City Council Workshop

AGENDA City Council Workshop July 28, 2020 Council Chambers 5 PM CARES Act 6 PM Proposed Code Amendments: Accessory Apartments (Chapter 25 – Zoning) No Parking on 40th Street (Chapter 12 – Motor Vehicles and Traffic) Tree Board (Chapter 22 – Trees) 6:30 PM Council Topics 6:45 PM Adjourn for Regular Meeting  1 COUNCIL MEMORANDUM To: Honorable Mayor and City Council From: Christina M. Volkers, City Administrator Date: July 28, 2020 Subject: CARES Act Funding Alternatives Background The federal government has provided funding to address the COVID-19 pandemic through the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Of the $2 trillion in economic relief provided by the Act, $150 billion was allocated to the Coronavirus Relief Fund (CRF) to be used by state and local governments for relief efforts and programs. While direct funding was provided only to the State of Minnesota and to Hennepin and Ramsey counties within Minnesota, much of the state funds were reallocated to the remaining counties, cities, and townships. The amount provided to each jurisdiction is based on population and Oakdale will receive $2.13 million from CRF. City staff have already certified that Oakdale’s eligibility and funds are expected by the end of the month. Oakdale may use the funds to pay for the many expenses incurred by the City due to the COVID-19 response and/or to provide assistance to those in the community. Regardless of the ultimate recipient, CARES Act funds may only be used by the City if they meet the following guidelines: 1) Costs must be necessary expenditures incurred due to the public health emergency with respect to COVID-19. 2) Costs must not have been accounted for in any budget approved as of March 27, 2020 (for Oakdale, the 2020 budget). 3) Costs must be incurred during the period commencing March 1, 2020 and ending on November 15, 2020. In order to qualify, any expenditures must fall into one of the following categories: 1) Medical 2) Public health 3) Personnel costs and benefits 4) Public health measures 5) Economic support 6) Other While the eligible expenses are very broad, there are several items that have been specifically identified as ineligible: 1) Replacement of lost revenue, including property tax relief. 2) Payroll or benefit expenses for employees whose work duties are not substantially dedicated to mitigating or responding to the COVID-19 pandemic. 3) Reimbursement to donors for donated items or services. 4) Workforce bonuses other than hazard pay or overtime. 5) Severance pay or legal settlements.  2 6) Damages covered by insurance. 7) Per capita payments to residents without an assessment of individual need. The dollars must be designed/spent by November 15, 2020 or they revert to Washington County. Staff recommend that the City disperse the CARES Act funds as follows: Priority One – Reimbursement of allowable City expenses Priority Two – Non-profit financial assistance 1 • Christian Cupboard Emergency Food Shelf • Local hospital assistance – Woodwinds and St. Johns Priority Three – Business Financial Assistance 2 • Business Stabilization Grant Program • Previously approved COVID Business Recovery Loan Program 3 City Expenses At this time, Oakdale has incurred an estimated $75,000 in expenses. The purchases and expenditures are just a start of the expected needs, and have related solely to the closure of city facilities (including parks and ballfields), initial personal protective equipment (PPE) and sanitization supplies, minor technology modifications, and some initial facility upgrades to create barriers between staff and the public. Additionally, approximately $2.4M in public safety personnel 4 costs and $80,000 in lost staff hours from the period of stay-at-home have already been incurred. Staff are still identifying modifications and/or upgrades to facilities to continue to minimize contact between people and the need to touch items throughout the facilities (example – touchless bathroom fixtures, touchless door openers, water bottle fillers for all water fountains, etc.). Additionally, staff continues to order sanitization/disinfecting products/equipment, PPE, and several technology-related items that would greatly increase staff efficiency in the event stay-at-home periods and social distancing continues for an increasingly extended period of time. A categorized estimate will be provided to the Council prior to the work session. 1 If there are remaining residual CARES Act funds after full, allowable City expense reimbursement, further evaluation of possible allocation to non-profits is recommended. 2 It is important to note that Washington County CDA has a program with CARES Act funds being designated to local businesses. 3 Approved by City Council in May using Seed Fund monies. 4 According to the Department of Treasury’s guidance on the CARES Act funding, payroll expenses for public safety employees whose services are substantially dedicated to mitigating or responding to the COVID-19 public health emergency are an eligible use for the funds. As a matter of administrative convenience, local governments may presume that all payroll costs for those employees (including wages and benefits) are eligible, so long as the wages are incurred during the time period previously outlined.  3 Washington County Programs Washington County is offering several relief grant programs that will likely benefit Oakdale residents and businesses. All grantees must use the funds in accordance with federal standards and are planned to be awarded as follows: Grant Program County Estimated Spending Small Business Assistance $10,000,000 Renter Assistance $ 3,000,000 Mortgage Assistance $ 1,000,000 Safe Housing, Shelter Assistance $ 750,000 Basic Needs, Child Care Assistance $ 500,000 Washington County plans to use the remainder of their $31M allocation (approximately $15M) for direct county expenses including technology upgrades for telework, business operations, and elections; staffing costs; equipment and facility upgrades; and public service modifications including Wi-Fi upgrades throughout the county to benefit those that may not have in-home Wi-Fi. As part of the Minnesota CARES Act, counties are required to spend at least 10% of their allocated funds for direct relief to individuals or businesses. Non-Profits Financial Assistance Christian Cupboard Emergency Food Shelf (CCEFS) The Treasury Department allows CRF funds to be used to assist individuals and families directly impacted by a loss of income due to the COVID-19 pandemic. Examples of eligible uses include providing assistance to pay overdue rent or mortgage payments to prevent eviction, foreclosure and homelessness; funerals and other emergency individual needs. Summarized below are the main points of the BSG program. CCEFS requests financial support to increase their capacity to serve individuals and families directly impacted by a loss of income due to the COVID-19 pandemic .The loss of income