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6.13. SR 06-19-2000'7ity of Item # 6.13. iver TO: FROM: MEMORANDUM Mayor & City Council Michele McPherson,~irector of Planning DATE: June 6,2000 SUBJECT: Case Number: OA 00-6 Request by Ron Wald to Amend the Business Park Requirements to Allow Limited Retail as an Accessory Use; Public Hearing Request The applicant requests that the City amend the Business Park district requirements to allow retail sales in a limited capacity provided that it meets a number of requirements. This request is prompted by the potential relocation of the Post Office to the Mulvaney Point Business Park. The Post Office now includes a "Postal Store" within its facilities for the sale of stamps, boxes, collectibles, etc. Attachments · Proposed Text Amendment (applicant's version) · Proposed Test Amendment (staff's amended version) · Ordinance No. 00- Analysis The Business Park zoning allows, when the underlying land use is Highway Business, limited retail opportunities as conditional uses: ao freestanding retail shops and stores that compliment the other uses within the park not exceeding 20,000 square feet retail/wholesale sales incidental to products manufactured, assembled or warehoused, provided no more than 10% of the building is used for retail/warehouse sales There is no allowance for retail sales when the underlying land use is light industrial. "Hybrid" uses, such as manufacturing or mail order uses that have a limited showroom area for the public to complete retail transactions would not be permitted. The Post Office, with its Postal Store, is a good example of such a hybrid use. The primary 13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330 · TDD & Phone: (612) 441-7420 · Fax: (612) 441-7425 Memo to the Mayo & City Council/OA 00-6 June 5, 2000 Page 2 portion does not. The retail portion would fit if the underlying land use was Highway Business, but the primary function would then not be permitted. The applicant is proposing to allow limited retail sales as an accessory in the Business Park District when the underlying land use is Light Industrial if the following conditions are met: 2. 3. 4. The sales are not located within an administrative office or commercial sales building. No more than 15% of the gross floor area is to be used for retail sales. The retail sales are accessory to the principle use. No signs identifying the retail use would be visible from the outside of the building. Staff would add the following changes: The total area of the retail sales would not exceed 5,000 square feet. The retail sales needs to be related to the product or primary use of the building and would be clearly subordinate to the principle use. The proposed amendment would allow certain flexibility for staff when "hybrid" uses are proposed for the Business Park, but continue to preserve the intent of the Business Park District, that of increasing tax base and jobs. Planning Commission Action The Planning Commission conducted a public hearing regarding the ordinance amendment at its May 23, 2000 meeting. No one spoke for or against the request. The Commission voted to recommend approval of the amendment as recommended by staff. Recommendation Staff recommends that the City Council approve the ordinance amendment as provided by staff. 84/13/2888 14:45 6124565748 BRODSHO CQ~S~JL_'EING PAGE 82 ~o enc~rage"~ pl~e~, in~egra~e~ ~vlro~en~ for certain induscri~l, office, ~ co--arc,al' uses w~c~ are,c~atible wi=h, an~ o~plim~= each o~her as well uses "The ~derlyin~ 1~4 uae' ~eai~a=i~n within ~m ~stric= ~y vary, eider li~h= indus=rial or highway business. Develo~ent wi~in the ~uainess Park dis=tlc= will wi~ =he land use Seal's=ion. ~du~=rial allowed where =he l~d use ~esi~a=ion 'is light in~s=rial, ~d co~erci.1 uses allowed where ~e land use aesi~A~i~ is highway business. · ..... ' ' .. It ia ~e inten~ o~ Chis or,in'ce t~c ~ev~lo~enC re~lec=s co. on three using c~aC~ble' a~c~tecCural desi~ conslo=~cy in silage, lands=~ping,; '~d lighting. =ho in=~n~ ~o encourage b~si~osses which,generate ~ ~gh n~r o~ ~obs ~r s~are foo~ ra~er ~an prior.