HomeMy WebLinkAbout2017-03-08 CPC MIN
PLANNING COMMISSION MEETING MINUTES
March 8, 2017
REGULAR MEETING 7:00 P.M.
Vice Chairman Hansen called the meeting to order at 7:00 p.m.
Present: Vice Chairman Hansen, Commissioners Collins, Fletcher, Hade, Kelly, Lauer and Siess
Absent: Chairman Kocon, Councilmember Menikheim
Staff: Community Development Director Turnblad
APPROVAL OF MINUTES
Possible approval of January 11, 2017 meeting minutes
Motion by Commissioner Collins, seconded by Commissioner Hade, to approve the January 11, 2017
meeting minutes. Motion passed 6-0-1. Commissioner Hade abstained.
OPEN FORUM
There were no public comments.
PUBLIC HEARINGS
Case 2017-02: Special Use Permit for the use of outdoor speakers for the property located at 324 Main
Street South. Jeffrey B. Larson, JLB Companies, property owner, and Chris Goetzke, applicant.
Community Development Director Turnblad stated that Chris Goetzke is requesting a Special Use
Permit (SUP) to provide pre-recorded and live music through an exterior speaker in the outdoor dining
area of the Tilted Tiki Restaurant at 324 Main Street South. The pre-recorded music would occur
weekdays from 11 a.m. to 10 p.m.; live music would be performed in the summer months by a single
musician with a guitar, Thursdays – Saturdays, as well as summer holidays (Memorial Day, Fourth of
July, and Labor Day) from 6 p.m. to 10 p.m. One email from a resident on Broadway was received
asking that the City limit the hours to reasonable times. Staff recommends approval with five
conditions, including stopping music at 10 p.m. every night regardless of the type of music.
Chris Goetzke, applicant, said it will be easy going background music.
Vice Chairman Hansen opened the public hearing. There were no public comments. Vice Chairman
Hansen closed the public hearing.
Commissioner Lauer asked if it will reach a point where combined, all the permits for live music will
start getting a little loud. He acknowledged that may not impact this particular case.
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Commissioner Kelly stated that in this case, there is a wall separation from the blufftop, which is
different from Lion’s Tavern, but he recalled that in similar cases, the Commission has heard concerns
from people living on the bluff and downtown that they can’t open their windows in the summer due
to the noise.
Commissioner Siess asked if there is a decibel rating associated with the nuisance ordinance. Mr.
Turnblad replied there is a decibel limit that varies depending on the time of day. Police officers use
decibel meters.
Commissioner Kelly said he opposes having to grant a bunch of variances; he would like to make the
ending times consistent. If he lived on the bluff and had children, having music until 10 p.m. during
the week would be too much. He said he was surprised there were no neighbors present to express
concerns. He recalled that the Commission has discussed outdoor music requests from Lion’s Tavern,
the American Legion, the Freight House, the pizza place, and other businesses. He suggested the
Commission look at revising the ordinance regarding hours when outdoor music is allowed to make it
more consistent.
Mr. Turnblad replied the ordinance requires outdoor music end by 10:00 p.m. so it is consistent.
Outdoor music is an allowable use downtown. Without conditions, it could cause incompatibilities
among neighbors, so a permit is required. As long as the conditions of the permit are met, the music
is allowed until 10 p.m.
Commissioner Siess commented that it would be nice to have a grid of all the other special use permits
related to outdoor music and their conditions.
Commissioner Fletcher pointed out that the risk of allowing outdoor music automatically without a
Special Use Permit is that there could be a lot more establishments with outdoor music.
Commissioner Kelly recalled businesses in the past asking to be allowed to play music later, and the
Commission granting them the ability to go later till 11 pm.
Mr. Turnblad explained that any music played after 10 p.m. must be under a special event permit
granted by the City Council.
Motion by Commissioner Siess, seconded by Commissioner Hade, to approve Case 2017-02, Special Use
Permit for the use of outdoor speakers for the property located at 324 Main Street South. All in favor, 7-
0.
Case 2017-05: Variance to build an addition to a structure that will include living space and an attached
garage to the property located at 1333 Sixth Street South. Michael and Charlene Markwardt, property
owners.
Community Development Director Turnblad stated that the applicants propose a significant addition
to their two-family home. The proposed addition includes two new attached two-car garages and
roughly 1,024 square feet of additional living space. In order to expand the home as proposed, setback,
coverage, and height variances would be necessary. The applicants have requested the following
variances:
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1. A five foot setback variance from the Sixth Street South right-of-way to allow a porch to
be constructed 15 feet from the right-of-way (minimum setback of 20 feet is required).
