Planning Commission Minutes

CITY OF VICTORIA
REGULAR PLANNING COMMISSION MEETING
APRIL 20, 2010

MEETING

Pursuant to due posted and mailed notice thereof, the Victoria Planning Commission met on April 20, 2010, at 7951 Rose in the Council Chambers.

Chair Donadio opened the meeting at 6:30 p.m.

Members Present: Chair James Donadio III; Commissioners: Jeffrey Loeschen, Grant Peterson, Michelle Siegert and Tom Vogt (arrived at 6:31 p.m.).

Members Absent: None.

Others Present: Community Development Director, Holly Kreft; Councilmember Jim Paulsen; Mayor Mary Hershberger Thun; Unsie Zuege, The Chanhassen Villager, and others.
 

A motion was made by Siegert, seconded by Peterson, to adopt the agenda. Vote: 4 Ayes, 0 Nays. Motion Carried.
 

#3 APPROVAL OF MINUTES:

A motion was made by Donadio, seconded by Peterson, to adopt the agenda. Vote: 4 Ayes, 0 Nays. Motion Carried.

The above minutes were reviewed.
 

Commissioner Vogt arrived at 6:31 p.m.

Ms. Kreft stated that staff is recommending this be continued due to additional information that was needed in order to move forward that has not been received to date. She said she notified the neighborhood. She noted that if Jaguar Communications decides to withdraw the request she will forward that to the Planning Commission.

Chair Donadio stated the public hearing will be continued to May 4, 2010.
 

Chair Donadio reviewed the public hearing process.

Ms. Kreft said that included in the packet is an aerial photo that shows the site as it previously existed. She noted this was included because the aerial photo hasn’t been updated since the grocery store was built.

Ms. Kreft explained the City of Victoria requires off-sale liquor stores as a conditional use permit within the central district. She said in 2005 the city added this as a conditional use within the central business district. She noted that prior to 2005 the ordinance was silent on off-sale liquor. She stated there was a request for a second liquor store in 2005 which prompted the change. Ms. Kreft said that based on review of other communities in Carver County, no other communities require a conditional use permit for off-sale liquor.

Ms. Kreft stated this is a conditional use permit so the use should specifically be looked at and not the liquor license. She noted the liquor license is a public hearing that will go before the City Council. She said the city does not limit the number of off-sale liquor licenses.

Ms. Kreft said that included in the staff report is an overview of the liquor licenses that the city currently has in place. She noted there is one current exclusive off-sale liquor license and the remainder are a mixture.

Ms. Kreft noted that in 2007 the city approved a second liquor license for Parker Tannins that was located in the Notermann Building. She said included is the number of liquor licenses for each of the surrounding communities.

Ms. Kreft explained that specific to this use the applicant is requesting to utilize the northern portion of the Fresh Seasons Market building. She said there will be a separate access on the north end for both deliveries and for people entering from the parking lot. There will also be an interior access from within the grocery store. Ms. Kreft stated the proposed space is 2,400 square feet which includes shared restrooms and because the hours for both uses are the same according to building code they are able to use shared restrooms.

Ms. Kreft said the applicant is proposing to open a second store. They currently operate Crossroads Liquor in Shakopee. She noted that because the store in Shakopee is larger most of the storage will be at that site with daily deliveries to the proposed Victoria store.

Ms. Kreft reviewed the parking standards. She said when the grocery store was approved the parking standards were based on 28,050 square feet of all retail. The number of parking stalls is 71 as currently striped and the required was 51. She stated the parking on site is met.

Ms. Kreft said the proposed wall signs are included in the packet. She showed the three wall signs being proposed. One would be above the entry on the northern portion of the building, another on the south side of the building below the Fresh Seasons Market sign and one on the west elevation. Ms. Kreft said that staff prepared a table showing the square footages of signage that is allowed. She noted they are at or below the allowable square footage for signs.

Ms. Kreft explained that there have been questions regarding city assistance for the Victoria City Center. She noted that staff has provided an overview of the assistance in the staff report.

Ms. Kreft said the conditional use permit findings were also included. She explained that there are four criteria the Planning Commission must consider. She stated there are no specific conditions required by the ordinance for an off-sale liquor establishment. She said that staff is recommending the four conditions be attached as part of the approval.

Ms. Kreft stated that staff is recommending approval of the conditional use permit with the four conditions as written in resolution 10-03.

