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IEDC Agenda 09-06-2016AGENDA INDUSTRIAL & ECONOMIC DEVELOPMENT COMMITTEE (IEDC) Tuesday, September 6th 2016 — 7:00 a.m. Boom Island Room, Monticello Community Center Members: Steve Johnson, Joni Pawelk, Wayne Elam, Luke Dahlheimer, Dick Van Allen, Jim Johnson, Don Roberts, Darek Vetsch, Don Tomann, 011ie Koropchak-White, Jason Kisner, Mari Lou McCormic, Andrew Tapper, Pete Gardner Liaisons: Jeff O'Neill, Angela Schumann, Jim Thares, Mayor Brian Stumpf, Lloyd Hilgart, Marcy Anderson 1. Call to Order 2. Approve Minutes: a. August 2, 2016 3. Consideration of adding items to the agenda 4. Reports: (Verbal Reports) a. Economic Development Report b. Planning Commission Agenda — Report i. Interviews for vacant P.C. position on Sept. 6, 2016 c. City Council d. Chamber of Commerce and Industry 5. Consideration of allowing outside storage in Otter Creek Business Park 6. Consideration of an update regarding 2016 City Construction Projects (Verbal Report) 7. Industry of the Year Planning Update — Note a 2nd IEDC Meeting to be held on Sept. 26 8. Consideration of a report regarding Wright County Minnesota Cities Participation Program - First Time Homebuyer Lending Program (Verbal Report) 9. Adjournment (8:00am) AGENDA INDUSTRIAL & ECONOMIC DEVELOPMENT COMMITTEE (IEDC) Tuesday, August 2nd 2016 — 7:00 a.m., Boom Island Room, Monticello Community Center Present: Steve Johnson, Joni Pawelk, Wayne Elam, Luke Dahlheimer, Dick Van Allen, Jim Johnson, Don Roberts, Tim O'Connor, Darek Vetsch, Don Tomann, 011ie Koropchak- White, Jason Kisner, Mari Lou McCormic, Andrew Tapper, Pete Gardner Liaisons: Jeff O'Neill, Jim Thares, Jacob Thunander, Mayor Brian Stumpf, Marcy Anderson 1. Call to Order Darek Vetsch called the meeting to order at 7 a.m. 2. Approve Minutes: a. June 7, 2016 LUKE DAHLHEIMER MOVED TO APPROVE THE MINUTES OF THE JUNE 7TU, 2016 IEDC MEETING. JIM JOHNSON SECONDED THE MOTION. MOTION CARRIED 15-0. Consideration of adding items to the agenda None. 4. worts: (Verbal Reports) a. Economic Development Report Jim Thares provided an update regarding the Block 34 Phase II Environmental Review and the Dahlheimer Expansion Project. Following that, Jeff O'Neill and Thares provided an update on the street projects happening throughout the City including: street re -construction, 71h Street and Highway 25 intersection upgrade project, St. Henry's and Fallon Avenue project and the Highway 25 Coalition Study Group, Thares discussed the current status of the Mills Fleet Farm, Aspen Dental, and IRET Apartments. Thares also provided an overview of the August 2nd Planning Commission Agenda items. i. Introduction of Jacob Thunander Jim Thares introduced Jacob Thunander, Community and Economic Development Assistant. Thunander started working with the City in July, 2016 and will be attending future IEDC Meetings. b. City Council Jeff O'Neill stated that Ann Mosack has been hired as the community center Director. He also indicated that dog licenses have been increased because of the new dog park. O'Neill discussed the transition from Arvig. c. Chamber of Commerce and Industry Marcy Anderson provided an update from the Monticello Chamber of Commerce Industry including Riverfest. She also mentioned the First Annual Tri-Chamber Bowl Off that is being held on Thursday, August 251h from 6-8 p.m. at McPete's Sports Bar and Lanes in Big Lake. This friendly competition is between the Monticello Chamber, Big Lake Chamber, and the Becker Area Chamber. Anderson then spoke about the Chamber's intent on printing the swan brochures and distributing around visitor destinations throughout Monticello. 5. Consideration of an update reeardin& 2gl6 Citv Construction Proiects (Verbal Report) This agenda item was discussed by Jim Thares and Jeff O'Neill under Agenda Item 4.a. 6. Industry o thtl a Year Pl ii Tyne Update Appoint Nomination Task Force Mary Lou McCormic and 011ie Koropchak-White agreed to participate on the Industry of the Year committee. McCormic agreed that she would be in contact with past committee members to discuss interest on being on the committee this year. 7. Consideration of a report from business and industry (Verbal Report) None. 8. Adiournment. (8:OOam) OLLIE KOROPCHAK-WHITE MOVED TO ADJOURN THE MEETING. DICK VAN ALLEN SECONDED THE MOTION. MOTION CARRIED 15-0. Recorder: Jacob Thunander Approved: September 6, 2016 Attest: Jim Thares, Economic Development Director IEDC