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HomeMy WebLinkAbout09-25-12Lakle AGENDA Economic Development Commission September 25, 2012 — 4:30 p.m. City Hall, Marion Conference Room 1. Call to order 2. Approval of August 28, 2012 minutes 3. Review of Office Park (OP) Zoning District Allowed Uses and Exterior Building Requirements 4. Review of Proposed Zoning Ordinance Regulations for Electronic Signs 5. Update on Business Marketing Strategy Implementation Project 6. Directors Report 7. Adjourn Attachments August 2012 Building Permit Report August 2012 Foreclosure Report Imperial Plastics gets $20 M for M & A, Minneapolis / ST. Paul Business Journal, August 31, 2012 Item No. a CITY OF LAKEVILLE ECONOMIC DEVELOPMENT COMMISSION MEETING MINUTES August 28, 2012 Chair Matasosky called the meeting to order at 4:30 p.m. in the Marion Conference Room at City Hall. Members Present: Comms. Matasosky, Tushie, Longie, Brantly, Emond, Starfield, Smith, Vlasak, Ex- officio member Mayor Mark Bellows, Ex- officio member City Administrator Steve Mielke. Members Absent: Comm. Schubert Others Present: David Olson, Community & Economic Development Director; Adam Kienberger, Economic Development Specialist; John Hennen, Interim Parks & Recreation Director; Dan Licht, TPC. 2. Approval of July 18, 2012 meeting minutes Motion Comms. Tushie / Emond moved to approve the minutes of the June 26, 2012 meeting as presented. Motion carried unanimously. 3. Continued Discussion on C/I Park Dedication Ordinance Changes Mr. Mielke reviewed the memos prepared by Dave Olson and Dan Licht outlining the park dedication ordinance and options for calculating commercial and industrial park dedication fees. Mr. Licht explained the process used to calculate the amount of future land and funds needed to build out the Lakeville parks system. He clarified that commercial and industrial business owners and their employees are also users of the parks system including the community parks. Comm. Emond asked if the City still needs 400 more acres for parks based on the changing demographics. Comm. Smith also asked if the study recognizes our aging population. Mr. Licht responded that it is an evolution of the parks plan. Mr. Mielke noted that the park system comprehensive plan will be revisited after the upcoming Visioning Process. Comm. Tushie asked if any vacant commercial or industrial land is in the search area for any future parks as part of the long -range park plan. Economic Development Commission Meeting Minutes, August 28, 2012 �e Page 2 Mr. Licht responded that there isn't but money will be needed for ultimate park development. Mr. Licht added that park dedication funds can only be used to acquire park land and develop parks. Comm. Tushie noted this as good thing adding that future park development won't complicate any commercial or industrial development deals if only a cash dedication is required. Mr. Mielke summarized the issue by stating that there are two components to consider; the demand side of park dedication fees and the undeveloped commercial /industrial land valuation component. Mr. Licht reviewed the different valuation options outlined in the memo and noted that staff recommends method number three, an appraiser consultation approach to determine an average value of undeveloped commercial /industrial property in Lakeville. He added that the City Council could determine if a new consultation is needed annually as market conditions change. Chair Matasosky asked if an appraisal method is defensible against potential future challenges to the park dedication fee calculation. Mr. Mielke and Mr. Licht responded that the City needs to follow the state statute of establishing an average land value and that an appraisal methodology is a valid approach in establishing that average and complies with the statute. Chair Matasosky noted that from a formula side the City needs to look at all fees and consider reductions to make Lakeville more competitive both locally and nationally. Mr. Mielke and Mr. Licht noted that the park dedication technical analysis needs to be completed first, and policy discussions on competitiveness will follow once we have the market data obtained through an appraisal process. Comm. Tushie agreed that it is important to establish the baseline values and gather data first and then proceed from there. Motion Comms. Starfield /Tushie moved to recommend to City Council that they utilize an appraisal consultation solution to establish undeveloped land values for the purpose of calculating park dedication fees for commercial and industrial properties. Motion carried unanimously. 4. Update on Business Marketing Strategy Implementation Project Mr. Kienberger reviewed the EDC memo outlining the progress being made on the Business Marketing Strategy implementation. Economic Development Commission Meeting Minutes, August 28, 2012 Page 3 5. Money Magazine Recognition Mr. Kienberger reviewed the EDC memo outlining the recent recognition by Money Magazine naming Lakeville one of the "Best Places to Live ". He noted that this designation will be used in the City's marketing pieces and will also be discussed with the marketing partners committee to capitalize on this designation 6. Director's Report Mr. Olson reviewed the Director's Report. He highlighted both the Downtown house demolition project and MOM Brands expansion and announced relocation of its corporate headquarters to Lakeville. 