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ITEM 5.4 Temporary Dwellings0 otS11.1: O MINNESOTA V DEPARTMENT INFORMATION Request for City Council Action ORIGINATING DEPARTMENT: REQUESTOR: MEETING DATE: Planning City Planner Licht 25 July 2016 PRESENTER(s): REVIEWED BY: ITEM #: City Planner Licht City Administrator Johnson 5.4—Temporary Dwellings AGENDA ITEM DETAILS RECOMMENDATION: This item is for information only. ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED? No. Noticed for Planning Commission 1 August 2016. BACKG ROUN D/J USTI FICATION: During the recent legislative session, a law was enacted amending Minnesota Statutes 462 (Municipal Planning) to provide allowance for temporary family health care dwellings under zoning ordinances adopted by local units of government. As the title implies, these dwellings are temporary portable housing units accessory to a principal dwelling to assist families in providing medical treatment, rehabilitation, and/or end of lie care outside of traditional medical facilities. Minnesota Statues 462.3593 establishes definitions, performance standards, and review procedures for the temporary family health care dwellings, as well as an opt out provision whereby cities can elect not to allow the units. Example units are trailer mounted with retractable wheels for temporary placement upon a property and are similar to contemporary ice fishing houses. The units may either be purchased or the company behind the Statute is also providing lease options for users interested in temporary family health care dwellings. Allowance of such uses would be consistent with the goals of the Comprehensive Plan to provide housing options for persons of all needs, including those addressed by the Statute requiring specialized housing and care related to medical issues. However, allowance of temporary family health care dwellings must also be considered within the context of the performance standards outlined by Minnesota statutes 462.3593 and other requirements the City might impose as to whether such uses will be compatible with surrounding land uses and are adequately served by infrastructure to protect public health safety and welfare intended to maintain high quality residential neighborhoods. The zoning related performance standards include provisions intended to ensure the temporary use of the unit including limited area, prohibition on permanent foundations, and transportation by either one - ton pickup or semi -tractor commonly available. The performance standards also address temporary connection to electric and water utilities (including a backflow check valve), but not sanitary sewer; the units would likely need to include a holding tank and require regular maintenance for this purpose. Under the application information required for a temporary family health care dwelling permit, an executed contract for septic service management or other proof of adequate septic service management must be submitted. However, City staff does not believe that the performance standards established by Minnesota Statutes 462.3593 provides adequate means to ensure adequate sewer service. Minnesota Statues 462.3593, Subd. 4 provides that a permit for a temporary family health care dwelling is valid for six months and that one six month extension may be requested. Minnesota Stautes 462.3593, Subd. 5 provides that a city may revoke a temporary family health care dwelling permit with a 60 day notice for violation of the performance standards. However, The performance standards do not address provision of a security as part of a temporary family health care dwelling permit to ensure removal of the unit after the expiration of the allowed term of use. The City has seen in the past where similar temporary dwellings to accommodate families have remained long after the conditions for allowing the structure expired in the case of manufactured homes allowed to be located on farm properties. Allowance of a temporary dwelling unit upon the property for an extended period of time beyond that intended by Minnesota Statutes 462.3595 would be inconsistent with the provision of Section 20-16-2 of the Zoning Ordinance regulating use of structures as dwelling units. Minnesota Statutes 462.3593, Subd. 9 provides an opt out clause to the allowance of temporary family health care dwellings. The opt out provision is enacted by amending the Zoning Ordinance. City staff recommends that the City opt out of allowing temporary health care dwellings for the reasons outlined herein. The City Council Administrative Subcommittee discussed temporary health care dwellings at their meeting on 13 July 2015 and concurred with the recommendation of City staff. The Planning Commission discussed allowance of temporary family health care dwellings at their meeting on 18 July 2016 and passed a motion to call for a public hearing to be held to consider amendment of the Zoning Ordinance to opt out of allowing temporary health care dwellings within the City. SUPPORTING DOCUMENTS: ❑ ATTACHED ❑ NONE A. StarTribune article June 4, 2016 B. NextDoor Housing brochure POSSIBLE MOTION Please word motion as you would like it to appear in the minutes. No action is requested. BUDGET INFORMATION FUNDING: I BUDGETED: ❑ YES NA I o NO New Brighton firm's tiny trailer homes offer aid for families in need - Star... http://www.startribune.com/tiny-trailer-homes-offer-a-solution-for-fami... EAST METRO New Brighton company's tiny trailer homes offer solution for families in need New Brighton entrepreneurs helped write a bill to allow their small mobile homes into yards. By Erin Adler (http://www.startribune.com/erin-adier/195633361/) Star Tribune JUNE 4. 