Lake Elmo City Council — Transcript
Tuesday, July 7, 2026
Regional Trail Long Range Plan
2025 Annual Comprehensive Financial Report
Purchasing Policy Revisions
High Point Crossing Final Plat and Development Agreement
Mayor and Council Member Salaries
Engineering Services for South Water Treatment Plant
Storm Water Utility Code Review
Votes (5)
Approve Consent Agenda
Moved by Council Member Holtz [00:20:06] · Seconded by Council Member Kragnness [00:20:11]
The Consent Agenda, comprising multiple administrative and contractual items, was approved without discussion, as is standard practice. Items included payments, appointment of election judges, approval of a full-time firefighter hire, acceptance of a fire department donation, development agreement amendments for Lake Elmo Elementary and Oakland Middle School, a pay request for test well six, contract awards for 2026 crack sealer and striping projects, release of warranty security for Eerts Edition Drake Motor Parters LLC, and a cooperative agreement payment for Trunk Highway 36 Lake Elmo Avenue improvements.
Purchasing Policy Revisions
Dissent: Council Member Dragasich
Moved by Council Member Holtz [00:44:31] · Seconded by Council Member Hearn [00:44:48]
The council debated proposed revisions to the purchasing policy. A significant point of contention was the city administrator's authority to approve change orders up to $100,000, and the cumulative impact of such approvals on project budgets without direct council approval. Council Member Dragasich expressed strong concerns about transparency and the potential for large sums of public money to be spent administratively. Other council members, including Holtz and the Mayor, emphasized the need for administrative efficiency in construction projects, the reliance on professional engineering review, and that budget overruns would still require council review. The policy also clarified the process for departmental budget amendments.
High Point Crossing Final Plat
Moved by Council Member Hearn [01:05:07] · Seconded by Council Member Kragnes [01:05:37]
The final plat for High Point Crossing, an 18-unit rural residential subdivision, was reviewed. Staff confirmed its consistency with the previously approved preliminary plat and variances. Discussion included minor required revisions, wetland buffer signage, and a power line corridor easement. Council Member Hearn lauded the project as a positive and beautiful example of development for Lake Elmo.
High Point Crossing Development Agreement
Moved by Council Member Holtz [01:07:07] · Seconded by Council Member Kragnes [01:07:22]
Following the approval of the final plat, the council considered and approved the development agreement for High Point Crossing. This agreement, based on the city's standard template and drafted by the city attorney, outlines the specific terms and conditions for the project's execution.
Mayor and Council Member Salaries
Moved by Council Member Holtz [01:08:58] · Seconded by Council Member Hearn [01:09:12]
The council discussed the proposed ordinance to adjust mayor and council member salaries, which had not been updated in 13 years. The new ordinance includes an immediate increase and an annual cost of living adjustment for subsequent years, starting in 2028. Council members supported the change, highlighting its role in making elected positions more accessible to a wider range of citizens and preventing future infrequent, potentially 'awkward' salary discussions.
Notable Quotes (6)
I'm sorry. I just have a hard time saying an appointed official could approve up to a million dollars in change orders as long as any one doesn't exceed $100,000 and we have no input into it as elected official.
I care about process efficiency as much as the transparency standpoint. Um I don't I don't disagree again with the concept. It's about where do you draw the line and I think the line is appropriate here.
I think the encouragement is to just like hopefully most of us do with our budgets at home. We say I don't really need to spend that money even though I had it budgeted. I can tuck it away for a rainy day fund when my roof does need help and I can save that.
Uh just this is uh I think this has been my favorite development uh to provide the the final approval for here. Um but in in all seriousness uh thank you for the resilience working through this. I again this actually has been I think a really good process. It I think it uh was a believe it was the major driving force behind our op discussion.
I did some digging on that and, you know, give yourself a little pat on the back. a lot of the founding fathers kind of that was the reason that they, you know, looked for paying salaries uh for government in the first place. And I I think that's a very valid point.
Yeah. I think one of the things that I like the most out of this as well is the the cost of living adjustment included as well. So, we don't have to wait 13 years to have a quote unquote awkward discussion about how much we should be paid.
Ordinances & Resolutions (11)
High-level planning document for a future regional trail.
County Capital Improvement Program, mentioned in context of trail project programming.
Audit report detailing the city's financial results for the past year.
Policy governing city procurements and approvals, undergoing revisions.
Application for the final plat of the High Point Crossing rural residential subdivision.
Approving the final plat for High Point Crossing.
Approving the development agreement for High Point Crossing.
Setting the salaries of the mayor and council members, including a cost of living increase.
State statute providing guidance for municipalities to develop a storm water utility ordinance.
External reference cited in the stormwater utility review discussion.
City ordinance governing stormwater utility fees and maintenance, undergoing review.