Lake Elmo City Council — Transcript

Tuesday, October 6, 2026

Fratalone Grading Permit Request

2027 Street Utility Improvements (Oacres Neighborhood)

2027 Collector Road Improvement

TIFF Resolution for Old School Site Redevelopment

Screton Property Agreement

Purchase of Ladder 1 Fire Truck Replacement

Third Quarter Goals Update

Votes (6)

Fratalone Grading Permit

4-0 Denied

Dissent: None explicitly recorded, motion passed unanimously among present members.

Moved by Unknown Council Member [00:53:11] · Seconded by Unknown Council Member [00:54:19]

The grading permit request from Fratalone Development faced significant opposition due to its large scale (60,000 cubic yards of fill) without an accompanying site development plan. Concerns were raised during a public hearing regarding increased traffic, noise, dust, the drastic change to existing topography, and potential conflict with the city's comprehensive plan phasing for the area (2030-2040). The applicant, Tony Fradlone, explained the intent to prepare the site for future development (e.g., walk-out homes) and improve water drainage with ponds, noting a permit from the Valley Branch Watershed District. Staff clarified that city code requires grading to support 'permitted uses' but acknowledged the risk of approving grading without a full development plan. The lack of a specific traffic analysis was also a key point of concern.

Approve Resolution Receiving Feasibility Report and Ordering Hearing on the Improvement for the 2027 Street Utility Improvements

4-0 Approved

Dissent: None

Moved by Unknown Council Member [01:07:34] · Seconded by Unknown Council Member [01:07:44]

Mr. Stanley presented the feasibility report for improvements in the Oacres neighborhood, highlighting that existing pavements support reclamation, streets are narrow and will be adjusted, and concrete curb and gutter will be installed. Limited storm sewer will address drainage problems. The project's cost of $2.9 million will include assessments of $9,800 per unit. Council members inquired about the Pavement Condition Index (PCI) of the roads, which were confirmed to be in poor condition (30 or below).

Approve Resolution Receiving Feasibility Report and Ordering Hearing on the Improvement for the 2027 Collector Road Improvement

3-1 Approved

Dissent: Council Member Jagusich

Moved by Unknown Council Member [01:14:40] · Seconded by Unknown Council Member [01:14:48]

Mr. Stanley provided an updated analysis on the proposed collector road improvements, including a review of assessment policies from neighboring cities (Stillwater, Oakdale, Woodbury) and past Lake Elmo projects. The project involves reclamation and minor ditch grading on 30-foot wide collector roads. The proposed assessment of $6,600 per unit (or $13,200 for two-unit properties) was a key discussion point, with Council Member Jagusich arguing against it as inequitable compared to higher assessments on similar residential streets. Other council members supported the lower assessment for collector roads, reasoning that residents on these roads bear a smaller fraction of the traffic burden.

TIFF Resolution 11030 Stillwater Boulevard North

4-0 Approved

Dissent: None

Moved by Unknown Council Member [01:21:04] · Seconded by Unknown Council Member [01:21:19]

Mr. Stoa presented a resolution to preserve the eligibility of the old school site for a Tax Increment Financing (TIF) district. This action is crucial for supporting a potential Traditional Neighborhood Development (TND) plan for the site, which aligns with previous council discussions. An LHB inspection confirmed the site meets TIF redevelopment criteria, allowing the city to preserve this option for up to three years from the impending demolition. The council confirmed their awareness of a forthcoming business subsidy policy, necessary to enable TIF implementation.

Screton Property Agreement

4-0 Approved

Dissent: None

Moved by Unknown Council Member [01:28:13] · Seconded by Unknown Council Member [01:28:20]

Mr. First presented the Screton Property Agreement, which addresses long-standing issues related to the non-standard design of Fifth Street North adjacent to the Screton grain silo operation. The agreement provides the Screton family with certainty regarding drainage, a future trail alignment, and maintains weight restrictions on Fifth Street North until 2040 or until their property redevelops. While the agreement extends non-standard infrastructure, it ensures the city retains its eminent domain authority and sets a future date for compliance. Council Member Jagusich confirmed that potential future costs for re-aligning infrastructure would be covered by a separate escrow agreement.

