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2017-05-23 Planning Comm MinutesMay 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 1 CITY OF MENDOTA HEIGHTS DAKOTA COUNTY, MINNESOTA PLANNING COMMISSION MINUTES May 23, 2017 The regular meeting of the Mendota Heights Planning Commission was held on Tuesday, May 23, 2017 in the Council Chambers at City Hall, 1101 Victoria Curve at 7:00 P.M. The following Commissioners were present: Chair Litton Field, Jr., Commissioners Howard Roston, Michael Noonan, Doug Hennes, and Brian Petschel. Those absent: Mary Magnuson and Christine Costello Approval of Agenda Chair Field proposed that the hearings take place in the following order: A) Case 2017-05, B) 2017-06, C) 2017-07, E) 2017-09, F) 2017-10, and D) 2017-08. Revised Approved with 5 AYE votes. Approval of April 25, 2017 Minutes COMMISSIONER PETSCHEL MOVED, SECONDED BY COMMISSIONER ROSTON TO APPROVE THE MINUTES OF APRIL 25, 2017, WITH THE CORRECTION THAT COMMISSIONER COSTELLO WAS ABSENT AYES: 5 NAYS: 0 ABSENT: 2 (Magnuson, Costello) Hearings A) PLANNING CASE #2017-05 MR. SEAN HOFFMANN, MANAGER BP/MENDOTA HEIGHTS AUTO SERVICE STATION, 2030 DODD ROAD PROPOSED ZONING CODE AMENDMENT – ALLOW MOTOR FUEL SERVICE STATIONS AS A PLACE OF SALE/RESALE OF NEW OR USED MOTOR VEHICLES Planner Tim Benetti explained that Mr. Sean Hoffmann, the local manager of the BP/Mendota Heights Auto Service Station on the corner of Dodd Road and Highway 110, approached staff and informed them that he was in the process of obtaining a motor vehicle dealer license. His desire is to provide for that service or operation at the local business. Unfortunately, City Code Title 12-1D-13-3, standard F4 currently states that ‘service station premises shall not be used as a place of sale or resale, or as a place for display for sale or resale, of new or used motor vehicles, trailers or campers.’ Mr. Hoffmann is requesting an amendment to the code. The standards listed under this portion of the City Code are applicable to other service stations. The City has one full service station and two convenient store type gas stations. Planner Benetti also noted that under Title 12-1F- 4, limited auto sales are permitted only in the B-3 District as follows: “Automobile and other vehicles of transportation sales when conducted entirely within a building.” This is why there are not large scale auto dealerships, such as the ones seen on Highway 110 in Inver Grove Heights or in West St. Paul. May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 2 Mr. Hoffmann explained in his request that he wants to be very limited; he does not want to turn this into a used car lot. Planner Benetti this would open up the door to a lot of vehicles on the site. Staff suggested, for the report process, Mr. Hoffmann should modify the request with conditions; such as, no vehicles shall be marked or have any visible signs indicating “For Sale’ or similar; vehicles for sale under this provision will be limited to more than _____ [staff indicated a number determined by the Planning Commission] vehicles on the site; vehicles for sale shall not be placed in any front yard setback (including a corner front yard) of the subject property, and vehicles must be stored in an inconspicuous area of the property as approved by the Zoning Administrator. Upon researching, Planner Benetti was unable to find other communities in the metro area that would allow gasoline service stations and/or convenience stores to display or sell vehicles on these properties. Staff recommended that the Planning Commission recommend denial of this application. However, the Planning Commission could give some direction or guidance or input as to whether or not, as alternative, would they allow the applicant to ask for a variance to the Conditional Use Permit that was approved for the site. Commissioner Petschel, noting a paragraph of page 3 of the staff report stating that “it does not appear other cities generally permit or allow gasoline service stations and/or convenience stores to display or sell vehicles,” asked if any other information has been discovered since the issuance of the report. Planner Benetti replied that during his search he was unable to see that any allowances were made for auto sale uses and nothing new has been revealed since the preparation of this report. Mr. Sean Hoffmann came forward and addressed the Commission. He stated that he is trying to obtain his dealers license to gain access to the wholesale auto auctions. Usually once or twice a month he has a customer asking for a) where can I get a used car, b) can you help me find a vehicles for my son, daughter, wife, or myself. It is his desire to cater to these customers. To obtain a dealers license the property needs to be zoned properly, which is why he is making this request. He believes there is a need for this in Mendota Heights. Commissioner Noonan, referencing the comment about needing this approval to obtain his dealers license, asked if he had to have an actual location or could he just hold a dealers license. Mr. Hoffmann replied that, per Minnesota law, he has to have a brick & mortar store where it is permissible to sell vehicles. He has no plans of keeping vehicles on the lot with flags and neon signs, or anything like that. Commissioner Noonan asked, if the Commission were to recommend the conditions stated above and inserted ‘zero’ in the blank spot, if that would work for him. Mr. Hoffmann replied in the affirmative. If someone comes to him he wants to be able to purchase the vehicle from the wholesaler, inspect the vehicles at his location, and be able to pass that onto the customer at significant savings to that customer. He anticipated that the longest a vehicle would be on his site would be overnight – but it would not be sitting out on his lot with a “For Sale” sign on it. Chair Field opened the public hearing. Seeing no one coming forward wishing to speak, Chair Field asked for a motion to close the public hearing. COMMISSIONER NOONAN MOVED, SECONDED BY COMMISSIONER HENNES, TO CLOSE THE PUBLIC HEARING. AYES: 5 NAYS: 0 May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 3 ABSENT: 2 (Magnuson, Costello) COMMISSIONER NOONAN MOVED, SECONDED BY COMMISSIONER HENNES, TO RECOMMEND DENIAL OF PLANNING CASE 2017-05, THE REQUEST TO AMEND CITY CODE TITLE 12- 1D-13-3 TO ALLOW SERVICE STATIONS TO BE USED AS A PLACE OF DISPLAY, SALE AND/OR RESALE OF NEW OR USED MOTOR VEHICLES BASED ON THE FOLLOWING FINDINGS OF FACT: 1. Amending the zoning code is not in the best long-term interest of the City of Mendota Heights 2. It is not consistent with the land use and zoning in the area Commissioner Petschel stated that he has no problem with someone wanting to be a broker on their own property. The question is whether or not the language can be changed in the ordinance so the City does not end up with someone purchasing Mr. Hoffmann’s business and putting 10 cars on their