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PC-02-07-17 CITY OF SHOREWOOD COUNCIL CHAMBERS PLANNING COMMISSION MEETING 5755 COUNTRY CLUB ROAD TUESDAY, FEBRUARY 7, 2017 7:00 P.M. MINUTES CALL TO ORDER Chair Davis called the meeting to order at 7:00 P.M. ROLL CALL Present: Chair Davis; Commissioners Maddy and Riedel; and, Planning Director Nielsen Absent: Commissioner Bean APPROVAL OF AGENDA Maddy moved, Riedel seconded, approving the agenda for February 7, 2017, as presented. Motion passed 3/0. APPROVAL OF MINUTES  January 17, 2017 Maddy moved, Riedel seconded, approving the Planning Commission Meeting Minutes of January 17, 2017, as presented. Motion passed 3/0. 1. PUBLIC HEARING – CONDITIONAL USE PERMIT for ACCESSORY SPACE OVER 1200 SQUARE FEET Applicant: Wayne Hartmann and Michelle Letendre Location: 27460 Maple Ridge Lane Chair Davis opened the Public Hearing at 7:04 P.M. noting the procedures used in a Public Hearing. She explained the Planning Commission is comprised of residents of the City of Shorewood who are serving as volunteers on the Commission. The Commissioners are appointed by the City Council. The Commission’s role is to help the City Council in determining zoning and planning issues. One of the Commission’s responsibilities is to hold public hearings and to help develop the factual record for an application and to make a non-binding recommendation to the City Council. The recommendation is advisory only. She stated this evening the Planning Commission is going to consider a conditional use permit (C.U.P.) for accessory space over 1200 square feet for Wayne Hartmann and Michelle Letendre, 27460 Maple Ridge Lane. Director Nielsen explained that Wayne Hartmann and Michelle Letendre own the property located at 27460 Maple Ridge Lane. In September of 2015 they received a setback variance to build a small addition on the southwesterly corner of their home. The addition included enclosing the area beneath the master bedroom addition, amounting to 307 square feet of floor area. The plans submitted for the original project did not include details of the lower level and staff mistakenly assumed that the new lower space would be an extension of the lower level. In Mr. Hartmann’s request letter he explained it was not their intent to make the new space communicate with the existing lower level, which makes the new space accessory. This new CITY OF SHOREWOOD PLANNING COMMISSION MEETING February 7, 2017 Page 2 of 6 accessory space, when combined with the existing garage and a shed, puts the property over 1200 square feet in total accessory space and that requires a C.U.P. The property is zoned R-1A/S, Single-Family Residential/Shoreland District and contains 42,359 square feet of area. The house contains 3037 square feet of floor area on the upper two levels alone, with additional space in the lower, walkout level. The total amount of accessory space, including the new 307 square feet totals 1291 square feet. With regard to the analysis of the case, Nielsen noted Section 1201.03 Subd. 2.d.(4) of the Zoning Code prescribes four criteria for granting a C.U.P. for accessory space over 1200 square feet. He reviewed how the applicant’s plan complies with the criteria. a. The total area of accessory space (1291 square feet) does not exceed the total floor area above grade of the principal structure (3037 square feet – upper two levels). b. The total area of accessory space does not exceed ten percent of the minimum lot area for the R-1A zoning district (.10 x 40,000 square feet = 4000 square feet). c. The space under the master bedroom addition was granted a variance to the front yard setback requirement. It does not exceed the variance granted. Nor does it increase the hardcover on the property which is about 18.3 percent. d. The lower level accessory space has been integrated into the architecture of the existing home. Nielsen noted that based upon the analysis of the case staff recommends granting the C.U.P. If approved, Council will consider this item during its February 27, 2017, meeting. Chair Davis opened the Public Testimony portion of the Public Hearing at 7:10 P.M. Steve Kircher, 27415 Maple Ridge Lane, noted that he lives across the cul-de-sac from the applicants. He stated he has known the applicants since they moved into their home. He explained he has lived at his current location for going on 24 years. He has watched construction going on at the applicants’ property for about two years. He thought the intention of what the applicants are trying to do does not in any way affect the neighborhood or the dynamics in the cul-de-sac. He noted that both he and his wife are supportive of what the applicants have done and he thought it was important to come to this public hearing and express their support. Chair Davis closed the Public Testimony portion of the Public Hearing at 7:11 P.M. Commissioner Riedel asked what the rationale was for the original variance the applicants had requested. Director Nielsen explained one was the house was built closer to the street than the established setback of 50 feet. At that time staff could not find where a setback variance had been granted. Staff found that some houses in the Virginia Highlands subdivision had been built too close to the street right-of-way (ROW) without there being variances granted. Staff thought the City shared some responsibility for the applicants’ house being built too close to the street ROW. Owners of the other nonconforming houses would be granted variances also if requested. Nielsen noted the addition did not increase the nonconformity. Maddy moved, Riedel seconded, recommending approval of a conditional use permit for accessory space over 1200 square feet for Wayne Hartmann and Michelle Letendre, 27460 Maple Ridge Lane. Motion passed 3/0. CITY OF SHOREWOOD PLANNING COMMISSION MEETING February 7, 2017 Page 3 of 6 Chair Davis closed the Public Hearing at 7:15 P.M. 2. DISCUSS FOOD TRUCKS Director Nielsen explained the topic of food trucks came up a couple of years ago. Staff has put together some background information to start the