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02-26-18 PC Minutes Regular Meeting of the Golden Valley Planning Commission February 26, 2018 A regular meeting of the Planning Commission was held at the Golden Valley City Hall, Council Conference Room, 7800 Golden Valley Road, Golden Valley, Minnesota, on Monday, February 26, 2018. Vice Chair Johnson called the meeting to order at 7:00 pm. Those present were Planning Commissioners Angell, Black, Blum, Brookins, Johnson, Segelbaum and Waldhauser. Also present were Planning Manager Jason Zimmerman, Associate Planner/Grant Writer Emily Goellner and Administrative Assistant Lisa Wittman. Commissioner Baker was absent. 1. Approval of Minutes February 12, 2018, Regular Planning Commission Meeting Waldhauser referred to the second paragraph on page five and stated that the word “developer” should be changed to the word “landlord.” MOVED by Brookins, seconded by Segelbaum and motion carried unanimously to approve the February 12, 2018, minutes with the above noted correction. 2. Informal Public Hearing – Minor Subdivision (Lot Consolidation) – 700 Meadow Lane North – SU07-11 Applicant: North Wirth Associates, LLP (Mortenson) Address: 700 Meadow Lane North Purpose: To combine two existing parcels of land. Zimmerman referred to a site plan of the property and explained the applicant’s proposal to consolidate Lot 1 and Lot 4 of the Mortenson campus located at 700 Meadow Lane North. The consolidation would allow for an enclosed connection to be constructed between two existing buildings. He showed the Commissioners renderings of what the proposed connection would look like. Segelbaum questioned why subdivision standards are being used when these properties are part of a PUD. Zimmerman explained that the Minor PUD Amendment proposal will only have to be considered by the City Council, but that the Lot Consolidation process requires public hearings before the Planning Commission and the City Council. Zimmerman referred to a site plan and explained that the Highway 55 frontage road only serves Mortenson so the City would like to vacate the road and turn it back to Mortenson for maintenance. However, the City would retain easements for utilities, a public sidewalk, and a future signed bike route. He added that the City is also requesting dedication of right- of-way along Meadow Lane for a possible future turn lane. Minutes of the Golden Valley Planning Commission February 26, 2018 Page 2 Johnson opened the public hearing. Seeing and hearing no one wishing to comment, Johnson closed the public hearing. Blum said the proposal seems reasonable and meets the City’s requirements. Segelbaum agreed that the proposal meets the eight conditions for approval. MOVED by Blum, seconded by Waldhauser and motion carried unanimously to recommend approval of the proposed Minor Subdivision (lot consolidation) at 700 Meadow Lane North subject to the following conditions: 1. The City Engineer’s memorandum, dated February 21, 2018, shall become part of this approval. 2. The City Attorney will determine if a title review is necessary prior to approval of the Final Plat. 3. If required, a park dedication fee shall be paid before release of the Final Plat. 3. Informal Public Hearing – Conditional Use Permit (CUP) – 8806 Olson Memorial Highway – Class III Restaurant in the Commercial Zoning District Applicant: Latitude 14 Inc. (Ann & Tarique Ahmed) Address: 8806 Olson Memorial Highway Purpose: To allow a Class III restaurant in the Commercial Zoning District Goellner stated that the property at 8806 Olson Memorial Highway is guided and zoned Commercial. She explained that the existing Perkins restaurant is a Class I restaurant that doesn’t serve liquor and therefore did not require a Conditional Use Permit. The proposed new restaurant will be a Class III restaurant that does serve liquor and requires a Conditional Use Permit. Goellner referred to an aerial photo of the site and discussed the existing site conditions th which includes: two entrances on 7 Avenue, a 164-seat, 4,713 square foot restaurant, and 71 parking spaces. She stated that the applicant is proposing to use the existing building with the addition of a 500 square foot patio on the west side of the building, 74 parking spaces, and will have 144 seats. Goellner discussed the parking and reiterated that there are currently 71 existing parking spaces and 74 proposed parking spaces. She stated that the applicant is required to have 94 parking spaces because of the additional patio and bar areas. She noted that the applicant has considered a number of changes to their plans in order to accommodate additional parking spaces including eliminating 1,500 square feet of patio space, reducing the size of the bar area, and adding 11 existing parking spaces back into the plan, but they want to apply for a variance to allow 20 fewer parking spaces than required. Goellner added that the applicant spoke with neighboring property owners TruStone Financial and Red Lobster but were unable to come to a parking arrangement with either of them. Minutes of the Golden Valley Planning Commission February 26, 2018 Page 3 Goellner explained that the applicant’s noted reasons for requesting a parking variance include: there is no room to expand the parking lot without a variance, the outdoor seating will only be used four months of the year, the Met Council counts patios at a lower ratio for sewer and water charges, St. Louis