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3.1. DRAFT PC MINUTES 11-28-2023 Meeting of the Elk River Planning Commission Held at the Elk River City Hall Tuesday, October 24, 2023 Members Present: Chair Jill Larson-Vito, Commissioners Perry Beise, Dennis Booth, Eric Johnson, Craig Keisling, Tony Mauren, and Rob Rydberg Members Absent: None Council Liaison: Councilmember Matt Westgaard Staff Present: Community Development Director Zack Carlton, Senior Planner Chris Leeseberg, and Sr. Administrative Assistant Jennifer Green 1. Call Meeting to Order Pursuant to due call and notice thereof, the meeting of the Elk River Planning Commission was called to order at 6:39 p.m. by Chair Larson-Vito. 2. Consider Agenda Moved by Commissioner Johnson and seconded by Commissioner Booth to approve the October 24, 2023, Planning Commission agenda as presented. Motion carried 7-0. 3. Consider Minutes Moved by Commissioner Keisling seconded by Commissioner Booth to approve the September 26, 2023, Planning Commission minutes as presented. Motion carried 7-0. 4.1 Bogart Pederson & Associates, Inc.  Preliminary Plat of Park Pointe Second Addition, Case No. P 23-10 Mr. Leeseberg presented the staff report. Chair Larson-Vito opened the public hearing. There being no one present to speak on this item, Chair Larson-Vito closed the public hearing. Moved by Commissioner Beise and seconded by Commissioner Booth to recommend approval of the Preliminary Plat of Park Pointe Second Addition as the standards set forth in Section 30-654 are satisfied. Motion carried 7-0. Planning Commission Minutes Page 2 October 24, 2023 ----------------------------- 4.2 City of Elk River  Ordinance Amendment to various sections pertaining to Home Occupations and Interim Uses, Case No. OA 22-06 Mr. Leeseberg presented the staff report. Commissioner Johnson asked Mr. Leeseberg to explain the CUP process and what it entails. Mr. Leeseberg explained the process of what is required to apply for a permit. He explained applicants struggle with the cost of an architect, especially finding one to assist in architectural drawings and plans as they sometimes do not want to take on a job that small; however, it is a requirement of the state to have these plans. Commissioner Mauren asked about the proposed IUP renewal process, and would it be renewed by council or just staff. Mr. Leeseberg stated a public hearing would be required after 3 years before both the Planning Commission and City Council. Chair Larson-Vito opened the public hearing. Josh Clark, 21144 Twin Lakes Rd. NW, explained his viewpoints and did not support the city potentially removing accessory structures as a part of CUPs. He outlined the background and expenses of his small business and asked the city to reconsider the IUP renewal process. th Doug Pearson, 10840 200 Avenue NW, asked questions regarding the number of CUP applications and complaints in 2023 and asked for some numerical data as he has recently watched some meetings. He felt there was fear mongering complaints about the potential of a business coming to a neighborhood and was concerned with people trying to earn a living. Mr. Leeseberg answered some questions from the first two speakers. He explained the changes that were allowed. th Andrew Knoll, 11791 139 Avenue Dayton, explained he supported his friend Josh Clark. He explained how Mr. Clark provided his own home with updates and improvements that he couldn’t afford with a larger company because of Mr. Clark’s grassroots nature. He felt if the city takes away the ability to obtain a CUP, it will affect the residents of the city and their properties. Mark Olson, 18778 Yankton St. NW, explained how he operated their business for about 10 years in the 1970s and explained how his business thrived after he moved to Monticello. He stated he supports the IUP process and is against the permanency of a CUP. th John Casey 9922 178 Avenue Elk River – explained how he obtained a CUP from the city 20 years ago and how much it helped him with growing his business. He felt it important for neighbors to talk to neighbors if there are issues. He hoped the city would keep an open mind about keeping CUPs as an option for entrepreneurs. Planning Commission Minutes Page 3 October 24, 2023 ----------------------------- th Jason Bye 10208 – 209 Avenue NW - explained his working with the city to get a CUP to operate his business, and suggested the city look at each property on an individual basis, apply different conditions with those properties with more acreage, and allow outdoor storage. Jim Lang, 378 Gates Avenue NW, asked if a CUP was necessary for every home business. Mr. Leeseberg explained the requirements of a home occupation CUP. Kate Kanne - 20937 Ogden Street NW– asked questions about her pending dog boarding facility and wanted to make sure she would be able to move forward with her plans. Mr. Leeseberg stated Commercial Kennels were handled differently than CUPs and while the use may still require a CUP – which in her case, it does- it isn’t regulated by the same ordinance requirements. th Nick Knaeble – 9660 178 Avenue NW, Elk River – along with his wife Heidi – explained they started a dog grooming business 3 years ago with a CUP and followed the rules, with