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6. Memo on Modular Housing for 02.04.20 PC mtg Memorandum To: Scandia Planning Commission Reference: February 4, 2020 Ken Cammilleri, City Administrator Brenda Eklund, City Clerk Planning Commission Meeting From: Merritt Clapp-Smith, Planner Date: January 28, 2020 Information on Modular Housing and What the Zoning Code Allows The modular construction industry for dwelling units is growing rapidly and provides a good option for more affordable and sustainable units. Scandia is likely to see an increasing number of building permits for modular homes*, as either primary or accessory dwellings. In anticipation of the market demand, it is prudent to consider the Scandia Code as it relates to these types of units. Attached are the code citations that I found which relate to secondary or modular dwellings. I underlined those items which might inhibit, in some way, the ability to construct a modular unit. Items to consider for modular accessory dwellings are: • minimum and maximum floor area (Current min. = 400 sq ft and max. = 1,000 sq ft) • whether or not the structure has a foundation • building materials and design relationship to primary dwelling • relationship of occupants • inclusion of secondary units in accessory building limits After each noted citation, I placed a text box with a question to consider about it. At the Planning Commission meeting, I will share some images and information about modular housing on the presentation screen, to inform the discussion. The intent of the discussion is to familiarize the Commission with this emerging housing product and to consider how the city code supports or limits it. https://accessorydwellings.org/what-adus-are-and-why-people-build-them/ https://www.zipkithomes.com/plans-pricings/ https://expressmodular.com/ *A modular home is pre-fabricated in a factory and the component elements are then assembled on site. Modular homes, like manufactured homes, fall under building code review Scandia Planning Commission Meeting Page 2 February 4, 2020 by the State, at the site of manufacturing. Local building officials are not required to review electrical, plumbing and other items build into the pre-constructed modules at the factory. Scandia Development Code Ordinance citations relevant to modular housing and secondary dwelling units Chapter 2, Section 3 Development Standards 3.1 (4) Single Family Dwellings (A) Minimum Width and Foundations. In all districts where single family dwellings are permitted, the following standards shall apply for single family dwellings, except for temporary dwellings permitted by Chapter Two, Sections 4.31, 4.32 and 4.33 of this Development Code: 1. The minimum width of the main portion of the structure shall be not less than twenty (20) feet, as measured across the narrowest portion. 2. All dwellings shall be placed on a permanent foundation and anchored to resist overturning, uplift and sliding in compliance with the Minnesota State Building Code. (B) Certain Dwelling Units Prohibited. No cellar, garage, recreational vehicle or trailer, basement with unfinished exterior above or accessory building shall be used at any time as a dwelling. (C) Occupancy of a Single Family Residential Dwelling. No more than 6 persons not related by blood, marriage or adoption shall reside in a single-family residential dwelling. QUESTION: This type of requirement, zoning code basic for most communities for years, is now being removed in many codes. The “traditional” household, as thought of in the past, is less common than it used to be. Shared living arrangements among unrelated persons are more common today and are growing in prevalence. Shared living among adults help address affordability challenges for people dependent on wages from the service industry and other low- wage employment. QUESTION: Is 20 feet the right standard? This requirement, as written, essentially limits any structure under 400 square feet. QUESTION: Does this requirement distinguish between mobile homes and modular homes in a manner that makes sense, and is the desired policy of the city? Scandia Planning Commission Meeting Page 3 February 4, 2020 Chapter 2, Section 4 Standards for Uses 4.2 Accessory Dwelling Unit An Accessory Dwelling Unit shall comply with all of the following standards: (1) There shall be no more than one Accessory Dwelling Unit permitted on a lot. (2) The Accessory Dwelling Unit shall be owned by the same owner or owners of the principal residential or commercial structure. (3) No separate curb cut shall be permitted for the Accessory Dwelling Unit, unless approved by the City, consistent with the design standards of the appropriate road authority. (4) The Accessory Dwelling Unit shall be connected to an approved on-site waste disposal system. (5) The Accessory Dwelling Unit shall be subject to the same zoning dimensional setbacks and height standards as the principal dwelling unit. (6) A density unit is not attributed to an Accessory Dwelling Unit when calculating density. (7) Administrative Permit Requirements: (A) Recorded Covenant Required. Prior to issuance of the City’s administrative permit authorizing an Accessory Dwelling Unit, the owner(s) shall file with Washington County Recorder’s Office a covenant running from the owner(s) to the City of Scandia acknowledging the owner’s agreement to restrict use of the principal and Accessory Dwelling Unit in compliance with the requirements of the Development Code. (B) Covenant Requirements. The covenant shall run with the land and be binding upon the property owner, their heirs and assigns, and upon any parties subsequently acquiring any right, title or interest in the property. The covenant shall be in a form prescribed by the zoning administrator and shall include the legal description for the lot. The property owner(s) shall return the original covenant with the recording