Planning Commission - Regular Meeting

I will now call the November 3rd planning commission meeting to order. May we take the role, please? Shonack, present. Beam Seagull, present. Casper, present. McDougall, here. Krabanhoff here. Are there any amendments to the agenda? No, no amendments, chair. Right. Is there a motion to approve the November agenda? So moved. Second. All in favor? I. I. Those opposed. Is there a motion to amend or approve the minutes of the October 6th meeting?

So moved? Second. All in favor? I. I. Those opposed citizens to be heard. Uh items not on the agenda. This would be the opportunity for any citizens to be heard on items that are not currently posted to the agenda. Seeing none, we will move forward to public hearings. First hearing regards request of Macrosource LLC for a conditional use permit for an hydrris ammonia storage at 2012 28th Avenue South. Is there a motion to open the public hearing? So moved. Second.

All those in favor? I. Those opposed. City Planner Houston, please provide the commission with an overview of this particular item. Thank you, Chair Seagull. Assistant City Planner Forest Steinhoff will present this item tonight.

Thank you, Chair and uh commissioners. [clears throat] Macrosource LLC is requesting a conditional use permit to install a 30,000galon andhydroammonia tank within the HI heavy industrial zoning district at 2012 28th Avenue South uh fertilizer distribution and storage facility. And hydro ammonia is widely used in fertilizer for agriculture and this facility currently receives and stores this material in 90,000galon rail cars as permanent storage is unavailable on the site. The proposed project would create permanent storage and reduce potential risk for the community and facility by eliminating um the need for prolonged rail car storage. In addition, [clears throat] we have received complaints from this facility in the past. Um, and so in conjunction with the installation of a new tank, a fin fan cooler will be installed that could reduce the smell by 50%. This installation could not be provided for in rail car storage. Uh, to date, no public comments have been received. Staff suggests the planning commission recommended approval to the city council, the conditional use permit for the anhydromonia tank in HIV industrial, and related findings of fact contingent on the conditions found in the packet. And I'd be happy to answer any questions. Are there any uh questions from the uh commission or comments?

My only question was why now versus it seems like a great idea to be having a more permanent solution. Just is there any great reasoning for why now it's finally happening? I'll let the applicant address that question.

So about could we have your name please? Chad Han, I'm the director of operations for Macrosource. So about 10 years ago, we had to reszone the facility because it wasn't heavy industrial. So we did that part about 10 years ago. Then uh the no Minnesota Department of Egg told us that we didn't have enough room to do in the facility. Um once we worked through their angles, I guess you should say, to make sure where we could put place it, now we can do it. So he they gave us approval first and then we went through this hoops to get here. Thank you. Are there any additional comments or questions?

The only question I have, Robin, is um I think it's a great idea, but I know there was future plan of arterial roadway for an off-ramp there. How is how would that affect this site here? Because that was part of that proposed roadway was possibly around that through it. Has any thought of that been given on on the other side? There is a proposal but that's many many many years in the future where we would have to work with Macrosource. Um I've seen a couple different layouts. So we have not decided on anything or approved anything. So that is still out there in the ether and you know obviously they probably don't know too much about it. I uh AR I think um Metrocog was working on that plan. So I would assume you maybe would have been been invited for some meetings, but again nothing's been decided. Um it could it could require a relocation of those two businesses there possibly, but it's many years out. So this will not affect this project right now.

Maybe I should have rephrased their question if wanted to make sure that they knew that it was a possibility that's been in the works. It sounds like that. So that's always concerned with. So yes. Okay, perfect. Thank you. Additional comments or questions? Yeah, this may be uneducated. Um, growing up I knew of anhydrris ammonia as something that people would steal um for nefarious use, if you will. Um, is there is there security around the location to prevent that and maybe unwanted spillage that could occur with something along those lines? Yes. So, with this tank, we're going to put in 24-hour monitoring. Okay?

So, it'll have sensors on all four sides of the tank. Um, the sensors will detect any level of ammonia at 15% of any ammonia in the atmosphere, which is 15 parts per million or whatever. Um, it will call the fire department and call us immediately. We actually have that system in place today. Great. And we'll take it from the rail cars and put it to the tank. So, fantastic. Thank you. I've been there for 20 years. Um 20 years ago we had some people try doing some theft. It's really hard for us to secure a rail car because it's on the wheels. Um we actually are going to have a chainlink fence around this. The fireman will have fire department will have keys to it so they have access but it'll also deter anybody from stealing anything. So it'll be even more secure than it currently is. Correct.

That's great. Thank you. Additional comments or questions from the commission? Are there any additional public comments? Hearing none. Is there a motion to close the public hearing? So moved. Second. All in favor? I I.

Those against. Is there uh any more discussion or is there a motion for the recommendation to approve to the city council the conditional use permit for and hydro ammonia storage in HI or heavy industrial at 2012 28th Avenue South and related findings of fact contingent on the conditions outlined in the packet. So moved. Second. Second. All in favor? I. Those opposed.