Agenda: 06/08/16 5. Consideration of allowine outside storage in Otter Creek Business Park (JT) A. REFERENCE AND BACKGROUND: The EDA recently directed staff to seek feedback from the IEDC regarding support for or concerns against the possibility of allowing limited amounts of outside storage at Otter Creek Business Park. The genesis of this item stems from a request by Groebner, Inc. to explore the possibility of building a new facility in the Park if they can also obtain permission for outside storage. The EDA is seeking the IEDC's input as part of a public comment session to be held during the regular September 14, 2016 EDA meeting. Otter Creek Business Park was originally established as an upscale business site with restrictive covenants prohibiting outside storage. Two other key elements include building materials — which must be concrete structures and lot landscaping and irrigation requirements. Two of the approved plats feature the restrictive covenants with the result being all of the completed developments have facilities with no outside storage. The history of the discussion to flex the prohibition against outside storage to date is as follows. At the June EDA meeting, a first draft of possible outdoor storage standards was presented for review. The EDA directed staff to seek feedback from Groebner and also from the present occupants of Otter Creek Business Park. While the feedback from Groebner was positive, the feedback from the current occupants was mixed. At the August EDA meeting, staff were further directed to proceed with additional due diligence steps by sending written correspondence to the occupants of Otter Creek Business Park inviting them to participate in a public comment session at the September meeting and to also provide an update to the City Council regarding support for or concerns of allowing outdoor storage. It should be noted that the restrictive covenants instruments were adopted by the City Council due to the City having ownership of the land at the time of the original and subsequent Otter Creek Business Park plats. The key issue in the discussion is the size or volume of land area devoted to outdoor storage relative to the principal building or the entire lot area. The draft standards indicate allowed storage of 30 percent of the principal building. A cap of 25,000 square feet is also proposed so the "Park" does not become dominated by outdoor storage accessory uses. Groebner intends to construct a structure that meets the covenants for building materials and lot landscaping resulting in an investment -grade facility. To provide some perspective, Groebner's new facility is proposed to be about 30,000 to 40,000 square feet. Under the proposed draft standards, this would equate to an outdoor storage area of 9,000 to 12,000 square feet. The maximum allowed area of outside storage would be 25,000 sq. ft. The proposed standards also call for complete screening by means of wall/fence materials matching the building along with vegetative landscaping elements as additional screening enhancements. No items in the outside storage area would be allowed to be higher than the height of the fence/wall. The standards are attached for review. Al. Staff Impact: There is very little staff impact from researching outside storage standards and seeking feedback/direction from the EDA/IEDC. A2. Budget Impact: Likewise, there is very little budgetary impact in researching the outside storage standards and seeking feedback from the EDA/IEDC. B. ALTERNATIVE ACTIONS: 1. If the IEDC deems it appropriate, offer a motion in support of the EDA in recommending the City Council adopt Restrictive Covenants that allow limited outside storage 2. If the IEDC deems it appropriate, offer a motion against support of the EDA recommending the City Council adopt any Restrictive Covenants allowing outside storage 3. No Motion by IEDC; consider as informational and/or offer comments to the EDA for the public comment session on September 14, 2016. C. STAFF RECOMMENDATION: If the IEDC supports the idea of opening the Park up to a broader audience of users, staff recommends either Alternative 91 or supportive comments to be shared at the public comment session noted in Alternative 93. If the IEDC is opposed to allowing outside storage in Otter Creek Park, then Alternative 92 is appropriate. D. SUPPORTING DATA: A. Outdoor Storage — Possible Standards B. Illustration — example of scaled site showing