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CC Minutes 7-26-21City Council Minutes – July 26, 2021 5 Mayor Ryan said there seems to be heightened concern in the area for things that have been happening, some break-ins, and what happened at Target. She knows most of these are crimes of opportunity and she asked if this is different from years past. Lieutenant Pearce said there is a definite increase in the number of crimes they are seeing compared to previous months. He will have to do a comparison to see if overall there is an increase although he has a feeling they are increased. He does not think there has been a huge spike but noted the last three weeks have been extremely busy for Chanhassen and the County. He clarified there are a group of individuals that are coming to different communities to do these crimes and traveling from community to community, and it is a limited number of people. OLD BUSINESS 1. Resolution 2021-43: Award Consultant Contract for Facilities Planning Study Mr. Howley gave a presentation and noted awarding this contract has supported many of the strategic priorities including asset management, financial sustainability, and operational excellence. He summarized the history of budget and a study added to the Capital Improvement Plan in the fall of 2020, the strategic plan and priorities, a request for proposals (of which they received nine), reviewed the proposals and performed oral interviews as a team. The consultant that the team is recommending is Snow Kreilich Architects based out of Minneapolis and he showed the core team on screen. He walked through Snow Kreichlich’s work plan including an existing conditions summary, projection of space needs over 5, 10 and 20 years, and outlining opportunities including City scale, property scale, and building scale. They will use a good, better, best approach in their recommendations. Councilman Campion moved, Councilman McDonald seconded that the City Council authorizes entering into a contact with Snow Kreilich Architects for a Not-to-Exceed Fee of $39,500 for completing a Facilities Planning Study. All voted in favor and the motion carried unanimously with a vote of 5 to 0. NEW BUSINESS 1. Ordinance XXX: Approve a Request to Amend City Code Chapters 1 and 20 to Define "Agritainment"/"Agritourism"; Create Standards and Criteria for an Agritainment Use as an Interim Use; Allow Agritainment Uses as an Interim Use in the Agricultural Estate District; and Approve an Interim Use Permit for an Agritainment Use on Property Located at 9111 Audubon Road Ms. Aanenson presented and said the City Council may recall that Todd Degler approached them under visitor presentation and action requests saying they were interested in moving forward with using their property in an entertainment/agricultural opportunity. City Council asked them to work with Staff and this is a result of that process. The item appeared before the Planning City Council Minutes – July 26, 2021 6 Commission on July 6; part of the goal was defining Agritainment, use standards for interim use, and reviewing the interim use permit (IUP) against this application. The property is zoned as A-2 but is also guided for Office Industrial, has municipal services to it, and is surrounded by the Bluff Creek Primary Zone. Tonight the City Council will review an ordinance amending City Code for defining Agritainment, review standards for interim use, and adding Agritainment as an interim use in the A-2 District. Ms. Aanenson walked through other interim or conditional uses on properties in the City, including the Mustard Seed, Golf Zone, Hagen Lawn and Landscape, and Paisley Park. The definition of Agritainment events include hay rides, corn maze, hay maze, petting zoo, farm animals, produce picking, historical farm tours, and normal farm activities and demonstrations. Many other things were included by the Deglers and the City is trying to separate that from the agricultural and educational part of it because there is no lighting up there and with the overlay district they were concerned about where they are going with this. She stated the City is trying to make sure they can manage the activities there and if it grew and was successful they could measure, as with other projects. Staff then put together standards that were applied. Ms. Aanenson walked the City Council through potential plans on screen, parking rotations, and noted at the Planning Commission it was a 3-2 vote. Staff is recommending approval with the modifications given. Councilman McDonald read through the original definition and noted things were stricken out such as a zipline and sleigh rides. Does that mean if someone wanted to do something like that they would need to come back to City Council and they would need to look at a modification? Ms. Aanenson thinks what they were trying to do under the broader categories of activities including hay rides, corn mazes, etc., could be interpreted in some of those. She clarified they went over axe throwing to cross country skiing to bike riding. If it relates to the agricultural education part of it, some hay rides are part of the entertainment. Councilman McDonald noted if it does not fit then someone would have to come back to Staff or City Council and ask for an inclusion of whatever the activity was. Ms. Aanenson replied they are inserting the words “Events and activities may include the following” which may make it broader but she leaves it up to the City Attorney to agree with that. City Attorney McDowell-Poehler noted it would require an amendment if Staff felt that it was not consistent with the ongoing agricultural use. At that point they would come in and ask for an amendment to the zoning ordinance and the Interim Use Permit (IUP). Councilwoman Rehm said under 19 it says if there is a question as to whether or not a use meets the definition, the Community Development Director shall make that interpretation. Ms. Aanenson replied that was removed as they felt it belonged at the City Council level. City Council Minutes – July 26, 2021 7 Councilwoman Rehm asked how a business decides hours, noting she looked at Severs in Shakopee and their hours were different depending on the day but the latest they were open on a Saturday is 8:00 p.m. She did not see any businesses like this that were open until 9:00 p.m. and she saw a letter from a neighbor who was concerned about families putting their children to bed and whether it would be an issue with the noise. Ms. Aanenson said they have done sunrise to sunset in the summer as obviously it is lighter out. If the Applicant was doing sleigh rides in the winter time there would probably be shorter hours. If the City Council wants to adjust that they may want to talk to the Applicant. Mayor Ryan asked if lights are not allowed. Ms. Aanenson said there are lights