makes it difficult to afford sufficient nutritious food. Between June 2019 and June 2020, CCEFS household visits to the food shelf increased by 3,238 or 214%, and the food distributed increased by 124,899 lbs. or 112%. Of the 16,676 individuals served in June 2020, 6,598 (40%) were children, 8,026 (48%) were adults, and 2,052 (12%) were seniors. Since January 1, 2020, the food shelf has served approximately 1,270 households from the 55128 zip code. This includes Oakdale, Landfall, and Pine Springs. CCEFS through their Executive Director is requesting between $61,000 and $89,000, and include the following: • Refrigerated Truck $25,000 to $40,000 • Food $20,000 to $25,000 • Refrigerated Trailer $6,000 to $8,000 • Program Staffing $5,000 to $8,000 • COVID Supplies (signage, PPE, sanitizer) $5,000 to $8,000  4 This assistance would allow CCEFS to serve up to an additional 3,238 visits by individuals and families and provide up to 124,889 lbs. of food per month through the end of 2020. Please find the attached memo from Jessica Francis, CCEFS Executive Director, for a more detailed request. Local Hospital Grants Fairview Hospitals met with me to make a formal request for assistance. Oakdale’s residents utilize St. Johns in Maplewood and Woodwinds in Woodbury to a very high percentage; both are part of the Fairview Hospital system. Besides significant lost revenue, Fairview has experienced significant expenses related to COVID-19. Fairview is making the same request of many cities and the City of Edina has already committed some of their CARES Act allocation to Fairview Hospitals. A letter of explanation and request for financial assistance from CARES Act monies will be provided to the Council prior to the work session. Business Financial Assistance The City of Oakdale’s Community Development Department offers the following spending options for the Council to consider are: Business Stabilization Grant (BSG) Program The Treasury Department allows CRF funds to be used to assist small business to reimburse the costs of business interruption caused by required closures, voluntary business closures to promote social distancing, and/or effects of decreased consumer demand. Summarized below are the main points of the BSG program. BSG Program has a direct relationship to the 2040 Comprehensive Plan: Goal 1: Living wage jobs shall be maintained and increased to provide employment opportunities and a continually improving quality of life for all residents. Goal 2: The local economic development environment shall provide business and labor with the supports necessary to be successful and ensure continued employment opportunities for all residents. BSG Program goals include (1) create and/or retain jobs, (2) maintain and increase the tax base, (3) retain existing business, and (4) protect the health and safety of business’s employees and customers. Any Oakdale business would be eligible. Priority businesses are those involuntarily closed by the Governor’s executive order. This reflects the priority the Council established when it approved the COVID Business Recovery Loan (CBRL) program in May, 2020. It is proposed that grant assistance would be up to $10,000. Priority businesses shall be eligible for up to $15,000. All expenses must meet federal and state CARES Act guidelines and rules. Examples of potential eligible expenses include operating expenses such as rent/mortgage payments, phone, private utility payments, licenses, marketing, insurance, professional services, payroll excluding payroll covered by the Paycheck Protection Program or unemployment insurance, and COVID Preparation plan expenses. Again, all expenses will be subject to audit and must meet and federal and state guidelines and rules.  5 It is estimated that potentially 70-100 business could be served if $1,000,000 was allocated for this purpose. Oakdale has an estimated 600 – 650 local businesses. It is estimated that there are 60 priority businesses. COVID Recovery Business Loan Program (CRBL) In May, 2020, the Oakdale City Council approved this program using Seed Fund monies. Under this program, businesses in Oakdale that were subject to closure due to Governor Walz’s Executive Orders 20-04 and 20-08, employ no more than 75 people, and are in good standing with state and local licensing and taxing jurisdictions were eligible to receive up to a $2,000 interest free loan, to be paid back over a period of three years. Appropriate expenditures for this program could include items like paid sick time for workers, physical controls to promote social distancing, hygienic and sanitation supplies, technology to promote online sales, and many other materials and supplies to enable a business to reopen, with the exception of payroll and property taxes. To date, one Oakdale business has taken advantage of this program. Additional Community Grant Opportunities Home Stabilization Grant (HSG) Program The Treasury Department allows CRF funds to be used to assist individuals and families directly impacted by a loss of income due to the COVID-19 public health emergency. Examples of eligible uses include providing assistance to pay overdue rent or mortgage payments to prevent eviction, foreclosure and homelessness, funerals, and other emergency individual needs. Summarized below are the main points of the HSG program. HSG Program Relationship to the 2040 Comprehensive Plan: Goal 1: All people regardless of age, income, family status, ability, race or ethnicity, shall have realizable choices and access to a safe, stable and affordable home. HSG Program goal is to ensure the resident(s) retains their home avoiding eviction and homelessness. Proposed eligibility would include households earning at or below 115% of area median income. It is proposed that grant assistance up to $360,000 include individual household grants up to $4,800 for past due and stabilization rent ($1,200 mo. rent x 4 months). The amount of assistance is based upon Oakdale rents and the number of months of assistance a household may require. The average rent for a 3-bedroom is $1,200. Through an executive order, the State established a moratorium on evictions in March that continues to the present. If a household experienced job loss or a reduction in hours beginning in March and has been unable to pay rent for April, May, June and July this would result in four months of needed assistance of $4,800. It is estimated a possible 75 Oakdale households could be served if $360,000 was allocated for this purpose. It is estimated there are 2,865 renter households in Oakdale. A survey of rental properties by the Minnesota Multi Housing Association in June indicated that 8% to 12% renters did not pay rent. A significant contributing factor for nonpayment of rent is job loss or a reduction in work hours. This equates to between 229 and 344 rental households in Oakdale. Continued inability to pay rent will lead to eviction and homelessness. Historically in Oakdale, during challenging economic times, the number of evictions has ranged between 75 and 100 per year. The proposed number of households to be served is 75, which is at the lower end of the estimated number of evictions likely to occur.  