=ely ~B~8 · ' '" : A. ~e~C~ use is ligh~ industrial: Light Manufacturing Research and development laboratories c. Government, business, and professional Mail order opera=imns e. Telecom~unica~ion operations ii. f. Sherburne County fair Permitted uses allowed when the underlying land use is highway business: Health athletic clubs Personal service establishmen%s c. Financial Applicant's Version 84/'13/2888 14:45 S124565748 BRODSHO CONSULTING Off-street ~arking lots or facilities Private recreational facile%les iii. Public shel=er~ and essential services i¥. Retail sale~, ~rovided: The retail sales activity is not located in an a~m{~istrativ& offiC~ located wi:bin a business, the ~r~nciD!e use of which The re=si! sales activity skall no= occu9~ more =han f~fteen percent ($5%) of aha gross floor area of tl%e uccupied ~D~arter~. The re~ail sales ac,~vl~y is accessory =o the. ;rinciD!.e use, No si~n identifying the retail sales shall b~. visible from the outside oE the b~£1dlng. Con~i~on&L use ~s ligh~ ~n~us~rial: a. Any Dermitted use which involves more =han 30% warehouse b. Vocational, zechnical and trade schools c. Multigle buildings on a lot d. Multigle tenant buildings e, A~ove ground storage tanks ii, Conditional uses allowed when the underlying land use is highway business: a. Hotels and motels Licensed day care facill~ie~ c. Retail shoDs and S=ores which complimen~ and serve ~he Business Park subjec~ to the standards se~ forth in 2(j) below, d, Motor vehicle specialty service stations e. Multiple buildings on a lot Mul~i~le tenanu buildings 83 Restaurants (Clas~ I) 16. B-P Business Park STATE~NT OF PURPOSE: The Business Park District is established to encourage a ~lanned, integrated environment for certain industrial, office, and commercial uses which are compatible with, and compliment each other as well as the surrounding land uses. The underlying land use designation within the district may vary, either light industrial or highway business. Development within the Business Park district will correspond with the land use designation. Industrial and office uses allowed where the land use designation is light industrial, and commercial uses allowed where the land use designation is highway business. It is the intent of this ordinance that development reflects common themes using compatible architectural design and consistency in signage, landscaping, and lighting. It is also the intent to encourage businesses which generate a high number of jobs per square foot rather than predominately warehouse type uses. Permitted Uses i. Permitted uses allowed when the underlying land use is light industrial: offices a. Light Manufacturing b. Research and development laboratories c. Government, business, and professional d. Mail order operations e. Telecommunication operations f. Sherburne County fair ii. Permitted uses allowed when the underlying land use is highway business: a. Health athletic clubs b. Personal service establishments c. Financial institutions B. Accessor~ Uses: i. Off-street parking lots or facilities ii. Private recreational facilities Staff's Version ORDINANCE - CITY OF ELK RIVER AN ORDINANCE OF THE CITY OF ELK RIVER AMENDING SECTION 900.12(16) OF THE CITY CODE OF ORDINANCES CASE NO. OA 00-6 The City Council of the City of Elk River does hereby ordain as follows: Section 1. Section 900.12(16)(B) titled, "B-P Business Park District - Accessory Uses, of the City of Elk River Code of Ordinances shall be amended to add the following: iv. Retail Sales, provided the following conditions are met: So The retail sales activity is not located in an administrative office facility, but is located within a business, the principle use of which is not commercial sales. The retail sales activity shall not occupy more than fifteen (15%) of the gross floor area, or a maximum of 5,000 square feet of the occupied quarters, whichever is less. c. The retail sales activity is related and subordinate to the principle use. d. No sign identifying the retail sales shall be visible from outside the building. Section 2. That this ordinance shall take effect upon publication as provided by law. Passed and adopted by the City Council of the City of Elk River this 19th day of June, 2000. Stephanie Klinzing Mayor Sandra A. Peine City Clerk s:kdocument\ordinanc\oa00-6.doc June 15, 2000 File: 800110J-0081 Mr. Brian Benson County Administrator Sherburne County Government Center 3880 Highway 10 Elk River, Minnesota 55330 RE: CSAH 12--COUNTY COST PARTICIPATION POLICY CITY OF ELK RIVER, MINNESOTA Dear Mr. Benson: The Elk River City Council adopted a resolution at last Monday's City Council meeting approving the plans for the upgrade of CSAH 12 from the intersection of CSAH 13 to the east county line. We approved this resolution with the understanding that the city cost for this project would be approximately $200,000 in construction costs plus an additional $50,000 in overhead costs. We did this because we feel that this is a good and needed project for the City of Elk River and Sherburne County. We, however, do not want our approval of these plans to imply in any way that the City Council of Elk River agrees with the current Sherburne County cost participation policy. We voiced our concern in great detail at the time that the County Board was