lot and selling them; aside from limiting the number of vehicles. Commissioner Hennes agreed and commented that this could become a popular thing; it could become known as a place where a resident could sell their car. Commissioner Noonan stated that the lot is currently a busy lot; and it is not just this lot, this would apply to the other gas station lots as well. Changing the ordinance would change the nature of those operations. If the ordinance speaks for itself in terms of how the City wants to see car dealerships or car operations handled, then there is no reason to change it. Commissioner Roston stated that, as stated in the staff report, it is true that the other two stations are both Super America, and it is unlikely that Super America is going to ever get into this type of business, but they could also sell out. He also believed that it would be somewhat disingenuous to amend an ordinance to allow the sale or resale of cars and then to say you cannot have any cars on the lot. Chair Field noted that one alternative staff recommended was to take more time and look at the possibility of a variance. The question was asked how the variance would make the situation any different; and would it meet the variance rules. Commissioner Noonan stated that if it does not stand the test with satisfying the Commission with respect to use, giving it more time is not going to change things. Planner Benetti noted that there is a fine line for allowing a variance for a use, because “use variances” are not permitted by state law. If the Commission wanted to explore an alternative, he would want to get the City Attorney involved. Commissioner Petschel stated that it appears that no one wants a used car lot; however, is there a desire to see someone with the ability to act as a broker for used cars as part of their business. Commissioner Roston stated that personally he likes the station, he goes to the station and believes that Mr. Hoffmann is a good operator and he does not have any problem with him having a broker’s license. The Commission should do whatever it can to encourage whatever business he can; however, he does not believe this fits here. If there was a way to accommodate his broker license without having the change the ordinance, he would be in favor of that. He just did not know how to get there with the existing state law. Commissioner Noonan noted that even if the Commission adopted the motion to denial, there is nothing that preclude the pursuit of the sustainable brokerage license. Even if it came back and they want a brick & stick home, he was unsure that there was support by the Commission for it. May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 4 Planner Benetti stated that on the application for the motor vehicles dealers’ license, there is a zoning approval area where he would have to indicate that it meets the zoning or it does not. Typically, the other brokerages licenses that he has signed off on, they were typically run out of an office building or an office suite. The understanding was that, because they were only brokering from party A to party B, he could write ‘absolutely no parking or display of vehicles would be allowed at this site’ because that was not allowed. As an office brokerage use, the state will accept that if the City limited it; however, it had to be provided for in the underlying zoning ordinance that the activity or use would be permitted in that district. Commissioner Roston also pointed out that the ordinance has to be land use based, not user based. AYES: 5 NAYS: 0 ABSENT: 2 (Magnuson, Costello) Chair Field advised the City Council would consider this application at its June 6, 2017 meeting. B) PLANNING CASE #2017-06 MR. JASON SANDERS OF THE THOMAS IRVINE DODGE NATURE CENTER LOT LINE ADJUSTMENT FOR DODGE NATURE CENTER PARCEL, GENERALLY LOCATED AT 656 HIGHWAY 110 Planner Timothy Benetti explained that this request is a simple lot line adjustment. The applicant is Mr. Jason Sanders of the Thomas Irvine Dodge Nature Center. The request is to simply cleave off a parcel on the north end. A lot line adjustment is typically used to create an adjustment to lot lines, as the name entails. However, it is also used in cases where two parties are creating a piece of land or parcel between the two that would not be used for any type of development purposes, where a lot split would entail a development right to it. The 6.53 acre parcel is being taken by Dakota County to assist in the extension of the Lebanon Trail System and also to provide for a little bit extra space for the underground tunnel or underpass that would be going under Highway 110 as part of that reconstruction project. The section of land to be separated and created under this lot line adjustment will not affect or hinder the overall use and purpose of the remaining 45.5 acre parcel. The separated parcel would be sold to Dakota County subject to this action. Staff recommended approval of this application. Commissioner Noonan asked if this newly created parcel could only be sold to Dakota County. Planner Benetti replied that currently the agreement is strictly between the Dodge Nature Center and Dakota County. Commissioner Noonan asked for further clarification that if the agreement between the Dodge Nature Center and Dakota County were to not succeed for some reason, could the shopping center located adjacent to the newly created parcel purchase it. Planner Benetti replied that he did not believe that could happen because the entire Dodge Nature Center is covered under a conservation easement, and this parcel is being created to accommodate a specific need. Chair Field noted that he is a former president of the Dodge Nature Center and still serves on the board. He does not feel that he has any conflict of interest and certainly does not have any economic interest; however, for the record he acknowledge that and asked if anyone felt that he should stand down from voting. May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 5 Mr. Jason Sanders, Executive Director of Dodge Nature Center clarified that the section under discussion is not currently under the Dakota County Easement; however, it does have a Minnesota Department of Transportation (MnDOT) easement on it. Chair Field opened the public hearing. Mr. Keith Kraft, 1314 Furlong Avenue, stated that when Mr. Benetti put up the map and talked about part of a trail way system, he did not see how the trail could go below – where the trail met up. He asked if the trail would connect with something to the south. Chair Field replied that it connects through the Mendota Heights Plaza project. Public Works Director Ryan Ruzek further clarified that the trail would connect with the cul-de-sac at South Plaza Drive, go through the former MnDOT right-of-way, and the underpass project. Mr. Al Singer, Dakota County Land Conservation Manager, 49 O’Day Street, Maplewood clarified that the County Board has already