2. A 9.47% coverage variance to allow for the lot’s building coverage to be 34.47%
(maximum of 25% is allowed).
3. An accessory structure coverage variance to allow for the construction of two attached two-
car garages of 605 square feet and 656 square feet in size. The maximum accessory structure coverage
allowed in this district is 1,000 square feet; the requested coverage is 1,261 square feet.
4. A height variance for each new garage to allow for the construction of a half-story of livable
space above each garage; the maximum height for an attached garage is one story, not to exceed 20
feet. City staff finds that the variance review criteria have not been satisfied, the cumulative effect of
all four variances creates a massing effect that is out of character with the neighborhood, and therefore
recommends denial of all requested variances.
Commissioner Siess asked if staff feels that with some adjustments, the applicants could still construct
the addition.
Community Development Director Turnblad replied that the garages could possibly be shortened to
be closer to 1,000 square feet. Staff believes the porch is fine because it is not too imposing on the
streetscape. Staff is most concerned about total lot coverage, because when 34% of a lot is covered
with buildings, it starts to create stormwater runoff problems.
Applicant Michael Markwardt, 1333 Sixth Street South, explained that even with the addition, the
porch will still be 21.7 feet from the curb. He showed several examples of neighborhood houses that
are less than five feet from the curb. Regarding the height variance, he stated there are a dozen
examples within one block that have new garages more than one story tall. Regarding the size of the
garages, he occupies one side of the duplex and his daughter occupies the other side with her husband.
He would like to be able to park both cars on each side. If necessary, he could remove the 420 square
foot deck, and then he would be asking for less than a 5% variance on the structure itself.
Commissioner Hansen asked how deep the garage is proposed to be from front to back. Mr. Markwardt
stated 44 feet.
Vice Chairman Hansen opened the public hearing.
Paul Roettger, 1337 Sixth Street South, next door, said the Markwardts have been good neighbors. He
is willing to work with them. He doesn’t have a problem with the addition.
Vice Chairman Hansen closed the public hearing.
Vice Chairman Hansen pointed out that pulling the garages forward as designed allows for shorter
driveways.
Commissioner Siess remarked that each individual variance isn’t really that bad. The garage as
proposed really is a story and a half. Mr. Turnblad responded that staff felt that footprint of the garages
and the front porch would not greatly impact the neighborhood. He added that the rules for the RB
zoning district weren’t written with duplexes in mind, so every time a duplex owner wants to add a
reasonably sized garage, they will always run into this situation. He stated perhaps the ordinance
should be revised to differentiate between single family homes and duplexes.
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Vice Chairman Hansen said that the fact that the ordinance was written for single family homes, not
duplexes, creates a hardship. He would lean in the direction of allowing the variances if the deck were
removed. Commissioner Siess agreed.
Commissioner Collins pointed out the uniqueness is due to the home being a duplex. He feels the
addition should be allowed.. If the raised deck in back is removed, it’s reasonable.
Commissioner Hade said he thinks there are good arguments on both sides but this should go to the
Council. He feels the ordinance needs to be changed to account for duplexes.
Motion by Commissioner Collins, seconded by Commissioner Lauer, to approve Case No. 2017-05,
Variance to build an addition to a structure that will include living space and an attached garage to the
property located at 1333 Sixth Street South, adding a condition that the applicant remove the raised deck
in the back. Motion passed 5-2 with Fletcher and Hade voting nay.
START HERE
Case 2017-03: Draft Ordinance to regulate short term rentals. City of Stillwater, applicant.
Community Development Director Turnblad stated that in August 2016 the City Council hired
Hoisington Koegler Group, Inc. (HKGi) to assist with a study on short term home rentals (STHR).
HKGi conducted a survey and completed their research and study in September. City staff held a
stakeholders’ meeting in October to share the research and discuss the issues associated with STHR.
In November the Planning Commission reviewed and discussed the HKGi research and stakeholder
comments. In December the City Council held a work session with stakeholders to consider both the
HKGi study as well as public and commission input to date, and decided to proceed with development
of an ordinance allowing STHR in some form. In January 2017, City staff brought an outline of
potential ordinance elements to the Council for more direction prior to developing the first draft of the
ordinance. This first draft is now ready for the Planning Commission to discuss.
