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7. Staff report_Temporary Farm Dwelling Ordinance Amendment PC 03.02.2021 Memorandum To: Scandia Planning Commission Reference: Potential Zoning Ordinance Amendment – Temporary Farm Dwellings Copies To: Brenda Eklund, Clerk Ken Cammilleri, City Administrator Project No.: 18109.000 From: Evan Monson, Planner Routing: Date: February 24, 2021 SUBJECT: Potential ordinance amendment to the current standards for Temporary Farm Dwellings MEETING DATE: March 2, 2021 BACKGROUND The Development Code includes the regulations for land use and development in the City of Scandia. Chapter 2 lists the Zoning Regulations, such as districts, permitted uses, and standards applicable to permitted uses. The Temporary Farm Dwelling land use is a use that is currently permitted through an Interim Use Permit (IUP) in the following zoning districts: Agriculture District – Core (AG C), Agriculture Preserve (AP), General Rural (GR), Village Neighborhood (VN), and Rural Commercial (R COMM). The Temporary Farm Dwelling land use is defined in Chapter 1 of the Development Code as “A manufactured home located in an agricultural district which is an accessory dwelling unit occupied by members of the family engaged in farming on the premises and meeting other criteria specified in the Development Code.”. It currently has a number of land use specific standards that must be meet in order to be permitted. The Scandia housing market is lacking in options other than single-family dwellings. This can create issues for those looking to live and work in the City. In the context of this potential amendment, in what ways can the City better provide options for those working as seasonal, part-time, or full-time farm workers? In order to continue to guarantee farming operations are a viable profession, and in looking to meet the vision of the Comprehensive Plan, it may be in the City’s interest to revise the requirements for this land use. CURRENT REQUIREMENTS Page 2 has the current standards for this land use as found in Chapter 2, Section 4.28: Temporary Farm Dwellings Staff Report March 2, 2021 Scandia Planning Commission Page 2 (1) The temporary farm dwelling is an accessory use to the principal dwelling and may only be located on a farm of at least 75 acres in size. (2) The property is limited to 1 temporary farm dwelling unit. (3) The structure is subject to the same zoning dimensional setbacks as the principal dwelling unit. The structure shall not be located closer to the road right of way than the principal building. The structure shall be located to the side or rear of the principal building and shall be screened from view of the road right of way. (4) The dwelling may be occupied only by persons who are engaged in the occupation of farming on the premises as partners, employees or other business associates of the persons living in the principal dwelling house on the premises; and who earn 50% or more of their annual gross income for federal income tax purposes from such farming on the premises. (5) The temporary farm dwelling unit shall use the existing road access drive of the principal dwelling unit. (6) The unit shall be connected to an approved on-site waste disposal system. (7) The property owner shall submit a financial guarantee to the Zoning Administrator to ensure that the structure will be removed upon termination of the interim use permit. The amount of the guarantee shall be determined by the Zoning Administrator (8) Termination of Permit. The interim use permit shall expire at such time as the persons occupying the structure are no longer engaged in farming as required by paragraph (4), above, or the farm has been reduced to less than 75 acres in size, or such earlier date as may be determined in the interim use permit. At the termination of the interim use permit, the temporary farm dwelling shall be removed from the premises within 30 days. These requirements serve the purpose of limiting this type of use to certain areas, and for a certain user. The City also allows Accessory Dwelling Units or ADUs (Chapter 2, Section 4.2), which would be the most similar land use. An ADU is permitted in more zoning districts, can be attached or deta ched from the principal dwelling, and is not limited to just farming workers. An ADU also requires covenants be put in place to prevent the separate selling of the principal structure and the ADU. A property owner who has an ADU and farmland could currently rent the ADU to a farm worker. Likewise, they could also just rent a room out of the house to a farm worker as well. Other communities in Minnesota have similar temporary or accessory housing land uses for farm workers. A few nearby examples included City of Afton, City of Grant, City of Hugo, and Chisago County. On page three is a comparison of different requirements compared to Scandia for reference. The cities of Afton and Grant have requirements written very similar to the current Scandia requirements. The City of Hugo has the minimum lot size at 20 acres. Given it is a county, Chisago County permits it on any size lot regardless of whether the principal structure is on it, though it also limits occupation of this temporary housing to May 1st through November 1st of each year. Temporary Farm Dwellings Staff Report March 2, 2021 Scandia Planning Commission Page 3 Afton Chisago County Grant Hugo Scandia (current) Minimum size for farm or property 75 acres none 75 acres 20 acres 75 acres Permit Type Administrative Permit CUP CUP IUP IUP Multiple allowed No Yes No No No Only a Manufactured Home Yes No Yes No Yes Occupant shall make a minimum required income amount from farm work Yes No Yes No Yes Limit on days of occupation No Yes No No No Screening from ROW No No No No Yes POTENTIAL CHANGES TO CONSIDER At the February Planning Commission meeting, a number of items were mentioned that could be changed, such as: minimum size of property or farm, limitations on who can occupy the dwelling, and termination of the permit. Attached with this report is a redlined document of the current standards showing some potential changes; below is a bit of a commentary on things to consider if making such changes. Minimum Size The current requirement limits this to properties that are 75 acres or more. This reduces the nu mber of potential parcels this could possibly be located on. While not every farm is going to be located on a large parcel, a minimum lot size can prevent this type of use occurring on small lots that maybe don’t have ample space for a house, a farm, and a temporary farm dwelling. That doesn’t even include accessory structures, septic systems, driveways, etc. The current 4.28(3) requirement limits these to the side or rear of the principal dwelling and does not allow it closer to the ROW than the existing p rincipal dwelling. Would a 10 acre lot be able to accommodate this, or should that requirement also be revised? Occupants Requirement (4) limit this dwelling to certain people who earn 50% or more of their gross income from farming on the premises. Monitoring of incomes is not a typical zoning issue, and this requirement as written would likely limit potential occupants to full-time or year-round farm hands. Should a volunteer, short-term/seasonal employee, or intern/apprentice be restricted from this use if they make a certain amount of money not farm on this property? Temporary Farm Dwellings Staff Report March 2, 2021 Scandia Planning Commission Page 4 The rest of requirement (4) limiting it to partner, employees, or other business associates may be open to different interpretations. Is someone working for no pay a business associate? The definition of the use limits it to just members of the family engaged in farming, which is different than (4). Permit Requirements This use is currently permitted through an Interim Use Permit (IUP). Other communities vary on their permitting. Requirement (7) calls for a financial guarantee to ensure the structure is removed when the IUP terminates. A monetary guarantee was not a common requirement in other communities, so it may be good to discuss whether it is necessary. Requirement (8) currently notes the termination of the IUP if certain actions occur, one of them being the farm becomes smaller than 75 acres in size. It may not be worth the time for the City to track a farm that changes in sizes from year to year to ensure it meets an acre threshold. ACTION REQUESTED The Planning Commission can review the proposed ordinance amendment, and can recommend the following: 1. Approval 2. Approval with changes 3. Denial 4. Table the request for further study PLANNING STAFF RECOMMENDATION Included with this staff report is a document showing the proposed changes to the Development Code. Unless additional changes are desired by the Planning Commission, the Planner recommends approval of the Ordinance amendment, amending the requirements for Temporary Farm Dwellings.