Item 1 Otsego – Comprehensive Plan; Future Land Use Plan Item 1
3601 Thurston Avenue
Anoka, MN 55303
763.231.5840
TPC@PlanningCo.com
1
MEMORANDUM
TO: Otsego Mayor and City Council
Otsego Planning Commission
FROM: D. Daniel Licht
DATE: 17 March 2023
RE: Otsego – Comprehensive Plan; Future Land Use Plan
TPC FILE: 101.01
BACKGROUND
A special meeting of the Planning Commission has been called for 20 March 2023 to meet with
the City Council to review discuss broadly the draft Comprehensive Plan related to urban
service staging and land use. The special meeting will follow the regular Planning Commission
meeting, which begins at 7:00PM on 20 March 2023.
Exhibits:
Population and Household Forecasts
Urban Service Staging Plan map (draft)
Future Land Use Plan map (draft)
ANALYSIS
Urban Service Staging Plan. Otsego has taken steps to proactively manage growth since
incorporation in 1990 to minimize investment in new infrastructure and maintain a separation
between urban and rural uses. With provision of municipal sanitary sewer and water systems,
full utilization of these service capacities and protection of the financial investment made in this
infrastructure has become a fundamental policy of the City. By delineating urban, urban
expansion and rural use areas, future development may be guided in a manner that does not
prematurely open new areas for development and allow a continuation of rural uses in areas so
designated either on an interim or permanent basis.
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The 1998 Otsego Comprehensive Plan established urban service staging areas as a means of
managing the rate and location of development while maintaining an adequate land supply.
The delineated urban service staging plan promote infill development of the existing urban and
expansion of a contiguous development pattern to fully utilize in-place utility and
transportation infrastructure before expanding into rural areas. The designated sewer districts
and urban service expansion areas generally follow sewer shed boundaries for practical and
cost-effective extension of utilities.
Rural Residential Preserve Area. The Rural Residential Preserve Area overlays that area
of Otsego where a long-term rural character is to be maintained with the imposition of
one dwelling unit per ten acres density for residential development. This designation is
applied to areas with innate amenities of the Mississippi River, existing large tree stands
and rolling topography. The limitations on development imposed as part of the
Mississippi Wild, Scenic and Recreational River Management Plan corresponds to the
intended rural character of this area and sanitary sewer service is not anticipated to be
made available in this area of the City.
The City Council may approve increases in allowed residential density as an incentive to
encourage developments in this area to be planned in accordance with the principles of
open space preservation and cluster subdivision design. The City implements these
development concepts through its R-C, Residential Rural Open Space Cluster District.
Any density allowed above one dwelling unit per ten acres is to be considered a bonus in
consideration of a proposed development’s consistency with the City’s goals for this
unique area of the community.
Urban Service Area. The Urban Service Area is defined as areas of Otsego where sewer
and water utilities are to be made available in accordance with the Urban Service
Staging Plan and includes the following elements:
o Sewer Se District. The Sewer District identifies lands to which City sanitary
sewer and water service is to be made immediately available and is comprised of
two sub-districts. The immediate urban service area identifies lands that have
received City entitlements to development, have made a financial commitment
to obtain municipal utilities, and have been allocated sewer capacity. The
intermediate urban service area identifies the remaining lands within the Sewer
District that are eligible to access municipal utilities, but have not had
development entitlements approved or provided the financial commitments to
obtain sanitary sewer and water services.
o Urban Service Expansion Area. The Urban Service Expansion Area defines areas
of Otsego where sewer and water utilities are to be expanded in the future. It is
anticipated that as the East Sewer District and West Sewer District reach near
development saturation, they will be expanded into the designated Urban
Service Expansion Area.
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The numerical designations of subdistricts within the Urban Service Expansion
Area signifies the wastewater treatment facility intended to provide service as
well as the order these areas are to be served when capacity is available. No
timetable for expansion of the Sewer District is established or implied as part of
the Comprehensive Plan.
Densities of one dwelling unit per ten acres of land are to be allowed in the
Urban Service Expansion Areas until these lands are brought into the Sewer
District for development at urban densities in accordance with the Future Land
Use Plan.