approved the resolution to purchase the property, they have a signed purchase agreement. This will soothe a lot of public interest on both the City and County’s part. Mr. Joseph Weiss, 643 Highway 110, asked if this lot line adjustment would impact any of the properties on the north side as far as taxes or anything else. Chair Field replied that taxes are not the Commission’s preview and all they could comment on is the land use and the proposed lot line adjustment per the agreement between Dakota County and Dodge Nature Center. City Administrator Mark McNeill was unable to find a connection between property taxes and the neighborhood properties and did not believe there would be any impacts on the neighbors. COMMISSIONER ROSTON MOVED, SECONDED BY COMMISSIONER PETSCHEL, TO CLOSE THE PUBLIC HEARING. AYES: 5 NAYS: 0 ABSENT: 2 (Magnuson, Costello) COMMISSIONER NOONAN MOVED, SECONDED BY COMMISSIONER PETSCHEL TO RECOMMEND APPROVAL OF PLANNING CASE 2017-06 LOT LINE ADJUSTMENT BASED ON THE FOLLOWING FINDINGS OF FACT: 1. The proposed lot line adjustment request meets the purpose and intent of the City Code and can be considered consistent with the Comprehensive Plan. 2. The purpose of this request is to create a separate parcel to be sold by Dodge Nature Center to Dakota County for the Mendota-Lebanon Hills Regional Greenway, which would help facilitate the completion of a new trail link and tunnel underneath Highway 110. 3. Approval of the requests will have no visible impact on either property and will not negatively impact the character of the neighborhood. 4. Approval of this lot line adjustment and creation of this new tract of land will have little, if any impact upon the neighboring properties, the residual parcel, or the overall use, enjoyment and purpose of the entire Dodge Nature Center area. 5. The proposed adjustment will not cause any non-conformities on either parcel, based on the applicable zoning district standards. AND WITH THE CONDITION THAT THE APPROPRIATE DOCUMENTS ARE RECORDED WITH DAKOTA COUNTY AYES: 5 NAYS: 0 May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 6 ABSENT: 2 (Magnuson, Costello) Chair Field advised the City Council would consider this application at its June 6, 2017 meeting. C) PLANNING CASE #2017-07 JASON (JAY) AND ALICIA JACOBS, 1023 DELAWARE AVENUE CONDITIONAL USE PERMIT AND VARIANCE TO ALLOW LARGER GARAGE WITH REDUCED SETBACKS Planner Timothy Benetti explained this request was both a Conditional Use Permit to allow for the replacement of a detached garage with a larger garage then is allowed by ordinance and a Variance to a side-yard setback from ten feet down to three feet. The applicant submitted three letters of support, which were made a part of the staff report. The site currently contains a single-family home and a detached one-car garage. The residence is a 1.5 story building with a 2,352 square foot finished floor area. The existing detached garage is approximately 18 feet by 22 feet (396 square feet) and is in very poor shape. The setback is 12.5 feet from the rear lot line and approximately 9.4 to 9.7 feet from the northerly (side) property line. There is a 7 foot by 12 foot hard surface pad that exists between the garage and the north lot line. That pad itself is approximately three feet from the existing property line. There is an Xcel Energy overhead line that runs along the back lot line. There is no easement for that line; however, staff spoke with an Xcel Energy executive who stated that they typically like to keep at least a ten foot spacing between any structures and the power line. So they are hoping that holding back to a 10-foot setback would be adequate enough. Planner Benetti shared an image of the property and indicated the location of streets, the home, the garage, and a sandbox area on the property. The new garage would be a two-car garage with an attachment for extra storage. They would maintain the rear yard 10-foot setback and reduce the side yard setback to three feet. The existing driveway is approximately three feet from the side yard lot line and the location of the new garage would line up with that driveway. It would also provide for a little bit more ability to maneuver their large vehicles into the garage. Planner Benetti then shared the requirements and standards to be met a Conditional Use Permit and Variance and how this application met those standards. This information was also included in the staff report. Commissioner Hennes asked to see the location of the trees that would have to be removed if the garage were to maintain the 10-foot setback and asked for an explanation of why they would have to be removed. Planner Benetti showed on the map where the trees were located and explained that the driveway would need to be adjusted to allow for the maneuvering of a large vehicle into the garage, thus the needed removal of the trees. Commissioner Roston asked to see the location of the driveway in relation to Delaware Avenue and asked for confirmation that the driveway would not be relocated if this application were approved. Planner Benetti pointed out the driveway on the map and confirmed that it would not be relocated. May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 7 Mr. Jason Jacobs came forward but had not additional comments to make to the report. Commissioner Petschel asked what the distance was between the house and the proposed garage. Mr. Jacobs replied that it was 30 feet before and would remain 30 feet afterwards. Chair Field opened the public hearing. Seeing no one coming forward wishing to speak, Chair Field asked for a motion to close the public hearing. COMMISSIONER ROSTON MOVED, SECONDED BY COMMISSIONER NOONAN, TO CLOSE THE PUBLIC HEARING. AYES: 5 NAYS: 0 ABSENT: 2 (Magnuson, Costello) COMMISSIONER ROSTON MOVED, SECONDED BY COMMISSIONER PETSCHEL, TO RECOMMEND APPROVAL OF PLANNING CASE 2017-07, CONDITIONAL USE PERMIT AND VARIANCE FOR NEW DETACHED GARAGE AT 1023 DELAWARE AVENUE BASED ON THE FOLLOWING FINDINGS OF FACT: 1. The existing use of the subject parcel as a single-family residential dwelling is consistent with the City Code and Comprehensive Plan. 2. The planned development and use of the 812 sq. ft. detached garage is considered a reasonable request, and is consistent with the City Code and Comprehensive Plan. 3. The proposed garage use will not be detrimental to the health, safety or general welfare of the community; should not cause any serious traffic congestion nor hazards; will not seriously depreciate surrounding property value; and said use appears to be in harmony with the general purpose and intent of the City Code and the comprehensive plan. 4. The proposed garage and structure will be compliant with the conditions included in the City Code that allow it by conditional use permit. 5. The variance requested under this application and layout plan meets the tests in the code for practical difficulties and appears to be a reasonable request per City Coe and State Statute that prescribe the authority of municipalities to grant such variances. 