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Item 3.1 Sahan Vision Group Comprehensive Plan Amendment3601 Thurston Avenue Anoka, MN 55303 763.231.5840 TPC@PlanningCo.com 1 PLANNING REPORT TO: Otsego Planning Commission FROM: D. Daniel Licht REPORT DATE: 25 November 2024 60-DAY DATE: 17 December 2024 RE: Otsego – Sahan Vision Group; Comprehensive Plan amendment TPC FILE: 101.02 BACKGROUND Sahan Vision Group, Inc. has acquired a 39.85 acre parcel (PID 118-800-224400) locate at the northwest quadrant of Kadler Avenue and 80th Street. The developer is proposing an industrial development of the subject property consisting of a 26,079 square foot building and outdoor storage of 617 semi-trailers. The proposed development requires application for the following approvals: Comprehensive Plan amendment (Sewer Staging Plan/Land Use Plan) Zoning Map amendment Interim Use Permit for outdoor storage Site and building plan review The developer is requesting amendment of the Comprehensive Plan to include the subject property within the West Sewer District and to guide the property for industrial land uses as an initial step. If approved, the developer would then proceed to prepare engineered plans to proceed with the other applications required to allow the proposed development. A public hearing to consider the requested Comprehensive Plan amendment has been noticed for the Planning Commission meeting on 2 December 2024. Additional public hearings would also be required to be held by the Planning Commission if the Comprehensive Plan amendments are approved and the developer proceeds with zoning and subdivision applications. Item 3.1 2 Exhibits:  Property Location Map  Operation Narrative  Concept Plan dated 10/13/24  Urban Service Staging Plan Map  Future Land Use Plan Map ANALYSIS Use. The operation narrative describes and the concept illustrates a trucking facility that includes operations, maintenance, leasing, and storage. The use is industrial in character and would be appropriately located in areas within the Sewer District guided for industrial land uses by the 2023 Otsego Comprehensive Plan. The I-2, General Industrial District allows these various uses either as a permitted use (operations), conditional use (maintenance, wash, fuel, sales/leasing), or interim use (outdoor storage). Urban Service Staging Plan. A goal of the 2023 Otsego Comprehensive Plan is to provide for expansion of urban in staged manner providing for a logical extension of related community services and infrastructure. The Urban Service Staging Plan provides the policy framework for how areas of the City are to be designated to receive sewer and water utilities and how those utility service are to be extended in the future. The designation of the Sewer District includes two areas: lands to which sewer (and water) utilities are available and those lands to which sewer (and water) utilities can be physically extended by existing trunk facilities to provide services. The Urban Service Expansion Areas are those areas of the City planned as part of the Sanitary Sewer Service Master Plan and Water System Master Plan to which trunk sewer and water utilities are to be extended but construction of improvements has not yet occurred. The subject property is located in Urban Service Expansion Area W2. This designation reflects that sewer utilities were to be extended to the subject property in the sequence of trunk improvements outlined by the Sanitary Sewer Master Plan involving multiple lift stations, force mains, and collection pipes necessary to serve the existing West Sewer District, Urban Expansion Area W1, then Urban Expansion Area W2. However, development of the IOS Otsego Industrial Park south of the subject property that the gravity trunk sewer servicing that development has sufficient depth and volume to serve the subject property as well. Water utilities can also be extended to the subject property from the IOS Otsego Industrial Park: The 2023 Otsego Comprehensive Plan outlines the following criteria that the City will consider the for expansion of the Sewer District boundaries only when: 1. Land to be included in the Sewer District is not enrolled in an agricultural preservation program. 3 2. The land lies within one-quarter mile of the existing Sewer District boundary or presents environmental problems that can be alleviated by the delivery of City water and sewer utilities. 3. The land is located within the designated Urban Service Expansion Area and the expansion is in accordance with the order of the staging plan. 4. The potential sewer discharge from the land uses to be developed is within available capacity of existing facilities. 5. The developer shall hold the City harmless should limitations on sewer connections be imposed. 6. The developer and/or benefiting property owners are to assume the costs for infrastructure improvement and public service costs. 