considering adoption of the policy. We feel we must again state our concerns that the county cost participation policy does not recognize that portions of the county are urban in nature. The policy basically puts the burden for the cost of the urban portion of the street projects, such as curb and gutter, medians, and street lighting, on the local unit of government. We must again strongly state that we believe, as the county urbanizes, there will be more and more pressure for county road projects--rebuilding rural roads to an urban standard--and the county cost participation policy should reflect this by sharing in those costs with the local unit of government. We would sincerely appreciate an opportunity to discuss this issue in detail with you or the county board. Sincerely, Stephanie A. Klinzing Mayor Cc: Arnie Ingstrom; Terry Nagorski; Ray Friedl; Betsy Wergin; Mike Johnson, County Commisioners; Dave Schwarting, County Engineer Ltr--061500-Benson.doc Howard R, Green Oompany 0CONSULTING ENGINEERS 800110J-0081 Ms. Susan K. Tisdale 17391 Tyler Street NW Elk River, MN 55330 RE: DRIVEWAY ACCESS ISSUES Dear Ms. Tisdale: I have received your letter dated June 8, 2000 regarding driveway access to your property off of Tyler Street. The letter was distributed to the City Council at their June 12, 2000 City Council meeting and discussed at that time. First of all, I have verified with the Chief of Police that a U-turn is a legal maneuver at either end of the median in front of your home. I have also explained to the City Council that this is a legal maneuver unless specifically prohibited by City Council action and the installation of signs prohibiting U-turns. I have also informed the City Council that staff has no intention of recommending the prohibition of U-turns of either end of the median. Prior to the City Council meeting, I met with the City Administrator, Fire Chief, and Police Chief to discuss your concerns regarding emergency vehicle access. The Police Chief assured me that any of his vehicles could make a U-turn to get to your property. Likewise, the Fire Chief assured me that an ambulance could make a U-turn given the width of the road. The Fire Chief even explained that he does have fire trucks that could make a U-turn around the median. The fire vehicles the City has that could not make the U-turn would either be able to go over the median, given that it is only six inches high, or as the Fire Chief indicated, the Police will respond to most fires and close the road to traffic. This will allow fire vehicles to drive the wrong way down Tyler Street around the median. So, there are several different ways that a fire vehicle would be able to access your property in the case of an emergency. Finally, you asked for copies of the studies I referred to earlier in one of our phone conversations regarding accident reduction due to access control along roadways. I will pull these studies out of my files and send them to you under separate cover. If you have any further questions or would like me to meet with you or your neighbors, please call. Sincerely, Howard R. Green Company Terry J. Maurer, P.E. Ltr-061400-Tisdale.doc 1326 Energy Park Drive · St. Paul, MN 55108 · 651/644-4389 fax 651/644-9446 toll free 888/368-4389 34.00 CITY CENTER 33 SOUTH SIXTH STREET MINNEAPOLIS, MN $S402-3796 612 34-3-2800 FAX: 612 333-0066 WEB SITE: www. gpmiaw, com CONSULTING OFFICE., BEIJlNG CHINA Peter K. Beck 612 343°5374 peter.beck~gpmlaw.com April 26, 2000 David J. Meyers Rinke Noonan Suite 700 Norwest Center P.O. Box 1497 St. Cloud, MN 56302-1497 Re: TJ Properties Dear Mr. Meyers: This letter is in response to your letter of March 28, 2000 regarding Mr. Timothy Smith and TJ Properties. I am enclosing for your information that portion of the minutes from the March 20, 2000 Elk River City Council meeting dealing with the request by Mr. Smith to amend conditional use permit No. CU94-17. In your letter you take the position that the City had no legal basis to require removal of a single family home from Mr. Smith's commercial property as a condition to approving a conditional use permit for development of a commercial building and associated parking lot on the property. Quite the contrary. The City had no obligation to grant a conditional use permit allowing a commercial parking lot to cover the entire back yard of a single family residence. The City allowed these incompatible uses on the same lot on Mr. Smith's representation that this would be a temporary situation, that he would be moving the house in the near future, and that the entire property would be developed for commercial office building purposes with associated parking. In light of Mr. Smith's