Lake Elmo City Council — Transcript

Tuesday, October 7, 2025

Story

Lake Elmo approves housing, park improvements, restaurant development

Friends of Sunfish Lake Park Recommendation Letter

RFP for Former Fire Station and Parks Building

Authorize Design Services for CASAW 14 Water Main Improvements

Votes (4)

Inwood Town Homes First Edition Final Plat and Easement Vacation along with Public Hearing

Approved

Dissent: Council Member Hearn voiced density concerns but ultimately voted in favor of the resolution.

Moved by Unknown [00:05:37] · Seconded by Unknown [00:05:38]

The presentation covered the history of the Inwood development, noting previous preliminary plat and PUD approvals. The focus was on the First Edition, consisting of 54 attached units, which aligns with high-density residential zoning. The request included vacating an existing drainage/utility easement and rededicating new ones, which staff supported as it cleans up property title work. Agency reviews provided standard comments and requested revisions, and the possibility of a crosswalk over Fifth Street to Ivywood Park was raised. The public hearing drew no formal comments.

Friends of Sunfish Lake Park Recommendation Letter

Motion passes

Moved by Unknown [00:08:44] · Seconded by Unknown [00:08:46]

The Assistant Public Works Director presented three proposals from Friends of Sunfish Lake Park for the 3M Priority 2 grant: buckthorn removal, a 300-foot boardwalk, and a fish advisory study. The council discussed concerns about the long-term maintenance of the boardwalk, with the applicant explaining that initial maintenance would be grant-funded for two years, after which the city would decide on continued maintenance. The design and construction of the boardwalk would follow an RFP process if the grant is awarded. Council members expressed strong support for the initiatives.

RFP, Former Fire Station and Parks Building

Motion passes

Moved by Council Member Jaguchich [00:23:01] · Seconded by Unknown [00:23:03]

Director Sto presented the EDA's recommendation for the Tap and Ladder Machete team to purchase and redevelop the former fire station and parks building. The proposal detailed plans for a tap house/restaurant and a Mexican restaurant, emphasizing preservation of historic character and community benefit. Council discussion focused on ensuring project completion through a purchase and development agreement with potential 'clawback' provisions, parking solutions (with the applicant confirming public access to their lot), and the need for staff to retain expert assistance for evaluating potential business subsidies or TIF funding. The applicants shared their experience with similar renovation projects.

Authorized Design Services for CASAW 14 Water Main Improvements

Motion is approved

Moved by Unknown [00:29:43] · Seconded by Unknown [00:29:46]

City Engineer Nathan Stanley detailed the urgent need to replace a failing 6-inch water main on CASAW 14, which has experienced seven breaks in six years. The proposed solution is to upsize to a 12-inch main, use directional drilling to minimize road disruption, and strategically locate it deeper within the roadway to prevent conflicts with future county road projects. Discussion confirmed that the project would be funded by restricted capital from the water enterprise fund, rather than incurring new debt, aligning with the fund's purpose for asset renewal.

Notable Quotes (12)

Uh the first addition is to include 54 attached units which is a density of 11.7 units per acre which is within that allowable HDR density range.

Miss Jensen [00:02:18]
Inwood Town Homes First Edition Final Plat and Easement Vacation along with Public Hearing

The applicant is proposing to vacate this easement and rededicate necessary easements within the final plat. Um staff finds this request consistent with preliminary plat approvals and it cleans up the title work for the applicant.

Miss Jensen [00:02:37]
Inwood Town Homes First Edition Final Plat and Easement Vacation along with Public Hearing

I know I brought it up at the uh the preliminary plat I I do have some concerns for the the density um that I brought up at that time. But from the preliminary to the final um everything appears to be the same. So that's why I'll be voting in favor.

Council Member Hearn [00:07:05]
Inwood Town Homes First Edition Final Plat and Easement Vacation along with Public Hearing

Again, the forestry one is to continue the buckthorn removal in Sunfish Lake. Uh the boardwalk is to prepare or create a 300 foot um boardwalk that would cross the be the northeast west side of Sunfish Lake. And then the fish advisor would be doing a study of the fish uh that are currently in there uh to see the rehab of any POS that do if they are contaminated with POS and um post those findings for the public.

Assistant Public Works Director Swanipole [00:05:54]
Friends of Sunfish Lake Park Recommendation Letter

The proposal asks for two years of maintenance after it's finished out of the contract that we get. And then the city would have to decide whether to keep maintaining.

Tony (Friends of Sunfish Lake Park) [00:07:37]
Friends of Sunfish Lake Park Recommendation Letter

I just want to thank Tony number one for taking the time to issue these and to ask the settlement team for it. Don't know if he'll get it or not, but there's there's a set amount of money and we know members of other communities are asking for dollars from the same fund. So, if we have a chance to add assets to the community because a member of our community stepped up, we are better for it.