6 Discussion This workshop is designed for discussion with the City Council. While no specific actions will be taken, staff is seeking general direction based on the information provided above. It is important to note that if EVERY recipient of the funds must follow federal guidelines. Specifically, if Oakdale distributes funds to residents, businesses, or non-profits in the community, city staff are responsible for ensuring that the funds are used appropriately. The City will be held liable for any misuse of distributed funds, in addition to being required to pay back any misused funds to the federal government. Further, in order to best utilize the funds, it is recommended that each recipient certify they have not and will not receive funds from other entities for the same purpose. It is also important to note that Washington County is providing several grant programs, and Oakdale could potentially provide some relief to CCEFS, healthcare providers, local businesses or non-profits, and/or residents of Oakdale. Staff would be responsible for verifying that any grantees use the funds as outlined by federal guidance. This discussion item is designed as a check-in with the City Council. No specific actions will be taken at this time, so staff is seeking general direction from Council in order to fully create a plan for the CRF monies. Staff does recommend that the highest priority be given to the reimbursement of allowable City expenses, followed by non-profit and business assistance as outlined above.  COUNCIL MEMORANDUM To: Honorable Mayor and City Council From: Christina M. Volkers, City Administrator Date: July 28, 2020 Subject: CARES Act Funding (CRF) Alternatives, Supplemental This Memorandum is intended to provide supplemental information to my original memorandum on this topic for discussion at the Council Workshop on July 28, 2020. The following is an outline of both incurred eligible reimbursable costs, with preliminary cost estimates on additional recommended and/or anticipated expenditures. Staff is still working to obtain full quotes on many items, as many vendors and contractors are inundated with similar requests from many other employers. These figures will continue to be adjusted as services and products continue to become available. 1) Personnel Cost Estimate – $4.6M to $6.5M One of the three main guidelines of the CARES Act funds is that “costs must not have been accounted for in the budget most recently approved as of March 27, 2020”. Subsequent to the adoption of the CARES Act, guidance from the U.S. Treasury Department notes that “a cost was not accounted for in the most recently approved budget if the cost is for a substantially different use from any expected use of funds in such a line item, allotment, or allocation”. The July 8 FAQ from Treasury notes that “costs incurred for a ‘substantially different use’ include, but are not necessarily limited to, costs of personnel and services that were budgeted for in the most recently approved budget but which, due entirely to the COVID-19 public health emergency, have been diverted to substantially different functions.” The statements above indicate that personnel costs are eligible for reimbursement if staff budgeted in 2020 are spending time on substantially different functions. One area that has been specifically outlined is public safety, and for Oakdale that includes Police and Fire. Per Treasury Department guidance, those personnel are presumed to be largely dedicated to COVID-19 response and/or are performing substantially different job duties, so as a matter of administrative convenience, all wages and benefits may be included. Additionally, other staff that have been performing substantially different roles may be counted as well along with time away from work causing a loss in productivity (stay-at- home, furlough, etc.). We are only partially through the year and have been fortunate that we do not have any long-term absences to-date, so there are many unknowns in this category. On average, Oakdale’s base monthly public safety personnel costs, including both police and fire personnel, are approximately $500,000 each month, so we would anticipate spending almost $4.5M over the course of the CRF eligibility period. Additionally, we spent approximately $80,000 on staff time due to the stay-at-home period. One particular challenge is to estimate the usage rates on the paid sick leave and/or paid expanded family and medical leave as required by the Families First Coronavirus Response Act (FFCRA). Current staff estimates are that if 50% of employees utilize the paid sick leave (80 hours) we would incur $175,000 over the course of this year, and if 50% of employees were to utilize the expanded family and medical leave (two-thirds pay for 12 weeks) then we would incur $700,000 over the course of the 2020 calendar year. We have also incurred an estimated $10,000 in unemployment expenses to date relating to COVID-19, and will likely have significant workers compensation related costs, as we have a $2,500 deductible per 1  occurrence, before the year is finished. Further, we fully expect our rates for workers compensation coverage to increase significantly in 2021 and beyond. Key items in this category include: - Paid sick leave and/or expanded paid family leave as required by the FFCRA - Unemployment insurance payments and workers compensation deductibles - Public safety personnel costs, which include wages and benefits for police and fire personnel - Lost productivity and/or substantially different work assignments - Increased overtime to account for sick or extended leave time 2) Workstation and Facility Safety Measures Estimate– $1M to $1.25M There are several minor improvements that have been made at this point, largely in response to the reopening of city facilities. There are still many more essential upgrades that should take place in order to better protect staff and the general public from the threat of exposure. Many other employers are working to accomplish similar protection for their employees, resulting in contractors that are so inundated with work that many are unable to quote services. Those that are able to provide quotes are struggling to obtain the products necessary, so any upgrades will continue to be a work in progress. Staff is still working diligently to obtain quotes for these services, so this is a best estimate based on what has been obtained to this point. Costs in this category include: - Touchless sinks, soap dispensers, toilets, and door openers for bathrooms. At least one set each will be provided in each bathroom in city facilities to allow the choice of no-touch - Touchless water bottle fillers at all city owned drinking fountains - Glass partitions, and other workspace