Agenda - Council Work Session - 01/11/2011

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Observations: The DNR has supplied working group members with a side by side comparison of existing and proposed standards. In addition, City Staff has prepared additional analysis to supplement materials prepared by DNR staff. The City's analysis provides a side -by -side comparison of the City's existing ordinance and proposed standards. Also attached are the draft standards and rules as well as background information prepared by DNR staff and City Staff. A full listing of background materials on the MRCCA rulemaking project, including a link to the DNR project page, can be found athttp: / /www.cityoframsey.com/ departments /commdev /planning.aspx. There has been much concern on behalf of local units of government to be able to maintain local decision - making as to land use controls. The intent of the rulemaking process is to update rules that were initially created in 1979, clarify standards, and create consistency across the corridor. However, LGUs have expressed concerns moving from the current language stating language such as `structure site and location shall be regulated to ensure that riverbanks, bluffs, and scenic overlooks remains in their natural state, and to minimize interference with views of and from the river, except for specific uses requiring river access' to a codified set of standards as proposed. Concern has been raised regarding creation of non - conforming lots and the development capability of undeveloped property. It should be noted that the City has had issues with the existing ordinance as it relates to land use designations. A large portion of the current MRCCA within the City is designated as `rural open space', which the City feels is inconsistent with the City's Comprehensive Plan, which guides this area as Low Density Residential (LDR), a suburban-type density. In addition, the City has maintained displeasure with the MRCCA overlapping with a second overlay district known as the Wild and Scenic Overlay. This overlap creates an administrative disadvantage and extremely difficult to understand which standards apply (generally more restrictive of overlapping standard applies). The draft rules include language to exclude the City from the Wild and Scenic Overlay by virtue of protection under the MRCCA. Many of the areas currently under rural open space are proposed to be guided as CA -3 (suburban densities) and CA -5 (underlying zoning). The proposed standards rectify many of these situations. However, City Staff notes that some of the proposed and existing standards, most notable vegetative management areas, are inconsistent with past City Council policy direction. Furthermore, City Staff understands many adjoining communities still express displeasure with the proposed standards, and it appears that these proposed standards may not be in the interest of all affected parties corridor wide. In summary, all communities are required to have ordinances and plans in substantial compliance with the existing MRCCA plans. The City has expressed concern with codifying these standards, as it feels it takes local control of land use decision making away from the LGU. Regardless of the outcome of the rulemaking update, City Staff would ask that the following be corrected from the existing ordinance: • Amend `Rural Open Space' areas to `Urban Developed' (CA -3 in the proposed classifications) • Eliminate overlap with Wild and Scenic • Amend open space requirement for new developments to match `Urban Developed' (tied to first bullet) That legislative action and State Statute that governs all rulemaking processes gave the DNR until January 3, 2011 to complete the rulemaking process and send the draft rules to an administrative law judge. It is Staffs understanding that this statutory deadline was not met and that the DNR no longer has the authority to continue the rulemaking process. In order to continue the process, the DNR would need to seek an extension from the Legislature. Staff has heard feedback that the DNR is still interested in completing the MRCCA rulemaking at some point in the future, along with Shoreland and Wild & Scenic rulemaking processes, which also did not meet rulemaking deadlines. However, it is possible that this request to continue rulemaking may not be submitted in the near future. Staff hopes some clarity will be provided once Governor Dayton appoints a new Commissioner of the DNR. Funding Source: