HomeMy WebLinkAboutItem 05B
MEMORANDUM
TO: Daryl Morey
FROM: Daniel Licht, AICP
DATE: 12 June 2014
RE: Lakeville – Zoning Ordinance; Brewpubs/Tap Rooms
TPC FILE: 135.01 – 14.01
BACKGROUND
The Community and Economic Development Department and Planning Department
have initiated a review of the allowance of brewpubs, tap rooms, small breweries and
similar uses within the City of Lakeville based on increased interest in such businesses
within the Twin Cities Metropolitan Area and the response of other cities to
accommodate these uses within commercial and industrial zoning districts. The
Planning Commission had an initial discussion of the issue at a work session on 20
March 2014 and directed City staff to proceed with drafting amendments to the Zoning
Ordinance for further consideration at a public hearing.
Exhibits:
A. Draft Zoning Ordinance amendment
B. 20 March 2014 Planning Commission work session minutes
ANALYSIS
Uses. Brewpubs, breweries, micro-distilleries, distilleries and wineries are all regulated
under Minnesota Statues 340A as to the volume of beverages that may be 1) produced
by the facilities and 2) sold on or off-site of the premises. An on-sale, off-sale or
special purpose liquor license would need to be obtained for any of these businesses to
operate within the City, which would be coordinated through the City Clerk. Minnesota
Statutes has allowed for brewpubs to have a liquor license for sale of alcoholic
beverages produced and consumed on site as the business also sold food the same as
a restaurant. Minnesota Statues 340A were amended in 2011 to allow breweries to
have on-site tap rooms and off-sale products. Distilleries are currently not allowed to
have on or off sale liquor except for sampling in limited amounts but have been included
in the proposed amendment in anticipation of possible future amendments to Minnesota
Statutes. City staff proposes to define these facilities based on the existing definitions
outlined by State Statute for consistency and common understanding of the uses being
regulated both by the State and City through the Zoning Ordinance:
BREW ON PREMISES: A facility that provides the ingredients and equipment
for a customer to use to brew malt liquor at the store. Alcoholic beverages may
not be sold or otherwise provided to customers of a brew on premises store,
unless the owner of the brew on premises store holds the appropriate liquor
license. Customers using the brew on premises store must be of the minimum
age required to purchase intoxicating liquor. Malt liquor brewed by a customer in
the store must not be sold and must be used by the customer solely for personal
or family use.
BREWERY: A facility that produces beer, ale or other beverages made from malt
by fermentation and containing not less than one-half of one percent alcohol by
volume.
BREWERY, SMALL: A brewery that produces not more than twenty thousand
(20,000) barrels of malt liquor in a calendar year as established by Minnesota
Statutes, as may be amended.
BREWPUB: A small brewery with a restaurant use operated on the same
premises as the brewery.
DISTILLERY: A facility that produces ethyl alcohol, hydrated oxide of ethyl,
sprits of wine, whiskey, rum, brandy, gin, or other distilled spirits, including all
dilutions and mixtures thereof for non-industrial use.
FARM WINERY: A winery operated by the owner of a Minnesota farm producing
table, sparkling or fortified wines from grapes, grape juice, other fruit bases or
honey with a majority of the ingredients produced on the premises.
MICRODISTILLERY: A distillery producing premium, distilled spirits in total
quantity not to exceed forty thousand (40,000) proof gallons in a calendar year as
established by Minnesota Statutes, as may be amended.
TAPROOM: An area for the on-sale consumption of malt liquor produced by the
brewer for consumption on the premises of a brewery or an abutting property in
common ownership of the brewer, which may include sales of malt liquor
produced and packaged at the brewery for off-premises consumption as allowed
by Minnesota Statutes, as may be amended.
TASTING ROOM: An area for the on-sale consumption of distilled spirits or
wine produced on the premises of or abutting a winery or distillery and in
common ownership to the producer, which may include sales of beverages
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produced and packaged at the winery or distillery for off-premises consumption
as may be allowed by Minnesota Statutes, as may be amended.
Zoning Districts. City staff proposes to make allowance for uses combining the
production of alcoholic beverages with on-sale and off-sale activities as either a
permitted or conditional use in the following zoning districts:
AP R-A C-2 C-3 C-CBD OP I-CBD I-1 I-2
Farm winery with tasting room I I
Brew on Premises P P P Brewpub P P P Small Breweries w/ tap room C C C P P C C
Micro Distilleries w/ tasting room C C C P P C C
Breweries C P P
Distilleries C P P
Farm wineries would be allowed within the rural zoning districts of the City as interim
uses in anticipation that the property may at some point be included within the Municipal
Urban Service Area and guided for urban land uses. There is also the need to ensure
that a farm winery use will have adequate access in terms of public streets and other
City infrastructure needed to support a use with a commercial element in a rural area.
