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7. City Code Amendment: Landscape Nurseries & Garden Centers in A2 District.1 CITY OF CHANHASSEN 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317 (612) 937 -1900 • FAX (612) 937 -5739 TO: Don Ashworth, City Manager FROM: Kate Aanenson, Planning Director DATE: March 7, 1996 SUBJ: Halla Nursery At the last City Council meeting, the proposed code amendment for retail nursery sales was tabled. Councilman Senn stated that he had an alternate proposal that he would like the City Council to consider. On Wednesday, March 7, 1996, I met with Councilmen Senn and Berquist. Councilman Senn's recommendation for a solution would be that the three uses currently on the Halla property be given a separate Conditional Use Permit. The uses would bethe nursery, retail sales and contractors yard. I have attached a legal opinion from City Attorney Roger Knutson regarding this proposal (see attachment). The City Attorney confirms what the state law says that the city cannot approve a regulation that would be in conflict with the comprehensive plan. Councilman Senn's proposal would do that, i.e. adopt a regulation in conflict with the comprehensive plan. I see two possible alternatives to Councilman Senn's proposal. One is to approve the staff recommendation of the interim use permit. The sticking point here seems to the date where the city would require the operation to cease. Maybe there is a way to find a mutually acceptable date for the use to cease and the IUP process could be adopted. The other alternative is to a settlement agreement fo zoning and site plan issue mechanism to avoid cone\ this alternative, I would n the agreement, out a settle agreement. As you ] two years. In my opinion, little that the city receive some Since Councilman Senn has offered to negotiate would recommend that he facilitate a settlement Council could provide Councilman Senn with sc the settlement agreement. the city has been trying to work out - ess has been made in regards to the -Invent it provides Halla a council chooses to proceed with d zoning compliarce''as a part of , e solution to the staff proposal of the IUP, I I think it would be beneficial if the City 1 or issues that may want to be addressed in I have attached the previous staff report with the planning staff recommendation of the IUP. Staff will proceed with the direction we are given from the City Council. g: \p1an \ka \ha]1a.cc MEMORANDUM CAMPBELL, KNUTSON, SCOTT & FUCHS, P.A Mar 7,96 16:26 No.010 P.02 I I C,AM I'BELL, KNUTSON, SCOTT & FUC.HS, P.A. AtLottu`ys t)t l.,-Iw I Tholl);,s J. ( "Implicll (61 2) 452 -5000 Andtva McDowell Poel,I r Roger N. Knutson The no, M, ';,Lou Fax (612) 452. -5550 ' Matthm K, Br,; Jahn F. Kelly Gary G. FLIihF MArgin- w M. McCarron Janus R. Waktc George T. Stcy,hcnson Elliott R. Knrtsch ' March 7, 1996 Ms. Kate Aanenson City of Chanhassen 690 Coulter Drive, Box 147 Chanhassen, Minnesota 55317 ' RE: ELALLA Dear Kate: You asked me if the City could amend its zoning ordinance to allow retail sales, ' a nursery, and a contractors yard as a CUP on Halla's property. Minn. Stat. § 473.858 was amended in 1995 to provide: After August 1, 1995, a local government unit shall not adopt any fiscal device or official control which is in conflict with its comprehensive plan, including any amendments to the plan, or which permits activity in conflict with metropolitan system plans, as defined by section 473, 852, subdivision 8. The City's adopted comprehensive plan guides Halla's property for "Residential - Large Lot." A zoning ordinance amendment that would allow retail sales, a nursery, and contractor's yard would conflict with the comprehensive plan designation of the property ' for large lot residential. Very truly yours, t j F B BLL UTSONSCOTT , P.A. oger N. Knutson 1 RNK: srn C CITY OF � CHANHASSEN 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317 (612) 937 -1900 • FAX (612) 937 -5739 MEMORANDUM TO: Don Ashworth, City Manager FROM: John Rask, Planner I ' DATE: February 6, 1996 ' SUBJECT: Proposed Text Amendment to the A -2, Agricultural Estate Zoning District to allow Retail Nurseries and Garden Centers ' CITY COUNCIL UPDATE The City Council reviewed the proposed text amendment on January 22, 1996, and tabled action to receive additional information, as well as to provide more time for discussion. The Council requested additional information on the status of landscape nurseries and arboretums in the city. ' City code defines an arboretum as "a place where plants, trees, and shrubs are cultivated for scientific and educational purposes." The University of Minnesota Landscape Arboretum ' clearly operates in this capacity. They may offer other services and sell products which are promotive of the primary use, but the principal function of the Arboretum is for scientific and educational purposes. The city zoning ordinance differentiates this use from that of a retail garden center or nursery. Further, state governmental units are not subject to local governmental planning and zoning regulations (see Memo from Amy Kvalseth, Assistant Attorney General). Therefore, the city may not impose zoning, conditional and interim use permits, and building ' codes on the State. Excluding Halla Nursery, other nurseries located in the A -2 zoning district are primarily ' wholesale in nature. Holasek Nursery is a wholesale nursery which conducts a limited amount of seasonal retail sales during early spring and the holiday season. Wilson's Nursery is a wholesale ' nursery located on Great Plains Blvd., which operates a seasonal retail stand located on Highway 212. Halla Nursery, on the other hand, is a year -round garden center which sells everything from nursery stock to pet supplies, garden tools, yard ornaments, and other miscellaneous items ' typically associated with garden centers (see attached inventory list). In addition to the garden Don Ashworth February 7, 1996 ' Page 2 center, the site is used as a contractors yard for the landscape contracting portion of the business, ' and as a wholesale nursery. Currently, there is over 70,000 square feet of buildings on the property, which include the garden center, greenhouses, and storage buildings. Therefore, comparing Halla Nursery to the Arboretum or other nurseries in the city is inappropriate because the uses are different, and the land -use impacts associated with them differ greatly. It should be noted that, if the ordinance amendment is approved as recommended by the Planning , Commission, existing nurseries would not be required to apply for an interim use permit. If an existing nursery wished to expand in a A -2 district, they would have to apply for an interim use permit. Currently, all nurseries located in an A -2 district are non - conforming uses and may not , expand. SUMMARY Mr. Don Halla, Halla Nursery, requested a text amendment to allow landscape nurseries as a permitted use in the A -2 Zoning District. The Planning Commission held public hearings to review the proposed ordinance amendment on November 1, 1995, November 15, 1995, and ' January 3, 1996. The Planning Commission tabled this item several times to receive additional information on the impacts of permitting retail nurseries as permitted uses, conditional uses, and interim uses (see memo to Planning Commission dated November 8, 1995). This item was tabled a second time to further refine the conditions for an interim use permit. On January 3, 1996, the Planning Commission denied Mr. Halla's request, but approved an