Park, Minnetonka, and Edina count outdoor patio seating differently, other restaurants in Golden Valley with patios are in PUDs, it is difficult to add a liquor license and reinvest in the building without a variance, and the overall seat count will be reduced from the existing Perkins. Goellner stated that staff is recommending that this application be continued to the April 9, 2018, Planning Commission meeting in order to allow the applicant time to go before the Board of Zoning Appeals with their variance request. However, if the Planning Commission wants to recommend approval of the Conditional Use Permit at this time, staff recommends that a condition of approval be added to state that a variance of 20 parking spaces must be approved by the Board of Zoning Appeals. Waldhauser stated that the Planning Commission doesn’t typically recommend approval of anything that they know is going to require a variance in the future. Goellner stated that the only reason to move forward is if the Planning Commission is comfortable with the parking count as it stands today. Blum questioned if the variance process should take place before the Planning Commission process. He stated that he doesn’t want to recommend approval for this applicant if the Planning Commission isn’t willing to do the same thing for all applicants. He said he thinks the Planning Commission should discuss specific parking requirements in order to benefit this and other applications, but he wants the process to be fair to everyone. Goellner reiterated that staff is recommending continuing this item to the April 9 Planning Commission meeting. Waldhauser noted that the existing restaurant received variances when it was originally built and asked what type of variances were granted. Goellner stated that Perkins was th granted variances from the parking lot setback requirements along Highway 55 and 7 Avenue, and that the building was conforming and did not require any variances. Segelbaum asked if the patio were not being proposed if that space could be used for parking. Goellner said she isn’t sure how usable the space along the west property line th would be. Segelbaum asked if parking is allowed on 7 Avenue. Goellner said yes, parking th is available on the north side of 7 Avenue until bike lanes are added in the future, but those parking spaces don’t count toward the applicant’s parking requirement. Segelbaum asked what the City would do if parking was deemed to be a problem on this site. Goellner said the City would work with the applicant regarding adjusting their hours of operation or ask them to pursue a shared parking agreement with neighboring property owners. Segelbaum asked if the City approves the proposal and it turns out that the parking is insufficient if the City can require anything of the applicant. Zimmerman said that the Conditional Use Permit could not be rescinded if the parking is insufficient so the City should be comfortable with what is being proposed. Minutes of the Golden Valley Planning Commission February 26, 2018 Page 4 Black asked if there have been problems with parking variances issued in the past. Goellner said that to her knowledge, there haven’t been any issues, but that she would do further research. Zimmerman added that parking requirements change over time and that staff has been considering looking at the parking requirements again especially for patios. Blum asked if the applicant has said they are planning to invest less in the project in order to meet the City’s requirements. Goellner said yes, the applicant has reduced the patio by 1,500 square feet, thereby reducing their seating count and capacity as well. Blum asked if the applicant is still interested in their original plan if a variance for parking is granted. Goellner said she thinks the applicant would still be interested in their original plans. Johnson asked if it is physically impossible to get 94 parking spaces on this site. Goellner said yes, and explained that any restaurant with a bar area would not be able to meet the parking requirements. Blum asked if this parcel is within one of the City’s upcoming proposed area plans that are looking to make the area more walkable. Goellner said yes, this street is being considered as part of a future pedestrian or transit oriented overlay in order to encourage shared parking, buildings closer to the street, more walkable neighborhoods, and shared uses. Blum asked Goellner if she is aware of terms that leave open the possibility for the City to come back and modify Conditional Use Permits to match future plans of public transportation or overlay districts. Goellner stated that any conditions written into a Conditional Use Permit need to be very closely tied to the factors of consideration used when approving a Conditional Use Permit. Waldhauser asked if the City knows TruStone Financial’s objection to shared parking. Goellner said she doesn’t know, but the applicant could speak to that. Erica Freeman, Shea Architects, stated that when they initially started the project the floor plan was much different because they didn’t realize that the parking requirements are based on gross square footage so when they submitted their plans they were told they did the parking calculations wrong. She stated that there is no way they could get 94 parking spaces even if they didn’t have a patio. She gave some parking requirement examples from other cities and stated that the area they are proposing