Sept. 14, 2026 Shorewood Council Meeting 5 Minute Recap

Shorewood City Council Meeting Summary

NOTE: Relevant links are at the end of this article

Worth knowing from Monday’s Shorewood City Council meeting:

Attending: Council–DiGruttolo, Gorham, Sanschagrin, Labadie, Maddy
Staff–Nevinski, Morreim, Schmuck, Griffiths, (not attending) Thone

Agenda item 2: Claims List

Expenditures of interest:

Shadywood Tree Removal $40,346
Xcel Energy $28,266
Bolton & Menk $ 25,060
Primary Election Payroll $12,516

Total all expenditures this period: $608,326

Agenda Amendment

• DiGruttolo asked to retitle item 5A(i) from a bare parcel number to “Gravity Investment LLC lot combination near Watten Ponds” — approved.

Consent Agenda — Claims List Question

• A councilmember asked about $28,000 in Xcel Energy charges across several properties, noting the cost seems to be rising, and asked what’s driving it and whether it can be managed.
• Staff explained Xcel covers electric/gas for well pumping; costs peak in drought/hot months (averaging ~$14-15K/month across the year) and are funded through the utility fund, not taxpayer dollars. Staff confirmed the average is creeping up roughly $1,000/year.

_________________

Shorewood Community Event Center (SCEC) Operational Analysis

The contracted consultant ISG presented its SCEC study covering staffing, finances, usage and market position. Top recommendations made were as follows:

• Add 0.5 full time employee (FTE) to replace outgoing senior-partner volunteers;
• Invest in marketing and search engine optimization (the #1 gap flagged by a user survey);
• Recruit more recurring rentals into open time slots;
• Diversify programming beyond senior-heavy mornings;
• Phase in kitchen/activity-room updates; and
• A 5% fee hike and non-resident surcharge.

Some of the questions from the city council:

• Does “flexible” match the facility’s size limits?
  ISG response: Flexible in use-type, but capacity is constrained due to size.
• Can the SCEC achieve 70% cost recovery?
  ISG response: No, 50-60% is more realistic.
• Can a 0.5 FTE really replace approximately 20 volunteers?
  ISG response: Uncertain, the presenter cautioned the council to expect some service decline during the transition from volunteers to staff.
• Survey data (70 respondents): Expanded programming and events was responders #1 requested improvement. This ranked above every physical upgrade (restrooms, finishes and equipment).
• The subsidy is structural: 2025 ran 50% cost recovery ($87K revenue vs. $174K expenses). Even ISG’s most aggressive staffing scenario only reaches approximately 56% by 2030. ISG said 70% isn’t achievable for a facility with limited physical size, regardless of staffing choice.

The Council unanimously voted to accept the analysis with the caveat that there will be future discussions to finesse a well-rounded implementation plan.
__________________________________________

2027 Preliminary Budget & Tax Levy

The 2027 property tax levy for Shorewood will be an 8.31% levy increase (down from 12.14%, the early estimate). The public Truth in Taxation hearing will be Dec. 14.

Council members brought up some unfinished business.

• Uninterruptible Power Supply (UPS) backup is a device needed by the police department provides instant emergency power to electronic equipment when the main power source fails. $150,000 is in the budget although the SLMP said the cost may be as much as 50% less. Staff resisted, saying the equipment still has to be purchased regardless; the levy can be lowered later once costs are finalized, not preemptively.
• Councilmember Sanschagrin returned to an earlier proposal using $177K (would bring the 2027 property tax levy down from 8.31 to 6.31 in water-tower antenna revenue to cover the SCEC funding shortfall instead of sending it to the water fund. Staff pushed back. Schmuck and Nevinski argued the revenue is tied to water-fund costs. Redirecting the money would unfairly shift the burden onto the 50% of residents on city water, and once diverted it likely wouldn’t be restored. Reduce taxes by 2%
• DiGruttolo asked Schmuck for an early preview of fund-balance changes in the upcoming Financial Management Plan to be complete in October. Until that time, the 2027 budget will be based on 2024 audited actual balances. Schmuck was firm that no numbers are available yet, because she’s been short-staffed, “doing two jobs for a year and a half.” Council does not know the 2025 final figures.
• The vote on the 2027 property tax levy was not unanimous and passed 3-2. The antenna revenue and lack of any 2025 information appeared to be at least two of the sticking points that caused DiGruttolo and Sanschagrin to vote against approval.

Watten Ponds-Adjacent Lot Combination (Report Only)

Gravity Investment LLC, currently suing the city over the adjacent Watten Ponds EAW decision, is combining two small lots just north of that project into one buildable parcel.

The larger of the two lots is currently independently buildable with Clara Avenue, an unimproved right-of-way as access off Eureka Road north, as access. Three other property owners already use Clara as primary access. Griffiths noted this isn’t an ideal access point, and it’s also not what the property owner wants.

Instead, Gravity granted itself a private easement through its own adjoining Birch Bluff Road property, routing driveway and utility access north to Birch Bluff Road and avoiding Clara Avenue/Eureka Road entirely. This would create a shared-driveway arrangement permitted by city code and mirroring existing homes in the area.

Griffiths said the item was placed on this meeting agenda due to public interest, although DiGruttolo pointed out at the outset of the meeting provided no clues as to the actual subject matter and encouraged better transparency in the future.

City Attorney Shepherd advised that the council’s Environmental Assessment Worksheet resolution covers only the two original Watten Ponds lots. Litigation doesn’t affect this lot. He said the city must stay neutral and follow normal process.

___________________

Other Items

• Galpin Lake Trail: A $447,572 grant was awarded and applied toward the $582K project. Since letting the project, costs have risen to $134,428 for engineering after poor soil forced a redesign. Base work should be completed by Thanksgiving and paved by June 18.
• Street Sign Sale: The council approved selling-repurposing retired street signs to the public, $20 each, as-is. Public Works Director Morreim needs to develop restrictions on use before the sale begins.

Sources:

City council meeting packet/background
Watch the meeting here
Read more about Gravity Investments-Watten Ponds