$50M approved for projects in 2026

$50M approved for projects in 2026
By Jake Spitzack | Staff Writer | March 2026

The South St. Paul City Council recently approved is Capital Improvement Plan, which earmarks more than $127 million for projects through 2030. Funding sources vary. Some projects will be entirely grant-supported and others will require Council approval before starting. The plan is reviewed and updated annually. More than $50 million is earmarked for 2026 alone, including:

• $2.7 million for phase 2 (of 3) of the Marie Avenue reconstruction
• $20.2 million for lead service line replacement
• $10.1 million to design and build the new central maintenance facility. Total cost for the two-year project is estimated at $26.9 million.
• $2.3 million for repair of the American Legion library building. The city has accepted a letter of intent from a developer seeking to purchase the property and redevelop it as an indoor play area.
• $8 million for the Northview Pool replacement
• $6.4 million for the Verderosa Avenue extension
• $300,000 for Lorraine Park playground replacement
• $280,000 for replacement of several HVAC units at Doug Woog Arena
• $35,000 for ballfield rehabilitation
• $30,000 to replace fencing at the Kaposia Landing Dog Park
• $25,000 for Summit Park improvements

Upcoming developments

• McNamara Contracting plans to acquire the city-owned central maintenance facility property at 400 Richmond St. E. The company operates Apple Valley Ready-Mix (AVR), a concrete ready-mix production facility, and plans to open another location here. A site plan and conditional use permits have been approved but further negotiations will likely happen before a purchase agreement is signed. The city is still waiting for the results of an environmental study
  of the site. Should the purchase go through, AVR plans to lease the property back to the city until construction of the city’s new public works (central maintenance) facility is completed in late 2027.
• Developer Jadian IOS plans to acquire the Bestway Inc. property at 1201 Concord St. S. and the adjacent Kamish Excavating property at 1301 Concord St. S. as well as build a new 7,225-square-foot office-warehouse on the 1201 property. The properties, which currently have three buildings, will be leased to Q3 Contracting, a utility contractor that works on natural gas, electricity and other utility projects. The city council recently approved the site plan, which calls for significant landscaping improvements. Following the purchase agreements, Q3 intends to begin operations on site as soon as April, with Jadian constructing the new facility and completing other improvements over the
  next 18 months. This development satisfies the city council’s desire to beautify Concord Street and increase the tax base, as identified in the 2024 South Concord Corridor Small Area Plan.

Pay raise for city council members
City staff are recommending an increase in monthly pay for city council members, from $725 to $875 – a 20% increase – and a similar raise for the mayor, from $1,025 to $1,200. State law allows governing bodies of charter cities to set salaries to any amount they deem reasonable. The increase would take effect next year. The last increase was nine years ago when the mayor’s compensation went up 20% and council members’ 32%. According to city documents, the current pay scale for South St. Paul is below that of similar-sized communities, roughly 8% lower for the mayor and 15% lower for council members.