City Council Study Session 9/14/2026

The City Council of Rochester, MN held a study session on September 14, 2026, focusing primarily on the 2027 supplemental recommended operating budget, payment card processing fee analysis, and the 2026 midyear action plan. Key procurement-related discussions included a proposed 5.59% tax levy increase with considerations to reduce it to 5.21% by adjusting contingency funds, and a $100,000 funding request for the Any Path Home homelessness initiative, with debate on whether to fund it through tax levy or state aid. The council also discussed opportunities for shared services and organizational efficiencies, particularly related to the ERP project expected to be fully implemented by the end of 2027. Additionally, the council reviewed payment card processing complexities, including multiple merchant IDs and varying fees, and considered adopting a policy to pass processing fees to users, with attention to customer convenience and fee transparency. The midyear action plan update highlighted ongoing capital projects, economic development strategies, housing access, and transit improvements, including a $38 million infrastructure investment and a $42.8 million maintenance center. Future study sessions were previewed, including housing access updates and transportation demand management.