7. Adjourn Meeting adjourned at 6:00 p.m. Respectfully submitted by: Adam Kienberger, Recording Secretary Item No. 3 L akes: Memorandum To: Economic Development Commission From: Daryl Morey, Planning Director Date: September 20, 2012 City of Lakeville Planning Department Subject: Packet Material for the September 25, 2012 EDC Meeting Agenda Item: O -P District Uses and Exterior Building Materials At their October 25, 2011 meeting, the Economic Development Commission agreed that the Zoning Ordinance should be amended to allow certain light manufacturing uses in the O -P, Office Park District. Manufacturing uses, such as New Morning Windows in the Fairfield Business Campus, were previously allowed by conditional use permit in the Office Park District (previously known as the Corporate Campus District or Business Campus District). Manufacturing was removed as an allowed use in the O -P District with the 2010 Zoning Ordinance Update. The EDC also discussed the uses allowed in the O -P District at their January 25 and August 30, 2011 meetings. At their November 17, 2011 and April 19, 2012 work sessions, the Planning Commission reviewed the uses allowed in the O -P District and concurred with the EDC's recommendation that certain light manufacturing uses be allowed in the O -P District. Based upon the discussion held at the October 25, 2011 EDC meeting, the Planning Commission directed staff to review the exterior building materials of the existing businesses in Fairfield Business Campus and prepare separate Zoning Ordinance exterior building material requirements for the O -P District that would be consistent with the exterior materials of the existing buildings in Fairfield Business Campus. Based upon the direction from the Planning Commission and the EDC as well as the purpose of the O -P District as stated in Chapter 11 -75 -1 of the Zoning Ordinance, which is "to provide for the establishment of business offices, wholesale showrooms, and related uses in an environment which provides a high level of amenities, including landscaping, preservation of natural features, architectural controls, pedestrian trails, and other features ", Planning Department staff and planning consultant Daniel Licht of TPC have prepared draft amendments to the Zoning Ordinance concerning allowed uses and exterior building materials in the O -P District as follows: Section 11 -75 -3 (O -P District Permitted Uses) would be amended to allow light manufacturing that does not generate exterior smoke, dust, odor, fumes or noise emissions and is less than 50% of the principal building floor area. • Section 11 -75 -7 (O -P District Conditional Uses) would be amended to allow light manufacturing that is 50% of the principal building floor area or greater, provided that: • The use does not generate exterior smoke, dust, odor, fumes or noise emissions. • The use shall comply with all applicable exterior building materials and landscaping requirements of the O -P District. • There shall be no outdoor storage allowed as a principal or accessory use. • The proposed use is not a waste facility as regulated by the City Code. • Section 11 -17 -9 (Building Type and Construction) The exterior of buildings within the O -P District shall include a variation in building materials and forms to be distributed throughout the facade and coordinated into the design of the structure to create an architecturally balanced appearance and shall comply with the following requirements: • The exterior building finish shall be composed of at least fifteen percent (15 %) grade A materials; not more than sixty -five percent (65 %) grade B materials and not more than twenty percent (20 %) grade C materials. • All sides of the principal and accessory structures are to have essentially the same or coordinated harmonious exterior finish treatment. I have attached for your reference the grade A, B, C and D materials as listed in Chapter 11- 17 -9.B of the Zoning Ordinance. For comparison purposes, the Zoning Ordinance currently requires commercial, office and institutional uses to have at least 65% grade A materials, not more than 35% grade B or C materials, and not more than 10% grade D materials. Industrial uses are currently required to have grade A, B, C and D materials on the wall surfaces abutting public rights -of -way, a non - industrial zoning district, an adjacent building with brick, wood, stone or decorative concrete wall surfaces, residential uses, or public areas. It should be noted that the Zoning Ordinance allows additions that are less than 50% of the floor area of an existing building that does not meet the current exterior building material requirements to use the same grade materials as the existing building. In addition, the Zoning Ordinance allows exceptions to the exterior building material requirements by conditional use permit subject to meeting certain criteria, as was allowed for Cloverleaf Cold Storage. Action Requested Staff is requesting feedback from the EDC regarding the proposed changes to the Zoning Ordinance to allow certain light manufacturing uses in the O -P District and to establish specific exterior building material requirements for the O -P District that are consistent with the existing buildings in the Fairfield Business Campus. Attachments: • October 25, 2011 EDC meeting minutes • Chapter 11- 17 -9.B of the Zoning Ordinance City of Lakeville Economic Development Commission Meeting Minutes October 25, 2011 Marion Conference Room, City Hall Members Present: Comms. Matasosky, Brantly, Schubert, Emond, Longie, Smith, Tushie, Ex- officio member Chamber of Commerce Executive Director Todd Bomhauser, Ex- officio member City Administrator Steve Mielke. Members Absent: Comms. Starfield, Vlasak, Ex- officio member Mayor Mark Bellows. Others Present: David Olson, Community & Economic Development Director; Adam Kienberger, Economic Development Specialist; Daryl Morey, Planning Director. 1. Call Meeting to Order Chair Matasosky called the meeting to order at 4:30 p.m. in the Marion Conference Room of City Hall, 20195 Holyoke Avenue, Lakeville, Minnesota. 2. Approve September 27, 2011 Meeting Minutes Motion 14.11 Comms. Emond /Schubert moved to approve the minutes of the September 27, 2011 meeting as presented. Motion carried unanimously. 3. Discuss Office Park District (OP) Zoning Changes Mr. Morey reviewed the EDC memo written by planning consultant Dan Licht outlining suggested changes to the OP Zoning District to allow for manufacturing uses. He reviewed and discussed the three options provided in the memo to allow manufacturing in the OP District. Comm. Brantly noted that there should be limitations on truck traffic. Vice Chair Tushie responded that truck traffic gets restricted mostly by the nature of the use in the District. He added that he liked Eagan's language referring to packaging, storage, assembly, etc. Chair Matasosky stated that we should be trying to match the ordinance more to the market. The ordinance requirements concerning exterior building materials don't align with the businesses currently in the Fairfield Business Campus. We are effectively zoning out the businesses that built there. Economic Development Commission Meeting Minutes October 25, 2011 Vice Chair Tushie responded that a business like New Morning Windows, while it jump - started the Office Park District, belongs in an industrial zoned area. The Office Park District should be different than the Industrial Districts. Mr. Olson stated that the intent of the exterior building material requirements from the 2010 Zoning Ordinance wasn't meant to raise the bar in the Office Park District, but to clarify and separate office uses from industrial uses. The EDC reached consensus on proposing language for the Office Park District that would allow assembly and related uses as permitted uses while allowing light manufacturing meeting specific performance standards by conditional use permit. Mr. Morey concluded that this item will be brought to the Planning Commission at their November 17 work session as part of an overall zoning ordinance update. 