neighbors concerned about traffic, etc. He stated their business does not affect any traffic flow in our neighborhood. They were concerned the city would now be taking away their livelihood. Mr. Leeseberg explained the incorrect misconceptions of the Facebook post, stating the city was not ending the CUP process, and while the city should be careful making residential businesses, we do need home occupations. Chair Larson-Vito clarified that properties with existing CUPs are not being turned into IUPs. She stated this would apply only to new applications. Josh Clark reiterated his concerns for the city amending the home occupation ordinance and didn’t feel it fair for residents to have to come back to the city every three years to renew their IUP. He provided scenarios of successful home-based businesses and felt it was a disservice to them that the city requires commercial code requirements on their buildings. Chair Larson-Vito clarified that the commercial building codes are driven by the state, not the city. Mark Hickman, 19069 Zebulon Street NW – asked questions about his desire to someday sell his property and business without regulations from the city, and requested the city support their residents and future retirement goals. Evan Gillette 12671 Meadowvale NW – asked about agricultural operations on properties which require outdoor storage to operate. He felt outside storage along with adequate space is a very important requirement for many small businesses. Andrew Clark – Josh’s brother – stated he wasn’t a resident yet but asked the city to consider future generations of small business owners that wanted to put their roots in Elk River. Zack Texly – stated he was a Ramsey resident and small business owner himself. He stated he cannot obtain a CUP on his city lot. He felt outdoor storage is an important part of small business operators. He asked why incubator spots aren’t more available and affordable. Planning Commission Minutes Page 4 October 24, 2023 ----------------------------- Jessie Arntson, 851 Line Avenue, Elk River – thought members of the Planning Commission were voted for by the citizens and asked the city to provide small businesses with a place to start. There being no one else present to speak on this item, Chair Larson-Vito closed the public hearing. Mr. Leeseberg answered the various questions that arose from the public hearing. He stated agricultural uses are directed by the state. He stated a new building is costly and retrofitting a building to meet the building code requirements could be equally as costly. He answered Mr. Lang’s questions about permit requirements in a home office space and technically it is required and noted there are potentially hundreds in the city that the city isn’t aware of. Mr. Leeseberg indicated the commission could entertain those hours of operation for IUPs. He indicated the city could put together the number of home businesses as well as number of complaints as they do have to take those seriously. He stated truck weight has not changed but the intent of that is the semi-truck deliveries, and if a business needs and wants that, it could be allowed in certain zoning districts with the required acreage. He indicated any inspections would be done at a reasonable time. He stated companies like Apple and Amazon be allowed to operate with a permit and when they outgrow their property, would go into a commercial building. Chair Larson-Vito clarified the members of the commission were appointed and the city council were voted for by the residents. She stated the commissioners are trying to help small businesses, not shut them down, and also consider things fair for the neighbors. She stated she appreciated the input from the audience in order for them to make good decisions. She stated staff wouldn’t call the SWAT team nor do they have time to check to see if you are operating a home business. Mr. Leeseberg stated the city is put in the position to be reactive and not proactive, with neighbor complaints driving the process. He indicated some start with the architect process, but staff has zero leeway on that. Commissioner Booth asked about a scenario where a property owner wanted to sell their home and business to another person, would the new owner be able to apply for an IUP to carry on the businesses. Mr. Leeseberg stated the way the ordinance is written today, yes. He stated if the ordinance is adopted that an IUP is required, the new owner could apply for an IUP. Commissioner Rydberg reminded the commission that a CUP stays with the property forever, and if a new owner operates a business that causes problems, the neighborhood is stuck with that business. The proposed amendment would have the IUP end with the sale of the property. Commissioner Booth asked if a schedule should be set up if an IUP is adopted. Perhaps 3 years then 10. Or the sale of the property. Chair Larson-Vito liked that proposal, which she felt would reduce the administrative burden or worry from neighbors that the property owner will run the business properly. Mr. Leeseberg agreed and reminded the commission the complaints received are mostly always prior to a permit being acquired, and after being brought into compliance, usually don’t receive any complaints after