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HomeMy WebLinkAbout12-06-23 PC Minutes Approved: January 3, 2024 CITY OF ARDEN HILLS, MINNESOTA PLANNING COMMISSION WEDNESDAY, DECEMBER 6, 2023 6:30 P.M. - ARDEN HILLS CITY HALL CALL TO ORDER/ROLL CALL Pursuant to due call and notice thereof, Chair Paul Vijums called to order the regular Planning Commission meeting at 6:30 p.m. ROLL CALL Present were: Chair Paul Vijums, Commissioners Brad Bjorklund, Shelley Blilie, Joshua Collins, Arlene Mitchell, Kurtis Weber, and Jonathan Wicklund. Absent: None. Also present were: Community Development Director Jessica Jagoe, Senior Planner Elena Fransen and Councilmember Emily Rousseau. APPROVAL OF AGENDA – DECEMBER 6, 2023 Chair Vijums asked if the Planning Commission would support discussing Item 3B (Planning Case 23-021) before Item 3A (Planning Case 23-020). The Commission supported this recommendation. Commissioner Bjorklund moved, seconded by Commissioner Wicklund, to approve the December 6, 2023, agenda as amended moving Item 3B before 3A. The motion carried unanimously (7-0). APPROVAL OF MINUTES November 8, 2023 – Planning Commission Regular Meeting Chair Vijums moved, seconded by Commissioner Wicklund, to approve the November 8, 2023, Planning Commission Regular Meeting as presented. The motion carried unanimously (7-0). ARDEN HILLS PLANNING COMMISSION – December 6, 2023 2 PLANNING CASES B. Planning Case 23-021; Rezoning Flex Office to Neighborhood Residential for TCAAP, Zoning Code Amendment to Chapter 13, Section 1380 TCAAP Redevelopment Code and Comprehensive Plan Amendment – Public Hearing Community Development Director Jagoe stated in November 2012, the City Council approved a Joint Powers Agreement (JPA) with Ramsey County which establishes a partnership between the City of Arden Hills and Ramsey County with the goal of the remediation and redevelopment of the 427-acre Twin Cities Army Ammunition Plant (TCAAP) site. Under the JPA, the City and County created a Joint Development Authority (JDA) that is the joint governing entity of the TCAAP site as allowed by the Joint Powers Act and MN State Laws. The JDA is the authority responsible for, but not limited to, environmental remediation, elimination of blight, infrastructure construction and financing, comprehensive planning and zoning, and economic development and redevelopment. The JDA Board is comprised of two County Commissioners, two City Councilmembers, and an additional non-elected City appointee as the Chair. Key points of the JPA are as follows: • The County will purchase the site from the U.S. Government and will work with Bolander and Sons to remediate the site to a residential standard including the demolition of remaining buildings. – Completed • The City will prepare an AUAR and Master Plan. The Master Plan will be approved by both the City and the County and will be implemented by the JDA. – Completed • The City and County are responsible for installing their respective public infrastructure as outlined by the JPA. TBD Community Development Director Jagoe reported between 2013 – 2016, the City facilitated the process of developing the Master Plan for the TCAAP site, which as noted above was the responsibility of the City under the JPA. Planning elements of the Master Plan included defining the public engagement process, land use, circulation and movement, utilities, environmental remediation, parks and open space, implementation plan, and a regulatory plan. In 2016, the City adopted the TCAAP Redevelopment Code (“TRC"), Section 1380 of the zoning code which includes the regulating plan, land use table, design standards, and other regulations related to land development that are specific to the TCAAP site. The proposed 427-acre redevelopment referred to as Rice Creek Commons will include: • Retail, office, and light industrial development • A town center • Well-defined neighborhoods with architectural diversity • A wide variety of housing options to serve young professionals, empty nesters, and seniors • Abundant parks and open space • Trails that provide for convenient and safe pedestrian access to commercial areas and other site amenities Community Development Director Jagoe explained through the JPA, in the event the JDA believes the TCAAP Master Plan should be amended, that shall be referred to the City and County for review. The City maintains the responsibility for processing TRC and Comprehensive ARDEN HILLS PLANNING COMMISSION – December 6, 2023 3 Plan Amendments. As part of a TRC Amendment, the City will request confirmation of approval by Ramsey County. The JPA identifies two classifications of an Amendment to the TCAAP Master Plan: 1) Major Amendment – Requires the City to amend its Comprehensive Plan. 2) Minor Amendment – Does not involve an amendment to the Comprehensive Plan and is a change within a Development Site (i.e. TRC Zoning Districts). Community Development Director Jagoe stated on September 27, 2023, the JDA held a Special Work Session which included a presentation from Alatus (“Developer”), on proposed land use changes that would increase the total number of residential housing units from 1,460 units to up to 1,960 units. The Developer identified two areas where they are proposing to increase the overall density of the Subject Property by up to an additional 500 residential housing units. The first location in Town Center South which currently allows for residential uses would shift the types of housing infrastructure offered to include multi-family. The second location in the southwest corner of the Subject Property is currently guided toward commercial flex office uses. Approximately 32 acres of this area would be rezoned to residential uses to provide for a full range of residential housing infrastructure. At their subsequent October 2, 2023 meeting, the JDA discussed increasing density from 1,460 units to up to 1,960 units as presented by Alatus and requested both the City and County proceed with consideration of the necessary TRC and Comprehensive Plan Amendments. Community Development Director Jagoe reviewed the Plan Evaluation and provided the Findings of Fact for review: 1. The Arden Hills 2040 Comprehensive Plan designates the future land uses for the Subject Property. 2. The City has requested a Comprehensive Plan Map Amendment to change the future land use designation of approximately 32.4 acres in the southwest corner of the Subject Property to Neighborhood Residential, NR-3 and NR-4. 3. The City has requested a Comprehensive Plan Text Amendment to separate the NR-3 and NR-4 subcategories under the Neighborhood Residential classification to further clarify areas for multi-family residential uses. 4. The City has requested a Comprehensive Plan Map Amendment to designate specific areas for the subcategories of NR-3 and NR-4 from the Neighborhood Residential classification. 5. The City has requested a Comprehensive Plan Text Amendment to modify the density ranges allowed in the NR-4 subcategory of the Neighborhood Residential classification to be consistent with the Suburban designation to maintain future development at a minimum of five (5) units per acre on the Subject Property. 6. The proposed Comprehensive Plan Text Amendment to Section 6.4.10 Development Capacity and Net Residential Density further supports the goal and policies of Chapter 7 - Housing by incorporating language for housing that is suitable for a mix of ages, incomes and household types. 7. The City has requested a Comprehensive Plan Text and Map Amendment to areas currently designated as Town Center North and Town Center South which would modify existing boundaries. ARDEN HILLS PLANNING COMMISSION – December 6, 2023 4 8. The purpose of the Comprehensive Plan is to establish the policies that guide the future physical and community development of Arden Hills. 9. The Metropolitan Council has previously approved similar amendments adding language supporting increasing the densities above the maximum permitted in a specific land use district. 10. The proposed Comprehensive Map and Text Amendments have been discussed with the Metropolitan Council. 11. The City of Arden Hills is proposing to amend ordinance language consistent with the Comprehensive Plan Amendments as required by State Law within the Neighborhood Residential and Flex Office Zoning Districts. 12. The TRC ordinance amendments would allow for medium and large multi-family residential land uses outlined in the TRC land use chart as Permitted with Criteria with the Neighborhood Residential, NR-4 Zoning District. 13. The proposed ordinance will include amendments to the language of Chapter 13 – Zoning Code, Section 1380 – TCAAP Redevelopment Code. 14. The City is proposing to rezone approximately 32.4 acres in the southwest corner of the Subject Property for consistency and implementation of future land uses as set out in the goals of the City’s Comprehensive Plan. 15. The proposed amendment in the City’s TCAAP Redevelopment Code advances adopted 2040 Comprehensive Plan the goals and policies as set forth in Chapter 6 – Land Use and Chapter 7 – Housing by broadening the housing types in the Neighborhood Residential Zoning District. 16. Amendments to the Comprehensive Plan and Zoning Code regulations require a public hearing prior to action by the City Council. 