4. Update on Business Marketing Strategy Project Mr. Kienberger provided an update to the EDC on the status of the Business Marketing Strategy. Consultants from Arnett Muldrow & Associates conducted several focus groups and individual interviews during their visit on October 3 -5 They are working on compiling results and branding ideas that will be presented during their next visit November 16 -18 The EDC and Planning Commission will be meeting jointly on November 17 to discuss the results with the marketing consultants. 5. Review of Presentation to 360 Communities by Mark Jacobs of the Dakota Scott Workforce Investment Board Mr. Olson reviewed a presentation from the Dakota Scott Workforce Investment Board discussing local employment and economic trends. 6. Director's Report Mr. Olson reviewed the Director's Report. The EDC viewed the Greater MSP marketing video that was presented at an event attended by staff. 7. Adjourn The meeting was adjourned at 6:00 p.m. Respectfully submitted by: Adam Kien Perger, Recording Secretary Attested to: 1 � � 2 11 -17 -9 11 -17 -9 aterials that are unsightly, deteriorate rapidly, contribute to depreciation of 1V property values, or cause urban blight. A. mineral Provisions: 1. Ge ral Design Concept: Building and /or project designs shall utilize terials, colors, or details to meet the intent of these architectur standards. 2. Design Elem s: Projects may be required to utilize building ornamentation fea es, including, but not limited to: columns, arches, parapets, c ices, friezes, canopies, moldings, dentils, corbels, quoins, rusticati vaults, domes, and cupolas. 3. Corporate Identity: The int and purpose of these architectural standards supersede corporate ntity designs; when a corporate identity design does not meet intent and purpose of the architectural standards, the corporate ntity design shall be limited to the area immediately adjacent to a main entry but shall otherwise be consistent with the intent of thi ection. 4. Area Plans: Projects in special areas of the ci shall comply with the standards adopted by the city council. The s cial areas, as defined by the comprehensive plan or specialized studs are: a. Central business district: "Historical Fairfield D1 ct Of Downtown Lakeville Design Guidelines ". b. Community corridors and gateways: "Corridor And Gatewa Design Study ". c. Downtown development guide. B. Exterior Building Finishes: For the purpose of this subsection, materials shall be divided into grade A, grade B, grade C, grade D and grade E categories as follows: 1. Grade A: a. Brick. b. Natural or artificial stone. c. Glass. August 2010 City of Lakeville 11 -17 -9 d. Copper panels. 2. Grade B: 11 -17 -9 a. Integral color specialty concrete block such as textured, burnished block or rock faced block. b. Integral color architecturally precast concrete panels having an exposed aggregate, light sandblast, acid etch, form liner, tooled, natural stone veneer, brick face and /or cast stone type finish. c. Masonry stucco. H (:aramir 3. Grade C: a. Exterior insulation and finish system (EIFS). b. Opaque panels. c. Ornamental metal. d. Fiber - cement exterior siding. 4. Grade D: a. Integral color smooth as cast concrete block. b. Integral color smooth scored concrete block. c. Integral color smooth as cast concrete panels. d. Integral color architecturally precast concrete panels having a smooth as cast finish. e. Glass block. f. Wood provided that the surfaces are finished for exterior use or the wood is of proven durability for exterior use, such as cedar, redwood or cypress. 5. Grade E: a. Steel, aluminum. August 2010 City of Lakeville Item No. Lakeville Memorandum To: Economic Development Commission From: Daryl Morey, Planning Director Date: September 20, 2012 City of Lakeville Planning Department Subject: Packet Material for the September 25, 2012 EDC Meeting Agenda Item: Electronic Signs At several work sessions over the past 15 months the Planning Commission has discussed the possibility of amending the Zoning Ordinance to allow electronic signs for commercial businesses. Currently electronic signs are only allowed for motor fuel pricing, time and temperature, and City of Lakeville and public high school uses located in the P -OS, Public and Open Space District. At the direction of the Planning Commission, Planning Department staff and planning consultant Daniel Licht of TPC have prepared a draft amendment to the Zoning Ordinance allowing electronic signs in commercial districts subject to meeting certain performance standards. The Planning Commission's intent is that the potential allowance of commercial electronic signs be limited to the City's most intensive commercial nodes in the C -2 and C -3 Districts and that performance standards be put in place to regulate their operations. At their September 6, 2012 work session the Planning Commission discussed the draft Zoning Ordinance amendment and directed staff to obtain input from the Economic Development Commission on the proposed performance standards, particularly concerning the proposed rate of change of the display of the electronic text or images. Representatives from Holiday Stationstores and Ole Piper Inn attended the work session and provided input on the City's proposed regulations. The Holiday representatives have requested that the information they presented to the Planning Commission (see attached also be presented to the EDC. The basis for the draft performance standards for electronic