H-1. Discussion of Ordinance for Drop Homes MEMORANDUM
TO: Planning Commission
FROM: MacKenzie Walters, Assistant Planner
DATE: July 19th, 2016
SUBJECT: Minnesota Statutes Section 462.3593 (drop homes)
Issue:
The City of Chanhassen must choose whether or not to opt out of a law mandating that cities
allow the placement of accessory dwelling units called temporary family health care dwellings,
hereafter referred to as drop homes, in residential district.
Background:
On May 12th, 2016 Governor Dayton signed into law a bill (attached) allowing the placement of
accessory dwelling units called temporary family health care dwellings,hereafter referred to as
drop homes, in residential district. The law specifies that these drop homes should be
manufactured at an offsite location, be less than 300 sq. ft. in size,meet Minnesota accessibility
standards,be connected to water and electrical unities, and meet the minimum standards for
manufactured homes.
The law establishes a permit application process which municipalities must use to evaluate
requests to install a drop home. The application process the applicant to submit proof of the
occupant's disability,proof of the provider network from which health care is received, an
affidavit that nearby property owners have been notified of the proposed drop home, a septic
service management contract/plan, and a general site map showing the drop pod's proposed
location. Cities may charge a maximum of$100.00 permit fee for the first six-month permit, and
up to $50.00 for a single six-month exception. No other fees may be charged. Cities are required
to evaluate and approve permits within 15 days.
The law allows cities to conduct inspections of drop homes, mandates that they follow primary
structure setbacks, and allows cities to revoke the permits in the event that the structure violates
the conditions established by Minnesota Statutes Section 462.3593. In such cases, the owner of
the drop home would have 60 days to remove the structure.
Finally, the law has an opt out clause. Cities which do not wish to allow drop homes have until
September 1St, 2016 to pass an ordinance opting out of the requirements of Minnesota Statutes
Section 462.3593.
Planning Commission
Issue Paper—Drop Homes
July 19,2016
Page 2 of 3
Analysis:
The intent of Minnesota Statutes Section 462.3593 is to allow individuals with aging relatives
who are unable or unwilling to place disabled or ill family members in assisted living or hospice
facilities an alternative option for providing care. In order to do this, the law exempts drop homes
from many of the process and zoning regulations that cover other structures. These exemptions
have raised the following concerns:
1) the inability to require a survey as a part of the permit will make it difficult to accurately
evaluate drop home's locations and ensure they are correctly placed on the parcel;
2) the presence of multiple dwelling units on properties zoned for a single dwelling could
increase neighborhood densities beyond desired levels;
3) and, multiple dwelling units located on properties zoned for single family residential use
violates the intent and objective of that zoning designation.
The permit process outlined by the ordinance is also problematic as it:
1) limits the permit fees to $100.00 for the initial permit and $50.00 for the permit
extension. These fees are unlikely to allow the City to recoup the cost of processing the
permit, inspecting the property, and engaging in any needed enforcement activities;
2) does not contain provisions or criteria to be used in evaluating a request to extend the
permit;
3) requires City staff to determine physical health and relationship of applicant;
4) requires City staff to work with personal medical data which may create HIPPA data
handling concerns;
5) the 15-day window to evaluate and issue the permit makes it difficult to solicit public
input,
6) the 60-day grace period to remove a non-compliant structure is excessive;
7) the law is silent regarding which circumstances would allow a property owner to apply
for a new permit;
8) and, creates additional oversight and enforcement requirements for municipal
governments.
The ordinance's intent is to make sure that Minnesota residents have the opportunity to provide
end of life care for their loved ones. Currently residents of Chanhassen have the following
options:
1) request a variance from the existing code to accommodate unique circumstances;
2) house aging family members in currently unoccupied rooms;
3) senior oriented apartments;
4) group homes,
5) short term health care facilities,
6) and, assisted living facilities.
G:\PLAN\City Code\Issue Paper
Planning Commission
Issue Paper—Drop Homes
July 19, 2016
Page 3 of 3
Ultimately, the ordinance represents a"one size fits all" solution to the issue of how to care for
our aging population. While well intentioned, it does not adequately address local concerns.
Additionally, it is not clear how the ordinance will work with existing local ordinances or other
provisions in the state statutes which specify minimum standards for the construction of dwelling
units and utilities connections. Finally, the permitting process is not consistent with how
Chanhassen handles other permits and places additional burdens and costs upon the City which
the fee is insufficient to recoup.