on the structures, barn, and the like but Ms. Aanenson is not sure how far out they go into the fields. Mayor Ryan asked in terms of the parking lot, there are areas identified as parking lots and she asked if it is a requirement or recommendation that they be clearly articulated for traffic movement, and they do not need to be paved. Ms. Aanenson noted this is the first IUP that is not really defined. Hagen Lawn and Landscape has gravel surface and everyone else has a striped, paved lot. The Applicant wants to be able to move this around as they want to rotate crops; she said that will be their challenge to make sure they are providing a safe in and out because the Fire Marshal will want that also. Mayor Ryan said this is obviously an exciting opportunity and her concern is if the site plan has more to do with managing parking, traffic control and building placement. Ms. Aanenson replied that is correct, and making sure there are accessible porta potties, and clear access in and out of the property for emergency purposes. Mayor Ryan asked if there is an accountability piece. Ms. Aanenson replied yes. Todd Degler, Ellen Degler, and Gayle Degler, gave a presentation on screen. Todd Degler gave a brief history of the farm and noted many in the family are teachers and education is a huge component of what they do. The Applicant’s goals are to educate the community, share their local outdoors with the public, provide a family-oriented experience, maintain a commercially sustainable business by growing outside the traditional dairy and horticulture operation, and have fun. He noted he walked away from the Planning Commission wondering how to balance the dilemma between a small business wanting to innovate and expand and having ordinances within the City that are specific enough to control and regulate. City Council Minutes – July 26, 2021 8 Mr. Degler walked the City Council through some things he would like to change. He noted they were trying to define the wrong word and said Agritourism is what the Deglers want to do and is what they were trying to design, and they were coming up with something very close to Agritourism but were calling it Agritainment. Minnesota Statute 604A-4 defines Agritourism which means “activity carried out on a farm or ranch that allows organizations or members of the general public, for recreational, entertainment, charitable, or educational purposes, to view, enjoy, or participate in rural activities including, but not limited to: farming; viticulture; winemaking; ranching; and historical, cultural, farm stay, gleaning, harvest-your-own, or natural activities and attractions. An activity is an Agritourism activity whether or not the participant pays to participate in the activity. Mr. Degler noted many family farms over the last 40 years are shrinking and many farms are looking for other ways to generate revenue outside of the traditional corn and soybeans commodity markets by opening up their land to do these new activities, and these may include recreational, entertainment, and educational activities. Mr. Degler offered a definition of Agritourism and suggested adding back the specific activities of what is allowed, as well as agreeing to a five-year review to determine adjustments if the application fees are waived on renewal if no changes are necessary. He presented other proposed changes to the zoning ordinance amendment such as selling merchandise with the farm logo, and changes to the IUP including changing the term from Agritainment to Agritourism and the termination date. Mayor Ryan suggested this item is tabled as she thinks there is still some work to be done between the Applicant and Staff regarding the proposed changes. She also thinks it is very important to have the City Attorney look at the language and how it applies; it puts City Council in a challenging situation to navigate through these slides and make that interpretation without having the appropriate people look through the recommendations as there are a lot of great ones. She noted it is a big change from what the City Council read and prepared for in the packet and she does not want to set them up to agree to something they may or may not totally understand. Councilman McDonald seconded and noted this is a little too much to take on today. He is not opposed to the changes but would like to see a final ordinance. He feels Staff should work with the Applicant to adopt more of what they have brought in today. He thinks everyone needs some time to go through this. Councilman Campion agrees and said he would like to give Staff time to review the changes. He asked if there are certain permissions needed for this fall. Mr. Degler stated their opening date is Friday, September 17, 2021 and they would do the same as the previous year. There are some parts of the ordinance such as parking that they can work with. Mayor Ryan encouraged the Applicant to work with Staff and said the primary concern is the traffic and parking component. She noted a site plan helps the City Council to prepare and Staff to make a recommendation. City Council Minutes – July 26, 2021 9 Councilman McDonald moved, Councilman Campion seconded to table the agenda item to give the Applicant and Staff time to put together something that brings together more of a vision in common. He proposed it be ready for City Council to review and vote upon at the August 9, 2021 meeting or the August 23, 2021 meeting. All voted in favor and the motion carried unanimously with a vote of 5 to 0. COUNCIL PRESENTATIONS. Mayor Ryan thanked Ms. Hokkanen, Mr. Foster, and all of City Staff for the previous week sharing the strategic plan with all of the City Staff. She noted there has been some frustration amongst residents about access to watch the Olympics because of the ongoing negotiations between Tegna and Kare 11. Residents have asked the City to step in and she noted they approved a resolution tonight that they will send to State and Federal elected officials. Mayor Ryan also reached out to them and heard from Congressman Phillips’ office who reached out to the FCC to ask if something can be done to move negotiations forward or to allow access for a temporary time during the Olympics. All the FCC could do is make sure both parties are operating in good faith and trying to negotiate and they encouraged residents to buy an antenna if they would like to watch the Olympics. ADMINISTRATIVE PRESENTATIONS. None. CORRESPONDENCE DISCUSSION 1. Water Supplier Notification Letter from DNR dated July 16, 2021 ADJOURNMENT Councilman McDonald moved, Councilwoman Schubert seconded to adjourn the meeting. All voted in favor and the motion carried unanimously with a vote of 5 to 0. The City Council meeting was adjourned at 9:08 p.m. Submitted by Laurie Hokkanen City Manager Prepared by Kim Meuwissen Office Manager