Also present: Carie Fuhrman, Planning & Community Development Director; Jeff Melcoch, Cable Producer; and Barb Suciu, Recorder.

Transcription

1 REGULAR MEETING OF THE VADNAIS HEIGHTS PLANNING COMMISSION FEBRUARY 23, 2016 Chair Carnes called the Regular Meeting of the Vadnais Heights Planning Commission to order at 7:00 p.m. on February 23, ROLL CALL Brian Carnes, Chairperson Dave Anderson Linda Bigelbach Edward Caillier Gary Nelson Rachel Nitz Greg Urban Joseph Stumpf, First Alternate Ronald Laumer, Second Alternate Absent Absent Also present: Carie Fuhrman, Planning & Community Development Director; Jeff Melcoch, Cable Producer; and Barb Suciu, Recorder. APPROVAL OF AGENDA. Upon motion by Commissioner Anderson, seconded by Commissioner Nelson, it was RESOLVED, that the February 23, 2016, Regular Meeting Agenda. APPROVAL OF MINUTES Ayes - 7 Nays 0 Upon motion by Commissioner Nitz, seconded by Commissioner Stumpf, it was RESOLVED, that the minutes of the January 26, 2016, Regular Meeting Agenda. OPEN TO THE PUBLIC No one wished to speak. OPEN TO THE PUBLIC Ayes - 7 Nays 0

2 No one wished to speak. PUBLIC HEARINGS None. OLD BUSINESS A. Amendment to Zoning Code: Medical Cannabis Planning & Community Development Director Fuhrman reported at the last Planning Commission meeting, staff was requested to add daycare facilities to the map with a 1,000-foot buffer to show additional potential location restrictions for distribution facilities. Staff was requested to find out how the eight communities proposed to house the medical marijuana distribution facilities chose to review these facilities. The Cities of Eagan and St. Cloud consider the use to be a retail pharmacy. The Cities of Rochester and Moorhead consider the use to be a medical facility or clinic use and four cities didn t respond. There are three land use types associated with medical marijuana industry: Manufacturing Facilities, Laboratories, and Distribution Facilities. The manufacturing facilities are heavily regulated by the State with several current rules. Because of the already existing stringent regulations, staff is not recommending any additional regulations be added to the Code for medical cannabis manufacturing facilities. If Statute is changed, and additional medical marijuana manufacturing facilities are allowed throughout the State, staff would recommend a medical cannabis manufacturing facility be considered a permitted use along with all other manufacturing uses in the Industrial District. The laboratories use will only have very small amounts of medical marijuana product on site for testing purposes; therefore, they do not have the potential to create negative impacts on neighboring properties and ultimately do not appear to need additional performance standards added. However, in reviewing the Zoning Code, staff found housekeeping updates that need to be done. Staff is proposing to: add a definition of Laboratories to the Definition Section of the Zoning Code; add Laboratories as a permitted use in the Industrial District; and removing the term Research from Research laboratories, which are a permitted use in the Office and Office- Business Districts. It is redundant once we add a definition for the term, laboratories. Medical, technical, and supporting laboratories are currently allowed via a Special Use Permit in the City Center District. Based on staff s recommendation, medical cannabis laboratories and any other laboratory would be permitted in the Office, Office-Business, and Industrial Districts. They would require a Special Use Permit in the City Center District. Distribution facilities are regulated by Statute and cannot be located within 1,000 feet of a public or private school (K-12). These facilities are intended to feel more like a clinic than a pharmacy -2-