6. The variance will not alter the essential character of the neighborhood. 7. The plight of the landowner is due to circumstances unique to the property not created by the landowner. 8. The new garage represents reinvestment in a residential neighborhood that is consistent with the Comprehensive Plan’s goals for residential land uses. AND WITH THE FOLLOWING CONDITIONS: 1. No part of the upper storage section of the garage shall be used for livable or habitable space. 2. The applicant shall obtain a building permit prior to any demolition, excavation or construction of the new garage addition. 3. All grading and construction activities as part of the proposed development shall be in compliance with applicable federal, state, and local regulations and codes, as well as in compliance with the City’s Land Disturbance Guidance Document. 4. The proposed detached garage shall be constructed in compliance with the applicable City Code performance standards noted in Section 12-1I. Councilmember Hennes asked for confirmation that the neighbor to the north signed a letter of support. Planner Benetti confirmed. May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 8 AYES: 4 NAYS: 1 (Field) ABSENT: 2 (Magnuson, Costello) Chair Field advised the City Council would consider this application at its June 7, 2017 meeting. E) PLANNING CASE #2017-09 BEN & ERIKA CHRISTOPHERSON, 1897 WACHTLER AVENUE VARIANCE TO ALLOW REDUCED SETBACKS FROM FRONT (CORNER) YARD SETBACKS Planner Timothy Benetti explained that the applicants were asking to reduce the corner yard setback from 30 feet down to 16.9 feet. The subject site currently contains an over 1,500 square foot single-family home and a 440 square foot two-car attached garage. The property was originally built in 1957 with the primary frontage on Wachtler Avenue and a very small frontage on Hilltop Road to the north. There is a double wide driveway entrance from Wachtler and a two vehicle parking pad about half way up the driveway. The 1.04 acre lot is very rectangular in shape, 150 wide by 300+ feet long. The dwelling setback is 30.5 feet from the north, over 66 feet from the front lot line, and 30.2 from the southerly lot line. Planner Benetti shared an image of the lot and explained that it is considered a corner lot because with Wachtler and Hilltop coming in, there is actually a small segment of right-of-way that is considered frontage on Hilltop. There is also a teardrop-shaped parcel labeled as a park, created as part of the platting process, but no one knows why it has been labeled as a park. It serves more as a big chunk of right-of-way. The applicants had asked staff if they acquired the teardrop-parcel if it would help them. Staff agreed that it would; however, it could not be done at this time because of the tight timeline of construction. Therefore they required a variance. However, staff would like for the land transfer to take place, which would make the setbacks for the home and garage expansion of 22.2 feet and 30.9 feet, rather than the requested 16.9 feet. Planner Benetti then shared the requirements and standards to be met for a Variance and how this application met those standards. This information was also included in the staff report. Mr. Ben Christopherson, 1897 Wachtler Avenue, had nothing to add to the staff report. Chair Field opened the public hearing. Ms. Diane Smith, 812 Hilltop Road, lives adjacent to Mr. Christopherson. She noted that she and her husband have no major objections to this variance; however, they would like to maintain the wooded area around their home and for assurances that it would not change as a result of this construction. Planner Benetti was able to provide those assurances. Mr. Pat Mcquillan, 1909 Wachtler Avenue, noted that he is in full support of this application. Mr. Christopherson returned and confirmed that, at this point, they have no intention to change any of the foliage or vegetation on the side of the property abutting Ms. Smith’s property. Chair Field asked for a motion to close the public hearing. May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 9 COMMISSIONER NOONAN MOVED, SECONDED BY COMMISSIONER PETSCHEL, TO CLOSE THE PUBLIC HEARING. AYES: 5 NAYS: 0 ABSENT: 2 (Magnuson, Costello) COMMISSIONER HENNES MOVED, SECONDED BY COMMISSIONER NOONAN, TO RECOMMEND APPROVAL OF PLANNING CASE 2017-09, VARIANCE REQUEST BASED ON THE FOLLOWING FINDINGS OF FACT: 1. Construction of the proposed dwelling and garage additions onto the existing single-family dwelling is a reasonable use of the property and consistent with the Comprehensive Plan. 2. The existing conditions were not created by the applicant and demonstrate a practical difficulty in meeting the required setback in order to reconstruct the existing addition in compliance with applicable codes. 3. The addition onto the existing single-family dwelling can be considered a reasonable request and use of the property. 4. The encroachment along this wider segment Hilltop Road ROW, due in part to the presence of the nearby “park” parcel, lends additional support to allowing the encroachment as this should lessen proximity and visual impacts from this roadway. 5. Due to the subject parcel’s existing condition and location to the abutting Hilltop Road right-of- way and road surface, a practical difficulty may be evident and was demonstrated in order to construct said addition to the home. 6. The addition will tie-in and match the existing dwellings architecture and designs, which will not alter the essential character of the neighborhood. 7. Granting of the variance sought is in accordance with the standards laid out in the City Code. AND WITH THE FOLLOWING CONDITIONS: 1. The proposed encroachment for the addition shall not extend further than shown on the survey included in the application submittal. 2. The new addition will match the overall architecture and design of the existing dwelling. 