Our second public hearing is at the uh for a request of the city of Morehead for text amendments related to cannabis use regulations. Is there a motion to open the public hearing? So moved. Second. All in favor? I. Those opposed. City planner Houston, please provide the commission with an overview of this particular item.

Thank you again, Chair Seagull and Commissioners. Uh the planning commission has made several recommendations for zoning text amendments to the city council to create clear and flexible code um for these cannabis uses since 2023 when it was legalized in the state. uh staff has been working with quite a few applicants and we've received some feedback um from prospective businesses. They're having a real tough time in our real estate market because we do have very low vacancy rates and trying to find a building that suits their needs not only for their business and then it also has to follow our zoning um zoning ordinance. um they're having a tough time. So, we've been brainstorming a little bit um trying to we've opened up some of the zoning a little bit this year and now with these two proposed changes um we'll open up a little further while also still protecting adjacent residential uses and other adjacent um commercial businesses. So one the first change is right now um any type of testing facility for cannabis is um limited to the light industrial and heavy industrial um properties. We just don't have a lot of vacancy out there and it's um the testing facilities range in size. Some of them are very small and some of them can be larger. But there's a huge need in the state for more of these facilities. So we thought about it. They're really no different than the micro businesses and the messo businesses that we changed earlier. So, we're going to open um up the commercial and the mixeduse districts for those facilities as long as they can meet those same restrictions. You can't be adjacent to residential uses. Um you have to be in a a single tenant, you know, standalone building. Um and then the second change would also affect the

testing facilities is giving some more um leeway for the micro businesses and the mezzo businesses because right now they can sometimes find a building but they can't find it's usually a multi-tenant building so they can't go in there unless they're the only tenant. Um, so for example, we have a lot of what's a shop condo building and they have like four to five units per building. Well, if somebody wants to rent one of those spaces, they can't unless all the other units are um cannabis uses um for this proposal. So, right now, we do have some brand new shop condos in a couple different areas of the city that they would love to rent, but they can't because they can't afford to buy all four or five units. So, with this code change, um, they can go they can go into a multi-tenant building like that, but then they have to have other cannabis users in that building with them. So, like say somebody wants to do cultivation and retail, maybe they can get together with a wholesaler or a testing facility and then they both they can take over the whole building. Um, and we do still have properties like that that are not adjacent to residential. Um, so we figured this would open up a few more spots for um these people that are trying to locate here in Morehead. Uh we did not receive any public comments for these text amendments and we are recommending approval um to these amendments for the use regulations related to cannabis uses. Please let me know if you have any questions.

Are there any questions or comments from the commissioners? Yeah. Uh Robin to be [clears throat] clear on the first one you were talking about that is I know um is LI and HI but were you saying that the change will be to include commercial? Did I understand there?

So um for the for the testing facilities right now they're permitted without any permits in light industrial and heavy industrial. This change will open them up as provisional uses in mixed use um three and four. Mixeduse three is a general commercial mixeduse. It's um on the other side of 11th Street. We have a lot of stuff down 11th Street Main. And then um mixed U4 is on the highway corridors and 34th Street. And then uh community commercial which we have like along Main Avenue where a lot of those shop condos are. And then there's a couple other commercial nodes throughout the city. And then they still can go in the light and heavy industrial by right without a permit.

So we'd be um for the second one uh the involving the micro and the mezzo um for those that will fit only in similar areas these buildings that you're talking about will so do you have to define the um zoning for the second one? Yeah. So the second one is a little more open because that one is allowed in MU1 and MU2, MU3, MU4 and community commercial and light industrial and heavy industrial. And it's because it that one the mezzo and the micro also has a retail component. Sure.

So if they're just doing retail, they can pretty much go in most of those places, but under the mezzo and the micro license, they can also cultivate. So, we don't want cultiv cultivation and production when you're adjacent to residential or if you're adjacent to existing businesses in a building. And it's mostly due to the smell. Like, you know, if those businesses were already established, we don't want another business going in there and making their products smell. Um, but if they go into a the kind of the intent for this new code is if they're first, they go into the building first, they don't have to deal with neighbors because there's nobody there to complain, but then they can maybe attract other cannabis users to that business because now there's a cannabis user in there. So, we um we felt like this will open up. Specifically, it's those shop condo buildings that are having trouble renting. Um because again, it's really hard to buy because those are all condoed units. So, you would have to buy like four or five of those condo units which could be um very expensive. You know, you're a ret you're in real estate.

Yeah. Okay. Well, thank you for that. Yes. Other questions or comments from the commissioners? Are there any public comments to be received at this time? Seeing none, um, is there a motion to close the public hearing? So moved. Second. All in favor? I.

Those opposed. Is there any more discussion or a motion to recommend approval to the city council the amendments to title 10, chapter 18? use regulations related to cannabis uses. Move approved. Second. Been moved and seconded. All those in favor? I I. All opposed. Is there any other business at this time to come before the commission? No other business. Chair,

are there any reports or additional information from commissioners? Seeing that there is no other business, is there a motion to adjurnn? So moved. Second. Clear the commission adjourned.