3 because there will be consultation between the patients and pharmacist via appointments. The distribution facilities are associated with one of the two manufacturing facilities; each manufacturing facility will have four distribution facilities, for a total of eight facilities statewide. Staff is proposing three options for distribution facilities. The first option is the most stringent. This would add medical marijuana distribution facilities as a Special Use Permit in the C-1, C- 1A, C-2, C-3 and O Zoning Districts, which is where medical clinics are currently allowed. Conditions could include: prohibit the sale of any products other than medical marijuana within the facility and the sale of non-medical marijuana. Facilities must be at least 1,000 feet from any existing K-12 school (state requirement), as well as existing commercial day acre facilities. Allow only one distribution facility per 10,000 Vadnais Heights residents and a variety of security measures would be established. Along with the Special Use Permit application, operating documents could be required to be submitted. In the definition section of the Zoning Code, we would need to add medical marijuana and medical marijuana distribution facility. Option 2 is less stringent, and would add medical marijuana distribution facilities as a permitted use in the C-1, C-1A, C-2, C-3 and O Zoning District where medical clinics are currently allowed with no conditions of approval. It would add definitions in the Zoning Code for medical marijuana and medical marijuana distribution facility. Option 3 is the middle of the road, where the Planning Commission could discuss zoning regulations that are somewhere between Options 1 and 2. In addition to these changes, staff is recommending additional housekeeping updates to the Zoning Code. These updates are adding the definition of pharmacy and replacing the term drug store with pharmacy throughout the Zoning Code. Staff recommends making a recommendation to the City Council at this meeting to provide adequate time for the City Council to consider any changes to the Code prior to the moratorium expiring. Chair Carnes suggested taking each of the three land use topics at a time. Upon motion by Commissioner Nitz, seconded by Commissioner Bigelbach, it was RESOLVED, to accept staff s recommendation in regards to medical cannabis manufacturing facilities and recommend making no changes to the Zoning Code. That is, if Statute is changed, and additional medical marijuana manufacturing facilities are allowed throughout the State, a medical cannabis manufacturing facility would be considered a permitted use along with all other manufacturing uses in the Industrial District (under the Statutory restrictions). Ayes - 7 Nays 0-3-

4 Upon motion by Chair Carnes, seconded by Commissioner Caillier, it was RESOLVED, to accept staff s recommendation pertaining to medical cannabis laboratories. That is, a medical cannabis laboratory (and any other laboratory) would be permitted in the Office, Office-Business, and Industrial Districts. They would require a Special Use Permit in the City Center District. Add a definition of laboratories in the Definition Section of the Zoning Code: Space utilized and equipped for research, development, and testing for technical, medical, scientific, and other reasons. Or, a space to test drugs or chemicals, such as medical marijuana. Add laboratories as a permitted use in the Industrial District. Remove the term research from research laboratories in the Office and Office-Business Districts. Ayes - 7 Nays 0 Commissioner Caillier stated he is in favor of Option 1 and wondered if there is some other model used by other cities. Planning & Community Development Director Fuhrman stated the language is modeled after the City of Bloomington, which was the most strict language she found. Commissioner Nitz wondered about going with a less stringent option than Option 1, but still requiring some of the submittal requirements suggested in Option 1 at the time of application, which would be more of a middle of the road. Chair Carnes stated he likes Option 1. Commissioner Stumpf stated the federal government doesn t recognize marijuana, and all transactions need to be completed in cash. The concern is the amount of money coming into the facility and transactions with large amounts of money and the security of these transactions. Planning & Community Development Director Fuhrman stated these are cash only transactions, and the security measures is important. Chair Carnes stated he still likes the most stringent and although there will be large amounts of cash, the transactions will still be initiated by doctors offices with limited amount of medical marijuana being disbursed at a time. Upon motion by Commissioner Caillier, seconded by Commissioner Nelson, it was RESOLVED, to recommend Option 1, which would amend the Zoning Code for Distribution facilities in the following manner: Add medical marijuana distribution facilities as a Special Use Permit in the following districts: C-1, C-1A, C-2, C-3, and O (where medical clinics are currently allowed), subject to the following conditions: Prohibit: -4-

5 The sale of any products other than medical marijuana within the facility. The sale of non-medical marijuana. Reiterate the State requirement that all distribution facilities be sited at least 1,000 feet from any existing K-12 schools, as well as existing commercial day care facilities. Allow only one distribution facility per 10,000 Vadnais Heights residents or fraction thereof (so, at this time, only one distribution facility would be allowed in City limits). Set requirements for multiple security measures: During all hours of operation, there must be at least one licensed, uniformed security guard present and visible on all premises. Facility must operate and maintain in good working order a closed-circuit television (CCTV) surveillance system on its premises that operates 24 hours per day, seven days per week and visually records all areas that might contain plant material or Medical Marijuana, including all safes and vaults; and all points of entry and exit, including sales and clinic areas. Facility must install and maintain a professionally monitored security alarm system that provided intrusion and fire detection of all entrances and exits. The alarm system must remain operational during a power outage. Facility must be equipped with an electronic controlled access that limits access to the building to authorized individuals, tracks personnel entry and exit times, locks down the distribution facility in the event of a security threat, stores data for retrieval, remains operational during a power outage, and is capable of remote administration. In addition to the submittal requirements stated in the Special Use Permit application section, the following materials must also be submitted as part of the Special Use Permit application: o Operating Documents: Operators must submit documents that describe operational and management practices, including: o Security measures to deter and prevent theft of medical marijuana. o Disposal methods for all waste material. o Response plans for measures to be taken in the event of a security breach at a distribution facility, or while medical marijuana is in route to a distribution facility. o Proposed product delivery plan. o Other information deemed necessary and requested by the City. Add a definition of medical marijuana in the Definition Section: -5-