for the patio is of no use for parking and is only good for drive aisle space. She added that they are not expecting there to be a problem with the 74 parking spaces they are proposing. Waldhauser asked about TruStone’s objection to shared parking. Tarique Ahmed, Applicant, stated that when they initially talked to TruStone they were not interested in shared parking because they feel they don’t have enough parking spaces. He stated that the bar area requires 11 parking spaces but the bar only has 10 seats. The restaurant has 108 seats and the patio is seasonal so he believes they will have more than enough parking. Waldhauser asked if the 108 restaurant seats includes the patio space. Ahmed said there are 144 seats total with the patio. Freeman added that they have never seen the existing Perkins parking lot full either. Minutes of the Golden Valley Planning Commission February 26, 2018 Page 5 Blum asked Ahmed if he has spoken to the property owners across the street. Ahmed said there is a brewery proposed for that location so parking there is not an option. He stated that he also talked to Red Lobster but they weren’t interested in shared parking either. Blum noted that there is a discrepancy between the plans and the staff report regarding the dumpster enclosure. Freeman stated that they are going to move the dumpster location in order to get three more parking spaces. Johnson asked if the hours of operation are determined by the City. Ahmed said no, they are standard restaurant hours and they won’t stay open later for the bar. Angell referred to the proposed patio storage structure and asked if it would be a temporary or a permanent structure. Freeman said she is thinking it will be a temporary storage structure. Johnson opened the public hearing. Wyck Linder, Property Manager, TruStone Financial, said they want to be a good neighbor they just don’t feel like they have enough information regarding a shared parking agreement. He asked how many parking spaces the applicant needs and if it would be a perpetual easement or agreement. He reiterated that they want to work with the applicant, they just need more information. Seeing and hearing no one else wishing to comment, Johnson closed the public hearing. Zimmerman stated that the crux of the problem is that this proposed restaurant serves liquor. The parking requirements are almost double for restaurants that serve liquor. He stated that maybe the parking ratios aren’t right for just a restaurant with a bar, but they may make sense for other types of bars. Waldhauser said she is sure that residents want the nicest facility possible and that it makes sense to reconsider some of the City’s parking requirements. Segelbaum said he doesn’t see a need to table the proposal and make the applicant wait for the Board of Zoning Appeals consideration. He said he feels the Planning Commission can make a recommendation on this proposal with the condition that the Board of Zoning Appeals grants the variance for parking. Blum questioned if the Planning Commission would be comfortable with that process for everyone in a similar situation. Zimmerman said it has been the practice in the past to add a condition relying on the approval of the Board of Zoning Appeals. Segelbaum said he can see in other situations where it would be important to hear from the Board of Zoning Appeals first, but this proposal is a little more straightforward. Waldhauser said she would like to wait because there seems to be a lot of moving parts with this proposal. She added that the applicant might get more of what they want if they wait which would also give them more time to talk to TruStone. Black stated that if the Planning Commission recommends approval it makes it seem like they are approving a variance and that is not their job. Segelbaum stated he is in favor of recommending approval for a restaurant in this area and he hopes the application moves forward. Minutes of the Golden Valley Planning Commission February 26, 2018 Page 6 Blum questioned if it is not part of the Planning Commission’s purview to come up with a condition that helps obtain a benefit of some kind for the City such as water quality. He questioned if the Planning Commission could require something different because they know there are future plans for the area. Zimmerman stated that the City is limited by state statute. He said if a condition of approval solves a problem that is great, but the City can’t use conditions to do something further afield, they have to look at the impacts of the proposal. Blum suggested making space for public transportation and not adding more parking spaces in a place that provides alcohol. Segelbaum said he doesn’t think this is the place to discuss the larger issues and it comes down to if the Planning Commission thinks the number of parking spaces are sufficient. Johnson questioned what would happen if the Board of Zoning Appeals granted a variance for 19 fewer parking spaces instead of 20. Segelbaum said the application would then come back to the Planning Commission. Waldhauser questioned if the applicant wants to wait. Goellner said the applicant would like to move as quickly as possible. Waldhauser noted that there are relatively few modifications needed and questioned if the patio could be considered in a second phase. Johnson said this is the plan they were presented with and if the Planning Commission votes on it now, it goes forward with 20 fewer parking