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05/09/2005 - 00026809CITY COUNCIL MEETING CITY OF FRIDLEY MAY 9, 2005 The City Council meeting for the City of Fridley was called to order by Mayor Lund at 7:30 p.m. ROLL CALL: MEMBERS PRESENT: Mayor Lund Councilmember-at-Large Barnette Councilmember Billings Councilmember Wolfe Councilmember Bolkcom OTHERS PRESENT: William Burns, City Manager Fritz Knaak, City Attorney Richard Pribyl, Finance Director Scott Hickok, Community Development Director Don Abbott, Public Safety Director Rebecca Brazys, Recording Secretary PROCLAMATIONS: Mayor Lund read and presented the following proclamations: Peace Officers Memorial Day: May 15, 2005 Veterans' Buddy Poppy Day: May 20 2005 Mediation Services for Anoka County Day: May 24, 2005 Public Works Week: May 16 — 22, 2005 APPROVAL OF PROPOSED CONSENT AGENDA: APPROVAL OF MINUTES: • Approval of the minutes of the April 25, 2005 Board of Review meeting. APPROVED • Approval of the minutes of the April 25, 2005 City Council meeting. APPROVED FRIDLEY CITY COUNCIL MEETING OF MAY 9, 2005 PAGE 2 NEW BUSINESS: 1. Resolution Approving a Plat, P.S. #05-01, Gospel Hall Addition, by Dale Christiansen, Roslyn Park Wesleyan Church, for the Purpose of Creating a Three-Lot Plat and to Se�arate Church from Residential Properties, Generally Located at 5300 6t Street, 401 53rd Avenue, 5315 5t" Street, and a Vacant Lot North of 5315 5t" Street NE (Ward 1). Dr. Burns, City Manager, stated this new plat would separate the church and the adjacent vacant lot from two residential properties. The new plat will consist of three separate properties including 5600 6t" Street, 401 53rd Avenue, and 5315 5t" Street (together with the vacant lot that lies north of 5315 5t" Street). Staff recommends approval of the new plat with the six stipulations below: 1. Petitioner to provide drainage and utility easements as shown on the preliminary plat drawing. 2. Petitioner shall provide any easements required by Kaneb Pipeline prior to final plat approval. 3. The property owner of 5300 6t" Street shall continue to provide reasonable seasonal maintenance as necessary to assure access to and from the non-vacated portion of the alley. 4. The alley shall be sufficiently labeled to prevent the entrance from being blocked. 5. The existing garage at 5315 5t" Street shall be made accessible by construction of an approved surface driveway and the filing of an easement for access from Lot 1, or a new driveway and garage (with direct access from 5t" Street) shall be constructed within one year of final plat approval. 6. Proof of parking on vacant lot north of 5315 5t" Street shall be required to be installed if there is an expansion to the church or the City deems that it is necessary. ADOPTED RESOLUTION NO. 2005-21. 2. Claims (12414-121588). APPROVED. 3. Licenses. APPROVED THE LICENSES AS SUBMITTED AND AS ON FILE. FRIDLEY CITY COUNCIL MEETING OF MAY 9, 2005 PAGE 3 4. Estimates. APPROVED. MOTION by Councilmember Barnette, seconded by Councilmember Wolfe, to approve the consent agenda as presented. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. ADOPTION OF AGENDA MOTION by Councilmember Bolkcom, seconded by Councilmember Wolfe, to approve the agenda with Items 5, 6 and 7 considered in reverse order. Mr. Hickok, Community Development Director, explained that he planned to present Items 6 and 7 together as one presentation with two separate actions. MOTION by Councilmember Bolkcom, seconded by Councilmember Wolfe, to approve the agenda. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. OPEN FORUM (VISITORS): Consideration of items not on agenda — 15 minutes. No comments were made. PUBLIC HEARINGS: 6. Consideration of a Resolution Approving a Minor Comprehensive Plan Amendment, CP #05-01, by Har-Mar Incorporated, for Property Located on Lots 4-6, Block 1, Paco Industrial Park, except the North 35 Feet of Lot 4, Generally Located at 7110-90 University Avenue NE (Ward 3). 7. Consideration of an Ordinance to Amend the City Code of the City of Fridley, Minnesota, by Making a Change in Zoning Districts (Rezoning Request, ZOA #05-01, by Har-Mar Incorporated, for Property Generally Located at 7110-90 University Avenue NE) (Ward 3). MOTION by Councilmember Bolkcom, seconded by Councilmember Barnette, to open the public hearings. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. FRIDLEY CITY COUNCIL MEETING OF MAY 9, 2005 PAGE 4 Mr. Hickok, Community Development Director, stated the petitioner in this case is Jerome O'Brian Slawik with Har Mar Incorporated as the owner/manager of the property. The request is a rezoning from M-1, Light Industrial, to C-2, General Business. The purpose of this request is to allow the Billiard Street Cafe to obtain a liquor license. The petitioner needs to meet the definition of a restaurant to obtain a liquor license which means that 40% of the total gross sales of the business must be from serving food. Once established, the facility must have a minimum of 40% food sales to maintain a liquor license. Mr. Hickok explained this property is just north of Community Park between Commerce Circle East and University Avenue and fronts along University Avenue. The original zoning on this property was R-3, Multi-family. In 1967, the zoning changed to CR-2, Office, Service and Limited Business. The service drive was then moved west and Commerce Circle East was created. In the 1970s, the property was zoned C-2, General Business. In 1980, the subject parcel, originally part of a larger development plan, was rezoned to M-1, Light Industrial. As tenants occupied the space, the intended warehouse use evolved into a predominant office use. In 1986, a special use permit was approved to allow a surgeon's office. In 1986, a variance was approved to reduce the parking setback on the west side and to reduce parking stall width to 9 feet on spaces adjacent to the building. In 1988, a special use permit was approved to allow operation of a billiard, arcade, and snack bar in the M-1 district. In 1997, a special use permit was modified to allow an expansion of the commercial recreational use (billiards) in the M-1 zoning. In 2001, a special use permit was granted to allow another expansion of the billiard hall. Mr. Hickok stated that staff takes rezoning requests through a series of steps and asks a series of questions to make certain it can pass. The first question is whether or not the proposed zoning is consistent with the uses at the building. Staff found that for this petition, the proposed rezoning is consistent with current uses. Staff also found that the proposed rezoning is consistent with other property north along the University Avenue corridor. Staff did find, however, that this proposal is not consistent with the City's Comprehensive Plan which is why the minor Comprehensive Plan Amendment has been proposed. With respect to the Comprehensive Plan, staff found that there will be no impact on Metropolitan systems; there will be no changes to the service boundary as Fridley is completely within the Metropolitan service boundaries; there will be no changes to timing and staging of the urban service area; there will be no impact on the wastewater treatment as this is an existing facility; and there will not be discharge to more than one Metropolitan interceptor. Mr. Hickok said that the parcel has 165 parking stalls and 264 stalls would be required. Accordingly, it has only 63% of the required parking area. However, a mix of uses is co- existing now without parking problems due to differing business hours. By stating that this property is appropriate to be rezoned, Council would be recognizing that there is a variance involved. This variance has a stipulation attached which requires that future uses be reviewed and that the manager recognizes there must not be any issues with FRIDLEY CITY COUNCIL MEETING OF MAY 9, 2005 PAGE 5 future uses conflicting with current uses or the City has the authority to say no to that use. Mr. Hickok said that at their April 20 meeting, the Planning Commission unanimously recommended approval of the rezoning and the Comprehensive Plan Amendment. Staff also recommends approval of the proposed rezoning because it provides consistency along the University Avenue corridor and allows a better fit for the current uses at the subject property. Staff inet with other tenants at this location and found them to be supportive of this request. Staff also recommends approval of the Comprehensive Plan Amendment as the proposed minor amendment provides consistency for zoning designations along the western edge of the University Avenue corridor and the proposed minor amendment will not have an impact on Metropolitan systems. Mr. Hickok stated staff recommends the following stipulations be attached: • The development owner shall notify the City of any future additions/expansions or tenant change-outs and shall accept limitations on occupancy of the building should parking shortages result. • Any and all special use permits tied to the industrial zoning will be nullified with this rezoning to C-2. Councilmember Barnette questioned why this request is inconsistent with the Comprehensive Plan. Mr. Hickok stated the property is currently zoned industrial which matches the Comprehensive Plan map. However, the Comprehensive Plan text is consistent with the current uses. Councilmember