17. If the zoning amendments were approved, the Developer would be required to submit a land use application that would be subject to the formal review process. Community Development Director Jagoe reviewed the options available to the Planning Commission for Planning Case 23-021 for Comprehensive Plan Amendments to Chapter 6, Zoning Code Amendment to Chapter 13, Section 1380 – TCAAP Redevelopment Code, and Rezonings. 1. Recommend Approval 2. Recommend Approval with Amendments 3. Recommend Denial 4. Table Robert Lux, President and CEO of Alatus, introduced himself to the Commission. He discussed the history he had with the City on this development going back to 2016. He explained at that time, the plan was to develop 1,460 housing units, along with industrial, hotel, retail and office space throughout the site. Since that time, there was conflict between the City and the County as to the affordability and density within the development. He stated back in 2016, the goal was to have 10% of the units at 80% median income. As time went on, it became obvious that 10% of the units at 80% AMI were not addressing a dire need for more affordable housing. He reported one of the ways to create more affordable housing would be to increase density in order to reduce overall cost. He explained the City and County went through a lawsuit process and this ended a year and a half ago. He noted the JDA was reinstituted in 2023 and earlier this week a ARDEN HILLS PLANNING COMMISSION – December 6, 2023 5 preliminary development agreement was approved by the JDA. His hope would be for the Planning Commission to approve the amendments to the Comprehensive Plan and TRC in order to allow the density within the project to be up to 1,960 units. He stated his next steps would then be to design the neighborhoods and to set the right size for the lots. He commented on how the need for housing was much greater than the need for office and industrial space. He described how he would work to make a diverse community that offered a variety of housing types for different age groups and family makeups. He was of the opinion the proposed Comp Plan and TRC amendments would meet the needs of the development. He stated his goal would be to have a groundbreaking in 2024. He thanked the Commission for their consideration and indicated he would be available for comments or questions. Chair Vijums opened the floor to Commissioner comments. Chair Vijums asked if there was a group that initiated updating the number of residential units from 1,460 to up to 500 additional residential units. Community Development Director Jagoe explained the JDA with Alatus prompted updating the number of units to up to 1,960 and Alatus brought this particular proposal to the JDA. Commissioner Weber thanked staff for the detailed staff report on this Planning Case. He commented on the executive summary of the AUAR and noted this AUAR was commissioned by the City. He explained the AUAR studied a range of housing units from 1,500 to 2,500 housing units and originally settled on a number lower than this. He stated he could not find any rationale for staying under the range that was commissioned within the AUAR. He anticipated one of the reasons for lowering the density may have been the concerns with traffic, especially at the County Road 96 intersection near North Heights Church. He understood this intersection had a D rating with 2,500 units and had a C rating with 1,500 units. He indicated the City would receive updated information on the intersection ratings when the AUAR was updated in 2024. He commented further on the high-density residential future land use for the North Heights Church property. He wondered how this development would further impact this intersection. Commissioner Blilie asked if the City had a plan in place for how the intersections would change, in terms of traffic flow. She questioned if there were any plans to smooth out the traffic flow. Community Development Director Jagoe reported at this time there were no plans in place to change the road design. She indicated the two access points would remain as previously planned, along with the location of the spine road. The engineering plans for the original design are about 60% complete. She stated alternative access points as part of the proposed residential design changes are not being considered. Commissioner Weber shared that the AUAR included a list of mitigation planned. Chair Vijums thanked Commissioner Weber for providing the Planning Commission with a summary statement from the AUAR. He stated many of these intersections were rated D or below. He explained at maximum peak, County Road 96 at North Heights Church was rated F. He stated this meant before the development even begins, with 1,460 units, the intersection had an F rating. He believed now the Commission had to look at traffic issues more in depth and had ARDEN HILLS PLANNING COMMISSION – December 6, 2023 6 to consider if there were other alternative routes, especially given the fact up to an additional 500 housing units were being added to the development. He questioned if access roads onto Highway 10 had been considered. Community Development Director Jagoe commented on the results from the AUAR and stated through mitigation measures that have been identified and the strategies that have been contemplated, specifically to the intersection at County Road 96 and North Heights, the rating for this intersection was a C. She understood that while 500 additional housing units were being added to the development, 300,000 square feet of commercial/flex office space was being removed. She reported the impacts of this change would be further vetted through an updated AUAR. Chair Vijums stated minor shifts may be made, but he was still concerned with the fact these intersections were currently had a rating of C, D or F before the project has even begun. He asked what other routes could be considered in order to make the Commission more comfortable with the traffic flow to and through this development. He was of the opinion the Commission did not have enough information on the traffic patterns and studies. He believed now was the time to address the traffic concerns or to try to alleviate the traffic concerns. Commissioner Weber indicated he supported the additional 500 housing units, as well as the removal of the flex office space. However, he was concerned about the southwest corner. He explained he lived along Highway 10 and it was very loud. He commented on how he opposed the North Heights Church development because they would have a difficult time mitigating the noise from Highway 10. He reported he would like to see a noise wall being paid for by the City and the County in order to buffer Highway 10 noise from the new housing. Commissioner Collins clarified the NR-3 and NR-4 designations were being revised to allow for the increased density. Community Development Director Jagoe reported this was the case. She commented further on the proposed changes for the NR-3 and NR-4 designations. Commissioner Collins questioned what the nature of the NR-4 designation was. He asked if a height restriction was in place for the NR-4 designation. Community Development Director Jagoe explained the NR-4 district would be guided by the Town Center regulations. She indicated the building heights that would be allowed are similar to TC-3 which would be four or five stories. Commissioner Collins asked staff for what development might look at the density proposed for NR-3 and NR-4. Community Development Director Jagoe explained a visualization of density was provided in the staff report. She reported these examples of existing Arden Hills neighborhoods with five units per acre or ten units per acre. She noted additional visuals were provided from New Brighton and Shoreview that depicted 20 to 50 units per acre, as well as the 50 to 75 units per acre. She commented on the Twin Lakes project that was recently completed in Roseville. ARDEN HILLS PLANNING COMMISSION – December 6, 2023 7 Commissioner Collins inquired if the proposed densities would be in character with what was in Arden Hills and its surrounding communities. Community Development Director Jagoe reported this was the case, stating the proposed density ranges were being seen in existing neighborhoods and adjacent communities. Commissioner Blilie asked if there would be affordable housing units at 30% AMI. Community Development Director Jagoe understood there would be affordable housing units at 30% AMI, but noted she did not have the breakdown as to how many. She explained further discussions would be held by the JDA in order to work through the level of affordability within the affordable housing units. Commissioner Blilie asked what was a “Big House,” one of the housing type examples provided by the Developer. Community Development Director Jagoe shared that a Big House is single-family housing with 16 units that are attached. Commissioner Wicklund explained he would be recusing himself from voting on this item. Commissioner Bjorklund asked what the average annual median income was for the residents in Arden Hills. Community Development Director Jagoe stated Met Council states that the area median income for a family of four is $125,000. She noted this was the number that would be used when considering AMI (area median income) and