Lake Elmo City Council — Transcript
Monday, May 11, 2026
Story
Lake Elmo approves short-term rental rules after heated debate
Community Engagement Survey (Polco Contract)
Short-Term Rentals Ordinance
High Point Crossing Development
Landscape Revival Event
Votes (4)
Polco contract for community engagement subscription
Dissent: None
Moved by Councilmember Holtz [7:00] · Seconded by Councilmember Pregnus [7:00]
Staff requested authorization to move forward with Polco's community engagement platform, including their National Community Survey and Engage platform, to conduct a statistically sound survey for future park planning (76-acre site). Alec Weiss from Polco presented the survey's methodology, benchmarking capabilities, and engagement tools. Councilmembers discussed the importance of statistically significant data, the margin of error, and how the platform addresses concerns about non-resident participation or special interest group influence (e.g., IP tracking, optional PINs). The total cost for a 3-year term is $24,000.
Zoning text amendment, short-term rentals
Dissent: Councilmember Drazic [7:00], Councilmember Jagodzinski [7:00]
Moved by Councilmember [7:00] · Seconded by Councilmember [7:00]
Community Development Director Jason Stolpa provided an overview of the proposed ordinance, outlining definitions, licensing standards (including a 60-mile local manager radius, 20-unit cap, HOA opt-in, 3-year license, and building department inspections), and grounds for revocation/denial. Public and council discussion centered on concerns about corporate ownership, neighborhood character, public safety, and property rights. Key amendments debated included limiting STRs to rural districts (failed 1-3), reducing the manager radius from 60 to 30 miles (passed 3-1), adding a requirement for appropriate insurance (passed 4-0), and mandating annual maintenance inspections (passed 4-0). Mayor Hearn recused himself from this item due to a potential conflict of interest, but later made comments in favor of the policy. Councilmember Drazic and Jagodzinski voiced strong opposition to the ordinance, citing high resident opposition and inequity between HOA and non-HOA residents.
Motion to adopt resolution 2026-029 summary of publication of ordinance 2026-06
Dissent: Councilmember [7:00] (implied by vote)
Moved by Mayor [7:00] · Seconded by Councilmember Holtz [7:00]
Following the adoption of the short-term rental ordinance, a procedural motion was made to adopt a resolution summarizing the ordinance for publication, a standard practice to reduce printing costs. However, the motion failed to achieve the required four votes, meaning the full text of the ordinance would need to be published.
High Point Crossing preliminary plat, rezone request, and variance requests
Dissent: null
Moved by null · Seconded by null
Community Development Director Jason Stolpa presented the High Point Crossing development, comprising 18 single-family units on 78 acres, a revised plan from an earlier 65-unit proposal. The changes were prompted by issues with a community septic system. The new plan proposes individual septic systems and a rezone from Rural Residential to Residential Estate. Variances were requested for front yard setbacks, landscaping density (from 5 to 3 trees per disturbed acre), and a waiver for sidewalk requirements. The discussion on this item was still underway when the transcript ended.
Notable Quotes (9)
The most common use case most of the communities I mentioned, the way that we'll use this is sort of as like a a guidepost within either a comprehensive plan or a strategic planning process.
So, the national average for the random sample is 12%. I will say your So, Minnesota usually crushes that. Uh I was looking at some other communities that are closer. Uh it's usually closer to like 15 to 20 or even above.
I like this because we can customize questions and start to see, 'Well, what are the things that would seem like a good fit there? What are the things that are just dumb? No, not that.' And then maybe what are the things maybe, you know, maybe needs to be uh a bit more analysis on certain things. So I I support this. I prefer data and I really prefer good data.
I think that is the council is really important for us to remember that we're not trying to use this to say, 'Hey, we want to be necessarily like another city, but we know the direction that we want to go.' And this can help us make sure we're moving in that direction and make sure that the residents are are in favor of that as well.
I would like to urge the Lake Elmo City Council to deny resolution 2026-029, which deals with short-term rentals in the city. I feel this ordinance will not be beneficial to our city's residents.
This has helped our family pay the bills... It's also helped our property from becoming uh more developed houses, which I know are are neighbors appreciate. I think a lot of Lake Elmo residents appreciate.
I respectfully urge the council to focus on regulation rather than prohibition when it comes to short-term rentals. An outright ban might sound like a simple solution to some, but in practice it punishes responsible homeowners while doing little to address uh actual concerns being raised.
I think um you know, the information that calls, text message, discussion with people, um the emails were that I received were against this ordinance 10 to 1. The other thing I think we're missing here is by allowing it everywhere, those people who live in homeowners associations are shielded from this. And there's a large number of them in this city.
I don't think that it impacts affordable housing in the city of Lake Elmo. Um It it it doesn't seem like that that's an appropriate argument against it. Um as always, we have to you know, as a city and and government should look at and balance individual rights with the collective well-being and and I do think that we have put some the staff has put together along with comments from the planning commission and people in here tonight uh on this policy to to to try and balance that as best possible.
Ordinances & Resolutions (10)
Proposed resolution dealing with short-term rentals; public commenters urged its denial.
West Lakeland Township's short-term rental ordinance (enacted 2019), cited as a model by a public commenter.
Zoning text amendment for short-term rentals, adopted by the council with amendments.
Summary of publication of Ordinance 2026-06, failed to pass, resulting in full publication of the ordinance.
Polco's statistically valid survey used for community sentiment and benchmarking.
Polco's community engagement tool for polls and surveys.
An update completed 1.5 years prior, identifying a shortage of ball fields in Lake Elmo.
Guides land use for the High Point Crossing property as rural single family.
Formerly approved development plan for High Point Crossing with 65 residential units, later reconsidered.
Adopted into city code, used as basis for annual inspections of short-term rentals.