the grant administrator, providing grant management and ensuring compliance with all requirements throughout the project,” Schultz commented. “The grant can be used for housing rehabilitation and downtown businesses can also make use of the grant.”

Commercial rehabilitation can include fixing up downtown facades, correcting code violations and resolving health and safety issues.

The council unanimously approved the request to apply for the grant.

Also at the meeting was Lutheran Social Services representative Chrissy Elton, who is the area director of the Lutheran Social Service Meals.

“We would like to restart our program of congregate dining at the Wells Community Center,” Elton said. “So we would like to get a site use agreement in place so we can do that.”

Through discussion it was learned that the congregate dining program had been in use but that COVID had put a stop to the program.

“There has been a funding realignment in the meals program,” Elton said. “There are more funds available for congregate dining than there are for in-home dining.”

Elton told the council that Lutheran Social Services began their meal program back in 1973.

She was joined by Peggy Becker, who would help run the program is Wells.

“The main mission of the program is to get people to dine together,” Becker stated. “We want people to be more sociable and get them out of the house.”

The council passed a site use agreement calling for Lutheran Social Sevices Meals Program to pay an annual cost of $600 for use of the Wells Community Center. The agreement can be canceled by either party with 30 days notice in writing.

A discussion was also held on the 2027 budget.

City administrator Tiffany Schrader asked the council for direction regarding their priorities for the upcoming year.

“The shelter at Half-Moon Park, the theater and the Scout House are all things we should talk about,” council member Crystal Dulas said.

The topic of roof repair on City Hall was also talked about.

“When it comes to the theater and what to do with City Hall – it is a topic we are going to have to deal with,” Schrader remarked. “It won’t be an easy topic but we are going to have to deal with it.”

The council decided to hold a budget work session at 4 p.m. on Sept. 14, before their regular meeting which begins at 5 p.m.

In his report to the council, police chief Tim Brenegan told council members that the abatement process would be started on four fire-damaged properties.

“Those properties are currently vacant,” Brenegan said. “We are working with our city attorney on the abatement process.”

Public Works director Adam Schroeder reported that the seal coating had been completed and that the final cost came in $1,800 less than expected.

“Stage one, phase one of the Highway 22/109 project is officially done and Highway 109 has been reopened on the west edge of town,” city engineer Ben Rosol said. “They are now focusing on underground work on Highway 109 from Third to Sixth Avenue. Conversations are being held on what is feasible for being completed yet this year.”

During the public comment portion of the meeting, resident Lori Knutson stated she is still having a big problem with stray cats.

“There are at least 25 new kittens near my house compared to last year,” Knutson commented. “I can’t even go in my back yard. It smells like a big litter box.”

Schrader told Knutson the city has been in contact with a company who will address the issue by capturing, spaying and neutering the cats.

“We are waiting for them to get back to us,” Schrader said.

In other business:

• The council accepted the resignation of Izaiah Arther John Redig Laehn as a part-time liquor store clerk.

• The council accepted the resignation of part-time theater clerk Ezra Roloff.

• A public hearing was set for 5 p.m. on Sept. 14 at the next regular council meeting to consider a housing tax abatement request for proposed new housing construction.

• A resolution was passed by the council asking the 2027 Minnesota State Legislature to enact a permanent state revenue sharing fund for deputy registrars, sourced with 50 percent of the existing filing fee revenue captured by the Department of Public Safety from their online and mail-in transactions to be disbursed quarterly among all deputy offices in Minnesota.