Commissioner Vogt stated the conditional use permit process is the primary process to decide if there is a second store in the downtown area; it is not the liquor licensing process. Ms. Kreft said the applicant needs both a conditional use permit and a liquor license in order to operate a liquor license within the City of Victoria.

Chair Donadio asked if the signs are going to be lighted. Ms. Kreft responded yes.

Commissioner Siegert asked about the entrance south of the current entrance. Ms. Kreft explained that according to the statute for off-sale liquor establishments there would need to be another access to the south to meet the liquor license requirements.

Commissioner Peterson asked about the parking requirements and the uses of the building. Ms. Kreft explained that when the preliminary plat for Victoria City Center LLC was approved the parking was done at the amount of retail. She said the requirement was 51 parking stalls and as currently built there are 71 parking stalls. Commissioner Peterson clarified that some of the parking is leased to the Clock Tower Building expansion. Ms. Kreft said correct, there is a long term parking lease for 15 stalls.

Commissioner Siegert asked about the financing improvement programs. Ms. Kreft said the city has provided assistance to businesses in the past. She explained the city has also provided exterior assistance over the course of the years. Currently the Finance Committee is recommending a business exterior improvement program that would standardize that process.

Chair Donadio opened the public hearing at 6:45 p.m.

Paul Schindler, 634 Carver Bluffs Parkway, Carver, introduced himself and Bob and Cindy Poppitz and said they currently own Crossroads Liquor. He said for the past 11 years they have operated and owned the store in Shakopee with a staff of approximately 20 people. He noted that 10 of the employees have been with them for 10 years and 6 of them have been there for more than 6 years. He said they provide exceptional customer service, competitive pricing and a wide variety of liquor, wine and beer choices. Mr. Schindler stated they are also strong believers in the community and feel strong about giving back to the community. He said they plan to be aggressive, offer multiple discounts and coupons and develop relationships with the different people that come in.

Chair Donadio asked about the separate entrance. Mr. Schindler said that is something the state requires. He explained the entrance would be pushed over 10 to 15 feet to the right. He said a common area would be created so when you come in you could either go right or left. He noted that the current door would be used for displays.

Commissioner Siegert asked if this is the standard trademark signage. Mr. Schindler said yes, it is very similar to what is in Shakopee. Commissioner Siegert said some of the signs were red and some were white. Mr. Schindler said the preference is to do the white lettering on all sides. Commissioner Siegert asked if the pictures are approximately to scale. Mr. Schindler said the sign person was aware of the required regulations.

Chair Donadio asked when the opening would be. Mr. Schindler said somewhere between July 1^st and August 1^st depending on equipment.

Deep Baveja, exclusive liquor license off-sale owner in Victoria, said when this grocery store was funded there was a lot of city money used and city owned land was involved. He said tax money from local tax payers was used. He stated that all the planning shown at that time of approval with TIF money was for the city to get a grocery store and a pharmacy. Mr. Baveja said this will affect the local existing business owners. He said he sees a lot of city involvement in this property which will be used for selling off-sale liquor. He said he has never had any funding for land. Mr. Baveja stated that for the off-sale liquor license you cannot transfer a liquor or beer from one location to another.

Randy Miller, Business Development Committee, speaking as a resident of Victoria, complimented and applauded the city council, staff and committees for being progressive in marketing and promoting new business and recognizing the importance of new development expansion within the City of Victoria. He talked about the past years and said the condominiums have had 42 new residents within 5 years, the Clock Tower has multiple new businesses, the KidTalk building has multiple tenants, Fresh Seasons Market, Alphabet Junction, Cabin Fever expansion and new tenant, the Hanger, Subway, new owners at Vics Bar and Grill, Floyds Bar and Grill expansion, Victoria Autoworks, Diggers Polaris and Marine, Fire Station, Water Treatment Plant and the Victoria Recreation Center name change and another sheet of ice. Mr. Miller stated it is important to realize developers continue to focus and acquire land for future development in Victoria. He welcomed Crossroads Liquor to Victoria.