ordinance amendment that would allow retail nurseries as an Interim Use in the A -2 District. Currently, ' retail nurseries are prohibited in the A -2 district. Following the January 3, 1996, Planning Commission meeting, Mr. Halla indicated to staff that he was not interested in obtaining an interim use permit and would like to withdraw his application. Staff is of the opinion that the ordinance amendment, as approved by the Planning Commission, is appropriate and will provide options for existing nurseries who may wish to modify or expand their current operation. The ordinance amendment would also permit additional nurseries in the A -2 district subject to the conditions and standards set forth in an interim use permit. Staff recommends that the City Council approve the ordinance amendment ' as outlined in the staff report. BACKGROUND ' The zoning ordinance currently prohibits all retail uses in the A -2 district, including retail ' nurseries and garden centers. Wholesale nurseries are currently allowed as an interim use in the district. Existing retail nurseries are operating as non - conforming uses or have expanded illegally. Recognizing these pre- existing situations, staff recommended an ordinance revision ' Don Ashworth ' February 7, 1996 Page 3 that allows retail nurseries to exist and expand provided that the operation complies with established standards set forth in an interim use permit. Staff is of the opinion that permitting retail nurseries as an interim use would allow the option of converting the property to a use ' consistent with the comprehensive plan. Allowing retail nurseries or garden centers as a permitted or conditional use would give permanency to the use. In 1989, the City Council requested an ordinance amendment to create interim uses in various zoning districts. The purpose of the ordinance amendment was to give the city flexibility to accommodate and regulate uses that may otherwise be prohibited, but which would not pose any real problems if allowed on a temporary basis. In February 1990, upon a favorable recommendation from staff and the Planning Commission, the City Council approved an ordinance amendment creating interim uses in various zoning districts. As a result of the ' ordinance amendment, wholesale nurseries were changed from a conditional use to an interim use. The Intent Statement, as adopted by Council, reads as follows, "The intent of allowing interim uses is (1) to allow a use for a brief period of time until a permanent location is obtained or while the permanent location is under construction, and (2) to allow a use that is presently acceptable but that, with anticipated development will not be acceptable in the future." Land uses to be classified as Interim Uses were to be based on the following criteria: 1. The date or event that will terminate the use can be identified with certainty to avoid the creation of defacto nonconforming uses. 2. The character of the use should be such that it does not adversely impact adjacent parcels that ' have already been developed in a manner consistent with the ordinance and comprehensive plan. ' 3. The use should be such that it would not inhibit the future development of adjacent parcels in a manner consistent with the ordinance or comprehensive plan. ' 4. The use should not require significant capital outlay or result in site modifications that would lead to uses that are inconsistent with the district or comprehensive plan. ' ANALYSIS ' When considering zoning ordinance text amendments, one must consider the comprehensive impacts on all properties affected by the amendment. Any amendments to the A -2 District will not only affect existing nurseries, but all property zoned A -2, and those properties located near an ' A -2 District. F Don Ashworth February 7, 1996 ' Page 4 The current permitted uses in the A -2 district are either residential in nature or are uses which ' require a large land area, such as: agriculture, arboretums, parks, etc. These uses do not generate a significant amount of traffic or require a large investment in buildings or other improvements. ' The A -2 District may be better described as a "holding zone" or "open zone" because the majority of property in this district is guided for further development. A "retail" oriented nursery or garden center may not be compatible with the existing permitted uses in the A -2 zoning ' district. However, there may be certain A -2 zoned areas which are suitable for garden centers or nurseries. Prop currently utilized for nurseries or similar uses may be suitable for use as a garden center ' p Y or retail nursery. If allowed in the A -2 district, retail nurseries or garden centers would be more compatible with the current interim uses in the A -2 District. Structures such as greenhouses, , outdoor displays, and nursery areas are for the most part temporary structures or uses. Allowing additional permanent structures would only increase the likelihood that the property would remain in retail use. By permitting retail nurseries as an interim use, conditions can be placed on the permit to mitigate any negative impacts on adjacent properties and to ensure that the property will someday comply with the comprehensive plan. Constructing permanent retail buildings ' makes it difficult to redevelop the property into other appropriate uses. Staff is also concerned that if permanent buildings are constructed for retail nursery purposes, these buildings may be converted to another retail use if the property is vacated by the nursery. , Interim uses include those uses which are allowed within a zoning district for a limited amount of time. The temporary use is permitted until a particular date, until the occurrence of a ' particular event, or until zoning regulations no longer permit it. Interim uses are reviewed and conditions added to mitigate any negative impacts on adjacent properties, such as: increased traffic, noise, drainage, and requirements for public facilities and services. As mentioned above, ' A -2 Districts are often located near existing or future residential or industrial properties. These properties serve as a "holding" or "open" zone until such time as the property is further developed. If garden centers or retail nurseries are to be permitted in the A -2 District, it would ' be appropriate to permit them as an interim use. RECOMMENDATION , Staff recommends that the City Council adopt the following motion: ' "The City Council approves amendments to Sections 20- 576(7), 20 -1, and 20 -257 to permit both wholesale and retail nurseries in the A -2 District as an Interim Use, as outlined in the staff report ' dated November 27, 1995." More specifically, the amendments shall read as follows: 1 1 Don Ashworth February 7, 1996 Page 5 Amend Section 20 -1 to read: ' Nursery is defined as, "An enterprise which conducts the retail and wholesale sale of plants grown on the site or imported to the site, as well as accessory items directly related to their care and maintenance. Accessory items may include fertilizer, potting soil, garden tools, seed, pesticides, pots, and other gardening supplies. The retail sale of hardware, paint, pet supplies, power equipment, and farm implements shall be prohibited. Nursery may include greenhouses." Retail Sales is defined as, "Establishments engaged in selling goods or merchandise to the general public for personal or household consumption and rendering services incidental to the sale of such goods." Amend Section 20 -257 to read: Intent Statement. It is the intent of this amendment to recognize that pre - existing retail nurseries and garden centers are located within the City and may be in conflict with the comprehensive ' plan and zoning ordinance. These establishments pre -date current ordinance standards. To allow for planned and orderly development, the City finds it necessary to regulate the expansion or intensification of these uses and to provide standards for any future retail nursery or garden centers. It is the intent of this section to promote the health, safety, general welfare, aesthetics, and image of the community by regulating the creation and the expansion of existing retail nurseries and garden centers. The creation or expansion of these uses will be allowed only by ' Interim Use permit approved by the City Council. The following conditions will apply to wholesale and retail nurseries: ' 1. The site must be on a collector or minor arterial as identified in the comprehensive plan. ' 2. The minimum lot size is five acres. 