the affordability for housing units. Commissioner Bjorklund reported he visited all of the roadways and trails surrounding this project. He explained north of County Road I and 35W there was a large number of townhouses, quads and apartment style housing units right on the freeway. He anticipated this was how the southwest neighborhood would look. He commented on the huge amount of open space that would be located behind the new housing proposed within the southwest neighborhood. He believed this would offset some of the negatives. Commissioner Mitchell discussed how this proposal was taking an area that was designated commercial and backs up to two major highways and turns it into residential. She discussed how the EPA has concerns with air pollution issues that happen within 500 to 600 feet of a major highway. Community Development Director Jagoe reported this concern and discussions would continue to unfold between the JDA and the developer. She explained she could not speak to what was 600 feet from the boundary of the property. At this time, the Commission was being requested to guide the zoning and future land uses through the comprehensive plan. Commissioner Mitchell commented on what she learned through her research with the EPA. She explained the proposed comp plan changes would force a number of housing units to be within 600 feet of a major highway. She discussed the health concerns that arise for people living ARDEN HILLS PLANNING COMMISSION – December 6, 2023 8 close to major highways. She stated this was a real issue and research has shown that living with this kind of air pollution increases the risk of asthma, cardiovascular disease, impaired lung development in children, preterm and low birth weight infants, childhood, leukemia and premature death. She reported these were serious things. She explained when these parcels were guided for commercial or office space use, it meant adults would be working for several hours five days per week within a sealed office space. She expressed concern with the fact the City was now proposing to place a large number of residential units or starter homes on this corner. She feared how the air quality on these parcels would impact these future tenants. She recommended that all residential developments be setback at least 600 feet from all major highways or be moved away from the highways altogether. She suggested staff further study this concern before recommending a large housing development be located adjacent to a major highway. She believed everyone deserved safe housing, no matter their income level. Commissioner Bjorklund explained there was a housing development very similar to what the Developer provided as examples just north of this development and it was very successful. He encouraged the Commissioners to visit this development. Chair Vijums stated he understood the development in Shoreview was successful, but he believed the Planning Commission had to consider how to do what was best for this 427 acre site. He explained he was excited for what would happen within the TCAAP development and he was for it. He appreciated the fact the City had the opportunity to mitigate issues and address potential concerns prior to launching into the development. He asked staff, of the 500 additional units, how many of those would be affordable and what types of housing units will be made affordable. Community Development Director Jagoe reported Alatus has identified 20% of the units will be at 60% AMI. She stated at this time, there is not the specificity of which housing types will be affordable and that the JDA would continue to work through this in a final development agreement. Chair Vijums stated he would like more information on this when it becomes available. He questioned if there was an agreed upon metric for affordable housing previously. Community Development Director Jagoe stated she did not recall if the JDA had an agreed upon metric in place previous to 2018, but noted the 20% of units at 60% AMI metric has been created to address affordable housing within the proposed housing density at 1,960 units. Chair Vijums indicated he would like to see a comparison of the previous standards to the proposed standards. He believed this was key information for the Commission to have. He reported the Commission was being asked to memorialize something, without fully knowing what was being memorialized. He wanted to better understand where things were and what the project was moving to. In addition, he wanted to better understand who gets to make the decisions and who gets to approve it. Community Development Director Jagoe reported the City has stated metrics for affordability in the term sheet with the Developer in 2021/2022 which had a set number of affordable units as part of that agreement. She added that the City does not zone for affordability, but was guided by the comprehensive plan and one of the goals of the Met Council was that the City provide for ARDEN HILLS PLANNING COMMISSION – December 6, 2023 9 affordable housing. Through the efforts of the JDA, working with the developer, they were trying to get the metric to be consistent with the comprehensive plan. Chair Vijums stated that may be the case, but noted the metric was created in order to make the 500 additional units work from an affordability standpoint. He inquired if there was a specific number of affordable housing units the City was required to have from the Met Council. Community Development Director Jagoe explained there is a goal as stated by the Met Council and the comprehensive plan outlines different pathways the City has figured could be implemented to achieve this. She indicated the City was looking to the TCAAP redevelopment site to meet its affordable housing goals. Chair Vijums reported it was his recollection that the City’s affordability goals were met through the 1,460 plan. Community Development Director Jagoe stated under the 1,460 plan, she believed the City would have largely hit the Met Council goals. Chair Vijums clarified for the record the City was meeting its affordability standards with the Met Council within the 1,460 plan. He stated Arden Hills was already doing a very good job meeting its goals when it comes to affordable housing. He reported the 1,960 plan would create an entirely new metric for affordable housing. He asked if the new metric had to be agreed upon by the Commission. Community Development Director Jagoe reviewed the language within the comprehensive plan amendments and commented on the density capacity language. She reported this language was specific to the TCAAP site and would not apply to the entire City. She explained there was a goal stated by the Met Council of the number of affordable housing units the City needs to strive to obtain by 2040. She reported the City has identified TCAAP as being how the City would reach its affordable housing goals. This provision memorializes that through that increase in density to 1,960 the City is also going to ensure that 20% of the units were at 60% AMI or below. Chair Vijums stated if the plan would have remained at 1,460 the City would have still met its affordable housing goals with the Met Council. Community Development Director Jagoe stated if the terms agreed upon by the JDA had that language, there could be, but the JDA had not agreed to that. Chair Vijums questioned what the new average density per residential acre would be with the additional 500 units. Community Development Director Jagoe reported she did not have this information in front of her. Chair Vijums stated he was asking this line of questioning because the Commission was perhaps being asked to put more residential units into an area that might be overpopulated. He indicated this would cause strains on the community based on roads and other things. He stated ARDEN HILLS PLANNING COMMISSION – December 6, 2023 10 there may be concerns if this development moves to six or ten units per acre. He asked how many large multi-family apartment buildings were being added to the development. Community Development Director Jagoe stated the JDA and the developer have not worked out that breakdown of units. She explained the developer has tried to identify in the southwest area as being a potential location for multi-family residential units, but the renderings do not identify specific buildings at this point. Chair Vijums commented there were two designated areas proposed for additional density (NR- 3 and NR-4). He inquired how many residential units could be added based on the City’s current zoning definitions. He questioned why 500 was the number. Community Development Director Jagoe clarified for the Commission that under Attachment 1, the blue table was articulating how the City got to 1,460 and any variation would trigger an amendment to the TRC. She stated there was no scenario where the City could modify the ranges. She indicated the TRC has language that does provide for a greater range than what is being seen, but that could only be achieved by going before the Planning Commission and City Council. Chair Vijums stated he would like to understand what the development would look like if NR-3 and NR-4 were not changed and the development was allowed to come to fruition. Community Development Director Jagoe explained without doing any amendments, the