Orono council establishes Stubbs Bay Lake Improvement District after lengthy hearing

The Orono City Council on Monday evening accepted a certified petition and voted to establish the Stubbs Bay Lake Improvement District, a property‑owner taxed district created to provide multi‑year funding and governance for aquatic invasive species (AIS) control and lake vegetation management in Stubbs Bay.

Corena Casey, a Stubbs Bay resident who identified herself as the bay’s LMA bay captain, told the council the bay’s curly‑leaf pondweed and Eurasian watermilfoil have grown until the bay is “unhealthy and unusable” for recreation. Casey said the district — designed to include 68 parcels and operate under a Minnesota DNR‑approved Lake Vegetation Management Plan — would provide steady assessments and a democratic board to plan annual budgets (which she estimated could range from about $12,000 to $35,000) and implement monitoring, treatment and shoreline‑restoration work. “A LID provides a structure for reliable funding and the governance to take a long‑term coordinated approach to safely manage the health of the bay,” Casey said.

Dozens of residents spoke during the public hearing. Supporters, including veteran bay captains and members of the Lake Minnetonka Association, recounted long experience running volunteer fundraising programs and said LID status provided continuity and better oversight for bay‑wide treatments. “To successfully control AIS, we need consistent sustainable treatment,” said Steve Nielsen, vice chair of the Carmen Bay LID, describing his bay’s experience after a LID was formed there.

Opponents urged caution on taxation, liability and chemical use. Several residents asked for broader watershed or non‑chemical approaches, requested sediment testing, and cited studies and herbicide label warnings. “There are real questions about cost, environmental impact and who bears liability,” said Ed Rockwell, who spoke in opposition and warned the city could see similar petitions from other bays.

City staff and technical experts responded that the DNR had approved the proposed Stubbs Bay LVMP and boundaries and that lids operate under state rules and DNR review. Eric Evenson, director of the Lake Minnetonka Association, said the LMA is a volunteer coordinator and not a sustainable funding source: “The LMA can coordinate contractors and outreach, but we do not provide steady funding. Without a multi‑year funding mechanism, these programs run out of money and treatments stop.” Keegan Lund, an invasive species biologist with prior DNR experience, told the council multi‑year programs typically require three to five years for effective control and that a LID enables that time horizon.

Council discussion focused on the city’s role in authorizing a taxing district, the petition/referendum process, and limits on municipal exposure. Council members asked staff for clarification of Minnesota rules that state a LID carries primary responsibility for its actions and that, if a district fails or dissolves, responsibilities can fall back to the establishing government. Planning and legal staff said the city’s insurance trust had reviewed the issue and that lids must carry insurance and contract with licensed applicators.

Councilmember (speaker 3) moved three motions in sequence: to accept the certified petition for establishment; to adopt the resolution establishing the Stubbs Bay Lake Improvement District (listed in the record as Resolution 7,594); and to appoint an initial board of five directors. The council voted in favor of each motion. The council’s appointment (as read into the record) included Lee Haren, Corena Casey, Bruce Lee, Mark Johnson and Joe Gilbertson as the initial board; the board will hold its own annual meetings and set budgets and policies by vote of LID members.

Votes at a glance

• Motion to approve the 2025 Sanitary Sewer Rehabilitation project and to authorize Bolton & Menk for design and construction oversight for a fee not to exceed $12,800 — moved by Councilmember (speaker 3); carried unanimously.

• Resolution 7,589 — after‑the‑fact conditional use permit for 4745 North Shore Drive (CUP): council adopted the resolution with added vegetative screening requirements and an inspection deadline (inspection by August 1; applicant may request extension two weeks before deadline) — carried unanimously.

• Stubbs Bay LID: council accepted the certified petition (motion carried), approved Resolution 7,594 establishing the Stubbs Bay Lake Improvement District (motion carried), and appointed an initial five‑member board (motion carried).

Why it matters

Lake Minnetonka is a heavily used regional recreational resource and management of aquatic invasives affects shoreline property owners, public access and local ecology. Proponents argued the LID is the only practical mechanism to guarantee sustained, science‑based management; opponents warned of taxation, potential environmental effects from treatments and long‑term municipal exposures. The council’s actions move the Stubbs Bay LID into its next steps under Minnesota rules — including a referendum option available to affected property owners under the statute — and place responsibility for implementation with the LID board and its contractors.

What’s next

The newly appointed Stubbs Bay LID board will develop an annual budget, finalize contracts and begin monitoring and management under the DNR‑approved LVMP. The council record shows the city will receive annual reports and handle assessment certification and fund transfer for the district; technical details (timing of treatments, specific products or non‑chemical measures and sediment testing) will be determined by the LID and DNR permitting processes.

Attributions

Quotations in this story come directly from council and public‑comment testimony in the meeting record. Names and roles referenced here are taken from speakers’ self‑identification in the record or from functional roles introduced during the meeting.