representations the Council approved a conditional use permit for the development, allowing the use of the single family lot for commercial parking, on the condition that the house be. moved ,within 3 years. This is a perfectly reasonable, lawful condition adopted to accommodate Mr. Smith's desire to develop the property in phases. The alternative was to deny the conditional use permit until the entire property was cleared and ready for commercial development. GRAY, PLANT, MOOTY, MOOTY & BENNETT, P.A. ATTORNEYS dT LAW David J. Meyers Page 2 April 26, 2000 However, the reasonableness and/or lawfulness of this condition will not be the issue in the current enforcement action. If Mr. Smith objected to the condition to remove the house within the three years, his remedy was to contest that condition at the time it was imposed. He cannot accept the benefit of the conditional use permit, develop his office building and parking lot, and then ignore the conditions pursuant to which his development approvals were obtained. His development of the Property pursuant to the conditional use permit is his agreement to the terms and conditions of the conditional use permit. The requirement to remove the house within 3 years was known to Mr. Smith, who testified to the City Council that he knew of this stipulation to remove the house but forgot about it. Whether Mr. Smith forgot about this condition, changed his mind about its reasonableness or changed his plans for the property are all irrelevant. The relevant facts are, Mr. Smith knew of this condition, he developed his property pursuant to this condition, and he has failed to comply with this condition despite having had almost twice the time allowed in the original approval to comply. Mr. Smith has also had the opportunity to request a further extension, which the City Council has heard, considered and denied, pursuant to the motion set forth in the attached minutes. The City has been more than reasonable with Mr. Smith in this matter by allowing his project to proceed despite the nonconforming house, and by allowing the house to remain an extra 3 years. It is now time to comply. The City Council further resolved on March 20 to allow Mr. Smith 90 days from that date to remove the house. I have been directed to proceed with enforcement immediately upon the expiration of those 90 days, if the house has not been removed. As you know, the City's enforcement options include prosecuting the violation of the zoning ordinance; commencing a civil action to bring the property into compliance with the approval and the zoning ordinance; and/or revoking the conditional use permit for failure to comply with the conditions of its approval. David J. Meyers Page 3 April 26, 2000 Mr. Smith has had more than enough time to comply with the terms of the conditional use permit pursuant to which he developed his property on Main Street. We trust that he will now comply with those conditions and remove the house on or before June 20, 2000. Very truly yours, GRAY, PL.aRqT, MOOTY, MOOTY & BENNETT, P.A. By Peter K. Beck CC.' Pat Klaers Michelle McPherson ' GP:692055 vl FROM GRAY PLANT MOOTY MOOTY 4 ,lO ,O0, 15:58ZST., n 15:57/N0. 4261724244 SU]TZ ?OO, NGRWERT CENTER, P. O, BOX J4G7 TK~G~HQN~ ~Q-~1-~700. FAX ~O-OOO-3~O0 [MAIL: MAIL~mNOON.COM ? 2' March 2R, 2000 Direct Dial #(320) 656-3512 Mr. Peter Beck, Esq. Gray, Plant, Moot), & Bennett 3400 Center City 33 South Six~ Street Minneapolis, MN 55402 Re: Onr Client: TJ Properties Our File No. 14844.001. Dcm' Mr. Beck: Mr. Timothy Smith and TJ Properties have retained our law fn'm to assist them with any issues arising out of the August 3, 1994 Conditional Use Permit granted bythe City of l~lk Kiver. Mr. Smith has told me about file recent hearing on his request to amend the Conditional Use Permit. I have also reviewed copies of materials given to Mr. Smith from the City's file. My investigation is continuing. The most puzzling issue for me is trying to understand the legal basis the City had to place a condition in file permit that the home be moved. In reviewing the 1994 City staff memos, it is clem' that the office building constructed by TJ Properties was a permitted use, and the conditional use was only needed because of the zero lot line development with the common parking and driveway area. In memorandums prepared by Mr. Steven B. Ach, then City Planner. dated May 24, 1994 and June 20, 1994, ther~ is mention of TJ Properties' intention at some furore point to construct another office west of his building on the land now occupied by the home. There is a suggestion in one memorandum that the home should tm removed because hnprovement was being made to a non-conforming usc, which is a single family house in a commercial zone. I think fl~e City was stxetching to claim that building a parking lot in the back yard is somehow a change to the non- toni'erin[ag u:se of thc house as a home. No findings were made on how a z, cro lot line Conditional Usc Permit could relate to thc forccd removal of the home. In 1994 when the permit was granted, Mr. Smith was aware of thc discussion about moving the home. He specifically recalls that Mr. Ach said that the City would work with him on a future plan to move the home. 2OO0 0~ 27 ~t:~)A'J'A%14$a~0Ol~Bec~ 03 2? 