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Minneapolis City Planning Department Report Text Amendment Background: For the purpose of this amendment, the Planning Department is referring to these units as "accessory dwellings". The Accessory (AD) Overlay is a proposed text amendment that would permit the establishment of an accessory dwelling on a single zoning lot where a principal residential structure exists. Any person with a legal or equitable interest in property located within the established boundaries may file a conditional use permit (please see attached proposed ordinance language). The AD Overlay is intended to replace the NP Overlay adopted in May of 200 1 by City Council. The City Council took action on July 12, 2002 to refer the ordinance to staff to develop language. This item was introduced at the Planning Commission meeting on August 5, 2002, with the intent to receive public testimony. A few interested stakeholders provided testimony. All registered neighborhood groups received notice of the public hearing. PURPOSE FOR THE AMENDMENT What is the reason for the amendment? Purpose as Presented to the Planning Department in 2001 for draft of the NP Overlay: Since the introduction of this concept to the Planning Department, the purpose was multi-faceted (the NP Overlay text amendment report dated April 30, 2001 is available upon request). The Planning Department originally reviewed and analyzed this with the main purpose as providing affordable housing. According to staff conversations with previous Council Members and Ventura Village stakeholders, the overlay was intended as a means of creating affordable housing as well as other goals outlined in a program as described below. Purpose as Presented by Ventura Village Stakeholders in 2001: Ventura Village developed a "Carriage House" program as a mechanism for creating a new kind of affordable housing. According to a press release, Ventura Village wants to create more affordable housing by making affordable homeownership and the "carriage house" program the highest priority in its development program. The program guidelines indicate that the goal is to increase the residential density by accomplishing the following: . Create home ownership opportunities. . Increase the viability of home ownership through the provision of rental income. . Increase the supply of rental housing that is owned by individual Ventura Village resident property owners. Purpose as Presented by Public Testimony in 2001: The following are excerpts of testimony received at public hearings in March and April of 2001 regarding the purpose of this overlay: . Increase the number of dwelling units to provide more housing for people who are now crowded into the area . To bring in development money to improve the neighborhood . Will be part of the solution to the housing shortage because they will not require heavy subsidies . Small units for those not needing larger apartments Page 2