6 Any species of the genus cannabis plant, or any mixture or preparation of them, including whole plant extracts and resins and is delivered in the form of (1) liquid, but not limited to oil; (2) pill; (3) vaporized delivery method with use of liquid or oil, but which does not require the use of dried leaves or plant form that has been approved by the Commissioner of the Minnesota Department of Health under Minn. Stat Add a definition of medical marijuana distribution facility in the Definition Section: An establishment engaged in the sale and distribution of medical marijuana that validly registered and approved by the State of Minnesota. NEW BUSINESS Ayes - 7 Nays 0 A. Amendment to Zoning Code: Self-Storage Units with Living Quarters in the Industrial District (North Star Mini Storage) Planning & Community Development Director Fuhrman reported North Star Mini Storage- Vadnais Heights, LLC has submitted an application for an amendment to the Zoning Code in order to allow self-storage units with living quarters as an accessory use in the Industrial District. They are seeking an amendment in order to develop the property located at 3880 Labore Road, which they have purchased. Their application for the actual development of the property will come at a later date. Currently, self-storage units are a permitted use in the Industrial District via warehousing. The Code does not address self-storage units with living quarters though. This presents a unique situation - living quarters in the Industrial District - which is meant to provide for light manufacturing, warehousing and supportive uses in a functional, attractive manner which does not unduly affect the development or use of nearby properties, according to the Purpose Statement in Chapter 17 (Industrial District) of the Zoning Code. As the applicant states in their written narrative, they have found that self-storage sites with managers living on-site have less incidents of security violations. It could be viewed that living quarters with a manager living on-site for security purposes is a supportive use to self-storage units. Currently there are two self-storage facilities in Vadnais Heights. Simply Self Storage is at 3238 North Highway 61 and it is zoned C3- Commercial Three District. Self-storage units are not a permitted use in the C3 Zoning District, and so the use is considered a legal, non-conforming use. It can continue and normal maintenance is allowed, provided it does not extend, intensify, or expand the non-conforming use. The property was originally zoned Industrial, but was part of a comprehensive rezoning of several parcels in connection with the City s most recent Comprehensive Plan update. At this time, the property was rezoned from Industrial to C3. -6-

7 The second property is Public Storage, located at 1090 South Birch Lake Boulevard and it is zoned I-Industrial District. The City has had issues in the past with other self-storage unit facilities in regards to what was being allowed to be stored and where. The existing self-storage units in the City were not under Special Use Permits, so there are not special conditions that govern those properties, just general nuisance and zoning provisions. Staff researched other communities that allow similar use and found that Maplewood allows living quarters in commercial uses. They require that the dwelling unit and principal business be in the same structure. Minnetonka allows living quarters for security personnel as an accessory use provided they are located within the principal structure. New Hope allows self-storage or mini warehouse facilities through a Conditional Use Permit subject to several conditions. There are several options available to address the request: Option 1 allows self-storage units to remain as a permitted use, and add living quarters to self-storage units as an accessory use in the Industrial District. This means that the living quarters would only be allowed if they are subordinate to and associated with the permitted self-storage units. No conditions would be placed on the self-storage units. Option 2 would be to allow self-storage units without living quarters to remain as a permitted use, but add self-storage units with living quarters as a Special Use Permit in the Industrial District. This would allow the City to the place conditions on the approval of a self-storage facility with living quarters such as: the living quarters and a portion of the principal business use shall be within the same structure. This would prevent a residential home from being constructed within the Industrial District. The exterior materials of the living quarter s structure shall be constructed of the same materials as the rest of the self-storage units. This would help maintain architectural continuity between the various structures on the property. The living quarters shall be sprinkled allowing the living quarter s portion to be treated more like a commercial structure. Option 3 requires self-storage units, with or without living structures, as a Special Use Permit in the Industrial District. This would allow the City to place conditions on the approval of any selfstorage facility. Potential specific conditions include: (a) The living quarters and a portion of the principal business use shall be within the same structure. (b) The exterior materials of the living quarter s structures shall be constructed of the same material as the rest of the self-storage units. (c) The living quarter s structure shall be sprinkled. (d) It would prohibit any and all commercial, industrial, or residential use other than storage within the self-storage facility. (e) Prohibit storage of any hazardous materials, chemicals, gasoline, or flammable liquids in any storage space, expect for normal household quantities. Prohibit the storage of propane tanks or flammable gases. Option 4 is to keep the Code as-is, which would not allow living quarters within self-storage unit facilities. Staff is recommending Option 3, allowing the City to place conditions of approval on new selfstorage facilities. Although this amendment is being requested by one property owner, the amendment would be in effect for all Industrially-zoned properties. Commissioner Nelson asked if there is space for offices within the facility. -7-

8 Marty Keihm, Keihm Construction, stated he has built many self-storage facilities throughout the Twin Cities and there has been an evolution in the mini-storage business. At one time, having an on-site manager resident was normal, and then it transpired to having the manager off-site. Now it is migrating back to an on-site facility manager to take care of the security. The on-site manager is beneficial in that they can take care of false alarms that occur through the security system. Most cities allow a building up to 30% of the square footage of the main building as an accessory to the facility/principal use. The ordinance is usually written broadly to allow a number of uses for this accessory use. Mr. Keihm went on to explain that the proposed building with the self-storage units will have a footprint of 60,000 square feet in one building. Mr. Keihm wishes to address the proposed conditions of approval in Option 3. We would like to separate the office from the residence because it creates more of a professional setting. The concern is the living quarters in the primary building; which building it is needs to be clarified if this is direction the commission goes. The request from staff to have the building sprinkled is strictly driven by Code. If the structure becomes a commercial structure, it doesn t need to be sprinkled because if falls well under or within the square footage requirement. For the prohibiting any commercial, industrial, or residential use, or that someone can t operate a business out of this. He felt this restrictive and limiting business entrepreneurs; it squelches the American spirit; this could be a natural incubator. The regulation of not allowing hazardous materials would help the managers enforce that requirement. Chair Carnes asked if Mr. Keihm has built any of these facilities that were sprinkled when the Code did not require sprinkling. Mr. Keihm indicated in the negative. Chair Carnes opened the public hearing at 7:21 p.m. Mary Liner, 606 Springhill Road, stated she may want to rent a storage space and would like to have a sprinkler system installed throughout the building. She questioned if the person that occupies the space as a manager, do they go through a background check for security issues. Mr. Keihm stated the main structure with the storage units will be sprinkled; it is the sprinkling of the living quarters is what is in questioned. As for background checks, all employees would have background checks performed. Chair Carnes closed the public hearing at 7:26 p.m. Commission Caillier stated staff has recommended Option 3, which places a fair number of conditions compared to the current ordinance. Would it be the expectation that staff would have looked at this if the applicant would not have brought it forward. Planning & Community Development Director Fuhrman stated it is the application from the applicant driving the Code amendment. Commission Nelson stated there is one building, 60,000 square feet with all the storage units within it. -8-

9 Planning & Community Development Fuhrman the applicant is proposing the self-storage units in one building, and the resident facility is in another building. Chair Carnes stated approval with a Special Use Permit can allow conditions if the commission likes the way the design is. Planning & Community Development Director Fuhrman stated Option 3 is written that the applicant can have the living quarters separate from the storage unit building. But, it does require that some part of the business be in the living quarters building, ie., the office. The main objective is to avoid having a residential home in the middle of an Industrial Zoning district. Chair Carnes stated he doesn t like the restriction of not allowing businesses to operate out of the self-storage units, if is set up correctly. He stated if there is a separate business within the structure, a license would be required and we d avoid just saying it can t be done. Commissioner Stumpf questioned the matter of policing the business activity in the area. Commissioner Laumer questioned that a person could not rent a unit for conducting a business. Planning & Community Development Director Fuhrman stated that they are finding that businesses are using these units to run businesses. Chair Carnes stated the commission needs to define what not operating a business. Planning & Community Development Director Fuhrman stated storage for a business is not a problem, but exchanging money for goods and having customer traffic is the issue. She also indicated staff could amend the language so it is not so broad. Mr. Keihm stated he has a few properties where you could say they are physically working there. There is a vending machines business, and they use the area to do his work there. So there is a possibility of using the unit as an office. Planning & Community Development Director Fuhrman stated it could specify that the business could not bring customers and clients to the site. Commissioner Anderson asked if it is totally open ended, someone may try to engage in something that is more suited for a more typical commercial setting. Planning & Community Development Director Fuhrman stated she would need to check with the Building Inspector. From a zoning standpoint, this starts getting into a business incubator space situation (versus self-storage); there are specific office spaces for business incubation activities. She will discuss with the Building Inspector. Commissioner Caillier asked about the structure being sprinkled and the living quarters would be treated as a commercial structure. Would this be consistent with all of the requirements of commercial structures in general or was there some specific safety concern? -9-

10 Planning & Community Development Director Fuhrman stated this was requested by the Fire Chief and was discussed with the applicant. The actual storage facility will be sprinkled. It is the living quarters structure, which is separate from the storage facility, that is being asked to be sprinkled. Commissioner Caillier asked if all commercial structures are required to be sprinkled. Planning & Community Development Director Fuhrman stated it is based on square footage of the building. The City has adopted a more stringent restriction on sprinkling commercial buildings. Commissioner Nelson stated looking at staff recommendation of Option 3, if approved, none of these items are required and would all need to go through a Special Use Permit to be approved on an individual basis by the City Council. Planning & Community Development Director Fuhrman stated that these are conditions for approval of the Special Use Permit. She stated if the Planning Commission recommends conditions it would be included in the Special Use Permit that would be presented to the City Council. You could also choose to make it a Special Use Permit, but not list specific conditions in the Code. Each application could have conditions added on a case-by-case basis when presented to the Planning Commission. Chair Carnes indicated he likes this last option because a one size fits all doesn t work in this instance. Commissioner Stumpf asked when the facility is set up, does it normally have the office in the facility and a residential facility is separate. Mr. Keihm stated facilities vary. At the 280/Como and Minnetonka facilities, the office is a separate building from the self-storage facility. Commissioner Bigelbach questioned how is it determined if a residence facility goes in and wondered if it is a security issue. Mr. Keihm stated having a residence is at the discretion of the owner and their style of management and yes, having a residence is related to security. In the Burnsville facility, the residence and office are in the same building, but not contiguous. In Oakdale, the residence and office are in a separate building from the storage facility. Commissioner Bigelbach questioned how many people will be living there and does it rotate. Mr. Keihm indicated it is typically a retired couple that lives there and it doesn t rotate. Commissioner Bigelbach suggested adding language to commercial regarding sprinkling the living facility regarding the size. It will add to cost to have it sprinkled. Chair Carnes offered that the Commission could adopt Option 3 without specific conditions listed in the Code and after facility, add which will be determined upon application. -10-

11 Upon motion by Chair Carnes, seconded by Nelson, it was RESOLVED, to require self-storage units, with or without living quarters, as a Special Use Permit in the Industrial District. This would allow the City to place conditions on the approval of any self-storage facility which will be determined upon application. REPORTS A. Council Liaison No report. B. Planning Commissioners Ayes 7 Nays 0 Chair Carnes thanked the VHEDC and for doing another BR & E survey and hope to obtain some valuable information from this like was done last time. C. Planning and Engineering Staff Planning & Community Development Director Fuhrman introduced Ron Laumer and thanked Commissioner Caillier and Chair Carnes for volunteering for the BR & E Committee. There will be a March meeting with the North Star Mini Storage application on the agenda. The City Center lights project will be going through with replacing the lights in the City Center area. Staff has been working with a developer on the Green Value Site, which is located on Edgerton and 694 with a possible memory care facility and townhomes. Upon motion by Chair Carnes, seconded by Commissioner Bigelbach, the meeting was adjourned at 8:12 p.m. Respectfully submitted, Barb Suciu TimeSaver Off Site Secretarial, Inc. -11-