density would remain at 1,460 as shown in the blue table. Commissioner Bjorklund reported after doing the math, the 1,460 plan would have approximately nine units per acre and the 1,960 plan would have 10 units per acre. Chair Vijums suggested the Commission take a look at the definitions for NR-3 and NR-4 to see if there was support for the changes to each district. Commissioner Bjorklund thanked staff for the visuals that were provided that showed the different densities within the neighborhoods. Commissioner Collins stated he lived in Arden Hills because of the schools. He appreciated the current focus on affordable housing within this development. He explained his gateway to get into the schools was to find affordable housing and that was multi-family housing. He reported he appreciated focus within NR-3 and NR-4 as they provided various pathways to home ownership. He stated multi-family serves a need and the proposed code amendment expands the opportunities for multi-family. He believed the proposed districts would not differ from what was occurring in communities surrounding Arden Hills. He reported he supported the proposed changes. Commissioner Weber explained the districts may not be different, but he did not believe this would be a typical development. He was of the opinion TCAAP would be unique because it was all inclusive. ARDEN HILLS PLANNING COMMISSION – December 6, 2023 11 Chair Vijums stated one of his concerns was that the Commission did not have all of the information. The Commission did not understand how many apartment buildings, luxury homes, single family or big houses would be constructed. He indicated this was concerning to him because he was trying to consider what this would look like. He explained he was torn with the NR-3 and NR-4 areas because he believed 500 units may be too big of an increase. He feared the density was getting too large and noted the traffic studies confirm there were problems with the surrounding intersections before even putting a spade in the ground. He stated if only one of the districts were changed, either NR-3 or NR-4, and the other one remained as is, this could assist with addressing the density and traffic concerns. He encouraged the Commission to consider leaving NR-3 as is and allowing NR-4 to be changed. Commissioner Bjorklund explained he would like to move along with the agenda and allow the public to speak for the public hearing. Chair Vijums reported he was making a proposal for the Commission to consider, leaving NR-3 as is and allowing NR-4 to be changed as proposed by staff. He stated this change would still provide the affordable housing numbers the City needs to achieve. Commissioner Collins indicated this would eliminate small multi-family units from NR-3. He wondered how eliminating the three to eight multi-family structures would address the density concerns. Chair Vijums stated this was the problem because the Commission did not have a high level of detailed information, but he believed this change would impact the density. Commissioner Weber commented the 1,960 was a maximum density level. He anticipated the County did not want to bury its new spine road in cars. He believed there would be moderation. He was of the opinion the density was needed and he did not support the idea of removing multi- family uses from NR-3. He did not believe the density would cause that much of a traffic issue, but rather the design process would ensure the site was not overpopulated. He explained he feared the Commission was encroaching on JDA responsibilities. He trusted that the JDA was well-staffed and he believed they have been doing a good job. He wanted to let the JDA do their job. Commissioner Collins explained he did not support taking multi-family out of the NR-3 district either. He understood there were valid concerns about traffic, but he believed the multi-family proposal was in line for proper City expansion. Chair Vijums opened the public hearing at 8:25 p.m. Chair Vijums invited anyone for or against the application to come forward and make comment. Chris Hughes, 3515 Snelling Avenue North, thanked the Commission for their candor and discussion. He commented on the report card for the streets noting this information was pre- COVID noting traffic patterns have changed since 2020. He reported the issues that were most concerning to the Commission were noise, pollution, air pollution and traffic. He believed it was great to have these concerns on the table, but noted the item before the Commission was to discuss zoning and comp plan amendments. He then read a prepared statement in full for the ARDEN HILLS PLANNING COMMISSION – December 6, 2023 12 record noting he supported rezoning to 1,960 because it demonstrates a commitment to a vibrant, forwarding thinking City. In addition, it will create additional affordable housing options for seniors, those in need of help, for families that wish to take advantage of the schools, and for folks that want to live and work in Arden Hills. Ed Dickinson¸ 3188 Asbury Avenue, explained there were two issues that have come together to make housing shortages occur. He stated there were too few housing units available and not enough housing was being built. He commented on a Star Tribune article that noted 2023 was on pace to be the slowest construction year, noting only 10,023 houses or apartment units were built, compared to 15,645 units that were built last year. He commented further on the Twin Cities housing market, noting Minnesota house hunters have a short supply and higher interest rates. He explained analysis of the 2020 census data found that the Minneapolis/St. Paul metro area had the worst housing shortage in the United States. He reported Arden Hills, with one of the largest metro area tracts of real estate in the country has the opportunity to address the dilemma that is facing many thousands of families and individuals, to have a decent place to live. He believed Arden Hills has a great plan to help make this dream happen. He appreciated the work that was being done by the Planning Commission and the JDA. He indicated he supported the proposed zoning changes. Kristine Poelzer, 1870 Indian Place, stated she built her home 45 years ago and she has remained in the community ever since. She encouraged the Commission, Council, JDA and the developer to keep in mind how vital housing was to a community. She explained her daughter has housing and she can afford it. However, her daughter-in-law has rental housing and she has been waiting for Rice Creek Commons for years and she continues to wait. She wants to build equity and buy something other than a mobile home. She believed it was important for the City to consider the differences between buying and renting. She stated when someone buys a property they build equity, while renting leads to more turnover. She encouraged the City to bring in non- profits that provides potential homeowners with workshops in order to properly prepare people to be homeowners. She believed the City had a wonderful opportunity through Rice Creek Commons, to be able to encourage local residents to learn more about what it will take to be a homeowner. She suggested the Arden Hills newsletter feature an article that defines what are the differences are between subsidized, affordable and market rate housing. Mary Henry, 3521 Ridgewood Court, stated Rice Creek Commons was something that was near and dear to her heart. She explained she has been wanting things to happen and this development had been stuck. She commented on how housing was a major part of the economy. She understood that while new housing numbers were down, the Twin Cities metro area was still doing better than other metropolitan areas. She discussed how this development would impact the metro-wide economy and stated she believed it made the most sense to develop housing on Rice Creek Commons, versus office space. She commented on how important it was to have enough people living within this development to support the future businesses. She reported she whole-heartedly supported the proposed zoning changes. Christy Jacob, 1492 Arden Place, explained every decade the Met Council gives the City a proposed amount of affordable housing units to build in order to address the housing needs of the City at large. She reported from 2010 to 2020 the Met Council requested 272 and Arden Hills built four. She explained the Met Council then scored each City (0 to 100) at the end of each decade and Arden Hills scored a 10. She stated Shoreview, New Brighton and Roseville were in ARDEN HILLS PLANNING COMMISSION – December 6, 2023 13 the high 70’s, 80’s and 90’s. She commented the City of Arden Hills was now tasked with constructing 373 affordable housing units for this decade. She indicated if the City were to keep the density at 1,460 with 10% affordability, the City would fail to meet its requirement yet again. She commented on how she believed the Rice Creek Commons development was an extraordinary opportunity for the City to build up to 1,960 units at 20% affordability. She urged the Commission to support the proposed zoning and comp plan changes as this development would be a tremendous opportunity for the entire community. She commended the Commission for addressing the issues of pollution and traffic, noting these issues