Alternatives:
1) Do Nothing. Starting September 1St, 2016 Chanhassen will be required to allow
temporary family health care dwellings on residential properties as provided for by
Minnesota Statutes, Section 462.3593.
2) Pass an ordinance opting out of the requirements of Minnesota Statutes, Section
462.3593. This will exempt Chanhassen from the requirements of the provision and retain
existing local control.
Recommendation:
The City should take advantage of the opt out provision. The current legislation does not appear
to adequately address a need and does not accommodate local concerns. If the City decides to
allow drop houses at a later date, it can draft its own ordinance which address the concerns raised
earlier in this report. In order to pass an ordinance opting out of this law,the City will need to hold
a public hearing. A public hearing to discuss this issue has been scheduled for August 16th, 2016.
The text of an opt out ordinance is attached.
ATTACHMENTS:
1. Opt Out Ordinance
G:\PLAN\City Code\Issue Paper
Attachment 1
Sec.3.
1462.35931 TEMPORARY FAMILY HEALTH CARE DWELLINGS.
Subdivision 1.
Definitions.
(a) For purposes of this section, the following terms have the meanings given.
(b) "Caregiver" means an individual 18 years of age or older who:
(1) provides care for a mentally or physically impaired person; and
(2) is a relative, legal guardian, or health care agent of the mentally or physically impaired
person for whom the individual is caring.
(c) "Instrumental activities of daily living" has the meaning given in section 256B.0659,
subdivision 1, paragraph (i).
(d) "Mentally or physically impaired person" means a person who is a resident of this state
and who requires assistance with two or more instrumental activities of daily living as certified
in writing by a physician, a physician assistant, or an advanced practice registered nurse licensed
to practice in this state.
(e) "Relative" means a spouse,parent, grandparent, child, grandchild, sibling,uncle, aunt,
nephew, or niece of the mentally or physically impaired person. Relative includes half, step, and
in-law relationships.
(f) "Temporary family health care dwelling"means a mobile residential dwelling providing
an environment facilitating a caregiver's provision of care for a mentally or physically impaired
person that meets the requirements of subdivision 2.
Subd. 2.
Temporary family health care dwelling.
A temporary family health care dwelling must:
(1)be primarily assembled at a location other than its site of installation;
(2)be no more than 300 gross square feet;
(3) not be attached to a permanent foundation;
(4)be universally designed and meet state-recognized accessibility standards;
(5)provide access to water and electric utilities either by connecting to the utilities that are
serving the principal dwelling on the lot or by other comparable means;
(6)have exterior materials that are compatible in composition, appearance, and durability to
the exterior materials used in standard residential construction;
(7)have a minimum insulation rating of R-15;
(8)be able to be installed, removed, and transported by a one-ton pickup truck as defined in
section 168.002, subdivision 21b, a truck as defined in section 168.002, subdivision 37, or a
truck tractor as defined in section 168.002, subdivision 38;
(9)be built to either Minnesota Rules, chapter 1360 or 1361, and contain an Industrialized
Buildings Commission seal and data plate or to American National Standards Institute Code
119.2; and
(10)be equipped with a backflow check valve.
Subd. 3.
Temporary dwelling permit; application.
(a) Unless the municipality has designated temporary family health care dwellings as
permitted uses, a temporary family health care dwelling is subject to the provisions in this
section. A temporary family health care dwelling that meets the requirements of this section
cannot be prohibited by a local ordinance that regulates accessory uses or recreational vehicle
parking or storage.
(b) The caregiver or relative must apply for a temporary dwelling permit from the
municipality. The permit application must be signed by the primary caregiver, the owner of the
property on which the temporary family health care dwelling will be located, and the resident of
the property if the property owner does not reside on the property, and include:
(1) the name, address, and telephone number of the property owner, the resident of the
property if different from the owner, and the primary caregiver responsible for the care of the
mentally or physically impaired person; and the name of the mentally or physically impaired
person who will live in the temporary family health care dwelling;
(2) proof of the provider network from which the mentally or physically impaired person
may receive respite care, primary care, or remote patient monitoring services;
(3) a written certification that the mentally or physically impaired person requires assistance
with two or more instrumental activities of daily living signed by a physician, a physician
assistant, or an advanced practice registered nurse licensed to practice in this state;
(4) an executed contract for septic service management or other proof of adequate septic
service management;
(5) an affidavit that the applicant has provided notice to adjacent property owners and
residents of the application for the temporary dwelling permit; and
(6) a general site map to show the location of the temporary family health care dwelling and
other structures on the lot.
