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HomeMy WebLinkAbout2024.11.18 CC MinutesMINUTES City Council Meeting City Hall Council Chambers Monday, November 18, 2024 7:00 p.m. Call to Order Mayor Weidt called the meeting to order at 7:00 p.m. Roll Call and Pledge of Allegiance COUNCIL PRESENT: Klein, Miron, Petryk, Strub, Weidt COUNCIL ABSENT: None OTHERS PRESENT: City Administrator Bryan Bear, City Attorney Dave Snyder, City Engineer Mark Erichson, Community Development Director Rachel Juba, Associate Planner Max Gort, City Clerk Michele Lindau Approval of Minutes for the November 4, 2024, City Council Meeting Petryk made motion, Klein seconded, to approve the minutes for the City Council meeting held on November 4, 2024, as presented. All Ayes. Motion carried. Approval Minutes for the November 12, 2024, Board of Canvass Meeting Klein made motion, Miron seconded, to approve the minutes for the Board of Canvass meeting held on November 12, 2024, as presented. All Ayes. Motion carried. Approval of Agenda Weidt made motion, Klein seconded, to approve the agenda as amended by adding the neighborhood meetings on November 26, 2024. All Ayes. Motion carried. Approval of Consent Agenda Klein made motion, Strub seconded, to approve the following Consent Agenda. 1. Approve Claims Roster 2. Approve Street Capital Improvement Plan (CIP) 3. Approval Resolution Amending Provisions of Deferral of Special Assessment for Be There, Inc. – Dee Davis 4. Approve Resolution Approving Variance for 12757 Homestead Drive North 5. Approve Resolution Approving Encroachment Agreement for 4803 163rd Street North All Ayes. Motion carried. Council Meeting Minutes for November 18, 2024 Page 2 of 5 Approve Claims Roster Adoption of the Consent Agenda approved the Claims Roster as presented. Approve Street Capital Improvement Plan (CIP) At the October 28th City Council work session, staff presented a 5-year Capital Improvements Plan for streets and trails. Specifically, staff reviewed the recent ratings of roadways and trails, the prioritization of the next 5-years of improvements, and costs associated with these improvements. Adoption of the Consent Agenda approved the 5-year Capital Improvements Plan as presented. Approval Resolution Amending Provisions of Deferral of Special Assessment for Be There, Inc. – Dee Davis At its October 3, 2011, meeting, Council approve a resolution to defer the special assessment on property owned by Dee Davis, which located in the southwest corner of Hugo, west of Everton Avenue. This was a vacant lot and eligible for deferment. Davis had requested the City remove the accrued interest to date on the assessment and that the property not be subject to further interest. Adoption of the Consent Agenda approved RESOLUTION 2024-55 AMENDING PROVISIONS OF DEFERRAL OF A SPECIAL ASSESSMENT PIN 31.031.21.34.0009 Approve Resolution Approving Variance for 12757 Homestead Drive North Jim and Laurie Stodola had requested a variance request to allow construction of a deck located 56 feet from the ordinary high-water level of Sunset Lake, where a structural setback of 100 feet is required by ordinance. The deck was proposed to be constructed in-line with the existing house. The Board considered the request at its Thursday, November 14, 2024, meeting and unanimously recommended approval. Adoption of the Consent Agenda approved RESOLUTION 2024-56 APPROVING A VARIANCE TO ALLOW CONSTRUCTION OF A DECK WITHIN THE SHORELAND SETBACK REQUIREMENTS OF SUNSET LAKE FOR THE PROPERTY LOCATED AT 12757 HOMESTEAD DRIVE NORTH. Approve Resolution Approving Encroachment Agreement for 4803 163rd Street North Capstone Homes had requested an encroachment agreement to construct a retaining wall within a drainage and utility easement on property located at 4803 163rd Street North. The Senior Engineering Technician had reviewed the location of the retaining wall and was comfortable with the request. Adoption of the Consent Agenda approved RESOLUTION 2024-57 APPROVING AN ENCROACHMENT AGREEMENT TO ALLOW CONSTRUCTION OF A RETAINING WALL WITHIN A DRAINAGE AND UTILITY EASEMENT ON THE PROPERTY LOCATED AT 4803 163RD STREET NORTH. Discussion on Cannabis Ordinance By enacting Minnesota Statutes 2023, Chapter 342, the Minnesota Legislature had provided a regulatory framework for the sale and manufacturing of cannabis and hemp products, the licensing of cannabis and hemp businesses, and establishes a State Agency known as the Office Council Meeting Minutes for November 18, 2024 Page 3 of 5 of Cannabis Management (OCM). Section 342.13 of the act allowed a local unit of government to adopt “reasonable restrictions on the time, place, and manner” of the operation of cannabis businesses. Associate Planner Max Gort explained that staff had begun to draft an ordinance relating to and regulating cannabis businesses within the City of Hugo, which would include definitions of cannabis businesses, a procedure for registering cannabis retailers within the city, zoning and land use designations for cannabis businesses, performance standards for cannabis businesses, and processes related to temporary cannabis events. Staff was seeking Council direction on a number of items within the draft ordinance, including proposed zoning, buffer requirements, proposed fees, and temporary cannabis events. The draft ordinance would be available for comment at a public hearing in December. Gort reviewed the different types of cannabis business and pointed out the nine that would need to have a specific place in the ordinance. Lower potency hemp was currently allowed under 2022 legislation. Microbusinesses and mezzobusinesses allow for multiple types of licenses and ways to distribute product. They would be comparable to microbreweries, but there was no process in Hugo City Code for microbreweries. The OMC would approve licenses and require a certificate of compliance from the local government. The Washington County Sheriff's Office would likely do the compliance checks, and the OCM would respond to complaints made by City on alleged violations. Gort presented a chart with fees based on limits set by state statute showing the initial fees and the renewal fees. The City would need to ensure businesses were in compliance when licenses are renewed. Gort showed zoning districts staff proposed for the different cannabis