Bolkcom questioned the wisdom of seeking the rezoning simply because the petitioner wants a liquor license. Mr. Hickok replied if the petition did not make sense from a zoning perspective it would not have gotten this far. This property is the oddity as far as zoning along that section of the University Avenue corridor. This is not spot zoning and it is not for the favor of a certain individual. Councilmember Bolkcom asked if any of the current tenants would not qualify under C-2. Mr. Hickok responded no, they could all exist in the M-1 or C-2 district. Staff inet with one of the tenants they were concerned about and that tenant had no issues with the rezoning and, in fact, was supportive of the proposal. FRIDLEY CITY COUNCIL MEETING OF MAY 9, 2005 PAGE 6 Councilmember Bolkcom questioned if the increased food sales the petitioner is hoping for will impact the parking. It appeared there is a lot of ownership being put back on the City related to future parking issues. Mr. Hickok stated staff believes the parking stipulation puts the ownership back on the property owner by requiring that any future tenant changes be reviewed and approved by City staff. If there were more land at this site, staff would recommend a proof of parking arrangement. This stipulation forces the owner to continue looking for a mix of uses that will ensure that parking does not become a problem. Councilmember Bolkcom asked Mr. Hickok to review the variances and special use permits previously approved for this property that will be nullified by this rezoning. Mr. Hickok explained the variance for the reduced parking setback and driveway width will stay with the land. Only the special use permits will go away because those uses are allowed in the C-2 zoning being requested. Mayor Lund asked if Council action would be required once the rezoning has been approved. Mr. Hickok stated a record is being created by Council's action tonight, so no additional Council action would be required. Also this record will be recorded at the County level. Mr. Todd Phelps, Leonard Street & Deinerd, representing the property owner, stated the owner fully understands staff's requirement to inform the City of any tenant changes. All the current tenants are happy and none of the leases are due any time soon, so they do not anticipate any changes in the near future. On behalf of the petitioner, he stated they concur with City staff's recommendation. MOTION by Councilmember Bolkcom, seconded by Councilmember Wolfe, to close the public hearing for CP #05-01 and ZOA #05-01. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 5. Consideration of an On-Sale Intoxicating Liquor License for Billiard Street Cafe, Generally Located at 7178 University Avenue N.E. (Ward 3). MOTION by Councilmember Bolkcom, seconded by Councilmember Wolfe, to open the public hearing. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. Mr. Pribyl, Finance Director, stated the Billiard Street Cafe has been in business at the same location for 17 years. The building in which the business is located is at 7178 FRIDLEY CITY COUNCIL MEETING OF MAY 9, 2005 PAGE 7 University Avenue and is owned by Har-Mar Incorporated. In order for the property to be considered for a liquor license, a rezoning to C-2 is required. This location has a conforming restaurant that has been serving food since 1997. The Police Department has reviewed the backgrounds on the owner and manager and finds no reason to deny the request. During discussions with the business owner, staff found some items that will change some of the business practices at this location. One item is that no person under the age of 18 shall be in the business other than for the purpose of consuming meals or working. Also, the applicant has applied for a 2:00 a.m. closing and has been instructed that the business and parking lot is to be emptied by 2:30 a.m. except for employees. In addition, the applicant has been instructed as to the minimum/maximum 40/60 ratio of food to alcohol requirement. Councilmember Bolkcom asked if the 2:00 a.m. closing has a different requirement that must be met. Mr. Pribyl stated there are some issues that the Police Department has with respect to making sure the business and parking lot are vacated by patrons. There is a separate record-keeping requirement as far as monitoring the food to liquor ratio. The petitioner is aware of both of these issues. Councilmember Bolkcom asked how the Billiard Street Cafe owner will manage minors playing billiards when alcohol will be served. Mr. Gregory Asproth, Billiard Street Cafe owner, stated he understands that the City Code will not allow anyone under the age of 18 to play pool without a parent