Purchase CIP Project F-012 Ladder 1 Replacement

4-0 Approved

Dissent: None

Moved by Unknown Council Member [01:33:43] · Seconded by Unknown Council Member [01:34:49]

The Fire Chief presented a request for formal approval to purchase a new 101-foot Rosenbauer ladder truck, citing the city's growth, specifically new multi-story developments, as a key driver for upgrading from the current 78-foot apparatus. The project was moved up in the CIP to 2029. The total cost is $1,915,000, with discounts available for early payments on the chassis and aerial sections. The current ladder truck is projected to sell for over $300,000. Council members supported the purchase as prudent for the city's evolving needs, and the finance director confirmed the cash flow strategy.

Notable Quotes (15)

The plan has to account for traffic to and from the site along with sediment control measures. They have to be in place. The plan needs to include a schedule of activities that limit the duration of off-site disruptions and impacts. and the plan shall be accompanied by security to in ensure restoration.

Fratalone Grading Permit

Our plan with here was to bring the site up to grade and uh to match more of what's across the street just to get it close because this is down in a hole. So when you drive up um Still Water Boulevard there, it it's going to look like it's in a hole. So my concept is always to make them look higher, right? Number one. And number two, to make the water drainage the way that we need to by putting the ponds on both ends also allows the water, it's actually less drainage out of the facility than there is currently with it all draining one way and towards the lake.

Fratalone Grading Permit

I oppose the rating permit at 10830 Stillwater Boulevard North. I was a little bit amazed that you've already gone for permits from Washington County when it hasn't even had the courtesy to go through this body. In my view, this is being insensitive and disrespectful to the residents of our community. To totally change the character of the existing landscape makes no sense.

Fratalone Grading Permit

I'm trying to get an understanding of So, what you're saying is the plans here are the site development plans because he says no permit will be granted without an approved site development plan. We don't currently have an approved site development plan for this. And to me, you know, a plan to fill in and and put, you know, add 60,000 yards to the site and grade it is not a site development plan. There's no development. We're just filling.

Fratalone Grading Permit

Um street width out there is is very narrow and tends to vary. Um, so when we're reconstructing these streets, we're going to try and match existing geometrics and widths as best as best as we can, uh, with minor grade adjustments, but we're also going to be kind of [clears throat] evening out the street width in spots where it does tend to vary.

Approve Resolution Receiving Feasibility Report and Ordering Hearing on the Improvement for the 2027 Street Utility Improvements

The PCIs are it would show up as red on the map. You know, these are all, you know, 30 or below with the exception of the streets that the mayor called out earlier that have been reconstructed recently.

Approve Resolution Receiving Feasibility Report and Ordering Hearing on the Improvement for the 2027 Street Utility Improvements

We, you know, the 30% um assessment for the project um we thought may be um a little out of scope for for what's being done out there. This is a quick look at the area. There's 10 lots.

Approve Resolution Receiving Feasibility Report and Ordering Hearing on the Improvement for the 2027 Collector Road Improvement

We have a 24ft street and we call it a collector, so we assess 9%. We have a 24 foot street residential and we assess 30%. Look those residents in the eye and say that's fair to you. I live on a residential street that's entirely the same as a street we call a collector that we're building and I get to pay 30% and they get to pay nine. To me, the difference should be the increased cost because it's a collector, but we don't have any of those.

Approve Resolution Receiving Feasibility Report and Ordering Hearing on the Improvement for the 2027 Collector Road Improvement

My response would be a person who lives on a collector road is responsible for a tiny fraction of the traffic that that road is built to handle. If you live in a neighborhood and most of our neighborhoods are closed off in that you're only driving that neighborhood if you live there or you're an Amazon delivery person. Um it's not a through road. It's not a collector road that's handling the higher.

Approve Resolution Receiving Feasibility Report and Ordering Hearing on the Improvement for the 2027 Collector Road Improvement

The statute allows us to conduct a tiff inspection prior to demolition and that would preserve the ability to create a tiff district up to three years from the date of the demolition. So the issue before the council is should the council approve the tiff resolution to preserve the site's eligibility for a future tiff district.