3. All storage and yard areas as well as buildings must be setback fifty (50) feet from public or ' private road right -of -ways, and three hundred (300) feet from an adjacent single family residence or a minimum of fifty (50) feet from a side lot line, whichever is greater. ' 4. All outdoor storage areas must be buffered from adjacent properties. Buffering may be accomplished using berms, fencing, landscaping, natural topography, or increased setbacks. ' The City Council may require storage areas to be completely screened by one hundred (100) percent opaque fencing or berming. Don Ashworth February 7, 1996 Page 6 5. Hours of operation shall be from 7:00 a.m. to 9:00 p.m. The City Council may further ' restrict hours of operation if the use is located adjacent to property guided residential as identified in the Comprehensive Plan. 6. Light sources shall be shielded. 7. No outside speaker systems shall be allowed. ' 8. A termination date shall be established for the interim use permit. The use shall be permitted until a particular date, until the occurrence of a particular event, or until zoning regulations no longer permit it. Prior to the permit expiring, the applicant may request an extension to the interim use permit by submitting a new application. The renewal application will be subject to all city ordinances including any new ordinances enacted after the original ' approval. 9. One wall sign not to exceed ninety (90) square feet, and one monument sign not exceeding ' twenty -four square (24) square feet in size or eight (8) feet in height shall be permitted on the premises. The Council may further restrict the size and location of signs if the use is located adjacent to property guided residential as identified in the Comprehensive Plan." ATTACHMENTS 1 1. City Council Meeting, January 22, 1996 2. Halla Nursery Garden Center Inventory ' 3. Halla Nursery advertisement 4. Memo from Amy Kvalseth, Assistant Attorney General dated October 5, 1995 5. Letter to Mr. Don Halla dated January 11, 1996 , 6. Planning Commission minutes dated January 3, 1996 7. 8. Map of existing wholesale or retail nursery sales Map of A -2 zoned property r 9. Memorandum to Planning Commission dated November 8, 1995 10. Memorandum to Planning Commission dated October 25, 1995 , n Fil' jl City Council Meeting - February 12, 1996 AN AMENDMENT TO THE CITY CODE FOR LANDSCAPE NURSERIES AND GARDEN CENTERS IN THE A2, AGRICULTURAL ESTATE DISTRICT John Rask: Thank you Mr. Mayor, members of the Council. City Council reviewed the proposed text amendment on January 22nd and tabled action to receive additional information as well as to provide more time for discussion. As the Council requested additional information on the status of landscape nurseries and arboretums in the city. I won't spend a whole lot of time on this. I think our ordinance is fairly clear. It differentiates between nurseries and arboretums. Arboretums are defined as a place where plants, trees and shrubs are cultivated for scientific and educational purpose. It's staffs opinion that the Arboretum is clearly operating in this capacity. Further, local units of government are restricted on what type of land use controls they can impose on the Arboretum. Therefore, it becomes difficult to deal with some of those issues. Other nurseries in the city. Again, we kind of keep getting back to Halla on this. Even though it's an ordinance amendment that would affect all 2 property but the other two nurseries in the city are quite different from what Halla's currently operating. Halla has a Garden Center contract, landscape contracting business and wholesale. Therefore there are going to be some different. You know we try to treat everybody similar and fairly but there are different uses that play here so it's tough to make a comparison between what each nursery is doing. What I'd like to do is just take a few minutes to go over, and this is in your packet. It's a table that illustrates the difference between permitted uses, conditional uses, and interim uses. We put this together at the request of the Planning Commission to kind of illustrate what the main differences are. Under permitted uses, we say not all A2 zoned property would be appropriate for retail nurseries. As an example some don't have public facilities. We'd have for example this illustrates where current A2 property is located and here, the idea is not to strike fear in everybody's heart that if we approve this we're going to have nurseries everywhere. But the possibility does exist that if some of this went in, it may eventually, the adoption is there to use it for a nursery if the amendment goes through as Mr. Halla originally requested. So we have land for example along Galpin that is zoned A2. If we make it a permitted use, the city has very little say about what goes in there and where as long as they met setback requirements and so forth. They could operate a nursery out of that location. On our second point. Retail nursery and garden centers are inconsistent with other permitted uses in the A2 district. These other uses consistent primarily of agricultural and residential. If it's allowed as a permitted use, we may allow businesses such as Bachman's or Frank's, which may be in conflict with surrounding properties. Under permitted uses, if we have, one of our, staffs concerns was if we allow permanent buildings to be constructed on this site, it's hard to prevent other uses from going in if the nursery vacates. If you have a significant capital outlay in some of these properties to construct a retail building, to construct parking lots and provide some of those improvements, it's difficult to convert that property to say residential or to some other use that would be consistent with the Comp Plan. Another point here is use would be allowed in perpetuity. There'd be no end date to it and if the zoning changed, it would be non - conforming but basically it would be allowed to continue to operate. Retail nurseries or garden centers in most cases would be in confl ict with the comprehensive plan. It lists here the comer of TH 5 and TH 41, which is currently zoned A2. This is a map that shows the 2000, the Chanhassen 2000 Land Use Map which shows the area around the existing Halla Nursery. Halla Nursery and the majority of the land surrounding it is guided for residential use. It's this land use that allowed Mr. Halla to subdivide but it's also the land use classification that makes him, that puts him in conflict with the comp plan. And then going to conditional uses. Conditional uses are very similar to permitted uses. They would be allowed in perpetuity. The real difference is you could attach conditions to try to mitigate it but there would be no end date to the use. And then the main difference, looking at interim uses, the main difference here is that there's a termination date that would discourage the use of permanent buildings. It would encourage the use of - temporary - structures. 