area of outdoor storage on lots C. Photos of possible effective screening of outdoor storage E Letter sent to current occupants of Otter Creek Business Park w/attachments 2 Otter Creek — Outlots E and F Outdoor Storage Discussion — Proposed Covenant Requirements Open and Outdoor Storage as an accessory use under covenants, provided that: • Outdoor storage shall be limited to 30% of the gross square footage of the principal building, or 25,000 square feet, whichever calculation is less. • The storage area shall not occupy any portion of the yard between the front building line and the adjoining public street, or the side building line and public street on a corner lot. • Outdoor storage areas must be 10' from all property lines and when adjacent to properties zoned other than industrial, shall be located a minimum of 50' feet from the adjacent property line. • Storage shall be accessory to the principal use of the building and shall be used solely for the tenants of the principal building. • Storage areas shall not block the visibility of any public right of way. • The storage area shall not occupy any space required for conformity to the parking regulations of the Zoning Ordinance. • The outdoor storage of equipment shall be limited to that which may be moved on its own power, or stored on a trailer. • Outdoor storage areas must be kept in an orderly condition, permitting vehicular access to all materials or equipment. o Lanes at least twenty (20) feet in width shall be required to meet this standard. o No portion of the outdoor storage shall be more than fifty (50) feet from any access lane or other drive aisle, nor shall it block access to hydrants, fire sprinklers, or other fire -fighting equipment. • All outdoor storage must be screened completely from any right of way and adjacent property and is subject to the following screening requirements. o Storage may not exceed the height of any screening fence. o Screening shall consist of masonry walls constructed of materials consistent with the building materials and color of the principal building and shall provide for 100% opacity. o Gates shall be an exception to this requirement. o Fences shall meet the height requirements of the Monticello Zoning Ordinance. • Landscaping of one evergreen tree per 6' of linear fenceline shall be required to be planted on exterior of outdoor storage screening. • Outdoor storage shall be allowed only on an improved surface of asphalt or concrete. • Storage in shipping containers shall be prohibited unless the following requirements are met: o No container shall be greater than 40 feet in length, 8 feet in width and 8.5 feet in height. o Containers shall not be stacked. o Containers shall be those manufactured expressly for the purpose of storing and/or shipping materials. o All containers shall be stored within a screened storage enclosure per the requirements of these standards. • There shall be no storage of hazardous materials, as defined by the Minnesota Pollution Control Agency. • Waste or recyclable material shall be contained in a refuse container. All such containers shall be stored within a screened enclosure per the requirements of these standards. • The property, including buildings and exterior site areas, shall comply with all applicable fire codes. • All lighting and noise shall be in compliance with the requirements of the Monticello City Code and Zoning Ordinance. � r a `.�, a t41 sue'_ .1 Mtl rV -WAS 1TV kk 6. 7 ;,O� 1", CITY OF CRO August 31, 2016 To Company Owner or Manager Address Line #1 Address Line #2 with Zip Code Dear Name of Person: PHONE:763-295-2711 FAx:763-295-4404 505 Walnut Street Suite 1 Monticello, MN 55362 City staff recently received an inquiry from a business prospect having an interest in developing an industrial facility in Otter Creek Business Park, including a small amount of outside storage. They've stated that they like the location of the Park and feel the City of Monticello, with it's location on 1-94 and beyond the more densely developed Twin Cities metro area, offers many advantages for their employees and their general operations. They have plans to construct a structure in conformance with the recorded Restrictive Covenants for building materials and lot landscaping resulting in an investment- grade facility. However, they do need a small area of outside storage and have asked City staff to explore this option. There are currently portions of Otter Creek Business