City staff presented a feasibility report for the 2026 Street and utility improvements and the Lake Elmo City Council on Aug. 25 approved a resolution to receive the report and call a public improvement hearing.

Mr. Stanley presented the report, saying the geotechnical investigation supports pavement reclaiming for the project area in Lake Elmo Heights and Eagle Creek Point Estates and proposing reconstruction with concrete curb and gutter, storm sewer replacement in identified locations and no proposed water‑main or sanitary sewer extensions. "Pretty good news, actually," Stanley said when summarizing the findings.

The current total project estimate presented to council is just under $2,400,000. Staff estimated the city would pay approximately $1,665,000 and $727,000 would be assessed to benefiting properties; the estimate is included in the 2026 capital improvement plan budget. Stanley told council that the neighborhood’s water main—installed about 20 years ago—was not proposed for replacement and that the project areas are outside the existing MUSA boundary with no sanitary extension proposed.

Council questions at the meeting focused on public outreach, assessment distribution and financing. Stanley said a neighborhood meeting was held (reported attendance: roughly 35–40 people) and described general support for the proposed curb and gutter. Council members asked staff to review financing language in the project documents and whether stormwater portions could use the stormwater utility fund; Councilman Jerry Sitch requested that stormwater improvements be funded from the stormwater utility fund where appropriate.

Council then moved and seconded a resolution (2025‑059) to receive the feasibility report and call a public improvement hearing; the motion carried without recorded opposition. The staff presentation indicated that, if council proceeds, staff will return in October with a formal public improvement hearing and to seek direction on moving the project forward.