5.7. SR 05-10-2010Item # 5.7.
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MEMORANDUM
TO: City Council
FROM: Jeremy Barnhart, Planning Manager
DATE: May 10, 2010
SUBJECT: Commercial Reserve Transitional Zone Update
Staff understands there was a desire identified as part of the Council goal setting discussion
for an update on the Commercial Reserve Transitional zoning district.
The Commercial Reserve Transitional (CRT) zoning district was developed in late 2007 to
reflect land use suggested by the 2004 Comprehensive Plan:
"This land use identifies areas held in reserve for future commercial
development....Also, the Comprehensive Plan seeks to guide development in
vacant land already served by utilities before opening new areas for growth.
The reserve status allows planning to facilitate the desired form of
development in the future."
The CRT is an ordinance that facilitates the desired form of development in two ways:
By preserving larger tracts of land, land is ultimately easier to assemble. Larger tracts
are easier to assemble into a critical mass than smaller lots, as evidenced by the
challenges the developer had in acquiring land on 175`", and also why redevelopment
is so costly.
• By allowing typical conditional uses as interim uses, property owners and those
wishing to invest in the area are put on notice that the area will change. Further
interim zoning is expected to reduce potential conflicts with implementing a plan,
and the need for the city to intervene in land assembly.
Staff will be available at the meeting to discuss this item further.
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REQUEST FOR ACTION fir` ~n~ c~,!'~~
To Item Number
Ci Council 6.4.
Agenda Section Meeting Date Prepared by
Community Development November 19, 2007 Jeremy Barnhart, AICP
Plannin Mana er
Item Description Reviewed by
Ordinance to Approve Zone Change Request by City of Elk
River to Rezone Certain Property From R1a (Single Family Reviewed by
Residential) and Al (Agricultural Conservation) to Commercial
Reserve Transitional (CRT) -Public Hearing -Case No ZC
07-06
Action Requested
Rezone approximately 1,000 acres currently guided Commercial Reserve to Commercial Reserve
Transitional from its current zone of either Al or R1a.
Summary
The 2004 Comprehensive Plan identifies approximately 1000 acres for Commercial Reserve:
"This land use identifies areas held in reserve for future commercial
development....Also, the Comprehensive Plan seeks to guide development in vacant
land already served by utilities before opening new areas for growth. The reserve status
allows planning to facilitate the desired form of development in the future."
At the September City Council workshop, the Council directed staff to begin the process of rezoning the
subject areas to a recently created zoning district, Commercial Reserve Transitional (CRT). This
Ordinance was adopted by the City Council on July 16, 2007.
Staff has mailed notice to all property owners in the subject area, as well as those within 350' of the
district's boundaries. Copies of the proposed regulations have been made available and staff has spoken
with a number of property owners.
Public Comment
The Public Hearing was well attended, with approximately 15 -20 people in attendance. Those speaking
represent almost 50% of the subject area, as shown on the attached map. During the public hearing,
several citizens voiced concerns or questions, which are summarized as follows in Bold. Staff's response
follows the concerns:
What will the new zoning district do to my taxes? After speaking with the Sherburne County
Assessor, and his chief deputy, the Assessors office assesses taxes based on two principles: Value and
Classification. Classification is based on the use of the land: If the land is used for industrial, it's classified
S:\Community Development\Planning Main\Case Files\ZC\ZC 07-06 Commercial Reserve\Action Requested -CRT rezoning CC.doc
as industrial, residential to residential, etc. The only time this classification is based on zoning, according
to the Assessors department, is when the land is determined vacant: not mined, farmed, lived on, or used
for a business. If the property is vacant, then the Assessors office uses zoning to help identify the
appropriate classification. The assessors department also said that a rezoning to CRT wouldn't
necessarily impact those vacant parcels, because of the reserve transitional nature of the zoning district.
The second principle affecting taxes is the value of the property, and the Assessors office uses
comparable sales. Sales adjacent to Highway 169 are typically at a higher price because of their future
commercial potential which will affect adjacent property values, regardless of the underlying zoning
district.
In summary, according to the Assessors office, assuming all land uses stay the same, neither the value nor
classification will be affected by the underlying zoning district.
What are the main differences between the CRT and the A-1 zoning districts? The CRT was based
very closely on the A-1 zoning district, but there are some exceptions:
A-1 (summarized)
Differences in bold
CRT
(b) Permitted Uses (b). Permitted uses.