discussion. He did not think Shorewood has a problem with them. Shorewood does not have restaurants the trucks would conflict with from an unfair competition perspective. The cities that have implemented food truck ordinances have mainly done so through zoning standards. For example, a truck could not be located within a certain distance, 200 – 300 feet, from a store that sells that same type of product. Technically food trucks are not allowed in the Shorewood parks. The only place the City allows open and outdoor sales of any kind is in a commercial district and that requires a conditional use permit (C.U.P.). Shortly after he came to work for the City there was an issue with food trucks selling supposedly fresh shrimp. The City implemented a Transient Merchants Ordinance to address that. There is the question of whether or not people want to allow food trucks. He thought they would be appropriate in the City’s parks. Chair Davis stated that during the 2016 Arctic Fever event Kowalski’s brought a food truck to the event. Director Nielsen explained the top issue with food trucks would be the health aspect. The State covers that. The food trucks are licensed and inspected. In the information he read there was a suggestion that cities not worry about the health aspect because the State does such a good job. A minor change would be required in the Zoning Code to legitimize food trucks in City parks. The change would basically say they are allowed in parks for certain types of events. The Transient Merchants Ordinance should be amended to address parks as well. There might be some conditions that would go along with that amendment. The City has asked food truck vendors to come to certain events (e.g.; Music in the Park and Movie in the Park) in City parks. That was a nice feature to have. He questioned what the City should do if a non-profit sports organization wanted to have food trucks at a sports tournament. He suggested the Planning Commission discuss under what circumstances that might be allowed. Chair Davis stated that Arctic Fever event organizers have been told that more people would come to those events held in Freeman Park if there were food trucks there. She asked how Excelsior addresses food trucks that come to its Farmer’s Market. Director Nielsen stated he assumes Excelsior has an ordinance that addresses that. Director Nielsen stated the Tonka United Soccer Association Tonka Splash traveling tournament that has been held in Freeman Park has been reduced in size because it was too large. He does not think food trucks are needed to draw more people to the event. He then stated he thought the requirement to get a C.U.P. has probably limited the desire for food truck vendors to come into the City. Because they are transient they don’t want to bother going through that process which takes about two months. He clarified that as long as an applicant continues to meet the rules of the C.U.P. the C.U.P. lasts forever. He stated there is not a lot of density of population or business in Shorewood. While researching this topic he found that there are large office parks in some cities where food trucks are set up. Nielsen asked the Planning Commissioners what their thoughts are about allowing food trucks in the Shorewood parks. Commissioners Riedel asked if food truck vendors pay municipal business taxes. Director Nielsen responded they do not and explained the only way to do that would be to charge a license fee. He stated CITY OF SHOREWOOD PLANNING COMMISSION MEETING February 7, 2017 Page 4 of 6 there is a tax that cellular service providers pay in lieu of property tax. Riedel stated that maybe a vendor could set up what would in essence be the equivalent of a permanent business and not pay taxes. Nielsen noted that the ordinances he has looked at included limitations on how long food trucks can stay in one spot. He stated there are instances where businesses will have a food truck to expand its exposure. Chair Davis asked about ice cream trucks. Director Nielsen stated a couple of the ordinances that he looked at exempt ice cream trucks. Davis stated the company she works for invites an ice cream truck vendor to their office once every summer. That vendor indicated she is only licensed to drive through neighborhoods in two cities to sell her products. Her truck could be taken away if she did that where she was not licensed. Commissioner Maddy stated when he was living somewhere else while his house was being rebuilt an ice cream truck would come through the cul-de-sac one day a week. Nielsen stated they would have to be licensed to operate in Shorewood. Davis stated if a resident was going to have a private party with a couple of food trucks she asked if that would be allowed. Director Nielsen clarified that would be more like catering and suggested that there be a differentiation in the ordinance between a catering type of situation and a retail sales type of situation. Commissioners Maddy stated that maybe there could be something attached to a party permit for people who are going to have more than 75 people at a gathering. Davis noted that she would like foodt rucks to be allowed in Shorewood parks. Commissioner Maddy asked who operates the concession stand in Freeman Park. Director Nielsen explained the same individual has done that for several years. He thought that individual pays some nominal amount to the City to use the concession stand. Maddy stated he would like input from the Park Commission and noted that he would be open to legitimizing food trucks in Shorewood parks. Commissioner Riedel stated food trucks in Shorewood parks would require a license. Chair Davis commented that food trucks are built to extremely rigorous standards. Davis stated that the American Legion has wanted to sell its pulled pork sandwiches during music events. Legion representatives would carry the food over by hand; it does not have a food truck. She thought food booths should be addressed in the ordinance. Director Nielsen explained that a few years ago the Park Commission discussed whether or not to allow liquor