The C-2 and C-3 Districts allow a broad range of retail and service commercial
businesses. The C-CBD District provides a desirable character and destination-type
location that may be attractive to these businesses. Allowance of Brew on Premises
stores and brewpubs within these districts as permitted uses is consistent with the intent
of these zoning districts and would be compatible with other permitted uses in the same
district.
Small breweries with tap rooms and micro-distilleries with tasting rooms, with production
and sales limited by Minnesota Statutes, are proposed to be allowed as conditional
uses in the C-2, C-3 and C-CBD Districts given their more industrial nature but with an
inherent commercial attraction. The conditional use process will allow the City to review
the location of a proposed small brewery or micro-distillery to ensure compatibility with
existing and proposed surrounding land uses, adequate access and adequate
infrastructure to serve such uses. The same uses are proposed to be allowed as
permitted uses in the OP and I-CBD Districts based on the transitional nature and
higher amenities of the OP District and the limited scope of the I-CBD District within
Downtown Lakeville that would be anticipated to be desirable for such a business
location.
Finally, small breweries with tap rooms and micro-distilleries with tasting rooms would
be conditional uses in the I-1 and I-2 District again to ensure compatibility of the use at
a proposed location but from the perspective of introducing a retail/service business
within an industrial area. Breweries and distilleries with production not limited by
Minnesota Statutes would be allowed as a conditional use with the OP District based on
the other lower intensity uses allowed in this zoning district and the need to consider
compatibility and infrastructure capacity for a proposed location. Breweries and
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Distilleries would be allowed within the I-1 and I-2 Districts as permitted uses given that
they are essentially production and distribution facilities consistent with other industrial
uses allowed as permitted uses in these districts and taprooms or tasting rooms would
be allowed as conditional uses.
Performance Standards. Allowance of the various alcoholic beverage production and
retail service businesses would be subject to the performance standards of the district in
which they are located to include, but not limited to, lot requirements and setbacks,
screening and landscaping, signs, exterior building materials and the like. City staff is
proposing to amend the off-street parking requirements in Section 11-19-13 of the
Zoning Ordinance to include brewpubs, taprooms and tasting rooms within the category
of restaurant uses. The off-street parking requirement for the production element of the
business would be considered under the standard applicable for manufacturing or
warehouse uses already established in Section 11-19-13 of the Zoning Ordinance.
OP District Commercial Recreation. The draft Zoning Ordinance amendment
includes one housekeeping provision. City staff noted that commercial recreation was
listed both as a permitted use and as a conditional use within the OP District. The
intent is that such uses be allowed as a conditional use subject to the performance
standards listed in Section 11-75-7.A of the Zoning Ordinance. The draft Zoning
Ordinance amendment includes deletion of commercial recreation as a permitted use in
the OP District.
CONCLUSION
A public hearing is has been noticed for 19 June 20114 to consider an ordinance
amending the Zoning Ordinance to allow for brewpubs, microbreweries with tap rooms,
farm wineries and micro distilleries with tasting rooms and breweries and distilleries as
allowed uses within various zoning districts. City staff recommends approval of the
proposed ordinance amendment in the form attached hereto.
c. Steven Mielke, City Administrator
David Olson, Community and Economic Development Director
Roger Knutson, City Attorney
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ORDINANCE NO. _________
CITY OF LAKEVILLE
DAKOTA COUNTY, MINNESOTA
AN ORDINANCE AMENDING THE LAKEVILLE CITY CODE.
THE CITY COUNCIL OF THE CITY OF LAKEVILLE, MINNESOTA ORDAINS:
Section 1. Section 11-2-3 of the Lakeville City Code (Definitions) is
hereby amended to add following definitions:
BREW ON PREMISES: A facility that provides the ingredients and equipment for
a customer to use to brew malt liquor at the store. Alcoholic beverages may not
be sold or otherwise provided to customers of a brew on premises store, unless
the owner of the brew on premises store holds the appropriate liquor license.
Customers using the brew on premises store must be of the minimum age
required to purchase intoxicating liquor. Malt liquor brewed by a customer in the
store must not be sold and must be used by the customer solely for personal or
family use.
BREWERY: A facility that produces beer, ale or other beverages made from malt
by fermentation and containing not less than one-half of one percent alcohol by
volume.
BREWERY, SMALL: A brewery that produces not more than twenty thousand
(20,000) barrels of malt liquor in a calendar year as regulated by Minnesota
Statues, as may be amended.
BREWPUB: A small brewery with a restaurant use operated on the same
premises as the brewery.
DISTILLERY: A facility that produces ethyl alcohol, hydrated oxide of ethyl,
sprits of wine, whiskey, rum, brandy, gin, or other distilled spirits, including all
dilutions and mixtures thereof for non-industrial use.