spaces. Goellner said it would be helpful if the Planning Commission said what they are comfortable with and if they want a patio on the south side of the building or not. Johnson said this an opportunity to do a novel thing and stated that this proposal is a restaurant that is not focused on the bar. Waldhauser stated that if the proposal is tabled the City isn’t locked into anything. Black asked when the City Council will hear this proposal. Goellner stated that if the item is tabled it would go to the May 1 City Council meeting. If the Planning Commission recommends approval it would go to the April 17 City Council meeting. Angell said he’d be comfortable recommending approval of the proposal with the condition that the Board of Zoning Appeals grants a parking variance. He added that the regional trends show the number of required parking spaces going down. Segelbaum agreed and stated that the applicant wants to have sufficient parking or their business won’t be successful. Waldhauser stated that if the surrounding area can absorb the parking on the street and this area is industrial it really isn’t hurting anybody. Johnson asked the Commissioners if they had any objections to tabling the proposal and moving it on to the Board of Zoning Appeals. Segelbaum said he’d like to vote on the proposal now, Brookins said he would feel comfortable voting on it now as well. Zimmerman stated that there would need to either be a motion to vote on the proposal or to table it. Minutes of the Golden Valley Planning Commission February 26, 2018 Page 7 Johnson asked the applicant if they would like to move forward or wait. Ann Ahmed, Applicant stated there are future pedestrian plans for this area and that they are proposing a bike rack and that people will want to run and walk in the area and they are prepared for that. She said she would like to move forward with their proposal and not table it. Freeman added that they are required to provide five bicycle parking spaces but they are proposing 10. She said they would also like to know if they can have the larger patio on the south side of the building, if they can lose 11 parking spaces, and what kind of agreement they would have to have with TruStone. Goellner stated that if the larger patio is put back in the plans the variance request will be really big. Zimmerman stated that if the patio was done as a second phase that may give the applicant time to work on getting a shared parking agreement. Segelbaum said it seems that the applicant wants to move forward and how the parking agreement looks is up to them. Blum said the timeframe they are considering is two weeks. He said he wants to see development happen but he wants the best benefit to the City. MOVED by Blum, seconded Waldhauser and motion failed five to one to table this proposal. Commissioner Blum voted yes. MOVED by Segelbaum, seconded by Waldhauser and motion carried five to one to recommend approval of Conditional Use Permit #160 subject to the following findings and conditions. Commissioner Blum voted no. Findings: Demonstrated Need for the Proposed Use: 1. Based on the success of other restaurants in the community, there is evidence that the proposed Class III Restaurant use is appropriate. Consistency with the Comprehensive Plan: 2. Class III Restaurants are consistent with the Retail/Service designation of this property on the General Land Use Plan Map. Effect on Property Values: 3. Renovations to the building on the subject property may have a positive impact on its own estimated value, but staff does not anticipate that the new use would have a positive or negative impact on the surrounding property values. Effect on Traffic: 4. The number of trips generated by the proposed restaurant are minimal. The current restaurant generates a very comparable amount of traffic to the site, which do not cause any negative impacts to the area. Staff does not expect any negative traffic impacts to the surrounding areas resulting conversion from a Class I Restaurant to a Class III Restaurant. Effect of Increases in Population and Density: 5. The proposed use may generate a minimal increase in the number of employees at the location, but the number of employees will be limited based on the size of the building. The potential for a minimal increase in the number of employees on site does not threaten the health, safety, and welfare of the community. Increase in Noise Levels: 6. The proposed use is not anticipated to cause a significant increase in noise levels. The majority of activities associated with the proposed uses will occur within the interior of the building, thereby reducing the impact to the surroundings. The outdoor patio dining space is relatively small and is immediately adjacent to other businesses that generate similar noise levels. Minutes of the Golden Valley Planning Commission February 26, 2018 Page 8 Impact of Dust, Odor, or Vibration: 7. The proposed use is not anticipated to cause an increase in dust, odor, or vibrations. Impact of Pests: 8. The proposed use is not anticipated to attract pests. Visual Impact: 9. With the interior and exterior remodeling, staff anticipates an improvement in the visual quality of the property. The applicant must abide by all regulations regarding fencing, screening, outdoor lighting, and outdoor storage, as stated in the Golden Valley City Code. Other Impacts to the City and Residents: 10. Staff finds that the parking plan submitted on February 20, 2018, will be sufficient for the proposed restaurant, but a variance to the City Code must be approved by the Board of Zoning Appeals in order for this Conditional Use Permit approval to be valid. Therefore, staff is recommending approval of CUP 160 only if a variance for 20 parking spaces is received. If additional interior dining space, bar area, or outdoor patio space is added in the future, a Conditional Use Permit Amendment must first be approved by the City. Staff does not anticipate any other negative effects of the proposed use. Conditions: 1. The plans by submitted by Shea Design on February 20, 2018, shall become a part of this approval. 