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06-01-2021CHANHASSEN PLANNING COMMISSION REGULAR MEETING MINUTES TUESDAY, JUNE 1, 2021 CALL TO ORDER: Chairman Weick called the meeting to order at 7:00 p.m. MEMBERS PRESENT: Steven Weick, Laura Skistad, Eric Noyes, Mark von Oven, Doug Reeder, and Kelsey Alto. MEMBERS ABSENT: Erik Johnson. STAFF PRESENT: Kate Aanenson, Community Development Director; Laurie Hokkanen, City Manager; and Elise Ryan, Mayor. PUBLIC PRESENT: None. Chairman Weick reviewed guidelines for conducting the virtual Planning Commission meeting. PUBLIC HEARING: CONSIDER A REQUEST TO CONSIDER AN AMENDMENT TO CHAPTER 20, ZONING, CONCERNING MOBILE FOOD VENDING (FOOD TRUCKS) Community Development Director Aanenson presented the staff report on this item, noting the city is proposing a food truck in all zoning districts; this is a change from how they are currently operated under a special event permit which limits the number of days food trucks can be used. The item went before the City Council and staff put together an ordinance, took it to the Economic Development Commission (EDC), and an ad was put in the newspaper with feedback received from the public, particularly restaurant owners concerned about the timing, however, there was also support for the use itself. This would allow a food truck on private property. For example, if someone was having a birthday party or a graduation party, they could park the food truck in their driveway with standards outlined in the proposed draft ordinance. Special Event Permits will remain the same, but the food truck ordinance will allow food trucks more opportunities to be in the city without the requirement of a Special Event Permit. A property owner would be able to request a food truck come to their property, such as for an employee appreciation day. Chairman Weick noted food trucks are not restricted but they must have Department of Health licenses/permits and things like that. Ms. Aanenson replied yes there are regulations such as their own licensing, their own insurance, and the like. Chairman Weick asked to clarify item I) the vendor location shall be located on an impervious surface unless circumstances prohibit the operation to be located on a pervious surface. Planning Commission Minutes – June 1, 2021 2 Ms. Aanenson stated this is something they should do some wordsmithing on. The intent is that if the truck is parked on a hard surface rather than grass, especially if it is part of the public property, landscaping, etc. Commissioner Noyes thinks the concept of having food trucks in the city is great. It provides opportunities and variety. His one concern is more related to timing as they are coming out of the pandemic and there are a lot of great restaurants in the city that have struggled through closures and shutdowns. He is worried if this is passed and effective immediately that there will be food trucks that are very well established coming in and winning business, and wonders if a delay would allow Chanhassen-based restaurants to consider and determine whether they ultimately want to get into the food truck business, as well. Ms. Aanenson noted staff also had those concerns which is why they went to the EDC, noticed all businesses in town with a flyer, and put a publication in the paper as they wanted the input. There were some comments with the same concern. Ms. Aanenson noted if one is a tenant rather than a landlord, it would be incumbent that the landlord would have to give permission and if some of the tenants do not want that competition, it would temper the issue somewhat. Tenants (in a strip mall, for example) have the ability to say they do not want that direct competition. Mr. Noyes wondered if they can focus on somewhat of a “preferred vendor” list. If one wanted a food truck in the next six months, Chanhassen-based businesses may be called first. After a certain date, entities outside of Chanhassen would have access to a similar set of opportunities. Commissioner Skistad was really pleased at the way the city went forward as many of the lists were barriers to business. It typically costs $28,000 to enter into business in fees. She would like to be part of the group that encourages this and encourages variety, because in looking at a food truck one is looking for something unique and special to bring in for a one-time event. She noted they do not want to cause barriers for those interested in a one-time event. Commissioner von Oven asked if there is a threshold that determines when something goes from just having a food truck to a special event with 10 food trucks. Ms. Aanenson replied that this would be regulated by the parking being taken up when the food truck is there. If they are blocking traffic or there is not enough parking, the city would come out and tell them that is too much. She believes they could anticipate accommodating two food trucks at a time; if it was for a private business as opposed to a commercial site where there may be additional parking that will probably be the driver. Commissioner Reeder has lived in a lot of places where the ice cream truck would come around and his kids would beg for ice cream. He asked if those are still allowed. Ms. Aanenson stated no. These trucks would be stationary and are not allowed to be serviced on public streets or city parking lots. Planning Commission Minutes – June 1, 2021 3 Commissioner Alto said to Commissioner Skistad’s point, for established food trucks in the city she would not think she is going to a Chanhassen restaurant versus a food truck – if she is going to a food truck it is because she wanted to go to the food truck, even if it is parked in Minneapolis. It would allow people from other communities to come to Chanhassen because it is parked here for the