modifications in order to minimize face-to-face contact - Physical barriers including signage, stanchions, floor stickers, barricades, etc. - HVAC improvements to facilitate better and cleaner air circulation - Sanitizing equipment and materials, and PPE - Additional vehicles to enable social distancing amongst staff, and increase EMS response availability. All vehicles are scheduled for replacement in the next few years and include two squad cars ($105,000 total), two public works pickups ($70,000 total), one ambulance ($300,000), and one dump truck ($125,000) - Some of the life-saving equipment in the fire trucks is likely to be used at a much higher rate and should likely be replaced earlier than originally scheduled to ensure equipment is working properly and potentially mobilize a third EMS crew if needed (chest compression system for $30,000, defibrillator for $35,000) 3) Technology Modifications and Equipment Upgrades Estimate – $250,000 to $400,000 Again, staff is still working to identify and quote specific products at this time. Many vendors have been inundated and items are backordered, but staff are working to provide the best information available. While there were several “quick fix” items put in place in March/April, staff does need to work toward more permanent solutions if the pandemic is expected to continue for an extended period of time. Solutions such as a hybrid of in-office and remote work is likely the best practice to plan for. Very few Oakdale staff were equipped to work remotely prior to the onset of COVID-19, so significant investment is needed in the area of technology. Key expenses include: - Laptops ($60,000), VPN licensing and service fees, and remote desktop access options (combined, $10,000) - Virtual meeting broadcast technologies and equipment including cameras, speakers, projectors, screens, and virtual meeting equipment ($50,000) - Security upgrades to monitor city amenities for social gathering complaints 2 - Software upgrades to enable staff to perform virtually (online applicant tracking for $13,000, agenda management system for $20,000) - Software upgrades to enable residents and businesses to better utilize city services online (online forms for building permit applications for $10,000, ADA website optimization for $10,000, self- service lobby kiosk for $8,000, etc.), thereby reducing foot traffic and interactions in the facilities 3  Woodwinds Hospital 1925 Woodwinds Drive Woodbury, MN 55125 July 24, 2020 Ms. Christina Volkers City of Oakdale 1584 Hadley Avenue N Oakdale, MN 5128 Dear Ms. Volkers: Thank you for taking the time out of your busy schedule to speak with us regarding the financial impact of the COVID-19 pandemic. As we discussed, Woodwinds Hospital has played a critical role in Oakdale’s response to the pandemic. When it became clear that our community needed to prepare for COVID-19, we dramatically altered almost every aspect of our operations. This included halting non-time sensitive surgeries and medical visits; training our staff to safely care for infected patients; ensuring an adequate supply of personal protective equipment, ventilators, medicines and other supplies; investing in and rapidly accelerating a move to telehealth technology to continue to care for patients. Physical facility changes included modifying our ventilation systems to create negative pressure airflow rooms, increasing infection prevention measures and cleaning within the hospital, and deploying new capabilities including drive-up testing. To provide the hospital with additional surge capacity for the sickest patients, Woodwinds converted our eight Intensive Care Unit (ICU) beds into negative airflow rooms with the purchase of air scrubbers/portable HEPA filters. We also converted 18 additional cardiac telemetry beds into airborne infection isolation rooms to meet the community demand related to this pandemic. Woodwinds opened in August of 2000, partnering with the community to develop facility-based health care and community-based improvements along three components: medical services, community outreach and customer service. Patients, physicians, and families came together to create a total healing environment which includes healing spaces, healing attitudes and healing lifestyles. Located on 30 acres of pristine wetlands in Woodbury, Woodwinds is the only hospital in the southeast metro area. The facility is an 86 licensed bed hospital with approximately 7,600 inpatient admissions each year. We service patients in 26 cities surrounding the Woodwinds campus with key programs and services including Orthopedics, Maternity Care (2,000 births per year), Cancer Care, Emergency Department (approximately 32,000 per year), Surgery, Integrative Services, Outpatient Services (Imaging, Heart Care, Respiratory, Lab-approx. 250,000 tests per year), Inpatient Care (Medical, Surgical, Heart, Ortho, and Adult Intensive Care). Woodwinds has 1,200 employees with approximately 12.5% living in the Woodbury community. We also have 250 active volunteers and 385 physicians and providers. Equal Opportunity Employer The extraordinary actions that we took at Woodwinds in response to COVID-19 were critical to our ability to serve our community. They were also costly. These COVID-specific actions have placed an extraordinary financial burden on our hospital that will not be covered by insurance reimbursements, the State of Minnesota, or the federal government. We respectfully request that Oakdale consider allocating $60,964 from the $2,133,259 that you received to help Woodwinds offset non-reimbursable costs that the hospital has incurred, or will incur, by the end of this calendar year in response to the pandemic. The non-reimbursable costs that we are asking for represent the Oakdale proportional share within our service area. We are making similar requests of neighboring municipalities. We thank you for discussing this matter with us and for your consideration of our request. If you require any additional information, please feel free to contact me directly at mbrin@Healtheast.org or (651) 326-7043. Please also feel free to reach out to Andy McCoy and Mary Edwards of Fairview Health at AMCCOY2@Fairview.org or MEDWARD1@Fairview.org. We look forward to hearing from you on this important matter. We appreciate our long-standing partnership in caring for the residents of the community, during COVID and beyond. With kindest regards, Michele Brin Woodwinds Operations Executive cc: Mayor Paul Reinke Equal Opportunity Employer  COUNCIL MEMORANDUM To: Honorable Mayor and City Council From: Bob Streetar, Community Development Director and Emily Shively, Planner Date: July 28, 2020 Subject: Zoning Ordinance Text Amendment: Accessory Apartments (Sec.25-23(c)(3)) INTRODUCTION The Oakdale Zoning Ordinance has permitted accessory apartments in single-family homes via Conditional Use Permit since 1984 (Sec.25-23(c)(3)). An accessory apartment is a complete, separate dwelling unit within a