The council discussed the issue of utility rate deficits, with attention on the water and stormwater funds, which are currently facing a $5.3 million and $2 million deficit, respectively. The council explored measures to address these financial challenges, emphasizing the need for immediate action to prevent exacerbating the deficits. A member highlighted the urgency by projecting a potential deficit of over $10 million by 2029 if changes are not implemented. The council revisited past decisions that had contributed to the current financial state, such as maintaining flat water rates from 2018 to 2022 and reducing stormwater rates significantly. A proposed tiered rate system was introduced to promote water conservation and ensure fair billing across different user categories. This system aims to adjust charges based on individual usage, encouraging residents to reduce water consumption to lower their bills. The council also acknowledged the need to rectify past billing discrepancies, particularly concerning duplexes and multifamily units, which had been improperly charged for over a decade.

In addition to utility rate discussions, the council reviewed proposed zoning amendments for accessory dwelling units (ADUs). The Planning Commission’s recommendations included limiting ADUs to lots with single-family dwellings and capping their size at 800 square feet or the footprint of the primary dwelling, whichever is smaller. These regulations aim to ensure that ADUs remain proportionate to the main structure and adhere to existing setback standards. Additional requirements include an owner-occupancy condition, a single additional off-street parking space, and no separate utility connections for ADUs.

The meeting also addressed amendments to the city code concerning solar energy systems and electric vehicle charging infrastructure. The council reviewed definitions and regulations for solar installations, permitting them in all districts with certain restrictions on ground-mounted systems. The focus was on ensuring that obsolete systems are removed to maintain the aesthetic and functional integrity of properties. The EV charging infrastructure amendments included standards for installation across residential and commercial districts, emphasizing compliance with building codes and ADA requirements.

Infrastructure improvements were another key topic, with updates on the 2025 Street Reconstruction and Mill and Overlay projects. The council authorized studies on streets requiring reconstruction, focusing on maintaining pavement longevity and addressing existing curb and sidewalk conditions. A separate discussion on the 2025 Lift Station Project highlighted plans to relocate a lift station to optimize construction efficiency and reduce costs.

The council also engaged with proposals for community projects, including a subdivision proposal by Bruce Stillman and the Lake Minetonka Flats development. The latter involves the creation of 12 for-sale units in a wetland-heavy area, with the council approving the major subdivision final plat and related agreements.

A presentation on a rain garden project aimed to secure funding for shoreline erosion management and community engagement through workshops. The council considered waiving a land use permit fee, recognizing the project’s public benefit.

The council touched upon community engagement initiatives, including the “Mayor for the Day” program and the Citizen of the Year award, encouraging resident participation. The meeting concluded with a preview of a promotional video for Mound.