or guardian. He explained that he worked with City staff to create a policy for patrons under the age of 21 (a copy was presented to Council members). This policy calls for ID checks for all patrons as well as wristbands and hand stamping for all patrons under the age of 21. He will also continue talking with the Police Department on a regular basis. In addition, all servers and managers will be thoroughly trained in handling minors. They will also participate in the Liquor Awareness Program through the Fridley Police Department. He understands that handling minors in a liquor establishment is a very serious issue. Councilmember Bolkcom asked what the hours of operation will be for the restaurant and how they will encourage people to eat to ensure the food to liquor ratio is met. Mr. Asproth replied they are currently working with consultants in the restaurant business. They would like to change their menu and promote it in the local paper and other areas. Not having a liquor license has caused them to lose a lot of business, such as private parties and billiard leagues. The restaurant is open from 10:00 a.m. to just before close. They currently serve food 17 to 18 hours a day. There was some discussion whether or not an 18 year old would be considered an adult or guardian for a minor. FRIDLEY CITY COUNCIL MEETING OF MAY 9, 2005 PAGE 8 Mr. Abbott, Public Safety Director, stated the ordinance would provide for persons under the age of 18 to play pool provided they are accompanied by a parent or guardian. His interpretation is that a guardian would have to be an official or assigned guardian. He would not consider an 18 year old brother or sister a legal guardian. Councilmember Barnette pointed out that minors are allowed to bowl without a parent and questioned why the billiard hall is handled differently. Also, the food to liquor ratio for a bowling alley is 40/60 rather than the 30/70 for the billiard hall. Mr. Abbott stated City Code allows a minor to enter a bowling center but does not allow that in the case of any other liquor licensee. The primary responsibility will fall on Mr. Asproth to ensure that a minor is not served alcohol, but having a parent or guardian present offers an additional layer of protection to keep minors from coming into contact with alcohol. Councilmember Billings asked what the current ratio of food to billiard sales is at Billiard Street Cafe. He also asked Mr. Asproth if he thinks the percentage of billiard sales will increase as much as the food and alcohol sales. Mr. Asproth responded that food sales make up 39% and billiard sales 59%. He anticipates there will be more leagues playing than open billiards which may result in lower billiard sales. They hope not to lose the focus on billiards, as that is their business. Councilmember Billings commented that even though Billiards Street Cafe has been at this location for 17 years the number of problems have been insignificant at best. Based on the way they have run their business, he does not see any reason why they will not be able to successfully address the issues discussed at tonight's meeting. He said he is very supportive of the liquor license for Billiards Street Cafe as long as Mr. Asproth understands that the City feels this is a restaurant that happens to serve liquor and happens to have billiards. MOTION by Councilmember Bolkcom, seconded by Councilmember Barnette, to enter into the record a one-page statement entitled "Billiard Street Cafe Policy (Under Age 21).,, Councilmember Billings stated he would like to indicate for the record that while this policy is being received into the record, it does not necessarily mean that by accepting it into the record Council is indicating that by following these procedures Billiard Street Cafe will be held harmless from any violations that may occur. This is Billiard Street Cafe's responsibility and their policy is being entered into the record as an indication of their intent to try and police the activities inside their doors. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. FRIDLEY CITY COUNCIL MEETING OF MAY 9, 2005 PAGE 9 MOTION by Councilmember Bolkcom, seconded by Councilmember Wolfe, to close the public hearing. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. Mayor Lund informed the petitioner that Council will take action on their requests at the May 23 City Council meeting. NEW BUSINESS: 8. Informal Status Report. None. ADJOURN MOTION by Councilmember Barnette, seconded by Councilmember Wolfe, to adjourn. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE MEETING ADJOURNED AT 8:45 PM. Respectfully submitted by, Rebecca Brazys Recording Secretary ��� �� Scot J. Lund Mayor