FARM WINERY: A winery operated by the owner of a Minnesota farm producing
table, sparkling or fortified wines from grapes, grape juice, other fruit bases or
honey with a majority of the ingredients produced on the premises.
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EXHIBIT A
MICRODISTILLERY: A distillery producing premium, distilled spirits in total
quantity not to exceed forty thousand (40,000) proof gallons in a calendar year as
regulated by Minnesota Statues, as may be amended.
TAPROOM: An area for the on-sale consumption of malt liquor produced by the
brewer for consumption on the premises of a brewery or an abutting property in
common ownership of the brewer, which may include sales of malt liquor
produced and packaged at the brewery for off-premises consumption as allowed
by Minnesota Statutes, as may be amended.
TASTING ROOM: An area for the on-sale consumption of distilled spirits or
wine produced on the premises of or abutting a winery or distillery and in
common ownership to the producer, which may include sales of beverages
produced and packaged at the winery or distillery for off-premises consumption
as may be allowed by Minnesota Statutes as may be amended.
Section 2. Section 11-19-13 of the City Code (Off-Street Parking
Requirements – Minimum Spaces Required) is hereby amended to modify the
following existing requirement:
Restaurants, clubs, lodges,
brewpubs, taprooms, tasting rooms
1 space per 40 square feet of dining area and 1
space for each 80 square feet of kitchen area.
Section 3. Section 11-46-11 of the City Code (AP District Interim Uses)
is hereby amended to add the following provisions:
G. Farm wineries with tasting rooms.
Section 4. Section 11-47-9 of the City Code (RA District Interim Uses)
is hereby amended to add the following provisions:
G. Farm wineries with tasting rooms.
Section 5. Section 11-72-3 of the City Code (C-2 District Permitted
Uses) is hereby amended to add the following provisions:
S. Brew on premises.
T. Brewpub.
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Section 6. Section 11-72-7 of the City Code (C-2 District Conditional
Uses) is hereby amended to add the following provisions:
V. Microdistilleries with tasting rooms.
W. Small breweries with tap rooms.
Section 7. Section 11-73-3 of the City Code (C-3 District Permitted
Uses) is hereby amended to add the following provisions:
R. Brew on premises.
S. Brewpub.
Section 8. Section 11-73-7 of the City Code (C-3 District Conditional
Uses) is hereby amended to add the following provisions:
U. Microdistilleries with tasting rooms.
V. Small breweries with tap rooms.
Section 9. Section 11-74-3 of the City Code (C-CBD District Permitted
Uses) is hereby amended to add the following provisions:
N. Brew on premises.
O. Brewpub.
Section 10. Section 11-74-7 of the City Code (C-CBD District Conditional
Uses) is hereby amended to add the following provisions:
U. Microdistilleries with tasting rooms.
V. Small breweries with tap rooms.
Section 11. Section 11-75-3 of the City Code (OP District Permitted
Uses) is hereby amended as follows:
E. Indoor commercial recreation. Reserved
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Section 12. Section 11-75-3 of the City Code (OP District Permitted
Uses) is hereby amended to add the following provisions:
M. Microdistilleries with or without tasting rooms.
N. Small Breweries with or without Tap Rooms.
Section 13. Section 11-75-7 of the City Code (OP District Conditional
Uses) is hereby amended to add the following provisions:
M. Breweries and small breweries with or without taprooms.
N. Distilleries and micro distilleries with or without tasting rooms.
Section 14. Section 11-85-3 of the City Code (I-CBD District Permitted
Uses) is hereby amended to add the following provisions:
M. Microdistilleries with or without tasting rooms.
N. Small Breweries with or without tap Rooms.
Section 15. Section 11-86-3 of the City Code (I-1 District Permitted
Uses) is hereby amended to add the following provisions:
S. Breweries and small breweries.
T. Distilleries and microdistilleries.
Section 16. Section 11-86-7 of the City Code (I-1 District Conditional
Uses) is hereby amended to add the following provisions:
M. Taprooms accessory to a brewery or small brewery.
N. Tasting rooms accessory to a distillery or microdistillery.
Section 17. Section 11-87-3 of the City Code (I-2 District Permitted
Uses) is hereby amended to add the following provisions:
T. Breweries and small breweries.
U. Distilleries and microdistilleries.
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Section 18. Section 11-87-7 of the City Code (I-2 District Conditional
Uses) is hereby amended to add the following provisions:
M. Taprooms accessory to a brewery or small brewery.
N. Tasting rooms accessory to a distillery or microdistillery.
Section 19. This ordinance shall be effective immediately upon its
passage and publication.
ADOPTED this ____ day of ________, 2014, by the City Council of the
City of Lakeville, Minnesota.
CITY OF LAKEVILLE
BY:_________________________________
Matt Little, Mayor
ATTEST:__________________________________
Charlene Friedges, City Clerk
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