stamp to the zoning administrator before the permit for the Accessory Dwelling Unit is issued. (C) Application. The owner of property on which an Accessory Dwelling Unit is proposed shall file a permit application by paying the required fee and submitting a completed application form and supporting documents as set forth on the application form. The zoning administrator will review the application to determine whether the application is complete and the subject property is eligible to receive the requested permit. (D) Notification. Upon the determination that a complete application has been submitted and that the property is eligible to receive the required permit, the City shall notify all property owners adjacent to the lot where the Accessory Dwelling Unit is proposed in writing of the application, and adjacent property owners shall have seven (7) days in which to submit comments or concerns about the application. Scandia Planning Commission Meeting Page 4 February 4, 2020 (E) Revocation. If a permitted Accessory Dwelling Unit or the property for which a permit has been issued fails to meet the requirements of the permit, or if a property for which a permit has been issued becomes ineligible for such permit, the permit may be revoked upon the determination by the zoning administrator that the noncompliance and/or ineligibility issues cannot or have not been resolved. If a permit is revoked, occupation of the unit by a person or persons other than the family occupying the principal dwelling unit shall cease within 60 days of the date of the revocation. (F) Appeals. Determinations pertaining to the continuing compliance and/or eligibility of a permit or property for an Accessory Dwelling Unit permit are subject to appeal to the City Council. (8) A lifetime, non-transferrable Accessory Dwelling Unit Occupancy Permit shall be required from the zoning administrator to allow an Accessory Dwelling Unit to be rented. For purposes of this provision, a “rented” Accessory Dwelling Unit is one that is being occupied by a person or persons other than the family occupying the principal dwelling unit. Each property owner seeking to rent an Accessory Dwelling Unit, or occupy an Accessory Dwelling Unit while renting the principal dwelling unit, shall apply for a new Occupancy Permit. (A) Conditions. The City may impose conditions on the issuance of an Accessory Dwelling Unit occupancy permit. Such conditions shall be directly related to, and shall bear a rough proportionality to, potential impacts of the Accessory Dwelling Unit. (9) Accessory Dwelling Units that are internal to a principal structure or accessory structure (garage barn, etc.) shall comply with the following requirements: (A) Accessory Dwelling Units that are internal to a principal structure or an accessory structure are permitted in all zoning districts. (B) Internal Accessory Dwelling Units are limited to one thousand (1,000) square feet in area. In no case shall the floor area of the internal Accessory Dwelling Unit exceed the floor area of the first floor of the primary structure or accessory structure. (C) The creation of the Accessory Dwelling Unit shall not result in additional entrances facing the public street on the primary structure. (D) The appearance or character of the principal building shall not be significantly altered to create the Accessory Dwelling Unit so that its appearance is no longer that of a one-family dwelling. (E) The primary exterior materials of the Accessory Dwelling Unit shall match the primary exterior materials of the principal structure, unless it is located within an existing structure that does not match the primary structure. (F) The Accessory Dwelling Unit must abide by the primary structure setbacks. (10) Detached Accessory Dwelling Units shall also comply with the following requirements: (A) Accessory Dwelling Units that are located within detached accessory buildings are permitted in all zoning districts. Scandia Planning Commission Meeting Page 5 February 4, 2020 (B) The floor area of a detached Accessory Dwelling Unit shall not exceed one thousand (1,000) square feet. When a lot includes a detached Accessory Dwelling Unit, the combined floor area of the footprint of the detached Accessory Dwelling Unit, and all other accessory structures on the lot shall be consistent with the number and size of accessory structures permitted by the Development Code. (C) The detached Accessory Dwelling Unit must be located in the rear or side yard of the primary residence, and shall not be located closer to the road right-of-way than the principal structure without a variance unless all of the following conditions are met: 1. The accessory structure is at least 200 feet from the road right-of-way on lots of five (5) acres or more; and 2. All setbacks are met. (D) Design Standards for detached Accessory Dwelling Units on lot sizes of 4 acres or less: 1. The exterior finish material shall match in type, size, and placement, to the exterior finish material of the principal building. 2. The roof pitch shall match the predominant roof pitch of the principal building. 3. Design Standards shall not apply to a unit that is located within in a barn, silo, or historic structure. (11) Home occupations are permitted in Accessory Dwelling Units, provided that the combined impacts of home occupations in the Accessory Dwelling Unit and principal dwelling unit conform to the standards and limitations for home occupations in Chapter 2, Section 4.9 of this Development Code. QUESTION: Should secondary dwellings count toward overall accessory building limits per lot, if they count toward the 25% lot coverage limit? QUESTION: Is this design requirement necessary? It prohibits design flexibility and is very likely to drive up the cost of the unit. Many affordable and/or energy efficient dwellings will have different materials and design than homes of the past.