(1) Ag (5 acres minimum) (1.) Ag/ Horticulture uses (10 acre lots or more)
(2) Public parks, playgrounds and open space (2.) Public parks, playgrounds and open space
(3) Facilities for flood and erosion control (3.) Facilities for flood and erosion control
(4) Horticulture Uses (4.) Single Family dwellings
(5) Golf Courses and Country Clubs
(6) Single Family Dwellings
(7) Model Homes in Compliance with Sec 30-80(
(8) Licensed day care facilities fox 12 or fewer
(9) Permitted Home Occupations
(10) Truck Tractor and/or Trailer (non platted
Parcels 5 acres or larger)
(11) Open Space preservation Plats
(c) Accessory Uses
(1) Accessory farm structures
(2) Public Shelters and essential services
(3) Garages and Sheds, metal skinned
(4) Private Recreational facilities
(5) Private kennels
(d) Conditional Uses
(1) Commercial recreation facilities;
(2) Campgrounds
(3) Feedlots
(4) Institutional uses
(5) Roadside sales stands
(6) Vet clinics and commercial kennels
(7) Cemetery
(8) Conditional Home Occupations
(9) Airports
(10) Offices
(11) Temp mobile homes
(12) Licensed day care for 13 or more children
(c). Accessory Uses
(1.) Accessory farm structures
(2.) Public Shelters and Essential Services
(3.) Garages/ sheds incl metal skinned buildings
(d). Interim Uses
(1.) Roadside sales stands
(2.) Wind generators
(3.) Coop gardening in preserved open space
(4.) Gravel mining
(5.) Asphalt and concrete plant.
(6.) Other uses existing as of the date of this ordinance.
(7.) Commercial recreation facilities;
(8.) Veterinary clinics commercial kennels;
(9.) Conditional Home Occupation;
(10.) Offices with a min GFA of 10,000 sgft;
(11.) Hort/ floriculture uses in preserved OS;
(12.) Private stables in preserved open space;
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(13) Ag uses less than 5 acre lot size (13.) Wayside stands in preserved open space.
(14) Truck tractor parking (platted lots less than 5 acres)
(15) Wind generators
(16) Coop gardening
(17) Hort/ floriculture uses in preserved OS;
(18.) Private stables in preserved open space;
(19.) Wayside stands in preserved open space.
(20) Landscaping contractor's yard provided that:
The use is on unplatted property
Screening of outdoor storage area is provided if the outdoor storage area is within 50'
pf a property line.
"Size regulations" A-1 CRT
Lot size 10 acres 20 acres
Frontage 300 feet 300 feet
Front yard setback 50 50
Rear Yard setback 50 50
Side setback 25 25
Lot coverage 20% 30%
Max Height 3 story or 40' 3 story or 40'
The CRT ordinance was drafted to allow the uses existing (Other uses existing as of the date of this ordinance.), but
not to encourage new businesses or residential which would either hamper the City's ability to plan the
area, or hamper its ability to implement this plan. Additionally, the minimum lot size was increased to
preserve the larger lots in the area, again, possibly making land assembly more difficult in the long run.
Can I expand my house, or build an accessory structure? In most cases, a single family homeowner
can expand their house, build accessory structures, etc. Only when they encroach into setbacks will they
be constrained by the new ordinance, however, the setbacks are the same as the A-1 zoning district. A
property owner may not subdivide their property if they create lots smaller than 20 acres, again to
preserve the larger lots. Implementation of a plan is more difficult if there are smaller lots. Most people
will see no negative affect if their property is rezoned.
When will the Master Land Use plan be completed, and what will happen to my property once
this plan is completed? There has been no time table set on the completion of a master plan for
property east of 169. Once this plan has been completed, it is suggested that the City rezone the property
to better facilitate the plan, depending on the desired land use.
Will the City condemn my property once the plan is completed? The purpose of a master plan is to
develop consensus and vision for an area, and to avoid having to condemn business and property for its
implementation. While the City is likely not going to abandon its eminent domain powers for road and
other utility purposes, the interim zoning is intended to temper private investment in the area, to reduce
potential conflicts with implementing a plan, and the need for the city to intervene in land assembly.
Won't the minimum lot size for residential drop to 2.5 acres in 2008? Adjacent to the Commercial
Reserve area is residential areas guided as 2008 and 2010. In these areas, the minimum lot size will reduce
from 10 acres to 2.5 acres in either 2008 or 2010. No property in these areas will be affected by the
S:\Community Development\Planning Main\Case Files\ZC\ZC 07-06 Commercial Reserve\Action Requested -CRT rezoning CC.doc
proposed rezoning. The properties within the proposed Commercial Reserve Transitional zone are not
located within the 2008 or 2010 guide.
Planning Commission Discussion
The Planning Commission concurred with the concerns voiced by the public, but recognized the benefits
of the proactive posture taken by the City. The Commission strongly directed staff to research the tax
implications on the property owners before the item was placed on the Council agenda. The Planning
Commission recommendation to approve the rezoning passed with 5-1 vote, with Commissioner Lemke
absent, and Commissioner Austad voting no.
Attachments
• Staff Report to Planning Commission dated November 13, 2007
• Map of area, showing speakers
Action Motion by Second by Vote
Follow Up
S:\Communit}' Development\Planning Main\Case Files\ZC\ZC U7-U6 Commercial Reserve\Action Requested -CRT rezoning CC.doc
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