home. Only one apartment may be created within a single-family house and the owner of the residence must occupy at least one of the units. Accessory apartments shall not increase the square footage of the original house by more the 10% (Sec. 25-23(c)(3)(d). Exterior entrances to accessory apartments must be located on the side or rear of the building so that the appearance of the building remains that of a one-family residence. At least three off-street parking spaces must be available for the occupants of the home and accessory apartment. If an accessory apartment or the main home to which it is attached is rented, a rental license is required. ISSUE A building permit was submitted at the end of May for a home addition that would create an accessory apartment at a residence on Upper 48th Street North. The home addition met all performance standards (setbacks, impervious coverage limits), however, as it was designed to be an accessory apartment and the square footage exceeded the ten percent limit in the ordinance, the proposal did not meet the requirements for a Conditional Use Permit and the building permit could not be issued. ANALYSIS The average home size in Oakdale is approximately 1,200-1,500 square feet. The ten percent limit on a building addition for an accessory apartment would restrict the size of an addition to 120-150 square feet. Typical studio apartments are around 600 square feet and one-bedroom apartments average about 800 square feet. The City has approved three Conditional Use Permits for accessory apartments: YEAR RESOLUTION ADDRESS HOME SIZE ACCESSORY APARTMENT SIZE 1991 Res.91-172 5461 Golfview Ave N 1,620 sf Finished lower level (approx. 500 sf) 1999 Res.99-148 2595 Geneva Ave N 2,424 sf 756 sf (above attached garage) 2012 Res.2012-56 2566 Helena Ave N 5,539 sf 480 sf (addition to attached garage) The residence on Upper 48th Street North has approximately 1,900 square feet of living area and the proposed accessory apartment addition is 28’x32’ (896 square feet). If the addition to the residence was constructed without a bathroom and/or a kitchen, for example, a building permit would be approved. The homeowner could come back after the addition was built, propose to add a kitchen and/or bathroom, and apply for a Conditional Use Permit for an accessory apartment. In that case, the proposal would meet all of the performance standards in the ordinance for granting a Conditional Use Permit for an accessory apartment. RECOMMENDATION The Planning Commission considered an amendment to the zoning ordinance that would remove the ten percent limitation on building additions for accessory apartments at their July 2, 2020 meeting. The Planning Commission unanimously recommended deleting the ten percent size limitation.  CITY OF OAKDALE ORDINANCE XXX AN ORDINANCE AMENDING THE CODE OF ORDINANCES FOR THE CITY OF OAKDALE, CHAPTER 25 – ZONING, ARTICLE 6 – VERY LOW DENSITY HOUSING, SECTION 25-23(C)(3), SPECIAL USES, ACCESSORY APARTMENTS. The City Council of the City of Oakdale ordains: Section 1. The Oakdale Code of Ordinances, Chapter 25, Article 6, Section 25-23(c)(3) is amended to read as follows: (3) Accessory apartments according to the following conditions: (a) The apartment will be a complete, separate housekeeping unit that can be isolated from the original unit. (b) Only one apartment will be created within a single-family house. (c) The owner(s) of the residence in which the accessory unit is created shall occupy at least one of the dwelling units on the premises, except for bonafide temporary absences. (d) The accessory apartment shall be designated so that, to the degree reasonably feasible, the appearance of the building remains that of a one-family residence. In general, any new entrances shall be located on the side or in the rear of the building, and any additions shall not increase the square footage of the original house by more than ten (10) percent. (e) The design and size of the apartment conforms to all applicable standards in the health, building, and other codes. (f) At least three (3) off-street parking spaces are available for use by the owner- occupant(s) and tenants(s). (g) The effective period of the special exception use shall be two (2) years. At the end of every two (2) years, renewal shall be automatically granted upon receipt of certification by the City Administrator that the property remains the principal residence of the owner and that all other conditions met at the time of the original application remain unchanged. The City Administrator in his sole discretion, may require a new application and a demonstration of compliance with all conditions necessary for a Special Use Permit. (h)(g) Any other appropriate or more stringent conditions deemed necessary by the City Council to protect public health, safety, and welfare, and the single-family dwelling character of the neighborhood. Section 2. This Ordinance shall take effect and be in full force from and after its adoption and publication, as provided by law.  _____________________________ Paul Reinke, Mayor AYES: NAYS: Adopted this 28th day of July, 2020 by the Oakdale City Council. Attest: _____________________________________ Susan Barry, City Clerk  EXCERPT REGULAR MEETING OAKDALE PLANNING COMMISSION July 2, 2020 The Oakdale Planning Commission held a meeting on Thursday, July 2, 2020 at Oakdale City Hall, 1584 Hadley Avenue North, Oakdale, Minnesota. The meeting began at 7 PM with the Pledge of Allegiance. CALL OF ROLL On a call of roll, the following were present: Chairperson: Dallas Pierson Commissioners: Bob Boullianne Christopher Campbell Emily Milles Lee Stolarski Yaya Diatta Marty Jurgensen Others Present: Emily Shively, City Planner Mary Cutrufello, Associate Planner Jake Ingebrigtson, Council Member EXCERPT PUBLIC HEARINGS ZONING ORDINANCE TEXT AMENDMENT: ACCESSORY APARTMENTS Planner Shively explained that a Zoning Ordinance Text Amendment is a policy decision. This is creating those standards by which other applications will be evaluated against. Therefore this is a legislative action. The comprehensive plan has the most discretion, where the Zoning Ordinance is a tool to implement that policy going forward. Staff has had a number of requests over the past couple of months of residents interested in adding another unit to their property. Examples include, small house on large lot wanting to add another small house, single family home located within a multifamily zoning district that would like to add a duplex to their single family home, and a request to add onto a single family home a mother-in-law apartment. Ms. Shively explained that our current zoning ordinance allows for this mother-in-law apartment, but with specific standards which must be met. The City allows those apartments with a Conditional Use Permit. However, Staff found two issues with current performance standards: 1) Current ordinance limits the new additions to no more than 10% of square footage of existing home, and 2) current ordinance requires the owner of the home reside in one of the units. Staff would like to move forward with recommendations on one or both items. 