2016 — 12:42PM At different times, Jesse Lammi and John Louiselle have received the same bittersweet update: Their sick relative was healthy enough to leave the hospital. The bad news: Their family had to track down a safe, affordable and local place for their still -fragile family member to convalesce in just a few days. The young entrepreneurs created New Brighton -based NextDoor Housing to help families avoid that dilemma. In a twist on the "tiny homes" trend, their company sells and rents out 240-square-foot, handicapped accessible trailers designed to sit temporarily in homeowners' backyards when a family member can't quite live independently. "Really, the goal here was to provide time and sanctuary for people in need," Lamm! said. "A spot where you can be near family but still have that privacy and independence." A new bill passed weeks ago allows parking the 8-by-30-foot structures — called Drop Homes or granny pods — on single-family home lots for six months with a $100 permit, unless barred by a local ordinance. "The nexus of NextDoor Housing really is just trying to add another option to the current ones," Louiselle said. Rep. Roz Peterson, R-Lakeville, and Sen. John Hoffrnan, DFL-Champlin, sponsored the bill. Lamm! and Louiselle crafted a "relatively complicated" bill —the Temporary Family Health Care Dwellings Bill — mostly on their own, Peterson said, an impressive feat. Peterson was also taken with the idea of Drop Homes. "I have a 96 year -old father and personally experience the challenges," Peterson said. "People need to have some choices and this is just one other ... tool in the toolbox." Lammi and Louiselle grew up playing hockey together in the northern suburbs. They reunited after college and came up with the NextDoor Housing concept, drawing on college majors in health care and economics. "It really was a combination [of both of us]," Lammi said. "I kind of had modular housing ideas, and John brought the health care side into it." The business began in 2014 and leapt forward when the two received a $340,000 grant from the Minnesota Department of Human Services. NextDoor Housing contracts with a company in north -central Minnesota to construct the homes. Each Drop Home plugs into a 50-amp outlet and has heat, air conditioning, heated water and a bathroom with a shower. They can be pulled with a one -ton pickup truck, making them mobile. The homes cost $45,000 to $70,000 to purchase or $1,250 a month to rent through NextDoor. Combining that rent with in -home health care would cost about $3,500 a month, the same or less than a spot in assisted living. (http://stmedia.startribune.com/irnages /ows_1465OlM5512607.jpg) The small mobile homes are designed to be used by people who are recovering from an injury or illness or for those who may have a Elfhpi0t;5lal pn-kwWinna9es /ows_146501345223863.jpg) Each mobile home (called a Drop Home) features heat, air conditioning, heated water, a bathroom with a shower and a bed and bedroom "The price of nursing home care has skyrocketed in the last five years," Louiselle said. `A 1 of 2 7/11/2016 9:10 AM New Brighton firm's tiny trailer homes offer aid for families in need - Star... http://www.startribune.com/tiny-trailer-homes-offer-a-solution-for-fami... lot of people need that, but there are individuals who land in nursing homes that don't necessarily need or want to be there." A lot of interest has come from rural Minnesota, Lamm! said, where there are already a few Drop Homes sheltering people with medical problems. So far, three have been sold and two rented. Since the law takes effect Sept.1, the real kickoff will be at the Minnesota State Fair in August, where they'll "go full-scale launching our rental operation," Lammi said. The goal is to sell or rent five Drop Homes by the fair's end, Lammi said. New Brighton Mayor Val Johnson, a Lammi family friend who has advised both partners on their business, called their brainchild "brilliant." "When people have a good idea and they work diligently to make it happen, it's important to support them," Johnson said. "It's not always about experience but more about drive." "We're the only company around doing this," Lammi said. "We really believe it's the wave of the future." 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