business types. State statute required the City to have at least one retail license per 12,000 residents. The City would need to register two licenses but could permit more. The workshop held in April indicated the Council wanted to keep it at two. State Statute also established limits for cultivation at up to 30,000 square feet indoors and up to two acres outdoors. Statute also included more security measures than for a normal Agricultural use, and it needed to be decided if cultivation should be allowed in the rural district. Signage was regulated by City Code, but additional sign requirements could be imposed for cannabis. State Statute allowed for buffers for up to 1,000 feet from school and 500 feet from businesses and areas frequented by minors. Gort presented a map showing the location of schools, churches, daycares and parks frequented by minors that showed parcels that would be inside the buffer allowed by statute. If the buffer were reduced to 300 feet, the same buffer in Hugo’s code for sexuality-oriented business, more parcels would be permitted to have retail or industrial cannabis businesses, but there were situations where neighboring proprieties in the same zoning would have different permissions based by proximity. Cannabis businesses would be required to have safeguards in place to ensure no access by minors, and impacts to neighboring properties could be addressed through performance standards. For those reasons, staff had recommended no buffering. Gort talked about cannabis events that must be allowed by State Statute, but the City could place restrictions on where and when. Staff was proposing no consumption be allowed on-site of cannabis business or City-owned properties and the time be limited to 10 a.m. – 10 p.m. Gort asked for questions and feedback from the Council. Council Meeting Minutes for November 18, 2024 Page 4 of 5 Weidt asked if the one license per 12,500 residents applied only to retail. Gort replied that it did. The City was required to allow the other types of cannabis businesses, but market demand and the zoning code could restrict where they could locate. Petryk had questions on OCM guidance, whether cannabis was considered an agricultural crop, if cannabis could spread to grow inadvertently, and how enforcement and driving under the influence would be handled. Gort replied that the OCM had a draft of rules and a guide for local governments that helped, but a lot was still unknown. Guidance from the county and others was that cannabis would not be considered the same as other agricultural products since it was more regulated. Some communities were restricting growing to industrial areas and other are allowing it in rural areas. Gort talked about the requirements for growing outdoors and said he understood the industry was inclined to grow it indoor, which would minimize the spread. Currently, the Sheriff’s Department was having discussions to address questions of enforcement. Miron talked about how the State preempted some of the City’s abilities, and he questioned whether other performance standards could still be met. Gort replied they would be subject to existing standards along with all other applicable performance standards. Strub talked about encouraging growers to do water reuse and the need to have performance standards requiring plans to mitigate odor if apparent in cultivation and manufacturing businesses. Gort talked about having no limit to the number and size of agricultural buildings on parcels 20 or more acres in size, but there was a building size limit in state statute. He said the OMC also allowed for cultivating and manufacturing businesses under the same roof. Miron commented that cultivators could also process, making impacts more significant. Klein added that it would not be much different than dairy farms that process and distribute. Strub talked about different types of buffers, such as TH61, which buffers the school from the Peloquin Industrial Park saying it would make no sense to create any other buffer that would eliminate an industrial park. Petryk asked about standards regarding consumption. Gort responded that State Statute dictates that cities could restrict consumption to private property or in places not accessible to the public. Retailers could not permit any on site consumption according to State Statute. Weidt indicated he did not have enough information on cannabis events to comment. Gort finished by informing the Council he would be giving the EDA this same presentation on November 19, the Ordinance Review Committee (ORC) would be reviewing it on Monday, and possibly hold the public hearing at the Planning Commission in December. Council Meeting Minutes for November 18, 2024 Page 5 of 5 Miron made motion, Klein seconded, to direct staff to schedule the public hearing to be held at the Planning Commission on December 12, 2024. All Ayes. Motion carried. Schedule Legislative Reception on Wednesday, November 20, 2024 City Administrator Bryan Bear informed Council the White Bear Area Chamber of Commerce was hosting their annual Legislative Reception on Wednesday, November 20th at Tria Restaurant in North Oaks beginning at 4:30 p.m. Miron made motion, Klein seconded, to schedule a meeting to attend the Legislative Reception. All Ayes. Motion carried. Schedule North Environmental Center Ribbon Cutting on Monday, December 2, 2024 City Administrator Bryan Bear informed Council Washington County had invited the Council to the ribbon cutting for the North Environmental Center on Monday, December 2, 2024, from 3- 4:30 p.m. Petryk made motion, Klein seconded, to schedule a meeting to attend the North Environmental Center Ribbon Cutting. All Ayes. Motion carried. Schedule Street Improvement Project Neighborhood Meetings on Tuesday, November 26, 2024 Strub added this to the agenda to schedule a meeting to attend the neighborhood meetings on Tuesday, November 26, 2024, to review the feasibility study for the Beaver Ponds Street Improvement Project at 6 p.m. and the 2025 Improvement Project at 7:15 p.m. Strub made motion, Klein seconded, to schedule a meeting to attend the neighborhood meetings on the street projects. All Ayes. Motion carried. Adjournment Klein made motion, Strub seconded, to adjourn at 7:54 p.m. All Ayes. Motion carried. Respectfully Submitted, Michele Lindau, City Clerk