3. Within one year of approval by the City Council, the applicant shall obtain a building permit for construction of the proposed addition. AYES: 5 NAYS: 0 ABSENT: 2 (Magnuson, Costello) Chair Field advised the City Council would consider this application at its June 6, 2017 meeting. F) PLANNING CASE #2017-10 CITY OF MENDOTA HEIGHTS CODE AMENDMENT TO ALLOW PYLON OR MONUMENT TYPE SIGNS IN THE B-1 LIMITED BUSINESS AND B-1A BUSINESS PARK DISTRICTS Planner Timothy Benetti explained that at the last Planning Commission meeting staff asked for direction on whether or not to pursue a code amendment to allow pylon or monument type signs in the B-1 Limited Business and B-1A Business Park Districts. The Commission gave direction to pursue with the understanding that staff should ask the Council. The Council was very supportive of this and gave directions. May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 10 Staff officially requested consideration of this item and prepared a draft ordinance No. 510 with new language that now includes an added amendment to Title 12-1B-2 Definitions for “Pylon Sign” and “Monument Sign.” The public hearing was duly noticed and no comments have been received from residents, either in favor or in opposition. The new definitions are as follows: SIGN, MONUMENT: any freestanding sign independent from any building or other structure that is mounted on the ground or mounted on a foundation base structure at least as wide as the sign. A monument sign is typically solid from grade to the top of the structure. SIGN, PYLON: any freestanding sign independent from any building or other structure that has its supportive structure(s) anchored in the ground and a sign face elevated above ground by a pole(s), post(s) or beam(s) with an open area below the face of the sign. The ordinance also amends Title 12-1D-15 with new text or language changes, as outlined in the staff report. Commissioner Petschel asked if the original limitation in height was to prohibit vertical obstructions. Planner Benetti replied that he would agree with that assumption. Councilmember Noonan asked, referencing the last meeting where it was mentioned that a number of pylon or monument signs existed in the B-1 and B-1A district, if the existing signs meet the new provisions in the draft ordinance or are they creating non-conforming uses. Planner Benetti replied that, based on his observations, most of the monument signs do. However, the office building just to the south of City Hall [Mendota Office Center] is over 200 square feet and would not meet the new provisions. But that sign plan was approved under that development agreement. Chair Field opened the public hearing. Mr. Jon Faraci, owner of 1200 Centre Pointe Curve, noted that he would like to install a monument sign and that is what started this initiative. He respectfully requested that the Commission approve the draft ordinance. Commissioner Noonan asked if he was comfortable with the recommended size, heights, and square footage. Mr. Faraci replied that he would like to have 100 square feet, but if it is limited to 80 then he would work within the limitations. There are twelve tenants in the building so the signage would be pretty small but he could work with the recommendations. Chair Field asked for a motion to close the public hearing. COMMISSIONER ROSTON MOVED, SECONDED BY COMMISSIONER NOONAN, TO CLOSE THE PUBLIC HEARING. AYES: 5 NAYS: 0 ABSENT: 2 (Magnuson, Costello) COMMISSIONER ROSTON MOVED, SECONDED BY COMMISSIONER NOONAN, TO RECOMMEND APPROVAL OF PLANNING CASE 2017-10, DRAFT ORDINANCE 510, AN ORDINANCE AMENDING TITLE 12, CHAPTER 1, ARTICLE B. RULES AND DEFINITIONS CONCERNING NEW SIGN DEFINITIONS AND TITLE 12, CHAPTER 1, ARTICLE D. GENERAL ZONING PROVISIONS CONCERNING CERTAIN TYPES OF SIGNS IN THE BUSINESS DISTRICTS AS PRESENTED May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 11 AYES: 5 NAYS: 0 ABSENT: 2 (Magnuson, Costello) Chair Field advised the City Council would consider this application at its June 6, 2017 meeting. D) PLANNING CASE #2017-08 MICHAEL SWENSON, MICHAEL DEVELOPMENT, LLC 2180 AND 2160-2164 HIGHWAY 13 (SIBLEY MEMORIAL HIGHWAY) AMENDMENT TO THE COMPREHENSIVE PLAN TO RE-GUIDE FUTURE LAND USE FROM EXISTING “B–BUSINESS” TO PROPOSED “HR–HIGH DENSITY RESIDENTIAL” OR “HR– PUD HIGH DENSITY RESIDENTIAL–PLANNED UNIT DEVELOPMENT” Planner Timothy Benetti explained that this request is to change the current land use from B-Business to HR-High Density Residential or HR-PUD High Density Residential-Planned Unit Development. The applicant, Mr. Michael Swenson from Michael Development, LLC and the two properties are 2180 and 2160-2164 Highway 13 (Sibley Memorial Highway), known commonly as the Larson Garden Center and the Mendota Motel. Michael Development is proposing to a development on these two sites which will have complications further down the road for rezoning, conditional use permit, and plating. Currently, they are initially proposing a development of two 69-unit market rate apartments. The project would involve the removal of the structures on both sites, clean up, and clearing to make room for the proposed multi-family development. Tonight’s action is simply to consider a land use amendment. No one is asking for the rezoning, or comment, or any approvals of the development plan. The development plan is simply being presented as a backdrop to why they are asking for the underlying land use. This is the first step in preparation to get the land use amended, followed by the rezoning. The rezoning must comply with the underlying land use. Right now, a multi-family rezoning would not comply with the B-Business; so therefore the request is to change the land use. As part of that land use change, before it comes to the Commission and as a recommendation to the Council, it also has to be presented officially to the Metropolitan Council (Met Council) for their official review and recommendation. If they decide this is inappropriate they would let staff know, hopefully within the next few weeks. The Larson Greenhouse is a composite of approximately eight different parcels that have been combined together by the former owner, Robert Larson, to create the Larson Garden Center. This center ran for a number of years and closed down just a few years ago. The Mendota Motel is situated just south of Victoria and is currently in operations. The development plan [not under consideration] shows a single access off of Highway 13. The initial Phase 1 would start with a 69-unit building encompassing the Mendota Motel site. Approximately 10 months later, Mr. Swenson would start the process of clearing of the Larson Property to enable the construction of Phase 2, another 69-unit building. Planner Benetti shared concept images that were provided at a public information meeting a few weeks ago by Mr. Swenson, noting the nice design and layout of the proposed buildings. The buildings would also have underground parking. In November 2015, a presentation was made for a very similar land use change on the Larson site. Mr. Swenson was the same developer back then and had asked for a change of that land use from B-Business to HR-High Density Residential. At that point he was proposing a 70-unit building; however, that application was later withdrawn at the request of the land owner. May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 12 In November 2017, city staff was informed by Mr. Swenson that he had just secured the rights to the Mendota Motel. Shortly thereafter he informed staff that Mr. Larson had approached him to purchase the Larson property. Mr. Swenson then had two purchase agreements; one for the Mendota Motel and one for the Larson site. Planner Benetti also pointed out that staff, even though they were only required to notify property owners within 350 feet of the proposed development area, they