Long Range Urban Service Area. The Long Range Urban Service Area is designated for
that portion of Otsego where one plus acre unsewered single family residential
development has occurred. The extension of City sewer and water utilities to this area
is not to be programed until it may be mandated by pollution concerns or specifically
requested by property owners via petition.
Further unsewered development in the area is not to be allowed and residential
development density is to be limited to one dwelling unit per 40 acres. There are
several larger parcels of land within the Long Range Urban Service Area that could be
proposed for subdivision with one plus acre residential lots. Subdivisions within the
Long Range Urban Service Area are only be approved if one or more of the following
criteria are met:
o The development will result in completion of an unfinished street network.
o The development will have the result of correcting or improving a demonstrated
area drainage problem.
o The development provides for dedication of lands to a legitimate public purpose.
Interim Land Use Plan. The Future Land Use Plan establishes the anticipated future
development pattern of the City, which is to be implemented over time in accordance with the
City’s growth management and economic development policies. An interim land use plan is
also establish to guide land use in the interim period between existing conditions and the
realization of the Future Land Use Plan. The purpose of the interim land use plan is to prevent
an over-allocation of land that may exceed market demand for any particular use or over-
burden the City’s service capacity.
The Interim Land Use Plan requires that until a parcel is deemed appropriate for development
of a higher intensity land use as guided by the Future Land Use Plan, rural land uses and one
dwelling unit per 40-acre density will be maintained within the Sewer Districts and Long Range
Urban Service Area or at a maximum of one dwelling unit per 10 acres within the Urban Service
Expansion Area.
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Future Land Use Plan. The Future Land Use Plan establishes a framework for anticipated land
uses to occur in Otsego over time in consideration of forecasted growth and the Urban Service
Staging Plan for provision of necessary supporting infrastructure and services. The Future Land
Use Plan is intended to serve as a guide to residents, business owners, property owners, and
developers in planning for potential developments. The Future Land Use Plan is to be used by
City officials in evaluating and responding to development requests as to how they relate to the
community’s vision for Otsego.
Rural Land Use. Rural uses remain the predominate land use within Otsego even
considering the significant urban growth that has occurred in since City sewer and water
services were constructed in 1998 along the TH 101 corridor and in 2002 when a second
municipal utility system was constructed in the southwest portion of the City adjacent
to I-94. Otsego is anticipated to experience continued urban development, but the total
area of the community suggests managing growth in rural areas is important to the
policy of staged urban expansion.
The primary objective of the City for rural areas is protection of open space or
environmentally sensitive areas from premature encroachment by urban development.
Only those uses that will maintain rural character, not interfere with future urban
expansion, and will not cause a premature need for extension of utilities will be allowed
the designated Rural Residential Preserve Area or Urban Service Expansion Area.
Precaution should continue to be exercised with future development requests so that
sporadic development can be minimized to avoid gaps between neighborhoods that
interrupt the homogeneous pattern of urban services such as utilities, streets, trails, and
park service areas.
The area of Otsego located primarily between CSAH 39 and the Mississippi River has
many natural features. This area corresponds with lands included within the Mississippi
River Wild, Scenic and Recreation River District, which limits development potential to
rural densities likely as the ultimate land use. The City has encouraged development of
rural residential cluster subdivisions, such as Mississippi Pines, Forest Hills, Norin
Landing, and Davis Mississippi Cove, that emphasize high quality building sites with view
sheds and access to natural habitat and man-made amenities.
Residential Land Use. Residential land uses are the predominant urban land use within
Otsego. The City promotes continued development of a diversified housing stock that is
accessible to a wide range residents based on household need and incomes. The urban
residential land uses guided to develop by the Future Land Use Plan shall be
implemented in accordance with the following:
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FUTURE LAND USE PLAN - RESIDENTIAL DESIGNATIONS
Land Use Density Allowed Uses Corresponding
Zoning
Low Density
Residential Large Lot
Less than 1.0
du/ac.
Single family dwellings RC, R1, R2, and R3
Districts
Low Density
Residential
Less than 3.0
du/ac.