signs was outlined in Mr. Licht's August 30, 2012 memo to the Planning Commission, which also addressed several other possible amendments to the Zoning Ordinance for Planning Commission discussion. The section of Mr. Licht's August 30 memo pertaining to the electronic sign performance standards is stated below: • The signs are limited to electronic changeable copy and electronic graphic display signs as defined by the Zoning Ordinance. • The use of an electronic sign would require approval of an interim use permit to ensure compliance with the performance standards as they may be adopted and to provide an enforcement mechanism if the standards are not followed in operating the sign. • The sign must be located in a yard abutting a non - residential street. • The proposed standards include design requirements mandating that the electronic sign be integral with a freestanding monument sign similar to that which the City currently allows for motor fuel and convenience food uses. The intent of these provisions is to ensure that the electronic display is low to the ground and close the street so as to be most visible to traffic directly adjacent to the site and at the same time not distract drivers at a greater distance trying to read the sign. • The minimum duration for a display is to be 15 minutes. This standard is consistent with that required by Minnetonka and Bloomington, which did extensive studies of electronic signs related to compatibility issues and driver distraction (although Bloomington does allow electronic changeable copy f text only} signs to change every eight seconds). The intent of the limit on changing the display is to ensure that single drivers are likely to only see one display as they pass a sign. However, the effect is also cumulative when there are multiple electronic signs within a commercial area. Thus, for the same reason as with the driver viewing a single sign, the duration limit established by the performance standards must also be set to avoid repetitive changes on adjacent properties along the same street. The draft Zoning Ordinance amendment pertaining to electronic signs in the C -2 and C -3 districts and prepared by Mr. Licht is as follows: Section 11- 23 -15.T (Changeable Copy Signs) 2. Within the C -2 and C -3 Districts one (1) electronic changeable copy or electronic graphic display sign may be allowed as an interim use provided that: a. Location. The sign shall be displayed only in a yard abutting an arterial, minor expander, minor connector or minor reliever street, collector or local commercial street as defined by the Comprehensive Plan. b. Sign Structure: (1) The electronic changeable copy or graphic display shall be incorporated as part of the freestanding sign allowed by Section 11- 23 -19.E of this Title. (2) The sign including the electronic changeable copy or graphic display element shall be a monument sign constructed as follows: (a) The electronic changeable copy or graphic display element shall not exceed forty (40) square feet and shall be integral and contiguous to the overall sign display. (b) The sign shall be self - supported vertically by a solid base extending horizontally for a minimum of the entire width of the sign face. (c) The total height of the sign structure including the base shall not exceed fifteen feet (15'). (d) The sign base and supporting material constructed of stone, brick, or decorative masonry shall be equal to at least forty percent (40 %) of the total allowable sign square area, but shall not be counted toward the sign area and shall not contain any sign copy. C. Operation: (1) The sign display shall not change display more often than once every fifteen (15) minutes. (2) The electronic graphic display sign shall not include scrolling, flashing, animation, or other effects that create a traffic hazard. (3) The electronic graphic display must be static and the transition from one static display to another must be instantaneous without any special effects. (4) The electronic graphic display must be complete in themselves, without continuation in content to the next image or message. (5) Brightness: (a) The brightness of the sign shall not exceed 7,000 NITS after sunrise and before sunset or 500 NITS after sunset and before sunrise each day. 3 (b) The sign shall be equipped with an automatic dimmer control or other mechanism that automatically controls the sign's brightness to comply with this condition. (6) Malfunctions: (a) The sign display must be designed and equipped to freeze the device in one position if a malfunction of the electronic display occurs. (b) The display must also be equipped with a means to immediately discontinue the display if it malfunctions, and the sign owner must immediately stop the electronic display when notified by the City that it is not complying with the stipulations of this section or conditions of approval of an interim use permit. Planning Department staff has researched other Twin Cities suburbs for their rate of change of the electronic sign display and has prepared the attached table. As you can see, Lakeville's proposed 15 minute display rate of change is similar to Bloomington (for electronic images), Eagan, Eden Prairie, Minnetonka, and Plymouth. The display rate of change is even more restrictive in Shakopee and Woodbury, and like Lakeville's current requirements, Apple Valley, Edina, and Maple Grove do not allow electronic business identification signs. Action Requested Staff is requesting feedback from the EDC regarding the proposed electronic business identification sign regulations, specifically with respect to the rate of change of the display of the electronic text or images. Attachments: • City rate of change of the electronic sign display comparison table • September 6, 2012 draft Planning Commission work session minutes • Info. submitted by Holiday Stationstores 4 ELECTRONIC SIGNAGE MINIMUM TIME DURATION COMPARISION CITY MINIMUM TIME DURATION Lakeville (Proposed) 15 minutes Apple Valley Allowed for fuel station pricing — sign can change only for price changes Bloomington 8 seconds for non - residential 1 hour for residential 20 minutes for electronic graphic display Burnsville 30 seconds Eagan 20 minutes Eden Prairie 20 minutes Edina (electronic signs prohibited) Maple Grove (electronic signs prohibited) Minnetonka 20 