Lake Elmo City Council — Transcript
Monday, December 8, 2025
Short-Term Rentals Policy
2026 Planning Commission Work Plan
Joint City Council and Planning Commission Workshop Preparation
Votes (5)
Approve Minutes of November 10, 2025 Meeting
Moved by Commissioner Ray Camp [1:00] · Seconded by Unknown [1:09]
A motion was made to approve the minutes from November 10, 2025, with an amendment regarding who called the meeting to order. Commissioner Ray Camp clarified that he called the meeting to order.
Approve Agenda of December 8, 2025 Meeting
Moved by Commissioner [1:26] · Seconded by Commissioner [1:31]
A motion was made and seconded to approve the agenda for the current meeting.
Short-Term Rentals Policy Discussion
Dissent: Commissioner Jane voiced strong opposition. Two commissioners supported allowing STRs, citing private property rights.
The commission held a workshop-style discussion on potentially allowing and regulating short-term rentals (STRs). Staff presented current prohibitions, Washington County's role, and how R1/R3 occupancy classifications impact requirements. Practices in Stillwater, Oak Park Heights, Woodbury, and Hugo were reviewed. Commissioners debated the demand for STRs in Lake Elmo, enforcement challenges given existing issues with fraudulent Bed & Breakfast permits, the impact on housing inventory and affordability (especially starter homes being purchased by investors), and the preservation of neighborhood character. Concerns were raised about nuisances, safety, and whether regulation should include zoning restrictions, conditional use permits, or limits on quantity. The majority opinion leaned against allowing STRs broadly due to these concerns.
2026 Planning Commission Work Plan
Moved by Unknown [44:31] · Seconded by Unknown [44:39]
Sophia presented the 2026 work plan, detailing accomplishments from 2025 and new initiatives for the upcoming year, including the 2050 Comp Plan process and land use applications for city properties. Commissioners inquired about the details of the Green Steps and Gold Leaf sustainability programs, requesting a formal presentation from staff. Concerns were also raised regarding a proposed $2 million ball complex on a 76-acre park and its appropriate location.
City Council Update
Staff provided an update on recent City Council activities, noting that RLS 132 (Creary platting) was pushed to a later meeting. Upcoming meeting dates for the Planning Commission and the joint workshop with the City Council were announced.
Notable Quotes (10)
I make a motion to approve the minutes with one amendment to those minutes and that would be I don't was it I was chair. Yeah, I would assume that you called the meeting. I haven't called the meeting with with one uh one amendment to the minutes is that um Commissioner Ray Camp uh called to order the meeting.
the city currently does not allow short-term rentals in any zoning districts.
if you're converting a house to an R1 from an R3 to R1, high cost improvements would likely be necessary for an existing single family home to meet the requirements.
I do not recommend allowing single um short-term rentals that are nonhomesteaded, non-owner occupied. in a single family home inventory.
We're in a housing shortage right now and so an investor is always going to be able to outbid a homeowner and so they're going to eat up our inventory and if city staff isn't able to handle the or coordinate with the bed and breakfast at this point, how will we manage short-term rentals?
If we're worried about resources on how to enforce it, well, then to me that makes it very simple. you were allowed zero because once you start so it's either zero or everything is allowed if you're worried about because I don't think you build a policy around whether people will follow the rules or not right you do it for is it the right thing for the community
I think we should in the sense of private property rights.
the green steps program is a five-step program for cities to promote sustainable initiatives.
I would ask staff that they do a formal presentation to us on each of these so we understand what we're committing to as a number two.
I'd like to learn a little bit more about this $2 million they spent on this 70ome acres between the two uh passive parks, the regional park reserve and Sunfish Park to put that big ball complex supposedly.
Ordinances & Resolutions (23)
Minutes from a previous meeting that required an amendment for approval.
Currently does not allow short-term rentals in any zoning districts; discussion centered on updating it.
Proposed mechanism to regulate short-term rentals if they are allowed.
Building code classification for residential structures with primarily permanent occupants, or transient lodging with five or fewer guest rooms and 10 or fewer occupants.
Building code classification for structures with primarily transient occupants (hotels, motels, more than 10 occupants); requires higher fire code and ADA accessibility standards.
Defines cutoff between R3 and R1 occupancy at less than six guest rooms.
Classifies R1 and R3 occupancies, impacting requirements for short-term rentals.
Mandatory for R1 occupancy structures.
Type of license discussed for regulating short-term rentals, currently handled by Washington County for lodging establishments.
Currently allowed in Lake Elmo with owner-occupied, single-family home, not exceeding five rooms, insurance, and a two-year permit.
Required for Stillwater's short-term rental licenses.
Referenced in the Bed and Breakfast permit application for conditions.
Reviewed for accomplishments, including the short-term rentals discussion.
Proposed plan outlining tasks and priorities for the upcoming year, recommended for approval.
Long-term city planning document; preparation for its process is a new item on the 2026 work plan.
Mentioned as an item on the 2025 work plan that did not require refinement due to no applications.
Annual item reviewed by the Planning Commission.
Topic of a City Council workshop, with updated mailing notice templates.
Sustainability program with five steps, Lake Elmo achieved steps four and five in 2025.
Sustainability program that follows Green Steps, Lake Elmo received two leaves in 2025.
Part of Green Steps, tracks energy efficiency in city operations.
Expiring agreements that require review, listed on the 2026 work plan.
Item on the City Council agenda that was pushed to a later meeting.