Park which are not under the recorded Restrictive Covenants. Beginning in June, City staff presented the request to the Economic Development Authority (EDA) for discussion and feedback. The EDA then asked staff to draft possible standards guiding outside storage and bring it back for further discussion and review. At the July EDA meeting, the discussion continued with staff being directed to solicit feedback from the current occupants in the Park. At the August meeting, the EDA continued discussing this and authorized setting of a public comment session at the September 14, 2016 EDA meeting. The proposed outside storage standards were developed with the goal of balancing the original vision for the Park as a high -end manufacturing site with the possibility of allowing for a broader audience of users to pursue development within the Park. A copy of the draft standards is attached for reference and comment. These standards would be incorporated into the Restrictive Covenants recorded against the balance of land at Otter Creek, shown on the attached map. There are certain businesses entities which need to have access to outside storage to operate in an efficient manner. City staff have conscientiously considered this request from a business and brought it to the EDA for discussion. We have now arrived at the point in time where it is prudent to seek comment regarding possible outside storage at Otter Creek Business Park in a public forum, which you are invited to attend on September 14th, 2016 at approximately 6:30 p.m. The comment will be taken as part of the EDA meeting at the Monticello Community Center. Please feel free to contact me with your questions about the discussion of outside storage at the upcoming meeting. Thank you for your time and consideration of this discussion Sincerely, Jim Thares, Economic Development Manager Encl. Draft Outside Storage Standards, Map of Otter Creek Business Park Otter Creek — Outlots h and F Outdoor Storage Discussion — Proposed Covenant Requirements Open and Outdoor Storage as an accessory use under covenants, provided that: • Outdoor storage shall be limited to 30% of the gross square footage of the principal building, or 25,000 square feet, whichever calculation is less. • The storage area shall not occupy any portion of the yard between the front building line and the adjoining public street, or the side building line and public street on a corner lot. • Outdoor storage areas must be 10' from all property lines and when adjacent to properties zoned other than industrial, shall be located a minimum of 50' feet from the adjacent property line. • Storage shall be accessory to the principal use of the building and shall be used solely for the tenants of the principal building. • Storage areas shall not block the visibility of any public right of way. • The storage area shall not occupy any space required for conformity to the parking regulations of the Zoning Ordinance. • The outdoor storage of equipment shall be limited to that which may be moved on its own power, or stored on a trailer. • Outdoor storage areas must be kept in an orderly condition, permitting vehicular access to all materials or equipment. o Lanes at least twenty (20) feet in width shall be required to meet this standard. o No portion of the outdoor storage shall be more than fifty (50) feet from any access lane or other drive aisle, nor shall it block access to hydrants, fire sprinklers, or other fire -fighting equipment. All outdoor storage must be screened completely from any right of way and adjacent property and is subject to the following screening requirements. o Storage may not exceed the height of any screening fence. o Screening shall consist of masonry walls constructed of materials consistent with the building materials and color of the principal building and shall provide for 100% opacity. o Gates shall be an exception to this requirement. o Fences shall meet the height requirements of the Monticello Zoning Ordinance. • Landscaping of one evergreen tree per 6' of linear fenceline shall be required to be planted on exterior of outdoor storage screening. • Outdoor storage shall be allowed only on an improved surface of asphalt or concrete. • Storage in shipping containers shall be prohibited unless the following requirements are met: o No container shall be greater than 40 feet in length, 8 feet in width and 8.5 feet in height. o Containers shall not be stacked. w c� r•