Dale Riley, Fresh Seasons Market, echoed what Mr. Miller said. He said they were attracted to Victoria because of the projected nature of the city. He stated their business has been challenged like most businesses have been in the last year. He said they are very dedicated to the business and look forward to having a tenant. Mr. Riley said they did want to have a pharmacy and they had a deal with Snyder’s who has now shut down. He said a liquor store compliments food very well. He said the shared entrance will give people an option on which way to go. Mr. Riley stated competition is out there. He said he thinks there is an opportunity for more business to stay within City of Victoria with the additional liquor store and the wine selection that Crossroads offers. He stated there is a need for additional businesses downtown. Mr. Riley said their self interest is to help business grow. He said they changed the agreement with the Hartman’s to allow for entrances within the parking lot because they need the additional business. Mr. Riley said to keep the downtown growing and strong.

Lois Plocher, Owner of Floyds, said she also thinks the continued growth is important. She said it is wonderful not to see the vacated CH Carpenter building. She stated she personally thinks it would be another asset to see the north end of the Fresh Seasons Market building occupied and another business moving in. Mrs. Plocher said she understands the concern with a similar business coming in. She stated competition is always good. She said more people come to town because they have a choice and a selection.

Robin Robey, Co-Owner of Salon SPAtoria, said competition is good, they are opening right next door to Joel the Barber and they welcome it. She said she would love to see Victoria keep this momentum. She said please welcome and she hopes it works.

Joel Gabrielson, Owner of Joel’s Original Barbers, said he was in the Notermann Building for 3 ½ years. He said this has been such a great experience. He stated he cannot believe the amount of traffic that Fresh Season’s Market has brought along with other businesses. He welcomed Crossroads and said it will be a huge benefit to the businesses downtown.

Brandon Wallis, Owner of School of Wise, said he keeps hearing from customers "how long have you been here". He said they have been there five years and they need the foot traffic. He encouraged the Planning Commission to welcome them as well.

Chair Donadio closed the public hearing at 7:02 p.m.

Commissioner Siegert asked if the TIF in place for the Fresh Seasons Market building was tied to a specific use. Ms. Kreft responded no.

Commissioner Siegert clarified that the transfer of liquor from one place to another would be covered under the liquor license application. Ms. Kreft said it would be covered under the liquor license application. Mr. Schindler said the ordering would be done from the store and then two invoices would be created and so much would be delivered to one store and so much to the other store. He noted a couple of the vendors would be the same. He stated he would purchase beer directly from the vendor and would not be allowed to move it from store to store.

Commissioner Siegert clarified there would be no expansion other than the 2,400 square feet for the liquor store if it does well. Ms. Kreft said no, not to her knowledge.

Commissioner Vogt asked Mr. Baveja how many years he has been in business in Victoria. Mr. Baveja said he has had the liquor license since 2001, so 9 years. Commissioner Vogt asked how much financial assistance he has received. Mr. Baveja said they have not received anything for the liquor business. He said for the gas station the monument sign had to be changed so half of that cost was paid which amounted to approximately $6,000 paid for by the City.

Commissioner Vogt stated he has a concern with some of the criteria and said some of the criteria refers to general welfare, necessity and desirability. He said there is a business in Victoria that has been here for 9 years and hasn’t had any financial assistance for his liquor business. He said Crossroads Liquor will reside in a building that has been subsidized with an amount of $863,000 by the city, state and TIF. He said the concept is very good but the concept is going to potentially have a negative effect on an existing business. Commissioner Vogt said the two liquor stores are going to be approximately two blocks apart. He said the method of business for Crossroads Liquor will have to be price and head to head competition with the existing liquor store. He stated it is possible there is not going to be two winners. Commissioner Vogt said the fact the city subsidized the Fresh Seasons Market building was a good thing, but a battleship has been built. He stated this does not seem right to him. Commissioner Vogt said the city and the tax payers have funded this project which is now creating head to head competition for an existing business that has been in Victoria for 9 years and that doesn’t seem fair. He said in his opinion there will be a winner and a loser.

Commissioner Siegert said she is uncomfortable speculating if one will go out of business or one will be more successful. She reiterated that there was no specific use tied to this TIF. She said conditional use permits are not as discretionary as some people may think.

Commissioner Peterson said he thinks the three signage locations are excessive. He stated his preference is to go with the white lettering. Ms. Kreft showed the elevations. Commissioner Peterson said he thought there was additional signage on the front door and retracted his comment.

Commissioner Siegert asked about the east and south combined square footage for the signage. Ms. Kreft said she did that because of the total square footage, but she can clarify that for the City Council.