went a little bit further – approximately a quarter mile out. They wanted to make sure they informed everyone in the Augusta Shores neighborhood, all of the residents along the south side down to Furlong and Victoria, and even further out on the west side. Along with the 5.5 acres of the Larson site and the 2.5 acres of the Mendota Motel site, there is also an access piece of right-of-way that runs right between the two parcels, which is owned by the City. The City would allow that to be replatted into the site as part of the property rights. Chair Field asked for clarification of whether the City would be abandoning their ownership of that right- of-way as a part of this change in land use or would the change in land use take place but the City would maintain its ownership. Planner Benetti replied that the intent is to vacate and convey; it has not been used in years and is from the original platting in the 1890’s. Again, the current land use is B-Business and the request is to change that land use to HR-High Density Residential or to HR-PUD High Density Residential-Planned Unit Development. The Augusta Shores development, located east of this site, is guided low density and is zoned R-1 with 23 duplexes or 46 units. To the south is the Furlong Addition, also guided low density and zoned R-1. Other land uses along Lemay Lake are single-family, west of Highway 55 is pretty much a nature preserve/cemetery/industrial park. The proposal is to construct 69 market rate apartments; 2.3 acres would be developed and the remaining 3.2 acres would be left as green space. The applicant proposes that the apartments would employ approximately three or four full-time staff members to manage and maintain the sites. Hopefully by the start of this fall, Phase 1 would be underway and within nine to twelve months, Phase 2 would begin. Each complex would be approximately 25,500 square feet. An assessment was done on both properties and both sites were considered ‘deficient’ or ‘sub-standard’ by building code standards. Any potential for redevelopment on both sites as a business is questionable given the poor access. The statement of proposed financing, the applicant states that the project would be privately appraised and financed through a local bank. As part of the City’s efforts to help redevelopment they are considering a Tax Increment Financing (TIF) district; this would be a TIF #2 District. This would allow for some assistance back to the developer as part of a tax increment improvement as made on the site to recapture some of the tax value that they can use for various items. Planner Benetti stated that there is no industrial acreage and there is no commercial development being proposed. The current Larson site is generating just under $2,000 worth of taxes back to the City; the Mendota Motel is generating approximately $1,500. Working with the Ehlers Financial Group and the TIF consultants, staff estimates with the new development that the value could go up to as high as $100,000. Staff also did a comparison of other communities around the metropolitan area as to guided density and found that the trend is towards higher density in appropriate locations; which would include good access and compatibility with surrounding land uses. Staff believes this proposed development site would meet those criteria. Staff believes the current commercial use is struggling and probably will never come back on this site simply because of high level of access and visibility that a commercial enterprise would need and is not available on this site. However, a multi-family residential use would not need the same level of May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 13 access and visibility. Multi-family uses typically need to be buffered from lower density residential uses and this site makes that relatively easy; it is very well heavily wooded and separated by the lake. Planner Benetti concluded his presentation by explaining that designating the site for at least the requested 25 units/acre is appropriate, the only question would be how this should be accomplished: 1. Amend the High Density Residential land use category in the 2030 Land Use Plan from a maximum density of 8.5 units per acre to 25 units per acre, then amend the 2030 Land Use Plan to re-guide the subject site as “High Density Residential” or 2. Amend the 2030 Land Use Plan for this site to “HR-PUD High Density Residential – Planned Unit Development”, whereby allowing a higher density to be determined by the City or 3. Amend the 2030 Land Use Plan to add a new land use category with a maximum allowable density of 25 units per acre. This could be called “Urban Residential”, then amend the 2030 Land Use Plan to re-guide the subject site “Urban Residential” Staff recommended the Planning Commission re-guide the Larson Garden Center/Mendota Motel main sites to allow multiple-family residential uses up to 25 units/acre, following one of the three options listed above. Commissioner Hennes asked if the current maximum density of 8.5 units/acre is city-wide. Planner Benetti replied that this is the maximum under the high-density land use. Commissioner Hennes stated that there appears to be a lot of inconsistencies in the number of units per acre in the high-density land use areas. To him, 8.5 units/acre sounds pretty small. Planner Benetti agreed. Commissioner Hennes then asked if there has been any discussion of a more consistent level or maybe a higher level of density. Planner Benetti replied that this application could quite possibly lay the groundwork to explore those options down the road. Commissioner Hennes then asked if the Met Council has a recommended standard or do they leave it to each city depending on circumstances. Planner Benetti replied that the Met Council leaves it up to the discretion of the local government agency. Commissioner Roston commented that this is something that Mendota Heights should expect going forward as a City. Any first ring suburb, like Mendota Heights, is going to have pressure to have more high density development. Mr. Michael Swenson or Michael Development, LLC reiterated the request and noted that without this land use change the development is just not possible. Chair Field opened the public hearing. Mr. Dave Jankowski, 2070 Acacia Drive, is located immediately north of this proposed site. He asked what the average density currently is in Mendota Heights. Planner Benetti replied that the 8.5 units/acre is a current density standard in the high density areas. Mr. Jankowski questioned the need to raise that standard to 25 units/acre. He understands Mendota Heights being a first ring suburb has to anticipate growth; however, he did not want to see it rush along too rapidly. He asked that consideration be taken carefully on what 25 units/acre means for the City and the residents who like living there, in terms of the increase in traffic on Highway 13 and in terms of