Mr. Turnblad reviewed the six elements that comprise the core of the proposed ordinance. He
explained that staff will take all the information gathered and revise the proposed ordinance before
bringing it back to the Commission and then the Council.
Commissioner Siess asked why inspections are included in the ordinance if the owners have
homeowners insurance. Mr. Turnblad responded there are life safety issues that insurance wouldn’t
necessarily cover, for instance the temperature of the water. The City would do an initial inspection
and then the owner or operator would have a list of their obligations under the ordinance. He added
that the City currently has no ordinance governing rental properties. Typically, the County inspects
commercial lodging and is comfortable with the inspection program proposed for short term home
rentals. The City would consider STHRs as lodging and they would be expected to pay the 3% lodging
tax, provide onsite parking, limit the number of guests to 2X the number of bedrooms plus one, and
keep guest records.
Commissioners Fletcher and Kelly suggested the guest disclosures be available someplace in the home
and not just on the web site.
Regarding the maximum number of rental days per year, Mr. Turnblad said this needs to be discussed.
Consensus on a maximum number has not yet been achieved.
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Commissioner Fletcher asked why there is a difference between Types A and B. Mr. Turnblad replied
that the initial concept was introduced to Stillwater by other cities. Duluth has something very similar.
In addition, the MN Chapter of the American Planning Association makes the distinction of hosted
versus unhosted.
Vice Chairman Hansen opened the public hearing.
Lee Woolery, 1920 Pine Street West, said he has no intention to rent out his home, but he wanted to
speak because he feels the City doesn’t need another quirky ordinance. He feels this ordinance goes
too far and represents an intrusion into economic enterprise. For an offsite owner, requiring them to
be within 30 minutes travel time of their STHR is unreasonable. The limit of 25 Type B rentals seems
low and arbitrary. He thinks the ordinance creates an administrative monster.
Kirk Ackerman, 1336 Second Avenue South, said he and his wife are part of the stakeholder group.
They have a Type B VRBO and running it has been a fantastic experience. They notified all neighbors
before they did it. Stillwater is a destination city and there is a need for rooms. VRBO is a global
phenomenon. Having a VRBO helps with maintenance costs of a large home. All their guests sign a
contract and they know the house rules. He opposes a limit on the number of rental days.
Lance Bondis shared that he started the Minnesota Vacation Rental Alliance which has about 75
members. He is helping St. Paul and Minneapolis to draft similar regulations. He feels the limit of 25
Type B rentals and five Type C rentals is too restrictive, and the regulations seem burdensome. Rentals
self-regulate through reviews.
Barbara Ackerman, 1336 Second Avenue South, said she and her husband have been doing their
VRBO for three years and they are booked two years in advance because of all the weddings. There
is a great need for non-traditional family lodging. They require guests to purchase an insurance policy
and to pay a deposit for incidentals. They take very good care of the property. She feels some of the
proposed regulations are excessive such as requiring license plate numbers. She feels the 30-mile
distance requirement should be changed to measure driving time rather than miles. She and her
husband can maintain their property from a greater distance.
Tom Lynum, Sauntry Mansion Bed & Breakfast, stated his Special Use Permit has 22 conditions and
he has had to deal with 13 different governmental agencies since purchasing the business in 1999. He
too could argue that this is too restrictive but it has worked, indicated by the fact he has not been in
front of this body before and the police have never been called to the Sauntry Mansion. They are very
proud of their business and property. If a short term rental is in the Central Business District, this
ordinance does not address parking. That should be looked at. He also is strongly against non-owner
occupied short term rentals being allowed in residential districts. He feels owners should have to be
present in the home. He also made the point that there are a lot of well intentioned people who want
to open a legitimate business but there are also others who will think of ways to take advantage of this
ordinance. The ordinance also does not address hosting special events.
Matthew Stefanek, 210 East Laurel Street, said there are nothing but stellar reviews for the Stillwater
VRBOs. It is unrealistic to prohibit unhosted VRBOs. When people rent a VRBO, they don’t want
someone else staying in that home. His property is on 1.7 acres, provides off-street parking and has
7,000+ square feet. It used to be a bed & breakfast. He agrees with permitting and licensing VRBOs
Planning Commission March 8, 2017
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but he feels the ordinance as proposed treats VRBOs more like bed & breakfasts which they are not.
He would prefer there be only one type of STHR.
Mr. Woolery added that the restriction of only 25 Type B licenses is too low. It seems like restraint of
trade and economic protectionism for existing businesses, which he feels is wrong.