Minutes Plymouth 15 minutes Prior Lake 10 seconds Richfield 1 minute Rosemount 5 minutes Savage 8 minutes Shakopee 8 times per day, no greater than thirty minutes Woodbury 1 time per day CITY OF LAKEVILLE PLANNING COMMISSION WORK SESSION MINUTES September 6, 2012 Chair Lillehei called the work session to order at 8:28 p.m. Members Present: Chair Brooks Lillehei, Vice Chair Bob Boerschel, Bart Davis, Karl Drotning, Gerry Grenz, and Linda Maguire. Members Absent: Paul Reuvers, Ex- officio Shawn Fitzhenry. Staff Present: Daryl Morey, Planning Director; Allyn Kuennen, Associate Planner; Daniel Licht, The Planning Company. Others Present: Todd Bornhauser, Executive Director of the Lakeville Area Chamber of Commerce; Michael Cronin and Dave Edquist, Holiday Station Stores; and Ron Kveton, Ole Piper Inn. Mr. Licht presented the electronic commercial sign component of his August 30, 2012 planning report. Mr. Licht stated that the draft amendment to Chapter 23 of the Zoning Ordinance was prepared as directed by the Planning Commission at their April 19, 2012 work session and would allow electronic changeable copy or graphic display signs only in the most intensive commercial districts (C -2 and C -3) and under specific performance standards based on the Zoning Ordinance amendment for electronic signs in the P -OS District approved by the City Council on August 6, 2012 as well as the existing specific sign allowances for motor fuel and convenience food uses that were established to minimize driver distraction and promote attractive commercial areas in the city. The Planning Commission made the following comments: • Clarified that the electronic display portion of the sign must be integral to the rest of the freestanding sign and that the total freestanding sign height, with an electronic changeable copy or graphic display sign, cannot exceed 15 feet. • Questioned whether the rate of change for text (changeable copy) should be shorter than for images (graphic display), similar to Bloomington's regulations. • Questioned whether existing static freestanding signs could be utilized for conversion to an electronic changeable copy sign. Staff noted that most existing commercial freestanding signs are 20 feet in height with an area of 100 square feet, as allowed by ordinance, except for convenience food restaurants and motor fuel facilities approved after the 2000 Zoning Ordinance Update whereby the maximum sign height is 15 feet. Staff stated that the static freestanding sign cabinet could be retained provided it is placed on a monument base and meets Planning Commission Work Session Minutes, September 6, 2012 Page 2 the height and area requirements for the total freestanding sign (including the electronic display portion thereof), and provided the static and electronic sign portions are contiguous. In response to concerns raised by Mr. Kveton, due to the Ole Piper Inn site being located lower in elevation than adjacent Cedar Avenue (CSAH 23) where the electronic sign would be allowed, the Planning Commission agreed to consider extending the existing Zoning Ordinance provision that applies to the Freeway Corridor District allowing convenience food, hotel, motor fuel and restaurant uses to increase the height of their freestanding sign if their property is lower than the adjacent freeway, to the districts that would allow electronic changeable copy or graphic display signs under the proposed ordinance amendment. Commissioner Drotning stated that the Planning Commission does not recommend amendments to the Zoning Ordinance to address the situation of one property owner, but rather the City as a whole. • In response to Mr. Bornhauser's comment that the City did not reach out to the Chamber of Commerce for input on electronic signs, Planning Commission members pointed to the discussion of electronic signs was held at the most recent Chamber of Commerce Government Affairs Committee meeting, with the Committee being made aware that discussion of electronic commercial signs would take place at an upcoming Planning Commission work session, as well as Mr. Bornhauser's regular attendance at Planning Commission meetings and work sessions where this topic has been discussed several times over the past year and a half. The Planning Commission suggested the Chamber of Commerce provide constructive comments and input on the topic instead of merely critiquing the work that has been done by the City after the fact. The Planning Commission specifically requested input from the Chamber of Commerce regarding the proposed rate of change provisions of the electronic sign regulations. Mr. Cronin presented information to the Planning Commission reacting to the proposed ordinance amendment pertaining to electronic commercial signs as proposed in Mr. Licht's August 30, 2012 planning report. He commended staff on the draft ordinance addressing the objective of public safety. He suggested that the City could still meet the public safety objective by regulating the rate of change in seconds rather than minutes. City staff noted that the regulations for electronic signs must consider the potential for multiple signs along major roadways that have average daily traffic counts in the thousands, and not just the time it takes a single driver to pass a single sign, in establishing the rate of change limits of the electronic sign regulations. The Planning Commission discussed the proposed 15 minute rate of change, which was based upon the Zoning Ordinance amendment approved by the City Council on August 6, 2012 for electronic signs in the P -OS District. The Planning Commission recommended that staff obtain input from the Economic Development Committee (EDC) on the electronic commercial sign topic and noted that there are several Chamber of Commerce members on the EDC. Comment of Holiday Stationstores on the Proposed Regulation of Electronic Commercial Signs September 6, 2012 City Planning Commission Work Session A. Careful controls and best practices to assure compatible use have been captured which will allow shorter duration and more frequent changes than proposed providing effective use by Lakeville businesses investing in this technology We compliment your staff on capturing the strategies outlined to assure compatible use on page 6 of the memo and then implementing them in Section 9 of the