1 After a question from Chair Pierson, Ms. Shively noted that the Planning Commission may separate out each item and address them separately. One is the physical structure and the other the occupancy piece. In response to a question from Chair Pierson, Planner Shively explained that we have 6 residential zoning districts. R-1 and R-2 only allow single family homes. R-3 allows single family and two family homes. R-4 allows single family, two family, and three to eight dwelling units, R-5 allows apartment buildings, multifamily housing, R-6 allows manufactured housing communities. This amendment starts in R1 and will roll-up to succeeding districts. Accessory buildings are allowed in R-1 – R-4 zoning districts. In response to a question from Commissioner Boullianne, Ms. Shively shared that R1 and R2 are primarily low density larger lots and also explained that a fairly modest proportion of Oakdale is zoned R-1. In response to a question from Commissioner Jurgensen, Ms. Shively stated that she did not know how many rental licenses the city currently has. She stated that we do have single family, two family, and multi-family. Commissioner Jurgensen stated he would like to see the owner be onsite, and invested in the community. In response to a question from Commissioner Diatta, Planner Shively noted that a duplex typically has equivalently sized units whereas an accessory apartment needs to be subordinate to the principal structure. She also explained that an accessory apartment needs to be attached to the single family home; Oakdale does not currently allow a separate detached unit. Chair Pierson noted that the main distinction in the ordinance between a duplex and an accessory apartment is where the door is. In response to a question from Commissioner Diatta, Planner Shively indicated currently there is no requirement to have separate utilities for an accessory apartment. Commissioner Boullianne noted that the requirement of the renter in the accessory apartment being family is not listed in the ordinance. He expressed concern regarding creating duplexes in low-density R-1 and R-2 zoning districts. In response to a concern from Chair Pierson that properties could devolve quickly into apartment buildings, Ms. Shively shared the Performance Standards state that only one apartment will be created within a single family home, and only allowed via a Conditional Use Permit. She also mentioned that if a home with an accessory apartment is then sold, and the new owners rent out the apartment, it would trigger a code enforcement if there was not a rental license. Also, at that property, only one rental license is allowed, if the owner occupancy is required. Commission Diatta shared that homeownership is important, however there is a crisis for housing. He feels that this is an equity issue, but also important that the homeowner is onsite to provide upkeep and maintenance. Chair Pierson shared that this is the only way the promise of single family housing is kept to current homeowners. Planner Shively noted that currently non-owner occupancy is allowed in R-1 and R-2 zoning districts. Ms. Shively explained that Staff feels old item (G), two year CUP provision, in ‘Attachment A – Draft Accessory Apartment Ordinance under Section 1 item 3’, is administratively burdensome and difficult. It goes against what a CUP is intended to do, which is running with the land. The City’s rental licensing program was established subsequent to this ordinance and with a rental license an annual inspection is required. Chair Pierson opened the meeting for comments from the audience. There being no comments, he closed the public hearing. CHAIR PIERSON MADE A MOTION, SECONDED BY COMMISSIONER STOLARSKI, TO RECOMMEND AMENDING CHAPTER 25, ARTICLE 6, SECTION 25-23(C) AS FOLLOWS: (3) Accessory apartments according to the following conditions: (a) The apartment will be a complete, separate housekeeping unit that can be isolated from the original unit. (b) Only one apartment will be created within a single-family house. (c) The owner(s) of the residence in which the accessory unit is created shall occupy at least one of the dwelling units on the premises, except for bonafide temporary absences. (d) The accessory apartment shall be designated so that, to the degree reasonably feasible, the appearance of the building remains that of a one- family residence. In general, any new entrances shall be located on the side or in the rear of the building, and any additions shall not increase the square footage of the original house by more than ten (10) percent. (e) The design and size of the apartment conforms to all applicable standards in the health, building, and other codes. (f) At least three (3) off-street parking spaces are available for use by the owner- occupant(s) and tenants(s). (g) The effective period of the special exception use shall be two (2) years. At the end of every two (2) years, renewal shall be automatically granted upon receipt of certification by the City Administrator that the property remains the principal residence of the owner and that all other conditions met at the time of the original application remain unchanged. The City Administrator in his sole discretion, may require a new application and a demonstration of compliance with all conditions necessary for a Special Use Permit. (h)(g) Any other appropriate or more stringent conditions deemed necessary by the City Council to protect public health, safety, and welfare, and the single- family dwelling character of the neighborhood. 7 AYES Respectfully submitted, Jackie Knutson Recording Secretary  PLANNING COMMISSION MEMORANDUM To: Oakdale Planning Commission From: Emily Shively, City Planner Meeting Date: July 2, 2020 Subject: Zoning Ordinance Text Amendment – Accessory Apartments (Sec.25-23(c)(3)) INTRODUCTION Staff has received several inquiries over the last few months from residents interested in adding onto their home to provide a separate space for family members to live in a way that was close by, but independent from the main home. Others have been interested in creating a small apartment as part of a building addition that would be available to rent. ISSUE The ordinance allows an accessory apartment as part of a residence via Conditional Use Permit and subject to performance standards. Staff has found two issues with the current ordinance: 1. The ordinance requires that the owner of the home reside in one of the units. This is not required for any other single or two-family dwellings in the City. 2. The ordinance limits the size of an addition for an accessory apartment to 10% of the square footage of the existing home. Typically, building additions are limited by setback requirements and total impervious coverage on the lot. There are no other ordinance requirements limiting