were solvable. Gregg Larson, 3377 North Snelling Avenue, stated the Planning Commission would be making a very important decision tonight. He reported his involvement with this issue goes back to 1995 when he was sitting on the Planning Commission. He discussed the history of the TCAAP site, noting for the last six years there has been stalemate and litigation. He indicated the City was unwilling to compromise and the County was unwilling to proceed without an increase over 1,460 units. He reported the 2022 election brought a new majority to the City Council that was committed to moving this project forward. He commented on how progress was occurring, the JDA was meeting again and compromise was reached on a new housing number of 1,960. In addition, the JDA and developer reached a term sheet. He explained the decision being made by the Planning Commission was the next step. He indicated the proposed zoning changes would reclassify some portions of the property in order to add housing density. He stated in listening to the discussion of the Commission he feared that some Commissioners were seeking details that were just not available at this time. He reported a base was trying to be established for the developer, City and County in order to move this project forward. He stated the 1,960 units would be a ceiling or maximum. He indicated a lot of things could change over the next 15 to 20 years as this site develops. He urged the Commission to positively contribute to the change occurring in the community by supporting the proposed rezoning and zoning code amendments. Lynn Diaz, 1143 Ingerson Road, stated she supported the increased density. She believed it made economic and environmental sense. She noted this density would allow for more affordable housing along with different types of housing. She hoped there would be an effort to provide housing that was lower than 60% AMI, which was especially needed. She wanted to see people who worked in Arden Hills to be able to live in Arden Hills. She supported the project having affordable housing that was for rent or for purchase. She supported the development being all electric as this was better for the environment. She noted there was a demand for walkable neighborhoods and commented on how a higher density would assist with more transportation options. Kathy Sukke, 1286 Karth Lake Circle, stated she had her first child a block from Harlem. She explained she understood density. She commented on how this development will impact those residents who live in the northern part of Arden Hills the most. She explained northern Arden Hills was diverse with Arden Manor, apartments, townhouses, and single-family homes. She stated northern Arden Hills currently had 1,435 units with 3,730 residents. She estimated that the proposed 1,960 units would put an additional 5,100 residents in northern Arden Hills. She stated this raises the population of Arden Hills by 136%. She requested this not be done. She discussed how the housing within the development would be placed on 192 acres or 30% of a square mile. She expressed concern with the fact Arden Hills would have more people per square mile than Minneapolis or St. Paul. She questioned why the City would pursue this. She feared the City was pursuing a distorted density simply for Ramsey County or the Met Council. She agreed with ARDEN HILLS PLANNING COMMISSION – December 6, 2023 14 Commission Mitchell that it was a problem to place housing adjacent to Highway 10 and County Road 96. She discussed how the development only had two access points which would lead to traffic concerns. She did not believe this project was utopian progress, but rather would distort a suburb for the sake of density goals from outside our borders that were inflicted on the City by a hostile takeover of the City the slate, three of four who were elected. She encouraged the Commission to slow down and to review the traffic study, AUAR and financials once they were available before making a density decision. She believed density should not be decided before these things were done. Donna Wiemann, 1406 Arden View Drive, stated at the November 1 TCAAP community engagement meeting there were many varied concerns, reactions and questions. She noted a summary of the comments received were submitted to the JDA on Monday, December 4. Since that time, nothing has changed. Apparently, what the residents were saying on the surveys or the questions that were raised did not make any difference to the proposal being considered by the Commission. She reported the Commission was being asked to change the comp plan without many questions being answered. She stated traffic was a major concern and a traffic study has not been completed. Another concern was how the schools will be impacted, and the City does not know. She asked how many more police officers or firefighters will be required to keep the community safe. She questioned how much more residents will have to pay for utilities and streets before property owners within TCAAP begin paying their fare share. She noted the preliminary agreement that was signed by the developer and JDA calls for a minimum number of units to be affordable (20% of the units at 60% AMI). She stated this means hundreds of units will be at a minimum affordable to renters. She questioned who would decide if this minimum number could be increased. She understood Ramsey County needs 15,000 deeply affordable units (units affordable at 30% AMI) we don’t know what that means to TCAAP. She reported when it comes to subsidies for these very affordable units, it typically comes from TIF, which would have to be funded by the City. Lastly, she noted the TCAAP vision included parcels that were to be developed for commercial, industrial and retail. She stated this was included for economic vitality and to create good paying jobs. She commented on how removing 30 acres from the commercial/retail space of the development would impact jobs. She suggested the City speak with local businesses to see if they are interested in moving to Arden Hills. She was of the opinion good paying jobs were just as important as housing. She urged the Commission to hold off from taking action on this item until the Commission had more information. Sherrie Marcy, 1460 Arden View Drive, stated she was encouraged by what the City was doing and commented on how important it was for people to have homes. She explained she appreciated the work the City has put into this project and urged the Commission to support the additional housing density. The Planning Commission received at the dais copies of public comments submitted in advance of the meeting from the following individuals: Frances Thelen, 1222 Carlton Drive Katie Bach and Nate Cmiel, 1861 Highway 96 W. Keith Gilbert, no address provided Arnie and Shelly Hawkins, 1820 Chatham Avenue Lyle Salmela, 1480 Arden Vista Court Rich Straumann, 4380 Arden View Court Kate Olson, no address provided ARDEN HILLS PLANNING COMMISSION – December 6, 2023 15 Ann Wandzel, 1416 Indian Oaks Court There being no additional comment, Chair Vijums closed the public hearing at 9:01 p.m. Commissioner Mitchell indicated the question before the Commission was about zoning and zoning only. She questioned if her goal of addressing air quality should be addressed at a later date. Commissioner Weber stated he believed this was a valid concern that should be addressed. He noted he would be willing to consider amendments or suggestions, such as for a sound wall. Commissioner Mitchell recommended residential areas meet healthy noise levels and that residential development shall be designed to create healthy air quality within residential buildings. She commented on how air quality can be managed by proper air ventilation, filters and air exchangers. She was of the opinion developing housing this close to a highway was inviting trouble. She noted her goal was for the new housing to be healthy for the new residents. Chair Vijums shared language for an amendment stating a study should be completed for noise levels and air quality levels. Commissioner Weber stated the process of studying or further addressing this matter should be left to the JDA. He believed the Planning Commission could merely make the suggestion. Chair Vijums summarized the comments that were made by the Commission. He believed the Commission was moving towards tabling action on this item in order to allow staff to provide further information on alternative traffic routes. Commissioner Collins questioned why the Chair believed the item should be tabled. He explained he supported the item moving forward. Commissioner Weber asked if the Chair could ask the Commission about their views on tabling or approving the item. Chair Vijums asked the Commission about their views on approving the item as is. Commissioner Weber indicated he supported the item moving forward as well, with the amendments as proposed by Commissioner Mitchell. Commissioner Blilie reported she would support approval with amendments. Commissioner Bjorklund explained he would support the Planning Case being approved. Chair Vijums indicated he would like further information regarding alternative traffic routes that would help to alleviate the traffic issues reported with the AUAR. In addition, he would like to see new traffic ratings that take