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08.b2 Solar Ordinance Amendment CC Staff Report TKDA® | 444 Cedar Street Suite 1500 | Saint Paul, MN 55101 651.292.4400 • tkda.com An employee-owned company promoting affirmative action and equal opportunity. Memorandum To: Scandia City Council Reference: Lubke Ordinance Amendment – Solar Copies To: Brenda Eklund, Clerk Ken Cammilleri, City Administrator Michael Lubke, Applicant Project No.: 18108.000 Lubke Ordinance Amendment - Solar From: Evan Monson, Planner Routing: Date: December 16, 2021 SUBJECT: Request to amend the Development Code regarding requirements of solar energy systems and to allow distribution solar energy systems within the Shoreland Overlay zoning district MEETING DATE: December 21, 2021 APPLICANT: Michael Lubke ITEMS REVIEWED: Draft of Ordinance, and redlined draft with proposed changes from Applicant DESCRIPTION OF THE REQUEST The applicant is requesting to make some changes to the current zoning requirements for solar energy systems. Such systems, referred to as ‘SES’ in the Development Code, were last updated in Ordinance #210 in 2019. The requirements for a SES are located within Chapter Two of the Development Code. The latest changes in 2019 defined two different types of solar energy systems: a local SES and a distribution SES. A local SES would serve a customer on-site, such as a homeowner having a solar panel on their roof to power their house. A distribution SES would be a larger, commercial sized project that would serve power to customers off-site. ‘Solar Farms’ or ‘solar gardens’ are generally the terms used to describe these larger solar developments. The applicant is proposing multiple changes to the requirements for solar energy systems. The first change would be to permit distribution SES in areas within the Shoreland Management Overlay District as a conditional use, if the site is able to meet certain criteria. Currently, no distribution SES are permitted within the Shoreland Overlay. The second change would be to revise the screening requirements for distribution SES to include a ‘scenic canvas’ and other options that may help alleviate issues with screening and visibility. Other changes would include allowing the growing of crops underneath solar panels; currently grasses and native plantings are typically installed under solar panels. The Planning Commission reviewed this request at their meeting on December 7th. There was some discussion on the specifics of the text with minor changes recommended. The Commission recommended approval of the ordinance amendment, with the changes recommended at the meeting. Included for review is the latest redlined draft of the ordinance, as well as a ‘clean’ copy. Lubke Ordinance Amendment Staff Report December 21, 2021 Scandia City Council Page 2 STAFF COMMENTS Comments from the DNR As part of the amendment request would be to allow distribution solar in areas within the Shoreland Overlay, the Shoreland Management chapter of the Development Code would need to be amended. Amendments to the Shoreland Management regulations requires notification of the proposed change be sent to the state Department of Natural Resources (DNR) for review and comment. The city sent copies of the proposed change to the DNR for review. The DNR has a ‘model ordinance’ for municipalities to adopt and use for shoreland management regulations, which our ordinance is based off of. They also use the model ordinance to compare proposed amendments to. The DNR’s model ordinance does allow solar facilities as a principal use on any lands within the shoreland overlay through a Conditional Use Permit (CUP). In discussions with the area hydrologist, allowing the proposed changes as a conditional use is preferred. The changes/revisions that the DNR would recommend would be to clarify the amendment language to ensure parcels zoned AG C around Falls Creek are not opened up to Distribution SES, and to clarify that the scenic canvas is a temporary/short-term screening option to use while vegetation and plantings grow to their intended sizes. The DNR sent over a conditional letter of approval to the city on December 15th, concurring with the comments made by the area hydrologist. Comments from Attorney regarding spot zoning Staff discussed the proposed changes with the City Attorney. The criteria requirement for allowing distribution SES in certain areas within the Shoreland Overlay was noted as being unique and different than that used in other communities. Since the proposed change would allow the use in more than just an individual parcel, the request would not be considered spot zoning. EVALUATION OF REQUEST Changes from Current Requirements The proposed changes would be different than the current regulations on the books. The biggest change would be allowing distribution solar development on parcels within the Shoreland Overlay zone as a conditional use if certain criteria are met. That criteria would be:  The waterbody within the Shoreland Overlay District must be completely encapsulated by land within the AG C zoning district. o Waterbodies that are completely encapsulated by land within the AG C zoning district but within the St. Croix River District would not meet the above requirement.  All structures and facilities must not impact views from public waters, and views to water bodies from public throughways through screening requirements found in subsection (4) of this Section.  Vegetation removal shall follow the requirements of Chapter 5, Section 8.2, and Chapter 2, Section 3.11 of the Development Code. This request would open up a number of parcels to potentially having distribution solar. On the following page is the areas that would be meeting the newly proposed criteria: Lubke Ordinance Amendment Staff Report December 21, 2021 Scandia City Council Page 3 Above, Left: Multiple parcels near the intersection of Manning and Scandia Trail. Above, Right: Multiple parcels east of Lofton Avenue, south of Bone Lake and 228th St. Left: Multiple parcels near 230th St, located east of Nolan Avenue and west of Oldfield Avenue. Lubke Ordinance Amendment Staff Report December 21, 2021 Scandia City Council Page 4 While these parcels, under the proposed ordinance, could be used for solar development, such a use would require a conditional use permit (CUP), so review and approval would still be required from the Planning Commission and the City Council. Any solar development would also have to follow applicable setbacks from wetlands and waterbodies, which could keep the number of potential applications for these areas low. The proposed changes also include new requirements for screening of distribution SES. The current requirements use a combination of setback distances, vegetation, berms, and landscaping to screen the developments from view. The applicant is proposing an additional item to help better screen distribution SES, a ‘scenic canvas’. Said canvas would provide immediate screening, and would be attached to the fencing placed around a distribution SES. The canvas would be in place for a set period of time, so as to provide immediate screening while vegetation and landscaping installed on the site are growing. For previously approved projects, vegetation and landscaping takes time to grow to their full heights, which can result in inadequate screening while the plantings grow. The final change proposed in the ordinance amendment is to allow additional planting options for the ground below a solar array. The option of agricultural planting, or deep rooting pasture plantings, is proposed by the applicant as an alternative option in addition to the current requirement. Currently, the city requires deep rooted, native grass and pollinator seed mix be planted in the areas not used for equipment. AMENDING THE DEVELOPMENT CODE Chapter One, Section 5.0 of the Development Code includes the criteria and required process for considering amendments to the Development Code, as well as amendments to the Comprehensive Plan (text or map amendments) and the Zoning Map. As a legislative action, the city has some broad discretion when reviewing amendment requests. When reviewing an amendment to the Development Code such as this, the City Council should consider possible effects of the proposed amendment(s) on the community. Chapter One, Section 5.1 of the Development Code notes that judgment or review of ordinance amendments should be based upon (but is not limited to) the following factors listed below: 5.1(5)(A): The proposed action shall be considered in relation to the specific policies and provisions of and shall be consistent with the City Comprehensive Plan, including public facilities and capital improvement plans. 5.1(5)(B): Whether the proposed action meets the purpose and intent of this Chapter or in the case of a map amendment, it meets the purpose and intent of the individual district. Lubke Ordinance Amendment Staff Report December 21, 2021 Scandia City Council Page 5 ACTION REQUESTED The Scandia City Council can do one of the following: 1. Approve 2. Approve, with changes 3. Deny, with findings 4. Table the request RECOMMENDATION The recommendation of the Planning Commission was for the City Council to approve the ordinance amendment request.