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August 25, 1994 Steering Committee MinutesMEETING OF THE ELK RIVER STEERING COMMITTEE HELD AT ELK RIVER CITY HALL THURSDAY, AUGUST 25, 1994 Members Present: Chairman Minton, Committee Members: Hank Duitsman, Pat Dwyer, Dick Hinkle, Marly Glines, Mary McDevitt, Lloyd Barthel, Arne Engstrom, Keith Holme, Chris Kreger, Dave Anderson, Dana Anderson and Mark Lucas. Committee Member Mary Eberly arrived at approximately 8:00 p.m. Members Absent: Committee Members Merry Sipe and Bill Birrenkott Staff Present: Steve Ach, City Planner Call Meeting To Order Pursuant to due call and notice thereof, the meeting of the Elk River Steering Committee was called to order at 7:03 p.m. by Chairman Minton. 2. Consider Steering Committee Agenda Chair Minton added the following item to the August 25, 1994 Steering Committee agenda: Item 3.1. - Report on meeting with Downtown Development Corporation ARNE ENGSTROM MOVED TO APPROVE THE AUGUST 25, 1994 STEERING COMMITTEE AGENDA AS AMENDED. PAT DWYER SECONDED THE MOTION. THE MOTION CARRIED 13-0. 3. Consider Steering Committee Minutes DICK HINKLE MOVED TO APPROVE THE JULY 14, 1994 STEERING COMMITTEE MINUTES. KEITH HOLME SECONDED THE MOTION. THE MOTION CARRIED 13-0. 3.1. Report on Meeting with Downtown Development Corporation Chair Minton reported that he met with the Downtown Development Corporation. He did not feel there was a consensus among the business owners regarding plans for the downtown area and that they would need to discuss these issues again at a later date . 5. Overview of Residential Planning Areas City Planner Steven Ach reviewed the four residential planning areas: steering Committee Minutes August 25, 1994 - - - _ - - - 6. 4. 5.1. North 5.2. Southwest 5.3. Central 5.4. Southeast Introduction of North Planning Area Page 2 IF gays 6.1. General Characteristics Comprised mainly of two zoning districts; RlA (Single Family Residential)and A-1 (Agricultural Conservation). The minimum lot size is 2'/s acres and 10 acres, respectively. There are currently no plans to extend water and sewer into the north planning area. 6.2. Inventory of North Planning Area TOTAL ACRES 15,934 AC Acres Zoned Al (Agricultural Conservation) 9,266 AC Acres Zoned RIa(Single Family Residential) 6,332 AC Acres Zoned ME (Mineral Excavation) 2,173 AC Other 336 AC Total Acres Restricted (i.e., Wetlands) 3,847 AC Estimated Number of Dwelling Units 1,090 Steve Ach noted that the Planning Commission took action at their last meeting to recommend that a large portion of the northern area along Highway 169 be rezoned to allow gravel mining and mineral excavation. 6.3. Zoning Ordinance Text of A 1 and R 1 A Districts Steve Ach stated that on excerpt from the City's Zoning Ordinance was included in the committee members' packets which described the intended characteristics and composition of each district and their development standards. He further stated that an excerpt from the existing Comprehensive Plan was also included in the committee members' packets, outlining the goals and policies for residential development. Demographic Information Steve Ach explained that the 1994 City of Elk River Demographic Statistics being presented were taken from the U.S. 1990 Census figures from the State Demographer's Office. 4.1. Population Estimates Steve Ach noted that the population has been increasing over the years, with the most significant increases occurring as follows: 1960 population 1,763 - 1970 population 2,252 (+27.7%) 1970 population 2,252 - 1980 population 6,785 (+201.2%) 1980 population 6,785 - 1990 population 11,143 (+64%) Steering Committee Minutes_ Affiej?OVER August - - 1994 He added that he would expect the year 2000 population estimate (15,000-18,000)would likely be toward the upper end of that estimate. 4.2. Population Distribution A large percentage of the City's population is in the 25-44 age group. The second largest group is the 5-17 year old group, signifying that a majority of Elk River's population is young families with children. 4.3. Housing Units Of the 3,887 housing units reported in 1990, approximately 25 percent are renter occupied. The majority of home values are in the $50,00- $99,000 range. 4.4. Construction Value 1988 was a record year for residential construction at $24,452,604, decreasing to $9,736,806 in 1991, then increasing to approximately $16,000,000 in 1993. 4.5. New Housing Units During the years 1988 through 1993, 2,440 new housing units were created. Of those units, 1,600 were single family, 62 twin homes, 124 townhomes, and 654 apartment units. The single family construction made up approximately 65 percent of the total; twin homes and townhomes made up 8 percent, and apartment units comprises 27 percent of the total. 4.6. 1990-1993 Home Sales There were 171 homes sold in 1990, compared to 211 in 1993. The median sale price moved up from $84,225 in 1990 to $100,000 in 1993. 4.7. 