proposed ordinance amendment. These provide a strong foundation for regulation of this technology. The standards for location both at the City level and the site level through the interim use permit process provide direction and assure compatibility on a district and site by site basis. The standards for the sign structure and electronic sign area limit visibility of the sign to the immediate context of the site. The standards for operation, transitions, brightness, malfunction enforced by the interim use permit are consistent with best practices in our area. Given this foundation of careful control the experience of other cities with similar regulations a duration or frequency of change measured in seconds rather than the 15 minutes proposed by staff is compatible and safe and will allow more effective use of the technology by Lakeville businesses. B. Minnetonka and Bloomington The Minnetonka studies and ordinance were developed very early — 2006, and in response to settlement of a billboard lawsuit (which often is not the best context for consideration of a then emerging technology.) While its provisions have been adopted by other cities the way it works with the other provisions of their sign regulations it is impossible for Holiday to install Electronic Message Center (EMC) signs at its locations in Minnetonka. We are also not aware of any other business that has installed an electronic on premise sign in Minnetonka. We met with the Minnetonka staff and they were very clear this outcome was working for them if not for the business community and they had no interest in considering any adjustments to their regulations. The Bloomington regulations were also developed early in the evolution of the EMC technology and its regulation by cities. Bloomington is also are unique in their regulation of the duration EMC's displaying text only differently from EMC's displaying a graphic along with the text. This distinction is curious to us as a graphic, a hand of bananas, a contoured Coke bottle, a pastry or sandwich, is more quickly and easily comprehended than text saying the same thing. Most cities simply recognize the three tiers of changeable signs — mechanically changed reader boards, first generation alpha numeric monochrome electronically changed signs and now the EMC technology that can render text or images in multiple colors. See the attached "Examples of Messages Displayed at Holiday Stationstores." Holiday has for years operated its EMC's in Bloomington under the 8 second duration alternative, though at a 10 second duration to assure compliance. We are also in compliance with the regulation of the static displays and how they transition and their brightness which is identical to that proposed for Lakeville. There have been no issues of compatibility or safety during the by now millions of times these signs have been viewed in Bloomington. At this time Lakeville in drafting its regulations can benefit from the more recent experience with the use and regulation of EMC's in other cities that have more recently reviewed their regulations. We would direct you to the experience of a city like Burnsville which recently amended its regulations to allow a 30 second duration frequency of change. C. Staff's intent in proposing the 15 minute duration frequency of change Staff s intent in proposing the 15 minute duration (page 6 of the memo) is twofold: Holiday Stationstores Comment to the City Planning Commission on the Proposed Recommendation of Electronic Commercial Signs September 6, 2012 "The intent of the limit on changing the display is to ensure that single drivers are likely to only see one display as they pass a sign. " The following table describes the distance a driver travels in 8, 12, of 15 seconds at various speeds. MPH FT /MIN FT /SEC FT /8 SEC FT /12 SEC FT /15 SEC 60 5280 88 704 1056 1320 55 4839 80.6 644.8 967.2 1209 50 4390 73.3 586.4 879.6 1099.5 45 3960 66 528 792 990 40 3520 58.6 468.8 703.2 879 35 3080 51.3 410.4 615.6 769.5 30 2640 44 352 528 660 25 2200 36.6 292.8 439.2 549 20 1860 29.3 234 351.6 439.5 The attached "Holiday Stationstore #333 7287 160th Street" illustrates at two durations the distance a driver would travel between changes of an EMC display at 8 and 12 seconds at our Stationstore on 160th. Extending the duration to 30 seconds or 60 seconds pushes the distance between changes even farther beyond the view of any single driver of the sign. The proposed duration of 15 minutes far exceeds the duration required to meet this objective and greatly restricts the effective use of this technology for no public benefit. "However, the effect is also cumulative when there are multiple electronic signs within a commercial area Thus, for the same reason as with the driver viewing a single sign, the duration limit established by the performance standards must also be set to avoid repetitive changes on adjacent properties along the same street" If Lakeville allowed EMC's with an area of 100 sf to be located 30 ft in the air at the top of a pylon sign and then allowed the display to be animated rather than static and then permitted the transition between displays to occur with starbursts, wipes, scrolling and other attention getting techniques this would be a reasonable concern. This is not what is being proposed nor is a possible outcome. The careful controls on the size, operation, brightness and importantly the height and the structure of the sign each address this concern. In cities with similar careful controls the proposed duration of 15 minutes has not been required to avoid this outcome. Again the proposed duration of 15 minutes far exceeds the duration required to meet this objective and greatly restricts the effective use of this technology for no public benefit. The recent experience in our area is a carefully regulated EMC, as is proposed by staff, can operate compatibly at a duration and frequency measured in seconds rather than minutes, allowing more effective use of the technology with no hazard or nuisance to the public or image of the commercial districts where they are located. Examples of Messages Displayed at Holiday Stationstores N� ■ LO � r 00 ■ U) LO c ■ �. „r co ■ ■ *A,.. ■ ■ �t ■ T Lakev�lte Memorandum Item No. 5 City of Lakeville Community & Economic Development To: From: Economic Development Commission Adam