'As you recall, we currently have wholesale nurseries as an interim use in this district. The thought process there is to have a wholesale nursery you don't need a large investments in buildings. You can have your growing areas, }'our display areas. Maybe a couple of pole buildings for equipment but it doesn't 10 I � I L� Co uncil Meeting - February 12 ' City Co g r5 , 1996 really involve a large capital outlay to make some of these improvements. When you add retail in there you talk about a completely different subject where you have to have some of these improvements. And again, an ' interim use does allow you to attach conditions to mitigate any negative impacts. I'd also like to point out that currently we do allow garden centers in the BH district as a conditional use permit and in the BG as a permitted use so we do provide for these uses elsewhere in the city. With that staff is recommending that we, that the ' Council approve the amendment as recommended by the Planning Commission. At this time I'd be happy to answer any questions that you may have. Mayor Chmiel: Thank you John. Any questions of John at this time? I guess I don't see any John at this time. ' I know that we have gone through the process of hearing. Do you have anything new or additional to the previous meetings that you'd like to add at this particular time? Hopefully it's all new. Okay, come on up. State your name and your address. ' Mark Halla: Good evening. I'm Mark Halla. I live at 770 Creekwood ... I would like to see that our letter be a part of the Minutes... mentioned at the previous Council meeting and that option was that the Council ... and that they are allowed to construct additional greenhouses on agricultural land ... I'd much rather, as I indicated in my letter... One other point of clarification is Halla Nursery and Garden Center may be open year round for our employees but we are a seasonal business. Since December 23, 1995 through today, the books indicate we've sold $138.20 from our garden center ... and I'd happy to answer any questions. , Mayor Chmiel: Good, thank you. Mark Halla: Thank you. ' Don Halla: Good evening Mayor, members of Council. I'm Don Halla, 6601 Mohawk Trail in Edina. Maybe there's other solutions here, I don't know. We've asked to put up a greenhouse... Some people have suggested that ... maybe that's another business highway... for the business we're in and that would meet I believe the rest of the criteria for business highway. Another simple solution, rezone us to commercial. All 100 acres or a part thereof that makes sense to you. There can be many solutions here. All we really want to do is exist as we have since 1962 and be a good neighbor... city and be able to stay in business and be able to keep our clientele ' coming... thank you. Mayor Chmiel: Good, thanks Don. Okay. Steve, do you have anything that you'd like to add to this? , Councilman Berquist: I don't purport to be an expert on the permitted uses, the conditional uses and the interim uses in the different zoning districts. I also don't purport to be an expert in retail gardening or the difference ' between permanent and temporary structures. I'm not of a mind to impose any sort of regulations that jeopardizes the existence of an existing business and I don't know that that's necessarily what staffs intent is. Having said that and already profess my ignorance, I'm going to listen to some of the other questions. ' Mayor Chmiel: Okay. Colleen. Councilwoman Dockendorf: That table was very helpful John. You know I wasn't here at the last meeting and , tried to get through the Minutes, and I'm getting bogged down between an ordinance amendment and the fact lhatlhis - is dealing with specifically one piece of land and one operation and I'm trying to separate the two. It seems to me that the business on this specific piece of property, which granted has been there since 1962, ' although not in it's current form. I'm struggling with whether it is consistent with the surrounding area, and I 11 I L� 11 City Council Meeting - February 12, 1996 and I think 35 years in business in a community has to create an exception to the rule. I'm not the expert on it either so I'm not going to purport that it may be the most wonderful solution in the world but you know, it seems to me that why can't we create an A3 zone and rezone this property as A3, and then it's the only one in the city that's A3. If somebody else wants to come in and argue before us that they should be moved to an A3, fine. Let them argue. We can consider each one on it's merits. To me that's a way to leave the ag in place. Create a new category where this type of a use can exist without jeopardizing other land areas that are currently A2 and, you know I look at this area. This area to me is rather unique because you know effectively what you have is you have an operation butting up to a golf course. Now unless that golf course ever changes, I don't see a problem with this operation there. The golf course itself has a very similar operation in a lot of ways. You know again if you look, if we take that type of approach, the other ones we can look at. If somebody else comes in on an individual basis but I tell you what, the others one, at least looking at where they're at are going to have a hell of a lot more time justifying it in m} mind because if you look at the surrounding area and stuff, I mean I think there are some definite conflicts. I don't see a definite conflict with this one. At least not a great deal of them because of the golf course again. Because the golf course surrounds most of this property. But again, I do want to lose that in the fact that I really... solution than start from the back into negotiations over temporary structures every time something needs to go up. And basically some kind of life and death negotiation for a business every time we get into an issue, which effectively you're going to cause an interim use. I'd rather see us take a long term approach to the solution and solve it now rather than keep putting it off... Mayor Chmiel: Roger, let me just ask you a question. As far as zoning is concerned, what ramifications would there be if we did go to an A3 from the A2? And the other part of that would be the golf course remaining. If and when that golf course were to maybe discontinue that particular use and put it into residential. Roger Knutson: Well, if the property was zoned A3, you haven't decided what the rules are for A3 but assuming you allow wholesale and retail nurseries there as a permitted or conditional use, or whatever you decide. As long as it's zoned that way, they would have the right to continue in business and expand as long as they met the rules that you set forth. So they could continue to grow in size. Intensify their use. Mayor Chmiel: Okay. Kate, let me ask you a question. Kate Aanenson: I just wanted to add onto what Roger is saying. That's the struggle we had because it was in conflict with the comprehensive plan. The comprehensive plan has this guided residential so if we're now going to say retail is a permitted use in the agricultural district, that's a substantial change in our comprehensive plan and as John indicated on the map. Mayor Chmiel: I guess that's part of the things that I was eluding to as well. Kate Aanenson: I'm not sure if Roger wants to speak more to that. Roger Knutson: Well Mayor this is, if the A3 zoning would be inconsistent with the comprehensive plan, then you cannot adopt an amendment to your zoning ordinance until you've also amended the comprehensive plan because you can't adopt, you can't... Mayor Chmiel: Okay. Councilman Berquist: Can I hear that again please? 