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City Council Regular Meeting Minutes August 12, 2025 Page 4 1 discussions, and various work session reviews over the past several months. The ordinance is 2 written to accomplish the following consensus elements from those prior discussions: 3 . Create better definitions for residential dwelling uses (in both the Zoning and the Rental 4 Housing chapters). 5 a Specify the prohibition of single-family detached residential dwellings in St. Anthony 6 Village in the various zoning districts. 7 • Create a limit on the number of rental dwelling licenses that can be held by any 8 individual or business organization. This clause requires applicants to disclose other 9 rental dwellings in the City in which they hold an ownership interest and limits their 10 maximum licenses to four. 11 • Establish a limit of single-family detached licenses in the City overall, setting that limit at 12 80 (approximately 4% of the existing single-family housing supply), and further 13 establishing a limit for each segment of the City as defined in the ordinance — the limit 14 for any one Subarea also being approximately 4%. Per prior discussion, a fixed number is 15 used, rather than a percentage, for ease of administration. Rental single-family units total 16 58 per current records. 17 • Establish an Exception clause which permits the City staff to issue rental licenses over 18 the prescribed limits where a hardship situation is found to exist. The clause lists 19 examples such as "military deployment, physical or health issue, temporary business or 20 study leave, or similar events". 21 22 Staff recommends approval of the first reading of Ordinance No. 2025-04 if drafts are found to 23 accurately reflect the Council's direction. 24 25 Mayor Webster asked how the State of Minnesota views short-term rentals. Mr. Grittman stated 26 the MN Department of Health includes vacation rentals the same as motel licensing, as they are 27 required to have a State motel license and listed on the State's website as a transient motel. The 28 area of concern for communities is for homes not properly maintained or not compatible with 29 single-family neighborhoods. They are present in almost every community in one form or 30 another. 31 32 Councilmember Jenson stated he has a concern about exceptions and asked how City Staff can 33 say yes or no to an exception. He fears exceptions would be a slippery slope. He would be in 34 favor of removing the exception category from the ordinance. 35 36 Mayor Webster noted in looking at four zones within the City, if the maximum number of rentals 37 meets capacity and another wants to have a rental, they could request an exception. 38 39 Councilmember Jenson stated there is capacity before the maximum is reached. If someone 40 needs an exception, it would most likely be for more than 30 days, and then would qualify for 41 long-term rental. 42 43 Councilmember Elnagdy stated that it is difficult to create laws that would solve that problem. 44 She would like the Council to continue discussing short-term rentals where the owner occupies 45 or lives adjacent. She fears the City faces a legal challenge if existing short-term rentals are 46 forced to stop renting.