that. Planning Commission Minutes Page 5 October 24, 2023 ----------------------------- Commissioner Johnson stated the whole idea of an IUP is for a home-based business that is successful from the start and outgrows beyond what the residential property can support. He felt a 3-year mark would be a good time to review. Commissioner Johnson asked for review of the proposed requirements of outdoor storage. Mr. Leeseberg stated the city has had six outdoor storage home occupation applications which are in limbo because of conditions of outdoor storage. Most requirements are for screening using berms, vegetation, or fencing, and located on a specific portion of property. Commissioner Johnson suggested the IUP process not have an end date and end with the sale of the property. He stated if issues or complaints come up, the IUP can be revoked. He felt it would be better than having residents coming back every three years to renew, saving time and money. Commissioner Mauren agreed with this approach. He asked about clarification on the revocation process. Mr. Carlton stated to revoke a CUP, the city has a formal review process that includes a public hearing, along with a Findings of Fact the city council can approve via a resolution. He stated the city could revoke an IUP using the same process. Chair Larson-Vito liked this route as it prevents an administrative headache and doesn’t affect the property owner selling the business. Commissioner Keisling asked about outdoor storage and how to determine what’s allowed depending on number of acres. Commissioner Rydberg stated the commission should try to avoid visual disturbances by screening. An audience member asked about junk yards in residential neighborhoods. Mr. Carlton stated a junk yard (tearing down cars to sell parts) is not an allowed use in residential zones. Chair Larson-Vito comments that staff could come back with a sliding scale of outdoor storage allowances next month to include increments, setbacks, where allowed on property, etc. Councilmember Matt Westgaard encouraged the Planning Commission to work this out tonight knowing the City Council was very reluctant to put a moratorium in place. He stated with either process (CUP or IUP), the commission can add any conditions on each application that comes before them that they see fit. If outdoor storage doesn’t seem appropriate, the Planning Commission has the opportunity to limit that with conditions. It doesn’t have to be outlined in the ordinance but rather leave it up to each individual situation. Moved by Commissioner Johnson and seconded by Commissioner Beise to recommend approval of the Elk River City Code pertaining to Home Occupations and Interim Uses with the changes of an Interim Use Permit (IUP) to expire with the sale of the property, removing outdoor storage as a prohibited use, and restricted hours of operation for IUPs only pertaining to the following sections:  Section 30-1 Definitions  Section 30-658 Interim Uses Planning Commission Minutes Page 6 October 24, 2023 -----------------------------  Section 30-801 Home Occupations  Section 30-991 R1 District  Section 30-992 R2a District  Section 30-993 R2b District  Section 30-994 R3 Townhome District  Section 30-1027 XCR Extreme Commercial Recreation  Section 30-1583 CRT Commercial Reserve Transition  Section 30-1584 MU-ERP Mixed Use - Elk River Plaza  Section 30-1587 Focused Area Study (FAST)  Section 46-34 Public Nuisances Motion carried 7-0. 6. General Business There was no General Business to report. 7. Council Liaison Updates Councilmember Westgaard updated the commission on recent council decisions. 8. Motion to Adjourn Regular Meeting Moved by Commissioner Beise and seconded by Commissioner Keisling to adjourn the regular meeting of the Planning Commission at 8:30 p.m. Motion carried 7-0. The work session opened at 8:30 p.m. in the Council Chambers. 9.1 Spectrum High School – 17823 Industrial Circle NW Mr. Carlton presented the staff report stating Spectrum has continued to operate a successful school and are now looking to expand their facilities to add additional athletics and arts capacity. These changes will require a change to the zoning district to add institutional uses back into the Business Park, or the city could place the parcels wholly dedicated to educational uses into a PUD. Commissioner Johnson stated he felt a Planned Unit Development (PUD) is probably the right thing for this space to allow them to build and grow within the confines of their space. Mr. Carlton asked for clarification of parcels included in the PUD and three of the sites would be included: 75-849-0010, 75-659-0115, and 75-659-0110. It was the consensus of the Planning Commission to support the expansion of Spectrum High School as presented with the suggestion of the use of a Planned Unit Development (PUD). Planning Commission Minutes Page 7 October 24, 2023 ----------------------------- 10. Motion to Adjourn Work Session Moved by Commissioner Johnson and seconded by Commissioner Keisling to adjourn the work session meeting of the Planning Commission. Motion carried 7-0. The meeting was adjourned at 8:40 p.m. Minutes prepared by Jennifer Green. ___________________ Jill Larson-Vito, Chair ___________________ Tina Allard, City Clerk