13 City Council Meeting _ February 12, 1996 Don Halla: That is totally incorrect sir. Kate Aanenson: No, the fact of the matter is that, it had been non - conforming and it continued to expand that and -,we've, there's been other ongoing issues regarding that which we've been trying to resolve so it has been expanding illegally in some respects. That's where we're trying to get some sort of resolution on this. Kind of a global aspect here. It's not all of a sudden today we decided. This has been an ongoing issue. Councilman Berquist: No, I understand. I mean I know this isn't just something that's been out of the blue. I mean this has been going on for a number of years. I remember when Don Halla called us down at Merit and said I want you to bid on this job and I said geez you know, you've got a permit. No, we don't. We're in ag. I said I don't think so but go ahead. And that was 5 years ago. 4 years ago. I know it's been a thorn in everyone's side since at least that time. Mayor Chmiel: Okay. Is there any other discussion? Councilwoman Dockendorf: Well I don't know where we all sit right now. Mayor Chmiel: Well I get a little concerned, just some concerns as to allowing and making this change and other people coming in and wanting to make those changes too within the A2, agricultural. And there's other pieces that are out there. I guess that's one of my only concerns. The only way you can do the clarification is what Mark had brought up but that's going to take a long time before we can go through the changes that we have to do, and it's probably getting to that point where that comp plan should be updated as well. Councilman Berquist: That's within the '95 study area, isn't it? Mayor Chmiel: Yep. Some of those other A2's. Councilwoman Dockendorf: But you're not getting around the issue if it's a PUD then. Councilman Senn: ...negotiate all those specific issues out... Councilwoman Dockendorf: But aren't we negotiating them through the interim use permit regardless? I mean you're not taking the cloud away by making it a PUD. Not at all. Councilman Senn: No, but once you put the interim use on, what ... do you have? They already know they're stuck with that. I don't see... Councilwoman Dockendorf: I don't see what a PUD would buy us. Councilman Senn: If you do A3 and then ... PUD with an A3. Councilman Mason: People that are looking for less government to all of a sudden go through zoning something for A3 for one particular area, I would hope that's not our only option here. I mean that's a lot of time and a lot of effort and a lot of money to do something like that knowing what we have to do to the comp plan and this, that and the other thing. You know - I, well yeah. "Knowing what is probably going to be happening in that area and knowing the ongoing history with that area and with all the people involved, this is certainly not going to destroy anybody's business. And I can't you know, and Steve you made, that comment 1 15 1 City Council Meeting - February 12, 1996 r Councilman Mason: Provided we have all the information. I mean I guess I would like to find a way we can get some sort of neutral analysis of how an interim use permit would affect them as well. I mean fine, you know. Mayor Chmiel: I think the intent statement as shown on page 3 where it says the intent statement as adopted by Council read as follows. The intent of allowing an interim use to allow the use for a brief period of time until a permanent location is obtained, while the permanent location is under construction and to allow the use to, or to allow a use that is presently acceptable but that with anticipated development will not be acceptable in the ' future. And that's part of the things that Michael had brought up as well. What's going to be there in the long run? Councilman Mason: Now if we so choose, if any Council so chooses with an interim use permit, things may or may not be approved, is that not correct? Councilwoman Dockendorf: Depends on the negotiation. Kate Aanenson: Right. That's the thing. First of all they have to choose to go through the interim use permit. They can continue just illegal non - conforming. Secondly, you attach conditions under the interim use permit that are reasonable. Councilman Senn: Interim uses are generally for short periods of time and are renewed... future Council could decide... Councilman Mason: Well like would be the case with an }' future Council regardless of what we do or don't do. Councilman Senn: Well not necessarily. Councilman Mason: Well sure. Ordinances can change. Mayor Chmiel: Anything can change as long as you get a majority vote. Councilman Mason: Yeah, there's nothing that I've done here that's so important that it's going to last. So knowing that there are still options involved with this, I guess I'm not, well I'm still open to any discussion but I don't see as though the options are shut down. They're limited, as I think they should be but they're not shut down. Councilman Senn: Well I heard one statement earlier about the golf course and, unless society is substantially revamped, I can't understand how a golf course use would ever change. I mean golf courses are... Mayor Chmiel: I've seen it. Councilman Senn: Well, in the past. But since they've become profitable in recent years, I see more people looking for land to turn into golf courses than ones the} can take out of it. "Mayor - Chmiel: - True. "At a certain point'but yet the situations do occur. And it'has happened in a lot of ' different communities where they've moved a golf course from one location to another. 17 City Council Meeting - February 12, 1996 Roger Knutson: Just to comment on your request. If you pass this ordinance, this ordinance itself doesn't have that effect. If you pass this ordinance, they can continue in business as a non - conforming use forever. The only time it would have, it's only if they wanted to take advantage of the opportunity offered by this ordinance that it would be based with a termination. Passage of this ordinance itself will not put any termination date on them. Councilman Berquist: But they're also restricted in their ability to grow their business as they see fit. Insofar as putting up a structure, temporary or permanent. Roger Knutson: The)' already have that restriction. Kate Aanenson: They already have that restriction. Roger Knutson: That's in place now because they're a non - conforming use. Kate Aanenson: This provides a mechanism for them to do that. It also provides the city to have a mechanism to put some controls on that. That's where we're trying to come to that. Roger Knutson: This would offer that mechanism. They wouldn't have to accept it or use it. If they chose not to, and I understand they've said they have no interest in this. After you pass this ordinance, they were non- conforming before you passed this ordinance they're non - conforming. If you do nothing, they're non- conforming. Mayor Chmiel: Okay. I would entertain a