Kienberger, Economic Development Specialist Copy: Steven Mielke, City Administrator David L. Olson, Community & Economic Development Director Date: September 25, 2012 Subject: Business Marketing Strategy Update The Marketing Partners group met on September 11 to discuss additional strategies for promoting Lakeville's recent designation as one of Money Magazine's "Best Places to Live ". The group discussed using a common graphic to identify the community as a Money Magazine Best Place to Live. Joint marketing opportunities targeting new residents were also discussed. The "Positioned to Thrive" tagline will be featured and promoted at the upcoming annual Manufacturers Reception scheduled for Wednesday, October 24 at the Holiday Inn & Suites. This event takes place during Minnesota manufacturing week as a way for the City to say thank you to our manufacturers and related business in the industrial parks. Website redesign is still underway due to some technical related challenges. It should hopefully be completed shortly as the website is often the first place people go to when looking for information about a community. Keeping relevant information updated and included on the website will be the primary focus once the redesign is launched. Lakeville staff will be promoting the City at the upcoming MNCAR (Minnesota Commercial Association of Real Estate) Expo in November. Lakeville is now a MNCAR member and will use the membership to facilitate and expand relationships with the commercial /industrial broker community. Action Requested: The above is intended to be an update on the progress of the implementation of the approved Business Marketing Strategy. Item No. 6 City of Lakeville Community & Economic Development Memorandum To: Economic Development Commission From: David L. Olson, Community and Economic Development Director Copy: Steven Mielke, City Administrator Adam Kienberger, Economic Development Specialist Date: September 20, 2012 Subject: September Director's Report The following is the Director's Report for September, 2012. Manufacturers Appreciation Event This year's Manufacturers Appreciation Event has been re- scheduled to Wednesday, October 24 from 4:30 to 6:30 p.m. at the Lakeville Holiday Inn and Suites. Please mark your calendars. Building Permit Report The City issued building permits with total valuation of $72,993,526 through August. This compares to a total valuation of $45,485,817 through August of 2011. The City issued commercial and industrial permits with a total valuation of $8,991,500 through August compared to a total valuation of $8,646,000 during the same period in 2011. The City has also issued permits for 162 single family homes through August with a total valuation of $47,191,000. This compares to 84 single family permits through August of 2011 that had a total valuation of $25,857,000. Development Updates National Polymers: Construction continues on a 1306 square foot office addition and a 31,388 square foot warehouse addition. The City also approved the construction of six storage silos on the property in conjunction with this expansion. National Polymers will have a building totaling 103,123 square feet when this project is completed. Hosanna / Ebenezer Senior Housing Project: This project, which is being marketed as the Fountains at Hosanna, has begun leasing efforts and now has several model units to tour. According to Ebenezer staff, leasing efforts are going well and they have established a leasing office in Lakeview Bank. The project is expected to be fully completed in October. Kingsley Shores Senior Housing Project: This 101 unit senior housing project located adjacent to the Chart House restaurant and banquet facility was approved by the City in the spring of 2011 and recently closed on their financing. Construction is expected to begin soon. Frank Schoeben and several partners are the developers of this project. Walmart Project: Construction is completed and the building has been turned over to Walmart. Walmart is currently installing fixtures and bringing product into the store. The grand opening for the store is scheduled for October 17t Walmart has hired over 300 part - time and full -time staff and store managers have indicated that they were very pleased with the quality of the employees that they were able to hire. McDonald's: Construction has recently commenced for a new McDonalds's restaurant located at Cedar Avenue and 179 Street in the Crossroads Shopping Center. An existing building in which Dino's Gyros previously operated was demolished to allow for the new McDonald's to be constructed. The City Council recently approved a Conditional Use Permit that will allow for the existing McDonald's in the McStop area along Co. Rd. 70 to be renovated to construct a second drive - through lane. Finally, the Planning Commission will be holding a public hearing on September 20 to consider a Conditional Use Permit for a new McDonald's to be constructed in front of the Brunswick Zone along Co. Rd. 46 just west of 1 -35. Foreclosure Report: Attached is a copy of the July Foreclosure Update from the Dakota County CDA. There were 20 Sheriff Sales during the month of July. The total number of Sheriff Sales through July is 151 compared to 284 for the entire year of 2011. 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The report based on county sheriffs sale data found that 9,565 foreclosures took place statewide in the first half of 2012, which is a decrease of 15 percent from the same timeframe in 2011. The Minnesota Homeownership Center, Greater Minnesota Housing Fund, Minnesota Housing and Family Housing Fund published the report, with research provided by HousingLink. The report can be viewed in its entirety at http://www.hocmn.ork/Stock/Editor/file/REPORTS/2012 MidYear ForeclosureSalesReport/201 2 Midyear _ForeclosureSalesReportpdf The HOC's annual report discusses the role of the HOC and also provides client profiles and a financial statement. The report can be viewed at http• / /www hocmn org /Stock/Editor /file /AnnualReports /Annual %2OReport%2OMHOC %20201 1 WebFinal.pdf Dakota County Community Development Agency Dakota County Stats —July 2012 HOME O n.. // W �,�r N r� E �y S H / I ,e P f,� co C A' L AC i. o ' V • # of Sheriff Sales in July — 103 (compared to 146 in July 201 1) • Total Sheriff Sales