Jerry Helmberger, 303 Fourth Street North, Aurora Staples Bed & Breakfast, said the conditions on
bed & breakfasts are more for the safety of guests than the convenience of owners. His bed and
breakfast is also his home. He is very concerned about how guests are being treated because that
reflects beyond the City limits. He’s also the president of the Convention and Visitor Bureau and
appreciates the 3% lodging tax which helps to market Stillwater.
Kirk Ackerman asked if there have been complaints about VRBOs. Mr. Turnblad responded that one
complaint has come to him; he is not sure if that is the only one but it is not overwhelming.
Mr. Woolery stated he thinks the Council should do wider research. Nationally and internationally,
VRBO activity has been going on for decades. There must be a wealth of information available.
Vice Chairman Hansen closed the public hearing.
Community Development Director Turnblad reminded the Commission that their role tonight is to 1)
hold the public hearing; 2) discuss potential changes; and 3) make a recommendation to the Council
or table the issue for more information.
Commissioner Collins asked how the number 25 was decided on. He feels it could be too low. He
likes the idea of licensing STHRs.
Commissioner Kelly commented that there really are restrictions on the number of bed & breakfasts,
since there is a radius restriction between inns. He questioned if it is fair to a homeowner if three
VRBOs pop up on their block. He would like some sort of control because he doesn’t view all the
neighborhoods of Stillwater as a marketplace for lodging, they are places to live. He supports there
being both Type A and B and feels the number allowed should be limited. He feels the provisional
license for Type B needs clarification, and feels the ordinance should include a parking requirement
for VRBOs in the Central Business District. Also, the ordinance should address whether special events
are allowed. He supports having guest disclosures visible somewhere on the property and not only
online.
Mr. Turnblad said there is a City-wide special event policy which may need to be added to this
ordinance.
Commissioner Siess stated she likes the distinction between Types A and B and also the idea of
treating the CBD differently. She feels the City needs to be careful about conditions regarding linens
and ice machines because VRBOs are self regulating and this could produce a lot more work for staff.
She is not sure about limiting the number of rental days per year - Stillwater is too touristy to limit it.
She supports requiring proof of insurance.
Commissioner Fletcher said she likes the distinction between Type A and B, and sees no need for a
maximum number of rental days per year. Proposed regulations concerning linens, pest control and
ice makers are excessive. She feels a cap of 25 Type B licenses may be too restrictive.
Planning Commission March 8, 2017
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Commissioner Lauer said he is leery of over-regulating. The owners have self interest in keeping their
property up.
Commissioner Kelly agreed that ice makers and linens are too much to regulate.
Vice Chairman Hansen said it’s possible the City could hit the 25 cap the day applications open up.
He feels the City needs to figure out some sort of limit. It will appear arbitrary to begin with. He would
rather have the ordinance as right as possible and as strict as possible to begin with rather than as loose
as possible to begin with.
Community Development Director Turnblad said the number 25 was suggested by the Council and it
is pretty arbitrary. If the City wants to do the full inspection program on Type B then it needs to have
the resources available in house to do that. As for the cost of a license, so far there has only been
discussion of covering the cost of inspections - it’s not a money making venture for the City.
Vice Chairman Hansen stated that as a destination city, Stillwater needs to guard against being just a
transient city. Stillwater is appealing because it is a community where people actually live. If the City
doesn’t regulate the number of VRBOs, that sense of community could be lost.
Commissioner Siess asked why the list of guest names would be required. Mr. Turnblad replied that
is lifted out of Duluth’s ordinance. It has to do with public safety. In some communities there is an
issue with being able to track down people who cause nuisances.
Commissioner Siess asked if there is an amount of insurance that should be required. Mr. Turnblad
replied if the homeowner is comfortable with the amount of insurance, the City is not setting an
amount. Many of the requirements are not about a certain standard, they are about reminding the
proprietors that there are things they need to think about for public safety.
Motion by Commissioner Hansen, seconded by Commissioner Hade, to table Case 2017-03, Draft
Ordinance to regulate short term rentals, to the next meeting. All in favor, 7-0.
NEW BUSINESS
There was no new business.
STAFF UPDATES
There were no staff updates.
ADJOURNMENT
Motion by Commissioner Fletcher, seconded by Commissioner Collins, to adjourn the meeting at 9:45
p.m. All in favor, 7-0.
Respectfully Submitted,
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Julie Kink
Recording Secretary