residential construction to a percentage of existing square footage. Based upon review of the ordinance and the recent inquiries, staff recommends that the ordinance should be updated. ANALYSIS To address a discrepancy in the treatment of like properties and to facilitate reasonable requests for accessory apartments, staff is recommending two changes to the current ordinance. Owner-occupancy requirement The ordinance requires that the owner of the residence occupy at least one of the dwelling units and that this be verified every two years. Staff is recommending that those provisions be deleted for the following reason: • This treats similar properties differently. Other two-family residences and rental properties are not subject to this requirement. • This provision deters investment in property; if the owner sells the property, they may be required to remove the accessory apartment. • This ordinance was established prior to the City instituting a rental licensing program. The City’s Rental Licensing Program requires annual inspections for license renewal to ensure building and property maintenance codes are in compliance for all rental units. Limitation of size of building additions The ordinance limits an addition for an accessory apartment to no more than 10 percent of the square footage of the existing home. Staff considers this to be problematic for the following reasons: • The average home size in Oakdale is approximately 1,200-1,500 square feet; that would limit an addition for an accessory apartment to 120-150 square feet. Typical studio apartments are around 600 square feet and one-bedroom apartments average about 800 square feet. 1  • Other types of additions to single-family homes are not limited to a percentage of the existing square footage. The size of an addition on any particular property is prescribed by setbacks and limitations on total impervious coverage. Accessory apartments are considered part of the principal structure and are subject to those same performance standards. This is more appropriate than an arbitrary percentage limitation. • The other Conditional Use Permit criteria ensure that the single-family character of the home is maintained. SUMMARY TABLE STANDARD ACCESSORY APARTMENTS ALL OTHER RESIDENTIAL PROPERTY OWNER OCCUPANCY YES NO REQUIRED MUST MEET SETBACK AND ADDITIONS LIMITED TO 10% BUILDING ADDITION IMPERVIOUS COVERAGE OF EXISTING SQUARE STANDARDS LIMITATIONS; NO PERCENTAGE FOOTAGE LIMITATION RENTAL LICENSE REQUIRED YES YES RECOMMENDATION Staff is recommending that the accessory apartment ordinance be updated to facilitate reasonable requests and treat similar properties in the same manner. ROLE OF THE PLANNING COMMISSION Proposed amendments to the zoning ordinance require a public hearing before the Planning Commission. The role of the Planning Commission is to hold the public hearing, consider the proposed amendment as it relates to the Comprehensive Plan and other sections of the Zoning Ordinance, and provide a recommendation to the City Council. MOTION Motion to recommend approval of the zoning ordinance text amendment regarding Accessory Apartments. ATTACHMENTS Attachment A: Draft Accessory Apartment Ordinance 2 Attachment A – Draft Accessory Apartment Ordinance CITY OF OAKDALE ORDINANCE NO. XX AN ORDINANCE AMENDING THE CODE OF ORDINANCES FOR THE CITY OF OAKDALE, CHAPTER 25 – ZONING, ARTICLE 6 – VERY LOW DENSITY HOUSING, SECTION 25-23(C), SPECIAL USES, ACCESSORY APARTMENTS. The City Council of the City of Oakdale ordains: Section 1. The Oakdale Code of Ordinances, Chapter 25, Article 6, Section 25-23(c) is amended to read as follows: (3) Accessory apartments according to the following conditions: (a) The apartment will be a complete, separate housekeeping unit that can be isolated from the original unit. (b) Only one apartment will be created within a single-family house. (c) The owner(s) of the residence in which the accessory unit is created shall occupy at least one of the dwelling units on the premises, except for bonafide temporary absences. (d)(c) The accessory apartment shall be designated so that, to the degree reasonably feasible, the appearance of the building remains that of a one-family residence. In general, any new entrances shall be located on the side or in the rear of the building, and any additions shall not increase the square footage of the original house by more than ten (10) percent. (e)(d) The design and size of the apartment conforms to all applicable standards in the health, building, and other codes. (f)(e) At least three (3) off-street parking spaces are available for use by the owner- occupant(s) and tenants(s). (g) The effective period of the special exception use shall be two (2) years. At the end of every two (2) years, renewal shall be automatically granted upon receipt of certification by the City Administrator that the property remains the principal residence of the owner and that all other conditions met at the time of the original application remain unchanged. The City Administrator in his sole discretion, may require a new application and a demonstration of compliance with all conditions necessary for a Special Use Permit. (h)(f) Any other appropriate or more stringent conditions deemed necessary by the City Council to protect public health, safety, and welfare, and the single-family dwelling character of the neighborhood. 3 Section 2. This Ordinance shall take effect and be in full force from and after its adoption and publication, as provided by law. _____________________________ Paul Reinke, Mayor AYES: NAYS: Adopted this 28th day of July, 2020 by the Oakdale City Council. Attest: _____________________________________ Susan Barry, City Clerk 4  COUNCIL MEMORANDUM To: Honorable Mayor and City Council From: Brian Bachmeier, Public Works Director/City Engineer Date: July 28, 2020 Subject: Proposed Code Amendment - Restricting Parking on 40th Street From Trunk Highway (TH) 120 to Gershwin Avenue North, North Side. Over the past several years, the city has been dealing with on-street parking issues adjacent to the Geneva Village Apartment Complex located in the northeast corner of Highway 120 and 40th Street. The issues involve: parking during winter parking restrictions, a tenant operating a used car business which makes it difficult to locate the owner, and most recently, vehicles blocking hydrants restricting access for firefighting needs. There are adequate off-street parking lots within the complex, unfortunately, for convenience and security concerns, many tenants are choosing to park on 40th Street. If the City Council supports the code amendment; Chapter 12 – Motor Vehicles and Traffic, Section 12-19 – Parking Restrictions (40th Street from TH 120 to Gershwin Avenue North, north side) it is asked that staff be directed to post the proposed ordinance on the city’s web page and bring forth an ordinance amendment at the August 10, 2020 City Council meeting.  