20OO.~xl CTG FROM GRAY PLANT MOOTY MOOTY & BENNETT (MON) 4, 10'00 15'58/ST, 15'57/N0, 4261724244 P 3 Mr. Peter Beck, Esq. March 28, 2000 Page 2 It .~eem.~ to me that the Cil~' has improperly u~ed the Conditional U~e Permit to get rid ora non- conforming use in its C-1 District. I can see nothing, by any stretch of the imagination, that would require a house to be moved simply to accommodate a parking lot in the back yard under a zero lot line Conditional Usc P~;rmit request. If the City wants the house move& they need to condemn the house and pay damages. Otherwise, they have no basis to require that thc home be moved as a condition oF allowing a zero lot line permit. There is no nexrr~ between the permit request and the condition that the home be moved. At the time the permit was issued, it was Mr. Smith's intention to someday move the home and con.~truct a new building on the site. Tint is still his intention. He has been looking for a tenant so that he can obtain financing to build a new office building. Until he has a tenant in place, he is not able to proceed with construction and moving the home. It also appears that the City was using the Conditional Use Permit process to amortize out a home in a C-1 District. I am certai, that the City is aware that the practice of amortizing out a non-conforming use is now prohibited by Minncsola Statutes Section ~62.357, Sub& 1.c. The three year time period is substantial evidence of the City's intention to use its zoning power to amortize out the home. Our position i~ thru thc City has no legal basis to erLforcc thc condition that the home be moved. It would probably be in everyong's best interest for the City to reconsider its recent denial of the amendment to thc Conditional Use Permit to remove the condition. If the City rcfuses to remove the condition, and instcad seeks judicial action to enforce the permit, we will vigorously defend that action and demand that 1.he City purchase the home through condemnation if it wants the home removed from thc commercial district. It would bc in both TJ Properties' and the City of Elk River's best imerest to wait for Mr. Smith to get a new tenant, move the home, and construct a new building. i would appreciate any comments you may have regarding the City's position. Sincerely, RINKE-NOONAN By. David J. Meyers DJM/cg cc: TJ Properties DRAFT FOR SALE House amd Shed The City of Elk River is accepting proposals for the sale and removal of a house and a shed located at 18513 Twin Lakes Road NW, Elk River, Minnesota. Proposals will be received until 10:00 a.m., Monday, June 26, 2000. Condition of the sale is that the buildings must be removed from the property by July 10, 2000. Purchaser is responsible for obtaining all necessary moving permits and for providing liability insurance. For more information please contact City Engineer Terry Maurer at Elk River City Hall, 13065 Orono Parkway, Elk River, MN, 55330, (763) 441-7420. s: \ admin \ 4salehou.doc Friday. June 16, 2000 9:57 PM To: Pat Klaers From: Vicki Sullivan, 44%3409 Page: t of 1 JUNE 16, 2000 FOR IMMEDIATE RELEASE CON'I'ACT: Jack Ellis, Chairman of the Board 763-441-3110 NEWS RELEASE Thc Elk River Area Chamber of Commercc announccs that Jcff Gongoll has acccptcd thc leadership position as President of thc organization. Gongoll's experience includes economic development activities in the public and private sector and he presently serves as Vice President of the Elk River Economic Development Authority. He also has provided development services to businesses and is an active member of the Education to Employment Partnership. "I'm certainly looking forward to serving the business community and working with people I admire and respect," said Gongoll. "This position offers a tremendous oppon'unity for the growth of the chamber and its members, and me personally." .lack Ellis, Chairman of the Board, said, "Jeffbrings outstanding attributes to/he position. The chamber, similar to the Elk River area, is changing and we look to Jeffto lead us in our dynamic and changing organization." Oongoll will assume his responsibilities on June 26.