motion. Councilman Mason: I will move that City Council approves amendments to Sections 20- 576(1), 20 -1, and 20- 257 to permit both wholesale and retail uses in the A2 district as an interim use as outlined in the staff report dated November 27, 1995, with specifics stated in the staff report. John Rask: I'd make one correction. It should read February 7th as presented tonight. Councilman Mason: Okay, scratch November 27th to read February 7, 1996. Councilwoman Dockendorf: I'll second it. Mayor Chmiel: There's a motion on the floor with a second. Any discussion? Additional discussion. Councilman Mason moved, Councilwoman Dockendorf seconded to approve amendments to Section 20- 576(1), 20 -1, and 20 -257 to permit both wholesale and retail nurseries in the A -2 District as an Interim Use, as outlined in the staff report dated February 7, 1996. All voted in favor and the motion carried unanimously. rl L J F1 19 ' 11 I MEMORANDUM t 1 n 11 CITY OF CHANHASSEN -L 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317 (612) 937 -1900 • FAX (612) 937 -5739 TO: Planning Commission FROM: John Rask, Planner I DATE: November 8, 1995 SUBJECT: Proposed Text Amendment to the A -2, Agricultural Estate District. SUMMARY On November 1, 1995, the Planning Commission reviewed proposed changes to the A -2, Agricultural Estate zoning district. Mr. Don Halla, Halla Nursery, requested a text amendment to allow landscape nurseries as a permitted use in the A -2 District. The Commission tabled action on this item to receive further information from staff. More specifically, the Commission wanted to see a side by side comparison of the different options of allowing retail nurseries as a permitted use, conditional use, and as an interim use. The following definitions are being provided for discussion purposes: Permitted Use is defined as, any use allowed in a zoning district and subject to the restriction applicable to that zoning district. Conditional Use is'defined as, a use permitted in a particular zoning, district upon showing that such use in a specified location will comply with all the conditions and standards for the location or operation of the use as specified in the zoning ordinance and approved by the City Council. Interim Use is defined in Section 20 -1 as, a temporary use of property until a particular date, until the occurrence of a particular event, or until zoning regulations no longer permit it. By way of example, the use could terminate when the site is brought into the MUSA, when sewer or water is provided to the site, a date could be set for the use to end, or if the zoning district changes to a residential zoning. 1 Planning Commission November 8, 1995 Page 2 Staff assembled the following table to illustrate the differences between permitted uses, conditional uses, and interim uses: IMPACTS OF ALLOWING RETAIL NURSERIES AND GARDEN CENTERS IN THE A -2 ZONING DISTRICT PERMITTED USES CONDITIONAL USES INTERIM USES Use is eventually terminated Not all A -2 zoned property By classifying a use a conditional would be appropriate for retail use, special conditions may be allowing the property to be nurseries, i.e. lack of adequate imposed to mitigate the adverse converted to a use which is public facilities impacts consistent with the Comp. Plan r Retail nurseries and garden Conditional use must be approved if Would discourage the use of centers are inconsistent with applicant meets all conditions set permanent buildings other permitted uses in the A -2 forth in local ordinances and other District conditions imposed by the City Council May allow businesses such as, Not all A -2 properties are Not all A -2 properties are Bachmans, Franks, or other appropriate for retail nurseries or appropriate for retail nurseries nursery and craft stores which garden centers or garden centers may be in conflict with surrounding residential or agricultural properties, Permanent buildings may be constructed which may lead to other uses if the nursery is vacated, i.e., auto repair, contractors storage /yard, misc. retail, etc. Use would be allowed in perpetuity Permanent buildings may lead to other uses if the nursery is vacated, e.g., auto repair, contractors storage /yard, misc. retail, etc. Encourage the use of temporary structures which would discourage conversion to other uses inconsistent with the zoning ordinance Use would be allowed in perpetuity Use would have a termination date Retail nurseries or garden centers Retail nurseries or garden centers in By classifying a use an interim in most cases would be in most cases would be in conflict with use, special conditions may be conflict with the comprehensive the comprehensive plan, i.e., corner imposed to mitigate any plan, i.e., corner of Hwy. 5 and of Hwy. 5 and 41, which is currently adverse impacts 41, which is currently zoned A -2 zoned A -2 1 Planning Commission November 8, 1995 ' Page 3 The City Council recently approved a temporary sales ordinance. This ordinance applies to the ' business zoned districts only, i.e., BG, CBD, BF, and BH. Temporary sales are allowed as an accessory use to a permitted or conditional use, and are limited to 60 days per calendar year. Staff examined the possibility of allowing retail sales as a temporary use in the A -2 district. This would allow a "wholesale" nursery to temporarily sell retail products. The impacts of this approach are that not all A -2 properties are appropriate for retail use, the use may be inconsistent with surrounding properties, the use must be permitted if conditions are met, and would be very difficult to enforce. Staff is of the opinion that retail nurseries and garden centers are inconsistent with other uses in the A -2 district and the comprehensive plan. Allowing garden centers or retail nurseries as a permitted use would encourage permanent buildings and use, and discourage the conversion of the property to a more appropriate use consistent with the comprehensive plan. To mitigate these negative impacts, staff is recommending an alternative that would allow retail nurseries as an interim use (see memo to Planning Commission dated October 25, 1995). I ATTACHMENTS 1. Memorandum to Planning Commission dated October 25, 1995 2. Map of Chanhassen showing current A -2 zoned properties. u F� CITY OF CHANHASSEN 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317 (612) 937 -1900 • FAX (612) 937 -5739 1 MEMORANDUM TO: Planning Commission FROM: John Rask, Planner I DATE: October 25, 1995 SUBJECT: Proposed Text Amendment to the A -2, Agricultural Estate District SUMMARY Mr. Don Halla, Halla Nursery Inc., is requesting a zoning ordinance text amendment to allow landscape nurseries as a permitted use in the A -2, Agricultural Estate Zoning District. Mr. Halla indicates in his application that nurseries are currently prohibited and that landscape nurseries are an agricultural use and should be permitted. Further, Mr. Halla indicates that he has occupied this property since 1962 and his business is no longer a permitted use. BACKGROUND The intent of the A -2 District is, "preservation of rural character while respecting development patterns by allowing single - family residential development." The following uses are permitted in an "A` -2" District 1. Agriculture 2. Public and private parks and open space 3. Single family dwellings 4. State - licensed day care center for twelve or fewer children 5. Utility services 6. State - licensed day care center for six or fewer persons 7. Temporary real estate office and model home 8. Arboretums 1 1 Planning