05-05-26 City Council Meeting Minutes

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Councilmember Dragisich requested removal of items 2, 3 and from the consent agenda. Motion to approve the Consent Agenda as amended passed 5 - 0. REGULAR AGENDA ITEM 1: Polco Contract for Community Engagement Subscription City Administrator Miller reported that staff is proposing use of Polco for community surveys. Alec Vice, Polco Director of Account Management, presented services provided by Polco. Discussion was held regarding features and capabilities of the survey platform and limiting responses to only Lake Elmo residents. Councilmember Holtz, seconded by Councilmember Kragness, moved to approve the received quote and scope of service from Polco. Motion passed 5 — 0. ITEM 2: Zoning Text Amendment — Short Term Rentals Councilmember Him recused himself and stepped away from the council dais due to a conflict of interest based on his family's ownership of a rental property. Community Development Director reviewed the need for updates to the short term rental ordinance and reviewed processes in place in similar communities. Director Stopa also reviewed current bed and breakfast licenses issued in Lake Elmo. Discussion was held concerning possible restrictions, lodging tax and enforcement. Councilmember Holtz, seconded by Councilmember Kragness, moved to adopt Ordinance 2026-06 approving the proposed text amendments and fee schedule updates for short-term rentals as presented by Staff. Councilmember Dragisich, seconded by Mayor Cadenhead, moved to amend the motion to restrict short term rentals to the following zoning districts: RT, A, RR, RS, RE and commercial mixed use business park. Motion failed 1— 3. (Cadenhead, Holtz, Kragness — nay) Mayor Cadenhead, seconded by Councilmember Holtz, moved to amend the primary motion to enforce the policy that the manager or ownership needs to be within 30 miles of the property to be licensed. Motion passed 3 —1. (Dragisich — nay) Page317