other residents in the area. May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 14 Public Works Director Ryan Ruzek shared an image of the zoning districts in Mendota Heights and pointed out the two high density residential zoned areas; the Eagle Ridge Development and the Lexington Apartments. There are a few PUD locations as far as along the Kensington area, the apartment complex that went in where the Ecolab site was on Riverside Lane – so there are really very few areas that are zoned high density residential. The request before the Commission was to re-guide this small area as a high density planned unit development – similar to the Kensington Development – or just to have it zoned a high density residential as the other two areas in the City. Commissioner Hennes clarified that Mendota Heights has a mix of high density sites that have densities much higher than 8.5 units/acre; and a lot of the reason why is because they were advanced under a Planned Unit Development, which allows for the negotiation between the City and the landowner to come forward with an appropriate development at an appropriate density given the site and its properties. To suggest that the City has a standard 8.5 units/acre is not correct; however, we have a mix up to as high as 60 units/acre in some high density developments. To ask for an average per acre density figure is not comparing apples to apples – there are R-1 single-family districts – Commissioner Hennes lives in an R-1 district and has one unit on a quarter acre lot. Others in the City live on much larger lots so to suggest that that a standard density across all of Mendota Heights is a telling characteristic is not accurate. It is necessary to look at it from the various land use categories in determining the appropriateness of the density based upon land use considerations. Chair Field noted that he did not believe the Commission could answer Mr. Jankowski’s question in terms of the density for the entire City; however, they can give at 60 units what they have at Dodd and Highway 110. It is not a maximum, it is just what has been approved within the City. Referencing the statement made earlier, staff estimates that with the new development the projected annual gross TIF value could go as high as $100,000, Mr. Jankowski asked how soon those taxes could available to the City. City Administrator Mark McNeill replied that under what is being proposed, there would be a tax increment district and for the first nine years, any taxes above what are currently being received by the City, the County, and the School District would to reimburse the developer for his costs involved with the development. In year 10, those would start to get spread and being received by the individual jurisdictions. Mr. Steve Kraft, 1314 Furlong Avenue, asked if there was any kind of buffer zone between the high density PUD’s and the R-1 Residential districts. Planner Benetti, pointing to the zoning map, indicated that all of the neighborhoods to the south of this area are R-1 Residential. Without delving too much into the proposed development plan – as it is not final and not under consideration this evening – the plan would be to have some kind of greenway or buffer between the site and the single-family residential areas. Mr. Kraft then asked if anyone had any idea what affect this development would have on land property values in the Furlong Addition and to Augusta Shores. The reply was that there really are no ideas and anything that would be said would be speculative at best. Ms. Katherine Haight, 2090 Acacia Drive in Augusta Shores, stated that she is happy to see this come back to the Planning Commission. She challenged anyone to find two greater eye sores within the City. She would love to see something better and lovelier in this area. She cited many incidents that have occurred within the area and placed the cause on the disreputable clientele at the Mendota Motel. Ms. Haight did voice her concern about the location of the multi-family unit proposed to be on the Larson property appears to be very close to Highway 13. Currently, when coming from Acacia Drive onto Highway 13, when looking to the left the sight line is very difficult to see. The cars come very quickly around the curve and she is concerned about that building being so close to Highway 13. Chair Field noted, assuming May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 15 this proceeds, staff will come back with some site reviews and these types of comments would be more appropriate at that time. Mr. Tom Hanschen, 2158 Lemay Lake Drive in the Augusta Shores Development, stated that it is his understanding that on the north side of the Larson property is an old city road that Larson’s acquired. He questioned what would be happening with that. Planner Benetti replied that there is a segment of right-of- way along the north side that was brought up at the public information meeting. There has been some inquiry from Augusta Shores to obtain that or get possession of that as part of this process. Whenever there is an access of right-of-way, typically it is a half and half; one half goes the other side and one half goes to the adjacent neighbors. If the other neighbor decides he does not need that, they can give up that half right. The current tentative TIF area does not include that area. This would be a separate issue. Mr. Hanschen then noted that it appears to be inevitable that there is going to be high density here and asked if the Commission were leaders leading the rest of the community or were they following what is going on in the rest of the surrounding communities. He stated that Mendota Heights does not necessarily need high density. Ms. Linnea Hanschen, 2158 Lemay Lake Drive, stated her concerns about the traffic – two buildings, each with 70 units, equaling 140 units with possibly 180 to 350 people living in the two buildings adding up to 350 new cars every day on Highway 13; the traffic along Highway 13 has already been increasing steadily the last few years. To go from no traffic from the Larson property and only 19 rooms at the motel to a possible increase of 350 new cars – that is a huge increase. [Note: an email from Tim and Mary Furlong, 2230 Furlong Avenue was received by the city on May 22, 2017, to which a copy was presented to the Planning Commission for consideration. Pursuant to Planning Chair Field’s request, a copy of said email and response from City Administrator Mark McNeill is being added to the record - attached hereto as “Attachment –A”] Mr. Swenson had no additional comments or replies to the concerns raised. Chair Field asked for a motion to close the public hearing. COMMISSIONER NOONAN MOVED, SECONDED BY COMMISSIONER HENNES, TO CLOSE THE PUBLIC HEARING. AYES: 5 NAYS: 0 ABSENT: 2 (Magnuson, Costello) COMMISSIONER NOONAN MOVED, SECONDED BY COMMISSIONER HENNES, TO RECOMMEND APPROVAL OF PLANNING CASE 2017-08 COMPREHENSIVE PLAN AMENDMENT 2160 – 2180 HIGHWAY 13 (SIBLEY MEMORIAL HIGHWAY), BY AMENDING THE 2030 LAND USE PLAN FOR THIS SITE TO “HR-PUD HIGH DENSITY RESIDENTIAL – PLANNED UNIT DEVELOPMENT,” BASED ON THE FOLLOWING FINDINGS OF FACT: 1. Commercial development in this area, in compliance with the goals and policies of the City’s 2030 Comprehensive Plan, may not be viable due to access and visibility constraints. 