7. The land does not qualify as a premature development or subdivision as regulated by the Subdivision Ordinance. 8. Inclusion of the land in the Sewer District is necessary to achieve a five year supply and respond to a shortage of land to which service is available. 9. Commercial/industrial development and requests for service to existing, unsewered residential areas shall be given priority over new residential development for service district expansion requests. The requested amendment satisfies the criteria to include the subject property within the West Sewer District on the basis that utility service can be provided via existing gravity trunk facilities; no trunk improvements that would be required to follow the recommendations of the Sanitary Sewer System Master Plan or Water System Master Plan are necessary. Moreover, the requested amendment is necessary to add to the supply of land available for industrial development which is a priority or the City in terms of economic development goals. Platting and development of the subject property is subject to the criteria premature subdivision criteria established by the Subdivision Ordinance and conditions for zoning approvals requiring that any needed infrastructure be in place or provided for by the developer. Future Land Use. The subject property is guided for Rural land uses by the 2023 Comprehensive Plan. This designation reflects that the northwest quadrant of Otsego is likely to be the last area of the City to have utilities to be extended to it to allow for urban land uses. As such, the rural land uses designated by the Future Land Use Plan map should be considered a long-term interim use. 4 The interim land use policies of the 2023 Otsego Comprehensive Plan include limiting all new development, particularly industrial development, to the Sewer District connected to municipal sewer and water utilities. The intent of the 2023 Otsego Comprehensive Plan is that the Future Land Use Plan designate urban land uses for those areas included in the Sewer District established by the Urban Service Staging Plan. If the subject property qualifies for inclusion in the West Sewer District, then then designation of an appropriate urban land use should follow. A principle set forth by the 2023 Otsego Comprehensive Plan is that the City will promote the economic vitality of Otsego businesses and industries to provide for needed services, employment opportunities, and a diversified tax base and the goal to promote continued development of high quality, high value industries that enhance the City’s economy through an improved tax base and expanded employment opportunities within Otsego. Locations to be guided for industrial land uses are to take into account the following:  Reasonably level topography and large site area capable of accommodating industrial buildings and required ancillary activities (i.e., parking, shipping and receiving, outdoor storage, etc.).  Soils that are well drained and capable of bearing heavy loads.  Access to regional transportation facilities including interstates, trunk highways, county state aid highways, or railroads.  Opportunity for future expansion.  Separation from surrounding residential uses by natural features, roadways, or transitional land uses. The subject property has most of the attributes above. The primary consideration that will need to be address through the zoning approval process is land use compatibility and transition to the rural land uses, including residential dwellings, planned to continue for the foreseeable future to the east, north, and west of the subject property. Whereas east of Kadler Avenue, 80th Street provides for a physical separation between the West Sewer District and planned industrial land uses, there is no existing barrier west of Kalder Avenue. The proposed amendment of the Future Land Use Plan is essentially only shifting this transition one-quarter mile north of the current boundary of the West Sewer District and industrial development. 5 Surrounding Uses. The subject property is surrounded by the following existing and planned land uses: Direction Urban Service Staging Plan Land Use Plan Zoning Map Existing Use North Expansion W2 Rural A-2 District Rural single family Cultivated field East Expansion W2 Rural A-1 District A-2 District Rural single family Cultivated field South Sewer District Industrial I-2 District IOS Otsego Industrial Park West Expansion Rural A-1 District Cultivated field The subject property is located north of the boundary between the West Sewer District and Urban Service Expansion Area W2. As such, the properties to the south are planned, zoned, and being developed with industrial uses within the West Sewer Districts. Areas to the east, north, and west of the subject property are planned for