Commissioner Siegert asked who is responsible for the restrooms when two businesses share them. Mr. Riley responded that Fresh Seasons Market would be responsible.

Commissioner Loeschen questioned what the population of Victoria was 9 years ago versus what it is today and what the projected growth is. He said there is a growing community of residents with growing demands. Ms. Kreft said the 2000 census was approximately 4,200 and the projected population for 2030 is 28,000. Commissioner Siegert noted that was one of the largest in Carver County and Victoria is also the largest geographically based on the annexation area.

Commissioner Vogt asked how many housing permits were approved last year. Ms. Kreft responded 50 and for this year so far there have been 25 permits approved. Commissioner Vogt said the population growth in the plan was based on the last couple years. Ms. Kreft said the projections were released by the Metropolitan Council in 2005, prior to the shift in the housing market.

A motion was made by Donadio, seconded by Siegert, to approve the conditional use permit application request for Crossroads Liquor for an off-sale liquor license located at 7999 Victoria Drive; Resolution 10-03. Vote: 4 Ayes, 1 Nay (Vogt). Motion Carried.

Commissioner Siegert suggested adding a condition to reflect the signs have no red and also limiting the square footage of the liquor store to what the current capacity is.

An amended motion was made by Siegert, seconded by Vogt, to approve the conditional use permit application request for Crossroads Liquor for an off-sale liquor license located at 7999 Victoria Drive; Resolution 10-03; with the conditions that the sign lettering should reflect no red and the square footage of the liquor store is limited to the current capacity. Vote: 4 Ayes, 1 Nay (Vogt). Motion Carried.

Ms. Kreft explained this request is by Klein Bank to relocate the existing monument sign located on the south portion of the property. She showed the existing sign on the aerial photo and said the proposed location is the southeast corner. Ms. Kreft said the variance requested would allow a setback from 10 feet to 0 feet from the right-of-way for Highway 5. She said the site plan is included in the packet. She noted the applicant will meet the setback from the east property line as proposed. She said a mock up for the proposed monument sign is also enclosed.

Ms. Kreft said the applicant is requesting the variance because of the shift in right-of-way along Highway 5 in order to gain better sight lines along Highway 5. She stated that staff forwarded the request to Mn/DOT and they did not have any concerns, but noted the applicant should not be on the right-of-way otherwise a permit will be needed.

Ms. Kreft noted the proposed signage will not include digital or color graphic. She said the sign will be a monochromatic LED sign. She noted that in 1997 the city first approved the signage and showed the original signage.

Ms. Kreft stated staff is recommending approval of the variance based on the findings with the 3 conditions noted in the variance resolution. She said it is unique because it is the only commercial property that has this impact with the shift in right-of-way.

Commissioner Siegert asked if the land needs to be built up. Ms. Kreft said that is within the right-of-way area. She said she recommended that the designer have it surveyed to make sure they know exactly where the property line is because Mn/DOT will remove anything located in the right-of-way.

Chair Donadio asked where this fits in with the Highway 5 expansion. Ms. Kreft said all the impacts have been shown to be on the south side of Highway 5.

Chair Donadio asked about plans for Quamoclit. Ms. Kreft said there is space for a right-turn lane and that will possibly be added this spring.

Commissioner Vogt commented on the hardship and said the adjacent parking lot has cars parked further towards the road. He said it is not only a problem with the change in the roadway but a problem with the adjacent parking lot.

Commissioner Siegert clarified that flashing is not allowed on the sign. Ms. Kreft said correct, it would be an LED sign versus the bulbs that are in the existing sign. She noted it is similar to the St. Victoria sign.

Chair Donadio opened the public hearing at 7:29 p.m.

Chair Donadio closed the public hearing at 7:29 p.m.

A motion was made by Vogt, seconded by Loeschen, to approve the variance for the Klein Bank for property located at 1630 Arboretum Boulevard for the signage contingent on the 3 conditions outlined by staff. Vote: 5 Ayes, 0 Nays. Motion Carried.
 

None.
 

Councilmember Paulsen had nothing to report.
 

None.
 

A motion was made by Vogt, seconded by Siegert, to adjourn the meeting at 7:30 p.m. Vote: 5 Ayes, 0 Nays. Motion carried.
 

Respectfully submitted,

Tanya Schmieg
TimeSaver Off Site Secretarial, Inc.