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8.2. SR 02-04-2013REQUEST FOR ACTION TO ITEM NUMBER Mayor and City Council 8.2 AGENDA SECTION MEETING DATE PREPARED BY General Business February 4, 2013 Jeremy Barnhart, Planning Manager ITEM DESCRIPTION REVIEWED By Conditional Use Permit: Cornerstone Auto Resource for Motor Suzanne Fischer, Community Vehicle Specialty Shop at 17219 US Highway 10 NW, Case No. Operations & Development Director CU 13 -01 REVIEWED BY Cal Portner, City Administrator ACTION REOUESTED Approve the agreement between Cornerstone Auto Resources and the City of Elk River regarding payment of park dedication and storm water management fees. 2. Adopt a resolution approving the Conditional Use Permit amendment permitting the oil change facility. 3. Review terms of the applicant's waiver of additional signage. BACKGROUND /DISCUSSION At its meeting on January 22, the Council continued action on the Conditional Use Permit application that would allow the conversion of the detail center to an oil change facility. One of the conditions was that the plat for the subject property (Plat of Jabez) be recorded prior to obtaining a building permit for the interior remodel. The Council directed staff to draft an agreement allowing the applicant to pay park dedication and storm water fees in full over a 3 -4 year period, permitting the plat to be recorded and outlining penalties due to failure to pay. The term of the agreement has yet to be determined. The attached agreement outlines initial payment due by February 15, 2013, with subsequent payments due each year starting January 31, 2014; or upon expansion of the main dealership building, whichever occurs first. The agreement also notes that the applicant agrees not to seek additional signage during the term of the agreement, though the Council may wish to discuss, as the variance approval was based in part on the understanding that the property owner was willing to `give up' additional signage. There was no implied sunset to this agreement. Penalties include revoking the Conditional Use Permit and /or collection of the fees, including attorney's fees. The agreement also includes 2% interest, which is consistent with city policy. P O w E A E D 9 i N: \Public Bodies \City Council \Council RCA \Agenda Packet \02 -04- 2013 \8.2 staff report.docx 4A URE ATTACHMENTS • Agreement • Resolution Action Motion by Second by Vote Follow Up N: \Public Bodies \City Council \Council RCA \Agenda Packet \02 -04- 2013 \8.2 staff report.docx Agreement for Issuance of Amended Conditional Use Permit This Agreement for issuance of an Amended Conditional Use Permit ( "Agreement') entered into the 4t' day of February, 2013, by and between the City of Elk River ( "City ") and Cornerstone Auto Resource ( "Cornerstone "). WHEREAS, City approved a land use amendment, rezoning, conditional use permit and preliminary and final plat for expansion of Cornerstone's automobile dealership located at 17219 US Highway 10 NW in 2006; and WHEREAS, Cornerstone failed to record the final plat approved in 2006 and has not paid the applicable park dedication and surface water management fees ( "Fees "); and WHEREAS, the 2006 plat approval subsequently expired and the plat was reapproved by the City in 2012 on the condition that Cornerstone pay the Fees; and WHEREAS, the Fees have not been paid to date and currently total Eighty -One Thousand Four Hundred Forty -Eight Dollars ($81,448); and WHEREAS, Cornerstone seeks approval of an amendment to the Conditional Use Permit approved in 2006 to allow an oil change facility in an accessory building on the property; and WHEREAS, the conditions for approval of the Amended Conditional Use Permit include recording the plat and paying the Fees; and WHEREAS, Cornerstone has requested that it be allowed to record the plat and proceed with the oil change facility upon payment of a portion of the Fees, and that it be allowed to pay the balance of the Fees over a period of time; and WHEREAS, City has agreed to allow Cornerstone to pay the Fees in installments, subject to the conditions of this Agreement. NOW, THEREFORE, City and Cornerstone agree as follows: 1. City approves the Amended Conditional Use Permit to allow the oil change facility, subject to the conditions set forth in the resolution of approval, including Cornerstone's agreement to and execution of this Agreement. 2. Cornerstone agrees to pay the Fees as follows: A. $ shall be paid by Cornerstone prior to the issuance of a building permit for construction of the oil change facility; B. The balance of the Fees shall be paid in annual installments of $ each, together with interest at a rate of 2 % from February 4, 2013 to the date of the payment, each payment to be received by the City no later than January 31, beginning January 31, 2014 and continuing until all payments have been made. C. All of the Fees shall be paid prior to the issuance of a building permit for expansion of the main dealership building on Cornerstone's property. 