PROPOSED ORDINANCE AMENDMENT The City Council will consider adoption of this ordinance at its August 10, 2020 meeting. AMENDING THE CODE OF ORDINANCES FOR THE CITY OF OAKDALE, CHAPTER 12 – MOTOR VEHICLES AND TRAFFIC, SECTION 12-19 – PARKING RESTRICTIONS (40TH STREET FROM TH 120 TO GERSHWIN AVENUE, NORTH SIDE). Sec. 12-19. Parking Restrictions. (a) No Parking. No vehicles shall be allowed to park along the designated portions of the city streets described herein: 40th Street, from TH 120 to Gershwin Avenue, north side  COUNCIL MEMORANDUM To: Honorable Mayor and City Council From: Christina M. Volkers, City Administrator Date: July 28 2020 Subject: Proposed Code Amendment: Tree Board; By-Laws At their June 2 meeting, the Tree Board asked for consideration for two amendments to be made to Section 22-27, Article VII, Chapter 22 of the City Code, as noted here: Sec. 22-27. Composition of Board. The Tree Board shall consist of a minimum of three (3) and up to fifteen (15) regular members, appointed by the City Council and representing one member each of the city’s commissions Economic Development, Environmental Management, Parks and Recreation, and Planning and citizens at large. Terms begin as so determined by the City Council. A majority of all of the members shall constitute a quorum for any regular or special meeting. If a quorum is not established or maintained during the course of the meeting, no board or commission business may be transacted except a motion to adjourn or recess. Members of the Tree Board shall be appointed by the City Council. 1. Minimum Number of Members: The composition of the Tree Board currently states “up to fifteen (15) regular members” but does not identify a minimum number of members. As an example, should only three members currently serve on the Tree Board, two members could meet and take action. Conversely, composition for the city’s other advisory bodies identifies a finite number of members and quorum is based on the majority of that number. 2. Representatives from Other Advisory Bodies: The Tree Board wishes to remove the language requiring one member from the city’s other advisory bodies to be appointed to the Board. It was noted that the requirement was necessary when the Tree Board was first established and members were needed. As commission members may choose to also serve on the Board, there is no longer a need to require such appointments. In addition, if the City Council affirms the two code amendments, the language in the Tree Board bylaws would need to reflect the wording changes relating to composition as well as to reflect the Board’s meeting schedule as noted here: 2.1 Composition of Board; Appointment to Board. The Tree Board shall consist of a minimum of three (3) and up to fifteen (15) regular members, appointed by the City Council, and representing one member each of the city’s commissions Economic Development, Environmental Management, Parks and Recreation, and Planning and citizens at large. Terms begin as so determined by the City Council. A majority of all of the members shall constitute a quorum for any regular or special meeting. If a quorum is not established or maintained during the course of the meeting, no board or commission business may be transacted except a motion to adjourn or recess. Members of the Tree Board shall be appointed by the City Council. 4.2 Meeting Time. The regular meetings of the Tree Board shall be held at 5 PM 5:30 PM on the second Third Tuesday in January, and March, and on the first Tuesday in June and September of each year. The Chair may, with proper notice, announce a change in the time or date for any meeting or cancellation of a meeting. If the City Council supports the code amendments being requested by the Tree Board, it is asked that staff be directed to post the proposed ordinance on the city’s web page and bring forth an ordinance amendment at the August 10, 2020 City Council meeting.  PROPOSED ORDINANCE AMENDMENT The City Council will consider adoption of this ordinance at its August 10, 2020 meeting. AMENDING THE CODE OF ORDINANCES FOR THE CITY OF OAKDALE, CHAPTER 22 – TREES, ARTICLE VII. TREE BOARD. ARTICLE VII. TREE BOARD Sec. 22-25. Board Established. A Tree Board for the City of Oakdale was established in 1995 in association with the city’s participation in the Tree City USA program. The board serves as an advisory board for the City Council. All conclusions reached by the board shall serve as recommendations and powers of execution shall be vested in the City Council. The Tree Board shall adopt its own rules of order and bylaws for the purpose of governmental procedure. Sec. 22-26. Functions and Duties of Board. The Tree Board shall act in an advisory capacity in all matters pertaining to trees. Specific responsibilities of the Board shall be: (a) City Tree Program: Annual program/report that may include taking inventory of trees, species, locations, and condition; annual work plan for tree maintenance, care, removal, and development; a plan for new plantings; priorities relating to trees; and any other activities to promote, maintain, or develop trees in the city. (b) Tree Preservation: Develop policy recommendations for amendments to the city’s tree preservation ordinance, Article III of this Chapter. (c) Other: develop tree program in conjunction with the annual Arbor Day celebration; maintain diseased tree and public tree care policies; implement community forestry program; submit Tree City USA recertification applications; and work on other programs as assigned by the City Council. Sec. 22-27. Composition of Board. The Tree Board shall consist of a minimum of three (3) and up to fifteen (15) regular members, appointed by the City Council and representing one member each of the city’s commissions Economic Development, Environmental Management, Parks and Recreation, and Planning and citizens at large. Terms begin as so determined by the City Council. A majority of all of the members shall constitute a quorum for any regular or special meeting. If a quorum is not established or maintained during the course of the meeting, no board or commission business may be transacted except a motion to adjourn or recess. Members of the Tree Board shall be appointed by the City Council. Sec. 22-28. Organization of Board. The Tree Board shall elect from its membership, a Chairperson and Vice-Chairperson annually at its first meeting of the year. Sec. 22-29. Board Meetings and Records. The Tree Board shall hold regular meetings as established in the bylaws. These meetings shall be open to the public. The Tree Board shall submit approved copies of its meeting minutes to the City Council and shall submit periodic reports when requested by the City Council. Sec. 22-30. Removal of Board Members. Board members may be removed, at will, by action supported by a majority of the City Council. Sec. 22-31. Residency Requirement. To the extent possible, persons appointed to serve on the board shall hold residence within the corporate limits of Oakdale.