into consideration the additional 500 units and alternative traffic routes. ARDEN HILLS PLANNING COMMISSION – December 6, 2023 16 Community Development Director Jagoe asked if the Commission was attempting to add language to the TRC, or was the Commission asking the City Council to pass comments onto the JDA for their consideration. Commissioner Weber stated he believed the Commission was offering comments for the JDA to consider because this was the only time the Commission would be able to offer comments or suggestions on this topic. Chair Vijums concurred. Commissioner Collins urged the Commission to not get too expansive with its comments. He believed the sound and air quality concerns rise to the level of an amendment, but beyond that he did not see the need for further amendments. Commissioner Weber offered that a new AUAR would be completed in 2024. Chair Vijums stated he would like the JDA to pursue a traffic study and to consider alternative traffic routes within the development and for this information to come back to the Planning Commission. He offered that this could be added as a condition rather than an amendment to the proposed language. Community Development Director Jagoe stated a traffic study if it were made a condition of approval would be noted and provided the City Council with this guidance after speaking with the City Attorney on next steps. She stated she didn’t want to speak for the developer, but noted the developer was mindful of the comments the Planning Commission has made regarding noise. She commented further on how items would be reviewed and considered by the JDA. Commissioner Bjorklund asked if future housing developments would address air quality, noise, and traffic congestion during the development review process. Community Development Director Jagoe stated review of TCAAP development would by the JDA or Planning Commission and would be similar to other land use applications for development within the city. Discussion was had about how future developments in Rice Creek Commons would be reviewed and the role of the Planning Commission in the review of such developments. Commissioner Weber stated he would like to move approval of comp plan amendments and rezonings with no conditions. Commissioner Weber moved and Commissioner Bjorklund seconded a motion to recommend approval of Planning Case 23-021 for the Comprehensive Plan Amendments to Chapter 6, Zoning Code Amendment to Chapter 13, Section 1380 – TCAAP Redevelopment Code, and Rezoning of Southwest area from Flex Office to Neighborhood Residential Zoning Districts, based on the findings of fact and materials as presented in the December 6, 2023 report to the Planning Commission. ARDEN HILLS PLANNING COMMISSION – December 6, 2023 17 Chair Vijums asked how issues regarding noise, air quality and traffic would then be addressed or passed along to the Council and JDA. Community Development Director Jagoe stated a recommendation could be made if this was supported by the majority of the Planning Commission. She reported the City Council would review these minutes. Chair Vijums requested the group come together in order to make a decision regarding traffic studies, noise and air quality. Commissioner Collins discussed how the requirement for a traffic study may adversely impact the overall project moving forward. Community Development Director Jagoe stated that she was looking for language from the Planning Commission on what is to be moved forward. She explained an AUAR would be done and the County was in the process of completing a traffic study. She anticipated this study would be done shortly. Commissioner Weber stated he would not expect the traffic study to come back to the Planning Commission, but rather wanted to see the updated traffic study go to the JDA and be used to guide the design of the development. Councilmember Rousseau explained she could make the Council aware of the fact that the Planning Commission had significant concerns regarding noise and air pollution, along with concerns regarding traffic, with the Commission recommending a traffic study being completed. Commissioner Weber stated he was satisfied with the fact this report would be made to the City Council and the fact that the JDA Chair was in attendance at this meeting to report the same concerns to the JDA. Chair Vijums commented on the NR-3 and NR-4 definitions. He requested the Council review these definitions and the proposed metrics further in order to better understand the impacts of those numbers inside the overall development. Commissioner Collins indicated the Planning Commission had a motion and second on the floor. He requested the Chair hold a vote. Commissioner Bjorklund moved and Commissioner Collins seconded a motion to call the question. The motion carried 4-2 (Commissioner Mitchell and Chair Vijums opposed). (Commissioner Wicklund recused himself). The motion carried 4-2 (Commissioner Mitchell and Chair Vijums opposed). (Commissioner Wicklund recused himself). Chair Vijums recessed the Planning Commission meeting at 9:37 p.m. Chair Vijums reconvened the Planning Commission meeting at 9:43 p.m. ARDEN HILLS PLANNING COMMISSION – December 6, 2023 18 A. Planning Case 23-020; 3737 Lexington Avenue North and 1133 Grey Fox Road – Crew Carwash – Preliminary Plat, Master Planned Unit Development, Final Planned Unit Development, Conditional Use Permit, and Site Plan Review – Public Hearing Community Development Director Jagoe stated the Applicant has submitted a land use application for Preliminary Plat, Master Planned Unit Development, Final Planned Unit Development, Conditional Use Permit, and Site Plan Review, proposing to redevelop a 2.48-acre site located at 3737 Lexington Avenue N. and 1133 Grey Fox Road. The Subject Property is currently owned by STORE Master Funding III, LLC. The site is currently developed with a vacant industrial building and associated parking lot. The Applicant is proposing to demolish the existing building and redevelop the site. The Subject Property would be combined and function as a single entity with shared site operations as part of the Planned Unit Development (PUD) with the phased development of the buildings. The Applicant is proposing two separate one-story carwash tunnel buildings. The first building would be an approximate 5,800 square foot exterior drive-through carwash to be constructed upon approval. The second building is an approximate 5,300 square foot interior drive-through carwash that the Applicant plans to construct three (3) to five (5) years after their customer base is established. Community Development Director Jagoe explained this area of the City includes Red Fox and Grey Fox roads and is bounded by Lexington Avenue, Highway 51, Interstate 694, and the Canadian Pacific railway. A number of small and large businesses for a variety of retail, manufacturing, distribution, warehousing, and office uses are located in this area. This area was largely developed between the 1950s and 1970s, though the retail area along Lexington Avenue has had some new development and redevelopment in the last 15 years. This area is marked as an area of possible redevelopment in 2040. Staff commented further on the history of the subject property. Community Development Director Jagoe reviewed the surrounding area, the Plan Evaluation and provided the Findings of Fact for review: 1. The property located at 3737 Lexington Avenue N. and 1133 Grey Fox Road is designated for Commercial uses on the 2040 Comprehensive Plan. 2. New building construction or site modification identified requires the submittal of a Site Plan Review application prior to construction. 3. For proposals for new construction, redevelopment of a site, and significant modifications to existing sites a PUD is required. 4. The PUD process allows for flexibility within the City’s regulations through a negotiated process with a Developer. 5. The Applicant has proposed a Master and Final Planned Unit Development for a phased development consisting of two separate one-story carwash tunnel buildings, one approximate 5,800 square foot exterior drive-through carwash and one approximate 5,300 square foot interior drive-through carwash that will function as a single entity on the Subject Property. 6. The Applicant has proposed a phased development plan with Phase I referred to as the Exterior Carwash to be constructed following the land use approvals herein and Phase II referred to as the Interior Carwash to be constructed approximately three (3) to (5) years ARDEN HILLS PLANNING COMMISSION – December 6, 2023 19 later. 7. The Master and Final Planned Unit Development generally conforms to the requirements of the City Zoning Code and design standards. 8. Where the plan is not in conformance with the City Code, flexibility has been requested by the Applicant. 9. Flexibility through the PUD process has been requested in the following areas: landscaping, setbacks, building materials, transparency, lighting, pedestrian and bicycle circulation, drive-through facilities, and signage. 