(c) The temporary family health care dwelling must be located on property where the
caregiver or relative resides. A temporary family health care dwelling must comply with all
setback requirements that apply to the primary structure and with any maximum floor area ratio
limitations that may apply to the primary structure. The temporary family health care dwelling
must be located on the lot so that septic services and emergency vehicles can gain access to the
temporary family health care dwelling in a safe and timely manner.
(d) A temporary family health care dwelling is limited to one occupant who is a mentally or
physically impaired person. The person must be identified in the application. Only one
temporary family health care dwelling is allowed on a lot.
(e) Unless otherwise provided, a temporary family health care dwelling installed under this
section must comply with all applicable state law, local ordinances, and charter provisions.
Subd. 4.
Initial permit term; renewal.
The initial temporary dwelling permit is valid for six months. The applicant may renew the
permit once for an additional six months.
Subd. 5.
Inspection.
The municipality may require that the permit holder provide evidence of compliance with
this section as long as the temporary family health care dwelling remains on the property. The
municipality may inspect the temporary family health care dwelling at reasonable times
convenient to the caregiver to determine if the temporary family health care dwelling is occupied
and meets the requirements of this section.
Subd. 6.
Revocation of permit.
The municipality may revoke the temporary dwelling permit if the permit holder violates
any requirement of this section. If the municipality revokes a permit, the permit holder has 60
days from the date of revocation to remove the temporary family health care dwelling.
Subd. 7.
Fee.
Unless otherwise provided by ordinance, the municipality may charge a fee of up to $100
for the initial permit and up to $50 for a renewal of the permit.
Subd. 8.
No public hearing required; application of section 15.99.
(a) Due to the time-sensitive nature of issuing a temporary dwelling permit for a temporary
family health care dwelling, the municipality does not have to hold a public hearing on the
application.
(b) The procedures governing the time limit for deciding an application for the temporary
dwelling permit under this section are governed by section 15.99, except as provided in this
section. The municipality has 15 days to issue a permit requested under this section or to deny it,
except that if the statutory or home rule charter city holds regular meetings only once per
calendar month the statutory or home rule charter city has 30 days to issue a permit requested
under this section or to deny it. If the municipality receives a written request that does not
contain all required information, the applicable 15-day or 30-day limit starts over only if the
municipality sends written notice within five business days of receipt of the request telling the
requester what information is missing. The municipality cannot extend the period of time to
decide.
Subd. 9.
Opt-out.
A municipality may by ordinance opt-out of the requirements of this section.
Sec. 4.
EFFECTIVE DATE.
This act is effective September 1, 2016, and applies to temporary dwelling permit
applications made under this act on or after that date.
Attachment 2
CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES,MINNESOTA
ORDINANCE NO.
AN ORDINANCE AMENDING CHAPTER 20-904(f)
CHANHASSEN CITY CODE,
Whereas, on May 12th, 2016 Governor Dayton signed into law the creation and regulation of
temporary family health care dwellings, codified at Minn. Stat. 462.3593, which permits and
regulate temporary family health care dwellings;
Whereas, subdivision 9 of Minn. Stat. 462.3593 allows cities to "opt out" of those regulations;
The City council of the City of Chanhassen,Minnesota, Ordains:
THE CITY COUNCIL OF THE CITY OF CHANHASSEN, MINNESOTA ORDAINS:
Section 1. The Chanhassen City Code is amended by adding section 20-294(f) to read as
follows:
Pursuant to authority granted by Minnesota Statutes, Section 462.3593 subdivision 9, the City of
Burnsville opts-out of the requirements of Minnesota Statutes, Section 462.3593.
Section2. This ordinance shall be effective immediately upon its passage and publication.
PASSED AND ADOPTED this day of , 2016,by the City Council of the City
of Chanhassen, Minnesota
Todd Gerhardt, City Manager Denny Laufenburger, Mayor
(Published in the Chanhassen Villager on )