1994 Home Sales Steve Ach presented information contained in the 1994 Anoka County Home Sales recap of various communities in the area, comparing the number of single family homes sold and the median selling price. Steve noted that there were 130 homes sold in the January -June 1993 time period and 103 in the January -June 1994 period. The average sale price rose to $106,444 in 1994. According to the information in the report, Elk River is among the top communities in home sales. At this time, members of the Steering Committee introduced themselves and identified the group they are representing. Discussion of Goals and Policies for Residential Cecilia Scheel, City Council representative of Ward 2, 10271 213th Avenue N.W., expressed her concern that developing farm land into 10 acre parcels is cost prohibitive due to the expense of putting in roads. She stated that most farmers will be robbed of their retirement because of the minimum 10 acre lot area in the Al (Agricultural Conservation) zoning district. Julius Nemeth, 21566 Highway 169, questioned why the 10 acre restriction was established in the first place. He stated that it creates problems for school buses and snow removal. Mr. Nemeth stated that when it becomes necessary to Steering Committee Minutes August 25, 1994 ------------------------ r,i I u Lr-Us L_LJi age extend sewer and water, it will be financially impossible for property owners to pay the costs on even two and one-half acres and suggested a one -acre lot size minimum. Steve Ach reviewed the 1987 Comprehensive Plan goals and policies, which included maintaining the semi -rural atmosphere. (See attached excerpt from 1987 Comprehensive Plan.) Cecilia Scheel stated that she did not feel any of the goals and policies mentioned by Mr. Ach applied to the northern area, and questioned if there was any representation for the agricultural community when the 1987 plan was discussed and adopted. Committee Member Dick Hinkle explained that when he chaired the Steering Committee in 1987, he contacted a significant number of people living north of County Road 33 regarding the 10 acre minimum lot size. These property owners did not object to the 10 acre minimum and stated that they liked the area as it was and did not see any reason to develop it further. Cecilia Scheel expressed her opposition to the extensive government controls placed on farmers. Dick Hinkle stated that he opposed the 10 acre minimum lot size, but did not have the support of the people living in the northern area. John Hansen, 22124 Monroe Street, questioned who determines wetlands. He expressed his concern regarding the impact of wetlands when subdividing property. Chairman Minton stated that the DNR and Corps of Engineers determine a majority of the wetlands. Committee Member Marlon Glines questioned the group how many were interested in keeping the 10 acre minimum and how many were in favor of reducing the size to two and one-half acres. Chairman Minton noted that the group was split 50-50. Committee Member Mark Lucas questioned the impact of having 2'/z acre lots next to 10 acre minimum parcels. Chairman Minton explained that the advantage of 10 acre parcels is that if city sewer and water were extended, it would be easier to subdivide 10 acre parcels than 2'/2 acre parcels. He noted what typically happens is homes are placed on 2'/z lots in such a manner that they cannot be subdivided cost effectively. Dick Gruys, 22347 Monroe Street, stated that he owns 232 acres in the northern area. He expressed his opinion that the City should not be proud of the increase in single family homes because it means more young families with children, creating a need for more schools. He stated that single family home taxes do not pay their share for schools. Mr. Gruys explained that he felt the City should be promoting industrial development to help pay for schools and services. Steering Committee Minutes August 25, 1994 ------------------------ n NP��`tO 16811� 0 Chairman Minton agreed that it is important point for the City to maintain a good balance between residential and industrial development. Pat Dwyer responded that the committee has discussed the importance of industrial development at an earlier meeting. He also stated that the EDA's Business Park Task Force has been meeting for the past year to identify industrial opportunities within the community. Robert Holland, 21375 Brook Road, stated it was his understanding that the Federal government made a recommendation quite some time ago that homes drawing their own water and dissipating sewer not be built on less than two and one-half acres. Mr. Holland expressed his concern that the Elk Park Center property contained wetlands. Steve Ach stated that the State Wetland Preservation Act is designed to encourage avoiding wetlands; however it also provides for the relocation of a wetland when it cannot be avoided during development. Discussion followed regarding the Wetlands Act and enforcement in the City. Mr. Gruys stated that he was told by the local game warden that if he finds one cattail on a property, the proper permits must be obtained if you plan to do anything that would be considered disturbing wetlands. Marion Nemeth, 21566 Highway 169, expressed her concern as to why the government wants all the wetlands. She stated that geese from these wetlands are destructive in that they pick up the alfalfa and other grain seeds. Committee Member Chris Kreger stated that the City of Elk River is bound by the Wetland Preservation Act and strictly enforces it. There were comments from the audience that there were instances of homes built in wetland areas in the City. Chairman Minton explained that he could not speak for past actions, but was also aware that the City strictly enforces the wetlands ordinance at this time. Mr. Kreger encouraged persons opposing the restrictions in the Wetlands Preservation Act to contact their state and federal representatives. Gene Thompson, 22017 Elk Lake Road, expressed his concern the Committee take measures to preserve the farmland. Jim Hansen stated that he understands the need to preserve farmland but some of the land in the agricultural zone is not suitable for farming because of soils. Mike Fox, 11747 197th Avenue N.W., questioned why the City wanted the property developed as 10 acre lots, rather than 2'h acre lots. Steve Ach stated that there have been studies conducted that indicated larger tracts of land are easier to develop when sewer and water are extended. The principal behind this concept is to maintain these larger tracts of land so that sewer and water can be extended cost effectively. Steering Committee Minutes August 25, 1994 4N...t i1 L pO�il tLli�� Mike Fox stated that he felt the City Council and Planning Commission were the only ones that wanted sewer and water extended to the north area. Steve Ach stated that the question that needs to be addressed is whether or not the City plans to extend sewer and water north of the current urban service area. Mr. Fox stated that he was not in favor of it. Steve Ach stated that development interest is coming to the area and the community must choose how they wish to deal with it. He explained that there can be problems with platting 2'/z acre lots in that the cost effectiveness of providing services such as snow removal, emergency services, road maintenance and repair is dramatically reduced. Discussion followed regarding the present level of services. Committee Member Dana Anderson stated that he felt the people of Elk River should have a say in how they want their community to develop. He noted that if they did not want a large number of people living north of County Road 33 on 10,000 square foot lots, that a 2% acre minimum would be a good alternative. Mr. Anderson suggested that they could also consider "clustering" 1 acre home sites in a 2'/2 acre minimum lot size area, leaving an open area. Mr. Anderson encouraged citizens to continue to attend these meetings to provide input for the development of the community. He stated that the purpose of this committee is to steer that growth. At this point, Steve Ach provided a map outlining the designated wetlands in Elk River. Committee Member Chris Kreger explained how services were more expensive having a 2'/s lots versus smaller lots which are typically found in subdivisions with water and sewer. Discussion followed regarding park dedication fees when subdividing land. Julius Nemeth expressed his concern that the fees are too high. Debbie Turner, 206th Avenue N.W., owner of 3'/2 acres, stated that she is in favor of maintaining the 10 acre minimum lot size and preserving some rural areas in the City. Paul Weymon, 19650 212th Avenue N.W., expressed his concern that the Committee balance the concerns of the citizens regarding the use of their land. He stated that he bought his property under the assumption that the rural atmosphere would be maintained. He further stated that he finds the heavy gravel and mining zone change contradictory to that goal. Steve Ach stated that in planning for future development, the Steering Committee must balance the need for future development and the services that will be demanded while at the same time keeping taxes at a reasonable level. Dick Hinkle explained his reasons for supporting a 2'/2 minimum lot size as opposed to the 10 acre minimum. He stated that the change is not going to Steering Committee Minutes August 25, 1994 1'✓E1f � �r �� ; to u j Page 7 V U J force a farmer to stop farming, and the only reason he may be pressured to sell is if the price of land becomes so high he feels he cannot not afford not to sell it. At this time, Steve Ach used a map to outline the urban service area. He stated that the City Council is currently studying the possibility of extending services to the East Highway 10 corridor, west towards the Courthouse, and ultimately, to the western border. Steve stated that he did not expect any plans for extending sewer and water into the northern area to be included in this update of the Comprehensive Plan. Mike Fox questioned why Outlot A is in the urban service district and the rest of Brentwood is not. Steve Ach explained that Outlot A could be easily serviced with City water and sewer at this time and Brentwood could not. Marlon Glines expressed his opinion that farmers should not be penalized for maintaining their land as farmland, but that others should be able to develop their land into two and one-half acre lots if they desired. Discussion followed regarding the surface water management fee. Chair Minton stated that issue would need to be discussed with the City Council. Mr. Froehich expressed his frustration that property owners cannot do what they want with their own land. An unidentified resident asked the Committee whether or not the Council could rezone the north area to two and