Council Member Holtz [00:09:12]
Friends of Sunfish Lake Park Recommendation Letter

The fire station will be transformed into tap ladder, a selfport tap house and casual dining restaurant with approximately 150 seats... The parks building will become the second location of machete cosina Mexicanana... Known for its bu vibrant flavors, handcrafted tortillas and signature quesadota.

Director Sto [00:11:06]
RFP, Former Fire Station and Parks Building

I don't mean to speak so much, but um one thing I I would like the council to consider adding to this motion is as we move forward and we look at perhaps business subsidies and Tiff has mentioned in in this as a possibility and all those things that's going to require a lot of analysis um and expertise we don't have on staff and I think we should add a motion or add to this motion that authorizes staff to get that expertise they need.

Council Member Jaguchich [00:18:18]
RFP, Former Fire Station and Parks Building

So this is our third time that we would be doing this... we've uh kind of done projects all over. We've we have we have, you know, Machete and Woodbury. We also own all the Los restaurants. Uh Suburban Avenue is the one that uh was the first project that that they did and that was condemned by the city of St. Paul and it was going to be knocked down... and I'm not really like worried I guess or concerned. Um we've seen a lot of I think crazier things than what what we've seen here.

Julian Okampo (Machete) [00:22:04]
RFP, Former Fire Station and Parks Building

Um unfortunately it still is not in in the CIP and the and the the water mean has deteriorated to a state where we are um facing um [clears throat] it's it's it's reached the end of its natural life or its service life rather. Um there has been uh seven breaks in the last six years with five of those coming in the last three.

City Engineer Nathan Stanley [00:24:26]
Authorized Design Services for CASAW 14 Water Main Improvements

Um the existing main runs kind of along the southern edge of the right of way. Um the new main we'd like to push out into the roadway um and and maybe actually coordinate some extra depth so that um you know with any future improvements to the county road uh we're able to leave the main in place.

City Engineer Nathan Stanley [00:25:05]
Authorized Design Services for CASAW 14 Water Main Improvements

In our water and sewer fund, the whack and sack charges and the connection fees are restricted by council policy for either uh asset renewal and replacement or payment of debt service... So given the construction we've had in the last few years, I would guess that we have restricted funds sufficient to cover $800,000 $850,000.

Council Member Dragassich [00:28:45]
Authorized Design Services for CASAW 14 Water Main Improvements

Ordinances & Resolutions (21)

Ordinance updating park hours for pickle ballOrdinance

Approved on the consent agenda

Ordinance 2025-12Ordinance

City council approved this ordinance related to lot size, setbacks, impervious surface, public street frontage, and spacing flexibilities for Inwood Town Homes

Resolution 2025-066Resolution

Approved the easement vacation request by M&I Homes for Inwood Town Homes

Resolution 2025-067Resolution

Approved the final plat and final PUD for the Inwood Town Home Development

2040 Comp PlanPlan

City's comprehensive plan guiding the Inwood Town Homes property as high-density residential

PUDPlan

Planned Unit Development, a type of zoning approval for Inwood Town Homes

Final PlatPlan

Final approval document for the Inwood Town Homes subdivision

Preliminary PlatPlan

Initial approval document for the Inwood Town Homes subdivision (approved in 2014 and June this year)

EAWOther

Environmental Assessment Worksheet, included in the Inwood preliminary plat approval in 2014

CIPPlan

Capital Improvement Plan, specifically the county's plan which the CASAW 14 water main project is not currently included in

RFPOther

Request for Proposal, issued by the city for the former fire station and parks building

3M Priority 2 grantOther

Grant fund from 3M settlement for aquatic resources, wildlife habitat, fishing, and recreational opportunities

City Council letter of supportOther

Approved for Lake Elmo Association 3M priority 2 grant; also for Friends of Sunfish Lake Park's grant application

Purchase and Development AgreementOther

Proposed agreement to be negotiated for the sale of the former fire station and parks building

Business Subsidy PolicyPolicy

Policy the city may need to adopt if business subsidies are requested for the fire station project

TIFOther

Tax Increment Financing, a potential financial tool mentioned for the fire station project

Old Village PlanPlan

City plan providing guidance for downtown Lake Elmo development

Water access charge (WAC)Other

Restricted fund source for the water enterprise fund, used for asset renewal or debt service

Sewer access charge (SAC)Other

Restricted fund source for the water enterprise fund, used for asset renewal or debt service

City resolutionResolution

Resolution restricting the use of water and sewer fund charges for capital expenditures or debt service

Plans and SpecificationsOther

Design documents authorized for the CASAW 14 water main improvements

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