rural land uses as an interim use until such time as sewer and water utilities are extended and the Future Land Use Plan changed to designate planned urban land uses. If the requested Comprehensive Plan amendments are approved, the subject property becomes the transition between industrial development within the West Sewer District and the existing rural land uses, including residential dwellings within the Urban Service Expansion Area. Providing for land use compatibility through scrutiny of the site and building plans to provide for necessary screening will be a major consideration of subsequent zoning applications. Transportation. The Transportation Plan designates Kadler Avenue as a Commercial/Industrial Major Collector between 70th Street and 80th Street, where the street has been improved to a 46 foot wide urban section roadway. North of 80th Street, Kadler Avenue is also designated as a Major Collector roadway, but exists as a rural section with two lanes and minimal shoulders. If the requested Comprehensive Plan amendments are approved, the developer would be required as a condition of the subsequent subdivision and zoning applications to improve the street abutting the subject property to major collector street standards. The improvements may also include traffic control measures at the intersection of Kadler Avenue and 80th Street. The City may require that the developer provide traffic generation and capacity analysis with the subdivision and zoning applications to demonstrate that the existing and improved roadways providing access to the subject site have adequate capacity to accommodate the proposed development. Utilities. Approval of the subdivision and zoning applications necessary to development the subject site are contingent upon sewer and water utilities being available to serve the subject site. Utilities installed with the IOS Otsego Industrial Park provide for trunk sewer to the subject site and trunk water utilities are in place within Kadler Avenue abutting the subject property. Utilization of sewer utilizes, however requires one last segment of trunk sewer piper between the Interstate Otsego plat and Zachman Meadows plat. The parcel through which the 6 trunk sewer segment must be constructed is owned by the Zachman Meadows developer and plans are being prepared for a second phase of Zachman Meadows to subdivide and develop this parcel. The City has the ability to not allow subdivision and development of the subject property through the criteria of the Subdivision Ordinance and Zoning Ordinance until the trunk sewer line is completed and there is the ability to discharge sewer waste from the subject site. Criteria. The processing of a request to amend the Comprehensive Plan follows the procedures set forth Minnesota Statues Section 462.355. Approval of an amendment to the Comprehensive Plan shall be approved by resolution of the City Council requiring a vote of four- fifths of its members. The 2023 Otsego Comprehensive Plan outlines that consideration of a proposed amendment is to be based upon, but not limited to, the following criteria: 1. The proposed action's consistency with the specific policies and provisions of the Otsego Comprehensive Plan. Comment: The subject property can be serviced with existing trunk gravity sewer and water utilities making its inclusion within the West Sewer District consistent with the growth management policies of the Comprehensive Plan. Designation of the property for future industrial land use is also consistent with the goals of the City to encourage economic development and appropriate for industrial land uses based on the factors outlined by the 2023 Otsego Comprehensive Plan. 2. The proposed use's compatibility with present and future land uses of the area. Comment: The subject property is the transition area between industrial development within the West Sewer District and the rural land uses, including existing residential dwellings within the Urban Service Expansion Area. Providing for land use compatibility through scrutiny of the site and building plans to provide for necessary screening will be a major consideration of subsequent zoning applications. The review process, performance standards, and criteria for approval of the zoning applications will ensure that development of the subject property is compatible with the surrounding area. 3. The proposed use's conformity with all performance standards contained within the Zoning Ordinance and other provisions of the City Code. Comment: Development of the subject property will be subject to the criteria and performance standards of the Zoning Ordinance and Subdivision Ordinance. 