in the parks for events like Music in the Park. The Legion had been willing to serve food and beer. The Commissioners were extremely opposed to liquor. Commissioner Maddy asked which health agency regulates the food trucks. Director Nielsen stated he thought the State; the State may delegate enforcement to counties noting counties do health inspections of restaurants. The State may set the rules and the counties may enforce them. Commissioner Riedel stated on the Minnesota Department of Health’s website the rules for seasonal stands and mobile food units are posted. The inspections are done by counties. Director Nielsen stated staff will determine which ordinances have to be amended. For sure the Transient Merchants Ordinance would have to be. It refers to Section 902.02 which basically states it is illegal to sell in the parks unless authorized by written permit from the City Council. That would probably be covered by a licensing processing. CITY OF SHOREWOOD PLANNING COMMISSION MEETING February 7, 2017 Page 5 of 6 Commissioner Maddy stated he understands the Commission to be in agreement about researching how to make it easier for food trucks to operate in the parks. Director Nielsen stated staff will draft some amendment language for future review and discussion by the Commission. Commissioner Maddy stated he would like schools to be able to apply to have food trucks at events. 3. MATTERS FROM THE FLOOR There were no matters from the floor presented this evening. 4. OLD BUSINESS / NEW BUSINESS Chair Davis asked about the status of the situation with the problem property along Wild Rose Lane. Director Nielsen explained the City has received a few more complaints. The City Attorney has advised staff to write multiple citations. That had been avoided in the past because staff had been told that courts do not appreciate it when citations are issued almost daily. Director Nielsen explained the City amended its Code regarding prohibiting short-term rentals (rentals for less than 30 days). It was quite apparent that there have been at least two occasions since the Code was amended when the property was rented out for a shorter period of time. The owner of the property rents it to an individual who in turn sub-rents it to groups. The groups are smaller than they were during the past summer. Chair Davis stated the house is always lit up. Director Nielsen noted the owner of the property has obtained a rental license. The renter who sub-rents it does not. He explained the City is going to go after the sub-renter to get a rental license. In that process there is a provision in the Ordinance that will require the sub-renter to provide a roster of people he has previously rented to and when they rented. The City is also going to increase the penalty for subsequent violations. The fine for the initial violation will remain at $200. Commissioner Maddy stated he thought the State would let the fine go up to $2,000 per day. The City of Minneapolis starts at $200 and then doubles it for each subsequent violation until it reaches $2,000 and then it stays at that level. Director Nielsen stated he thought that situation will be on Council’s February 27, 2017, meeting agenda. Chair Davis stated on the television news she heard that there is someone in the City of Edina who is renting his home during the 2018 Super Bowl for $1,500 per day per person. Director Nielsen stated the City did not receive any complaints about short-term rentals during the 2017 Ryder Cup event. Chair Davis stated she also heard on the news that a person rented her house on Airbnb during the Ryder Cup and there was $15,000 in damages done to her house. That woman installed cameras and rented it for the 2017 Super Bowl and it was damaged again. She suggested the Commission have a discussion about rentals during the 2018 Super Bowl in the near future. CITY OF SHOREWOOD PLANNING COMMISSION MEETING February 7, 2017 Page 6 of 6 Commissioner Maddy stated because the City did not receive any complaints during the Ryder Cup it may not be a very big deal during the Super Bowl.  Determine Chair and Vice-Chair for 2017 Chair Davis noted that she was ready to relinquish her position as Chair of the Planning Commission. She would be willing to serve as Vice-Chair. She stated she feels badly if she has to be absent from a meeting when she is Chair. Also, as Chair she does not think she pays as close of attention to the thoughtful discussion as she should. Davis moved, Riedel seconded, recommending the nomination of Dustin Maddy to the position of Planning Commission Chair. Motion passed 3/0. Riedel moved, Maddy seconded, recommending the nomination of Sue Davis to the position of Planning Commission Vice-Chair. Motion passed 3/0. 5. DRAFT NEXT MEETING AGENDA Director Nielsen stated there is a minor subdivision/combination, a conditional use permit request and a discussion about draft ordinance amendments related to food trucks slated for the March 7, 2017, Planning Commission meeting. There will also be discussion about having a once-a-year exception to the short-term rentals restriction. 6. REPORTS • Liaison to Council • SLUC • Other Director Nielsen stated his target date for retirement is March 3, 2017. He explained that three applicants to replace him were interviewed. The Personnel Committee had intended to recommend one to Council until the references did not come back with good recommendations. The City is advertising again for the position. He offered to help out until his position is filled. He then explained that he can begin drawing on his Public Employee Retirement Association (PERA) pension and continue to work but he would have to reduce his hours by at least 25 percent and he cannot work more than 1000 hours during a year. Chair Davis suggested Director Nielsen give up parks and just focus on planning. Nielsen stated he may give up planning and just focus up parks. 7. ADJOURNMENT Maddy moved, Davis seconded, adjourning the Planning Commission Meeting of February 7, 2017, at 8:04 P.M. Motion passed 3/0. RESPECTFULLY SUBMITTED, Christine Freeman, Recorder