for 2012 — 933 (compared to 1,213 Jan. July 201 1) • # of Notices of Pendency Filed in July — 229 • Total Notices of Pendency Filed in 2012 — 1,755 A Notice of Pendency is filed by a mortgage company's attorney as official notification that the foreclosure process has begun. Not all of these result in Sheriff Sales. Mapping Using Dakota County GIS http://gis.co.dakota.mn.us/website/dakotanetgis/ The Dakota County Office of GIS is updating the 2012 Foreclosures and Notice of Pendency layers on a monthly basis. If you need assistance using this Web page, please call Randy Knippel or Mary Hagerman with the Office of GIS at (952) 891 -7081. If you have any concerns, please call me at (651) 675 -4467 or send me an email at Ihenning (&dakotacda.state.mn.us n rr © V L w 3 H a� L 3 O u d L 0 4J O V 4J O i d s O N Z . u u W c 0 u u w c N c � V'T 0. Ln s � L = c Ln 3 0 E u I O H w Q O p �v o � Y O n cd c o ' H E > w c a� O E O LL � O N Ln ONO co N N N M N - -- O M 1-, LA %O F O� — QO N � N u � v v Ln > O Z — 0% C4 — — — _r" er _Ln 3 M � cc Ln _ nl Ln _ N N %0 %O Ln O v — CO _ Ln 1 � N a N co h Ln >a Ln — O N — I� O — Ln = .O M 1� O� H a — N M — — — M L N N N O i� 1� M Ln %0 N 1-% O� — DO N co G� O — cV fV Ln O, N O 00 v 'o N � 0% %0 Pftk 1� _ co N 1*1 1" 1� — �O Ln a — -e N Go 'o %o fA s ao = V— >> a� C 0 �inV 000 eV N N O M •� = C9 a+ L p 41 _ 3 H JJJ Md Qo0 WLL2 =JED:0 000 O N Z . u u W c 0 u u w c N c � V'T 0. 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Private equity firm Goldner Hawn Johnson & Morrison made the investment in Lakeville -based Imperial, a fast - growing manufacturer led by Norman Oberto Imperial has a long history of growth through acquisitions, snapping up four businesses since Oberto acquired the company in 1997. Those deals and steady revenue growth boosted the company's work force to about 320 employees today, up from about 70 when Oberto bought it. The company operates out of 263,000 square feet of space compared to 50,000 in 1997. With the fresh round of funding, Oberto plans to step up M&A activity, targeting small manufacturers that will complement his business and allow Imperial to become a one -stop shop for customers. Toward that end, Imperial last week acquired Rolco Inc., a Kasota -based injection- molding company with 85 employees, for an undisclosed amount. Growing a business Oberto, who grew up in Decatur, III., worked in the manufacturing business since graduating from college in 1974, and always wanted to own his own business. In 1996, he made a cold call to the owner of Imperial and spent about two hours on the phone with him. "We hit it off," Oberto said. "He was ready to find someone to take care of the business." 1 of 3 8/31/2012 10:34 AM Imperial. Plastics gets $24M for M &A - Minneapolis / St. Paul Busines... http:/ /www.bizjoumals.com/twincities/ print- edition/2012 /08/31 /imperia... Imperial made its first acquisition in 2004, buying Farmington -based Duo Plastics. It bought two additional Minnesota manufacturers in 2009. "When the recession hit in 2008, we took that attitude that we're going to see some companies that will need help," said Oberto, Imperial's president. "Instead of pulling back, we decided to be proactive." Imperial designs and makes plastic parts for a wide range of industries, including consumer products, automotive and plumbing. Rather than focusing on a specific niche, Imperial has expanded by gaining a strong foothold in the Twin Cities market and building customer loyalty. (The company's mission statement is, "Create and maintain customers.') More recently, Imperial launched a medical division. The company is building out a clean room at one of its Lakeville facilities, where it will make parts for medical - technology companies. Strong M&A market After raising the capital from Minneapolis -based Goldner Hawn, Oberto created a holding company, Integrated Manufacturing Cos. Inc. (IMC), that will own both Imperial and the companies he goes on to buy. Oberto expects he'll find several promising acquisition targets. Many small and mid -sized manufacturers are led by owners who are ready to retire and want to put their companies into good hands. Others are too small to draw the attention of private equity firms and other large investors, Oberto said. "Companies that are smaller don't attract financial buyers; it's riskier. We wanted to give those companies an option," Oberto said. The M&A market for plastics companies slumped during the recession, but deal flow picked up in recent years, said Terry Minnick president of Molding Business Services, a Florence, Mass. -based mergers- and - acquisitions advisory firm that represents small and mid -sized plastics manufacturers. "Now is as good a time as it has been. A lot of small and mid -sized companies are making more money and are more profitable than they were a few years ago. There's a lot of pent -up demand. There are a lot of people who really wanted to sell [during the recession], but found it too difficult." Overall, building a manufacturing business through acquisitions can be an effective strategy, said Randy Ahlm president and CEO of Spectrum Plastics Group, based in St. Louis Park. Spectrum, which is owned by Minneapolis private equity firm Spell Capital Partners, made several acquisitions in recent years. "There are businesses out there that you can roll in and help grow your own platform. It's about being strategic and making the right acquisitions." Oberto has raised money from outside investors in the past, but he's always gone on to buy them out and retain sole ownership of the company. Ideally, Oberto said he'd like to keep 2 of 3 8/31/2012 10:34 AM Imperial Plastics gets $20M for M &A - Minneapolis / St. Paul Busines... http:/ /www.bizjoumals.com/twincities/ print- edition/2012 /08/31 /imperia... Imperial an independent, growing company. Imperial Plastics Inc. Headquarters: Lakeville President: Norman Oberto Business: Manufactures plastic parts for the automotive, consumer - products industries and other markets Employees: About 320 Revenue: $60 million expected for 2012 (including sales from an August acquisition), up from $37 million in 2011 Web: imperial plastics. com Katharine Grayson covers med tech, clean tech, technology, and venture capital, and she writes the Innovation I Minnesota blog 3 of 3 8/31/2012 10:34 AM