Single family dwellings R-4, R-5, and R-MH
Districts
Low to Medium
Density Residential
3.0 to 5.0 du/ac. Single family, single family
villa, and two family
dwellings
R-5 and R-6 Districts
Medium Density
Residential
4.0 to 7.0 du/ac. Single family villa, two
family dwellings, and
quad or row townhouse
dwellings
R-6 District
Medium to High
Density Residential
5.0 to 12.0 du/ac. Quad or row townhouse
or back-to-back
townhouse, multiple
family dwellings
R-6 and R-7 Districts
High Density
Residential
Over 12.0 du/ac. Townhouse and multiple
family dwellings
R-7 District
Low Density Residential uses at less than three dwelling units per acre will continue to
be the predominate urban land use within Otsego. Low Density residential uses are
further defined as exclusively detached single family dwellings. To ensure diversity
within the supply of single-family homes within the community, the City will continue to
encourage a variety of single family lot and house sizes. It is recommended that
subdivisions within the sewer districts provide for both a mean and median minimum
lot area of 12,000 square feet per dwelling unit. This approach allows for a variety of lot
areas, lot widths, and housing sizes within individual neighborhoods and throughout the
City’s overall housing stock.
The category of Low-to-Medium Density Residential land uses is intended to allow for
development of small lot detached single family uses, twin homes, or low intensity
townhouses (consisting of horizontally oriented dwelling units with not more than two
common walls for each dwelling unit) and an overall development density of three to six
dwelling units per acre. Medium density residential land uses typically consists of
townhouses with three to eight dwellings per building ranging in density from five to
eight dwelling units per acre. Development of these more compact residential land uses
will encourage continued diversification of the housing supply within the City, provide
for land use transitions between traditional single family neighborhoods and more
intensive uses and major roadway corridors.
6
The City previously established the Medium-to-High Density Residential land use
category to provide for larger townhouse and multiple family developments within the
City. In response to growing demand and inquiries for multiple family housing within
the Twin Cities Metropolitan Area and in Otsego, the City in 2018 initiated a Multiple
Family Housing Study to address the amount, location, and performance standards for
higher density housing occurring at densities of more than eight dwelling units per acre.
The 2018 Multiple Family Housing Study recommended allowing High Density
Residential Land Uses at a density of up to 21 dwelling units per acre and allowing for
mixed Commercial and High Density Residential Densities at possibly greater densities
ins specific locations. Within the context of the City’s growth management and land use
policies, development of Medium-to-High and High Density Residential Land Uses is to
be managed to periodically define the location, type, and amount of new housing to be
constructed to avoid an over-supply or concentration of any specific land use, while
avoiding establishment of specific benchmarks or limits.
Development of housing for seniors is a high-priority residential land use goal within
Otsego. Senior housing typically involves townhouse or multiple family dwellings and
can range from independent living, housing with services and more institutional care
facilities such as the facilities available at Guardian Angels Riverview Landing. Senior
housing should be located in proximity to retail and service nodes for convenient access
and can serve as a transitional land use between high activity areas or major roadways
and low-density residential neighborhoods. The City will review standards for senior
housing development in consideration of current housing trends and services for this
segment of the population.
Commercial. The intent of the Comprehensive Plan is to identify commercial locations
within the City that provide opportunities for convenient access to retail goods and
services to be developed within attractive environments. Various areas within Otsego
will serve different functions. Locations with access to major regional roadways such as
TH 101, I-94 or CSAH 19 will likely develop with commercial land uses that serve both
the local community and regional patrons. Other smaller areas may also develop to
meet convenience retail and service needs on a neighborhood basis.
FUTURE LAND USE PLAN – COMMERCIAL DESIGNATIONS
Land Use Anticipated Uses Corresponding Zoning
Commercial General retail, service or office business
with community or regional market
areas
B1, B2, and B3 Districts
Mixed Use General retail, service or office business
with opportunity for high density
townhouse and multiple family dwellings
B3, PUD Districts and future
M-1 District
Office Professional office uses with limited
retail sales, services and warehousing
uses
B-4 District
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The immediate emphasis for development of commercial retail and service business
centers should be along TH 101 at the intersections of CSAH 39, CSAH 42, and CSAH 38
within the east sewer district and along CSAH 19 and CR 137 within the west sewer
district. Future opportunity for commercial development will exist at the planned I-
94/Kadler Avenue Interchange and should be evaluated in the future. These planned
commercial locations would respond to existing residential development service needs
and provide an opportunity to capture retail sales monies from well beyond the City’s
boundaries.