2. Residential land use would be in character with other surrounding properties and the existing vegetation and adjacent commercial use can provide a physical and visual buffer between the proposed high-density housing and nearby low-density residential housing. 3. The proposed increased density is consistent with surrounding suburban communities and would allow for adequate open space as part of the proposed development. May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 16 4. The increased density provides for construction of a housing type that is lacking in the City and would help to reach the forecasted population projections. AND WITH THE FOLLOWING CONDITIONS: 1. The proposed comprehensive plan amendment is approved by the Metropolitan Council. 2. The applicant submits the necessary complete applications in consideration of the proposed concept development plan within twelve (12) months of receiving approval from the Metropolitan Council. 3. If the deadline is not met, the current future land use designation for the subject parcels may remain in place. AYES: 5 NAYS: 0 ABSENT: 2 (Magnuson, Costello) Chair Field advised the City Council would consider this application at its June 6, 2017 meeting. General Planning Items A) RESOLUTION SUPPORTING A RECOMMENDATION TO MODIFY MUNICIPAL DEVELOPMENT DISTRICT NO. 1 AND THE PROPOSED ESTABLISHMENT OF TAX INCREMENT FINANCING DISTRICT NO. 2 (FOR THE PROPERTIES GENERALLY LOCATED AT 2180 AND 2160-64 HIGHWAY 13) Planner Timothy Benetti explained that this is a prepared resolution that is required as part of the Commission’s official recommendation back to the City Council and to any authorities, that the Commission is recommending either for or against, approval or denial, of the creation of the Tax Increment Financing (TIF) District No. 2. The creation of this new TIF District would provide limited financial assistance to a developer, and help facilitate the successful redevelopment of the Mendota Motel and former Larson Garden Center properties. For clarification, Planner Benetti stated that the purpose is to modify the Municipal Development District No. 1 – basically everything within the City boundaries as that is the municipal development district – and the proposed establishment of TIF 2 is just exactly where the City is going with it. Planner Benetti then provided a very quick overview of what a TIF does and why it is used: • The ability to capture and use most of the increased local property tax revenues from new development within a defined geographic area • It encourages certain types of development or redevelopment that would not normally occur without assistance – commonly known as the “but for” test. It helps redevelop blighted areas; remediate polluted sites; construct affordable housing; create or retain jobs TIF District approval can be established by City, County, HRA, or EDA. It must have approval by City Council following a public hearing. The public hearing on this request is scheduled for June 20, 2017. County and school district approval is not required; however, it is something that the City does request. The City’s TIF area number 1 was established in 1981 and was certified in 2007. The eligible uses for TIF include: • Land acquisition and relocation • Demolition and clearance May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 17 • Site improvements and parking • Public utilities • Construction of affordable housing • City administrative costs Ineligible uses include: • Recreation (parks, trails, ice arenas, etc.) • City buildings Chair Field clarified that the applicant for this item is not the developer, Michael Development, LLC, but it is the City of Mendota Heights. Even though this was not publicized as a public hearing, Chair Field opened the floor for comments and questions from the residents. Seeing no one coming forward, Chair Field asked for a motion to close the public hearing. COMMISSIONER ROSTON MOVED, SECONDED BY COMMISSIONER HENNES, TO CLOSE THE PUBLIC HEARING AYES: 5 NAYS: 0 ABSENT: 2 (Magnuson, Costello) COMMISSIONER ROSTON MOVED, SECONDED BY COMMISSIONER NOONAN, TO ADOPT PLANNING COMMISSION RESOLUTION NO. 2017-01, RESOLUTION OF THE CITY OF MENDOTA HEIGHTS PLANNING COMMISSION FINDING THAT A MODIFICATION TO THE DEVELOPMENT PROGRAM FOR MUNICIPAL DEVELOPMENT DISTRICT NO. 1 AND A TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 2 CONFORMS TO THE GENERAL PLANS FOR THE DEVELOPMENT AND REDEVELOPMENT OF THE CITY OF MENDOTA HEIGHTS; IS HEREBY SUPPORTED BY THE PLANNING COMMISSION; AND IS RECOMMENDED FOR APPROVAL BY THE CITY COUNCIL. Commissioner Noonan stated that he was very comfortable with this given the fact that TIF is one of the few remaining redevelopment tools available to cities to help facilitate redevelopment. Everyone has experienced, for the last several years, the declining nature of Larson’s and concerns about the motel. This tool allows the City to allow new development to come forward and to clean or address a situation that is needing cleaning up or needed to be addressed. Commissioner Roston agreed with Commissioner Noonan. AYES: 5 NAYS: 0 ABSENT: 2 (Magnuson, Costello) Staff Update on Approved or Pending Developments PLANNING CASE #2017-04 Randy and Becky Pentel, 815 Deer Trail Court Conditional Use Permit May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 18 • Approved by the City Council as recommended by the Planning Commission City of Mendota Heights Direction of a Proposed Zoning Ordinance Amendment to Allow Pylon/Freestanding Signs in the B-1 and B-1A Commercial Districts Planner Timothy Benetti stated that staff is entertaining a hotel group looking at the Northland Drive and the Pilot Knob site. Their application will most likely come in for review in the next month or two. Staff and Commission Announcements Commissioner Roston announced that he closed on his house today and he will be moving from Mendota Heights in June 2017. He has been in the City for 18 or 19 years and has loved everything about the City. He appreciates the opportunity to serve on the Planning Commission, it is a great staff, and a very well run City. He has had nothing but good experiences and he appreciates everyone. Chair Field wished everyone a happy and safe Memorial Day Weekend. Adjournment COMMISSIONER PETSCHEL MOVED, SECONDED BY COMMISSIONER HENNES, TO ADJOURN THE MEETING AT 9:18 P.M. AYES: 5 NAYS: 0 ABSENT: 2 (Magnuson, Costello) May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 19 May 23, 2017 Mendota Heights Planning Commission Meeting - DRAFT Page 20