day. Ms. Aanenson noted that was also a thought. If a food truck comes out and finds enough interest and a market in Chanhassen, they may want to open up a permanent store. The city is hoping this happens. Chairman Weick opened the public hearing. There being no one to speak to this issue, Chairman Weick closed the public hearing. Commissioner Alto moved, Commissioner von Oven seconded, that the Chanhassen Planning Commission recommend the City Council adopt the Mobile Food Vending (Food Truck) ordinance with the modification regarding impervious surface. All voted in favor and the motion carried unanimously with a vote of 6 to 0. This item will go before the City Council on June 14, 2021. APPROVAL OF MINUTES: APPROVAL OF PLANNING COMMISSION MINUTES DATED MAY 18, 2021. Commissioner Noyes noted the summary Minutes of the Planning Commission meeting dated May 18, 2021, as presented. Ms. Aanenson stated there is a meeting scheduled on June 15 and they were going to have a subdivision during that meeting but the applicant has asked it be moved. They typically do not have a meeting around July 5 because it is difficult to get a quorum; this item is moved to July 20, 2021. She clarified there are three items on the agenda for June 15, 2021. ADMINISTRATIVE PRESENTATIONS: 1. CITY MANAGER & MAYOR / STRATEGIC PLAN Mayor Ryan said on behalf of the City Council, they really appreciate the Commissioners’ service to Chanhassen and the amount of time, effort, and review that goes into their decisions and recommendations. She outlined the 2021-2024 Strategic Plan, noting they hired a consultant, the Council and staff did a questionnaire, performed a SWOT analysis and compiled all the information. City Council and department heads got together on a two-day retreat and talked about what was important for the community and worked together to put together a mission, values, and vision. This provides a roadmap for moving forward with the strategic plan. It is a living document and will continue to evolve over the years. Planning Commission Minutes – June 1, 2021 4 City Manager Hokkanen gave a presentation to the Commission. She walked them through the city’s mission, vision, and values, including being a Community for Life. They are looking for a Communications Manager to be dedicated to telling Chanhassen’s story, and also engaging and informing the community. The strategic plan summary is as follows: 1. Financial Sustainability 2. Asset Management 3. Development and Redevelopment 4. Operational Excellence 5. Communications Specifically, Ms. Hokkanen spoke about development and redevelopment, noting especially as there is not a lot of green field development, redevelopment is important to keep people in Chanhassen, to have amenities they want, and how to redevelop in keeping with the vision of the city. She spoke about the value having new innovative places and spaces. Staff is working on a website using a third-party software (Envisio) that will help make this really understandable for business owners, the public, and anyone interested in following along in the project. Chairman Weick asked how the strategic plan intertwines with the Comprehensive Plan. Do they work together or in parallel? Mayor Ryan replied they work in parallel as they are different documents. This incorporates the Comprehensive Plan and goes along the same line. She stated when something comes before the Commission, the department heads have started to align or layout the strategic priority they are talking about when introducing a concept as they want to make that connection every time. Commissioner Noyes said as new projects are brought to the city, with terms like diversity and innovation, will they be “scored” at the beginning of the process or will that come into the Planning Commission and City Council further down the process? Will it remain relatively similar as it has been so far? Ms. Aanenson replied the challenge will be if a project is asking for assistance from the city. The city will ask “is this innovative?” or “what are we getting out of this project?” Depending on the project, they always encourage lead-certified projects, green-built things, and that is what they would be looking for innovation-wise. They may also work with the EDC for some assistance to help get those diversity projects. They may also work through creative stormwater management, and other types of environmental or preservation things. Commissioner Noyes asked if those would be criteria to reject a project. Ms. Aanenson said that would be something they would have to put in the ordinance; as they move along and work through the process that may be something the Commission recommends to the Council. Ms. Hokkanen noted it may depend on what level of discretion they are talking about. If it is straight zoning that meets Code then the Strategic Plan will be a factor but much smaller. She Planning Commission Minutes – June 1, 2021 5 said they are sort of setting a new stage or signaling that they are really open to things. Cities have reputations and developers know that if they have a plan that does not meet Code, they will not even approach certain cities. She clarified that is what she means by saying they are signaling that if there is an innovative idea, the Planning Commission, City Council, Mayor, and staff want to hear about it. It may not work in the end but they will work hard to explore it. Commissioner von Oven thinks the reason strategic plans are written and then die are because someone thinks it is someone else’s job to make it come to life. The fact that Mayor Ryan and Ms. Hokkanen are here sharing it lets him know the Planning Commission has a role to play. Chairman Weick noted there are some pretty specific targets in the plan and asked if they envision staff or Councilmembers