Commission October 25, 1995 Page 2 The following are permitted accessory uses in an A -2 District: 1. Accessory agricultural buildings 2. Garage 3. Private stables 4. Swimming pool 5. Tennis court 6. Signs 7. Home occupations 8. One Dock 9. Roadside stand 10. Private kennel The following are conditional uses in an A -2 District: 1. Commercial communication transmission tower 2. Electrical substation 3. Churches 4. Recreational beachlots 5. Group homes for seven to sixteen persons 1 The following are interim uses in the A -2 District: 1 J 11- 1. Churches 2. Mineral extraction 3. Mobile homes 4. Bed and breakfast establishments 5. Commercial kennels, stables and riding academies 6. Wholesale nurseries 7. Golf driving ranges with or without miniature golf courses Currently, wholesale nurseries are allowed as an interim use in the A -2 District. Wholesale nursery is defined in Section 20 -1 of the City Code as follows, "Wholesale nursery means an enterprise which conducts the wholesale of plants grown on site as well as accessory items directly related to their care and maintenance (but not including power equipment such as gas or electric lawnmowers and farm implements) ". The ordinance provisions of the A -2 District do not meet Mr. Halla's current needs because retail sales are not permitted. The retail sales portion of Mr. Halla's Nursery has been expanded illegally and is in violation of City Ordinances. Discussions have occurred between Mr. Halla and city staff over the years concerning the retail segment of Halla Nursery. Mr. Halla has shown a desire to expand his business to provide for Plannin g Commission October 25, 1995 Page 3 , additional retail space. In his request for a code amendment, Mr. Halla indicated that he would like to continue to operate his business as a "legal use" or permitted use. This would allow him to expand or intensify his operation at the current location. It is staff s opinion, that Halla Nursery would best be classified, for zoning purposes, as a retail , nursery or garden center. A garden center is defined as follows, "Garden center means a place of business where retail and wholesale products and produce are sold to the retail consumer. These ' centers, which may include a nursery and/or greenhouses, import most of its items sold. These items may include paints, handicrafts, nursery products and stock, fertilizers, potting soil, hardware, lawn and garden power equipment and machinery, hoes, rakes, shovels and other garden and farm tools and utensils." This definition appears to better describe the current operation of Halla Nursery. Section 20 -1 of the ordinance defines nursery as follows, "Nursery means an enterprise which conducts the retail and wholesale sale of plants grown on the site, as well as accessory items directly related to their care and maintenance (but not including power equipment such as gas or ' electric lawnmowers and farm implements). Halla Nursery currently has retail sales which do not meet this definition. By way of example, pet food is offered for sale on the premises. ANALYSIS , When considering zoning ordinance text amendments, one must consider the comprehensive , impacts on all properties affected by the amendment. Any amendments to the A -2 District will not only affect Mr. Halla's property, but all property zoned A -2, and those properties located near an A -2 District. The current permitted uses in the A -2 district are either residential in nature or are uses which require a large land area, such as: agriculture, arboretums, parks, etc. These uses do not generate a significant amount of traffic or require a large investment in buildings or other improvements. The A -2 District may be better described as a "holding zone" or "open zone" because the majority of property in this district is guided for further development. The City of Chanhassen 2000 Land Use Plan shows this property guided for Large Lot Residential. Permitting garden centers or retail nurseries may ultimately lead to a "spot" zone of this property. The property surrounding the existing Halla Nursery buildings, which is part of the current nursery, has received final plat approval for a residential subdivision. Other A -2 zoned districts are adjacent to existing and future residential or industrial developments. A "retail" oriented nursery or , garden center may not be compatible with the existing permitted uses in the A -2 zoning district. However, there may be certain A -2 zoned areas which are suitable for garden centers or nurseries. 1 Planning Commission October 25, 1995 Page 4 Property currently used for nurseries or similar uses may be suitable for use as a garden center or retail nursery. If allowed in the A -2 district, retail nurseries or garden centers would be more compatible with the current interim uses in the A -2 District. Structures such as greenhouses, outdoor displays, and nursery areas are for the most part temporary structures or uses. Allowing additional permanent structures would only increase the likely hood that the property would remain in retail use. By permitting retail nurseries as an interim use, conditions can be placed on the permit to ensure that the property will someday comply with the comprehensive plan. Constructing permanent retail buildings makes it difficult to redevelop the property into other appropriate uses. Staff is also concerned that if permanent buildings are constructed for retail nursery purposes, these buildings may be converted to another retail use if the property is vacated by the nursery. The City Comprehensive Plan discusses both present and future agricultural uses in the City. The Plan states, "While several farms remain in the community, for the most part this use has either been eliminated by development or is often conducted on a lease hold basis with the land held by persons intending to market the property for development. The city has no desire to see these operations prematurely eliminated and will cooperate with the owners to allow them to continue as long as it is feasible to do so. However, there is no proposed on -going goal of permanently providing for agricultural land preservation in the community." Interim uses include those uses which are allowed within a zoning district for a limited amount of time. The temporary use is permitted until a particular date, until the occurrence of a particular event, or until zoning regulations no longer permit it. Interim uses are reviewed and conditions added to soften any negative impacts on adjacent properties, such as: increased traffic, noise, drainage, and requirements for public facilities and services. As mentioned above, A -2 Districts are often located near existing or future residential or industrial properties. These properties serve as a "holding" or "open" zone until such time as the property is further developed. If garden centers or retail nurseries are to be permitted in the A -2 District, it would make sense to permit them as an interim use. Staff recommends that the ordinance be amended to allow for retail and wholesale nurseries as an interim use in the A -2 District. Amending the ordinance to allow retail and wholesale nurseries as a permitted use would be inconsistent with the A -2 District. Staff is concerned with the impacts that a retail nursery or garden center would have on surrounding properties and the spirit and intent of the A -2 District. Garden centers would permit the retail sales of a wide range of products, including: hardware, lawn and garden equipment, paints, tools, etc. The current permitted, conditional, and interim uses in the A -2 district are either residential in nature or are uses which require a large land area. A garden center is inconstant with other uses in the A -2 District. However, staff is of the opinion that adding retail nursery sales may be appropriate in certain locations, if the necessary conditions are attached. Staff developed nine conditions which would apply to retail or wholesale nurseries. The conditions are as follows: i 1 Planning Commission ' October 25, 1995 Page 5 1. The site must be on a collector street or minor arterial as identified in the comprehensive plan. 2. The minimum lot size is five (5) acres. 