7 4. Traffic generation of the proposed use in relation to capabilities of streets serving the property. Comment: The subject property is accessed via Kadler Avenue, which is designated as a Major Collector Street by the Transportation Plan. Kadler Avenue between 70th Street and 80th Street has been improved to collector street standards. The developer will be required as a condition of subsequent zoning and subdivision approvals to make improvements to Kadler Avenue abutting the subject property consistent with collector street standards and to provide sufficient access and traffic capacity to accommodate development. 5. The proposed use can be accommodated by existing public services and facilities and will not overburden the City's service capacity. Comment: The City has sufficient service capacity including, but not limited to, sewer and water utility capacity to accommodate development of the subject property with an industrial land use within the West Sewer District. RECOMMENDATION City staff recommends approval of the requested amendments to expand the West Sewer District to include the subject property and to guide the subject property for future Industrial land uses. POSSIBLE ACTIONS A. Motion to recommend approval of amendments to the 2023 Comprehensive Plan for PID 118-800-224499 including the property within the West Sewer District and guiding it for Industrial land uses. B. Motion to recommend the application be denied based on a finding that the request is inconsistent with the goals and policies of Comprehensive Plan. C. Motion to table. c. Adam Flaherty, City Administrator/Finance Director Audra Etzel, City Clerk Ron Wagner, City Engineer David Kendall, City Attorney OPERATION SUMMARY Our mission is to create a comprehensive and sustainable truck maintenance facility, truck leasing operation and trucking company operations. The maintenance facility will consist of approximately 15,000-25,000 square feet with six bays, 2,000 square feet storage and 6,000 square feet of office space. The company is planning to leave room for future growth both office square feet and maintenance facility. Extensive parking yard for customers waiting to be serviced and once finished to store while waiting to be picked by owner. The company is also planning to own its own trucks and a trucking business and trailer leasing operations. A conservative approach will be taken that will allow for the best assimilation and integration of the facility to both the immediate and greater community. As stakeholders, we believe that incorporating sustainable approaches and practices in the realization of the truck maintenance facility offers the least negative footprint any business could have on the immediate community while simultaneously contributing to sustainability. We anticipate to have 10-20 customers per day and our busiest time is usually between 10:00 AM to 2:00 PM. The hours of operations will be 8:00 AM to 5:00 PM Monday to Friday. Which translates roughly one to two customers per hour. We are currently not planning to work on weekends but if some employee wants to finish work on truck will be allowed to work on Saturdays. The facility will be closed on Sundays. All repairs and maintenance will take place indoor which will minimize any odor and noise in addition, the facility will have HVAC per code regulations. The yard will be also used to be stored company trucks and trailers, customer truck and trailers and will be secured by fence and gate that will be only be accessible to authorized personnel only. The company owned trucks will mainly be over the road and out of state only returning for service and driver break. 1,234 ft Overview Legend Highways Interstate State Hwy US Hwy Roads City/Township Limits c t Parcels 1/1CIVIL ENGINEERINGSITE DESIGN17912 Enigma Way Lakeville, MN 55044 Abdul Ali 612-275-1224 abdul.ali.roadrunner@gmail.com Village Group, LLC PLAN LEGEND: 456738456738 456742 456742 456742 456742 456736 456739 456739456739 456719 456719 §¨¦9 4 456737 456718 EF137 456738 FUTURE LAND USE PLAN00.5 10.25 Miles É 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 beenprepared for, or be suitable for legal, engineering, or surveyingpurposes. Users of this information should review or consult theprimary data and information sources to ascertain the usabilityof the information. 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 COMPREHENSIVE PLAN 2023 ADOPTED: AMENDED: Res 2023-52,14 Aug 23 Res 2024-52, 22 Jul 24 !!!!!!!!!!! !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!W2 E5 E2 E3 456738 456742 456742 456736 456739 456719 §¨¦9 4 456737 456718 E4 456738 W1 ")137 ")137 E1 W3 URBAN SERVICESTAGING PLAN00.5 10.25 Miles É 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 beenprepared for, or be suitable for legal, engineering, or surveyingpurposes. Users of this information should review or consult theprimary data and information sources to ascertain the usabilityof the information. COMPREHENSIVE PLAN 2023 ADOPTED: AMENDED: Res 2023-52, 14 August 2023