Watertown City Council Prioritizes Employee Pay in 2027 Budget, Presses for 5th Avenue Repairs, Kampeska Update, Fruit Trees & Electric Cars

Northeast Radio SD News – Watertown, SD - The Watertown City Council wrapped up Monday night’s meeting with a wide-ranging discussion covering 2027 municipal budget priorities, oversight of the public works contractor along 5th Avenue, committee appointments for the water treatment plant, and surplus equipment at the Watertown Wellness Center.

City Manager Outlines 2027 Budget Focus and Fuel Procurement Challenges

City Manager Alan Stager gave council members an early look at the upcoming 2027 budget process, saying official budget ordinances will come before the council in November.

Stager emphasized that the city's primary operating investment will center on municipal employee compensation to address competitive hiring and retention challenges across Codington County.

"I really want to focus on the compensation of our team members within the city," Stager said. "We continue to see where we haven't been competitive with other sectors in the community. So that's the primary area of operating investment is back into our people."

Stager noted that while local sales tax trends remain strong, the city faces financial uncertainties from inflation, volatile fuel prices, and potential shifts in state and county property tax policy.

Highlighting fuel costs, Stager revealed that the city received zero bids for its annual fleet gasoline and diesel supply contract on the consent agenda.

"We did not get any responses this year, where typically we do," Stager said. "And so that allows us to open up the door to reach out to various fuel providers in the community and solicit some prices to negotiate."

Stager added that if local negotiations don't yield fair pricing, the city may use a state purchasing contract to secure diesel fuel for municipal operations.

In addition to budget updates, Stager appointed Councilman Jurrens to join Councilman Allen and Mayor Ried Holien on a special committee to review incoming developer proposals for the city's water treatment plant over the next two weeks.

Council Demands Accountability on 5th Avenue Reconstruction Punch List

Mayor Holien directed the discussion to ongoing finishing work on the 5th Avenue reconstruction project, following public comments earlier in the meeting regarding unreinforced replacement driveways and tire marks on newly poured sidewalks.

Stager acknowledged shared frustration regarding the general contractor's performance while urging a constructive approach to reach final project completion.

"I'm not happy with the general contractor. Many of you are not as well," Stager said. "But what we want right now is a successful completion of the project. And if we just bash and beat them up, they have little incentive to have a smooth close of the project."

City Engineer Justin Petersen told the council that crews are actively working through the final punch list and addressing remaining landowner concerns. Petersen confirmed the council could enforce power washing to remove tire tracks from sidewalks as part of the final punch list, though he noted track marks naturally wear off over time.

Debate over replacement driveways installed without rebar reinforcement. Petersen explained that the original project specifications did not require rebar, creating nuances in how contractors enforce it.

Councilman Heuer expressed concern over long-term durability for affected residents, asking whether the city could mandate warranty work or structural corrections. Councilman Schutte urged city staff not to let quality standards "slip through the cracks," suggesting concrete removal if necessary.

Councilman Jurrens noted that contractors can structurally tie new driveway sections into existing concrete.

"There is a way to tie that rebar in like Dan was saying," Councilman Jurrens said. "All they do is drill. They take a hammer drill, drill that size of the rebar in, put it in there, pour the concrete. So there is a way of tying in... What's going to happen is they're going to get sinkage. It's going to happen right where they report... Let's get it done right."

Surplus Wellness Center Bleachers Declared for Sale

Councilman Mohrmann addressed an item on the consent agenda declaring a set of bleachers at the Watertown Wellness Center as surplus property.

City Manager Alan Stager attended the recent Parks and Recreation meeting, where Director Brandsrud explained that the bleachers were originally purchased during initial facility planning, when the plan called for six basketball courts. When the layout was reduced to four courts due to budget constraints, the bleachers were never removed from the bid specifications, leaving them stored in a way that obstructs gym space when they aren't in use.

"Over the last year I've had people bring these bleachers up several times, and there's never a good reason for why we keep them," Stager said. "Right now we look at them as they're an obstacle, they're in the way, they're never used. So let's move forward in a different direction."

Council Reports: Lake Kampeska, Fleet Electrification, and Police Technology

During council member topic introductions, several officials shared updates on local projects and community initiatives:

·         Lake Kampeska Weed Management: Councilman Jurrens reported positive progress from a recent Lake Kampeska board meeting, noting that test work conducted by contractor Toby Lindner showed specialized weed-cutting equipment operates down to a depth of four and a half feet. Jurrens stated this depth clears boat channels for recreational use without destroying critical fish habitats. The Lake Kampeska Water District is preparing a full cost analysis for future board review.

·         Municipal Fleet and Park Planning: Councilman Heuer suggested exploring electric vehicles for localized municipal routes as older city vehicles are phased out to reduce operational costs. Heuer also proposed planting fruit-bearing trees or bushes in city parks to provide community amenities.

·         Law Enforcement Technology Forum: Councilman Allen commended Police Chief Toomey and Stager for organizing a public forum regarding automated license plate readers (LPRs) and police technology, praising the department's transparency with residents.