TIFF Resolution 11030 Stillwater Boulevard North

I I appreciate number one seeing things outlined such as the timeline and how this is being staggered very intentionally. Um, we're doing this openly. It is known. And to me, this is aligns overall with our two-year goal. One of the things that we had on there was to coordinate what this overall site looks like. And this is now walking the walk. So, it's taking staff time. I appreciate that and I understand that, but this is one of the things we asked for. So, thank you.

TIFF Resolution 11030 Stillwater Boulevard North

The drainage conveyance conveyance assurance um you know basically means that the city won't will do what it can reasonably to allow for that storm water to stay in place until 2040 or until the street and property is split, subdivided, etc. Same thing for the construction of a trail. And then um again to address the weight posting assurance that is also part of the terms of the agreement.

Screton Property Agreement

The city currently has the authority to use eminent domain. Um it it it doesn't really seem prudent to to change that. ... But the point is that the city has that authority now and likely shouldn't be giving that up.

Screton Property Agreement

Our current trucks at 78 ft. The new truck would be at 101 ft. Um, we need to have an apparatus that meets our needs and our our city's growth and what's coming our way. when we look at development and we talk about development um with the rowers project we're looking at our first you know market rate apartment building that will come online sometime next year those are big buildings and anything at three four stories is going to be a you know a concern of ours on how we operate in those buildings

Purchase CIP Project F-012 Ladder 1 Replacement

We anticipate this vehicle to be in in in our fleet and in our rotation for at least 25 years. I can definitely see this truck 15 to 20 years out having a kind of a midlife refurbishment if there's some upgrades or things that needed. Um, we can't do that one with the current now. I mean, if our truck, you know, I've said this before, if our current truck was 100 ft, whether it had a bucket on it or not, we wouldn't be having this conversation.

Purchase CIP Project F-012 Ladder 1 Replacement

Ordinances & Resolutions (21)

Lake Elmo City CodeOrdinance

Requires city council review for grading projects exceeding 400 cubic yards per acre and outlines criteria for review.

Ordinance 11G for G11Ordinance

Specific section of city code cited regarding traffic analysis for permits.

Resolution 2026-070Resolution

Resolution for receiving feasibility report and ordering hearing for 2027 Street Utility Improvements.

Resolution 2026-064Resolution

Resolution for receiving feasibility report and ordering hearing for 2027 Collector Road Improvement.

Resolution 2026-071Resolution

Resolution approving findings in TIFF inspection report and entering into demolition agreement with the school district.

Resolution 2026-068Resolution

Resolution approving the Screton Property Agreement.

Grading PermitPermit

Permit type requested by Fratalone Development and the school district for site alterations.

Comprehensive PlanPlan

City document guiding development, cited regarding the 2030-2040 phasing for the Fratalone site and as a guiding document for the old school/Fury Motors redevelopment.

Site Development PlanPlan

Document required by city code for permits, cited as missing for Fratalone grading permit.

Traffic AnalysisPlan

Required component of permits per city code, cited as missing for Fratalone grading permit.

Feasibility ReportReport

Report detailing the viability and recommendations for the 2027 Street Utility and Collector Road Improvement projects.

Geotechnical ReportReport

Report assessing soil and subgrade conditions for the 2027 Street Utility and Collector Road Improvement projects.

LMCIT Waiver FormOther

Document for municipal liability insurance.

Cooperative Agreement Payment number two for Trunk Highway 36 Lake Elmo Avenue improvementsOther

Payment for a cooperative agreement related to highway improvements.

LHB TIFF Inspection ReportReport

Report confirming the old school site meets TIF redevelopment criteria.

Business Subsidy PolicyPolicy

Policy being drafted to allow the city to offer business subsidies, necessary for TIF implementation.

Screton Property AgreementAgreement

Legal document outlining terms for property use and city infrastructure near the Screton site.

CIP Project F-012 ladder 1 replacementPlan

Capital Improvement Plan project for replacing the fire department's ladder truck.

Sourcewell Cooperative Purchasing ProgramProgram

Purchasing program used for large apparatus acquisition.

Strategic Financial PlanPlan

City's financial planning document, first iteration adopted.

10-year Capital Improvement PlanPlan

Long-term planning document for city infrastructure projects.

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