At the February 2 Lanesboro City Council meeting, resident John Levell commented about the Root River Restoration Project. He classified it as a modification project and said that he believes portions of the project will be detrimental to native species. He was against removing dead trees as they have an ecological purpose for woodpeckers, owl, squirrels, and more and said that he believes an environmental impact study should be done before the project takes place.
The consent agenda was approved and included the accounts payable, an on-sale liquor license for Commonweal Theatre Company, resolution 2026-21 adopting the Fillmore County 2025 Hazard Mitigation Plan, resolution 2026-22 accepting a number of donations to the Lanesboro Fire Department, the 2026 lodging licenses, a gambling permit and temporary on-sale liquor license for the Lanesboro Area Chamber of Commerce, a temporary on-sale liquor license for the Lanesboro Area Community Foundation, and an agreement to serve as the fiscal agent for the Chamber of Commerce.
Anita Bue gave an update on the Lanesboro Farmers Market. The winter market has about eight vendors, and the summer market is expected to be full with 25 stalls. New fees have been set for the 2026 season which will run from May through October.
Michelle Marotzke from the EDA gave the 2025 report to the council. The Lanesboro Entrepreneurial Action Network sub-committee has been very active, and is working with the Rural Entrepreneurial Venture program which was created by SMIF in 2020. This past year, the Lanesboro EDA was able to collaborate with the Preston EDA and the Preston and Lanesboro Area Chambers of Commerce. Two new businesses, Root River Adventure Arcade and the Lanesboro Market, were welcomed to Lanesboro last year and another business, Granny’s Liquor changed hands. “We’re always looking for ways to support our businesses and encourage new ones to come to Lanesboro,” Marotzke said. The EDA is looking into option to fund flood-proofing for the wastewater treatment plant.
Representatives from Minnesota Trout Unlimited were present at the meeting to discuss the Root River Restoration project. A public meeting was held on January 21 which was attended by several residents. It was noted that MN Trout Unlimited is a conservation organization and is committed to preserving and protecting natural habitats and species. Dead trees will be left in place and 98% of the trees which are marked to be removed are invasive/aggressive such as buckthorn or box elders. Some native species may be temporarily displaced during the project, but will return even stronger after it is completed. A resolution giving MN Trout Unlimited permission to access the project area and assist in the permitting process through the DNR was approved.
The Local Board of Appeal and Equalization gives property owners the opportunity to appeal their property taxes. Typically, it is held at the council level allowing the council to overturn or change the assessments as they see fit, but another option would be to have an open-book meeting instead which would involve property owners meeting with the county assessor on a one-on-one basis to go over concerns and questions. That format can be less intimidating for homeowners, but takes the control out of the hands of the council. City Administrator Mitchell Walbridge asked if the council would prefer to change the format or leave it as is. Several council members pointed out that they don’t have the skill set to assess appeals and generally if a change to assessments is made, it’s after the council moves the case to the county level. As the process can’t be changed until 2027, the council will revisit the matter after this year’s Local Board of Appeal and Equalization.
In the fall of 2025, Sparrow Valley Properties, LLC came before the council to request an interim use permit to allow short-term rentals at their property, which was granted. Since then, there have been several violations of the conditions that accompanied the interim use permit. The city has worked with the company by providing them with a 10-year tax abatement and also acting as lendors for a $75,000 note. However, they now have delinquent loan payments to the EDA as well as delinquent property taxes and utility payments. The city was also notified of some plumbing code violations. The council approved a motion to direct the city attorney to issue a notice of 30 days to Sparrow Valley Properties.
Letters of engagement are needed to kick off the annual auditing process. Smith Schafer has been doing the audits for the city, but has merged with CohnReznik. The same team will be working with Lanesboro as before, though. The cost for the audit will be around $23,000. A motion to accept the letters of engagement with CohnReznick was approved.
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