2. A variance of 20 spaces off the required 94 spaces for a total of 74 spaces must be approved by the Board of Zoning Appeals. In the event that complaints to the City regarding parking are deemed to be significant by the City Manager or his/her designee, the City reserves the right to require modifications to the days or hours of operation or the use of a shared parking agreement with adjacent property owner(s) in order to address parking concerns. 3. A Conditional Use Permit Amendment must first be approved by the City in order to expand interior dining space, bar area, or outdoor patio space in the future. 4. Hours of operation for the restaurant are limited to 11 am to 10 pm on Sunday through Thursday and 11 am to 11 pm on Friday and Saturday, unless otherwise further limited by an approved City Liquor License. 5. This approval is subject to all other state, federal, and local ordinances, regulations, or laws with authority over this development. --Short Recess-- 4. Reports on Meetings of the Housing and Redevelopment Authority, City Council, Board of Zoning Appeals and other Meetings No reports were given. 5. Other Business  Council Liaison Report Schmidgall reported that the City is going to have pilot program of Lime Bikes and stated that there will be a meeting about it on Wednesday night. Minutes of the Golden Valley Planning Commission February 26, 2018 Page 9 Schmidgall stated that Tennant has decided not to move forward with their campus proposals. Zimmerman added that Tennant is still planning to do the Damascus Way portion of the project.  Comp Plan Work Session – Water Resources Goellner introduced the Water Resources plan and covered main points of the chapter. She noted that there was more regulation involved in this topic and therefore less flexibility. She indicated that the Infrastructure Renewal Program (IRP) would be described in more detail and that the appendix would be very long and very technical due to the nature of the topics covered. Prior to the release of a final draft, staff would continue to revise and simplify the language in the chapter, including placing a greater emphasis on the aspirations and barriers around each section and including key points. She added that some elements of the implementation plan would center on education rather than enforcement since enforcement is often completed by other agencies. Waldhauser said that she appreciated the historical context that was written into the chapter and that it was important information for the casual reader. Johnson agreed that more detail on the IRP would be helpful. Waldhauser stated that much of the information was in the document, but that there could be a stronger explanation. She said the problems with infrastructure were not everywhere, but that it would be important to focus on the critical points. Blum said he was glad to see Key Point #2 included and that it resonated with him because including additional trees and vegetation was important to address water quality. Johnson asked about the definition of impaired waters. Goellner said that staff would likely include call out boxes with definitions of key technical terms such as impaired waters. Waldhauser asked about the City’s use of chlorides on streets to treat ice. Black confirmed that the City has been successful in reducing salt usage on roadways, but educating property owners to reduce salt is crucial. Goellner said that education around various topics might need to be carried out through partnerships rather than adding to staff responsibilities.  Comp Plan Discussion – Economic Competitiveness Zimmerman introduced the Economic Competitiveness plan and said that in general Golden Valley was in a good place with respect to its business climate and that the focus of the chapter really was on understanding and supporting the needs of the existing businesses. He pointed out the four focus areas in the plan, which are Employment, Redevelopment, Workforce, and Business Development. Minutes of the Golden Valley Planning Commission February 26, 2018 Page 10 Waldhauser pointed out the graph that discussed the education levels of Golden Valley residents and indicated it would be great to get information on non-residents are employed in Golden Valley. Goellner added that providing similar information from Hennepin County or the Metro Area would be a good point of comparison. Zimmerman highlighted the number of businesses that had expanded or constructed facilities in Golden Valley since the last Comprehensive Plan was approved. Black asked why it should matter to non-business owners that Golden Valley has a strong business presence and suggested that be referenced in the text. 6. Adjournment The meeting was adjourned at 9:12 pm. � �� � Ron lum, Secretary Li'a Wittman, Administrative Assistant