10. A public hearing for a Preliminary Plat, Master Planned Unit Development, Final Planned Unit Development, and Conditional Use Permit request is required before the request can be brought before the City Council. , : Community Development Director Jagoe reviewed the motion options available to the Planning Commission for Planning Case 23-020 for a Preliminary Plat, Master Planned Unit Development, Final Planned Unit Development Phase I, Conditional Use Permit, and Site Plan Review at 3737 Lexington Avenue N. and 1133 Grey Fox Road: 1. Recommend Approval with Conditions 1. The project shall be completed in accordance with the submitted plans as amended by the conditions of approval. Any significant changes to these plans, as determined by the City Planner, shall require review and approval by the Planning Commission and City Council. 2. The Master and Final Planned Unit Development approval for Phase I shall expire one year from the date of City Council approval unless a building permit has been requested or a time extension has been granted by the City Council. The City Council may extend the expiration date of such approval upon written application by the person to whom the approval was granted. 3. A violation of any condition set forth in the permit shall be a violation of this Code, and shall be cause for revocation of the permit. 4. A Master and Final PUD Development Agreement shall be prepared by the City Attorney and subject to City Council approval for Phase I of the Development for the exterior carwash. The Master and Final PUD Development Agreement shall be fully executed prior to the issuance of building permits. 5. The Applicant will be required to submit for PUD Final Plan approval of Phase II at the time of future development prior to the issuance of permits associated to construction of the interior carwash building. 6. The Applicant shall apply to the City for Final Plat review and approval within three (3) months of City Council approval of Preliminary Plat. 7. Prior to the issuance of a building permit, a landscape financial security equal to 125% of the cost of the landscaping to be installed on the site shall be submitted. The Applicant must submit a detailed cost estimate for the landscaping so staff can determine the final amount. Landscape financial security shall be held for two full growing seasons. For any landscaping that is not in accordance with the approved landscaping plan at the end of two growing seasons, the Developer shall replace the material to the satisfaction of the City before the guarantee is released. ARDEN HILLS PLANNING COMMISSION – December 6, 2023 20 Where this is not done, the City, at its sole discretion, may use the proceeds of the performance guarantee to accomplish performance. 8. A Grading and Erosion permit shall be obtained from the city’s Engineering Division prior to commencing any grading, land disturbance or utility activities. The Applicant shall be responsible for obtaining any permits necessary from other agencies, including but not limited to, MPCA, Rice Creek Watershed District, MnDOT and Ramsey County prior to the start of any site activities. 9. The final plans shall be subject to approval by the City Engineer, Building Official, and Fire Marshal prior to the issuance of a grading and erosion control permit. 10. Final grading, drainage, utility, and site plans shall be subject to approval by the Public Works Director, City Engineer, and City Planner prior to the issuance of a grading and erosion control permit or other development permits. 11. Upon completion of grading and utility work on the site, a grading as-built and utility as-built shall be provided to the City for review. 12. Heavy duty silt fence and adequate erosion control around the entire construction site shall be required and maintained by the Developer during construction to ensure that sediment and storm water does not leave the project site. 13. The Applicant shall be responsible for protecting the proposed on-site storm sewer infrastructure and components and any existing storm sewer from exposure to any and all stormwater runoff, sediments and debris during all construction activities. Temporary stormwater facilities shall be installed to protect the quality aspect of the proposed and existing stormwater facilities prior to and during construction activities. Maintenance of any and all temporary stormwater facilities shall be the responsibility of the Applicant. 14. A right-of-way permit shall be required for work performed within the City right- of-way. 15. All light poles, including base, shall be a maximum of 25 feet in height and shall be shoebox style, downward directed, with high-pressure sodium lamps or LED and flush lenses. 16. All rooftop or ground mounted mechanical equipment shall be hidden from view with the same materials used on the building in accordance with City Code requirements. 17. A separate sign permit shall be required for all signs on the site. 18. Any future trash enclosures shall utilize gates and be constructed on three sides using the same materials and patterns used on the building. Locations shall be approved by the Planning Department. 19. The Applicant shall be financially responsible for all applicable water and sanitary charges. Rates applied shall be memorialized in the Development Agreement. 20. All disturbed boulevards shall be restored with sod. All areas of the site, where practical, shall be sodded or seeded and maintained. The property owner shall mow and maintain all site boulevards to the curb line of the public streets. 21. The proposed structures shall conform to all other regulations in the City Code. 22. The Applicant shall provide a copy of the Stormwater Management Report and verification of Rice Creek Watershed approval prior to the approval of Development Agreement. 2. Recommend Approval as Submitted ARDEN HILLS PLANNING COMMISSION – December 6, 2023 21 3. Recommend Denial 4. Table Jake Steen, Crew Carwash representative, introduced himself to the Commission. He thanked staff for the thorough staff report and noted this project was being proposed for the PACE site. He explained he currently had 45 locations with four in Minnesota. He shared that Crew Carwash prides itself on having a clean site design with an efficient operation, noting washes took three to five minutes. He commented on the PUD flexibility requests for the canopy setback, glazing/building material requirements, drive thru access and for signage. He requested the spandrel glass be accepted for the southern elevation and noted that glazing would be added on the east elevation. He explained he was looking forward to locating the business in Arden Hills and stated he was 100% committed to cleaning up and developing this site. Chair Vijums opened the floor to Commissioner comments. Commissioner Bjorklund requested further information regarding the spandrel glass. Mr. Steen explained this was glass window that had a film on it that would not allow people to see through it. Commissioner Bjorklund stated he was concerned with the amount of signage on this site. Community Development Director Jagoe stated there was other auxiliary signage pictured that were not represented in the sign plan. She estimated there were eight signs on the site, but requested the Applicant confirm this. Mr. Steen explained he could sit down with staff to identify all of the signs on the site. Commissioner Mitchell questioned if the interior wash and exterior wash were completed within the same building and at the same time. Travis Smith, Crew Carwash representative, reported these were two separate cleanings that occurred on separate conveyor belts in different buildings. Further discussion ensued regarding how traffic would flow through the site. Commissioner Bjorklund reported he was very impressed by the level of detail that was provided by Crew Carwash. Commissioner Wicklund stated this was a different model for cars to navigate. He noted concerns about traffic on Grey Fox Road. He asked if cars could do an interior cleaning only. Mr. Smith explained vehicles had to do an exterior cleaning prior to completing an interior cleaning. Commissioner Wicklund asked when Crew Carwash saw its peak number of customers. ARDEN HILLS PLANNING COMMISSION – December 6, 2023 22 Mr. Smith stated this was dependent on weather, but anticipated this would occur on a Saturday afternoon when there would be 45 to 55 customers per hour. Commissioner Wicklund inquired how people were paying for this service. Mr. Smith reported the two left lanes were for non-members and the two right lanes were for members. Members would have a RFID tag in their window. Non-members are assisted by a customer service representative to complete payment. He estimated 40% of his customers were members. Commissioner Wicklund indicated his main concern with this project was queuing and that cars do not spill over onto Gray Fox Road. He requested the applicant work with staff on the east elevation for the interior building because this elevation would be visible from Lexington Avenue. Commissioner Weber asked staff if there has been an instance in which a single entrance has been allowed to be called two entrances because of a median. Community Development Director Jagoe stated she was uncertain. Commissioner Weber reported City Code requires access shall be two public streets from at least two points on the subject premises. He noted this site does not have two entrances or two exits. He commented on the two different proposals that have been brought before the Commission in the past two years, one for Aldi and