one-half acre lots, and leave the farming areas as they are, without charging them additional taxes for the development around them. Chair Minton stated that could be a possibility. Hank Duitsman explained that residents need to consider that approximately 20 percent of taxes are from the City, 60 percent from the School District, and another 20 percent from the County. He stated that if the lot size change is made and more children enter the school system, that 60 percent school district tax may go up for everyone. Mr. Duitsman added that the City is trying to attract more industrial development. Committee Member Mary Eberly asked if there was any data available regarding the impact on demand for services for lot sizes such as 2'/z acre lots versus 10 acre lots. Steve Ach stated that there studies, however, he did not have them available at this time. A resident stated that he feels that the best way to preserve the rural flavor is by changing the 10 acre lots size minimum to two and one-half acres. He stated that he felt that would prevent parcels from being split up into 10,000 square foot lots. Pat Dwyer expressed his concern that land uses be planned in such a manner so that incompatible uses are not located next to each other. Gertie Toth stated that the City needs to attract more business and industry to Elk River so that people that live here can also work here. She added that land Steering Committee Minutes ` 1rpa�e $ I �t 1�`j August 25, 1994�'Uu gU L'V' U E ------------- should be set aside now for industrial, rather than trying to put it next to homes that are already there. Committee Member Pat Dwyer noted that the City Council recently adopted a business park zone in order to provide an area for light industrial development. Marlon Glines stated that townships just outside of the Elk River area with 2'/2 acre minimum lot sizes are developing at quite a fast pace. He questioned the residents present whether or not they would be in favor of a lot size of two and one-half acres if there were no adverse effects on the farmers. A majority of the people were in favor of this concept. He stated that it has been his experience that it is possible to have larger lots mixed with smaller lots when development occurs. He stated that an older home can be remodeled to fit in with new housing to look like it belongs there. Marly also explained how lots can be subdivided with a sewer and water overlay, placing a home on the property in such a way that it can be subdivided later if sewer and water is extended. A resident asked that the Council take into consideration those residents like himself who bought ten acres because that is what they wanted, and do not want to see it changed. Dick Hinkle explained that when he served on the Anoka Board of Realtors, the Met Council tried to enforce a 10 acre minimum on local government and HUD refused to finance anything less than 10 acres in that area. He stated that they when to Washington D.C. to fight the restriction and won because it wasn't legal. Jerry Jackson, resident on 200th Avenue N.W., expressed his view that he receives no benefits living in Elk River. Committee Member Arne Engstrom stated that the County Board voted to open development to two and one-half acre lots. This does not mean there cannot be larger lots, only a minimum of two and one-half acres. Cecilia Scheel agreed with Arne Engstrom that people want to be able to develop their property if they wish. Cindy Lowe, resident in Greenhead Acres, expressed her opinion that she would like to see the lot size remain at 10 acres. She stated that she has a four acre lot and does not want to receive a huge assessment at some point in the future for improvements. Chris Kreger stated that the closer a resident lives to the urban service area, the sooner those services may come to them. He stated that he sympathized with residents who purchased 10 acres assuming that it would remain that way, but they needed to take into consideration that an adjoining neighbor may have an entirely different opinion. Mr. Kreger stated that it is the Committee's responsibility to collect the opinions and facts that relate to the area being discussed and then to determine what is the general feeling of the public. He stated that the committee will do their best to develop a compromise to satisfy both sides of the issue. Steering Committee Minutes August 25, 1994 ------------------------ it, r ���_j'k Mr. Kreger stated that the Comprehensive Plan is designed to plan for the next 5 years, but it is also intended for the plan to fit into the next 10 to 15 years as well. Cliff Ibis, 13790 196th Avenue, resident of the Peterson Addition, stated that many of the residents there fear that the City will plan to extend sewer and water into their area. He explained they would not be able to afford the cost because they have two and one-half acre lots, and also, they are currently paying for road improvements. Chair Minton thanked the residents for their participation. Hank Duitsman encouraged anyone with comments or concerns regarding the northern area direct them to Chair Minton and they would be entered into the record and reviewed. The meeting adjourned at 9:15 p.m. Respectfully submitted, Debbie Kleckner Recording Secretary