HomeMy WebLinkAbout05(L) - Approve a Contract with Ehlers for Interim Assistant Finance Director Position Report
ITEM: 5L
CITY COUNCIL AGENDA REPORT
MEETING DATE: July 22, 2025
PREPARED BY: Jason Wedel, City Manager
PRESENTED BY: Jason Wedel
AGENDA ITEM: Approve a Contract with Ehlers for Interim Assistant Finance
Director Position
RECOMMENDED ACTION:
Approve a contract with Ehlers to provide interim Assistant Finance Director and general finance
support.
BACKGROUND:
Finance Director Cathy Erickson has provided notice to the City that she will be resigning from
her position effective August 29th. To replace Director Erickson's position we are promoting
Assistant Finance Director Nicole Klekner to be the interim Finance Director. To backfill Ms.
Klekner's position we are proposing to enter into a contract with Ehlers on an interim basis.
Attached is a proposal from Ehlers that outlines the services that they will provide. They have
identified Kelly Horn to be our representative. Ms. Horn is a former employee of the City of Prior
Lake and was the Assistant Finance Director from May 26, 2020 to January 7, 2022. As such,
she is very familiar with our staff and our accounting software. Ms. Horn will be on site at City Hall
two days per week (16 hours) and will provide an addition day (8 hours) off site for a total of three
days per week (24 hours). Ms. Horn's duties will include the following:
Internal controls and compliance
Financial operations management
Financial management and reporting
Budget development and oversight
Stakeholder collaboration
Grants and financial projects
Other accounting functions as requested
FINANCIAL IMPACT:
The proposed fee from Ehlers for providing these services is $255 per hour. The funding for this
contract will be offset by the salary and benefits savings currently budgeted for the Assistant
Finance Director and other open positions within the City.
ALTERNATIVES:
1. Motion and second as part of the consent agenda to approve a contract with Ehlers for
interim Assistant Finance Director position.
2. Motion and second to remove this item from the consent agenda for further discussion.
ATTACHMENTS:
1. Proposal from Ehlers
City of Prior Lake | 4646 Dakota Street SE | Prior Lake MN 55372
June 30, 2025
Jason Wedel, City Manager
City of Prior Lake
4646 Dakota Street SE
Prior Lake, MN 55372
RE: Interim Assistant Finance Director Proposal
Dear Jason,
Thank you for the opportunity to submit a proposal to provide interim Assistant Finance Director
support for the City of Prior Lake (the “City”). The purpose of this letter is to offer a proposed scope
of work as well as to identify anticipated costs. The proposal is predicated on completing the work
both on-site and remotely on a City-owned computer. The proposed services are intended to be
flexible and are designed to help the City meet its regular and annual accounting needs and respond
to transitions in personnel.
We feel confident the services outlined below will meet the immediate needs of the City and set-up
staff for success in managing the City’s financial operations. At Ehlers, we pride ourselves on helping
communities achieve their goals cost-effectively.
Scope of Work
Ehlers will provide temporary financial leadership to ensure the City’s fiscal integrity and efficiency.
The City provided a list of services needed which include but are not limited to:
Internal Controls & Compliance;
Financial Operations Management;
Financial Management and Reporting;
Budget Development and Oversight;
Stakeholder Collaboration;
Grants and Financial Projects; and
Other accounting functions, as requested.
Staffing
Kelly Horn will serve as interim Assistant Finance Director. Prior to her role as a Senior Fiscal
Consultant with Ehlers, Kelly most recently served as the City of Buffalo’s Finance Director. Kelly
has a decade of direct local government experience and previously served the City as Assistant
Finance Director, the City of Excelsior as Finance Director, and worked as an auditor, auditing
various Cities and Schools across the state of Minnesota. During her time with Ehlers, Kelly has
served as interim Finance Director for the City of Buffalo and City of Lino Lakes. Kelly’s experience
with the City and other interim staffing roles make a great option for the City to consider.
Terms and Cost
The engagement will begin on September 8, 2025, and will continue through March 31, 2026, if
needed. The City or Ehlers may terminate at any time. Support beyond March is an option and would
need to be mutually agreed upon by January 31, 2026. The City estimates the interim Assistant
Finance Director support work will take 24-32 hours per week; Ehlers proposes to provide up to 24
hours per week of support with a maximum of two days per week on-site. Additional hours needed
are subject to our availability and would be agreed upon in advance. Ehlers does not require a
minimum monthly payment and the City will be billed at the hourly rate of $255 for the support
requested and hours worked.
When travel to the City is scheduled, one-way travel will be billed. Invoices will be sent monthly
for the work performed in the prior month. The primary City contact for Ehlers related to
questions, work priorities, and resolving issues shall be Jason Wedel.
We strive to provide ongoing dialogue and idea-sharing, independent analysis, and a competitive,
value-oriented fee structure. Thank you for the opportunity to serve the City!
Sincerely,
Kelly Horn, CPA Kyle Sawyer, CPA
Senior Fiscal Consultant Director of Fiscal Consulting
Acceptance: ______________________________________ Date: ________________________