3. Cornerstone agrees that failure to execute this Agreement and make the initial payment due by February 15, 2013, or failure to make any of the remaining payments due on or before the due date, will constitute a violation of the terms of the Conditional Use Permit approved in 2006 for the dealership and will constitute sufficient cause for City to revoke the Conditional Use Permit. 4. Cornerstone further agrees that for as long as this Agreement is in place, it will not seek and will not be entitled to any additional signage beyond the signage currently in place on the main dealership building and the signage approved for the oil change facility. This condition can only be revised by an amended conditional use permit which amends this Agreement. 5. In the event of Cornerstone's failure to make any payment required by this Agreement, in addition to revocation of the Conditional Use Permit City may, at its option, declare the entire amount of the Fees due and payable within ten (10) days and may pursue collection of all amounts due under this Agreement, and all costs of collection including reasonable attorneys' fees. Cornerstone waives presentment, demand for payment, notice of dishonor, notice of protest, protest and all other notices or demands in connection with the delivery, acceptance, performance or default under this Agreement. 659857.DOCX CITY OF ELK RIVER By Its Mayor AND Its City Clerk CORNERSTONE AUTO RESOURCES LO-A 2 Its RESOLUTION 13- A RESOLUTION OF THE CITY OF ELK RIVER A RESOLUTION APPROVING CONDITIONAL USE PERMIT REQUEST CU 13 -01 AND ESTABLISHING FINDINGS OF FACT THEREOF WHEREAS, Application was made on November 26, 2012, by Cornerstone Auto for a Conditional Use Permit to convert a detail shop to an oil change facility for the property legally described as that part of the Northwest Quarter of the Northwest Quarter of Section 11, Township 32, Range 26, Sherburne County, Minnesota; and WHEREAS, The application for approval (the Application) was referred to the City Council; and WHEREAS, The City Council conducted a public hearing on the Application, after proper publication and due notice thereof as required by ordinance and statute, on January 22, 2013; and WHEREAS, Following completion of the public hearing, the City Council made the following findings of fact with respect to the application: 1. The conversion will not negatively affect the use and enjoyment of other property in the immediate vicinity. 2. The conversion is consistent with the Comprehensive Plan. 3. The conversion will not impede the normal and orderly development and improvement of surrounding vacant property. 4. The conversion is served adequately by and will not adversely affect essential public facilities and services including streets, police and fire protection, drainage, refuse disposal, water and sewer systems, parks and schools; and will not, in particular, create traffic congestion or interference with traffic on adjacent and neighboring public thoroughfares. 5. The conversion will not involve uses, activities, processes, materials, equipment and conditions of operation that will be detrimental to any persons or property because of excessive traffic, noise, smoke, fumes, glare, odors, dust or vibrations. 6. The conversion will not result in the destruction, loss or damage of a natural, scenic or historic feature of major importance. 7. The conversion will fully comply with all other requirements of this Code. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Elk River, based on the findings of fact set forth above, hereby approves the Application for a Conditional Use Permit to convert the detail shop to an oil change facility (Motor Vehicle Specialty shop), on condition that: N: \Public Bodies \City Council \Council RCA \Agenda Packet \02 -04- 2013 \8.2. resolution comerstone.docx 1. As a conditional use permit is not a building permit, the applicant shall apply for all required permits. 2. The development shall meet all applicable fire codes. The fire chief shall verify the location of all fire hydrants, and may require additional hydrants necessary to preserve the health and safety. 3. A sign package is not approved. 4. The plat shall be recorded. 5. The agreement for issuance of amended conditional use permit shall be executed. Passed and adopted this 4"' day of February 2013. John J Dietz, Mayor ATTEST: Tina Allard, City Clerk N: \Public Bodies \City Council \Council RCA \Agenda Packet \02 -04- 2013 \8.2. resolution comerstone.docx N OJ 4- C O 4-J c E Q� L a) c O N L L O° O U 06 00 t!} v �a 0 0 N a) V, v a`) c t\ ct N Ql Cf Cl lD i--I Ln ate+ Ql O f- m m 00 co 00 V! VV ill I- I'D N to C l Cr Ql N CY Ln 4+ tD 4 N t6 O 00 O N � v'F � O � O O N r1 V')- Af�- N 00 00 00 Ct O N N N c-i N CO CO 00 d O ,�1 lmD rr O N N � m O O m O I'D m of ri cn k.D Oo O -+ m N N N � C a1 E cv Q m Ln 0 Q) .Q E z 2 Cc 9, : 1 &rCt o -,