two other businesses and the other was for Rocket Car Wash and two other businesses. He was of the opinion this project feels like a massive underutilization of this property. He noted that the buildings were too spread out. He recommended more businesses be considered within this development. Chair Vijums asked if this business model could move forward with only one building for both interior and exterior cleaning operations. Mr. Smith explained the interior and exterior cleaning were completely different operations and required two separate buildings. Commissioner Wicklund stated he appreciated the comment Commissioner Weber made regarding the entrance/exit. Commissioner Weber indicated he was also concerned with the amount of signage on the site. He requested the applicant work to reduce the amount of signage on the property. He noted he could support the proposed spandrel glass but reiterated that he did not support the single business on this property. He stated given the number of flexibilities that were being requested, he suggested action on this project be tabled for a month in order to allow some of the issues to be fixed. Mr. Smith commented that with how contaminated this site was, the businesses he has approached have not been interested. He explained the only issue he was having on the site was with the setback for the canopy. He anticipated all other flexibility requests could be worked out with staff. ARDEN HILLS PLANNING COMMISSION – December 6, 2023 23 Commissioner Weber asked if the applicant knew what contaminants were in the grounds. Mr. Smith reported a Phase I has been completed, but the seller will not allow a Phase II to be completed. He noted he has been working with a local environmental engineer who was familiar with the site. He explained testing would be completed if this project were approved by the City. He noted the groundwater would not be used from this site. Commissioner Weber thanked Mr. Smith for his comments. He stated he did not believe he would be able to support this project with only a single business on the property because it felt too spread out. He believed one half of the property was not being used. Mr. Smith discussed how Crew was requesting flexibility on the second building because this was a new business model that was being pursued three to five years in the future. Commissioner Wicklund clarified that the Planning Commission was not able to pick and choose businesses but rather was being asked to review the request before them. Commissioner Weber stated he understood this to be the case and noted he had nothing against Crew Carwash, but he felt the site was being underutilized. Commissioner Collins reported the Applicant was requesting flexibility on half of the standards within this PUD. He explained he was concerned with the access to this site and indicated he was also concerned with the visual of the structure. He stated he wasn’t saying no to this project, but he feared the Applicant was requesting too much flexibility. He questioned if this item should be tabled in order to allow the Applicant to revise the plans in order to reduce the flexibility requests. Commissioner Blilie stated it was not possible for the site to be uglier than it was right now. Commissioner Wicklund explained the Planning Commission advises the City Council on Planning Cases. He supported the item being approved, noting that the Commission was concerned with the egress/ingress to the site. He shared he would be open to tabling to allow the applicant to address some of the concerns though he believed the City Council had the knowledge to analyze this project for final approval. Chair Vijums anticipated many of the issues that have been raised could be addressed at this meeting. He stated he supported the spandrel glass because people didn’t need to see the car wash mechanics. He indicated the canopy was the only concern from the Applicant and he understood that this would not have an impact to the road itself. He understood there was all concrete and asphalt in this area and agreed this site was in need of redevelopment. He explained he supported the 18 proposed parking stalls and stated his only hang up with the property was with the signage. He asked how many other sign standard adjustments the City has approved in the past. Community Development Director Jagoe explained the City has had 12 sign standard adjustment requests in the past 20 years and the average request was for three times the permitted ARDEN HILLS PLANNING COMMISSION – December 6, 2023 24 amount in the district. She indicated there were five applicants in this same sign district that have been granted flexibility. Chair Vijums asked how the Commission wanted to proceed with the sign standard adjustment request. Commissioner Wicklund stated he did not have any concerns regarding the sign flexibility request. Commissioner Weber, Commissioner Blilie and Commissioner Bjorklund agreed. Chair Vijums also agreed, noting other sign standard adjustments have been granted by the City. He recommended that the business only be advertised on one building and not both. Mr. Smith stated he would like the buildings to be signed differently with one being Crew Car Wash and the other being Crew Interiors. Chair Vijums questioned if the Applicant has thought about how to gain another access point onto Lexington Avenue. Commissioner Weber reported the Applicant would not be able to get another access point approved by Ramsey County. Chair Vijums stated with only one access point, he would recommend this area be widened. Mr. Smith said they would consider widening the entrance. He explained he looked at using the alleyway as an access point, but the alleyway was not deemed a City street. Chair Vijums questioned if the Applicant had another car wash that was designed in a similar manner as this. Mr. Smith stated the Crew Carwash in Eden Prairie was very similar, except the parking was not in the middle. He explained there were other operations in Indiana that had both interior and exterior wash buildings. Chair Vijums stated it appears the Commission supported this item moving forward with an amendment to only have one wall sign along Lexington Avenue. He recommended the driveway curb cut wider. Commissioner Wicklund recommended Condition 23 read: The Applicant must work with City staff to confirm adequate egress. Commissioner Wicklund suggested Condition 17 be amended to read: The City approves one wall sign per street frontage. Community Development Director Jagoe explained the Applicant would be able to pick one sign for the east elevation. ARDEN HILLS PLANNING COMMISSION – December 6, 2023 25 Mr. Smith requested each business be allowed to have one sign that faces Lexington Avenue. He reported one building would say Crew Carwash and the other would say Crew Interior. Discussion was had about allowing for each building to have a wall sign. Commissioner Wicklund moved and Commissioner Blilie seconded a motion to recommend approval of Planning Case 23-020 for a Preliminary Plat, Master Planned Unit Development, Final Planned Unit Development Phase I, Conditional Use Permit, and Site Plan Review at 3737 Lexington Avenue North and 1133 Grey Fox Road, based on the findings of fact and the submitted plans, as amended by the conditions in the December 6, 2023 Report to the Planning Commission as amended adding Condition 23 to read: The applicant must work with City staff to confirm adequate egress. The motion carried 6-1 (Commissioner Weber opposed). Commissioner Bjorklund moved, seconded by Commissioner Weber, to reopen Planning Case 23-020. The motion carried unanimously (7-0). Chair Vijums opened the public hearing at 11:00 p.m. Chair Vijums invited anyone for or against the application to come forward and make comment. There being no comment, Chair Vijums closed the public hearing at 11:00 p.m. Commissioner Wicklund moved and Commissioner Blilie seconded a motion to recommend approval of Planning Case 23-020 for a Preliminary Plat, Master Planned Unit Development, Final Planned Unit Development Phase I, Conditional Use Permit, and Site Plan Review at 3737 Lexington Avenue North and 1133 Grey Fox Road, based on the findings of fact and the submitted plans, as amended by the conditions in the December 6, 2023 Report to the Planning Commission as amended adding Condition 23 to read: The applicant must work with City staff to confirm adequate egress. The motion carried 6-1 (Commissioner Weber opposed). UNFINISHED AND NEW BUSINESS Community Development Director Jagoe stated she would be polling the Planning Commission to see if they would be available to attend their next regular meeting on January 3, 2024. REPORTS A. Report from the City Council Councilmember Rousseau provided the Commission with an update from the City Council. She thanked the Commission for their thoughtful consideration of the two Planning Cases that were before the Planning Commission this evening. She explained the Council tabled action on the ground mounted solar ordinance at its last meeting. ARDEN HILLS PLANNING COMMISSION – December 6, 2023 26 B. Planning Commission Comments and Requests None. ADJOURN Chair Vijums moved, seconded by Commissioner Weber, to adjourn the December 6, 2023, Planning Commission Meeting at 11:05 p.m. The motion carried unanimously (7-0).