will own certain areas so they are talking about those targets. Ms. Hokkanen replied each strategic initiative will have a staff owner and when they roll out the Envisio software, it is a color-coded system which will help them to understand delays or if criteria are not being met. Mayor Ryan said having this plan will allow the Council to focus on the bigger picture, strategic objectives where department heads are executing on those objectives with specific tasks and day- to-day operations of the city. Commissioner Skistad asked what is meant by public/private partnerships and if they could expand on that. Ms. Hokkanen replied the city does not have the resources, capacity, or even the interest in doing a lot of the things they would be interested in seeing happen on their own. She said they ask what are the resources the city can bring to the table? Perhaps financial incentives such as tax increment funding (TIF) or speed of processing. They recognize they will not bring everything to the table but they would at least like to talk about whether a partnership is possible. Mayor Ryan agreed it is really opening the door for those conversations. That is what they are trying to communicate to developers and residents; that the city is ready and willing to listen to ideas and opportunities. Commissioner Skistad stated there are businesses that will not come to Chanhassen because there is a barrier of entry for the smaller businesses. She asked if they are opening it up to those businesses that might be interested so they can understand those barriers. Ms. Hokkanen replied, yes, she thinks they would all like to hear about what those barriers are; perhaps after investigation they will see the reason why certain rules are in place or they may find that things have changed since a rule was put in place 20 years ago. Commissioner Reeder asked about diversity in new development and what that means. Ms. Hokkanen said in this iteration of the plan, it speaks to the type of development. Town homes, single-family homes, affordable homes, million dollar homes, office projects, Planning Commission Minutes – June 1, 2021 6 retail…they do not ever want to find themselves only doing one type of development. They pride themselves on being a well-rounded community where everything one needs is within the boundary and they are committed to making space for all of the developments listed. Commissioner Reeder asked if all of the development coming into the city was high-priced; does that mean they would try to change that? Ms. Hokkanen does not know about “change” but it would help them be aware of it. She pointed out Item 2 where they talk about private/public partnerships and working with the Community Development Agency (CDA); implied is that they will actively work to make sure they do not just build $1,500,000 homes from here on out. She noted they did not get into that level of detail with targets around what the development would look like. Commissioner Noyes asked, as this is a living document, if they see those details becoming part of this and will get more specific on some of those targets? Or will it stay fairly high-level? Ms. Hokkanen said in her experience they get more specific over time as things are accomplished and they become familiar with what the goals are. Some of it will depend on progress made, continuity in the Council, things that come up that are not expected, etc. Mayor Ryan stated it depends on the five strategic priorities as they were based on the current Council and staff. They will look at those objectives on a regular basis and things could change as priorities and staff change – the document will continue to evolve. Commissioner Skistad noted in the last year with delivery trucks, the roads are getting quite beat up. She asked how they will deal with that in regards to stewardship. Ms. Hokkanen noted that is a priority they have known about – infrastructure and roads in particular - are in need of maintenance. A big part of this plan is developing a long-term funding plan for the entire infrastructure including roads, which are a big priority. This Council has said they need to have a long-term funding strategy; historically the city has had a focus on being as fiscally conservative as possible and looking 1-2 years out at what the most pressing needs are and spending as little money as possible has frequently been a number one driver. She stated that has been a valid approach but where they are at right now, they want to look 5-10 or 15-20 years on the horizon and look at the needs and the level of service they want to pay for and fund so they can hold themselves accountable. In the next 12-18 months they will work on the proper level of service, what is the target, and how fast are they willing or want to get there? Mayor Ryan said, to be very blunt, people are ready to start investing in the city again. Whether infrastructure or facilities, a component of the strategic plan is a long-term financial plan so they are not just planning 1-2 years out but have a better understanding of the most urgent and pressing needs but also what investment in some of the amenities or facilities would need. They are planning to start reinvesting in the City of Chanhassen as it puts them on a path to success in the long term. Planning Commission Minutes – June 1, 2021 7 CITY COUNCIL ACTION UPDATE: Ms. Aanenson updated the Commission that grading will be starting on the Avienda site and there was a ground-breaking of the senior housing project (Lakes at Chanhassen). ADJOURNMENT: Commissioner von Oven moved to adjourn the meeting. All voted in favor and the motion carried unanimously with a vote of 6 to 0. The Planning Commission meeting was adjourned at 8:03 p.m. Submitted by Kate Aanenson Community Development Director