3, All storage and yard areas as well as building must be setback one hundred (100) feet from public or private road right -of -ways and five hundred (500) feet from an adjacent single family residence. 4. All outdoor store areas must be completely screened by one hundred (100) percent opaque fencing or berming. 5. Hours of operations shall be set by the City Council. 6. Light sources shall be shielded. 7, No outside speaker systems are allowed. 8. A termination date shall be established for the interim use permit. The use shall be permitted ' until a particular date, until the occurrence of a particular event, or until zoning regulations no longer permit it. 9. One ground low profile or wall sign, not exceeding twenty -four (24) square feet of sign display area, shall be permitted on the premises. (Note: The 500 foot setback would not allow Mr. Halla to add additional buildings after homes are constructed in his subdivision. Staff is of theopinion that 500 feet is an appropriate setback for nursery buildings from single family residences. Again, consideration must be given to all properties within the A -2 Zoning District.) RECOMMENDATION Staff recommends denial of the zoning ordinance amendment as submitted by the applicant. The applicant's proposal requested that landscape nurseries be a permitted use or "legal use" in the A- 2 District. Staff has provided a proposal which would allow the applicant to operate a retail nursery. Currently, retail nurseries are prohibited in the A -2 District. Staff recommends that the Planning Commission adopt the following motion: , Planning Commission October 25, 1995 Page 6 "The Planning Commission recommends that the City Council amend Sections 20- 576(7), 20 -1, and 20 -257 to permit both wholesale and retail nurseries in the A -2 District as an Interim Use, as outlined in the staff report dated October 25, 1995." t I More Specifically, the amendments shall read as follows: Amend Section 20 -1 to read: "Nursery means an enterprise which conducts the retail and wholesale sale of plants grown on the site or imported to the site, as well as accessory items directly related to their care and maintenance. The retail sale of hardware, paint, pet supplies, power equipment, and farm implements shall be prohibited. Nursery may include greenhouses." Amend Section 20 -257 to read: "The following conditions will apply to all wholesale and retail nurseries: 1. The site must be on a collector street or minor arterial as identified in the comprehensive plan. 2. The minimum lot size is five (5) acres 3. All storage and yard areas as well as building must be setback one hundred (100) feet from public or private road right -of -ways and five hundred (500) feet from an adjacent single family residence. 4. All outdoor storage areas must be completely screened by one hundred (100) percent opaque fencing or berming. 5. Hours of operations shall be from 7:00 a.m. to 6:00 p.m., Monday through Saturday only, work on Sundays and holidays is prohibited. 6. Light sources shall be shielded 7. No outside speaker systems are allowed. 8. A termination date shall be established for the interim use permit. The use shall be permitted until a particular date, until the occurrence of a particular event, or until zoning regulations no longer permit it. Plannin g Commission October 25, 1995 Page 7 9. One ground low profile or wall sign, not exceeding twenty -four (24) square feet of sign display area, shall be permitted on the premises, Amend Section 20- 576(7) to read: "Wholesale and retail nurseries." I ATTACHMENTS 1. Application for zoning ordinance amendment submitted by Don Halla dated October 4, 1995. 2. Letter to Don Halla dated October 6, 1995. 1 It 1 t 1 ' CITY OF CHANHASSEN CITY OF CHANHASSEN 690 COULTER DRIVE OCT 0 6 1995 CHANHASSEN, MN 55317 (612) 937.1900 cilY of CHANHASSEN CHANHASSEN PLANNING DEPT DEVELOPMENT REVIEW APPLICATION OCT 5 199 APPLICANT: 11A lll 6 OWNER: D 41 �" AR1M£NZ Bi. t/D ADDRESS: 0 000 G-A /N ADDRESS: b o / TAA TELEPHONE (Day time) �f �,5�6 5-5L< TELEPHONE: QS'7 d'z9 1 I H A list of all property owners within 500 feet of the boundaries of the property must Included with the application. Twenty -six full size folded copies of the plans must be submitted. 8 X 11" Reduced copy of transparency for each plan sheet. NOTE - When multiple applications are processed, the appropriate fee shall be charged for each application. Escrow will be required for other applications through the development contract 1, T 'J 1. Comprehensive Plan Amendment 11. Vacation of ROW /Easements 2. Conditional Use Permit 12. Variance 3. Interim Use Permit 13. Wetland Alteration Permit 4. Non - conforming Use Permit 14. Zoning Appeal 5. Planned Unit Development 15. Zoning Ordinance Amendment 6. Rezoning 7. Sign Permits 8. Sign Plan Review Notification Signs 9. Site Plan Review X Escrow for Filing Fees/Attorney Cost' ($50 CUP /SPRNAC /VAR/WAP /Metes and Bounds, $400 Minor SUB) 10. Subdivision TOTAL FEE $ ' ?b:6T 1 . E.E.T •t' 101 _N9I 30 UH,%U'I_I ',e][1H 140': ] LOCATION LEGAL DESCRIPTION PRESENT ZONING �i REQUESTED ZONING PRESENT LAND USE DESIGNATION REQUESTED LAND USE DESIGNATION _ref —� I REASON FOR THIS REQUEST A b be 6 This application must be completed in full and be typewritten or clearly printed an must accompanied by all information and plans required by applicable City Ordinance provisions. Before filing this application, you should confer with the Planning Department to determine the specific ordinance and procedural requirements applicable to your application. This Is to certify that I am making application for the described action by the City and that I am responsible for complying with all City requirements with regard to this request. This application should be processed in my name and I am the party whom the City should contact regarding any matter pertaining to this application. I have attached a copy of proof of ownership (either copy of Owner's Duplicate Certificate of Title, Abstract of Title or purchase agreement), or I am the authorized person to make this application and the fee owner has also signed this application. I will keep myself informed of the deadlines for submission of material and the progress of this application. I further understand that additional fees may be charged for consulting fees, feasibility studies, etc. with an estimate prior to any authorization to proceed with the study. The documents and information I have submitted are true and correct to the best of my knowledge. Sign f Applicant a te Signature of Fee Owner Da fe Application Received on Fee Paid Receipt No. The applicant should contact staff for a copy of the staff report which will be available on Friday prior to the meeting. if not contacted, a copy of the report will be mailed to the applicant's address. I I °.j 6}-:61 S66I'b , C,I SNRI53 U11. ]fIH -, W0dJ