The Office land use category is intended to provide for establishment of professional
and commercial office complexes in an environment that provides a high level of
amenities with limited retail or warehousing uses. These developments should include
for integration of building and site designs with surrounding amenities, incorporation of
parks, open space or recreational amenities, convenient access for vehicles and
pedestrians alike, high quality building design and construction, and a high degree of
site landscaping. Office development uses may also serve as a transitional land use
between more intense retail or service commercial uses, industrial uses and areas
guided for residential use.
Otsego is currently a bedroom community with a limited amount of industrial
development. Existing industrial development is concentrated in the southeast corner
of the City adjacent to TH 101 and southwest areas of the City adjacent to I-94.
FUTURE LAND USE PLAN – INDUSTRIAL DESIGNATIONS
Land Use Anticipated Uses Corresponding Zoning
Light
Industrial
Professional offices, data centers,
distribution facilities, warehousing,
assembly, and manufacture of goods
with no or limited outdoor storage
I1 District
Industrial Professional offices, data centers,
distribution facilities, warehousing,
assembly, and manufacture of goods,
contractors yards, and uses involving
outdoor storage
I2 and I3 Districts
The industrial growth that has occurred in Otsego had primarily been characterized by smaller
dry industries with a small number of employees. With availability of sewer and water utilities,
warehouse and distribution facilities have developed such as the Gateway North Industrial Park
and contractor type businesses along Kadler Avenue in west Otsego. More recent
developments along the TH 101 and I-94 corridor suggest a growing economic development
interest within the community, with larger companies expanding in place or establishing new
facilities in Otsego.
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CONCLUSION
The information outlined herein is provided for discussion by the Planning Commission and City
Council at a special meeting on 17 October 2022. City staff will modify the draft
Comprehensive Plan document based on comments and direction received at this meeting.
2000 2010 2020 2021HH 2,062 4,736 6,743 7,190Pop 6,389 13,571 19,966 21,289Building Permit Data 2010-20212013-2022 2018-20222010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022TOTALMean/yr.TOTALMean/yr.SF 73 58 140 184 176 181 205 210 274 292 374 417 228 2541 254 1585 317TH 3 6 12 6 14 26 8 8 18 89 187 19 149 30MR 142 97 170 0 409 41 267 53Total 73 58 143 190 188 187 219 352 300 397 552 435 317 2728 273 2001 400Household and Population Forecast10-YearRate20202030 2040HH 6,743 9,471 12,199Pop 19486 26992 341575-YearRate20202030 2040HH 6,743 10,745 14747Pop 19486 30623 41292400du./yr.2020 2030 2040HH 6,743 10800 14800Pop 19486 30780 41440Census/DemographerSOURCE: City of Otsego (TPC)
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URBAN SERVICESTAGING PLAN00.5 10.25
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LEGEND
Rural Residential
Long Range Urban Service Area
Urban Service Expansion Area
Sewer District
K:\cad_eng\PROJECTS\GIS\TPC\Otsego\Comprensive Plan 2012\Urban Service Staging Plan
DISCLAIMER:
This product is for informational purposes and may not have been
prepared for, or be suitable for legal, engineering, or surveying
purposes. Users of this information should review or consult the
primary data and information sources to ascertain the usability
of the information.
ADOPTED:
AMENDMENTS:
.
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FUTURE LAND USE00.5 10.25
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K:\cad_eng\PROJECTS\GIS\TPC\Otsego\Comprensive Plan 2012\Future Land Use Map
DISCLAIMER:
This product is for informational purposes and may not have been
prepared for, or be suitable for legal, engineering, or surveying
purposes. Users of this information should review or consult the
primary data and information sources to ascertain the usability
of the information.
ADOPTED:
AMENDMENTS:
LEGEND
Planning Districts
Rural
Rural Residential
LD Residential (Large Lot)
LD Residential
LMD Residential
MHD Residential
Mixed Use
Commercial
Office
Industrial
Light Industrial
Public/Quasi Public